Investigation of Pipeline Leaks and Maintenance Cost Allocation

Abstract

Pipelines are modern infrastructures used for transporting gas, oil, water, and other liquids over long distances. To enhance uninterrupted production, pipeline technology has experienced major improvements or advancements. Obviously, the advancement is not devoid of leakage, resulting from both controllable and uncontrollable factors, including corrosion, damage, and natural disasters, responsible for significant economic, environmental, and social impacts. Hence, resource allocation for pipeline leaked repair and replacement is a critical aspect of ensuring resilience and reliability of pipeline networks. This study investigates offshore pipeline leaks and maintenance costs. Regression analysis and analysis of variance (ANOVA) were used to analyze maintenance cost, while leak growth model was used to determine leak growth rate. From analyses, leak growth rate was 0.20 mm per hour. Leak increased from 0.5mm to 1.35mm in five hours of investigation. The volume of leaked was 4.5557m³ in 5 hours, which represent revenue loss of about 1834 dollars in five hours. The leak flow rate was 13.94 barrels per day (bbl/day). The total repair cost during the period investigated was 81, 637.9 Naira, while the total replacement cost was 216,197.44 Naira. The expected economic effect for equipment for five years period was 352,800,000.00 Naira. The coefficient of determination was R-square 99.98%. Replacement cost of leaked pipeline has a significant effect on maintenance cost.