Our client is a large midstream energy infrastructure company with a global network of pipelines and terminals. They were looking to to improve settlement revenue, and inventory and product movement measurement accuracy across the organization. Over the course of 6 months, Trindent developed and implemented over 110 changes that increased settlement profit by $9,400,000 and reduced variance to settlement budget by 70%. This engagement did not rely on any capital expenditures.

70%

REDUCTION IN VARIANCE TO SETTLEMENT BUDGET

$9,400,000

ANNUALIZED PROFIT

83%

REDUCTION IN METER LOSSES

HOW WE MADE IT HAPPEN

VRU Operations Improvement

  • Implemented a process and real-time analytics tool that determines ideal disposition of VRU condensate, resulting in an increase in settlement profit by $2,700,000
  • Implemented predictive and equipment maintenance strategies, and risk management matrix to reduce VRU downtime by 66% and improve yield by $1,000,000

Meter Loss Reduction

  • Reduced $5,100,000 in meter losses by developing and sustaining 11,000 meter factor control charts, meter factor linearization and regression tool, and an executive dashboard ranking meters by financial opportunity

  • Developed a centralized database and implemented a machine learning process to eliminate manual proving data entry, allowing for the implementation of mandatory spot audit program on 3rd party provers

  • Implemented automated process to communicate acceptable meter factor ranges to Terminal Operators, increasing immediate meter re-proving event by 300% and holding 3rd party provers accountable

  • Developed proving frequency optimization program based on meter health, trend, throughput, and impact

Ethanol Blending & Quality Giveaway Margin Capture

  • Increased sidestream blending volume expansion by 2% by developing a model that considers blendstock composition and principles of thermodynamics
  • Implemented process to mitigate PUL octane giveaway, resulting in $600,000 annual profit

Inventory Governance & Management Operating System

  • Enhanced settlement budgeting process and gain/loss performance requirements by terminal through integration of asset availability, contractual terms, results by product, product mix, and seasonality
  • Developed and conducted training to Operations, introducing key settlement, expected volume gain, and inventory management concepts that impact financials
  • Installed a regional bi-weekly terminal gain/loss review meeting supported by a root cause analysis framework and key performance indicator dashboards

“Working with Trindent has been a truly collaborative experience, bringing our team closer together and fostering cross-functional communication and cooperation. Their commitment to sustainment has made it easy to adopt new processes and tools, ensuring we can carry forward the improvements achieved during the project and continue building on them. This partnership has sparked a positive shift in how we approach our daily operations and we are impressed to say the least.”

– Senior Vice President, Operations