CONCEPT NOTE

Generally, stakeholders were very positive about the future of NiHMEC and advocated for continuous support, expressing optimism about their future participation and that of their respective companies. Two issues that gained much traction were the involvement of non-technical disciplines in discussions on hydrocarbon measurement and accounting, and transparency in hydrocarbon measurement processes. It was noted that clauses regarding metering requirements often surface in important commercial contracts, such as crude oil handling/transportation agreements and gas supply/purchase agreements. These clauses usually have technical implications that should align with the legal and commercial intent. A misalignment between the commercial/legal intent and the technical connotation of hydrocarbon metering clauses in commercial contract documents presents a risk when disputes arise. Technical personnel, responsible for the performance of measurement equipment and the accuracy of hydrocarbon quantification, must be aware and involved, especially when drafting metering clauses in commercial contracts with third parties, buyers, or suppliers. Additionally, disputes arise when a partner or partners involved feel that the hydrocarbon measurement and accounting processes of one or some of the partners in a shared facility are not transparent. This underscores the need for process transparency and adherence to regulatory requirements and international best practices to reduce legal disputes and financial risk exposure.

Given this context, participants recognized the need to encourage legal and commercial professionals to participate in future NiHMEC conferences to understand how disputes can arise and how they could be avoided. Therefore, the theme of NiHMEC 2024 has been designed to facilitate multidisciplinary knowledge sharing on matters pertaining to hydrocarbon measurement and accounting, to minimize disputes arising from transparency issues and perceived system inefficiencies in measurement.