Library / Midstream and Downstream Petroleum Operations Regulations 2025
Midstream and Downstream Petroleum Operations Regulations 2025

Page 67 of 82
B 2169
natural gas and other hydrocarbon into products or other derivatives;
“industrial gas storage and utilisation” means industrial storage facilities
for internal consumption or utilisation;
“inspection” means examination of a product, process or installation to
assess or determine its conformity with specific or general requirements;
“instrument” means a device used for measurement and calibration;
“international measurement standard” means a measurement standard
acknowledged and recognised internationally as a point of reference for
measurement and testing;
“LACT” or “Lease Automatic Custody Transfer” refers to a type of automatic
measuring system of custody transfer of petroleum and petroleum products;
“licensee” has the meaning ascribed to it in the Act;
“licence to construct or LTC” means a licence granted by the Authority for
the  commencement  of construction of a midstream or downstream petroleum
facility and shall not authorise the operation of the facility;
“licence to establish or LTE” means a licence granted by the Authority to
establish a midstream or downstream petroleum facility and shall not authorise
the construction or operation of the facility ;
“licence to operate or LTO” means a licence granted by the Authority to
operate  a midstream or downstream facility;
“linearity” means the total range of deviation of the accuracy curve from
such a straight line between the minimum and maximum recommended flow
rate;
“LNG’’ or “liquefied natural gas” has the meaning ascribed to it in the Act;
“LPG” or “liquefied petroleum gas” has the meaning ascribed to it in the
Act;
“major equipment” means equipment and components required for a facility
or plant to achieve commercial operation;
“major flaring event” means major combustion in the flare system or
incinerator in a midstream petroleum operation resulting from blow down for
maintenance, facility start up and shutdown, testing or deliberate burning
outside the operating or set parameters;
“mal-operation” means operation of facility or equipment outside its
operating parameters resulting in faulty or abnormal operation;
“manager” means a person appointed by a licensee pursuant to these
Regulations;
“merger” means the fusion of two or more companies into one new legal
entity;
“metering and data collection standards” means flare gas metering and
data collection standards and requirements issued by the Authority;
“metering system” means the meters, prover, instrument part, sampling
system, flow computer, and other auxiliary equipment;
“Midstream and Downstream Gas Infrastructure Fund” has the meaning
ascribed to it in the Act;