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DRILLBITS – October 2016

This Month’s Articles

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Equipment Failure Reporting Portal Now Open

Companies can now use a newly activated online form to report equipment failures as required by the BSEE Well Control Rule. The online portal, operated by the Bureau of Transportation Statistics (BTS), became operational on 24 October. BTS is functioning as the repository for data required by BSEE and collected as part of its SafeOCS Program.

The portal is accessible from the SafeOCS website at www.safeocs.gov. Operators also have the option of downloading the reporting form in PDF or Excel versions and sending them directly to BTS once completed.

The form used by BTS was adapted from that used by the IOGP/IADC BOP Reliability JIP as the result of discussions that took place over the summer between the JIP, BSEE and BTS. As part of that process, the JIP made modifications to its system to facilitate compliance with the rule by its participants.

Operators in the JIP now receive a copy of the failure report as soon as it is entered into the database. That report is intended to be sent directly to SafeOCS/BTS. The system also includes reminders for both operators and contractors to ensure proper follow-up as required by the rule.

Data that is reported directly to BTS via the online portal, fax or postal service is protected under the Confidential Information Protection and Statistical Efficiency Act (CIPSEA). E-mail submissions are not protected by CIPSEA.

Operators also have the option of reporting failures directly to BSEE instead of BTS. In this, the information reported is also not protected by CIPSEA.

For more information, contact Steve Kropla at ext. 211 or steve.kropla@iadc.org.

IADC Drilling Matters Multimedia Educational Website Now Live

IADC recently launched the first phase of Drilling Matters, a new website to inform, educate and dispel misconceptions about the oil and gas industry.

Sensing a void in educational resources for people with little knowledge of the oil and gas industry, IADC began developing Drilling Matters in 2015 with help from many industry partners. The result is a multimedia website that provides an in-depth and well-rounded look at the oil and gas industry.

Drilling Matters is divided into three sections:

  • Who Needs Us and Why: Energy poverty in the 21st Century and the role of the energy industry
  • What We Do and How: Meet the drilling rig, rig systems and the people who operate them
  • What We Provide: How oil and gas extend life expectancy and promote economic growth

Each section contains one or more modules, which cover various aspects of each of the umbrella topics. Modules contain videos and interactive content, along with links to further references.

“This initial launch is a major milestone achieved only through great teamwork by the generous cooperation of many IADC members and our staff. The videos, photographs and interviews provided by our members were indispensable,” said Mike Killalea, IADC Group Vice President/Publisher. “During development, it was important to us that each of the modules contain language and explanations that are easy to understand for anyone who visits the website. A member of the public, a legislator or regulator, and members of the industry can each find value in the information contained in Drilling Matters.”

IADC will continue to add modules to the Drilling Matters throughout the fall. Future modules will provide information on the oil and gas industry’s positive impact on the economy and jobs, detail the who’s who in the drilling business, give a real-world view of life on the rig, and provide an in-depth look at deepwater drilling, among other topics.

Drilling Matters can be accessed via www.DrillingMatters.org. IADC also included on the site an appreciation page to recognize those whose contributions made the project possible.

IADC Attends Annual IOGCC Conference

On 2-4 October, IADC staff represented members at the State Regulators’ Conference – Interstate Oil and Gas Compact Commission 2016 Annual Conference in Little Rock, Arkansas.

During the conference, Elizabeth Craddock, IADC Vice President, Policy and Government Affairs; Mark Denkowski, Executive Vice President, Operational Integrity; and Bob Warren, Vice President, Onshore Division, met and engaged with numerous regulators and other attendees on topics of mutual interest in oil and gas operations. The group also attended a dinner at the Statehouse with the Governor Asa Hutchinson. Mr. Denkowski made a presentation, “Operating Safely: A Pathway to Increased Competence in Oil and Gas Operations”, to the Environment & Safety Committee on Tuesday 4 October. In addition, Ms. Craddock attended the Legal and Regulatory Affairs Committee session where individual state regulators discussed current regulatory issues, and the group attended the Liaison Committee meeting which featured state oil and gas associations discussing federal legislation and regulatory issues.

For more information about the IOGCC, please visit the website.

IADC Supply Chain Committee Develops Manufacturing Record Book Guidance

In an effort to standardize Manufacturing Record Books (MRB) across the industry, the IADC Supply Chain Committee has developed a guidance document to assist purchasers, manufacturers, service providers and classification societies on the request and supply of MRBs in an organized and standard manner.  The initiative was completed with the assistance from several Original Equipment Manufacturers (OEMs) and Classification Societies.

The guidance document provides a recommended table of contents and the minimum content requirements, per API and other applicable standards, to be used when compiling an MRB.  Following the proposed guidelines should facilitate the review and handling of the recommended documentation.

This document can be accessed via the IADC website.

OSHA Proposes 18 Changes to Recordkeeping, General Industry, Maritime and Construction Standards

As part of an ongoing effort to revise provisions to its standards that may be confusing, outdated or unnecessary, the U.S. Occupational Safety and Health Administration (OSHA), is proposing 18 changes to the agency’s recordkeeping, general industry, maritime and construction standards.

According to Dr. David Michaels, Assistant Secretary of Labor for Occupational Safety and Health, “The changes we propose will modernize OSHA standards, help employers better understand their responsibilities, increase compliance and reduce compliance costs. Most importantly, these revisions will improve the safety and health protections afforded to workers across all industries.”

The proposed revisions would save employers an estimated $3.2 million per year. This is the fourth rule proposed under OSHA’s Standards Improvement project, which began in 1995 in response to a Presidential memorandum to improve government relations.

Individuals may submit comments, by 5 December 2016 either electronically via the Federal eRulemaking Portal at www.regulations.gov, or by fax or mail.

More information can be found in the Federal Register Notice.


IADC Supply Chain Committee “Import/Export Guidance for Nigeria” Now Available

With the assistance of several global customs agents and freight forwarders, the IADC Supply Chain Committee has developed a guidance for any drilling contractor that intends to bring a Mobile Offshore Drilling Unit (MODU) into and out of Nigeria.

The guidance assists drilling contractors in minimize their exposure to incorrect customs clearances, delays, and penalties when importing and exporting the rig and equipment in Nigeria. This guidance document contains the following requirements:

  • Rig Importation.
  • Rig Exportation.
  • Importation and Exportation of Goods.

NOTE:  The listed procedures in the guidance are subject to change without notice. Drilling contractors should consult with an authorized agent or attorney before making any commitments to import or export.

The guidance can be accessed via IADC’s website.


OSHA Updates Guidelines for Safety and Health Programs

The U.S. Occupational Safety and Health Administration (OSHA) recently updated the Guidelines for Safety and Health Programs. The guidelines, first issued 30 years ago, have been updated to reflect changes in the economy, workplace and safety and health issues.

The new Recommended Practices have thus far been well received by a wide variety of stakeholders and are designed to be used in a wide variety of small and medium-sized business settings. They present a step-by-step approach to implementing a safety and health program, which are built around seven core elements that make up a successful program. The Recommended Practices focus on finding and fixing hazards before they can cause injury or illness as the most effective approach.

For more information, please visit OSHA’s website.


API to Revise RP59 Recommended Practice for Well Control Operations

API is currently soliciting interested parties in the revision of RP59 Recommended Practice for Well Control Operations. This RP provides information that can serve as a voluntary industry guide for safe well control operations. The publication is designed to serve as a direct field aid in well control and as a technical source for teaching well control principles. The publication establishes recommended operations to retain pressure control of the well under pre-kick conditions and recommended practices to be utilized during a kick. RP59 serves as a companion to RP53 and RP64.

For more information, please contact Rhett Winter at Rhett.Winter@iadc.org.


IADC Airs Virtual Panel Discussion, “Leadership for the Upturn: Are Your People Ready?”

On 19 October, IADC aired a free video webcast, sponsored by The REACH Group, which featured a discussion exploring key tools to effectively develop tomorrow’s leaders, based on real-world examples in the drilling industry.

Two highly respected drilling CEO’s, along with an expert in leadership development, discussed how contractors are expected to manage their business effectively with leaders who know how to deliver safe, efficient operations.They also talked about when the market returns, it will remain extremely competitive, with leaders needing to make the right decisions the first time as there will be little patience for error.

Panelists included:

  • Thomas Burke, CEO, Rowan Companies
  • Christopher Beckett, CEO, Pacific Drilling
  • Dave Massey, President, The REACH Group
  • Mike Kilallea, Group VP/Publisher, IADC (moderator)

The free webcast can still be accessed via IADC’s website.

To register for the free webcast, please visit the Drilling Contractor Magazine website.


Accreditation Updates

RigPASS

  • CROSBY TUGS, LLC, USA (FULL);
  • PETROLEUM AND NATURAL GAS HIGHER INSTITUTE OF TECHNOLOGY, SAUDI ARABIA (CONDITIONAL)

DIT

  • Channels of Knowledge, Al Khobar – Saudi Arabia;
  • Emirates Technical & Safety Development Centre LLC, Abu Dhabi, United Arab Emirates.

 


Safety Alerts

For the latest safety alerts, visit www.iadc.org/safety-alerts

Alert 15-08: Disabled and non-functional safety devices leads to destruction of derrick board

Alert 15-09: Near miss – dropped six pound sledge hammer

Alert 15-10: Fatality on drill floor


Rigs Receive ISP Certificates

For certificates received since last LTI (in years):

  • COSL Drilling Pan Pacific LTd.: COSL Superior (6);
For certificates received since last recordable incident (in years):
  • Parker Drilling Overseas B.V.: S.W. & Y Mexico (12);
  • Sidewinder Drilling Inc.: Sidewinder 101 (2); Sidewinder 106 (1); Sidewinder 107 (1); Sidewinder 219 (1);
  • Songa Offshore: Songa Equinox (1).

New IADC Members

IADC welcomes 13 new members:

  • CHENGDU WESTERN UNION PETRO ENGINEERING TECHNOLOGY CO., LTD., CHENGDU, SICHUAN, CHINA;
  • DRILLING SPARES AND SERVICES LIMITED, NAIROBI, KENYA;
  • ERAZO VALENCIA S.A., COTA, CUNDINAMARCA, COLOMBIA;
  • GOSS (GLOBAL OILFIELD SUPPORT SERVICE) LTD., LIMASSOL, CYPRESS;
  • GULF FIELD NATIONAL ADVANCED SCHOOL OF PETROLEUM, LIMBE, SOUTH WEST, CAMEROON;
  • GULF FIELD OFFSHORE AND ONSHORE SERVICES (GFOOS), ;DOUALA, LITTORAL, CAMEROON;
  • IMPACT FLUID SOLUTIONS, L.P., HOUSTON, TEXAS, USA;
  • KINGDREAM PUBLIC LIMITED COMPANY, WUHAN, HUBEI, CHINA;
  • LEGGE, FARROW, KIMMITT, MCGRATH & BROWN LLP, HOUSTON, TEXAS, USA;
  • OIL GAS ENGINEERING CO., LTD. OF CNNC SHAANXI, YAN’AN CITY, SHAANXI, CHINA;
  • PC DRILLING & SERVICE, LLC, MIDLAND, TEXAS, USA;
  • STRATA SCOUT DRILLING, LLC, CISCO, TEXAS, USA;
  • THURMOND-MCGLOTHLIN, INC. ENERGY METER SYSTEMS, PAMPA, TEXAS, USA

DRILLBITS Volume 26, Number 10

Tom Burke, Chairman • Jason McFarland, President • Amy Rose, Editor

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