RESPONSIBLE CANADIAN ENERGY

Transcription

1 RESPONSIBLE CANADIAN ENERGY 2013 ATLANTIC CANADA OFFSHORE SUPPLEMENTAL REPORT View the full report online at

2 RESPONSIBLE CANADIAN ENERGY (RCE) PROGRAM TABLE OF CONTENTS Program, Vision, Principles, Report People Snapshot of Atlantic Canada Offshore Oil and Gas Industry People Air Water About CAPP...Back Cover Online Links Top Photo: The production field centre for Encana Corporation s Deep Panuke field offshore Nova Scotia. Cover Photo Credits: Top: SBM Offshore Bottom Left to Right: Shell Canada Limited, Hebron Project, Hibernia Management and Development Company, Chevron Canada The RCE Program represents a collective commitment by CAPP s member companies to continuously improve, measure and report on their performance in the areas of people, air, water and land. The measurement, analysis and reporting of information enables industry to show both where it is making progress in improving performance and where more focus is needed to ensure every worker returns home safely each day, to reduce industry s environmental footprint, and to improve the ways in which it engages stakeholders. VISION AND PRINCIPLES CAPP s Board of Governors has endorsed the following Vision and Principles for the Responsible Canadian Energy Program. Our Vision is: We will conduct our business activities in a safe and sustainable manner, balancing social, economic and environmental considerations. The Principles which we will hold each other accountable for and measure ourselves against are: Provide a safe and healthy workplace for our employees, contractors and for the communities in which we work, with a goal to do no harm; Conduct our activities in an environmentally responsible manner; Engage our stakeholders in open and responsive communications; Create opportunities for economic and social benefits in the communities in which we operate, at a local and national level; and, Conduct our business activities with integrity, ensuring all people are treated with dignity, fairness and respect. 2

3 MEASURING PERFORMANCE The RCE Program focuses on four key performance areas: people, air, water and land. CAPP has standard metrics to assess industry s performance in each of these areas. Data on key metrics is gathered on an annual basis from CAPP members, as well as from government and regulators, and reported to illustrate industry s performance. ABOUT THIS REPORT This report highlights the oil and gas industry s activities in the Atlantic Canada offshore and acts as a complement to the 2013 RCE progress report. Based on performance, it outlines how, through continuous improvement, the offshore industry is progressing toward meeting the RCE vision and principles. The report is divided into three sections people, air and water and provides data, information, trends and performance analysis. Examples of leading practices and case studies are presented to show the types of projects, technologies and innovation that are driving industry performance forward. Since it focuses on offshore exploration and production, this update does not discuss land issues in the conventional way, though it does address habitat and species conservation. Data is shown for 2012, except where otherwise noted. Although this report focuses on offshore exploration and production, Atlantic Canada has a small but growing onshore oil and gas industry. For information on key issues related to onshore oil and gas development, such as hydraulic fracturing, view the full RCE report at 3

4 PEOPLE SAFETY Safety is integral to the Atlantic Canada offshore oil and gas industry and the communities in which it works. Employee, contractor and community safety is industry s first priority HIGHLIGHTS One of the ways the industry measures performance is by the Total Recordable Injury Frequency (TRIF) rate. This measure includes lost-time incidents as well as injuries that result in medical treatment. Over the last five years, industry has experienced an absolute reduction in injury frequency, though since 2010 there has been a slight increase in contractor injury frequency. In 2012, the combined rate for employees and contractors was 0.77 incidents per 200,000 hours worked, down about 60 per cent from Industry has experienced an upward shift in the contractor TRIF rate, which has increased from 0.63 to 0.95 since Member companies are working diligently to improve contractor safety by raising safety awareness on the job site and reinforcing the implementation of safety management systems. Operators are focused on ensuring that safety equipment provided to workers is the best available for the offshore environment. The industry has also been working to enhance the safety of helicopter travel through improved training and operating procedures. 4 Photo Credit: Husky Energy Right Photo: A worker participates in a training exercise in the Helicopter Underwater Escape Trainer during basic survival training at the Offshore Safety and Survival Centre, Fisheries and Marine Institute of Memorial University.

5 PEOPLE Atlantic Canada Offshore Atlantic Canada Offshore Total Recordable Total Recordable Injury Frequency Injury Frequency Injuries/200,000 hrs Employee TRIF Contractor TRIF Combined Worker TRIF Source: CAPP RCE data In 2012, member companies in the Atlantic Canada offshore industry reported about 7 million hours worked and 27 recordable injuries for a combined TRIF rate of 0.77 for employees and contractors. OVERVIEW OF PERFORMANCE The offshore industry is guided by comprehensive health and safety plans, which are developed before any offshore activity is approved. The Canada- Nova Scotia and Canada-Newfoundland and Labrador Offshore Petroleum Boards audit company health and safety programs and frequently inspect offshore work locations. The Boards can, and will, shut down operations that are deemed unsafe. The industry s application of health and safety management systems promotes consistency across a range of operating sites and conditions. This consistency helps to mitigate potential for loss from high-risk activities, resulting in lower worker injuries and fatalities. The industry also provides extensive training to ensure employees and Photo Credit: Fisheries and Marine Institute of Memorial University contractors have the competency and skills they need to do their jobs safely. Before working on offshore facilities, all personnel must participate in mandatory orientations and training. Workers repeat this training throughout their careers. In addition, they are required to be familiar with emergency response procedures, which they regularly practise through drills and exercises. Companies operating offshore seek to continually improve safety performance. In recent years, industry focused on enhancing the safety of helicopter travel and emergency equipment for offshore workers. 5

6 PEOPLE CASE STUDIES STRENGTHENING HELICOPTER TRAVEL SAFETY There have been no fatalities associated with the offshore industry since the tragic 2009 helicopter accident offshore Newfoundland and Labrador, which resulted in 17 fatalities. The industry remains vigilant about maintaining high levels of helicopter travel safety, starting with training. Before traveling offshore, workers must undertake a comprehensive, five-day basic survival training program, which provides them with the knowledge and skills to react effectively to an offshore emergency situation. Each individual also receives a safety briefing before every offshore trip to remind them of the proper use of emergency response equipment and procedures. Over the last several years, the industry strengthened helicopter travel safety by: creating a fully equipped search and rescue hangar facility in St. John s to provide rapid emergency service 24 hours a day, seven days a week. modifying the design of regular passenger helicopter fleets to enhance flotation in the event of an emergency landing at sea. introducing an underwater breathing system for use during emergency situations. changing operating procedures for example, crew pairing was introduced to ensure junior pilots are paired with more senior pilots, and safety training and simulations for pilots were increased. enhancing the Helicopter Underwater Escape Trainer (HUET) to closely simulate helicopters used offshore. Through the HUET system, offshore workers learn how to escape from a submerged or partially submerged helicopter in the event of an emergency. 6 Photo Credit: Husky Energy Left Photo: Funded by industry, a new search and rescue facility in St. John s houses a dedicated search and rescue helicopter equipped with state-of-the-art equipment.

7 PEOPLE SIMULATOR TECHNOLOGY ENHANCES LIFEBOAT TRAINING Lifeboat designs for offshore oil and gas operations have improved over the years. Equally important is the training and expertise needed to load and operate these technologically advanced lifeboats, particularly under adverse weather and sea conditions. In response to requests from the offshore industry, a company called Virtual Marine Technology developed a physical training simulator. The simulator places a coxswain the crew member who operates the lifeboat inside one of the fully enclosed lifeboats used by the industry. With authentic controls and an immersive virtual environment, the system takes the coxswain through different training scenarios simulating tough environmental conditions. The idea for the simulators began in the mid-2000s, when Petroleum Research Atlantic Canada, now Petroleum Research Newfoundland & Labrador, called Memorial University in St. John s for help in developing tools to enhance offshore lifeboat training. The university s faculty of engineering and applied science responded by conducting lifeboat-centred simulation research inspired by leading practices from airline pilot training but adapted to the unique requirements of the marine environment. The result is an enclosed cabin lifeboat simulator system that uses lifeboat helm controls and virtual environments to allow lifeboat coxswains and crews to practise launch scenarios that would not be possible using conventional training and drills. Based on successful research, Hibernia Management and Development Company Ltd. installed the lifeboat simulator system on board the Hibernia platform, and it is being considered for use at other offshore facilities. Right Photo: The Atlantic Canada offshore industry is using innovative simulator technology that provides the realistic experience of training in rough weather without the risks that accompany actual lifeboat launch and recovery. Photo Credit: Virtual Marine Technology 7

8 PEOPLE COMMUNITY INVESTMENT Offshore operators make substantial investments in the communities in which they operate, supporting many local initiatives with financial donations and the volunteer efforts of their workers. In this way, they contribute to vibrant prosperous communities and demonstrate their commitment as good corporate citizens HIGHLIGHTS Offshore oil and gas companies invested more than $75 million on research and development, education and training in Atlantic Canada. The offshore industry supported a wide range of community initiatives in the region, including education and scholarships, donations to community groups and sports and recreation. ENCANA SUPPORTS MATH ON OLYMPIAD IN NOVA SCOTIA Math and problem-solving skills go hand in hand in the offshore industry and at the Math On Olympiad, the provincial math championship in Nova Scotia. In May 2013, with Encana s support, 84 students from 12 junior high schools across the province participated in spirited competition at Dalhousie University in Halifax, working in teams to correctly finish math problems as the clock counted down. Earlier in the year, 576 students from 48 schools competed in regional play downs for a chance to be among the finalists at Dalhousie. Encana has supported the Math On Olympiad since its debut in the province in Photo: Students rush to complete math problems during 2013 Math On Olympiad in Nova Scotia. CASE STUDIES Here are some recent examples of industry s community investment successes: 8 Photo Credit: Encana

9 PEOPLE HUSKY ENERGY SPONSORS HEALING GARDEN FOR CANCER PATIENTS Daffodil Place is a home away from home to many individuals who travel to St. John s to receive cancer care. Amenities of home, access to cancer information and support services are offered to residents at the facility. Now with support from Husky Energy, Daffodil Place has added a healing garden to its list of services. The Husky Energy Healing Garden includes walkways, a water feature, numerous plants and shrubs and quiet sitting areas to help ease the stress and pain of going through cancer treatments. On top of the time and energy invested by Husky employees to create the garden, the company also contributed $50,000 to support construction of a vegetable garden and development of nutrition programs. Photo: With support from Husky Energy, Daffodil Place, a health care facility in St. John s, added a healing garden to its services for cancer patients. CHEVRON PARTNERS WITH MEMORIAL UNIVERSITY Through its university partnership program (UPP), Chevron provides universities around the world with student scholarships and grants to grow programs and school resources in a way that helps to develop needed skills and tomorrow s workforce. An example is Memorial University in St. John s. Since forming its partnership with Memorial University in 2008, Chevron Canada invested $2 million in scholarships, contributed to the creation of an engineering design and research lab, and committed $1 million to co-develop both the Chevron Chair in Reservoir Characterization and the Chevron Chair in Petroleum Engineering. The university was selected to join UPP because it is a rich source of talent for Chevron, offers programs relevant to the oil and gas industry and is a key partner in the company s research and development initiatives. Photo: Chevron Canada has contributed $2 million to Memorial University to fund scholarships, bursaries and other education opportunities. Photo Credit: Husky Energy Photo Credit: Chevron Canada 9

10 SNAPSHOT OF ATLANTIC CANADA OFFSHORE OIL AND GAS INDUSTRY YUKON TERRITORY BRITISH COLUMBIA Photo Credit: Prisma Productions ALBERTA CURRENT OPERATIONS NUNAVUT Canada s offshore oil and gas exploration, development and production is focused primarily in the oceans around Newfoundland NORTHWEST and Labrador and Nova Scotia, where TERRITORIES significant quantities of crude oil and natural gas lie in sedimentary basins beneath the ocean floor. East of St. John s, off the coast of Newfoundland and Labrador, there are three offshore oil fields in production: the Hibernia field, the Terra Nova field and the White Rose field. One additional project is being developed offshore Newfoundland and Labrador: the Hebron project is under construction and expected to produce first oil by the end of MANITOBA Southeast of Halifax, off the shores of Nova Scotia, the Sable Offshore Energy Project and the Deep Panuke natural gas project are in production. In addition to producing projects, Atlantic Canada has an active oil and natural gas SASKATCHEWAN exploration industry, with companies exploring offshore in ONTARIO both Newfoundland and Labrador and Nova Scotia. Offshore oil and natural gas projects have distinct attributes that require individual and specific plans for every project related to safety and environmental protection. QUEBEC Top Photo: The Thebaud platform, Sable Offshore Energy Project. 10 Bottom Photo: The West Aquarius drilling rig offshore Newfoundland and Labrador.

11 KEY STATISTICS (2012) 1 NEWFOUNDLAND AND LABRADOR PRINCE EDWARD ISLAND The Atlantic Canada offshore industry s greenhouse gas emissions have gradually decreased over the last five years, due in part to decreasing production. In 2012, the industry emitted 1.6 million tonnes White Rose Hibernia Terra Nova Producers invested more than $2.4 billion in Atlantic Canada offshore operations 2 Crude oil production in Atlantic Canada totalled 200,700 barrels a day (about 15 per cent of Canada s conventional crude oil production and about 21 per cent of the country s light crude production) Deep Panuke NOVA SCOTIA NEW BRUNSWICK Sable Offshore Energy Project The offshore industry paid $2.5 billion to governments in the form of royalties Offshore oil and gas companies invested more than $75 million on research and development, education and training in Atlantic Canada 3 Natural gas production in Atlantic Canada totalled 7.0 million cubic metres a day (that s nearly 2 per cent of Canada s overall natural gas production and enough production annually to heat about 950,000 average-sized homes in Canada for one year) The offshore industry s safety performance improved over the last five years, from a Total Recordable Injury Frequency rate of 1.92 in 2008 to 0.77 in 2012 (The industry, however, has seen a slight increase in the rate in the last three years) The industry directly employed more than 5,600 people in Atlantic Canada Crude Oil Natural Gas Sources: 1 = All numbers are collected by CAPP except where otherwise noted. 2 = Dollars are for capital investments. 3 = Data is collected from the annual benefits reports of producing operators in Nova Scotia and from the Canada- Newfoundland and Labrador Offshore Petroleum Board Annual Report. In addition to dollars invested in research and development, this number includes funding for scholarships, research chairs and fellowships, and education and training programs. 11

12 PEOPLE STATOIL SUPPORTS STUDENTS POISED TO BE THE WAVE OF THE FUTURE Photo Credit: Statoil Canada Through the Marine Advanced Technology Education competition, high school students from Newfoundland and Labrador have a role in the future of underwater robotics technology critical to offshore oil and gas operations. With support from Statoil Canada, as part of the company s Heroes of Tomorrow program, students from across the province demonstrate their skills at designing and building underwater robotics (a remotely operated vehicle, or ROV). The area of focus for the ROV competition changes every year, and for 2013 the students concentrated on ocean observing systems. These systems are designed to deliver important real-time digital data captured on underwater operations. Creating technical reports and presentations to accompany their ROVs, the student competitors get a taste of real-life experience, which helps them to understand more about ocean-related career opportunities in industries like oil and gas. 12 Photo Credit: Prisma Productions Top Left Photo: A student demonstrates his skills at designing a remotely operated vehicle through the Marine Advanced Technology Education competition. Bottom Left Photo: Canadian Geographic Education, a non-profit education organization, is working with CAPP to show Canada s energy story in new, interactive ways. This includes a giant floor map that is being offered as a free teaching resource to engage students in kindergarten to grade 12 in learning more about the energy sector. In October 2013, students had an opportunity to explore the map at the Halifax Regional School Board s Career Fair. Top Right Photo: Members of the Hebron Project team assist with construction at the Petty Harbour Mini Aquarium in Newfoundland and Labrador. Bottom Right Photo: Operators, explorers and supply and service companies participate in Energy Day, a career exploration event for high school students held during Newfoundland and Labrador Oil and Gas Week.

13 PEOPLE HEBRON PROJECT FUNDS PETTY HARBOUR MINI AQUARIUM The Hebron Project donated $100,000 in May 2013 to build an interactive ocean science lab as part of the Petty Harbour Mini Aquarium in Petty Harbour, Newfoundland and Labrador. The aquarium will use the donation to acquire ocean technologies, including high definition video microscopes and underwater video cameras, as well as a state-of-the art exhibit for jellyfish and displays of other local sea life. Located on the wharf of Petty Harbour, the non-profit marine public education centre offers students and other visitors a unique hands-on experience with local marine life. Photo Credit: Hebron Project OIL AND GAS WEEK CONNECTS STUDENTS WITH INDUSTRY CAPP partnered with the Newfoundland & Labrador Oil & Gas Industries Association (Noia), government and the education sector to stage Oil and Gas Week 2013 in St. John s. The February 23 to March 1 program featured education events and initiatives for junior high and high school students, plus an industry food drive and fundraiser for the Community Food Sharing Association. More than 1,200 students participated in the activities, including Energy Day, a one-day career exploration event that gave high school students the opportunity to meet people working in the oil and gas industry. Oil and Gas Week is held annually in Newfoundland and Labrador. Photo Credit: Jennifer Barnable Photography 13

14 AIR Air quality matters to Canadians both in terms of the potential for air contaminants such as nitrogen oxides (NO x ) and sulphur dioxide (SO 2 ) to affect regional air quality, as well as the global impact of greenhouse gas (GHG) emissions. The Atlantic Canada offshore oil and gas industry is working to continuously improve air emissions performance HIGHLIGHTS Due primarily to declining production, total GHG emissions decreased 24 per cent from 2008 levels, while GHG emissions intensity increased from 0.08 to 0.11 tonnes of carbon dioxide (CO 2 ) per cubic metre of oil-equivalent production. The offshore industry s GHG emissions remained a small portion (about 1.5 per cent) of the national oil and gas industry s total GHG emissions. The offshore industry s NO x emissions were about 2 per cent of the national oil and gas industry s total emissions. SO 2 emissions and emissions intensity were negligible due to extremely low levels of naturally occurring sulphur in the product. OVERVIEW OF PERFORMANCE The industry s GHG emissions have gradually decreased over the last five years, due in part to decreasing production. GHG emissions in 2012 totalled 1.6 million tonnes. Since 2008, GHG emissions intensity has risen slightly to 0.11 tonnes of CO 2 per cubic metre of oil-equivalent production, with more energy needed to produce maturing reservoirs. Offshore operators continue to work to improve emissions intensity by investing in research and implementing new technology. NO x emissions from 2008 to 2011 were relatively constant. In 2012, emissions decreased to 4,997 tonnes from 6,544 tonnes in 2011, as a result of maintenance turnarounds and lower production. From 2008 to 2011, NO x emissions intensity also remained relatively flat. In 2012, it was 0.35 tonnes per thousand cubic metres of oil-equivalent production. NO x is a by-product of combustion and is released from engines and boilers used in oil and gas production. SO 2 emissions and emissions intensity remained extremely low. Currently all oil production from Atlantic Canada is sweet, containing only trace amounts of sulphur. In 2012, SO 2 emissions for all offshore production facilities totalled one tonne, and the associated emissions intensity was negligible. 14

15 AIR CASE STUDY NEW GAS RECOVERY SYSTEM REDUCES AIR EMISSIONS FROM TERRA NOVA FPSO Suncor Energy operates the Terra Nova field, located off the coast of Newfoundland and Labrador in the Jeanne d Arc Basin. Recently the company introduced a hydrocarbon blanket gas and recovery system on the Terra Nova floating production, storage and offloading (FPSO) vessel. The new system will significantly reduce the emission of air pollutants, primarily volatile organic compounds (VOCs) and greenhouse gases. In conventional cargo systems, inert gas is used to maintain a positive pressure in the FPSO s storage tanks. During production as cargo tanks are being filled, the mixture of VOC and inert gas is vented into the atmosphere. Installed in 2012 and commissioned in 2013, the new hydrocarbon blanket gas and recovery system on the Terra Nova FPSO blankets the cargo tanks with pure hydrocarbon gas, which is recovered to process during production, effectively eliminating the release of VOCs. The system is intended to operate for the remaining life of the Terra Nova field, so the environmental and economic benefits will be returned many times over. Photo Credit: Suncor Energy 15

16 WATER The oil and gas industry in Atlantic Canada is almost entirely offshore. As a result, the industry s approach to managing environmental impacts differs from onshore operations. For example, in drilling and producing offshore wells, operators use sea water, greatly reducing the need for fresh water. They also focus on safeguarding ocean resources. The industry conducts its operations in Atlantic Canada with a goal of achieving zero spills and minimizing potential impacts on the marine environment and other ocean users HIGHLIGHTS The offshore industry reported the lowest number and volume of oil spills eight incidents totalling 38.8 litres since production began in 1997 off the coast of Newfoundland and Labrador. The industry collectively held a major on-water, full-deployment emergency response exercise involving two vessels and more than 50 participants and crew members. Participants in this exercise included regulators, government officials and representatives from companies exploring and producing offshore Newfoundland and Labrador. In addition to this industry event, every operator typically carries out at least one major spill response exercise a year, plus tabletop office-based exercises covering all forms of emergency response, weekly offshore drills and spill response training. The industry remains committed to furthering research related to marine seismic surveys and potential impacts on marine life. 16 Right Photo: An oil containment boom is deployed during Synergy, an annual on-water spill response exercise organized by offshore operators in Newfoundland and Labrador.

17 WATER SPILLS The industry works diligently to prevent hydrocarbon spills. Offshore operators regularly assess environmental, health and safety performance and test new ways to enhance spill prevention and response. This approach begins with engineering and process controls and well design, continues through drilling and production practices and is supported by specific purpose-built technologies. Drilling rigs and production platforms, for example, are equipped to prevent incidents that can cause spills, using technology such as blowout preventers and specially designed off-loading systems. Although prevention is the focus, operators are also ready to respond, should a spill occur. Offshore operators conduct drills and exercises to test equipment and ensure key personnel and external resources are trained and prepared to respond. ATLANTIC CANADA OFFSHORE SPILLS Number Volume (litres) 4, ,043* 38.8 Source: Canada-Newfoundland and Labrador Offshore Petroleum Board. *In 2011, one ongoing incident was required to be reported regularly over time and, as such, represents 22 of the 49 incidents. The fluid was hydraulic seal oil. All hydrocarbon releases, regardless of size, into the Atlantic Ocean from offshore drilling and production are reported to regulators. The total number of spills for 2012 was eight (one spill of synthetic-based drilling fluid and seven spills of other hydrocarbons), while the total volume of spills was 38.8 litres. Lower production and extensive maintenance during the year contributed to this performance. Photo Credit: Hibernia Management and Development Company 17

18 WATER CASE STUDIES INDUSTRY JOINS SUBSEA WELL INTERVENTION SERVICE As part of overall spill response capability, offshore operators have agreements with spill response organizations to provide support and equipment in the event of a spill. In addition to local spill response organization Eastern Canada Response Corporation, offshore operators have agreements in place to bring in international resources as required, depending on the size and scale of the spill. One such organization is Oil Spill Response Limited (OSRL). Offshore operators have access to OSRL s Subsea Well Intervention Service (SWIS). This service is the result of a global initiative by oil and gas companies to develop intervention equipment that can be deployed around the world in the event of a subsea well control incident. SWIS provides offshore operators with access to capping systems, available in four locations around the world, which enable industry to cap most subsea oil wells in water depths up to 3,000 metres. Other tools that will be accessible through SWIS include a containment toolkit that can bring flowing hydrocarbons from a wellhead to the surface in a safe and controlled way, ready for storage or disposal, if well shut-in is not possible. 18 Right Photo: The Subsea Well Intervention Service is the result of a joint global initiative among oil and gas companies to develop advanced capping and dispersant equipment for use in case of an underwater well control incident. Photo Credit: Subsea Well Intervention Service

19 WATER UNDERSTANDING POTENTIAL IMPACTS OF SEISMIC SURVEYS Seismic surveying is an essential part of exploring for oil and natural gas. In offshore areas, seismic surveys are carried out by slow-moving ships that tow various types of equipment. The surveys are conducted safely with minimal impact on the marine environment through careful planning and oversight. Offshore operators follow rigorous environmental standards set by regulators in Atlantic Canada and are guided by Fisheries and Oceans Canada s Statement of Canadian Practice with respect to the Mitigation of Seismic Sound in the Marine Environment. There are mitigation measures within the Statement of Practice that must be considered in the planning and implementation of seismic surveys. A sensitive issue for the fishing community in Atlantic Canada continues to be the potential effects of marine seismic surveys on fish and other species. The industry supports a number of research projects dedicated to increasing knowledge on the potential impacts of seismic exploration on the marine environment. Through the Environmental Studies Research Fund, the industry has been funding research on seismic effects for many years. The Offshore Energy Research Association of Nova Scotia has also funded studies in recent years to assess the potential effects of seismic activity on snow crab. In Newfoundland and Labrador, the industry, through Petroleum Research Newfoundland & Labrador, has been conducting seismic research and is currently also funding a study to better understand the environmental impacts of seismic activity on shrimp. For more information, see and EXPLORING THE USE OF DISPERSANTS Dispersants are specialized chemicals used to break up and disperse marine oil spills. Removing oil from the surface helps to prevent oil from reaching coastal areas and reduces the impact of a spill on seabirds and the marine environment. They are commonly used in modern offshore jurisdictions and are considered a useful tool, particularly when other spill response mechanisms like mechanical recovery are challenged due to sea states and weather conditions. Operators in Canada s offshore industry are studying and reviewing the use of dispersants to further improve spill response capability. CAPP has formed a task group to determine whether the use of dispersants in a spill has a net environmental benefit. Operators are discussing this issue with government, regulators and other stakeholders, like the fishing industry, and are planning further consultation. Right Photo: Shell Canada used the WG Magellan, a seismic vessel with a unique X-bow hull, to collect seismic data offshore Nova Scotia in Photo Credit: Shell Canada Limited 19

20 ABOUT THE CANADIAN ASSOCIATION OF PETROLEUM PRODUCERS The Canadian Association of Petroleum Producers (CAPP) represents companies, large and small, that explore for, develop and produce natural gas and crude oil throughout Canada. CAPP s member companies produce about 90 per cent of Canada s natural gas and crude oil production. CAPP s associate members provide a wide range of services that support the upstream crude oil and natural gas industry. Together CAPP s members and associate members are an important part of a national industry with revenues of about $110 billion a year. CAPP s mission is to enhance the economic sustainability of the Canadian upstream petroleum industry in a safe and environmentally and socially responsible manner, through constructive engagement and communication with governments, the public and stakeholders in the communities in which we operate. Visit the CAPP website at Connect with CAPP: View the full report online at Contact details: 2100, Avenue SW Calgary, Alberta, Canada T2P 3N9 Phone: Fax: , 275 Slater Street Ottawa, Ontario, Canada K1P 5H9 Phone: Fax: , 235 Water Street St. John s, Newfoundland and Labrador, Canada A1C 1B6 Phone: Fax: , 1321 Blanshard Street Victoria, British Columbia, Canada V8W 0B5 Phone: