Impacts of the Gulf Oil Spill Series Center for Strategic and International Studies

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Moris Davis
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1 Impacts of the Gulf Oil Spill Series Center for Strategic and International Studies Alby Modiano, President, U.S. Oil and Gas Association Member, Joint Industry Task Force Governing Board

2 BOEM and Industry have Shared Objectives Make improvements to reduce risk and increase environmental protections so a tragedy like the Deepwater Horizon never happens again Return to deepwater drilling in the Gulf of Mexico

increased oil spill response capability Industry has heard the message loud and clear Spill Response

3 DOI/BOEMRE s Clear, Consistent Direction Improvement needed in three areas before drilling will be allowed: Prevention of another blowout Demonstrate increased intervention capability Demonstrate increased oil spill response capability Industry has heard the message loud and clear Spill Response Capability Resume Safe Drilling Operations Upgraded Industry Drilling Standards Well Containment and Intervention Capability

4 Energy Industry Response Created four Joint Industry Task Forces to attack these issues Prevention Operating Procedures Task Force (Chairman John Peters, Chevron) Equipment Task Force (Chairman Alan Summers, Diamond Offshore Drilling) Intervention Subsea Intervention and Containment Task Force (Chairman Charlie Williams, Shell) Spill Response Oil Spill Response Task Force (Co-Chairmen Jay Collins, Oceaneering, Keith Robson, Marathon)

5 What is a Joint Industry Task Force? Method to bring together a broad group of industry experts to identify and agree on recommendations for both best practices and new practices JITF recommendations to BOEMRE intended to be a benefit as BOEMRE moves forward in issuing regulations and Notices to Lessees (NTLs) to improve prevention, intervention and spill response Over 200 people from more than 100 companies, large and small, engaged

6 Progress to Date Prevention May submittal from Equipment and Operating Procedures JITFs as input to DOI s 30-day safety report Issued API Recommended Practice on Cementing Developed a Well Construction Interface Document to align safety programs, and sent to BOEM for comments Developing a new API Recommended Practice on Well Construction Intervention Announced the planned formation of the Marine Well Containment Company Issued September report of the Subsea Intervention and Containment JITF Spill Response Summary of preliminary lessons learned Issued September report of the Oil Spill Response JITF

7 Future Work Planned Prevention Issue final Well Construction Interface Document after BOEM review Issue API Well Construction Recommended Practice (4Q10) Issue final reports of the Equipment and Operating Procedures JITFs (2011) Intervention Secure equipment used on Macondo for immediate use Develop consensus on approach to meet the requirements of NTL 06 Move forward with near-term recommendations contained in the Subsea Intervention and Containment JITF September report Issue final report of the Subsea Intervention and Containment JITF (2011) Spill Response Move forward with near-term recommendations contained in the interim report Revise Regional Oil Spill Response Plans to meet new requirements Start longer-term R&D efforts contained in Oil Spill Response JITF September report Issue final report of the Oil Spill Response JITF (2011)

8 Operating Procedures Task Presenter Force Logo Operating Procedures Associated with Drilling and Completing Deepwater Wells Focus on: Mechanical Loads, Cementing Practices, Barriers and Well Displacement Addressing Health, Safety & Environment Case Over 70 Participants; Over 25 Organizations

9 Offshore Equipment Task Presenter Force Logo Reviewing Current BOP Equipment Designs, Testing Protocols, Regulations and Data Secondary BOP Control Systems BOP Testing and Test Data Remotely Operated Vehicles Addressing Health, Safety & Environment Case Over 60 Participants; Over 30 Organizations

10 Offshore Equipment Task Force Workgroups Shearing Workgroup Work on having the industry share all shearing data Equipment OEM s are checking on storing and maintaining the information on their company websites for easy access by the industry ROV Workgroup Work on ROV unit standards for GOM that are reasonable for current technology Acoustic Workgroup Investigate Acoustic reliability, history, learnings from Macondo, etc.

11 Subsea Well Control and Containment Task Force Addressing subsea intervention and containment on a well following a BOP failure or failure allowing flow outside of the casing at the wellhead. Over 30 participants; Over 20 organizations

12 Sub Groups Subsea Well Control and Containment Task Force Well Containment at the Seafloor Sealing Connection to the Well or Seafloor Top Kill Procedures & Methods Existing Equipment Modification Intervention and Containment Within the Subsea Well Relief Wells Dynamic Kill Direct Mechanical Intervention inside the Well o Subsea Snubbing; Coil Tubing; Packers/Mechanical Barriers; Reactant Pills Subsea Collection and Surface Processing & Storage Well Production Capture Systems o o With Sealing to the Well With No Sealing directly to Well o Dispersed Flow from the seafloor 12

13 Subsea Well Control and Containment Task Force Recommendations focused on 5 areas: Well Containment at the Seafloor Intervention and Containment within the Subsea Well Subsea Collection and Surface Processing and Storage Continuing R&D Relief Wells 13

14 Oil Spill Response Task Force Addressing the following areas: Oil spill response plans Oil sensing and tracking Dispersant use and application In situ burning Mechanical recovery capabilities Shoreline protection and cleanup Alternative response technologies Over 60 participants; Over 30 organizations

15 Summary Significant progress made to improve prevention, intervention and spill response Early recommendations were included in the DOI s 30-day safety report, included in NTL 05, and contained in BOEM s recently-released interim final rule All operators and drilling contractors are subject to and must comply with these new, higher standards We are committed to making further progress

16 Conclusion It is time to resume deepwater drilling in the Gulf of Mexico and put thousands of people back to work, exploring for America s own energy resources Lifting the drilling suspension is a good step The next step is to accelerate the issuance of drilling permits

New Generation of Deepwater BOP Stacks. Dominique Allegre CAMERON Paris, October 23rd 2013

New Generation of Deepwater BOP Stacks Dominique Allegre CAMERON Paris, October 23rd 2013 Agenda: Evolution of Standards API Standard 53 RP 17W New Equipment & Technology Developments: Shearing Technology