Development of Operational Standards for Arctic Oil and Gas Operations

Transcription

1 Development of Operational Standards for Arctic Oil and Gas Operations Stephen Green, Provincial Aerospace, St. Johns, NFLD Paul Steenhof, CSA Group, Ottawa, Ontario Brian Walsh, Provincial Aerospace, St. Johns, NFLD ISO TC67/SC8

2 The Arctic region is rich geologically as well as geographically, underlain by ancient igneous, metamorphic, and sedimentary rock formations. Potentially vast resources of hydrocarbons are also contained in the Arctic, although due its vast and remote terrain, the exact amount remains an area of investigation. There are 19 geological basins making up the Arctic region. A 2008 United States Geological Survey estimates that areas north of the Arctic Circle have 90 billion barrels of undiscovered and 44 billion barrels of natural gas liquids This represents 13% of the undiscovered oil, 22% of undiscovered natural gas & 20% of the NGL (natural gas liquids) resources for the world. According to the NEB ~ 38% of Canada s remaining marketable resources of natural gas and 35% of remaining light crude are located in Northern Canada.

3 Harsh climate Limited existing infrastructure Gas-on-gas competition Exceptionally long project lead times Spill containment/spill recovery Overlapping/competing economic sovereignty claims Country-specific environmental laws/regulations

4 The ISO Arctic standards being developed through ISO TC 67/SC8 will help address a gap in standards and best practices that currently exists; A gap which will only become more important as Northern oil and gas development accelerates. Although there are many standards that are applicable for southern locals, there are many unique factors that impact oil and gas operators and also service providers in the Arctic One of the most significant of the reasons underlying the need for Arctic specific standards is that of the Arctic s physical environment and remote location, particularly when considering the presence of ice, cold temperatures, and often quickly variable operating conditions. For example, when considering the potentially disastrous impacts of ice on Arctic oil and gas operations. If ice packs were to impact on the operational integrity of drill rigs or impact on oil transporting vessels, any spill would likely wreak havoc on highly sensitive ecosystems. As such, having not only adequate ice management plans and procedures but also robust emergency response systems in place is critical.

5 Arctic standards will be used by regulatory authorities whose jurisdictions include Arctic environments and in efforts by governments to modernize relevant regulations. The ability to reference such standards in regulations or guidelines, such as the Certificate of Fitness Regulations and the Installation Regulations, could play an important role in the modernization of such regulations, provided that the international standards are aligned with regional interests and regional values. Standards have a built in change process that is easier to update than regulations. This will be even more valuable in the Arctic context given the changes that are expected to occur in the Arctic with respect to changing climatic and environmental conditions, changes in the accessibility of northern resources, and the likely subsequent increase in resource development activity. The development process also provides industry participants and interests with a decision-making role in respect of the ultimate content of the standards, thereby effectively giving industry a voice in terms of instruments that can be referenced by regulation.

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7 In 2012 a subcommittee was established under the International Organization of Standards (ISO) for Oil & Gas offshore structures (i.e. TC67). ISO TC67/SC8 has been mandated to develop standards for oil & gas operations in cold climate regions specifically; ensuring safe and effective Arctic oil and operations, and; also ensuring protection of the environment and people working, and living, in these regions 10 countries are participating; Canada; Russia; Great Britain; France; Italy; Netherlands; Singapore Kazakhstan; and The United States Six different working groups have been organized with a country leading each work area; Ice Management (Canada); Escape, Evacuation and Rescue (Russia); Environmental Monitoring (Russia); Arctic Materials (Norway); Physical Environment for Arctic Operations (Norway), and; Working Environment (Norway). In each working group (other country lead) there is an internationally recognized Canadian Expert included, in addition each expert has numerous other Canadian Experts providing valuable input and review.

8 In 2010, ISO completed the International Standard 19906, Petroleum and Natural Gas Industries Arctic Offshore Structures; This standard covers the safe design, construction, installation and operation of structures in Arctic and sub-arctic sea ice and glacial ice conditions. The document includes one section on Ice Management as a means of reducing ice actions on offshore structures, either bottom founded or floating and moored and/or dynamically positioned. Subsequently, a study known as the Barents 2020 Project, identified a number of items that warranted greater attention in the Ice Management section: Data Collection. Oceanological, hydrological and geological survey information supply. Ice conditions, monitoring and forecasting. Ice management. Quality standards and IM training companies. Ice management training. Specific requirements. In part to address a gap in standards, a subcommittee was established under ISO TC 67 in 2013 to develop standards for Arctic oil and gas operations. Six work items were proposed as part of the SC8 program, including a proposal by Canada on a Work Item for Ice Management.

9 The Canadian pioneering and development work, and many years of successful ice management operations in Canada and elsewhere, in both sea and glacial ice, places Canada in a good position to Lead this project. The Ice Management Standard will be Performance Based and require the same high level of safety demanded of Arctic Offshore Structures in ISO The ice management working group has over 50 active international expert contributors, working for private companies, universities and government departments across 8 countries. The Convenor of WG4 Ice Management is Robin Browne, Chevron Arctic Center, and the Secretary to WG4 is Paul Steenhof of CSA. The work on an Ice Management standard is being undertaken according to 6 distinct task areas: Task 0 Task 1 Task 2 Task 3 Task 4 Task 5 Strategy and Philosophy Data Collection and Met-Ocean Information Requirements Monitoring and Forecasting Physical Ice Management Threat Assessment and Reporting, Safety Philosophy Quality Requirements of IM Training Companies. Ice Management Training Specific Requirements

10 To ensure the objectives, requirements and guidelines for emergency response measures in arctic regions are identified. Applicable to fixed offshore structures, floating production units, storage and off-take systems, hydrocarbon processing and refinery plants This International Standard does not apply specifically to escape evacuation and rescue for mobile offshore units. Where applicable, this standard may also be used for mobile offshore units Intended that this International Standard be utilized to harmonize development of emergency preparedness equipment and procedures in existing and future standards International Standard is not intended for the purpose of certification This International Standard does not cover security aspects, except from some implications for the emergency preparedness analyses. Users of this International Standard should note that while observing its requirements, they should, at the same time, ensure compliance with such statutory requirements, rules and regulations as may be applicable to the individual installation or plant concerned.

11 Provide guidelines for development and execution of EM in oil and gas offshore production in the Arctic region. The standard shall consider the production specifications, such as: remoteness from the onshore base underdevelopment or absolute unavailability of any infrastructure daylight shortage hyperborean temperature and weather conditions sea ice vulnerability of marine and cost environment EM of the Arctic fields requires a special approach, focusing on such objects as marine environment (marine surface, water column), sea bed, biota, atmosphere, glaciers. EM provides a quantitative and qualitative assessment of emissions and discharges, state of environmental components, which is to monitor both production-related environmental impact and baseline dynamics, as well as to immediately identify changes resultant from exploration of offshore hydrocarbon fields. The standard shall provide practical recommendations on ensuring the adequate information support of management decisions, aimed at securing sustainable development of the Arctic region.

12 Members: Canada (2), France (2), Italy (6), Netherlands (3), Norway (2), UK (1) and Russia (4) Purpose: Define requirements for materials and fabrication processes used for the construction of petroleum and natural gas facilities located in Arctic regions and other regions with a cold climate. These requirements will cover for the delivery of the materials supplied by manufacturers and requirements for fabrication Scope: The work will focus on material properties that are significantly affected by the operating conditions in Arctic areas, including operation at low temperatures and the particular loading conditions related to interaction with ice and snow. Particular attention will be paid to the following items: Fracture toughness and acceptance criteria Tensile properties temperature sensitivity Fatigue resistance at low temperature Corrosion resistance and corrosion protection Sour service Maintenance and repairs

13 Scope: The standard being developed aims to specify requirements and provide recommendations and guidance for the collection, analysis and presentation of relevant physical environmental data for (offshore) activities of the petroleum and natural gas industries in Arctic and cold regions. The standard being developed aims to contain requirements for the entire project life-cycle, including design and operations : Purpose: To identify all relevant data needed to ensure that Arctic operations can be carried out in a safe manner. It should be noted that industrial operations in the Arctic Region are vulnerable to rapid changes in meteorological and oceanographic conditions. Consolidate description of, and requirements to, the collection, analysis and presentation of data for the physical environment in one place. Ensure that all data required for operations are given due consideration. Ensure that all relevant data are properly collected and analysed. Sections include: Water Depth, Tides and Storm Surges (Lead: Russia) Wind (Lead: Russia) Waves (Lead: Russia) Ocean Currents (Lead: Russia) Temperature (Lead: Russia) Visibility (Lead: Russia) Sea Ice (Lead: Canada) Icebergs (Lead: Canada) Snow and Ice Accretion (Lead: Norway) Seabed Considerations (Lead: Canada)

14 To develop a new ISO standard using expertise from countries with interests and experience from work in arctic conditions, including the following Arctic specific aspects: Work in cold climate: health aspects of work in extreme climate. Winterization issues to improve health and working environment conditions in cold climate. Special ergonomic, chemical, noise and vibration challenges in these conditions. Stress management: work situations in extreme climate Training and competence: working in the Arctic

15 CSA has organized a technical committee of Canadian stakeholders in the form of a Harmonized Canadian Standards Mirror Committee (SMC) that work to advance Canada s interests at the ISO table while also ensuring the best international standards are developed. The harmonized mirror committee will also work to adopt or adapt the international standards into Canada as national standards, as appropriate. The Canadian SMC has over 70 members from industry (oil and gas producers and from the services sector), government, academia, and the consulting sector. Approximately 35 Canadians are international experts on ISO working groups as well. Canada is also the lead of the ISO working group on Ice Management with a total of 14 Canadian experts contributing to this WG, with the Convenor being from Chevron, a global leader in Arctic oil and gas operations.

16 Involvement in the international standards development process will help Canada, as well as the other countries involved, ensure both knowledge transfer and that international standards are locally relevant. Involvement will help ensure that northern oil and gas exploration and production is undertaken responsibly across the circumpolar Arctic. Another key reason for the suite of standards being developed through ISO TC 67/SC8 is that these will help protect the northern environment and the people that inhabit the north. By focusing attention on operational processes and procedures, this will help ensure safe, effective and efficient development occurs in the North. It is also critical in order to reduce operational risks as well as for improving the safety of workers active in the Arctic. Developing performance based operational standards will thereby also help oil and gas operators, service providers, as well as related regulatory authorities gain the social license to operate in the North. Operational standards could also help drive continued technological and procedural improvements as related to oil and gas exploration and development due to the sharing of best practices and given that they will be performance based. The standards will also have local and national relevance.

17 Canada is playing an important and decisive role in the development of the Arctic oil and gas operational standards. We have established a large technical committee of Canadian stakeholders with expertise across the full spectrum of topics included within the scope of ISO TC 67 SC8. These members are actively involved on each working group under SC8. The large size of this committee as well as it being so active reflects the expertise contained within Canadian companies, regulatory authorities, and research institutions in regards to the Arctic and the sustainable development of the region. The involvement of the Canadian Harmonized Mirror Committee will thereby help ensure that Canada s interests are brought forward and encapsulated within the standards being developed.

18 Thank You