HSOH 4100 - International Technical Certificate in Oil and Gas Operational Safety PDF

HSOH 4100 - International Technical Certificate in Oil and Gas Operational Safety Instructor Name – Dr. Ravi Rangarajan Room # 19.2.21 E-mail – [email protected] Phone – 4495 2661 Technical Certificate - Oil &Gas Operational Safety Element 1...

HSOH 4100 - International Technical Certificate in Oil and Gas Operational Safety Instructor Name – Dr. Ravi Rangarajan Room # 19.2.21 E-mail – [email protected] Phone – 4495 2661 Technical Certificate - Oil &Gas Operational Safety Element 1 1. Purpose of and procedures for investigating incidents the oil and gas industries 2. How the lessons learnt can be used to improve health and safety in the oil and gas industries 3. Hazards inherent in oil and gas arising from the extraction, storage, and processing of raw materials and products 4. Risk management techniques used in the oil and gas industries 5. Purpose and content of an organization’s documented evidence to provide a convincing and valid argument that a system is adequately safe in the oil and gas industries Element 2 1. Principles of assessing and managing contractors 2. Tools, standards, measurement, competency requirements and controls applicable to Process Safety Management (PSM) in the oil and gas industries 3. Role and purpose of a permit-to-work system 4. Key principles of safe shift handover 5. Safe plant operation and maintenance of hydrocarbon containing equipment and processes 6. Hazards, risks and controls to ensure safe start up and shut down of hydrocarbon containing equipment and processes. Technical Certificate - Oil &Gas Operational Safety Element 3 1. Types of failure modes that may lead to loss of containment from hydrocarbons 2. Controls available to maintain safety critical equipment 3. Hazards, risks and controls available for safe containment of hydrocarbons offshore and onshore 4. Fire hazards, risks and controls relating to hydrocarbons 5. Hazards, risks and controls available for operating boilers and furnaces. Element 4 1. Control measures to minimise the effects of fire and explosion in the oil and gas industries 2. Principles, procedures and resources for effective emergency response. Element 5 1. Main hazards of and suitable controls for marine transport in the oil and gas industries 2. Main hazards of and suitable controls for land transport in the oil and gas industries.  Element 1: Health, Safety and Environmental Management in Context HSE Management in Oil & Gas Industry Learning From Incidents Why investigate accidents and near-misses? It may happen again and next time the outcome may be worse. We must understand why it happened so corrective actions can be taken to prevent a recurrence. Near-misses are an indicator of accident potential. Often the only thing that separates a near-miss from an accident is luck – so regard each near-miss as a “free warning”. Should we apply the same level of investigation for each (i.e. near miss and accidents)? May be a waste of time and effort – examine each incident for potential. Allows a decision to be made as to whether more detailed investigation is required. This idea is sometimes formalized into an organization's incident investigation procedure. HSE Management in Oil & Gas Industry Learning From Incidents Reasons for carrying out an incident investigation: To identify the immediate and root/underlying causes of the incident To identify corrective actions To record the facts of the incident For legal reasons For claims management For staff morale For disciplinary purposes For data-gathering purposes HSE Management in Oil & Gas Industry Learning From Incidents Types of Incident: Near-miss an unplanned, event with the potential to cause injury, ill-health, loss or damage but did not, in fact, do so. Accident an unplanned, unwanted event which leads to injury, damage or loss Injury accident: personal injury (e.g. a cut to the hand) Damage-only accident: the unplanned, unwanted event leads to equipment or property damage, or loss of materials, etc. (e.g. a wall is knocked own by a vehicle) Must investigate ALL of the above, not just those Dangerous occurrence specified event that has been we expect to lead to reported to the relevant authority by statute law (e.g. major fatalities or major injury. gas release). Ill-health a disease or medical condition that is directly attributable to work (e.g. dermatitis from exposure to oils and greases) HSE Management in Oil & Gas Industry Learning From Incidents Before investigation begins there are two important issues to consider: Safety of the scene – is the area safe to approach? Is immediate action needed to eliminate danger even before casualties are attended to? Casualty care – is anyone injured? Do they require first-aid treatment or hospitalization? Remember that uninjured bystanders may be suffering from shock. What type and level of investigation is needed? Should it be: A relatively simple investigation of an incident that caused only minor outcomes and did not have the potential for serious outcomes? A more in-depth and thorough investigation of an incident with serious outcomes, or potentially serious outcomes? HSE Management in Oil & Gas Industry Learning From Incidents FIRST: Treat Injured, Secure/Make Safe Basic Investigation Procedures Step 1: Gather facts. Step 2: Analyze to determine immediate and root/underlying causes. Step 3: Identify suitable corrective measures. Step 4: Plan the remedial actions. What does a good investigation look like? SOME KEY TERMS TO CONSIDER: HSE Management in Oil & Gas Industry Learning From Incidents Immediate / Direct Causes: The agent of injury or ill health (the blade, the substance, the dust, Hydrocarbon releases HCR etc…). Underlying Causes: Unsafe acts and unsafe conditions (the guard removed, the ventilation switched off, The safety valve wasn’t close, etc…) Root Causes: The failure from which all other failings grow (failure to identify training needs and assess competence, low priority given to risk assessment, etc…) The root cause or causes of the incident is often the management failure from which all other failures stem. This may be due to there being no system in place to deal with the trailing cables in Oil and Gas Offshore Rig or Platform, which may be a common situation throughout the workplace. Most if not all, incidents can be prevented and the purpose of incident investigations is to discover the immediate, underlying and root causes in order to take actions to prevent a recurrence. HSE Management in Oil & Gas Industry Learning From Incidents Step 1: Gathering Information Secure the scene. Identify and interview witnesses. Collect factual information. Check documentation. HSE Management in Oil & Gas Industry Learning From Incidents Step 2: Analyzing Information Draw conclusions about the immediate and root/underlying causes. Immediate causes Underlying or root causes E.g. a worker slips on a puddle of E.g. the failure to adequately oil spilt on the floor – immediate supervise workers or provide causes are the slip hazard (unsafe appropriate PPE. condition) and the worker walking through it (unsafe act). Immediate causes: The unsafe conditions and unsafe acts that gave rise to the event itself. Underlying/root causes: The things that lie behind the immediate causes (often failures in the management systems, safety concerns and could be human personnel factor). If this action is taken, will it prevent the same accident from happening in exactly the same way at this location? HSE Management in Oil & Gas Industry Learning From Incidents Step 3: Identify Suitable Control Measures Remedy immediate and root/underlying causes. Control measures must remedy both the immediate and underlying/root causes. When identifying control measures, need to consider: If this action is taken, will it prevent the same accident from happening in exactly the same way at this location? If this action is taken, will it prevent similar accidents happening at similar locations? If the answer is ‘no’ then other controls must be identified. What are the other controls???? / depends on the case study and incident situation HSE Management in Oil & Gas Industry Learning From Incidents Step 4: Plan the Remedial Actions To remedy immediate and underlying/root causes What must be done to fix the problems? What must be done as an interim measure? Recommended action Priority Timescale Responsible person Introduce induction Medium 1 month Warehouse manager of training for all new Oil & Gas Company drivers Introduce new High 1 week Maintenance Manager inspection & maintenance system HSE Management in Oil & Gas Industry Learning From Incidents Cost of the remedial actions Remedial Costs Ongoing Costs Buying personal protective Carrying out regular inspections equipment Replacing PPE as it wears, etc. Providing adequate storage Maintaining the storage facility, Putting in place inspection and with ongoing training for operators maintenance programmes There may be interim control measures that can be introduced in the short to medium term to allow work to proceed. For Example: Hearing protection might be introduced as a short term control measure until maintenance of piece of machinery that is producing excessive noise has been completed. HSE Management in Oil & Gas Industry Learning From Incidents Incidents happened in History of Oil & Gas Operations Bhopal (1984) – Toxic-gas release - 2700 dead; 50,000 seriously affected; 1,000,000 others less seriously affected. ‘One night in Bhopal 2004’: http://www.youtube.com/watch?v=rJg19W8x_Ls https://www.youtube.com/watch?v=uFizDOkXLYQ Piper Alpha (1988) – Explosion and fire – 67 dead Esso Longford (1998) – Gas leak, explosion and fires Buncefield (2005) – Oil-storage depot explosions and fire - 40 injuries; widespread damage. Deepwater Horizon (2010) – Explosion, fire and oil spill - 11 dead; major oil spill and environmental damage. http://www.nytimes.com/interactive/2010/12/26/us/20101226-deepwater-horizon-rig-video- diagram.html HSE Management in Oil & Gas Industry Learning From Incidents Safety culture Shared attitudes and beliefs and a way of behaving. Good safety culture: High regard for health and safety Good perception of risk shared by all workers All adopting the same positive attitudes Ownership (taking responsibility for H&S).  HSOH 4100 - International Technical Certificate in Oil and Gas Operational Safety Instructor Name – Dr. Ravi Rangarajan Room # 19.2.21 E-mail – [email protected] Phone – 4495 2661  Element 1: Health, Safety and Environmental Management in Context HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Flash Point – the lowest temperature at which sufficient vapour is given off to ‘flash’ when a source of ignition is applied. Vapour Density – mass per unit volume of vapour. i.e. its weight. It is measured relative to hydrogen Vapour Pressure – the pressure exerted by a vapour in equilibrium with its liquid (or solid) state. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Flammable substances are in three classifications, according to their flash point ranges. The higher the flash point, the safer it is. ‘Combustible’ simply means it can burn. As we have seen, ‘flammable’ involves vapours which can ignite. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas As well as three classifications of flammability, there are upper and lower limits to take into account. These are: Lower Flammable Limit (LFL) – where there is insufficient fuel to sustain combustion because it has become over-diluted with air/oxygen Upper Flammable Limit (UFL) – where there is too much fuel for combustion to occur (not enough air/oxygen). In relation to explosions, these are known as the upper and lower explosive limits. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas In pure oxygen or oxygen-enriched air, the limits become wider than they are for air alone, so it is more likely that a mixture of gas or vapour will be within the flammable range and fires will be more difficult to put out. If the air or oxygen is diluted (‘inerted’) with an inert gas (N2 or CO2) the limits of flammability become narrower until they converge, so that there is not a flammable range. Dilution with inert gas would typically reduce oxygen content to 8-10% (the same limit below which an atmosphere would be irrespirable and unable to support life). HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Explosive atmosphere situations Explosions have occurred under the following circumstances: During hot work, i.e. welding, grinding Where flames have occurred Where metal tools have created sparks Where electrical equipment has created sparks Where static electricity has created sparks Where there is gas/air mixture within flammable limits, especially in a confined space, there will be an explosion danger. A chance ignition may initiate a reaction, which will propagate throughout the mixture. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Toxicity Ability of a chemical molecule to cause injury after it has reached a susceptible site in the body. It also applies to the quantitative study of the body’s response to toxic substances. Chemicals are classified according to their toxicity (health effects), which applies to all their forms (liquids, solids, gas, etc.) UN Globally Harmonized labels - Applied worldwide from 2015 Interaction of Chemicals???? HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Toxicity Category Substances and preparations which... Very toxic in very small quantities can cause death or acute or chronic damage to health when inhaled, swallowed or absorbed through the skin. Toxic in small quantities can cause death or acute or chronic damage to health when inhaled, swallowed or absorbed through the skin. Harmful can cause death, acute or chronic damage to health when inhaled, swallowed or absorbed through the skin. Corrosive may, on contact with living tissues, destroy them. Irritant through immediate, prolonged or repeated contact with the skin or mucous membrane, can cause inflammation. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Toxicity Category Substances or preparations which, if they are inhaled or ingested or penetrate the skin... Sensitizing are capable of eliciting a reaction by hyper-sensitisation (on further exposure, characteristic adverse effects are produced). May be sensitising if inhaled or through skin contact. Carcinogenic may induce cancer or increase its incidence. Mutagenic may induce heritable genetic defects or increase their incidence. Toxic for may induce or increase the incidence of non-heritable reproduction adverse effects in progeny and/or an impair male or female reproductive functions or capacity. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Gases Hydrogen – (catalyst regenerator in petroleum refining) Highly flammable/explosive (explosive range: 4.9 – 75%) Colorless and odorless Low density Low ignition energy Not toxic but asphyxiant in high concentrations Reacts vigorously with oxidants HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Gases Methane – (natural gas) – also called methyl hydride, marsh gas and firedamp. Used in manufacture of hydrocarbons and is main fuel constituent of natural gas. Highly flammable/explosive (explosive range: 5-15%) Low density (explosive mixtures can form below low ceilings, etc.) Easily ignited Simple asphyxiant HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Gases LPG (Liquefied Petroleum Gas) as Propane/Butane – (fuel) Used as a feedstock for chemical petroleum manufacture and common fuel gas for heating, cooking, etc. Easily liquefied gas and highly flammable Colorless and odorless Denser than air, collecting at low level Explosive mixtures form, often readily flashing back to the source of a leak Easily ignited Simple asphyxiant - inhalation can lead to drowsiness Reacts explosively with chlorine HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Gases LNG (Liquefied Natural Gas) – (fuel) Liquefied methane (North Sea gas has 93.7% methane), used as a fuel for heating, cooking, etc. and used in manufacture of acetylene, ethanol, hydrogen and carbon black. Liquid gas, easily vaporizes Highly flammable/explosive gas Colourless, odourless and easily ignited Simple asphyxiant but non-toxic Contact with liquefied form will cause frostbite (very cold, boiling at -161℃) Volume increases 630 times on vaporisation HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Gases Nitrogen - 78% of Earth’s atmosphere is nitrogen Commonly used in manufacture of ammonia, and then used as a fertiliser and to produce nitric acid. Non-flammable gas Colourless, odourless and tasteless Used to ‘inert’ flammable and explosive atmospheres (vessels) Used as ‘cover’ layer of gas on top of flammable and explosive substances Used to freeze pipes and pipeline purging Nitrogen in the blood decreases oxygen-carrying capacity of the blood HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Gases Hydrogen Sulphide H2S - often from natural sources such as swamps, ponds and lagoons and present in some subsurface formations (released when drilling). Flammable gas, silent killer, 10 ppm is fatal Colourless, with intense smell of rotten eggs Denser than air, accumulates at low levels Can travel long distances and flash back when spark is applied Toxic, irritates eyes, skin and respiratory tract and can lead to respiratory paralysis HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Gases Oxygen - Naturally present (~ 19 - 20 % of air) and will support and encourage combustion. Often used offshore to detect and quantify flow of water around boreholes Colourless and odourless Non-flammable but supports combustion Oxygen enrichment can lead to fires and explosions Reacts violently with oils and greases HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products (Additives) & Control measures Anti-foaming / Anti-wetting agents Micro-biocides Corrosion preventatives Refrigerants Water and steam Mercaptans Drilling muds Sludges, including LSA sludges HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Anti-foaming agents - Chemical additives that reduce and hinder the formation of foam in industrial process liquids. Used in various industrial processes and products, including wastewater treatment, oil drilling, hydraulics, cutting oils, etc. Prime purpose is to increase speed and reduce other problems with surface foam and entrapped or entrained air in fluid systems. Insoluble in the foaming medium and have surface-active properties. Rupture air bubbles and breakdown surface foam, forming them into a mass and causing larger bubbles to go to the surface of the fluid more quickly. They come in many chemical bases such as oil, powder, water, silicone and glycol. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Anti-foaming agents – Common Processes where foam or trapped air is a problem Cavitation, reducing pump efficiency (and creating noise) Reducing the capacity of pumps and storage tanks Bacterial growth in the fluids Dirt and debris formation and surface flotation Reducing the effectiveness of the fluids in use Longer downtime for cleaning and maintenance Clogging of filtration equipment Shortened fluid replenishment times and added costs HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Anti-wetting agents – Agents that are generally coatings intended to place a waterproof barrier (in this case a hydrophobic surface) between the surface of a material (generally metal and wood) and water, such as the sea and wet weather. Waterproof barrier coatings. Protection against water ingress in harsh environments Even when totally immersed in sea water, good anti-wetting agents will create such a super-hydrophobic surface on structures and components that little, if any water can get through to the surface. Some protection against corrosion HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Corrosion preventatives - Additives for industrial fluids to delay or prevent corrosion within fuel systems and process pipelines. They are also used on structures and system components in the form of anti-wetting agents (previously discussed), which provide a waterproof coating. Often, sacrificial coatings or materials (such as zinc) are used, but have a limited life. Refrigerants, are substances used in a heat cycle usually including a phase-change from a gas to a liquid. Propane is a common refrigerant, as CFCs are being replaced. e.g. propane, ammonia, sulphur dioxide and methane. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Micro-biocides, i.e. anti-bacterial treatments - Added to industrial fluids, usually cooling and process water, especially in standing supplies such as ponds, lagoons, reservoirs, etc. and static water storage facilities Oil-system biocides – To control growth of aerobic and anaerobic bacteria in oil production and water-injection systems Water-injection system biocides – To maintain control of bacteria in water-injection systems, especially where de-aerator towers are used Fuel-preserving biocides - Are broad-spectrum biocide and fungicidal treatments to be added to hydrocarbon fuel systems, such as kerosene, diesel and petrol (gasoline). They deter fungal growth in water that is present in all fuels. Without treatment, fuel and additives will degrade, organic acids can be produced that corrode fuel systems Water-system biocides – To treat all types of saltwater and freshwater systems and process brines to kill bacterial growths. Used for salt and fresh-water systems. Special biocides – To counteract sulphate-reducing bacteria in drilling and process platform structures and pipelines. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Water and Steam - Used in system cooling, lubrication (drilling muds), fire deluge systems, advanced hydrocarbon recovery methods (Fracking). Hazards Pressure injection of fluids into the body Severe steam burns (including of lungs) Asphyxiation Safe handling Special procedures Water and heat-proof clothing HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Mercaptans (a group of sulphur-containing chemicals) Used as an odorising agent placed in natural gas to make it detectable Methyl and ethyl mercaptan have high odour detectability as they are more volatile H2S and mercaptans removed in oil refineries and natural-gas processing plants Lead to headaches, nausea, coughing, irritation of the lungs and eyes HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Mercaptans (a group of sulphur-containing chemicals) Very high concentrations - breathing difficulties, cyanosis (turning blue), loss of consciousness and muscle spasms Appropriate respiratory protective equipment (RPE) is to be worn - H2S > 10 ppm – deadly Oil refineries and natural-gas processing plants have processes to remove H2S and mercaptans (known as ‘sweeteners’, as they remove the sour, foul odours). HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Sludges (drilling wastes) Low Specific Activity (LSA) sludges may contain naturally occurring radioactive materials (NORM), e.g. uranium, thorium, radium, strontium Radiation monitoring in settling-out areas Removal of LSA sludge/scale from production equipment (specialist dispersal chemicals, or high-pressure water flushing) Protection of personnel (from contact and inhalation) – may need restricted, controlled areas and classified workers for high radiation levels Pyrophoric* iron is often found in sludge- special control measures to dispose of it. All personnel working with LSA scale must protect themselves and others from contact with radioactive materials. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Sludges (drilling wastes) LSA sludge is classified as a radioactive substance and its handling and disposal could present occupational health and hygiene risks. In oil and gas production, LSA scale is typically found in: The production well Safety valves Well heads Production manifolds Inside separators Water separators Operators must develop and put in place effective procedures that recognise these hazards, protect workers from harmful exposure, minimise interference with the environment and ensure that national and international regulations are followed. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Drilling muds (Drilling fluids) - Used in deep holes in oil and gas extraction: Lubricant (reduces friction and heat and reduces the chances of friction-related complications) Acts as a carrier for the materials through which drilling takes place Different muds for different circumstances (based on their viscosity and density) Muds can be aqueous (water)-based, non- aqueous (oil)-based, or gaseous fluids and may contain mineral or be synthetic in nature. HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Drilling muds (Drilling fluids) - Used in deep holes in oil and gas extraction: Oil-based muds often use diesel fuel as their base, which gives better lubrication than aqueous muds, cleans easier (within the core) and has less viscosity. Gaseous-based muds often used compressed air alone or air/water mixtures, sometimes having polymer- type chemicals added (such as anti- foaming agents) Synthetic drilling-fluids are more often used offshore as they have the properties of oil-based mud but with less toxicity HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Hazards: Those associated with the type and form the agent takes (liquid, powder, etc.) Depends on inherent chemical hazard, physical form and route of entry (inhalation, ingestion and skin contact) into the body Risk Controls: Hazardous-substance risk assessment Automated dosing instead of hand-dosing Safe storage and handling procedures Suitable PPE (chemical-resistant clothing, goggles, RPE) HSE Management in Oil & Gas Industry Hazards Inherent in Oil and Gas Properties and Hazards of Associated Products and Control measures Hazards: Contact with additives (e.g. diesel oil and fumes, anti- foaming agents) Fire/explosion (natural gases and flammable materials that can be returned to the drilling work areas). Risk Controls: Fire safety precautions Suitable PPE  HSOH 4100 - International Technical Certificate in Oil and Gas Operational Safety Instructor Name – Dr. Ravi Rangarajan Room # 19.2.21 E-mail – [email protected] Phone – 4495 2661 HSE Management in Oil & Gas Industry Risk Management Techniques The Purposes and Uses of Risk Assessment Techniques The 5 –Steps approach to risk assessment is: HSE Management in Oil & Gas Industry Risk Management Techniques Hazard identification – the CORE of risk assessment. The main stages are: HSE Management in Oil & Gas Industry Risk Management Techniques The UK Offshore Installations Regulations 2005 require that: All hazards with the potential to cause a major accident have been identified; All major accident risks have been evaluated; and Measures have been, or will be, taken to control the major-accident risks to ensure compliance with the law – that is, a “compliance demonstration”. Because of the higher levels of risk in O&G industries, we need to go further than the Five Steps approach and consider qualitative and quantified risk assessment. Qualitative (Q) Using qualitative methods to determine frequency and severity Semi-quantitative (SQ) Where frequency and severity are approximately quantified within ranges Quantified risk assessment (QRA) Where full quantification is demonstrated HSE Management in Oil & Gas Industry Risk Management Techniques Qualitative vs Quantitative Risk Assessment What’s the difference? HSE Management in Oil & Gas Industry Risk Management Techniques Determining the Right Method of Risk Assessment Qualitative (Q) Use this method if it is adequate for deciding on appropriate controls. Record the findings and recommendations. If not adequate, then use Semi-Quantitative (SQ) Use this if it is adequate for deciding on appropriate controls. Record findings and recommendations. If not adequate, first increase the depth of modelling of the risk assessment and see if it now meets requirements. If it does, record the findings and recommendations. If not adequate, then use Quantified Risk Assessment (QRA) If adequate, use QRA. If not, increase depth of the risk assessment model until it answers all questions. Record findings and recommendations HSE Management in Oil & Gas Industry Risk Management Techniques Determining the Right Method of Risk Assessment UK HSE Offshore Information Sheet No. 3/ 2006 HSE Management in Oil & Gas Industry Risk Management Techniques The Starting Point Approach: Large integrated platforms, or nodal platforms in the North Sea – combination of complexity and risk levels likely to need QRA. Less complex installations and those with smaller workforces, e.g. drilling installations, normally unattended installations (NUIs) – SQ could be suitable. Where clear standards/benchmarks for design and risk reduction - Q is often sufficient. For some stages of the lifecycle, where hazard identification can lead directly to specification of good-practice risk-reduction measures - Q or SQ may be adequate The level of detail will increase as the model moves from Q, through SQ to QRA. HSE Management in Oil & Gas Industry Risk Management Techniques Risk Estimation and Ranking of Risks: The likelihood (or frequency) of an adverse event, together with its consequences (severity) are estimated. A matrix can be used (either 3 X 3 – or, better, 5 X 5) to indicate the levels of risk. The importance of existing control measures should not be forgotten – may be better to modify existing controls rather than introduce new ones. Different aspects of a single risk can be affected by different situations. The UK HSE cites the consideration of which stage of a scenario dominates its risk. For instance, in an emergency situation: would fatalities be immediate, be caused by escalation of the event, or would they occur during escape, evacuation and rescue? HSE Management in Oil & Gas Industry Risk Management Techniques Risk management does what it says – manages risks (not just assesses them) Know your risks and what you should be doing about them Plan, prioritise, implement risk controls Risk Management Make sure risk controls remain effective Review and learn HSE Management in Oil & Gas Industry Risk Management Techniques UK HSE guidance document HSG65 (2013) – Managing for Health and Safety PLAN DO CHECK ACT The POPMAR system POLICY ORGANIZING PLANNING & IMPLEMENTATION MEASURING AUDIT REVIEW HSE Management in Oil & Gas Industry Risk Management Techniques Systems approach - Managing Hazards and Risks at each stage The real ‘management of risk’ falls within the planning and implementing stage of the PDCA cycle. Risk assessment and the development and implementation of risk controls should be applied in the project stage, from conception, design and start-up. Adequate precautions must be provided to control the process risks (‘risk controls’) Consideration should be given to the three stages within the risk control system, shown by Input- Process-Output HSE Management in Oil & Gas Industry Risk Management Techniques Risk control systems (RCS) of INPUTS (covering design, selection, installation, etc.): RCS needed for: Examples PHYSICAL RESOURCES Rigs, safety-critical equipment, plant and substances, chemicals safety HUMAN RESOURCES Recruitment/selection of staff and suitable contractors INFORMATION Management information, H&S laws and standards to be followed in O&G, development of positive health and safety culture HSE Management in Oil & Gas Industry Risk Management Techniques RISK CONTROL of PROCESS The hazards here are not necessarily hazards of design but hazards created by the workforce, their equipment, and how it is used, and hazards associated with oil and gas processing. Risk control systems here will need to deal with the four main areas of risk: Area of Process Risk Examples Production workplace Field, rig, facilities, support systems, access, welfare facilities Plant & Substances Oil/gas drilling, pumping, storage, transport Procedures Shifts, job design, the way work is done People Leadership, competence and placement of workers, training Don’t forget the ‘irregular’ occurrences, too, such as breakdowns and emergencies. Those giving rise to serious or imminent danger need particularly robust risk controls. HSE Management in Oil & Gas Industry Risk Management Techniques Reducing Risks to ALARP ALARP – As Low As Reasonably Practicable – covers risk at some levels of uncertainty. Unacceptable risk – risk cannot be justified at this level except in extraordinary circumstances (intolerable). Tolerable Region At the higher risk end, risk may be undertaken only if a benefit is desired, and where risk reduction is impractical, i.e. grossly disproportionate to the benefits gained. ALL risks should be reduced to as low as reasonably practicable At lower risk end, risk is tolerable if cost to reduce it and, in some cases, cost-benefit would outweigh the benefits. analysis may be needed to Acceptable risk – where it is necessary to determine the appropriate level of demonstrate risk remains this low, there is no need controls for detailed working to demonstrate ALARP. At the lower end, this is negligible risk (tolerable). HSE Management in Oil & Gas Industry Risk Management Techniques Reducing Risks to ALARP ALL risks should be reduced to as low as reasonably practicable and, in some cases, cost-benefit analysis may be needed to determine the appropriate level of controls HSE Management in Oil & Gas Industry Risk Management Techniques Inherently Safe Process Design and Safety Standards Inherently-safe and risk-based design concepts, and engineering codes and good practice, are the foundations for onshore and offshore operational safety. Inherently-safer designs - designs where the design engineers use a variety of techniques to achieve risk reduction through design (the “design-it-out” principle). https://youtu.be/h4ZgvD4FjJ8 HSE Management in Oil & Gas Industry Risk Management Techniques Industry-Related Process Safety Standards Promote concepts of inherently-safe and risk-based design i.e. ‘design it out’ Inherently-safer design concepts are recognised by safety professionals for reducing risks at the design stage. Design-it-Out principles Examples Hazard elimination Discontinue, substitute (non-hazardous) Consequence reduction Substitution (less hazardous), reduced (Severity) inventory, spill containment, separation/isolation, reducing exposure Likelihood Reduction Simplify, clarify, redundant systems, (Frequency) ignition-source removal, reduce chances of adverse events happening HSE Management in Oil & Gas Industry Risk Management Techniques Hazard Elimination - get rid of the hazards as a first priority: Eliminate use of a hazardous material. Substitute with a less hazardous material. Discontinue the operation. Must be aware of all chemicals and hazards material safety data safety sheets (MSDS) HSE Management in Oil & Gas Industry Risk Management Techniques Consequence (Severity) reduction - find a less hazardous solution to the same design objective: Reduce quantities of hazardous materials. Contain and evacuate spillages. Separate the operation from critical areas to reduce exposure to adjacent operations and personnel. HSE Management in Oil & Gas Industry Risk Management Techniques Likelihood reduction - reduce the probability of a hazardous event happening: Reduce the potential for human error through simplicity of design and adequate training of personnel. Control ignition sources. Provide redundancy and alarms. Provide safety emergency response plan HSE Management in Oil & Gas Industry Risk Management Techniques HAZOP – Hazard Operatability Hazard and Operability study (HAZOP) is an advanced risk assessment It is a very thorough analysis of a process to identify ways in which the process could deviate from its design intention, in order that controls can be developed. Done as a multidisciplinary team of designers, engineers, safety professionals, operators in the area and other specialists. The HAZOP is a ‘bottom-up’ technique, which uses prompts about what could cause the process to lose control, or to deviate from the design intent. A series of guidewords (such as ‘no’, ‘less’, ‘more’) are agreed upfront and combined with each parameter to form a ‘deviation’. For the parameter ‘flow’ you would have deviations ‘no flow’, ‘less flow’, ‘more flow’, etc. HSE Management in Oil & Gas Industry Risk Management Techniques HAZOP – Hazard Operatability The HAZOP findings are recorded in a tabular format and retained as evidence of the study. Where HAZOP identifies a significant risk, it will go on to specify the actions to take to bring the risk down to an acceptable level. HSE Management in Oil & Gas Industry Risk Management Techniques HAZID – Hazard Identification Hazard identification (HAZID) study is a structured, team-based approach to identify hazards, their potential consequences, and requirements for risk reduction before changes are made to existing processes and plant. This is sometimes carried out in a walk-through, but can be carried out at a desk using software. HAZID study considers the process safety hazards as well as the non-process hazards such as transport and manual handling. These hazards are then used to feed the risk assessment process. HAZID is a top-down study which is structured by keywords, based on the type of hazards you want to avoid, eg toxic release, over temperature, overpressure, fire, explosion, etc, applied to a whole flowsheet at a time, to work out if and how that hazard could be realized in the process you are studying. HSE Management in Oil & Gas Industry Risk Management Techniques HAZID – Hazard Identification While HAZOP is cause-driven, HAZID is consequence-driven. HAZID is designed to identify the mechanisms by which safety objectives may be violated. These may be hardware, such as mechanical failure, or software, such as management systems or procedures Drawings often used in a HAZID study are escape route drawings, process flow diagrams and P&ID that give the location of emergency shut-down valves, relief or blow down valves, deluge valves and fire extinguishers. HAZID is useful When considering changes to existing plant layout, the assessor often walking through the facility to map the hazards and their locations. Where practical applications can’t be used, computer systems can be used instead. HSE Management in Oil & Gas Industry Risk Management Techniques FMEA – Failure Mode Effect Analysis Used to brainstorm, How a component or system might fail The potential effects/consequences of those failures Existing safeguards against those failure modes and whether more should be in place. HSE Management in Oil & Gas Industry Risk Management Techniques FMEA – Failure Mode Effect Analysis Failure Mode - ways in which the system can fail; Effect - what will happen as a result of the failure; Severity - how severe the impact is to the user/customer; Cause - possible causes of the failure mode; Occurrence - how often is this likely to happen; Detection mode - what controls are currently in place to spot the defect before it happens, or detect it if it occurs; Detection - the probability that the failure will reach the user without being detected; HSE Management in Oil & Gas Industry Risk Management Techniques FMEA – Failure Mode Effect Analysis Risk Priority Number (RPN) - severity × occurrence × detection = RPN; Recommended actions -What action is recommended, by whom and by when HSE Management in Oil & Gas Industry Risk Management Techniques Event Tree Analysis: Event trees are used to evaluate the mitigation measures that will operate after an event. The process starts with the top event (the ‘disaster’) and works forward in time to see what protective measures will operate. Each control will either be a ‘success’ or a ‘failure’ and, in this way, branches are built up on the tree. HSE Management in Oil & Gas Industry Risk Management Techniques What If Analysis: In ‘what-if’ analysis of risk realisation, the assessor asks, “what if”, and then digs deeper to look at the true potential of an incident. HSE Management in Oil & Gas Industry Risk Management Techniques Hazard Realization Some risk assessment models use the concept of ‘hazard realization’ and ‘barriers’ rather than the more simplistic hazards, risks and control measures. In Risk realization, the assessor asks “what if” and then explores the issue further to look at the true potential of an incident In Hazard realization, the assessor is required to act as a ‘prophet of doom’ and look at worst-case scenarios, but for good reason. If these potentials are understood, the controls can be implemented in the form of ‘barriers’ Prevention Barrier Mitigation Barrier Main Pathway Barrier Critical Barrier HSE Management in Oil & Gas Industry Risk Management Techniques Hazard Realization – Bow Tie Model Based on hazard realization, ‘barriers’ can be identified and placed between the initiator (the triggering event) and the top event to either prevent it from happening or to mitigate the outcome. These can be termed, ‘lines of defense’ (LOD) or ‘layers of protection’ (LOP) LOP refers to actions that if implemented, could prevent the initiating event from resulting in a release or harm, or mitigating the consequences should it occur. HSE Management in Oil & Gas Industry Risk Management Techniques Hazard Realization – Bow Tie Model If all the LOPs are drawn together, you arrive at a ‘Bow Tie’ shaped diagram. HSE Management in Oil & Gas Industry Risk Management Techniques Barrier Models The barrier modelling concept considers that actions or ‘barriers’ can be used to prevent hazards If there are multiple barriers in place, as in the Swiss cheese model, then there will only be a failure if the defect occurs in each layer and these are all aligned at the same time (i.e. the holes in the Swiss cheese line) When the holes line up there is an accident It is most effective if the management of risk is initially considered at the concept and design stage, where changes can be made relatively easily. HSE Management in Oil & Gas Industry Risk Management Techniques The Use of Modelling (software) for Risk Identification Thermal radiation models Blast-zone models Modelling (Oil & Gas Software) can estimate e.g. The evaporation rate of flammable liquids. The dispersal of leaking vapours/gases, including the likely concentrations at given points on and off-site, taking account of vapour density and any propensity to settle in low-lying areas. The likely types, effects and scale of any fires and explosions - the rate of pressure rise, maximum pressure, intensity of thermal radiation (for different fire types) , blast zones and other parameters can be estimated HSE Management in Oil & Gas Industry Risk Management Techniques The Use of Modelling (software) for Risk Identification Help determine good separation between hazardous and vulnerable areas. This will also show: The value of minimization of equipment Liquid hydrocarbon inventory in process equipment Vulnerability through selection of type of equipment. Exposure of people through process- related complexity and maintenance. HSE Management in Oil & Gas Industry Organization’s Documented Evidence Typical Examples in the UK: Safety Case (Offshore): It may be an offence to operate in some waters without a safety case being submitted to national authorities (HSE in the UK). A single duty- holder has the duty to submit the safety case for each type of installation - usually the operator of a production installation and the owner of a non-production installation. Safety Report (Onshore): To demonstrate to regulator how you will meet regulatory duties, i.e. must demonstrate safety measures are in place to prevent major accidents and limit consequences should they occur Notification must take place at the early design stage, and when an installation is to be moved to another location. It will also be needed for a non-production installation (e.g. drilling rig) being converted for production use HSE Management in Oil & Gas Industry Organization’s Documented Evidence Organization's are required to produce evidence that give a convincing and valid argument that a system is adequately safe. This documented evidence will include safety cases and safety reports, which can be used to meet both legal requirements and best practice. SAFETY CASES - In some countries, all production operators must have a safety case in place, which clearly identifies all installations covered by it, production installation which shows: Operator (name and address) Design notification Consultation with safety representatives Description/diagrams of structures Description of plant (equipment, machinery, appliances) Location plan Potential meteorological and oceanographic conditions Sea-bed properties Maximum number of persons on board Maximum persons using accommodation on board Particulars of plant and arrangements for well operations Description of pipelines with major accident potential HSE Management in Oil & Gas Industry Organization’s Documented Evidence Organization's are required to produce evidence that give a convincing and valid argument that a system is adequately safe. This documented evidence will include safety cases and safety reports, which can be used to meet both legal requirements and best practice. SAFETY REPORTS - Safety reports make ‘demonstrations’. Information therein should relate to: The safety measures are in place for major accident prevention Description of the installation and environment Hazard identification, consequence assessment, risk analysis and prevention methods Measures of prevention and intervention to limit the consequences of major accident HSE Management in Oil & Gas Industry Organization’s Documented Evidence The Typical Content of Safety Cases and Safety Reports Identify major accident hazards – use risk assessments, bow-tie diagrams, design calculations, etc. Each hazard scenario 1 Threats to safety and their causes 2 Barriers to prevent those threats 3 Consequences of each threat were it to be realised 4 Recovery measures required 5 Factors that could escalate the hazard, or its consequences 6 HSE Management in Oil & Gas Industry Organization’s Documented Evidence The Typical Content of Safety Cases and Safety Reports Evaluate major accident risks and measures taken (or to be taken). For higher risks, assess them individually. Assess occupied and unoccupied locations as separate criteria Identify each hazard/incident scenario 1 Assess frequency criteria 2 Assess consequence criteria 3 Assess EER facilities and requirements 4 Identify and assess risk control measures against ALARP 5 HSE Management in Oil & Gas Industry Organization’s Documented Evidence Typical Legal Requirements/Good Practice: Notification required to regulator at design stage (or when moved, or change of use). Regulators require safety case/safety report submission for each installation type. Installation cannot operate until SC/SR accepted by regulator (regulator will inspect installation). Acceptance – the enforcing authority will ‘accept’ a safety case (or a revision) when duty-holders demonstrate and describe specified matters to their satisfaction. HSE Management in Oil & Gas Industry Organization’s Documented Evidence Purpose of Documented Evidence: To ensure that duty-holders design/operate their facilities safely, i.e. measures are in place to identify potential for, prevent and mitigate major accidents. Like the safety case, a safety report contributes to preventing major accidents on sites containing specified amounts of hazardous substances, normally onshore. The safety report demonstrates you have measures in place to prevent major accidents and limit consequences to people and the environment Importantly, it shows you have used a systematic process to arrive at the risk controls, showing the depth to which you have gone to develop them. It shows you can correct any shortcomings.