Lloyd’s Register Energy - Drilling Drilling Integrity Services Alan Macfarlane LRED Training Academy Senior Trainer / Surveyor October 2013 Integrating ModuSpec and WEST Engineering Services to advance excellence in drilling safety, integrity and performance Lloyd’s Register Energy - Drilling Agenda • • Hazardous areas • Why we need them • The gas we expect • Protection Two protection types that are known to be abused • Exp Pressurisation • Exd Explosion Proof • Risk = Likelyhood x Severity? • Recap • The hidden danger and the unseen risk Lloyd’s Register Energy - Drilling Hazardous areas Hazardous areas are those areas where there is a risk (continuous or intermittent) of the presence of a flammable atmosphere arising from drilling or well-testing operations. Lloyd’s Register Energy - Drilling Hazardous areas Why we need them We drill for Hydrocarbons We hope to find them We are expecting them Lloyd’s Register Energy - Drilling Hazardous areas Why we need them We drill for Hydrocarbons We hope to find them We are expecting them Where are they expected on the rig? The mud circuit shows the flow Lloyd’s Register Energy - Drilling Hazardous areas Why we need them TO PROTECT OUR ASSET The asset has 4 components: • The steelwork • The people • The peoples’ knowledge / experience • The reputation Lloyd’s Register Energy - Drilling Hazardous areas The asset The steelwork Lloyd’s Register Energy - Drilling Hazardous areas The asset The people Lloyd’s Register Energy - Drilling Hazardous areas The asset The peoples’ knowledge Lloyd’s Register Energy - Drilling Hazardous areas The asset The reputation Lloyd’s Register Energy - Drilling Hazardous areas The gas we expect This table shows US gas composition Natural gas is 90+% Methane Lloyd’s Register Energy - Drilling Hazardous areas:The gas we expect With Natural gas being 90+% Methane. The asset is designed to protect against Methane. Drilling is lucky; we only have 1 flammable gas to consider. Refineries and chemical plants need to consider the gas / flammable vapor and then decide the equipment protection standard. Drilling gas is Methane. Lloyd’s Register Energy - Drilling Hazardous areas “Oh they are North Sea Standards” Methane burns in the North Sea Lloyd’s Register Energy - Drilling Hazardous areas Texas Methane burns in Texas Lloyd’s Register Energy - Drilling Hazardous areas Yes: Everywhere In The World Lloyd’s Register Energy - Drilling Hazardous areas METHANE BURNS AND EXPLODES, AT THE SAME TEMPERATURE AND MIXTURE EVERYWHERE Lloyd’s Register Energy - Drilling Hazardous areas Protection The Areas we need to Protection Lloyd’s Register Energy - Drilling Hazardous areas Protection Remove the fuel? Remove the heat? Take away the oxygen? Lloyd’s Register Energy - Drilling Hazardous areas Protection • separate the flammable atmosphere from any hot surface • reduce possibility of spark or heat • contain any ignition of a flammable atmosphere inside the enclosure • reduce power of the spark to a point it has insufficient power to ignite the flammable atmosphere Lloyd’s Register Energy - Drilling Hazardous areas Protection The methods available Exd Exe Exp Exi Exq Lloyd’s Register Energy - Drilling The hidden danger and the unseen risk Concentrate on two • Exd • Exp Why ? Historically we see too many faults with these two Lloyd’s Register Energy - Drilling Two protection types Exp - Pressurisation The system is only safe once purged and remaining at a pressure above the outside pressure. An alarm needs to be fitted for loss of pressure. Separate the gas from the hot components Break the fire triangle by separation. Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling 3 months later Lloyd’s Register Energy - Drilling Two protection types Exd Explosion Proof An Explosion IS Allowed INSIDE the enclosure. Maintained Flamepaths All bolts secured NO ignition OUTSIDE Lloyd’s Register Energy - Drilling Two protection types Exd Explosion Proof Exd contains the explosion A pipe flange contains the pressure A pressure test on a pipe A drip on a pipe is seen Any comparison. Lloyd’s Register Energy - Drilling Two protection types Exd Explosion Proof A Pipe flange With a missing / loose bolt A Problem? No ? Mud Drip Drip Drip It can be seen Bucket Lloyd’s Register Energy - Drilling Two protection types Exd Explosion Proof A pipe flange contains the pressure A Exd contains the explosion A pressure test on a pipe Check the flamepath and bolts A drip on a pipe can be seen Gas getting in unseen AND The equipment still working Count the bolts Count the bolts that are secure It IS still working Is it SAFE? Lloyd’s Register Energy - Drilling Some time later Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Not a Cartoon! Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Lloyd’s Register Energy - Drilling Cartoon? NO Reality? Lloyd’s Register Energy - Drilling The hidden danger The driller is a villain Smoking on the floor! The electrician is a Hero For keeping the rig drilling, working fine Lloyd’s Register Energy - Drilling Risk Smoking is a flame It can ignite gas only when smoking is occurring Time: Only when smoking. Severity: 5 Likelihood: 1 RISK 5 Lloyd’s Register Energy - Drilling Risk Electrical enclosure with sparking /arcing devices and no pressure protection will ignite gas. Time :Constantly Severity 5 Likelihood 4 RISK 20 Lloyd’s Register Energy - Drilling The hidden danger Is the Driller still a Villain? By smoking on the floor! Is the Electrician still a Hero? For keeping the rig drilling working fine but in a dangerous way • 24 hrs a day • 7 days a week • 52 Weeks a year The classic 24-7 but unseen? Lloyd’s Register Energy - Drilling The hidden danger The Pressure gauge In full view of everyone. Green is good Red is danger Now who do you point the finger at? Lloyd’s Register Energy - Drilling Risk Exd enclosure Missing bolts and damaged flamepath Will ignite gas OUTSIDE. It is still working Time: Constantly Severity: 5 Likelihood: 4 RISK 20 Lloyd’s Register Energy - Drilling RISK Your asset is protected? The equipment we install is good quality! The equipment is fully tested / certified! The system is designed is by qualified people? The installation is by highly trained and competent people? Lloyd’s Register Energy - Drilling RISK It should be remembered: It is the engineer and the electrician who make things safe. Not pieces of paper and certificates. Lloyd’s Register Energy - Drilling The Hidden Danger A short introduction to the hidden dangers of Ex equipment What was first thought of as a major danger ? What was thought to be safe? Before I recap Any questions? Lloyd’s Register Energy - Drilling RECAP Working is not the same as Safe Exp needs to have the alarm tested and any pressure gauge visually checked Exd needs all bolts in and secure. Lack or poor maintenance will give a false sense of security Ex equipment is Not Fit and forget Lloyd’s Register Energy - Drilling RECAP Working is not the same as Safe Maintenance personnel need training to keep YOUR asset Safe Some of the Ex equipment gives you an impression of safety. Thank you Lloyd’s Register Energy - Drilling Our mission Lloyd’s Register is a global organisation with a mission to protect life and property and advance transportation and engineering education and research. Our work helps to ensure that our clients’ assets and processes are safe, responsible and sustainable. It touches many aspects of people’s daily lives, from the ships sustaining world trade to the nuclear power plants generating energy for homes and workplaces to the safety of the food they eat. With our commitment to safety and innovation we will continue to play an important role as the world adapts to meet tomorrow’s challenges. This is the task of Lloyd’s Register … because life matters. Lloyd’s Register Energy - Drilling Our governance • From 2 July 2012, new structure to improve our business performance and increase our contribution to society • New parent, Lloyd’s Register Foundation, a registered charity concerned with safety of life and promoting education • Lloyd’s Register Group Limited now heads operating group, 100% shares owned by Lloyd’s Register Foundation • No external shareholders / non-profit distributing • Lloyd’s Register Foundation compliant with UK Charities Act Lloyd’s Register Energy - Drilling The Group at a glance • 7,900 employees at offices in 240 cities and towns covering all parts of the world • We celebrated our 250 year anniversary in 2010 • Four business divisions: • Marine • Energy • Transportation • Management Systems (LRQA) • Three regions: Asia, EMEA (Europe, Middle East and Africa) and Americas • 2011/12 turnover £893m (US$1.44bn) Lloyd’s Register Energy - Drilling The Group at a glance: office locations Lloyd’s Register Energy - Drilling Facts about us … New Southampton and Singapore Group technology centres will be cornerstones of our global research and development network Lloyd’s Register is classing the world’s largest LNG as fuel application to date – the 56,000 gt Viking Grace We class a marketleading 45% of the global cruise fleet 56% reduction in our lost time incident frequency rate over three years 80 percent of the global offshore rigs have been inspected by ModuSpec With new Group member, WEST Engineering Services, we are the premier independent risk management organisation supporting the global offshore drilling industry In 2011, we verified over 153 million tonnes of CO2 under the EU Emissions Trading Scheme LRQA appointed chair of the Independent International Organisation for Certification (IIOC), the global certification trade body Lloyd’s Register Energy - Drilling Structure GROUP STRATEGY Common t hemes: Saf et y; risk; CSR; environment ; business assurance; sust ainabilit y; human f act ors, et c. ENERGY Oil & gas upst ream Pow er generat ion TRANSPORTATION Drilling M arine Oil & gas dow nst ream M ANAGEM ENT SYSTEM S Land t ransport at ion Port s Lloyd’s Register Energy - Drilling Marine Lloyd’s Register Energy - Drilling Marine We are dedicated to supporting innovation in shipping We are a leading provider of marine classification services around the world, helping to ensure that internationally recognised quality standards are maintained throughout the life of a vessel from construction to decommissioning. But we provide much more than traditional classification surveying services. There is an increasing need for the provision of sophisticated risk management and support to shipowners and ship managers. We provide management systems, fuel oil quality testing, environmental services, vetting and training products and services to support our marine clients. Lloyd’s Register Energy - Drilling Facts about Marine… In 2011 we classed 413 new built vessels with a total carrying capacity of 20,264,810 deadweight tonnage and an overall length of 65,643m We class a market-leading 45% of the global cruise fleet 100 years ago the first diesel-engine merchant ship, the Selandia, entered service. Today we are researching the new fuels of the future as the shipping industry looks to reduce emissions and environmental impact. The phrase 'A1', which has passed into common usage meaning 'first rate - the very best', originates from its use as the highest classification awarded to ships by Lloyd's Register. Lloyd’s Register Energy - Drilling Energy Lloyd’s Register Energy - Drilling Energy In a challenging business environment, safety, risk and technical assurance is crucial We are a leading independent provider of risk management services to the energy sector and work to help improve our clients’ quality, safety, environmental and business performance. Our technical experts and risk engineers evaluate the integrity of plant and processes, and focus on delivering practical advice. We give stakeholders confidence they are effectively addressing today’s economic, legislative and corporate responsibilities. Lloyd’s Register Energy - Drilling Facts about Energy… We are providing competency assessment projects for Transocean’s entire deepwater fleet of 67 rigs across the world helping to ensure their premier deepwater offshore exploration is safe and sustainable. We have been working with power plant operators and upstream companies across all steps of the Carbon, Capture and Storage process, advising developers on safety, riskmitigation and asset-integrity issues. Our aim is to provide packaged support to stakeholders on meeting safety, quality and environmental requirements. We are Asia’s premier ASME Authorised Inspection Agency providing advisory and inspection services to manufacturers who need to manufacture pressure equipment locally or globally to the American Society of Mechanical Engineers standards. Scandpower completes around 200 CFD simulations of fires/explosions every day and around 1,000 safety studies every year thus making the workplaces safer for a large number of companies around the world. 80 percent of the global offshore rigs have been inspected by ModuSpec to increase client's operational performance and safety of many drilling operations across the globe. Lloyd’s Register Energy - Drilling Transportation Lloyd’s Register Energy - Drilling Transportation Rail expertise you can trust The work of our Transportation business is primarily focused on the rail industry and in the provision of expert advice and assurance services aimed squarely at improving the safety, quality and performance of rail systems across the world. We support a wide range of organisations in this sector – operators, manufacturers, maintenance companies, infrastructure managers, investors and regulators – for whom shortfalls in quality can result in punishing financial and reputational consequences, significant impacts on surrounding communities and even risk to safety. Lloyd’s Register Energy - Drilling Facts about Transportation… Gotcha – our trackside monitoring system – has been installed across the Dutch rail network and has helped both train operators and track managers reduce maintenance costs and extend asset life cycles by up to 25% We are providing system engineering services for one of the largest rolling stock manufacturers in China, providing the confidence required for export to a range of international markets We provided the required independent safety assessment for the detailed design, construction and test operations for the Dubai Metro – the world’s longest driverless metro Our work with a leading freight operator led to an award winning design for transporting biomass on the UK rail network, enabling our client to grow from zero to moving more than 500,000 tonnes of biomass in just 12 months Lloyd’s Register Energy - Drilling Management Systems (LRQA) Lloyd’s Register Energy - Drilling Management Systems (LRQA) Robust assessment helps deliver tangible business benefits LRQA is the world’s leading provider of independent assessment services including certification, validation, verification and training across a broad spectrum of standards and schemes, with recognition from over 50 accreditation bodies. We introduced LRQA Business Assurance to the certification market in 2004. This initiative had significant influence across the industry, extending the focus beyond the certificate to an assessment approach linked to strategic objectives. Lloyd’s Register Energy - Drilling Facts about Management Systems… Dow Brasil relies on LRQA Business Assurance to ensure the continual improvement of their internal processes and systems, as well to protect their corporate reputation. In 2010, we verified 150m tonnes of carbon under the EU Emissions Trading Scheme (EUETS). LRQA Business Assurance has helped DB Schenker strengthen their supply chain security, safeguarding the company's interests Cargill sees LRQA Business Assurance as a trusted, independent thirdparty that provides confidence to stakeholders that Cargill is delivering on their commitment to the customer. Over the past 12 years, LRQA Business Assurance has delivered helped Tyco Electronics improve their overall performance, reduce their risk and deliver measurable effi ciencies throughout their business. Working together with LRQA Business Assurance, Bangkok Industrial Gas has increased customer satisfaction scores to well over 90%, while reducing their accident rate to 0%. Lloyd’s Register Energy - Drilling Group companies and joint ventures Joint ventures Lloyd’s Register Energy - Drilling Advancing public education and research The objectives of Lloyd’s Register are to protect life and property and to advance education and research in transport and engineering. We do this by reinvesting our profits in charitable causes that support our mission; in developing new products and services to benefit the sectors we serve; and in public education, research and development. Our intellectual capital – our highly qualified researchers and engineers – is accessible to academics, students, regulators and professionals through committees, conference papers, publications and research made available to everyone. The Lloyd’s Register Foundation is focused on fulfilling its public benefit role including funding research, training and education programmes. For more information, please contact: Name Surname Job title, Business unit Lloyd’s Register Energy – Drilling [Full company name] 71 Fenchurch Street London, EC3M 4BS T +44 (0)20 7423 xxxx E name.surname@lr.org w www.lr.org/marine Integrating ModuSpec and WEST Engineering Services to advance excellence in drilling safety, integrity and performance Lloyd’s Register is a trading name of Lloyd’s Register Group Limited and its subsidiaries.