The year 2010 was a difficult
year for our industry. The incident in the Gulf of Mexico caused a
seemingly never-ending wave of scrutiny. As we prepare for
the year ahead, we need to focus in on new rules and regulations that
arise throughout the industry, most specifically concerning drilling.
More environmental studies along with additional planning for spilling and
response recovery is what the government is recommending and what they
will most likely require. Further exploration in certain regions such as the Arctic, is most in need of the additional studies. With
numerous industry executives committed to further development and
production in areas like the Arctic and the Gulf of Mexico, the challenges ahead will
be tough for all. Companies will definitely need to stay up-to-date
on all new requirements. We've overcome a lot throughout the last 60
years, and there's no doubt we can continue to be successful as an
industry. Let's get
it done in twenty one one!
New Rules and Regulations at a Glance
Where there is drilling, there are also rules,
policies, and regulations. The
oil and gas industry suffered through a few highly publicized incidents in
2010, and as a result, a new government agency has been established,
BOEMRE, which replaces the MMS, the Department of Interior has split into
three distinctive divisions, and new rules and regulations are either
pending or have been enacted. While
these publicized incidents and changes have received much notoriety, we
have highlighted some of the lesser known legislation in Texas and the US
government that may not have
come to your attention. Summarized below are new regulations and agency
recommendations affecting the industry and providing you links to more information. Texas
Legislature House Bill 2259, Effective September 1, 2010 HB2259 establishes new requirements for oil and gas operators
related to surface equipment removal and inactive wells.
All operators will be required to annually address their complete
inventory of inactive wells to obtain approval of their annual
organization (Form P-5). Wells
inactive for more than 12 months must have all electrical lines
disconnected; wells inactive for five years must have all tanks, lines,
and vessels purged of fluid; and wells inactive for ten years must have
all surface equipment removed. For
detailed information regarding these new requirements, the Railroad
Commission has created the Inactive Well Aging Report (IWAR) and it's
available on the Commission's website at: http://webapps2.rrc.state.tx.us/EWA/ewaMain.do.
Sunset
Advisory Commission Decision Material - Railroad Commission of Texas The Sunset Advisory Commission addressed several issues
relating to the TRRC and its oversight of the oil and gas industry.
Key recommendations include: • Require the oil and gas program to be self-supporting by
authorizing the Commission to levy surcharges on the program's permits,
licenses, certificates, or reports to achieve this purpose • Require the Commission to formally adopt penalty guidelines in rules •
Direct the Commission to revamp its tracking of
violations and related enforcement actions tied to oil and natural gas
production and to develop a clear and consistent method for analyzing
violation data and trends For a complete
accounting of issues reviewed and the recommendations given to address those
issues, the complete report can be found at http://www.sunset.state.tx.us/82ndreports/rct/rct_dm.pdf. New
EPA Rules for the Oil and Gas Industry, November 9, 2010 Final rules were issued by the EPA that will require oil and
gas facilities to begin reporting greenhouse gas emissions in 2011.
Oil companies are not required to achieve any emission reductions;
however, they must produce annual emissions reports that are intended to
inform the public and guide policymakers in the quest to address global
warming. Operators of
petroleum facilities such as oil and gas wells, compressor stations, and
storage tanks will need to track greenhouse gas emissions and submit their
first annual reports in March 2012. The
new regulations can be found at http://www.eenews.net/assets/2010/11/09/document_pm_01.pdf.
As debate continues on how best to balance our need for
energy independence with the need to protect our nation's natural
resources and the environment, we will update you on the regulations
affecting our industry. Meanwhile,
don't forget that we at Collarini Energy Staffing are recruiters of
regulatory professionals should you need additional help to meet new needs
in Texas and throughout the United States and the Gulf of Mexico.
The following
biographies are just a small sampling of the kind of talent available in
our talent pool of over 19,000 experts. Please call our placement
managers if you are interested in learning more about these
professionals, or check out our website for more candidates. Geologist
with a bachelor's degree in geology and over 25 years of experience working in small
oil and gas companies. Expert in workover recommendations on development
wells. Additionally experienced in prospect generation, well monitoring,
logging operations, seismic reprocessing, velocity modeling, subsalt and
decollement studies, multi-layered mapping, and evaluating farm-out and
acquisition opportunities. Geographic areas worked include the Gulf of
Mexico, South America, and West Africa. Proficient in SMT, Landmark, and
GeoGraphix. A Certified Petroleum Geologist and member of the New Orleans
Geological Society, the Society of Professional Well Log Analysts, and the
Southeastern Geophysical Society. Ask for G2083. Geologist with a master's
degree in geology and 13 years of experience working for small and
mid-sized oil and gas companies. Expert in old field revitalization and
new field exploitation, with a drilling and recompletion track record with
increased reserves of over 20 MMBOE. Additionally experienced in mapping,
reserves calculation, location identification, and planning in complex
carbonate and clastic environments. Geographic areas worked include the
Permian Basin, Sand Hills Field, Hildreth Field, Manfield field, North
McElroy field, Tinsley Field, and the Mississippi Salt basin. Highly
proficient in PETRA geological software. A licensed Professional
Geoscientist, officer of the Fort Worth Geological Society, and member of
the American Association of Petroleum Geologists, and the Society of
Independent Professional Earth Scientists. Ask for G850.
Geophysicist
with
a master's degree in geophysics and 15 years of experience with
large oil and gas companies. Expert in generating exploration leads and
interpreting 2D and 3D seismic data. Additionally experienced in building
velocity models for depth conversion, prestack depth migration
interpretation, and interpreting and mapping Paleozoic, Mesozoic, and
Tertiary markers and unconformities in both conventional and
unconventional plays. Geographic areas worked include the Texas Gulf
coast, the Rockies, the Wilcox-Lobo Trend, the San Joaquin basin, the
Greater Green River Basin of Wyoming, the deepwater Gulf of Mexico, the
Western Desert of Egypt, Libya, and offshore Trinidad and Thailand. A
member of the Texas Board of Professional Geoscientists, The Society of
Exploration Geophysicists and the American Association of Petroleum
Geologists. Ask for GP1174. HSE Manager with
a master's degree in business administration and 15 years of safety and
environmental experience. Expert in leading large teams through safety and
environmental inspections, audits, and conducting root cause analysis.
Experienced in creating and implementing safety programs and HSE
management systems. Certified Safety Professional and Certified Safety and
Health Official specialized in oil, gas, and petrochemical. Ask
for HS617. Drilling and Production Manager
with
a bachelor's degree in petroleum engineering and 35 years of oil and gas
experience working for mid-sized to large independents and a major oil and
gas company. Experienced in the management and operation of drilling and
production departments, facilities design, safety, regulatory and
environmental compliance, workover and completion design, and well
troubleshooting. Geographic areas worked include Texas, Louisiana,
Arkansas, Oklahoma, Mississippi, Kansas, Colorado, and the Gulf of Mexico.
Ask for DP280. Production Engineer with a bachelor's degree in mechanical engineering
and 25 years of experience working for mid-sized to large operators and
service companies. Experienced in completions, workovers, production,
fracture design, costing, and failure analysis. Geographic areas worked
include North Dakota, New Mexico, Colorado, Texas, Louisiana, and the Gulf
of Mexico. Ask for P652.
Engineering
Technician
with a bachelor's
degree in geology and 30 years of experience working for mid-sized
operators and a research company. Experienced in supporting engineers and
geologists by generating and evaluating economics, generating local and
regional maps, integrating information to produce various spreadsheets and
graphs, and generating and maintaining corporate budget databases and
quarterly cash flow projections. Software proficiency in ARIES, PowerTools,
IHS, PETRA, DrillingInfo, SONRIS, and PowerPoint. Ask for TE269.
Brace Yourself for Congressional Reform or Safety Case
Anyone? An Update After This Week's Spill Commission Report On
January 11, 2011 a group of experts presented their findings
to Congress regarding the BP spill in the Gulf of Mexico. Their
recommendations have effectively taken the industry one step closer to comprehensive reform and new regulations.
Rather than pointing to a sequence of bad choices by individuals in
one specific set of circumstances, the commission declared that accidents
of this kind could happen anytime with any company due to the
"systemic" nature of the shortcomings.
The panel's findings state clearly that the current system by
which the offshore industry conducts its business inherently allows for
future accidents to take place. This
is dramatic, since the focus has now officially shifted from looking for
bad apples in the basket to basically investigating the basket's design
itself. What
this will mean to the industry is the implementation of far more
regulatory oversight than the offshore industry has ever seen and, as we
predict, the introduction of mandatory safety case programs. Those working with companies involved in the oil and gas
business in Europe and other selected regions are already familiar with
the concept. But it will mean
a revolutionary change in how HSE practices are conducted in most U.S.
companies. It will result in
organizational changes and redevelopments, implementation of new systems,
and the new hiring of professionals who are thoroughly familiar with
safety case processes. For
those unfamiliar with the concept, a safety case is a study or set of
studies that provides reasonable proof regarding the safety and stability
in a particular system. Safety
case studies serve a number of different purposes, including •
providing assurance that management systems underlying
offshore operations are compliant with regulations and the industry's best
safety practices • preparing the background and foundation for regulatory compliance reporting and auditing •
identifying risks and
hazards and implementing control functions involved in the operation of a
production system While some companies are already prepared to operate in this new environment, many companies will need to revamp to meet compliance. Now is definitely the time to look closer at the safety case system and to get in touch with experts in the field.
Connecting the Industry's Experts...
Guiding
Careers to the Next Level...
Collarini
Career Management
applies its deep understanding of the career paths of
technical professionals in the E&P and EPC communities to help
companies and professionals build successful organizations and careers. We
leverage Collarini's unique combination of industry knowledge and
technical expertise to guide companies and individuals during transition,
training existing employees for high performance, and designing customized
technical training plans for companies and individuals.
Visit us on the web!
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