C-NLOPB following up on Synthetic Based Drilling Fluid Spill

C-NLOPB following up on Synthetic Based Drilling Fluid Spill
 
November 19, 2014
The C-NLOPB is following up on a report by Statoil of an estimated 6,000 litre spill of synthetic based drilling fluid which occurred on November 17, 2014. The spill resulted from a 7cm slit in the hose during transfer from the support vessel Maersk Clipper to the West Hercules drilling rig. Transfer was shut down immediately and the valves onboard were closed. The hose was immediately disconnected and returned to the rig.

The reported volume is calculated on a ‘worst case scenario’ based on the rated capacity of the pump over the duration that the pump was running with 100% losses to sea. The actual volume will be determined in the investigation by Statoil. Canadian Coast Guard was notified. The spill has been recorded on the C-NLOPB’s website under Environment - Spill Statistics, which was updated on November 19, 2014.

Statoil Canada Contact:
Alex Collins
Acting Lead, Communications
Statoil Canada Ltd.
(709) 769-8967 (cell)
acoll@statoil.com
C-NLOPB Contact:
Sean Kelly M.A., APR, FCPRS
Manager of Public Relations
(709) 778-1418
(709) 689-0713 (cell)
skelly@cnlopb.ca

The C-NLOPB was created in 1986 through the Atlantic Accord for the purposes of regulating the oil and gas industry offshore Newfoundland and Labrador. The Board operates at arms-length from governments and reports to both the Federal and Provincial Ministers of Natural Resources. Decisions of the Board, referred to in legislation as ‘Fundamental Decisions’, are referred to government for approval or rejection.

Pursuant to the legislation, the C-NLOPB has four regulatory mandates: Safety, Environmental Protection, Resource Management and Industrial Benefits. The Board regulates exploration licences, significant discovery licences, and production licenses covering an area of 7,365,000 hectares; that is an area of about two-thirds of the size of the island portion of the Province of Newfoundland and Labrador.

The Board is comprised of seven persons; three appointed by the Federal Government, three appointed by the Provincial Government, and a Chair and CEO that is appointed jointly by the two governments. Board members are: Scott Tessier (Chair and CEO), Ed Williams (Vice-Chair), Ed Drover, Conrad Sullivan, Lidija Cicnjak-Chubbs and Cynthia Hickman.

HIGH POTENTIAL NEAR MISS ON THE WEST AQUARIUS DRILLING RIG. EXXONMOBIL AND CHEVRON CANADA ARE THE PRINCIPAL CURRENT OIL RIG OPERATORS.

High Potential Near Miss on THE West Aquarius drilling rig.  ExxonMobil AND CHEVRON CANADA ARE the PRINCIPAL current oil rig operatorS.

December 3, 2014

Hibernia Management and Development Company (HMDC) reported a high potential near miss on West Aquarius drilling rig that occurred on December 3, 2014.  A bracket for the derrick elevator service loop dropped 22.5 meters (67 feet).   The service loop bracket is installed in the derrick/mast.  The service loops are power cables and/or hydraulic hoses for providing either power or fluids service. The bracket holds the wires/hoses together, that is also called wire holder.  The bracket weighs approximately 5 kg (11 pounds).  

Personnel were working on the drill floor, but not in the area of the dropped object.  Nobody was injured.

There are ways of minimizing the fall of a bracket. In an oil derrick separate service loops which are power cables and/or hydraulic hoses are affixed at one end to a top drive and affixed at an opposite end to an oil derrick end, adding a series of polyurethane supports or rungs along the length of the separate service loops to provide a little lateral motion but to limit the overall amount of lateral motion.  The rungs will also help insure that the cables and hoses do not wrap themselves around everything when the wind blows.  In order to carry the weight of the cables, two parallel steel cables are affixed on either side of the copper cables, and two steel cables are affixed on either side of the hydraulic hoses. These steel cables will be terminated at the derrick and the top drive by being affixed to steel brackets received in steel mounting plates all designed to withstand the loads.

Hibernia Shareholder companies

The shareholders of Hibernia Management and Development Company Ltd. (HMDC) are: ExxonMobil Canada (33.125%), Chevron Canada Resources (26.875%), Suncor (20%), Canada Hibernia Holding Corporation (8.5%), Murphy Oil (6.5%) and Statoil Canada Ltd. (5%).

Media Contacts:

Margot Bruce-O'Connell
HMDC Public Affairs
(709) 778-7222 margot.p.bruce-o'connell@exxonmobil.com

Sean Kelly M.A., APR, FCPRS
Manager of Public Relations
(709) 778-1418 skelly@cnlopb.ca

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OSHA LETTERS TO EMPLOYERS: FERTILIZER INDUSTRY EMPLOYERS REGARDING THE STORAGE, USAGE AND DISTRIBUTION OF AMMONIUM NITRATE

OSHA Letters to Employers: Fertilizer Industry EmployerS REGARDING THE STORAGE, USAGE AND DISTRIBUTION OF AMMONIUM NITRATE

U.S. Department of Labor

Assistant Secretary for
Occupational Safety and Health
Washington, D.C. 20210

Dear Fertilizer Industry Employer:

On April 17, 2013, a fire began in a warehouse at the West Fertilizer Company in West, Texas. About 20 minutes after the first report of a fire, during the initial mobilization of firefighting personnel, bulk ammonium nitrate stored in an adjacent warehouse exploded, killing 15 including 12 emergency response personnel.

On September 21, 2001, in Toulouse, France, a pile of off-specification granular ammonium nitrate exploded due to unknown causes killing 31 and causing billions of euros in damage.

On April 16, 1947, in Texas City, Texas, the transport vessel Grandcamp loaded with about 2600 tons of bagged ammonium nitrate caught fire. The fire spread to the sealed cargo hold and the ammonium nitrate stored within exploded killing 581 including all but one member of the Texas City fire Department.

These incidents, spanning 66 years, and many others not listed here, highlight the potential hazards involved in storing and handling ammonium nitrate. While millions of pounds of ammonium nitrate are safely shipped, stored, blended, and used nationally every year, these incidents remind us that ammonium nitrate can be deadly when the material is handled or stored poorly and not in accordance with industry safe practices.

The Occupational Safety and Health Administration (OSHA) is sending this letter to remind you of your responsibility as an employer to prevent these tragic explosions by manufacturing, storing, distributing, and using ammonium nitrate in a safe manner.  

In October, OSHA cited the owners of the West Fertilizer Company, with 24 serious safety violations including exposing workers ammonium nitrate fire and explosion hazards. The tragic loss of 15 lives, including 12 first responders, underscores the need for employers who store and handle hazardous substances like ammonium nitrate to ensure the safety of those material — not just for the workers at the facility, but for the lives and safety of emergency responders and nearby residents. A copy of the citations can be found at http://www.osha.gov/pls/imis/establishment.inspection_detail?id=901718.015.

Many information resources exist to assist you. The federal government, industry groups, and consensus standard organizations have all prepared standards or guidelines on safely storing and handling ammonium nitrate.

·         OSHA 29 CFR 1910.109(i) - Storage of Ammonium Nitrate,

·         Joint EPA-OSHA-ATF guidance - Chemical Advisory: Safe Storage, Handling, and Management of Ammonium Nitrate,

·         Joint Institute of Makers of Explosives and National Stone, Sand, and Gravel Association guidance - Safety and Security Guidelines for Ammonium Nitrate,

·         The National Fire Protection Association Hazardous Materials Code (NFPA 400) chapter 11 on ammonium nitrate.

You can find these and other resources on a web page OSHA prepared for your use. Go to http://www.osha.gov/dep/fertilizer_industry/index.html. The resources on the web page provide employers with the necessary requirements and recommendations for safely storing and handling ammonium nitrate including:

·         Building construction

·         Fire protection

·         Bulk storage to prevent contamination

·         Storage to prevent fires from impacting piles of ammonium nitrate

·         Storage building separation and siting

·         Emergency response

OSHA enforcement personnel will enforce the requirements of 29 CFR 1910.109(i) for storage of ammonium nitrate including those facilities in non-explosives industries. OSHA standards set minimum safety and health requirements; the standards do not preclude employers from adopting more stringent requirements.

I am calling on you today to take the necessary steps to prevent tragic ammonium nitrate incidents. If you are a small- or medium-sized business, free consultation programs are available to assist you in complying with OSHA standards. If you have further questions please contact your local OSHA area or state plan office. More information is available at www.osha.gov.

Sincerely,

David Michaels, PhD, MPH