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Inspection of Petroleum

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Page 1: Inspection of Petroleum
Page 2: Inspection of Petroleum

Inspection of Petroleum Operations on the Outer Continental Shelf

by R. D. Whitaker, M. V. Adams and R. B. Krahl

Early each morning, U.S. Geological Survey helicopters fly over the Outer Continental Shelf (OCS) to insure that the production of a major portion of the Nation's energy needs is accomplished safely and without damage to the environment. The men who ride in these helicopters are little known but important teams of inspectors who fly surveillance and inspect OCS petroleum drilling and producing operations. Their job is to see that the companies that hold leases are operating in compliance with Federal regulations and orders which govern OCS oil and gas operations.

The basic law governing these offshore activities is the Outer Continental Shelf Lands Act, enacted in 1953 and amended in 1978. It establishes Federal jurisdiction over the submerged lands of the OCS and authorizes the Secretary of the Interior to lease such lands for the exploration and development of mineral deposits. Regulations promulgated under the act for leasing OCS lands for oil, gas, and sulphur production are contained in Title 43, Part 3300 of the Code of Federal Regulations and are administered by the Bureau of Land Management. Regulations governing drilling and producing operations are found in Title 30, Part 250, of the Code and are administered by the Conservation Division of the Geological Survey.

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The operating regulations are applicable to all OCS areas. They are implemented by area OCS Orders. The OCS Orders for each area which have the same title and number contain similar material. The only differences in the corresponding Orders are due to environmental, geological, geophysical, or geographical differences.

The OCS Orders which are presently in effect are:

A. Gulf of Mexico OCS Region, Orders Nos. 1-14.

B. Pacific OCS Region, Orders Nos. 1-12. C. Alaska Region, Gulf of Alaska-Orders

Nos. 1, 2, 3, 4, 5, 7,8, and 12. D. Eastern Region, Atlantic · Area Orders

Nos. 1, 2, 3, 4, 5, 7, 8, and 12.

WASHINGTON­OREGON

LOWER COOK INLET

Outer Continental Shelf areas under leasing consideration.

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The OCS Orders which are currently under development are Alaska Region, Arctic Orders Nos. 1, 2, 3, 4, 5, 7, 8, and 12.

Order No. 1-"ldentification of Wells, Platforms, Structures, Mobile Drilling Units, and Subsea Objects," covers the identific~­tion of wells and other structures. This identification must be of a size and so located as to be legible to approaching aircraft and surface vessels.

Order No. 2-"Drilling Operations," describes casing and casing-cement re­quirements, blowout-prevention equipment, and drilling mud programs. It governs drilling

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mContinental shelf ro 200 merers {60011.} .

SOUTH ATLANTIC

~~"'as of /easmg polent•al

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operations for all exploratory and develop­ment wells. Certain requirements may be modified by field drilling rules which have been approved by the Area Oil and Gas Supervisor. Field drilling rules may be established if sufficient geological and engineering information is obtained during drilling operations.

Order No. 3-"Piugging and Abandonment of Wells," describes the plugging procedures and clearance of location requirements for well abandonment or suspension of operations.

Order No. 4-"Determination of Well Producibility," establishes criteria for deter­mining whether a well is capable of producing oil or gas in paying quantities.

Order No. 5-"Production Safety Systems," covers technological improvement, design, installation, operation, and testing of subsurface-safety devices and surface-safety systems. This Order requires the installation of subsurface- and surface-safety valves which will automatically shut in the wells and the platform production facility. The title and scope of this Order has been broadened to include the surface-safety systems which were formerly covered in OCS Order No. 8.

Order No. 6-"Well Completions and Work­over Operations," contains the requirements for testing of blowout-preventer equipment, the procedures for multiple and tubingless well completions, and the requirements for workover operations.

Order No. 7-"Pollution Prevention and Control," covers the various aspects of pollution control from prevention to removal. It calls for periodic inspection of producing facilities by the operator and establishes a reporting procedure in case of pollution.

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Order No. 8-"Piatforms and Structures," covers general design and nondesign features, the procedure for applications for instaiJation, and the requirement for certification of structural plans.

Order No. 9-"0il and Gas Pipelines," includes requirements for approval of general design and installation as well as testing procedures. It also covers the installation of safety and pollution-control devices and procedures for inspection and maintenance of the line throughout its lifetime.

Order No. 1 o- OCS Order No. 1 0 is the only Order which does not contain require­ments which are common to all Areas. The Gulf of Mexico Area Order is entitled "Sulphur Drilling Procedures." The Order contains the requirements for sulphur drilling

Visual inspection of blowout preventer stack.

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operations. The Pacific Area Order is entitled "Drilling of Twin Core Holes." The Order contains the requirements for drilling of core holes · on unleased lands on the OCS off the coast of southern California. These are the only OCS Areas in which OCS Order No. 10 is applicable.

Order No. 11-"0il and Gas Production Rates, Prevention of Waste, and Protection of Correlative Rights," establishes criteria for determining maximum efficient well producing rates and other activities for maximizing ultimate oil and gas recovery.

Order No. 12-"Public Inspection of Records," outlines the reports received by the Area offices which are available for inspection under the Public Information Act.

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Order No. 13-:-"Production Measurement and Commingling," provides requirements for oil and gas production measurement procedures and for 'commingling. The Order includes requirements for liquid meter proving and gas meter calibration and for commingling of products from different leases.

Order No. 14-"Approval of Suspensions of Production," assures diligence in the development of hydrocarbon resources by allowing timited suspension of operations or production while the operator is waiting for the installatio·n of equipment or .for the granting of permits which are necessary for the production or transportation of oil and gas· from a lease.

The U.S. Geological Survey has been supervising oil and gas operations on Federal, Indian, and certain Naval Petroleum Reserve (NPR) lands since 1925. (NPR functions were transferred to the U.S. Navy in October 1976:) The passage of the Outer Continental Shelf Lands Act and subsequent amendments

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greatly increased the supervisory responsi­bilities , of the Survey. One of the most important functions of the lease-management program, in assuring the protection of the public interest, is the inspection of offshore operations. Because more than 70 persons may be on a platform at one time, personnel safety is of prime concern. Also of extreme importance is environmental protection.

The cycle of events leading to production of oil and gas begins when an application for a permit to drill a well in accordance with an approved Exploration Plan or an approved Development and Production Plan is received from a lessee. A geologist reviews the geology of the area and files a report with the drilling engineer, noting any unusual or hazardous geologic conditions that may be encountered. A geophysicist reviews seismic data for the area to determine if any shallow- faults, abnormal pressure, or other hazards exist near the proposed well site. The drilling engineer uses their reports in his overall review of the engineering soundness of the application and its com­pliance with OCS Orders. The application

SAFETY AND POLLUTION CONTROL ORDERS & REGULATIONS REQUIRE

1 SUBSURFACE WELL CONTROLS 2 SURFACE WELL CONTROLS 3 PRODUCTION FACILITY CONTROLS 4 PIPELINE CONTROLS

SURVEY INSPECTIONS e VERIFY THAT CONTROLS ARE IN PLACE • VERIFY THAT CONTROLS OPERATE e VERIFY DETERRENT TO NON-COMPLIANCE • SURVEY AREAS OF POLLUTION • INVESTIGATE OCS ACCIDENTS

RESEARCH AND ANALYSIS • IMPROVED SAFETY CONTROL • IMPROVED POLLUTION PREVENTION • STANDARDIZED INSPECTION

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is then either approved as filed or is modified or rejected. If it is approved, the district supervisor reviews the application and issues a drilling permit. After a rig moves on location and drilling starts, a Survey drilling inspec­tion team will inspect operations.

The inspector's typical day begins at dawn with the flight to offshore fie.lds. As he approaches the nearest structures located in Federal waters, he scans the water surface for any oil spill or pollution in the vicinity. In the event a spill is sighted, the pilot follows the path of the spill to locate its source. If the pollution originates from production or drilling operations on a Federal lease, the pilot lands on the platform. The inspector then contacts operating per­sonnel and conducts an inspection to deter­mine the cause of the spill. The investigation often reveals that a spill is related to produc­tion equipment failure, safety device malfunction, or human error. After the facts have been determined, the lease operator is given a written citation for any noncompliance with applicable OCS Orders and regulations. The wells and equipment contributing to

All vessels and engines must have drip pans and drains to sumps where waste is properly disposed.

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Page 8: Inspection of Petroleum

the pollution are shut in until all repairs and corrections are made and a reinspection is performed.

Pollution-monitoring flights are usually conducted only ·during trips to and from off­shore fields and during flights from one platform to another. The inspector's primary assignment is the detailed inspection of one or more of about 2,500 oil and gas production and drilling facilities that dot the OCS of the United States.

An inspection team may travel as much as 140 miles offshore to reach a drilling rig to be inspected. Rigs are usually inspected at least once during the drilling of each well. Exploratory drilling, usually by mobile drilling rigs of the floating or "jack-up" type, is conducted to discover and then to define the extent of oil- and gas-bearing strata.

The team leader first meets with the supervisor in charge of rig operations, and after some preliminary paper work, the inspection begins. Blowout preventers, drilling-rate charts, gas detectors, pressure gauges, and other well-control equipment are inspected to see that they are operating

\

Checking a flowline manifold. ·

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properly. Audio alarm-triggering devices are inspected for proper functioning. Deficiencies

. noted by the inspector are immediately brought to the attention of the drilling supervisor. If .oil is found leaking into the water, the rig is shut down until ·corrective action is taken.

After the discovery of oil or gas, the next step is the installation of a drilling and production platform. Steel pilings are driven through the legs of the structure into the floor of the sea for stability. The size of structures varies from single-well structures to those with space for 50 or more wells. Equipment installed varies from a single wellhead to large, complex facilities for oil and gas production and separation, oil storage and metering, o'il and gas transfer and sales, and gas dehydration and compres­sion. The equipment includes piping; valves; large pressurized oil, gas, and water separa­tion vessels; storage tanks; pumps; com.;. pressors; heaters; heat exchangers; and equipment for the ·removal of the oil from watet and sand produced with the oil. All . platforms have mechanical, pneumatic, and

Checking remote shutdown systems for proper location and function.

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electrical safety and pollution control devices as required by Federal regulations and Orders.

The inspector's job is to inspect this production equipment to determine com­pliance with Federal requirements. A detailed inspection form is used as a check list to insure that all required safety devices and equipment are installed and operating properly, and that required operating pro­cedures are being followed. Test results are entered on the inspection form. The overall operation of each production and drilling facility is also examined during each inspec­tion to verify that all equipment and com­ponents are properly interconnected and operated as a unit to insure safe operations. At the completion of each inspection, appropriate warning or shut-in actions are taken for noncompliance. Geological Surv.ey engineers are consulted by the inspectors in resolving matters of a controversial nature.

New developments in technology have helped to make offshore operations safer, but much depends upon the company

·workers in the field. Also, much of the

Inspecting a drilling-mud, pit-level recorder.

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improvement has come about through the years because of the extensive strengthening of the OCS Orders and the expanded __ program of inspecting operations. Through this program, the ~eological Survey works to assure that the much needed energy resources of the Outer Continental Shelf are safely extracted with as little damage to the environment as possible, so that other · uses of offshore areas will not be jeopardized and the ocean and its marine life are protected.

Inspecting drilling apparatus on a jack-up drilling rig.

Inspecting chemical fire extinguishers for serviceability and placement.

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Examining blowout prev.enters on a drilling ri_g.

Witnessing the plugging of a well before abandonment.

Photos by Michael Reitz

This publication is one ofa series -of general interest publications· prepared by the U.S. Geplogical Survey to provide inform·ation about the earth sciences, natural resources, and the environment.To obtain a catalog of additional titles in the series "Popular Publications of the U.S. Geological Survey," write:

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Branch of Distribution U.S. Geological Survey 1200 South Eads Street Arlington, VA 22202

or Branch of Distribution U.S. Geological Survey Box 25286, Federal Center Denver, CO 80225

: . U.S. GOVERNMENT PRINTING OFJ:<'ICE: 1 ',;C.l ;-3' ~- -~ tF./:5'-'

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As the Nation 's principal conservation agency, the Department of the Interior has responsibility for most of our nationally owned public l.ands and natural resources. This includes fostering the wisest use of our land and water resources, protecting our fish and wildlife, preserving the environmental and cultural values of our national parks and historical places, and providing for the enjoy­ment of life through outdoor recreation. The Department assesses our energy and mineral resources and works to assure that their development is in the best interests of all our people. The Depart­ment also has a major responsibility for American Indian reservation communities and for people who live in Island Territories under U.S. administration.