Wellsite Report Blog

Posted on January 19th, 2023 - Posted in HSE | Oil and Gas | Reporting | Safety | Service Quality

Reduce the Risk of Serious Incidents

Despite the greater emphasis placed on safety and mitigation procedures, serious incidents continue to plague the oil and gas industry. While major international players can absorb financial losses resulting from multiple breakdowns, structural and environmental damage, and litigation, just one incident of incorrect operation or equipment failure can put an enterprising small oil or gas company at tremendous risk.

Consider pipeline safety,  for example

Between 2002–2021, there was an average of 34 serious pipeline incidents per year, with an average of 13 fatalities and 56 injuries annually. Through November 2022, there were 17 incidents, 9 fatalities, and 24 injuries.

Source: US Department of Transportation Pipeline and Hazardous Safety Administration

 

Source: US Department of Transportation Pipeline and Hazardous Safety Administration

 

Although these pipeline statistics are below their 20-year highs, the oil and gas industry experiences adverse incidents across all lines of operation. Three leading causes of incidents pertain to training, turnover, and technology.

•  Training: According to UL Solutions, many oil and gas producers are facing significant staffing challenges in today’s tight labor market. As such, many companies are hiring more employees with little to no industry experience. While inexperienced staff require more comprehensive safety training measures, that does not mean they will receive it.
• Turnover: Even in a labor market that favors employers, consulting firm Trenergy asserts the lowest field worker turnover rate oilfield companies can hope to achieve is 25–30% per year. Reducing churn often depends on companies retaining managers with strong leadership and training skills plus a low incident rate.
  It is not unusual to see field workers in this industry follow their managers from company to company.
• Technology: Safety training processes are always a good thing. But companies also need to provide their field workers with the right technology that gives them a voice, one that enables them to reduce the likelihood of an adverse incident or to mitigate an occurrence.

 

Improve safety and reduce your risk of incidents the Wellsite Report way.

 

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