Health, Safety and Environment Report 2020

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BUSINESSOUTLOOK 2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Health

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

Foreword

3 5 6

COVID-19 Response

Offshore Oil and Gas – Regulatory Context Health Search and Rescue Medical Evacuations Fitness to Work Offshore Assessment

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11

Safety

Personal Safety

12 13 15 20 24 29 30

Aviation

Process Safety

Environment

Unintentional Releases

Discharges

Waste

Net-Zero Basin- Our Commitment

Strategy

Our vision is to ensure the UK Continental Shelf becomes the most attractive mature oil and gas province in the world with which to do business. Read all our industry reports at www.oilandgasuk.co.uk/publications

OGUK Strategic Objective - Leading HSE Performance HSE Strategy - Looking Forward

31 32

Foreword

Welcome to OGUK’s new-look Health, Safety & Environment Report for 2020. Following the combined HSE Conference in 2019, this report brings together for the first time, data on health, safety and environmental performance across the UKCS in one document. The report examines findings from full-year 2019, as well as key priorities for the sector during 2020 and beyond. As witnessed in most industry sectors across the UK and the world, the COVID-19 pandemic has had a significant impact on oil and gas operations in the North Sea. This year’s report also provides some information about how industry has been working together with public health bodies, regulators and other stakeholders to manage and mitigate the impact of COVID-19. However, this virus should not and will not distract industry from focusing on its key goal of maintaining safe operations while continuing to provide the energy society needs – however challenging that might be. With COVID dominating much of the news headlines, we hope that our report into industry’s 2019 HSE performance provides insight and an opportunity to pause and reflect on the measures taken in controlling the health, safety and environmental risks associated with offshore oil and gas production and to focus on areas that continue to present a risk to our operations. The health of the offshore workforce remains an area of focus. There were 301 emergency medevacs last year, compared with 241 in 2018, with cardiac incidents identified as the main cause - a rise of 42 per cent compared with those in 2018. Medevacs due to injury also rose, from 43 to 56, aligning with the slight increase in significant injuries reported, but medevacs associated with altered mental state decreased from 8 to 6 in number. Although the planned review of OGUK’s Medical Aspects of Fitness for Offshore Work: Guidance for Examining Physicians has been delayed, once completed, the revised

guidance will further assist examining doctors in their assessments of fitness to work offshore. This has the potential to restrict the ability of those with the highest health risks to work offshore, but will provide an important incentive to improve the overall health of the workforce - a goal that industry is committed to. On the safety front, it is encouraging to see that dangerous occurrences and the non- fatal injury rate both fell to their lowest levels in 2019 and, while a single one is too many, it is a testament to industry that continued focus in these areas has resulted in improvement. When looking at the number of hydrocarbon releases, it is still too early to see an impact from the initiatives that have been introduced. The number of these considered reportable under RIDDOR requirements is down year on year, but there are signs of an increase in the three-year rolling average of these. As in previous reports, all releases are shown, including EU reportable releases, and there is a significant rise in the total but to enable a consistent comparison, the focus is better placed on the former. There is no room for complacency, and hydrocarbon release prevention is a key focus area for industry. In aviation safety, 2019 recorded a third consecutive year of accident-free flying in the UKCS, and for the second year running, the five-year fatal accident rate per 100, 000 flying hours remained at zero. As mentioned in our 2019 report, the last fatal helicopter accident occurred off the coast of Shetland on approach to Sumburgh Airport in 2013. The Fatal Accident Inquiry report has been published and noted the significant efforts by regulator and industry to prevent a similar incident in the future. The impact of such a tragic loss of life amongst this close-knit industry community will remain with our colleagues across industry as we continue efforts to improve offshore aviation safety.

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Foreword continued

There was a year-on-year increase of chemicals discharged to sea under permit in 2019, related to an increase in drilling activity. 75 per cent of these chemicals were PLONOR, and the number of discharged chemicals labelled with substitution warnings decreased from 2018, constituting less than 5 per cent of the total by mass. The industry takes its responsibilities for environmental management and compliance seriously, as is demonstrated by the performance captured in this report. OGUK continues to work with members to deliver continuous reduction of environmental risk. In November 2019, OGUK held its first ever combined HSE conference with the overarching theme ‘Solving Tomorrow’s Challenges, Today’. Martin Temple gave the keynote speech in which he highlighted the fact that industry leaders from OGUK, IADC, Step Change, together with HSE and OPRED had signed up to the Principles of Process Safety Leadership. These are designed to prevent repeats of events such as Piper Alpha or the 2005 Buncefield Terminal explosion in Hertfordshire. The event concluded with a call for action and the points raised at the conference have formed the basis for OGUK’s HSE future strategic objectives. We hope you find the new format and combination of HSE performance and related issues into one report, both easy to read and informative. Any queries should be directed to OGUK HSE Director Trevor Stapleton at tstapleton@oilandgasuk.co.uk .

Looking now at the environmental performance, the report provides environmental data covering discharges to sea, accidental oil and chemical releases, and waste disposal. This provides the industry an opportunity to review environmental performance indicators and reflect on opportunities to drive further improvement. The UKCS is a mature and complex basin, and the challenges that accompany the production of hydrocarbons mean that the data outlined in this report is equally complex, as the examples demonstrate. Overall, 2019 saw stabilised performance with no significant changes in performance, underlining that good environmental management remains a priority for operators. During 2019, there was a small increase in the volume of produced water discharged to sea, and a larger increase in the concentration and the mass of dispersed oil discharged with produced water, continuing a trend apparent over the preceding three years, but remained well below the 30 mg/l threshold set by OSPAR. An increase in reinjection of produced water of 33 per cent was also seen, with the water being injected into suitable subsurface strata or the reservoir itself to aid enhanced oil recovery. The number of unintended releases from offshore installations has decreased; the total number of incidents was 235 compared to 480 last year. The total mass of oil released has increased slightly in 2019 compared to 2018. The number of chemical releases has also decreased from 2018, as has the total mass released, with 95 per cent of these classified as posing little or no risk (PLONOR) or from the lower risk categories.

Trevor Stapleton Health, Safety & Environment Director, OGUK

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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COVID-19 Response

In response to the extraordinary challenges posed to industry by COVID-19, OGUK's Pandemic Steering Group (PSG) was formed to ensure effective and coherent action by industry and key stakeholders including OGUK member companies, regulators, Governments, workforce representatives and public health agencies. Focused on four key strategic themes the group supported and led the immediate industry response to the crisis, ensuring the risk of offshore transmission of COVID-19 was minimised, that helicopter transport for personnel and suspected COVID-19 cases were maintained, existing health, safety and environmental risks were managed, and the movement of essential personnel and equipment was maintained, even during the strictest phase of lockdown. The group continues its work to ensure safe operations, security of supply and workforce health and safety are maintained throughout.

Industry Regulators Trade Unions Coastguard Police Scotland

PSG

● Workgroup activities complete, no regular meetings n No specific activities, monitoring and liaising with stakeholders ongoing ▲ Workgroup meets regularly

n

n

Cabin sharing Testing

Aviation Logistics Marine Medical

Workforce

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Regulation As a high hazard industry, offshore oil and gas is subject to specific industrial legislation that helps manage the health, safety and environmental risks associated with offshore operations, as well as the general suite of HSE legislation applicable to wider industrial activity. Energy Division of the Health & Safety Executive (HSE) has responsibility for regulating all issues affecting safety and health; the Offshore Petroleum Regulator for the Environment and Decommissioning (OPRED) regulates emissions to air and discharges to sea, as well as prevention and control of pollution. The Offshore Safety Directive Regulations 2015, saw the creation of a single Competent Authority (CA) requiring both organisations to work in partnership. Whilst OPRED and HSE still have their separate functions outside the scope of the Directive, the functions of the CA are delivered under a set of common operational arrangements. Safety Cases must be developed and approved for every installation to cover the whole life cycle from design to decommissioning, identifying and quantifying the major accident risks and detailing the measures the installation operator will put in place to manage them to As Low As Reasonably Practicable (ALARP). These are continuously reviewed and updated on a five-yearly cycle ensuring that the arrangements in place remain fit for purpose. 

Offshore Oil and Gas – Regulatory Context

Offshore operations and the associated emissions and discharges can only take place once operations have been assessed and a permit or other authorisation is in place setting out the conditions associated with the activity. These emissions and discharges include produced water, chemicals, drill cuttings, greenhouse gas emissions and other atmospheric pollutants, gas flared and vented. Waste generated by upstream oil and gas operations is transferred back to shore for processing. The Civil Aviation Authority regulates offshore helicopter operations, and the Environment Agency (EA) and Scottish Environmental Protection Agency (SEPA) regulate activities involving radioactive materials. The Maritime and Coastguard Agency (MCA) produces legislation and guidance on maritime matters as well as providing the UK's Search and Rescue services and as such, has an involvement in offshore oil and gas operations. 

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Regulation Requirements relating to reportable incidents are defined by the RIDDOR regulations and the EU Offshore Safety Directive (OSD) Implementing Regulation No 1112/2014. Under this legislation, defined incident types with high potential to cause significant injuries - termed dangerous occurrences and other defined incidents such as failure of a safety critical element must be reported to the HSE. The reporting requirements in the European regulations are broadly aligned with RIDDOR categories, but additional reportable incident categories have been introduced, and the category names are different. The report includes information on both RIDDOR and EU reportable offshore incidents. Environmental emissions and discharges are reported through the EEMS online system, on amonthly, quarterly, bi-annual and annual basis, while any accidental release of materials to sea is reported through the PON1 system.

Offshore Oil and Gas – Regulatory Context continued

Industry must also manage the health and well-being of the offshore workforce effectively, given the remoteness of the worksite and the often- demanding nature of the work they perform. A suite of occupational health- related legislation regulates the offshore working environment to ensure that risks to health are controlled. In addition, it is industry policy that all persons working offshore are examined regularly by a medical professional and deemed medically fit before travelling offshore. The OGUK medical standard and the registered examining doctors who conduct assessments in line with this standard help to ensure that the workforce is medically fit for work offshore.

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Health

Search and Rescue Medical Evacuations

Figure 1: Emergency Medical Evacuations by Cause

Figure 2: Proportion of Emergency Medical Evacuations by Age Group

Total Number of Medevacs in Age Group Percentage of Personnel in Age Group Medevaced Total Number of Medevacs in Age Group Percentage of Personn l in Age Group Medevaced

90

1.2%

Cardiac Injury Other Acute Abdomen CVA Respiratory Collapse GI Seizure Renal Altered Mental State Infectious Disease Allergic Reaction 19 14

8 6 4 3

80

90

1.2%

9

1.0%

Cardiac Injury Other Acute Abdomen CVA Respiratory Collapse GI Seizure Renal Altered Mental State Infectious Disease Allergic Reaction

9

70

80

82

1.0%

13

60

0.8%

70

50

60

0.8%

0.6%

40

50

0.6%

30

0.4%

40

Cardiac Injury Other Acute Abdomen CVA Respiratory Collapse GI Seizure Renal Altered Mental State Infectious Disease Allergic Reaction

20

30

0.4%

0.2%

10

20

0.2%

10 0

0.0%

Percentage of Personnel in Age Group Medevaced

20-29

30-39

40-49

50-59

60 +

26

0

0.0%

Percentage of Personnel in Age Group Medevaced

20-29

30-39

40-49

50-59

60 +

Source: OGUK, Vantage

56

301 emergency medevacs occurred in 2019 (up from 241 in 2018), from a total population of 49,252

October saw peak demand for the second year running with 40 emergency medevacs, followed by May and December with 31 in each month

The main cause of emergency medevac in 2019 was due to cardiac issues, followed by injury. This is consistent with the past 3 years

Source: OGUK, Vantage

52

Source: OGUK, 2020

The age group with the most emergency medevacs overall was 50-59 , although the 60+ group had the most proportionally

Source: OGUK, 2020

Source: OGUK, 2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Health

The offshore medical fitness standards are being reviewed by the Occupational Health and Hygiene Technical Group to ensure assessments remain relevant and robust, including improved guidelines relating to cardiac risk.

Regular Doctors workshops and the annual Doctors conference ensures skills and knowledge are kept up to date, leading to a consistent and high quality of medical assessment.

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Health

Fitness to Work Offshore Assessment

Figure 3: Fitness to Work Offshore Assessment Results

Pie chart do 30mm

1.60%

1.60%

The failure rate in 2019 was 1 per cent , and average failure rate since 2010 was 1.15 per cent 146,479 UK offshore medicals were conducted across 68 different countries

Total Number of Assessments Proportion of Assessments Failed Average Proportion of Assessments Failed Total Number of Assessments Proportion of Assessments Failed Average Proportion of Assessments Failed

150,000 150,000

1.40%

15%

1.40%

15 per cent more medicals were conducted in 2019 than in 2018

1.20%

130,000 130,000

1.20%

1.00%

1.00%

stnemssessA fo rebmuN stnemssessA fo rebmuN

110,000 110,000

0.80%

46,000 more 20-39 year olds underwent

0.80%

0.60%

90,000 90,000

0.60%

offshore medicals in 2019 compared with 2018, and 20,000 fewer medicals for 50+ year olds

0.40%

0.40%

Proportion of Assessments Failed Proportion of Assessments Failed

70,000 70,000

0.20%

0.20%

50,000 50,000

0.00%

2010 2010

2011 2011

2012 2012

2013 2013

2014 2014

2015 2015

2016

2017

2018

2019

0.00%

2016

2017

2018

2019

Source: OGUK, 2020 Source: OGUK, 2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Health

Fitness to Work Offshore Assessment

Figure 4: Fitness to Work Offshore Assessment - Most Common Reasons for Failure

Figure 5: Fitness to Work Offshore Assessment 2019 – Reasons for Failure

Diabetes has overtaken blood pressure as the main cause of medical failures for the first time Cardiac issues remained the third highest cause of failure for the third year running, and were most prominent in the 50-59 age bracket Other* Diabetes BloodPressure Cardiac Weight / BMI DrugAbuse Not Given Other* Diabetes BloodPressure Cardiac Weight / BMI DrugAbuse Not Given

3.0%

3.0%

3.0%

Blood Pressure

Blood Pressure

3.1%

3.1%

5.0%

Blood Pressure

5.0%

Diabetes

Diabetes

2.5%

2.5%

5.3%

Diabetes

5.3%

2.5%

Cardiac

Cardiac

26.8%

26.8%

Cardiac

Drug Abuse Weight / BMI Drug Abuse

Drug Abuse

2.0%

2.0%

2.0%

8.2%

8.2%

Weight / BMI

Weight / BMI

1.5%

3.1% 1.5%

1.5%

5.0%

1.0%

5.3%

1.0%

9.4%

9.4%

1.0% Proportionof Total Assessments Proportionof Total Assessments

Proportionof Total Assessments

26.8%

Respiratory Medication

Respiratory Medication

0.5%

0.5%

Other* Diabetes Blood Pressure Cardiac Weight / BMI Drug Abuse Not Given

0.5%

8.2%

15.4%

15.4%

3.1%

0.0%

0.0%

5.0%

Failures because of blood pressure have reduced from 22 per cent to 15 per cent Source: OGUK Source: OGUK

2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 < 20 20-29 30-39 40-49 50-59 60 + All Ages 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 < 20-29 30-39 40-49 50-59 60 + All Ages 5.3%

11.5%

11.5%

2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 < 20 20-29 30-39 40-49 50-59 60 + All Ages

0.0%

Source: OGUK, 2020 26.8%

15.3%

15.3%

Source: OGUK, 2020

*Other includes Hearing, Dental,Musculoskeletal,Medication

*Other i cludes Hearing, Dental,Musculoskeletal,Medication

Source: OGUK, 2020

Other* Diabetes Blood Pressure Cardiac Weight / BMI Drug Abuse

9.4%

8.2%

Respiratory Medication

15.4%

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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11.5%

9.4%

Safety

Personal Safety

Type of Injury

Contusion, 11 Dislocation, 4 Laceration, 9 Other Known Injury, 8 Superficial Injury, 5 Amputation, 4

Figure 6: Reportable Injuries

Total reportable injuries decreased in 2019, from 106 the previous year to 98 Over-seven-day injuries decreased, down from 87 in 2018 to 73 in 2019

The most common injury type was a fracture, followed by strains and sprains

900

250

*

Over-Three-Day/Over-Seven-Day Injuries Major / Specified Injury Over-Three/Over-Seven-Day Injury Rate Specified Injury Rate Non-Fatal Injuries 3 Year Average Rate

800

200

700

Strain / Sprain, 21

srekroW000,001repetaRyrujnI

600

The three-year non-fatal injury rate, which measures the rate continued its downward trend, reaching a new low of 327 per 100,000 workers The most common causes of injury are still slips, trips and falls

150

500

Bone fracture, 36

400

Cause of Injury

100

Number of Injuries

Low fall (up to & inc. 2m), 6 Contact with machinery, 5 Exposure to harmful substance, 2 Fall (height not known), 2

300

200

50

100

Struck by object, 8 Struck against, 13

A smaller increase was seen in significant

0

-

Lifting and handling injuries, 21

2016

2017

2018

2019

2013

2014

2015

2012/13

2011/12

2010/11

2009/10

2008/09

2007/08

2006/07

2003/04

2004/05

2005/06

Source: Health and Safety Executive, 2020; Vantage POB

*Period of reporting changed from fiscal to calendar year

Another kind of accident, 15

injuries, up from

19 to

25

Slip, trip, fall same level, 26

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Safety

Aviation

Figure 7: Fatal and All Aviation Accidents

5

120,000

Non-Fatal Accidents Fatal Accidents

Five-Year Average Fatal Accident Rate Five-Year Average All Accident Rate Flying Hours

2019 was another accident-free year for offshore helicopter operations with the fatal accident rate at zero for the second year running

100,000

4

80,000

3

Flying hours were down slightly from 2018 from 77,286 to 72,227

60,000

2

Number of Flying Hours

40,000

There was a significant reduction in the number of sectors flown (i.e. fewer multiple stop flights) from 124,468 in 2018 to 84,537 in 2019

Number of Accidents / Accident Rate per 100,000 hours

1

20,000

0

0

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: OGUK

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Safety

The Aviation Safety Technical Group is comprised of operators, helicopter operators, regulators and associations, resulting in a collaborative approach to the improvement of operational and technical safety, and the development and improvement of common industry standards. The group will be addressing improvements in areas including helideck safety, inbound operating procedures and wrong deck landings.

The UKCS offshore fleet decreased by three airframes, and by one aircraft type when the last H155 was removed from the fleet completely in 2019. Over 60 per cent of passenger movements were conducted using S92s.

Type

Weight Class

First Introduced

In Fleet

Pax Movements

AW139

Medium Medium Medium

2005 1979 2016 2014 2005

18

154,519 15,229 113,311

AS365 N3

2

H175

16

AW189

Heavy Heavy

2

14,749

S92

33

484,107

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Safety

Process Safety – Dangerous Occurrences

Figure 8: Dangerous Occurrences

Dangerous occurrences were 24 per cent lower than in 2018, with a drop from 289 to 218 , and 70 per cent lower than 2000-01. This is the lowest total recorded.

900

*

800

700

600

stnedicnIelbatropeRforebmuN

500

Dangerous Occurrences by Type

400

The largest category was dropped objects, followed by hydrocarbon

Other, 11

Collapse, overturning or failure, 4

300

Failure of BA, 6 Evacuation, 4

200

Release or escape of dangerous substance, 8

Fire or explosion Incidents involving wells

100

releases and damage to or failure of a pipe. Together, these three categories make up more than two-thirds of all dangerous occurrences

Damage to or failure of a pipe

0

Release of petroleum hydrocarbon

2013

2014

2015

2016

2017

2018

2019

2012-13

2011-12

2010-11

2009-10

2008-09

2007-08

2006-07

2005-06

2004-05

2003-04

2002-03

2001-02

2000-01

Dropping objects

*Period of reporting changed from fiscal to calendar year

Source: Health and Safety Executive, 2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Safety

Process Safety – Hydrocarbon Releases

Pie chart do 30mm

Figure 9: Total Hydrocarbon Releases

Total hydrocarbon releases increased, from 101 in 2018 to 125 in 2019

49 per cent ( 62 ) of all releases were classed as minor, with 10 per cent still to be classified 49%

300 900

Awaiting Classification - EU only Minor Releases - EU only Significant Releases - EU only Major Release - EU only Awaiting Classification - RIDDOR Minor Releases - RIDDOR Significant Releases - RIDDOR Major Releases - RIDDOR RIDDOR 3 Year Rolling Average

*

800

3

250 700

There were three confirmed major releases in 2019

stnedicnI elbatropeR fo rebmuN

200 600

RIDDOR-reportable HCR releases, i.e. those which could pose a danger to workers, decreased year on year, to 67 from 85 in 2018

500

Type of Hydrocarbon Released

150 400

Non-process, 43

300

Number of Releases

100 200

2-Phase, 6

Oil, 5

The majority of releases were of gas, followed by 43 releases of non- process hydrocarbons such as hydraulic or lube oil

100

Condensate, 2

50

0

Gas, 69

2013

2014

2015

2016

2017

2018

2019

2012-13

2011-12

2010-11

2009-10

2008-09

2007-08

2006-07

2005-06

2004-05

2003-04

2002-03

2001-02

2000-01

0

1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Period of reporting changed from fiscal to calendar year

Source: Health and Safety Executive, 2020 Sour : ealth and Safety Executive, 2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Safety

OGUK’s H&S Operators Technical Group share lessons learned in real time.

The Process Safety Forum enables industry to learn across high hazard industries.

A common repository for alerts and learning can now be found on the SCiS website.

Industry and regulators continue to work together to embed the Principles of Process Safety.

The Hydrocarbon Release prevention strategy is being refined for 2021.

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Safety

Process Safety – Safety Critical Maintenance

Figure 10: Installation Average Safety Critical Backlog

3,000

250

250

3,000

Deferred Maintenance Corrective Maintenance in Backlog Preventive Maintenance in Backlog Number of Reporting Installations 12 Month Rolling Average Deferred Maintenance Co r ctive Maintenance in Backlog P ventive Mai te ance in Backlog Number of Reporti g Installati ns 12 M nth R lling Aver ge

The number of reporting installations was significantly lower in 2019, which means the dataset may not reflect the wider basin

The average safety critical maintenance in backlog increased in 2019, up by 44 per cent to 1,638 manhours in Q4, compared to 916 in Q4 2018

2,500

2,500

200

200

2,000

2,000

150

150

1,500

1,500

Most of the increase came from deferrals, potentially linked to the halt of production linked to the shutdown of the Forties Pipeline planned for Q2 2020

NUmberof installations

100

NUmberof installations

100

1,000

1,000

AverageNumberofMan-Hours in Backlogper Installation AverageNumberofMan-Hours in Backlogper Installation

50

50

500

500

0

0

Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019

0

0

Source:OGUK,2020

Source:OGUK,2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Safety

Work groups are tasked with improving assurance and isolation practices with similar work being planned for Management of Change in 2021.

The OGUK Board and Operator Council continue to monitor the safety critical maintenance backlog.

Reinvigorating reporting improves understanding and visibility within and across organisations, bringing renewed focus on the delivery of asset integrity.

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Environment

Unintentional Releases – Totals and Averages

400

400

Figure 11: Number of Unintentional Releases

Figure 12: Mass of Unintentional Releases

400

3.5

1000

Chemical Releases Oil Releases Chemical Releases Oil Releases

Chemical Releases Oil Releases

Chemical Releases

350

350

900

Oil Releases

3.0

350

Average Chemical Release Mass

800

Average Oil Release Mass

2.5

300

300

700

Average Chemical Release Mass 2011-2019

300

600

Average Oil Release Mass 2011-2019

2.0

250

250

500

Number of Releases

Number of Releases

1.5

250

400

Number of Releases

300

200

Total Mass of Release (Tonnes) 200

1.0

Average Mass of Release (Tonnes)

200

200

0.5

100

150

150

2011

2012

2013

2014

2015

2016

2017

2018

2019

2011

2012

2013

2014

2015

2016

2017

2018

2019

0

0.0

150

2011

2012

2013

2014

2015

2016

2017

2018

2019

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: OPRED, 2020

Source: OPRED, 2020

Source: OPRED, 2020

The largest single chemical release totalled 126

Single oil releases ranged from 7 tonnes

Unintentional chemical releases decreased in 2019 with 309 tonnes

Total number of releases is 462 releases in 2019 compared to 563 in 2011

Source: OPRED, 2020

There has been an increase in oil released

26

(by mass) with

tonnes in 2019

14

down to 1 kilogram

compared to 469 tonnes

tonnes which was a water-based hydraulic fluid

compared to

tonnes in 2018

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

20

Environment

Unintentional Releases – Oil

Figure 13: Unintentional Oil Releases by Mass and Type

350

600

350

600

300

300

500

500

The average release mass has decreased from 0.95 tonnes in 2011 to 0.12 in 2019. This is a slight increase from 2018, which recorded an historic low of 0.05 tonnes

There were 235 unintentional releases of oil in 2019, down from 293 in 2018

250

250

400

400

Condensate Crude Diesel Condensate Crude Diesel

200

200

300

300

Hydraulic Kerosene Lube Mineral Other Sludge Unknown Waste Number of releases Hydraulic Kerosene Lube Mineral Other Sludge Unknown Waste Number of releases

150

150

Mass of Oil Releases Mass of Oil Releases

40 per cent of the total mass of oil

Number of Oil Releases Number of Oil Releases

200

200

Crude constituted

100

32 per cent

100

released, with hydraulic oil constituting

100

100

50

50

0

0

0

0

2011

2012

2013

2014

2015

2016

2017

2018

2019

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: OPRED, 2020 Source: OPRED, 2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

21

Environment

OGUK facilitates the development of a swift and efficient response in the event of a major unintentional release, minimising the environmental impact, through collaboration between operators, regulators and other stakeholders.

OGUK maintains an Operator focus on Environmental issues, developing strategies and work groups to address emerging trends and support best practice.

The next five-year cycle of risk-based approach (RBA) starts in 2021, assisting operators to improve understanding of and mitigate potential environmental risk associated with discharges.

The Chemicals Technical Group continues to share best practice and engage with regulators and suppliers to ensure the least hazardous chemicals are used.

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

22

Environment

Unintentional Releases – Chemicals by Type and Mass

Figure 14: Unintentional Chemical Releases by Hazard

Figure 15: Unintentional Chemical Releases by Hazard, 2019

3

0

3

0

1,000

PLONOR

11

25

PLONOR

11

25

PLONOR

Low Hazard

Low Hazard

900

Low Hazard

Medium Hazard

800

Medium Hazard

Medium Hazard

High Hazard

High Hazard

High Hazard

700

Unattributable

Unattributable

Unattributable

SUB

600

500

400

Mass of Releases (Tonnes)

300

200

100

0

2011

2012

2013

2014

2015

2016

2017

2018

2019

269

269

Source: OPRED, 2020

Source: OPRED, 2020

Source: OPRED, 2020

95 per cent of all chemicals released fell into the low- risk or Pose Little Or No Risk (PLONOR) categories

Unintentional chemical releases made up 0.85 per cent of total chemicals discharged offshore

The mass of chemicals released in 2019 fell by 34 per cent compared with 2018. Of that total, 1.37 per cent were chemicals with substitution warnings (SUB) under OSPAR

95%

34%

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Environment

Discharges – Produced Water

Figure 16: Produced Water Discharged

Figure 17: Dispersed Oil Discharged with Produced Water

250 250

2,000 2,000

Dispersed Oil Discharged with Produced Water

Dispersed Oil in Water Concentration Limit

Produced Water Discharged Produced Water Discharged

3,500

35

Average Dispersed Oil Concentration with GC-FID Method

1,800 1,800

Produced Water Re-injected Produced Water Re-injected

200 200

1,600 1,600

3,000

30

Production Production

1,400 1,400

2,500

25

150 150

1,200 1,200

2,000

20

1,000 1,000

800 800

100 100

1,500

15

Production (Million boe) Production (Million boe)

Produced Water (Million m³) Produced Water (Million m³)

600 600

1,000

10

400 400

50

Dispersed Oil in Water Concentration (mg/l)

50

Dispersed Oil Discharged with Produced Water (Tonnes)

500

5

200 200

0

0

0

0

0

0

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Source: EEMS, May 2020

Source: EEMS, May 2020; OGA Source: EEMS, May 2020; OGA

The volume of produced water discharged to sea increased in 2019,

The UKCS industry reinjected more produced water than in previous years, with 33 per cent of the total produced going back to the reservoir

The concentration and the mass of dispersed oil discharged with produced water in 2019 increased compared to 2018, continuing a trend apparent over the preceding three years. The total mass increased by 5 per cent, from 2,182 tonnes to 2,296 tonnes and the concentration increased to 16.9 from 16.1 mg/l, remaining below the 30 mg/l threshold set by OSPAR

33%

up 0.32 per cent year on year

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Environment

Oil and gas producers strive to minimise the proportion of their product that isn’t exported to market, using technical and chemical expertise to improve the separation of hydrocarbons from the produced water streams.

The Chemicals Technical Group is working to implement the OSPAR Risk Based Approach to produced water management, identifying risk drivers and looking for mitigation measures.

New installations or reworked production systems are designed to reduce or eliminate produced water discharges entirely.

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Environment

Discharges – Chemicals

Figure 18: Chemical Discharge by Label

Figure 19: Chemical Discharge by Activity

120,000

1,200

120,000

PLONOR SUB No Hazard Label

Other*

Production Chemicals Drilling Chemicals Pipeline Chemicals Production

100,000

1,000

100,000

80,000

800

80,000

60,000

40,000

600

60,000

Chemical Discharge (Tonnes)

20,000

Production (Million boe)

400

40,000

Chemicals Discharged (Tonnes)

0

200

20,000

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Production 2011

Production 2012

Production 2013

Production 2014

Production 2015

Production 2016

Production 2017

Production 2018

Production 2019

0

0

*Other includes those chemicals reported in EEMS that are not classified as PLONOR or SUB but contain hazardous materials listed under OSPAR Annex A

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Source: EEMS May 2020

Source: EEMS May 2020; OGA

There was a 17 per cent increase in chemicals discharged to sea under permit in 2019. This rise primarily related to chemicals discharged during drilling operations, which increased from 66,614 tonnes to 82,936 tonnes

75 per cent of all chemicals discharged under permit were PLONOR, equivalent to 91,799 tonnes of the total discharged

211 different SUB chemicals were discharged from all activities in 2019, constituting less than 5 per cent of

75%

the total, down by 290 tonnes on the previous year to 5,650 tonnes

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

26

Environment

Other Discharges – NORM and Drill Cuttings

Figure 20: Discharged Fluids from Drill Cuttings

70,000

250

Oil-Based Fluids from Cuttings Water-Based Fluids from Cuttings Well Count

70,000

250

Oil-Based Fluids from Cuttings Water-Based Fluids from Cuttings Well Count

60,000

60,000

200

200

Discharged fluids increased, as did activity. This is reflected in the number of wells spudded, up to 158 from 101 in 2018

50,000

50,000

150

40,000

150

40,000

There was a 140 per cent increase in discharged cuttings in 2019, to 52,147 tonnes, up from 21,451 tonnes in 2018. Compared to 2017, there was a ten per cent increase, from 47,195 tonnes discharged, suggesting 2018 was out of step with longer-term trends

30,000

100

30,000

100

Total Wells Drilled on the UKCS

20,000 Cuttings Discharged to Sea (Tonnes) Cuttings Discharged to Sea (Tonnes) 20,000

Total Wells Drilled on the UKCS

50

50

10,000

10,000

0

0

0

0

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: EEMS, May 2020, OGUK

Source: EEMS, May 2020, OGUK

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

27

Environment

Other Discharges – NORM and Drill Cuttings

Figure 21: Radioactivity Discharged to Sea

0.009

800,000

0.009

800,000

Pb-210 Activity To Sea (MBq)

Pb-210 Activity To Sea (MBq)

0.008

Ra-226 Activity To Sea (MBq)

700,000

0.008

Ra-226 Activity To Sea (MBq)

700,000

Ra-228 Activity To Sea (MBq)

0.007

Ra-228 Activity To Sea (MBq)

Naturally occurring radioactive materials (NORM) including isotopes of lead and radium are discharged to sea in produced water. The total activity discharged to sea in 2019 increased by 1 per cent, attributable to an increase in Ra226 to sea

0.007

600,000

600,000

Ra-226 Concentration (Bq/ml)

Ra-226 Concentration (Bq/ml)

0.006

0.006

Total NORM To Sea Avg Concentration (Bq/ml) Total NORM To Sea Avg Concentration (Bq/ml)

500,000

500,000

0.005

0.005

400,000

400,000

0.004

0.004

The concentration of NORM in discharged water remained steady, at 0.0037 Bq/ml, well below the notifiable threshold of 0.1 Bq/ml

300,000

Concentration (Bq/ml)

300,000

Concentration (Bq/ml) 0.003

0.003

200,000

200,000 Total NORM Activity Discharged to Sea (MBq) Total NORM Activity Discharged to Sea (MBq)

0.002

0.002

100,000

0.001

100,000

0.001

0.000

0

0.000

0

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: EEMS May 2020

Source: EEMS May 2020

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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Environment

Waste

Figure 23: All Waste by Disposal Route

Figure 22: Waste by Activity and Disposal Route

300,000

300,000

200,000

Reuse Recycle Waste To Energy Incinerate Landfill Other Route Incinerate Waste To Energy Other Route Landfill Reuse and Recycle

Incinerate Waste To Energy Other Route Landfill Reuse and Recycle

180,000

160,000

250,000

250,000

140,000

120,000

200,000

200,000

100,000

80,000

Waste (Tonnes)

150,000

150,000

60,000

40,000

Waste (Tonnes)

Waste (Tonnes)

20,000

100,000

100,000

0

50,000

50,000

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Drilling

Operational

Operational

Operational

Operational

Operational

Operational

Operational

Operational

Operational

Operational

Decommissioning

Decommissioning

Decommissioning

Decommissioning

Decommissioning

Decommissioning

Decommissioning

Decommissioning

Decommissioning

Decommissioning

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

0

0

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Source: EEMS,May 2020 Source: EEMS May 2020

Source: EEMS May 2020

39 per cent of waste was re-used or recycled

Waste from offshore installations increased by 51 per cent in 2019 to 183,082 tonnes, largely driven by an increase in decommissioning activity

The proportion of waste going to landfill was 24 per cent, the lowest proportion in the last decade

51%

24%

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

29

Environment

Net-Zero Basin – Our Commitment

Greenhouse gas emissions to atmosphere by industry are now reported separately in Pathway to a Net Zero Basin – Production Emissions Targets, and will be monitored in future reports from OGUK’s Sustainability team utilising fully verified data.

18.3 MILLION TONNES CO 2 e

BUSINESSOUTLOOK 2020

50% REDUCTION IN EMISSIONS

UKUPSTREAMOILANDGASSECTOR Pathway to aNet-ZeroBasin: Production Emissions Targets

1

REDUCTION IN EMISSIONS 90% 2040

NET-ZERO BASIN

2030

2050

2018

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

30

Strategy

OGUK Strategic Objective – Leading HSE Performance

Part of OGUK’s role is to deliver industry’s strategic objectives, which are set by our members based on industry and society’s requirements. The detailed objectives within the Leading HSE Performance stream are led by and monitored through the health, safety and environmental performance in this report. These objectives broadly translate into four priority areas: ensuring assessment of workforce health takes due account of current medical thinking; elimination or reduction in major accident risks; seeking improvements in all areas of aviation safety, and addressing ongoing environmental issues including supporting the net zero agenda. Driving improvement in these areas demonstrates a clear and ongoing commitment to protect the health and safety of all those working in the oil and gas sector while minimising impact on our environment.

◆ To enhance HSE performance, identify risks and opportunities and encourage shared learning ◆ To actively drive industry response to the HSE's challenge on preventing hydrocarbon releases ◆ To develop enhanced medical health standards and share health promotion activities to improve the health of the workforce ◆ To support the aviation safety agenda by facilitating relevant discussions through the Aviation Safety Technical Group and project managing UKCS aviation safety initiatives as directed by the CAA led Offshore Helicopter Safety Leadership Group ◆ To ensure industry responds to a potential long-term spill scenario, including a delivery model for resource sharing ◆ To develop approach to environmental management (including post-Brexit regulation)

Be the leading industry voice

Supporting net-zero

Enhancing industry reputation

Helping meet UK energy needs

Leading HSE performance

Developing people and skills

Growing the economy and experts

Driving technology and innovation

that facilitates focus on actions, providing greatest benefit to the environment and enhanced efficiency

HEALTH, SAFETY AND ENVIRONMENT REPORT 2020

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