5 Common Oil and Gas Extraction Hazards and How to Address Them

5 Common Oil and Gas Extraction Hazards and How to Address Them

Oil and gas extraction is one of the highest-paid sectors in the United States and one of the most hazardous, with a fatality rate of 28.8 per 100,000 workers. 

By harnessing the power of advanced technologies like digital processes and automation, you can improve safety and reduce risks associated with these five common hazards in oil and gas extraction.

1. Transportation Incidents

Did you know that motor vehicle crashes account for 40% of oil and gas worker fatalities? While aspects such as roadway conditions are beyond your control, you can use mobile forms to build driver safety and vehicle inspection checklists that enforce safety standards across your company.

2. Struck-by or caught in between objects and equipment

The majority of oil and gas industry worker fatalities are caused by transportation incidents or contact with objects and equipment. With our customizable mobile templates, you are empowered to perform checklist-driven inspections that equip you to identify defective equipment, keep up with machinery maintenance schedules, enforce employee safety protocols, and more.

3. Fire and explosions

In 2021, mining industries accounted for 10% of all fire-related deaths in private industry. To safeguard against this significant hazard, deploy mobile checklists to evaluate rig or well design (passive protection) before zeroing in on safety training and equipment maintenance (active protection).

4. Falls

With about two-thirds of drilling and well-servicing employees frequently working at elevations, falls are a leading danger in the oil and gas industry. Minimize injury and death from harness failure, slippery conditions, and unstable platforms by implementing employee training and enforcing on-site safety protocols using mobile technology. 

5. Confined spaces

In confined spaces such as storage tanks, boilers, ducts, pits, and pipelines, oil and gas workers may encounter everything from toxic chemicals to exposed wires. To uphold safety in these hazardous areas, the U.S. Occupational Safety and Health Administration (OSHA) requires permits, testing, continuous monitoring, and worker training—all of which can be facilitated by mobile solutions.

GoCanvas offers digital and automated safety compliance and asset management solutions to help you safeguard your employees, worksites, and assets. Our customizable mobile forms can be created from scratch or based on pre-built templates.

Hungry for more? Read the full eBook.

Take a deeper dive into these five common oil and gas extraction hazards by accessing the full eBook.

About Us

GoCanvas

Since 2008, GoCanvas has been the go-to for job site management and compliance in construction and manufacturing. We are on a mission to eliminate paperwork, streamline workflows, and become an indispensable tool for any business owner. Together with Device Magic, our customizable mobile forms solution delivers seamless simplicity and optimal productivity. See why our 4 million monthly users chose GoCanvas and unlock your potential with our user-friendly platform.

Device Magic

Simplify fire protection management and enjoy streamlined workflows. With Device Magic’s real-time data collection and reporting, ensure compliance and make quicker decisions for faster response to identified issues. Our form builder and GoCanvas partnership enable easy operation management from your mobile device. Enhance fire inspections, safety and compliance, and payments to achieve efficiency and protect your bottom line with Device Magic and GoCanvas.

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eBook Content: 4 Ways Big Data is Transforming Oil and Gas

4 Ways Big Data is Transforming Oil and Gas

Chevron calls it the “i-field.” BP has the “Field of the Future” and at Shell, it’s the “Smart Field.” Whatever you call it, the digital oil field is a huge opportunity for oil and gas companies. 

Introduction

The digital oil field has been described as a place where “all the components integrate and communicate as well as your body does.” A place where computers constantly analyze data sent in by hundreds of sensors to determine conditions of wellheads, pipelines, and systems, and continuously adjust flows to minimize downtime. 

IHS Cera estimates that digital oilfields could reduce operating costs by 25 percent, and increase production rates by up to eight percent — all in the first year of deployment. “It’s pretty sweeping,” Paul Siegele, president of the Energy Technology Company at Chevron, told MIT Technology Review. “Information technology enables us to get more barrels out of each asset.”

HS Cera estimates that digital oilfields could reduce operating costs by 25% & increase production rates by up to 8% in the 1st year of deployment.

Of course, big data brings along its own challenges. The more data you have, the more you have to store, process, and analyze. For example, BP uses Distributed Acoustic Sensor technology to better understand sand contamination in wells in Azerbaijan; the data from just that project is already occupying 2 petabytes, which is about 2,000 times bigger than the average consumer hard drive. As the cost of sensors goes down, companies are installing more and more, which leads to more data. Further, communication technology to transmit data from the field has improved — now you can look at data via your cell phone or other handheld device.

Big data is being used to improve exploration, pinpoint precise locations of reserves, prevent downtime and/ or risks to the environment, and even recruit and train employees.

As long as oil and gas companies can solve the (manageable) challenges of storing and processing big data, they can’t go wrong. Big data is being used in the energy industry to improve exploration, pinpoint precise locations of reserves, prevent downtime and/or risks to the environment, and even recruit and train employees.

In the following chapters, you’ll learn how oil and gas companies in all stages of production are harnessing big data.

Chapter 1: Exploration

Drilling a new deep-water well costs more than $100 million, so nobody wants to be drilling in the wrong place. That’s where data comes in. Shell Oil, for example, is using special sensors to take not a few thousand readings of seismic waves — the distortion of which can be a clue that oil is nearby — but a million or more, giving a much more accurate handle on “what lies beneath.” 

It’s a lot of data. One raw seismic dataset, according to Analytics Magazine, can use hundreds of gigabytes of data — and even more after processing and interpretation. But it is worth it; this data “vastly improves the picture of the Earth’s subsurface, and removes the need to drill a multi-million dollar hole… to ‘explore’ what is in the rock.” 

The push for more accurate exploration is why oil companies like Chevron are heavily investing in imaging technology to create maps of energy deposits thousands of feet below the ocean’s floor. “In this business… whoever images the best wins, because if you see it first, you’re going to get the lease, and if you see it better, you’re going to do a better job of managing the field,” Mark Koelmel, general manager of the earth sciences department at Chevron, told the Wall Street Journal

The push for more accurate exploration is why oil companies like Chevron are heavily investing in imaging technology to create maps of energy deposits thousands of feet below the ocean’s floor.

Further data on weather, soil, and equipment can help companies predict the success of drilling operations. Recovery rates can be improved by giving all this data to reservoir engineers in a self-serve format, via their handheld devices.

Chapter 2: Maintenance

Drilling equipment is built to sustain the wear and tear from working in harsh conditions, but that doesn’t mean it will last forever. Today, much oil and gas machinery is fitted with sensors that can compare a particular piece of equipment’s performance — motion, vibration, current, pressures, temperatures — with the average, meaning that a computer program can flag if something is acting abnormally and needs to be replaced. Or a program can determine how reliable a particular machine is in certain circumstances and predict what conditions cause it to fail more or less often. 

Big Data can provide not just historical analysis but predictions for the future. Dale Sperrazza, the marketing director for Landmark Software & Services, says that automation “will be critical to optimizing operations in a safe, efficient manner, particularly in ultra-deepwater exploration. Given the expense of rig day rates, as well as the engineering requirements and need to address safety and efficiency in operations, companies are doing ‘whatever they can’ to prevent downtime.”

Big Data can provide not just historical analysis but predictions for the future.

Here’s an example: Chevron engineers in Houston monitor analytics from places as far away as Kazakhstan and Colombia. In Chevron’s Sanha Field off the coast of southern Africa, the staff noticed a problem with a gas-injection compressor that showed subtle signs of overloading. Once alerted, operators there fixed the problem and avoided a potential loss of millions of dollars in downtime. The analytics have now made it possible for Chevron to develop an automated early detection system based on the symptoms observed at that site. 

Big data isn’t just used to predict equipment blowouts before they happen; the same sensor data can also be used to push equipment to the limit. If an oil company can safely drill 10 feet faster per minute, that lowers costs and drives profitability, Sperrazza notes. 

With data gleaned from sensor technology, maintenance can be more accurately planned in advance. If you know when a machine is expected to fail or needs servicing, you can better plan for these events (and even reduce the on-hand inventory of spare parts). 

Of course, although sensors and remote monitoring are making engineers’ jobs a lot easier, equipment often still needs to be inspected in person. Technology can help there, too. Instead of using paper forms and lugging large binders to a remote job site, a mobile form on a ruggedized tablet can eliminate a lot of the hassles of creating and filing paperwork.

A digital drilling rig inspection checklist can provide an exhaustive list of conditions and checkpoints to help ensure that blow-out preventers (BOPs) are safe and properly maintained.

Digital checklists can make this work easier and more effective. A drilling rig inspection checklist, for example, can provide an exhaustive list of conditions and checkpoints — covering accumulator units, gauges, choke manifolds, and more — to help ensure that blow-out preventers (BOPs) are safe and properly maintained. Or use a mobile form to ensure that your drill floor area — covering such aspects as tong lines and IR components — is inspected consistently and thoroughly. All data that is collected is immediately saved to the cloud and can be accessed in real-time.

Chapter 3: Health, Safety, and Environmental Compliance

Blowouts and spills don’t have to be inevitable, and real-time data analysis is going a long way toward keeping the upstream oil industry safer.

Keeping employees safe and maintaining environmental compliance isn’t just the right thing to do, it’s also the smart thing from a cost perspective. Most oil and gas firms have between 15 and 25 zero-margin days due to accidents, according to the Oil & Gas Financial Journal, resulting in “enormous” losses. As these days mount, so do costs. 

But now, sensors can detect drilling anomalies in real-time, helping engineers make decisions faster about whether to shut down if necessary. 

As oil and gas production pushes into deeper waters and more untapped frontiers, the risks increase with the unpredictability of the environment. So companies must do everything they can to predict problems before they occur.

Keeping employees safe and maintaining environmental compliance isn’t just the right thing to do, it’s also the smart thing from a cost perspective.

A few years ago, a Chevron field off the coast of Brazil spewed 3,000 barrels of oil due to an unanticipated pressure spike. The company was hit with a criminal lawsuit even after a $150 million settlement. A Chevron executive says that spills like this will become less likely as it implements its i-field program across the company. In addition to sensors monitoring motion, vibration, pressure, etc., data from weather and the number of workers on site can be correlated and analyzed to find trends. 

Fracking is also an area where big data can help. The practice is under fire from many quarters for its heavy water use and the potential for chemical leakage. But, according to RigZone, by analyzing data from underground sensors, oil companies can use less fracking fluid more efficiently, as well as minimize the number of invasive exploratory wellheads. 

Ensuring health and safety compliance will use more and better sensors, but will still require humans to look at the big picture, make inspections, and synthesize information.

Many components of oil and gas drilling need constant monitoring — either by humans or computers — and mobile technology (in the form of digital forms and checklists) helps foster real-time data collection, summarization, analysis, and sharing — leading to better outcomes.

Operators, contractors, and subcontractors in the field can use mobile forms to monitor everything from asbestos exposure to naturally occurring radioactive materials, allowing them to create a safety program that will prevent illness and injury and keep oil and gas drilling workers safe.

Chapter 4: Improving Employee Training and Retention

The global oil and gas industries are facing a “dire” talent shortage, due to strong job growth and the impending retirement of a huge sector of the employee pool. The industry growth for Mining and Geological engineering industries will slow to 2% from 2021-2031, notably below the average national growth rate.

Mining and Geological engineering industries will slow to 2% from 2021-2031.

Many coming into the oil and gas workforce are brand new to the industry. So once an oil company makes a good hire, it wants to get that employee quickly up to speed, then hang on to him/her. 

Big data can actually help here as well, by providing more effective employee training — which leads to better retention. A Society of Petroleum Engineers Survey found that 53 percent of oil and gas workers would consider leaving an employer if training wasn’t provided, according to RigZone. 

Big data can help by providing more effective employee training which leads to better retention. 

First, you need to ask: “How well are my new hires prepared to work for us?” You can start by using digital tests and checklists to monitor an employee’s proficiency. Then the real power comes in aggregate when you compile all of your new hires’ responses. Are newbies consistently coming in unprepared in a particular area? What patterns can you discover that will reveal whether your new hires need extra preparation on certain topics? 

Thanks to the data gleaned through training offered in digital format, you can also get a handle on how your employees are interacting with the training content you provide. Are they clicking on every page, or are they skipping sections?

Knowing how employees are interacting with a carefully designed training program will help you improve it — and the effectiveness of your employees. 

One oil company may have employees all over the world, so big data also gives you the ability to combine siloed data to see trends. “Who are the best employees? Why is their performance so impressive? How can that be emulated elsewhere?” 

One Australian company is taking this to the logical extreme. Woodside, an energy firm, has signed on to use IBM’s Watson (the computer software most famous for winning Jeopardy! in 2011). Watson offers a product called “Lessons Learned” which the company says will help improve operational processes and include more than 30 years of collective know-how. In other words, all those hacks and tricks stored inside one employee’s brain are now accessible to the whole company, and searchable using natural language. 

Of course, another way to improve employee performance is to give them tools that provide safety tips and training right from their mobile devices. From there, it’s an easy step to monitor, recognize, and reward employees who use the forms the most frequently. 

Thanks to the data gleaned through training offered in digital format, you can also get a handle on how your employees are interacting with the training content you provide.

Conclusion: Looking to the Future

The amount of information and intelligence that can be gathered today is already impressive, but collecting data is only going to become easier and easier. With billions of dollars spent annually on seismology R&D, sensors will only become smaller and cheaper. With handheld mobile tools making it easier for you to take notes and log information in real-time, the amount of data you can collect will continue to grow. This means that your challenge is not only in collecting data but in making sense of it.

As RigZone says, oil and gas companies will have to think not “What can we do with this data,” but, “What could be done if the right data were available?”

Data tells a story — one that can help with planning, operations, and your company’s bottom line.

Ready to Rethink How You Work?

GoCanvas has helped a variety of businesses across multiple industries transform their safety processes and rethink their efficiency, ultimately saving them money. Why not do the same? Reach out to one of our experts today to kickstart your process revolution.

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TE3CO Leverages Data Analytics to Unlock Business Potential

How TE3CO Leverages Data Analytics to Unlock Business Potential

About the Company

TE3CO provides mission-critical pressure relief technology and services to customers across the oil and gas industry. They employ a highly trained and capable workforce of field technicians and engineers.

The Challenge

Before working with GoCanvas, TE3CO relied on spreadsheets and emails to manage their ticketing process but found the system time-consuming and difficult to track. The business had grown from 3 units to over 140 units across the U.S. and Canada in a short period of time, and the ticketing process had become an “absolute nightmare” in the words of John Kovac, Technology Integration Manager at TE3CO.

  • Highly complex
  • Multiple clicks
  • Manual data entry
  • Time-consuming
  • Traceability was difficult

The Solution

TE3CO partnered with GoCanvas to simplify its ticketing process and increase efficiency:

  • Minimize rework and ensure accuracy by automating data entry
  • Streamline data collection through one database
  • Identify bottlenecks and improve process efficiency with data analytics
  • Spend less time on reactive admin tasks, allowing more time to focus on a proactive growth strategy

“The ability to fill out field tickets real-time, have the customer sign real-time, and be able to track it from its fruition through the final process was absolutely game-changing for our company. It used to take until the 15th or 16th of the following month to close out every ticket for the month, averaging approximately 85 to 90 tickets a month. Now, we’re able to have the month closed by the first or second using such things as workflow and being able to follow it from beginning to end,” said John Kovac

The Impact

Now that TE3CO has implemented GoCanvas to help with field operations and management, they’re able to save time and money by eliminating manual processes and having data that’s accessible for decision-making.

“Once our technician fills out the ticket, there’s no more transferring of data. GoCanvas handles all that. Using reference data and integration data, you can have everything in a dropdown, so every person is filling out all the generic information the same way.”

Software for the field service industry has the potential to make a significant impact on overall efficiency and productivity. Ensuring data is consistent, standard, and accessible can enable organizations to make more informed decisions.

“I have five apps that are being brought into analytics. From there, I can break that down by district, by camp, by company – once it’s in, you can drill into it as far as you want to. The world is at your fingers, and the more information you can get for one of your customers, the better it is,” said Kovac.

Leveraging software built for the field, TE3CO has found they’re able to:

  • Free up 20-30 man-hours/month
  • Save ~$60,000/year in resource efficiency
  • Identify leading indicators in 10 minutes vs. three days
  • Track tickets in real-time ticket
  • Reduce billing time

“There’s so much that you can do when you have the proper information to know that you’re running your company properly and that you’re charging properly and taking care of your customers properly,” said Kovac.

How GoCanvas Analytics Works

GoCanvas Analytics provides a seamless solution to report on submission data, visualize what’s happening, and distribute your findings throughout your organization. Drill down into one facet of your business or keep track of everything in a high-level view. Uncover trends and make data-driven decisions that result in improved productivity, cost savings, and increased revenue.

Solutions to Waste Management Issues For Oil & Gas Companies

Solutions to Waste Management Issues For Oil & Gas Companies

Waste management compliance is important in every industry. The oil and gas industry, in particular, has a strong risk of waste emissions. Therefore, it’s vital for companies to understand how to manage drilling waste management, improve disposal of unwanted materials, and decrease unnecessary waste across the organization. 

Waste management in the oil and gas industry is critical for a number of reasons. 

Oil and natural gas are vital natural resources. However, they are limited. By improving waste management practices, oil and gas companies can protect those natural resources and help them last longer. 

The oil and natural gas industries may emit a number of pollutants, including methane, VOCs, and pollutant chemicals known or suspected to cause cancer. By improving waste management strategies, the oil and gas industry can decrease the pollutants released by its activities. 

By improving waste management practices, many oil and gas companies find that they are able to protect money and resources, a critical element in the oil industry as prices remain volatile. In many cases, decreasing waste can help produce more output from the same resources the company already has. Or, in many cases, they can decrease the costs necessary to produce the same outcome. 

There are four main types of waste management practices. We’ve outlined the ones that most often impact the oil and gas industry.

Municipal solid waste includes the general waste types produced by any business or, in many cases, homes. These may include paper and plastic products, metal and glass products, and other wastes generated from oil and gas containers. The oil and gas industry may generate solid wastes during the exploration process, due to the equipment used, during transport, or while storing oil and gas for future consumption. 

Industrial solid waste can take a number of forms that may include higher overall levels of toxicity. In industry in general, including the oil and gas sector, many businesses use more dangerous chemicals and solvents than private homeowners typically use. In the oil and gas industry, that may mean different types of waste depending on the stage of the process.

For example, oil and gas exploration companies often deal with drilling fluids and cuttings that may be contaminated with chemicals. As a result, it’s impossible to return them back to the general water supply or to store them with general waste. 

Most of the time, the oil and gas industry does not have to worry about agricultural waste, which is produced due to the byproducts of livestock or farming. However, residue from oil and gas production efforts may mingle with nearby agricultural waste in some settings. 

The oil and gas industry may produce a great deal of hazardous waste during the normal course of operations. Those normal processes may lead to wastes that include:

  • Arsenic
  • Lead
  • Chromium
  • Mercury
  • Cadmium
  • Benzene

All these substances can be considered toxic when exposure occurs in high quantities. They may have an impact both on the environment and on the people interacting with them on a regular basis. As a result, the oil and gas industry must take several steps to ensure the proper disposal of those dangerous substances. 

The disposal of waste in the oil and gas industry is regulated heavily at both the federal and state levels. Because of the heavy amount of waste produced by the drilling and production processes, oil and natural gas companies may need to carefully consider their environmental impact before, during, and after drilling.

The Resource Conservation and Recovery Act helps regulate underground storage tanks and the disposal of solid or hazardous waste. It creates regulations at the federal level and encourages states to create their own individual regulations. 

Hazardous waste, under the RCRA, may include:

  • Ignitable waste
  • Corrosive waste
  • Toxic waste
  • Acute hazardous waste
  • Reactive waste

The RCRA has a “cradle to grave” regulation scheme that regulates the production, use, and disposal of hazardous waste at every stage of the process. At the disposal level, it prohibits anything that may discharge, inject, spill, or leak into the air, water, or ground. That means that hazardous waste from oil and gas production needs to be disposed of in proper landfills, rather than in open dumps. 

In most states, oil and gas companies, like other companies, must have a state permit to dispose of hazardous waste. Each state has the right to decide what those permits include and how they are created. In many cases, oil and gas companies, due to their economic and energy-related necessity, are exempt from many of the processes required of other businesses and industries. However, each state sets its own regulations, which may vary dramatically from one to the next. 

The EPA also issues specific voluntary management

  • Liners
  • Leak detection systems
  • Maintaining and using a pit for waste disposal
  • Regulations for the transportation of waste
  • Secondary protection of water tanks used in the cooling or production process

By following the best practices for voluntary management, oil and gas companies can substantially reduce the environmental impact due to hazardous waste produced throughout the process. Following those best practices can also help protect the company in the future.

Waste management for the oil and gas industry can be particularly challenging. By following essential industry regulations and best practices, however, oil and gas companies can reduce their impact, decrease waste, and ultimately create a more successful return on their investment.

About GoCanvas

GoCanvas® is on a mission to simplify inspections and maximize compliance. Our intuitive platform takes care of the administrative tasks, freeing our customers to focus on what truly matters – safeguarding their people, protecting their equipment, and delivering exceptional quality to their customers. 

Since 2008, thousands of companies have chosen GoCanvas as their go-to partner for seamless field operations.

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Manage Risk for Oil and Gas Companies With a Risk Assessment Checklist

Manage Risk for Oil and Gas Companies With a Risk Assessment Checklist

Today, the challenges faced by the oil and gas industry are considerable. Effective business leaders and managers must thoroughly understand them to determine and implement the most effective risk management strategies for their company. There are several commonly recognized best practices for risk management in the oil and gas industry. However, no one-size-fits-all approach will mitigate all actual and potential vulnerabilities. Each company is unique and requires its own customized risk assessment checklist that, at minimum, addresses the following areas:   

  • Supply, demand, and market dynamics
  • Worker health and safety
  • Environmental impact
  • Cybersecurity

A broad understanding of these vulnerabilities can help businesses pinpoint specific areas they need to address.

The market for oil and gas is often quite volatile. Sudden changes in regional economies, wars, or public health can dramatically increase or decrease the supply or demand for oil in a matter of days. And when these shocks occur, the entire industry – including equipment, transport, storage, refining, training, marketing, and software businesses – feels the effects.

Moreover, the industry is highly regulated in most parts of the world, with new laws and regulations expected to continue to emerge. Additionally, many countries are moving to curtail greenhouse gas (GHG) emissions to combat climate change. As a result, nations and multinational organizations are drafting and implementing regulations which will continue to affect both the supply of and demand for oil and gas. And some industries, most notably the automobile industry, are shifting production away from gas-powered products to those powered by alternative fuel sources.

A single weather event in a key region could affect a company’s output or demand. So, it’s essential for oil and gas business leaders to carefully assess all the elements of their supply chain and customer base. It’s just as critical to monitor events continuously. This approach allows adjustments to be made, and new plans developed in real-time to help navigate the market’s inherent volatility.

Furthermore, oil and gas prices in commodities markets are dynamic. That means oil and gas companies must hedge their risks using certain investing strategies. Leveraging derivatives, such as futures, swaps, forwards, and options, can offset the losses a company may face that see a sudden drop in demand. However, these strategies come with their own risks and must be executed carefully.

While the use of machines and automated tools has helped increase worker safety considerably, oil and gas extraction is still quite dangerous. The work is long, and the working conditions are difficult. And no matter how sophisticated and rugged the machinery is in use, it can break down, resulting in injured workers, making an extraction even more difficult.

Oil and gas companies must design and implement solid worker health and safety plans that cover every aspect of their operation. Doing so is not just a matter of morality and productivity. The federal government requires it. Failing to comply with safety standards exposes companies to serious legal liability.

Part of any effective health and safety plan includes continuous monitoring of worksites, equipment, and conditions. Doing so helps managers identify and remediate safety issues before those issues cause equipment damage or result in injuries. Federal regulations also require businesses to report workplace safety incidents that result in illness or injury. Failing to comply or complying inconsistently introduces considerable legal risks.

Broadly, the energy sector has an outsized impact on the environment relative to most other industries. Oil and gas extraction, refining, and distribution result in GHG emissions. However, industry operations also come with the risk of oil spills, the need to dispose of hazardous waste, and other effects. And even if a vendor is directly responsible for an accident, it can be hard for a prominent oil or gas company to avoid taking the blame in the eyes of the public.

There’s also increasing scrutiny of whether companies operate sustainably. What once were esoteric and internal business processes are now regularly dissected on blogs and websites. Some companies have found it more difficult to do business because they directly or indirectly have a substantial negative impact on the environment.

Of the four areas of risk management outlined, cybersecurity is the most recent. However, it also potentially poses the greatest risk. Cyber threats continue to grow in scale and scope, threatening businesses and organizations of all sizes and industries. Criminals will target any business from which they believe they can extract a ransom. But the oil and gas industry is also vulnerable to hacking attempts from more than just thieves.

Nation-state and non-nation-state actors have increasingly targeted the oil and gas industry and other critical infrastructure industries for geopolitical advantage. Some attacks are tied to armed conflicts, as oil and gas are critical wartime supplies. And in a global market, some hackers seek trade secrets on behalf of foreign interests.

Oil and gas companies have embraced new digital operational equipment that leverages robotics, machine learning, automation, and the Internet of Things (IoT). With that transformation comes new vulnerabilities. While business efficiency and productivity improve with digitization, potential access points increase. It’s true that hackers can steal corporate data in other industries. However, hackers infiltrating oil and gas networks can also deliberately or inadvertently cause significant physical and environmental incidents. These directly compromise worker safety and the environment.

Companies across the globe are in a fierce talent war for cybersecurity professionals. Oil and gas companies must also recruit and retain talented staff who can stay on top of emerging threats within the context of a unique and highly dynamic sector. These threats do not include outside actors. Instead, they involve internal threats from negligent or disgruntled employees.

Risk management in the oil and gas industry requires business leaders and managers to understand them and use the appropriate tools to evaluate them. Oil and gas companies need the right risk assessment checklist to help them evaluate the unique threats their firm faces. The GoCanvas team has created an effective risk assessment checklist to help you comprehensively assess your worksites.

Liability issues stemming from worker injuries aren’t the only worker health and safety issues leaders and managers must address. Some worker safety issues are a direct result of worker stress. And in an industry distinguished by hard work under tough conditions, businesses must evaluate and mitigate employee stress to mitigate the risk of workplace accidents.

GoCanvas also has developed a stress managers risk assessment tool that can help you gain invaluable insight into how your employees are faring and help you manage risk.

These are just two of the tools that GoCanvas offers business leaders and managers in the oil and gas industry. Our products are aligned with federal OSHA standards and easily customizable to fit your business needs. Visit GoCanvas to learn more about safeguarding your business from market, operational, and organizational risks today.

About GoCanvas

GoCanvas® is on a mission to simplify inspections and maximize compliance. Our intuitive platform takes care of the administrative tasks, freeing our customers to focus on what truly matters – safeguarding their people, protecting their equipment, and delivering exceptional quality to their customers. 

Since 2008, thousands of companies have chosen GoCanvas as their go-to partner for seamless field operations.

Check out even more resources

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Connect with an Expert Today.

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Five Common Hazards in Oil and Gas Extraction and How to Address Them

Five Common Hazards in Oil and Gas Extraction and How to Address Them

The oil and gas industry employs more than 500,000 Americans and offers investors big potential profits, but it’s also among the most dangerous. The good news? The industry’s safety record has been improving year over year, due in part to the adoption of new technologies. Find out how mobile apps are changing the way oil and gas worksites manage safety hazards with our new eBook.

What can you learn in this eBook?

  • Using mobile to avoid struck-by/caught-in/caught-between injuries
  • Focusing employees on safety training and equipment maintenance
  • Preventing worksite falls, fires, and explosions with technology

Complete the form to access your copy.

4 Ways Big Data is Transforming Oil and Gas

4 Ways Big Data is Transforming Oil and Gas

To stay profitable in the face of sagging prices and costly production scenarios, oil and gas companies are getting smart about using the data they collect to gain insights and manage people, equipment, and worksites more effectively.

What can you learn in this eBook?

  • How data collection can indicate where to conduct exploration
  • How to predict when equipment will fail, and how best to structure your maintenance schedule
  • How to enable quicker decision-making to improve worker safety

Complete the form to access your copy.

eBook Content: 5 Common Hazards in Oil and Gas Extraction and How to Address Them

5 Common Hazards in Oil and Gas Extraction and How to Address Them

Together, oil and natural gas are the world economy’s essential ingredients: They account for more than half of mankind’s energy supply, and oil essentially powers 100 percent of our transportation. 

Introduction

Oil and gas extraction is one of the highest-paid sectors in the United States — and, until recently, was one of the fastest growing. It brings thousands of jobs and millions of dollars to areas where oil and gas are found. And, in good times, it can earn hefty profits for investors. 

Oil and gas extraction also can be very hazardous. 

The oil and gas industry employs slightly over 400,000 Americans. While direct employment is lower than pre-pandemic levels, employment growth continues to accelerate as the industry experiences a sustained rebound in demand and production that started in 2021. Globally, the oil and gas sector is massive employer; one estimate indicates about 4 million people are directly employed. Many are working in jobs that are potentially dangerous. 

We’ve all read about the April 2010 Deepwater Horizon drilling rig explosion off the Louisiana coast. It killed 11 workers and injured 16 others while causing a massive oil spill in the Gulf of Mexico — the largest environmental disaster in U.S. history.

US Bureau of Labor Statistics (BLS) data indicates the number of annual worker fatalities in the oil and gas industry dropped to 78 in 2020 and 58 in 2021 as operations were curtailed during the COVID pandemic. While the drop in the number of fatalities is welcome news, the 2021 fatal injury rate of 9.8 per 100,000 FTEs is still 2.5 times than for private industry in general. 

Oil and Gas Industry Fatalities: 28.8 per 100,000 workers 7X Higher than the U.S. Average Highest in all industries. 

It’s worth noting that the oil and gas safety record has been improving for many years. But that doesn’t mean the operators and safety officers of oil and gas facilities can become complacent. 

First off, no company wants to run an unsafe operation — after all, no one should have to die or get hurt for his or her paycheck. 

As stated on the Occupational Safety and Health Administration’s website: “Oil and gas well drilling and servicing activities involve many different types of equipment and materials. Recognizing and controlling hazards is critical to preventing injuries and deaths.” 

Moreover, the oil and gas industry remains a magnet for budget-draining lawsuits, stringent federal regulations, antagonistic media coverage, and multibillion-dollar fines. 

It’s a hostile environment out there. 

Advanced technologies like digital processes and automation are making it easier and more cost-effective than ever to make your oil and gas workplace safer.

In this ebook, we provide a rundown of five common hazards in oil and gas extraction and show you the steps you can take by harnessing the power of advanced technologies to improve safety and reduce risk, helping avoid steep fines, sidestep costly litigation, and safeguard your employees, job sites, and assets.

Chapter 1: Vehicle Collisions

While explosions make the headlines, being on the road is the leading danger for oil and gas workers. According to the Centers for Disease Control, motor vehicle crashes account for 40% of oil and gas worker fatalities, some of which are caused by driver fatigue. That’s because so much of the process takes place on the road. Workers and equipment often must be transported long distances to remote well sites — and so must water, gravel, and chemicals for fracking operations, which puts more vehicles on the road than traditional drilling. 

“The growth of this industry is a big concern because it’s adding so many more trucks on the roads and its drivers don’t have to follow the same rules as others,” – Henry Jasny, a lawyer for Advocates for Highway and Auto Safety, in the New York Times.

While most commercial truckers must stop driving no later than 14 hours after their workday begins, oil and gas drivers aren’t required to count the time they spend waiting at a well while other crew members complete their tasks, which can stretch to many hours. 

The result? Exhausted drivers, who work very long days and then face a four-plus-hour drive home. In addition, lax standards can lead to vehicles in bad repair. And well sites are often in remote locations, meaning difficult drives on treacherous roads that are narrow and in need of repair themselves. These conditions create a dangerous working environment where driver fatigue interacts with the realities of work travel, leading to life-threatening accidents. 

And well sites are often in remote locations, meaning difficult drives on treacherous roads that are narrow and in need of repair themselves. 

NIOSH’s advice includes setting up safety programs to avoid driver fatigue, appointing a member of management to train drivers and maintenance crews, and creating a series of policies and checklists to enforce driver safety. 

Steps You Can Take 

Reducing roadway crashes might be the toughest part of your safety-related job. That’s because you have no control over roads and highways. However, you can still improve safety in this area. 

To get started, check out the guide to Work-Related Roadway Crashes: Prevention Strategies for Employers by the National Institute for Occupational Safety and Health. NIOSH’s advice includes setting up safety programs to avoid driver fatigue, appointing a member of management to train drivers and maintenance crews, and creating a series of policies and checklists to enforce driver safety. 

Mobile forms provide an effective and easy way to build driver safety checklists. You can also use forms to build inspection checklists to ensure the safety of your vehicles and to create vehicle accident reports. Drivers can complete these before setting out on the road (or if an incident occurs) and data is captured and can be accessed in real-time by management instead of waiting for a paper form to return from the field. 

Chapter 2: Struck-By/Caught-In/Caught-Inbetween

According to the latest BLS data, the majority of oil and gas industry worker fatalities are the result of transportation incidents or from being in contact with objects and equipment. 

Examples include a pipe bursting and workers being struck by the broken parts, falling tools hitting someone, hands being caught in a spinning chain, or someone being caught between a vehicle and a piece of machinery. 

Steps You Can Take 

Controlling these hazards starts with proper equipment installation and maintenance. In the drilling process, vibration and material fatigue are ever-present risks, causing materials to potentially break apart and fly toward employees at high rates of speed. So it’s imperative to regularly inspect equipment connections, check pressure gauges, use proper lubrication, and replace defective chains and wire ropes. 

In addition, employees must be properly trained in equipment use and situational awareness. They should be coached to wear required safety equipment at all times (like eye and face protection) and avoid loose clothing and other unsafe garments. 

Here’s where frequent, checklist-driven inspections are essential. Such inspections are vital for identifying defective or improperly installed equipment, monitoring equipment fatigue, tracking employee training, and confirming the proper use of personal protective equipment. 

Inspections of all types can be conducted most efficiently by using mobile forms. There are pre-built templates customized specifically for your industry such as the Oil and Gas Rig Derrick and Substructure Inspection mobile form. Similar forms are available for just about every area of your well or rig — and all can be tailored to meet your specific needs and requirements. 

To learn more about safety and inspections, you can also visit OSHA’s Crane, Derrick, and Hoist Safety page

Chapter 3: Fire and Explosions

Fires and explosions are constant risks for the oil and gas industry. After all, well gases, vapors, and hydrogen sulfide are all combustible. And electrical equipment, welding tools, and even lit cigarettes provide plenty of potential ignition sources. 

BLS data indicates that, in 2021, mining industries (including Oil and Gas) accounted for 10% of all fire-related deaths in private industry. 

With the growth of fracking, where drilling occurs in more densely populated areas, public concern over potentially catastrophic explosions has increased. Safety advocates note that such accidents don’t just threaten the lives of oil and gas workers — they jeopardize all those who live nearby. And that’s no small number: Recent analysis examined the characteristics of the 18 million Americans living within one mile of active oil and gas wells and found there are certain states with around 20% or greater of the population within one mile of a well. 

Steps You Can Take 

When developing your fire prevention and control plan, consider a two-pronged approach, as laid out by the United Kingdom’s Health and Safety Executive energy division. Passive protection prevents escalation of the fire by separating fire risk areas and shielding critical structural areas (temporary refuge and escape routes). Active protection generally requires human intervention to initiate, such as water deluge and foam systems. 

BLS data indicates that, in 2021, mining industries (including Oil and Gas) accounted for 10% of all fire-related deaths in private industry. 

To protect your employees and others from fire, start by taking a big-picture look at the safety design of your rig or well (passive protection). Are you using thermal protection to restrict the rate at which heat is transmitted in the event of a fire? Have you separated fire risk areas in order to better contain a potential blaze? 

Then turn your focus to safety training and equipment maintenance (active protection). Develop stringent safety requirements for hazardous materials handling and storage, and make sure all equipment is regularly inspected and repaired. 

Some areas of your rig, like gas chambers, oil tanks, and electricity rooms, are always under the threat of fire. So those areas should be under constant surveillance and inspected frequently. Mobile forms, such as Drilling Rig Inspection Checklist – Fire Protection Form Template, can be very helpful for creating inspection regimens. 

Fire accidents are highly unpredictable, start in an instant, and can spread in seconds. So employee safety training is critical. Make sure your employees are familiar with your firefighting strategy by running fire drills frequently. And be sure to install extinguishers and other safety equipment in fire-prone places. 

Mobile forms, such as Drilling Rig Inspection Checklist – Fire Protection Form Template, can be very helpful for creating inspection regimens.

Chapter 4: Falls

Of all the safety hazards in oil and gas, falls are one of the most common causes of fatalities. According to the CDC, about 66 percent of the workforce employed by drilling contractors and well-servicing companies spend much of their time working at elevations, and the “misuse or non-use of fall protection systems make fall injuries a significant hazard.” 

While harness failure is the leading cause of injuries and deaths from falls, slippery conditions also present risk. Workers can also fall from platforms, fall out of pickup truck beds, and have ladders or guardrails fail on them. Or they can simply trip. 

Steps You Can Take 

Consider surveying your employees who work at elevations to explore the factors that influence their use of fall protection equipment. Based on the feedback you receive, you may discover some factors you can modify to improve compliance rates and keep your workers safe. 

Of course, it’s crucial for employees to take responsibility for protecting themselves and their colleagues from falls. Elevated workers should inspect their harnesses regularly — and wear helmets, slip-resistant boots, and other safety gear. 

About 66% of the workforce employed by drilling contractors and well-servicing companies spend much of their time working at elevations, and the “misuse or non-use of fall protection systems make fall injuries a significant hazard.” 

Informed employees are safer employees, so make safety training an important part of orientation.

You should also install warning signage where needed, regularly inspect guardrails and stairs, and inspect ladders every time they’re used. It’s also important to prevent spills when possible and to quickly clean up spills that do occur, to avoid creating a slipping hazard. 

By developing safety regulations and consistently enforcing them, and by providing regular safety training for all employees, you can go a long way toward preventing injury-causing falls.

Stay on Top of OSHA Regulations 

Make sure you and your employees are following all of the newest OSHA guidelines. These resources can help:

Chapter 5: Confined Spaces

Oil and gas workers are often required to access tight spaces that present unique dangers. 

These confined spaces include: 

  • Storage tanks 
  • Process and reaction vessels 
  • Boilers 
  • Ventilation and exhaust ducts 
  • Tunnels and pits 
  • Pipelines 

While these spaces may be large enough for workers to enter, they are not necessarily designed for people. In confined spaces, oil and gas workers can be exposed to hazardous chemicals, flammable gases, extreme heat, or exposed live wires. Workers run the risk of being unexpectedly engulfed, and asphyxiation can be an ever-present risk. 

Steps You Can Take 

According to OSHA regulations, confined spaces that contain or have the potential to contain a serious atmospheric hazard must be classified as permit-required confined spaces, tested prior to entry, and continuously monitored. For other factors that would require you to get a permit for a confined space, check out OSHA’s website. 

Confined spaces should be equipped with ventilation hoses to provide air and exhaust hoses to suck out toxic vapors. Safety-inspected guardrails and ladders might also be needed to prevent falls. And be sure that any worker who enters confined spaces is properly trained and equipped. 

Keeping workers safe in the field is easier than ever with the use of mobile forms. You can download pre-built, customizable inspection checklists for mud pits, petroleum storage tanks, pipelines, and more. 

Of course, these 5 common hazards aren’t the only dangers faced by oil and gas extraction workers. 

Most oil and gas rigs release high concentrations of hydrogen sulfide gas, and almost all hydrofracturing sites use fracking silica (sand). Both pose potential respiratory dangers. Hazardous levels of hydrogen sulfide can cause paralysis, leukemia and other cancers, and death. And silica exposure can lead to lung diseases. To avoid acute and long-term health issues, rig and fracking workers must be diligent about wearing the required eye, face, and respiratory protection masks.

Emergency Planning and Training 

All of these dangers — and others, such as exposure to radioactive material, heat extremes, machinery failure, and harmful noise levels — can be controlled with proper planning, training, and strong safety inspection plans. 

Any plan has to start with an evaluation of the hazards at your worksite. Many companies within the oil and gas industry use the Job Safety Analysis (JSA) process to identify hazards and find solutions. 

To avoid acute and long-term health issues, rig and fracking workers must be diligent about wearing the required eye, face, and respiratory protection masks. 

In a JSA, you focus on a specific task and then break down its components — from task to task and even movement to movement within each task. Then you identify hazards that can occur during each step. Finally, you decide how to reduce those dangers. 

Once you’ve completed a JSA and put together a safety plan, focus on training your employees. OSHA offers many training courses on safety and health hazards. Other courses are available through trade associations, such as the American Petroleum Institute, and through various companies, such as Honeywell Analytics’ flame- and gas-detection classes. 

The International Association of Drilling Contractors is developing a database of knowledge, skills, and abilities that workers need to master in order to be competent in different rig positions. Once this database is completed, you’ll be able to type in a worker’s job title and type of rig, and then receive a list of what the worker should be competent in to safely perform the job. 

It’s important not to neglect the safety of contractors and temporary workers. A recent NIOSH analysis of deaths and injuries in the industry concluded that these workers should be as well trained as your full-time employees. 

The bottom line is that when it comes to safety, emergency planning and training are critical.

GoCanvas customizable mobile forms, which can be built from scratch or based on standard templates, help you create forms that standardize procedures to safeguard employees, worksites, and assets.

Conclusion

While there are plenty of hazardous activities at any oil or gas extraction site, those dangers can be managed and prevented. 

Accident rates have dropped steadily since the 1990s, as the industry has made huge strides in safety improvements — by increasing automation and by providing frequent and thorough safety training. 

That said, the only way oil and gas industry leaders can continue this positive trajectory is to be constantly vigilant about safety. 

That’s where the power of advanced digital technologies helps businesses improve safety and reduce risk. 

Customizable mobile forms, real-time data collection and business insights, and automated workflows supported through a cloud-based platform eliminate tedious, manual processes and provide visibility into worksite operations.

For example, safety procedures can be standardized through mobile forms workers can access from anywhere and data and reporting on job site conditions can be captured and shared in real-time to support business decisions. Together, these solutions help businesses identify and reduce risks, resulting in tangible time and cost savings. 

GoCanvas offers digital and automated safety compliance and asset management solutions to help you make your oil and gas worksites safer and reduce risk. Our solutions are customizable, and we are dedicated to your success, partnering with you to scale your business.

Ready to Rethink How You Work?

GoCanvas has helped a variety of businesses across multiple industries transform their safety processes and rethink their efficiency, ultimately saving them money. Why not do the same? Reach out to one of our experts today to kickstart your process revolution.

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Marko Petroleum Improves Data Accuracy with Mobile Forms

How Marko Petroleum Improved Data Accuracy with GoCanvas

Background

  • Industry: Oil & Gas
  • HQ Location: Augusta, Georgia

Highlights

  • 10+ Hours Saved in Productivity Weekly
  • 20,000+ Submissions
  • Improved Accuracy and Safety within Their Business

The Case for GoCanvas

Marko Petroleum, established in 1927, is a family-owned business headquartered in Augusta, Georgia. They are in the hauling business and specialize in transporting ethanol that goes into gasoline to designated pipeline terminals.

Marty Koger, the owner of Marko Petroleum, began to grow the business by opening a new location in Charleston, South Carolina. With a new location came more trucks in his fleet and more loads for his drivers to complete. Marty knew with the growth of his business, and having a location that was three hours away from headquarters, he would need to find a better solution for data collection and communication with his drivers.

Finding a Solution that Could Grow with Their Business

Before finding GoCanvas, Marko Petroleum was using a very colorful schedule for drivers on Excel. Marty would take a picture of the schedule and text it to his drivers so they knew which loads they were doing that day. While trying to build out the business, Marty realized he needed to find a more efficient way to get these schedules to his drivers. After a quick google search, he came across GoCanvas and realized, “this is exactly what I’m looking for, and even more than I could have imagined.” With being such a niche company, he needed a platform that would allow customization and flexibility in his forms.

Today with GoCanvas, Marko Petroleum drivers receive the schedules of their loads that day through GoCanvas. They are able to fill out their bill of ladings and proof of deliveries through the platform and send it back to the office in real time. GoCanvas holds the drivers responsible for sending back accurate information, since this industry is all about safety and accuracy. Marty said, “Drivers hear it over and over again, safety and accuracy, and GoCanvas gives me that accuracy.”

Before GoCanvas, when information came back to the office, Marty would have to re-enter all the data back into QuickBooks, causing him to lose two hours each morning. Now with GoCanvas, the information is imported into Quickbooks through a CSV file, saving Marty many keystrokes and typos.

“Drivers hear it over and over again, safety and accuracy, and GoCanvas gives me that accuracy.”

– Marty Koger, Owner of Marko Petroleum

Improved Data Analytics

GoCanvas has helped Marko Petroleum manage their data in a quick and efficient way, allowing them to keep up with their large volume of jobs. With the ability to upload information automatically into Quickbooks, Marty has saved himself 10 hours a week in productivity. GoCanvas has also enabled them to streamline the job of an accounting and administrative person, saving them thousands of dollars in salaries.

Marty also mentioned that the customer service at GoCanvas has made this process much easier for Marko Petroleum, since he was able to ask specific questions and get answers every single time. They also are grateful for the business insights of GoCanvas. The ability to import information into a CSV file so they have a full overview of the data being collected has been very powerful for their company. Overall GoCanvas has helped to eliminate mistakes in an industry that can’t afford to skip on accuracy. According to Marty, “GoCanvas is a very important part of Marko Petroleum.”Ready to Rethink How You Work?

Ready to Rethink How You Work?

GoCanvas has helped a variety of businesses across multiple industries transform their safety processes and rethink their efficiency, ultimately saving them money. Why not do the same? Reach out to one of our experts today to kickstart your process revolution.

The Guide to OSHA’s New HazCom Standard: 6 Steps to Compliance

The Guide to OSHA’s New HazCom Standard: 6 Steps to Compliance

Improve Your Compliance and Save Time

What you’ll learn in this guide:

The deadline to have a HazCom program in full compliance is coming — June 2016. The new changes will impact several areas of your company, but is your business ready? We’ve created a guide to help you cut through the legal jargon and develop a strong compliance plan.

In this ebook find out answers to questions including:

  • The important change in labeling chemicals
  • What you do and don’t need in a written HazCom plan
  • New training requirements for non-native English speakers


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