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ANNUAL ALLIANCE REPORT

U.S. Department of Labor
Occupational Safety and Health Administration
Dallas Regional OSHA Office
And the
Association of Energy Service Companies (AESC)

November 22, 2016


  1. Alliance Background

    1. Date Signed

      Original Alliance signed on September 24, 2013, and renewed on February 17, 2016.

    2. Evaluation Period

      September 24, 2015 to September 24, 2016

    3. Overview

      Through the OSHA and AESC Alliance, the organizations are working together to provide AESC members and affiliates in the well servicing industry with information, guidance, and access to training resources to protect employees’ health and safety. OSHA Region VI and AESC continue to successfully partner together to achieve consistent improvements in the safety and health of workers in the well servicing industry. AESC has approximately 800 member companies who employ between 500,000 and 750,000 workers.

    4. Implementation Team Members

      OSHA

      Josh Flesher
      OSHA Region VI Assistant Regional Administrator - Cooperative and State Programs
      Doug Huddleston
      OSHA Region VI Alliance Coordinator

      AESC

      Kenny Jordan
      Executive Director
      Matt Daniel
      HSE Committee Chair
      Sam Tolley
      HSE Committee Past Chair
      Kevin Northcutt
      HSE Committee Vice Chairman
      Nick Messersmith
      HSE Committee Secretary/Treasurer
      Linda Markin
      HSE Committee Program Chair
      Eric Rosemann
      HSE Committee member
  2. Implementation Team Meetings

    Alliance Renewal – AESC and OSHA members held a telephone conference call on October 08, 2015. Kenny Jordan led the discussion, and the members provided feedback on the copy of the draft Alliance. The Region VI Alliance Coordinator led the discussion on the Alliance work plan, and group members provided feedback regarding initiatives and goals for the renewal period.

    On February 17, 2016, Kenny Jordan, Executive Director, AESC and Joyce Ryel, President, AESC met with Kelly Knighton, Acting Regional Administrator, Josh Flesher, ARA Cooperative State Programs and the OSHA Region VI Alliance Coordinator to sign the Alliance Renewal.

    Training and Education

    • 10/18/2015 – Quarterly meeting was held with AESC via conference call to discuss upcoming training for OSHA Compliance Safety and Health Officers (CSHO) and the activities during the quarter.

    • 11/17/2015 – AESC and OSHA participated in training that focused on the properties, detection, hazards and avoidance techniques of Hydrogen Sulfide (H2S). Over 34 OSHA Compliance Safety and Health Officers from the Dallas and Fort Worth Area OSHA Offices, as well as other stakeholders, attended the H2S training. The training was hosted at the University of Texas at Arlington, OSHA Education Center in Arlington, Texas. Mr. Eric Rosemann, HSE Committee member, provided the training. Attendees were provided with “real-life” examples of hazard recognition, effective training, sampling techniques, and safe work practices. Additionally, OSHA Compliance Safety and Health Officers were afforded the opportunity to contribute to the discussion and provide information on hazard identification and avoidance.

    • 11/28/2015 – Oil & Gas Conference, Houston, Texas Planning Meeting – AESC committee members, that included Kenny Jordan, and other AESC members participated in a planning meeting for the upcoming Oil & Gas Safety and Health Conference in Houston, Texas, scheduled for November 28 – 30, 2016.

    • 01/06/2016 – Submitted an article on the new recordkeeping requirement for the Well Servicing magazine, part of the AESC Alliance.

    • 02/01/2016 – Submitted an article on “Occupational Injuries during Oil and Gas Operations, and the Way Forward to Improve Worker Safety.” The article explored various industry statistics, using Bureau of Labor Statistics (BLS) Census of Fatal Occupational Injuries (CFOI) data, looked at activities and events that tend to be indicators of incident and accident trends, as well as explored options, such as partnering with industry through the Alliance process, as well as continued coordination of safety and health training for Oil & Gas well servicing workers.

    • 02/10/2016 – AESC hosted their Annual Winter Meeting at the Horseshoe Bay Resort in Horseshoe Bay, Texas. On February 10th, members met for an opening Executive Committee Meeting and day of golfing at the Ram Rock Golf Course located in Horseshoe Bay, Texas. On February 11th, over 170 AESC members met for the opening and commencement of the formal meeting. The meeting also included a presentation of various safety awards to participating companies. The safety awards were awarded for various levels of recognition of safety performance, which included gold, silver and bronze. Notably, Dr. David Michaels, DOL Assistant Secretary spoke to the AESC group on what to expect to see from OSHA in 2016. Among the various talking points discussed was the roll-out of the new Hazard Alert – “Health and Safety Risks for Workers Involved in Manual Tank Gauging and Sampling at Oil and Gas Extraction Sites.” Dr. Michaels also provided an update on the proposed rule for respirable crystalline silica, and the importance of the rule as it relates to the improvement of working conditions for workers in the Oil & Gas industry.

    • 05/23/2016 – AESC hosted a second annual “Well Servicing Rig Orientation and Training” at the Pioneer Energy Services, Bryan Training Center, Bryan, Texas. The event was a two day event that focused on the safety and health procedures involved in oil and gas well servicing and how the industry complies with OSHA regulations. On the first day, more than 17 OSHA personnel including CSHO’s from the Austin, Houston North, Houston South, and Oklahoma City Area OSHA Offices, two US Environmental Protection Agency (EPA) representatives, as well as a representative from the Petroleum Education Council (PEC) participated in classroom training. On the second day, the attendees were provided an “up-close” view of an oil and gas service rig in action. Following the demonstration, attendees were provided instruction on the safety inspection checklist, where AESC member instructors provided a demonstration of the “walk-around” inspection, utilizing the work-over rig safety inspection checklist. The training provided an excellent opportunity for OSHA personnel to become more familiar with well servicing equipment and operating practices, and facilitated an open discussion with industry professionals about safety & health, as well as hazard mitigation.

    • AESC provided information and expertise, and along with OSHA produced a Hazard Alert titled “Fatalities Associated with Hot Work on Oilfield Tanks, Tankers and Other Related Equipment.” The Hazard Alert letter addresses the hazards of welding & cutting, flammable & toxic hazards, general hazard recognition and safe work practices. AESC was instrumental in providing information, best work practices, and valuable feedback to work group members during the creation of the Hazard Alert letter. AESC plans to include the Hazard Alert in their Well Servicing magazine. (September 2016)

    • 10/18/2016 – AESC and OSHA participated in training that focused on the properties, detection, hazards and avoidance techniques of Hydrogen Sulfide (H2S). The training was conducted at the Canadian Valley Technology Center in El Reno, Oklahoma. Mr. Eric Rosemann, HSE Committee member, provided the training to over 32 CSHO’s and OSHA Consultation personnel. The training included the H2S Clear certification, which provides training on the dangers of H2S, as well as the precautions, tools and controls required when working in and around H2S environments. Additionally, the participants were able to receive some additional instruction on the multi-gas meter and emergency escape respirator.

    Raising Awareness of OSHA's Rulemaking and Enforcement Initiatives

    • 09/24/2015 – Kenny Jordan, AESC Executive Director was sent an invitation from the OSHA National Office to participate in a Workgroup that is tasked to update the OSHA Oil & Gas Well Drilling & Servicing e-Tool. The AESC Health and Safety Executive Committee members played a key role in updating the e-Tool’s modules, content and overall structure.

    • 10/24/2016 – Work continues on the OSHA Oil & Gas Well Drilling & Servicing e-Tool update. The AESC Health and Safety Executive Committee members, along with several key member companies continue to play a key role in updating the e-Tool’s modules, content and overall structure.

    Outreach and Communication

    The AESC continues to work with the South Texas Exploration and Production Safety Network (STEPS), National Service, Transmission, Exploration and Production Safety (NTEPS), and other networks involving exploration and production companies promoting the National Dialogue on Workplace Safety and Health.

    Projects and Workgroups

    AESC became an active participant in the OSHA Oil & Gas Well Drilling & Servicing e-Tool review. The Workgroup conducted a planning teleconference with the OSHA National Office on October 22, 2015, for the purpose of updating and improving the content of the e-Tool. AESC Health and Safety Executive Committee members, along with several key member companies continue the process of reviewing the eTool for overall structure and coverage, format, and a review of modules and sub-modules.

    AESC also worked with OSHA to produce a Hazard Alert “Fatalities Associated with Hot Work on Oilfield Tanks, Tankers and Other Related Equipment” AESC provided input, information and feedback to the working group during the process. Additionally, AESC worked closely with members of the South Texas Exploration and Production Safety Network (STEPS) members. AESC plans to include the Hazard Alert in their Well Servicing magazine. (September 2016)

  3. Results

  4. Activity Number of Individuals Reached or Trained
    AESC Safety/Wireline Conference & Tradeshow 88
    Well Servicing magazine articles on the following:
    Oil & Gas Conference 12,000
    Updated Recordkeeping Standard 12,000
    CSHO and AESC Joint Rig Training 12,000
    Hydrogen Sulfide (H2S) Training 34
    Total 36,122
  5. Upcoming Milestones

    • AESC and OSHA continued participation in the upcoming Oil & Gas Safety and Health Conference 2016 (November 29 – 30, 2016)
    • Continue work on the OSHA Oil & Gas Well Drilling & Servicing e-Tool update
    • Continued emphasis on Oil & Gas Hazards training, UTA OSHA Education Center – Arlington, Texas
    • Continued participation in the AESC and OSHA Region VI Oil Rig Orientation Training (Spring 2017)
    • AESC Safety/Wireline Conference & Tradeshow (Spring 2017)

    Well Servicing magazine articles (4)

    • Amputations Emphasis – Kenny Jordan
    • Silica Hazards – Kenny Jordan
    • Occupational Injuries during Oil and Gas Operations and The Way Forward to Improve Worker Safety (Winter 2015) – Doug Huddleston
    • Heat Stress (Fall 2016) – Doug Huddleston

    Alliance Progress Meetings:

    The AESC and OSHA members also discussed projected articles, projected training and upcoming events, such as: the November, 2015 AESC / OSHA Hydrogen Sulfide (H2S) training; the February 2016 Annual Winter Meeting; and the May 2016 second annual AESC / OSHA rig orientation training.

Summary:

This Alliance continues to provide a means for OSHA Region VI and the oil field services companies to share information through articles published in their publications as well as participation in both AESC and OSHA training events and meetings.

Report prepared by: Doug Huddleston, OSHA Region VI Alliance Coordinator, November 22, 2016.

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