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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 30, 2017


  1. Alliance Background

    1. Date Signed

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

    2. Evaluation Period

      September 24, 2016 to September 24, 2017

    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 600 member companies who employ between 350,000 to 400,000 workers.

    4. Implementation Team Members

      OSHA

      Kelly Knighton, OSHA Region VI Regional Administrator
      Josh Flesher, OSHA Region VI Assistant Regional Administrator – Cooperative and State Programs
      Doug Huddleston, OSHA Region VI Alliance Coordinator

      AESC

      Kenny Jordan
      Executive Director
      Kevin Northcutt
      HSE Committee Chair
      Matt Daniel
      HSE Committee Past Chair
      Danny Thomas
      HSE Committee Vice Chair
      Nick Messersmith
      HSE Committee Secretary/Treasurer
      Eric Rosemann
      HSE Committee member
      Lonnie Neitermayer
      HSE Committee member
      Thomas Francis
      HSE Committee member
      David Etchelecu
      HSE Committee member
      Ian Spahr
      HSE Committee member
  2. Implementation Team Meetings

    The executive committee members and officers meet in person, and via conference call to plan for upcoming events. The executive committee members assist the officers with lining up sponsors and speakers at the bimonthly meetings as well as facilitate the meetings. OSHA Region VI personnel meet with executive committee members to discuss and plan upcoming events.

    Training and Education

    • 11/27/2016 – A quarterly planning meeting was held with AESC executive committee members in person to discuss upcoming events, such as the Oil & Gas Safety and Health Conference, proposed service rig orientation training for OSHA Compliance Safety and Health Officers (CSHO), as well as other planned activities during the quarter.
    • 11/29/2016 – Oil & Gas Safety and Health Conference, Houston, Texas – Representatives from OSHA and UT Arlington OSHA Training Institute Education along with oil and gas industry leaders participated in the 2016 Oil and Gas Safety and Health Conference held in Houston, Texas. Dr. David Michaels, OSHA Assistant Secretary, provided attendees with the latest OSHA focus areas, and injury and illness data. National Institute for Occupational Safety and Health (NIOSH) Director Dr. John Howard provided attendees an update on NIOSH activities and industry research projects. Additionally, various industry leaders provided attendees an overview of best practices and trends, as well as new areas of research being conducted in the oil and gas industry.
    • 12/01/2016 – OSHA Region VI Alliance Coordinator drafted an article for the Well Servicing magazine "Updated Recordkeeping/Reporting Regulations" as continuing support of the AESC Alliance. The draft article was provided to the AESC executive committee members for review, and approved January 2017. The article was published in the quarterly magazine.
    • 05/23/2017 – Planning began to host the third annual AESC "Well Servicing Rig Orientation and Training" which would be held in Lubbock, Texas. The event will be a two day event that will focus on the safety and health procedures involved in oil and gas well servicing and how the industry complies with OSHA regulations. The first day will encompass classroom instruction, and the second day will culminate in a "hands-on" demonstration and inspection of an oil and gas service rig.
    • 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.
    • 01/01/2017: AESC participated in the Mobile Engine Hazard Alert that was released in the first quarter (Q1) 2017 through the South Texas Exploration and Production Safety Network (STEPS) Alliance. The alert was distributed to all membership.
    • 09/01/2017: AESC participated in the Hot Work Hazard Alert that was released September 30, 2017 through the STEPS Alliance. The alert was distributed to all membership.
    • 10/01/2017: AESC participated in the development of the "Limitations on Monitors" Hazard Alert, which ran through September 2017. The Hazard Alert document was released for circulation in early December 2017.
    • 10/01/2017: AESC continues to participate along with other industry leaders, OSHA, and the American Petroleum Institute (API) in the revision of the API RP 54 Standard, which is titled "Recommended Practice for Occupational Safety for Oil and Gas Well Drilling and Servicing Operations." The committee meets in person, monthly, to coordinate and affect any recommended changes to the document. The revision project is ongoing and will be set for consensus voting and release in the first quarter (Q1) of 2018.

    Raising Awareness of OSHA's Rulemaking and Enforcement Initiatives

    • 11/01/2016 – 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. Throughout 2017, AESC Health and Safety Executive Committee members continue to play a key role in updating the e-Tool's modules, content and overall structure. The AESC committee members meet monthly to work on module revision and improvement, and continue to play an integral role in the development of the overall structure of the e-Tool. Significantly, AESC was instrumental in providing their submission for the "Plug and Abandonment" portion of the e-Tool to OSHA, for inclusion in the final document.
    • 03/17/2017 – Kenny Jordan, AESC Executive Chairperson, provided North Texas Exploration and Production Safety (NTEPS) members a presentation on "2012 – 2015 Incidents and Citations in Upstream Oil and Gas Industry." The presentation provided NTEPS members with a history of AESC organization, as well as safety statistics tracking programs for Industry and Well Servicing organizations. Additionally, Kenny provided information on "Safe Land" training, which provides workers in the oil and gas servicing industry safety and health training that is crucial to maintaining a safe workplace. Kenny provided an overview of various NAICS codes prominent hazards and current challenges to worker safety. Included in the comparison of various industries was NAICS 2113112, Support Activities for Oil and Gas Operations. Kenny also provided information on leading and lagging indicators, including representative comparisons of each, and their impact on managing a company's safety and health program.

    Outreach and Communication

    AESC continues to work with the South Texas Exploration and Production Safety Network (STEPS), North Texas Exploration and Production Safety (NTEPS), and other networks involving exploration and production companies promoting the National Dialogue on Workplace Safety and Health. Through their work on the revision and improvement of the OSHA Oil & Gas Well Drilling & Servicing e-Tool, development of Hazard Alert Letters, and revision of the API RP 54 standard, AESC continues to advance awareness of safety and health hazards, and is instrumental in communicating these hazards throughout the oil and gas industry.

    Projects and Workgroups

    Throughout 2017, AESC Health and Safety Executive Committee members continue to play a key role in updating OSHA e-Tool's modules, content and overall structure. Significantly, AESC was instrumental in providing their submission for the "Plug and Abandonment" portion of the e-Tool for inclusion in the final document. AESC plays a key role, along with other groups, such as the STEPS network, to produce and disseminate safety and health hazard information throughout the oil and gas industry.

  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 2018 (November 2018)
    • Continue work on the OSHA Oil & Gas Well Drilling & Servicing e-Tool
    • Continued emphasis on Oil & Gas Hazards training, UTA OSHA Education Center – Arlington, Texas, as well as other OSHA Area Offices located in Region VI.
    • Continued participation in the AESC and OSHA Region VI Oil Rig Orientation Training (Spring 2018)
    • AESC Safety/Wireline Conference & Tradeshow (Spring 2018)

    Well Servicing magazine articles (10)

    • Drugs in the Workplace (Sept/Oct edition Well Servicing Magazine) – Kenny Jordan
    • Life Behind the Wheel in the Oilfield (Sept/Oct edition Well Servicing Magazine) – Paul Shouse
    • OSHA New Recording Keeping Reporting Rules (July/Aug edition Well Servicing Magazine) – Rick Ingram
    • What's New in Lockout/Tagout (July/Aug edition Well Servicing Magazine) – Total Safety
    • How to Handle Universal Waste (May/June edition Well Servicing Magazine) – Al Pickett
    • BLS/OSHA Fatality Statistics Released; Trying to Make Some Sense of It All (Mar/Apr edition Well Servicing Magazine) – Kenny Jordan
    • Publication of 2016 AESC Safety Statistics Results (Mar/Apr edition Well Servicing Magazine) – Kenny Jordan
    • DOT and FMCSA Update (Mar/Apr edition Well Servicing Magazine) – Central Analysis Bureau
    • Accidents and Health Issues…Are You Ready (Jan/Feb edition Well Servicing Magazine) – Joyce Ryel
    • Updated Recordkeeping/Reporting Regulations (Fall 2017) – Doug Huddleston
    • Heat Stress (Spring 2018) – Doug Huddleston

    Alliance Progress Meetings:

    Quarterly progress meetings were held on November 27, 2016 and March 17, 2017 with AESC executive committee members to assess the Alliance effectiveness and to facilitate coordination for upcoming events, such as the Oil & Gas Safety and Health Conference, proposed service rig orientation training for OSHA Compliance Safety and Health Officers (CSHO), H2S hazard awareness training, as well as other planned activities during the quarter.

    Due to the occurrence of Hurricane Harvey, and the recovery process undertaken by the oil and gas industry, as well as the federal recovery response efforts undertaken by OSHA and other federal agencies, the AESC Safety/Wireline Conference & Tradeshow was rescheduled until the Spring of 2018. A tentative date of April 2018 was set for the April 16 – 18, 2018 at the Champions Circle Marriott in North Ft. Worth.

    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 30, 2017.

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