Environmental Impact of Oil and Gas Operations
Question:
Discuss about the Oil and Gas Operations for Training and Grooming.
Oil and gas companies should develop a more sustainable approach in operations and management to achieve a fine balance between production and its subsequent effects on environment. The operation should be designed in such a manner so as to have a minimum environmental impact like fresh water depletion or damaging the flora and fauna. In this respect the project management team should pay due attention to the various oil and gas related activities like drilling, field development, and transportation of oil. Oil and gas companies should develop a sustainable approach to business which would craft environmental policies and regulations protecting the best interest (Grant 2016) . A judicious approach is fundamental to eradicate social problems like squalor, proliferation of filth and pollutants are important. In order to achieve the same many oil companies have adhered by the policy of implementing employee training and grooming sessions by which they will be able to alleviate vast amount of environmental issues related with such operations.
Damages caused by exxonmobil
- ExxonMobil is a global industry leader that has taken extensive strategies to deliver its products and services around the world (Brauer 2016). However during one of its projects the company has caused damage to around 1500 acres of marshes, wetlands and fresh waters in New Jersey as a result of which it caused harm to large number of birds and marine species. It triggered mass projects due to the tremendous amount of damage it caused to food and environment. Consequently the damage had a long-term impact on climate of the area (Sarpy et al. 2017).
- Another major malfunctioning of operation occurred in 1989 when Exxonmobil, then Exxon, spilt oil causing large scale devastation to marine life, destroying fish stocks, seabirds the carcass of which was washed up ashore (Fingas 2016). This destroyed the aesthetic quality of the area and hampered the reputation of the company
Today they have acquired an approach of sustainable development and handling of operations, through which they design, operate and manage its projects so as to ensure best measures to mitigate some of the plaguing issues associated with oil and gas operations for instances emission of greenhouse gasses and toxic discharge into the sea(Brauer 2016). Furthermore they have hired a number of experienced professionals capable of supervising over drilling operations by strictly complying with environmental rules and policies and encourage a feel of responsibility towards the surrounding environment amongst the workers. Exxonmobil has also framed IMS Framework dedicated to address the immediate risk in their business and operating as well as taking into consideration the impact it may have on the larger community (Enneking 2014).
Damages by BP
- According to Parsons et al. (2015). British Petroleum has made a mark in media due to the massive amount of damage it caused to the Deepwater Horizon oil killing 11 people and destroying coastal ecosystem and marine life for years to come. The accident which took place in 2010, made the oil spread to the deepest recesses killing pelicans, turtles, seabirds and dolphins (Grant 2016). The 22 mile oil plume also damaged the sea corals and caused a huge financial loss to the company. The accident made apparent BP’s failure to implement experience team members with capability of executing an operation anticipating its possible risks and dangers. It lacked the insight needed to understand the value of managing freshwater and controlling toxic discharges during operations (Fingas2016).
- In 2009, BP witnessed an uncontrolled gas leak around Alaska’s North Slope region which destroyed the ecological balance of the area (Langston 2017).
- Another major instance of BP’s carelessness happened around 2005 when a giant explosion in Texas claimed the life of 15 workers after causing life-threatening damage to 180 workers (Langston 2017). Due to the negligence of BP almost 15 workers were admitted with burns and critical injuries. After examination experts found negligence in the maintenance of equipment and lack of safety workplace on the part of BP’s organizational structure. A defective management led the massive explosion incurring extensive loss to the company.
In response to these accidents BP has developed a number of sustainable goals and strategies and has collaborated with IPIECA to achieve utmost collaboration in order to execute projects in a sustainable manner. Over the years, they have been able to address the key issues and assess their inadequacy in mitigating those issues. In 2016, they decided to collaborate with FFulcru BioEnergy to get access to sustainable fuel which will control excessive damage to fresh air that major oil and gas companies are creating (Hennchen 2015). BP has also acquired spot chattered vehicles. BP also developed a team to address the community problems and complaints in regard to environmental issues and their operations. They adhere to IPIECA on ensuring that their operations are not damaging the community business ad livelihood (Sarpy et al. 2017).
Sustainable Approaches for Exxonmobil, BP, and Royal Dutch Shell
Damages by Royal Dutch Shell
- Royal Dutch Shell has evolved over times to become environment conscious however, Royal Dutch Shell caused more than 88,000 oil spill in the Gulf of Mexico polluting drinking waters in wells, polluting terminal and pipes (Hennchen, E., 2015). The ecological catastrophe fetched criticisms from environmentalists over such an act of carelessness on the part of project management’s team.
- Furthermore in 2003 a gas leak claimed the lives of 2 workers due to the release of hydrocarbon gas resulting due to inefficiency in planning and organizing and a lapse in following the improvement notice (Avio, Gorbi and Regoli 2017). This resulted in a major halt in their operations due to their failure on ensuring the safety of their workers.
Shell has however responded to accidents by deciding to upgrade its platforms and inventing $1bn to ensure the safety of workers as the first priority (Stout et al. 2016). An updated safety and training meant thorough compliance with the standards and safety procedures that should be maintained in the oil and gas project operations. Shell has also decided to cooperate with global vice-president responsible for safety, health and environment of workers in the unit especially around the most dangerous site of operation (Stout et al. 2016).
Additionally Shell has also carefully made large amount of investments in developing renewable solution like wind power and bio fuels to reduce the chances of fatal accidents and irreplaceable damage to the environment (Stout et al. 2016). These measures have the possibility to eliminate the scenarios of oil saturation in sea beds. It is estimated that the clean up often takes up two decades for a complete clean up and reduce further damage to marine life. Shell has also agreed on paying compensations in order to diminish the large-scale damage that some of their operational mismanagement that affected the livelihoods of many people. The steps eliminated to some extent the huge damage that their series of leaks caused to the environment.
The above chat explains the rate of severity level that some of major operations and projects of the mentioned companies have caused. Severity level of environmental damage is indicated by green blocks while financial loss through red blocks.
Reference List:
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Brauer, R.L., 2016. Safety and health for engineers. John Wiley & Sons.
Enneking, L., 2014. The Future of Foreign Direct Liability: Exploring the International Relevance of the Dutch Shell Nigeria Case. Utrecht L. Rev., 10, p.44.
Fingas, M., 2016. Oil spill science and technology. Gulf professional publishing.
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Grant, R. M. (2016). Contemporary strategy analysis: Text and cases edition. John Wiley & Sons.
Hennchen, E., 2015. Royal Dutch Shell in Nigeria: where do responsibilities end?. Journal of Business Ethics, 129(1), pp.1-25.
Kuvshinov, B.N., Danilouchkine, M.G., Robert, V.A.N., Smit, T.J.H. and Hwang, H.J., Shell Oil Co, 2018. Seismic acquisition method and system. U.S. Patent 9,921,321.
Langston, W.J., 2017. Toxic effects of metals and the incidence of metal pollution in marine ecosystems. In Heavy metals in the marine environment (pp. 101-120). CRC Press.
Parsons, M.L., Morrison, W., Rabalais, N.N., Turner, R.E. and Tyre, K.N., 2015. Phytoplankton and the Macondo oil spill: a comparison of the 2010 phytoplankton assemblage to baseline conditions on the Louisiana shelf. Environmental pollution, 207, pp.152-160.
Sarpy, S.A., Burke, M., Rabito, F. and Hughes, J.C., 2017. May. Improving Safety for Gulf Oil Spill Responders: Individual and Organizational Factors Impacting the Effectiveness of Health and Safety Training. In International Oil Spill Conference Proceedings (Vol. 2017, No. 1, pp. 2017-197). International Oil Spill Conference.
Stout, S.A., Payne, J.R., Emsbo-Mattingly, S.D. and Baker, G., 2016. Weathering of field-collected floating and stranded Macondo oils during and shortly after the Deepwater Horizon oil spill. Marine pollution bulletin, 105(1), pp.7-22.
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