API releases unconventional production community engagement standard

The American Petroleum Institute issued a new standard specifically aimed at effectively engaging with US communities affected by exploration and development of unconventional oil and gas resources. ANSI-API Bulletin 100-3 emerged following 3 years of meetings and discussions with producers, community leaders, state regulators, property owners and other stakeholders, API Standards Director David Miller said.

“It’s a first-of-its-kind industry standard for community engagement,” he told reporters on July 9. “These guidelines will provide a roadmap for oil and gas operators seeking to build lasting, successful relationships with local residents in areas of the country where energy development opportunities are open for the first time, thanks to advances in horizontal drilling and hydraulic fracturing.”

The new unconventional production community engagement standard is similar to others that already exist for pipelines and rail transportation, Miller said. He and New York State Petroleum Council Executive Director Karen Moreau, who also participated in the teleconference, emphasized that it was not a knee-jerk response to recent court decisions or moves by communities to restrict or ban fracing.

“We’re not here to mirror environmental groups’ activities,” Moreau said. “Our member companies spend their time developing technologies and improving production to make their operations better. We don’t take our cues from environmental groups which apparently aren’t held to the same standards we are. Many of the bans in New York are in towns where there are no prospects for development. We’ve been engaging with communities where it looks more likely.”

Steps during five phases

Miller said the new standard provides a detailed list of steps that producers can take to help local leaders and residents prepare for energy exploration, minimize interruption to their communities, and manage resources. It is divided into five oil and gas development phases: entry, exploration, development, operations, and exit.

“During the entry phase, companies determine the potential for energy extraction in a given area,” Miller explained. “They are encouraged to introduce key personnel to local leaders, share information on safety commitments and operational goals, and set professional standards for local employees and contractors.”

Once exploratory drilling begins, producers are encouraged to focus on transparency, open dialogue, and education, he continued. Community meetings and discussions around training for job opportunities are recommended, he said.

“In the development phase, as operations are expanded to match the potential of local resources, companies are urged to work with local emergency responders to prepare against any potential risks,” Miller said. “They also are prompted to engage with local authorities, develop relationships with mineral owners, and promote best practices regarding safety and environmental protection.”

Maintenance, traffic safety

Miller said once operations begin, industry presence declines as existing wells continue to produce, while affected land is reclaimed and restored. “Long-term standards for maintenance and traffic safety are recommended, as well as a public feedback mechanism that allows local residents to maintain two-way communication with company representatives,” he said.

Finally, during the exit phase, companies may close or transfer ownership of local operations, sometimes after decades of successful production, he indicated. “Just as companies plan for their original entry, it is recommended that they engage with the community regarding plans for reclamation and restoration, and prepare stakeholders for the transition,” he said.

“Each community is different, and the standards are not designed to be exhaustive, but rather to serve as a reference for developing a plan-of-action that matches the needs and concerns of a broad range of stakeholders—from rural farmers to indigenous tribes,” Miller said. “As with all our standards on hydraulic fracturing, API’s Global Industry Services division will work hand-in-hand with industry participants to educate operators on the successful deployment of engagement strategies.”

Moreau said that New York state law already gives communities the right to regulate their roads and taxes, and API strongly supports that concept. It backs state preemption in other areas because elected local and county councils can change members every 2 years, and producers making spending commitments over longer periods need more stability, she said.

Contact Nick Snow at nicks@pennwell.com.

Related Articles

EPA approves Magellan’s Corpus Christi splitter project

12/12/2014 The US Environmental Protection Agency has issued a final greenhouse gas prevention of significant deterioration construction permit to Magellan Pr...

Keyera to take majority interest in Alberta gas plant

12/12/2014 Keyera Corp., Calgary, will pay $65 million (Can.) to buy a 70.79% ownership interest in the Ricinus deep-cut gas plant in west-central Alberta.

PBF Energy, PBF Logistics make management changes

12/12/2014 Matthew Lucey, currently executive vice-president of PBF Energy Inc., will succeed Michael Gayda as the company’s president. Todd O’Malley, current...

TAEP: TPI still peaking, but ‘contraction unavoidable’ as oil prices fall

12/12/2014 The Texas Petro Index (TPI), a composite index based on a comprehensive group of upstream economic indicators released by the Texas Alliance of Ene...

MARKET WATCH: NYMEX crude oil price extends slump

12/12/2014 Crude oil prices extended their slump on the New York market with a Dec. 11 settlement of less than $60/bbl for January, and prices continued downw...

US needs more data before ending crude export ban, House panel told

12/11/2014 Much more environmental impact information is needed before the US can reasonably remove crude oil export limits, a witness told a House Energy and...

BOEM raises offshore oil spill liability limit to $134 million

12/11/2014 The US Bureau of Ocean Energy Management increased the liability limit for oil-spill related damages from offshore operations to $134 million from ...

Rosneft, Essar sign terms of oil supply agreement

12/11/2014 OAO Rosneft and Essar Energy PLC have signed key terms of an oil supply agreement in New Delhi. Rosneft said shipments to India may begin in 2015.

Barton introduces bill to remove US crude export limits

12/11/2014

US Rep. Joe Barton (R-Tex.) introduced legislation that would remove US crude oil export limits that have been in place for nearly 40 years.

White Papers

AVEVA NET Accesses and Manages the Digital Asset

Global demand for new process plants, power plants and infrastructure is increasing steadily with the ...
Sponsored by

AVEVA’s Approach for the Digital Asset

To meet the requirements for leaner project execution and more efficient operations while transferring...
Sponsored by

Diversification - the technology aspects

In tough times, businesses seek to diversify into adjacent markets or to apply their skills and resour...
Sponsored by

Engineering & Design for Lean Construction

Modern marketing rhetoric claims that, in order to cut out expensive costs and reduce risks during the...
Sponsored by

Object Lessons - Why control of engineering design at the object level is essential for efficient project execution

Whatever the task, there is usually only one way to do it right and many more to do it wrong. In the c...
Sponsored by

Plant Design for Lean Construction - at your fingertips

One area which can provide improvements to the adoption of Lean principles is the application of mobil...
Sponsored by

How to Keep Your Mud System Vibrator Hose from Getting Hammered to Death

To prevent the vibrating hoses on your oilfield mud circulation systems from failing, you must examine...
Sponsored by

Duty of Care

Good corporate social responsibility means implementing effective workplace health and safety measures...
Sponsored by

Available Webcasts


On Demand

Optimizing your asset management practices to mitigate the effects of a down market

Thu, Dec 11, 2014

The oil and gas market is in constant flux, and as the price of BOE (Barrel of Oil Equivalent) goes down it is increasingly important to optimize your asset management strategy to stay afloat.  Attend this webinar to learn how developing a solid asset management plan can help your company mitigate costs in any market.

register:WEBCAST


Parylene Conformal Coatings for the Oil & Gas Industry

Thu, Nov 20, 2014

In this concise 30-minute webinar, participants have an opportunity to learn more about how Parylene coatings are applied, their features, and the value they add to devices and components.

register:WEBCAST


Utilizing Predictive Analytics to Optimize Productivity in Oil & Gas Operations

Tue, Nov 18, 2014

Join IBM on Tuesday, November 18 @ 1pm CST to explore how Predictive Analytics can help your organization maximize productivity, operational performance & associated processes to drive enterprise wide productivity and profitability.

register:WEBCAST


US HYDROCARBON EXPORTS Part 3 — LNG

Fri, Nov 14, 2014

US LNG Exports, the third in a trilogy of webcasts focusing on the broad topic of US Hydrocarbon Exports.

A discussion of the problems and potential for the export of US-produced liquefied natural gas.

These and other topics will be discussed, with the latest thoughts on U.S. LNG export policy.

register:WEBCAST


Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected