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Update on International Standards Activities

JUNE 2002. STANDARDS COMMITTEE. OGP/PETROQUIM 2002. Update on International Standards Activities. Presentation to PETROQUIM 2002 by Wilson Barbosa de Oliveira PETROBRAS TECHNICAL STANDARDIZATION MANAGER International Association of Oil and Gas Producers Standards Committee OGP/SC

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Update on International Standards Activities

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  1. JUNE 2002 STANDARDS COMMITTEE OGP/PETROQUIM 2002 Update on International Standards Activities Presentation to PETROQUIM 2002 by Wilson Barbosa de Oliveira PETROBRAS TECHNICAL STANDARDIZATION MANAGER International Association of Oil and Gas Producers Standards Committee OGP/SC June 2002

  2. ISO/TC67 VISION Global Standards Used Locally Worldwide

  3. ISO/TC-67 • CHAIR: CHERYL STARK (BP/AMOCO)

  4. “CREDO” • DO IT RIGHT • DO IT ONCE • DO IT INTERNATIONALLY

  5. EXTERNAL STANDARDS - HISTORY • 1923 API established • 1947 ISO established • 1961 CEN established • 1970’s/1980’s North Sea developments - no emphasis on international standards • 1987 European “Utilities” Draft Directive • 1988 ISO/TC 67 reactivated - API offer 72 standards • 1991 Vienna Agreement ISO-CEN • 1993 CEN/TC 12 reactivated - 71 work items. CRINE and NORSOK. API Global Policy • 1993/1994 ISO/TC67 published first 17 “fast-track” standards • 1999/2000 Focus on ISO/TC 67. 130 work items (standards) NOTE: BRAZIL - 1940 ESTABILISHED ABNT (NTL STD BODY)

  6. STANDARDIZATION BODIES - RELATIONSHIPS Recognised ISO / IEC International Vienna Agreement CEN / CENELEC Regional L i a i s o n Japan etc. National ABNT Brazil ANSI BSI Other European OGP API ASME EEMUA UKOOA Industry Companies CONTRACTORS SUPPLIERS OPERATORS

  7. SITUATION IN BRAZIL ABNT SINCE 1940 NTL STD BODY ISO/TC & WG SINCE 1947 CB –50 - MIRROR FOR ISO/TC-67 ISO/TC-67 AMM (MERCOSUR) UP TO NOW OGP COPANT PETROBRAS OGP STD CMT NOTE: ABNT ALSO PARTICIPATES IN IEC

  8. INTERNATIONAL STANDARDS ISO/TC67 ISO/TC67: Materials, Equipment and Offshore Structures for Petroleum and Natural Gas Industries • Re-activated in 1988 • Secretariat: United States: ANSI (API) • Chairman: United States: (C. Stark, BP) • 72 API standards offered in 1988, to become ISO standards • 24 P-Members, 21 O-Members • 7 SCs, 47 WGs • Liaisons with 17 other ISO TCs, CEN/TC12, OGP • 121 standards on 2002 work programme

  9. ISO/TC67 STATEMENTS Mission: To create value-added standards for the oil and natural gas industry Vision: Global standards used locally worldwide Goals: • Prepare standards required by this industry • Prepare standards that could be adopted worldwide by bodies such as API and CEN • Publish standards that enable companies to minimize their specifications • Deliver standards to the target dates on the agreed work programme

  10. MEMBERS OF ISO/TC 67 • 24 Participating (P) Members:Argentina, Austria, Brasil, Canadá, China, Denmark, Finland, France, Germany, Indonesia, Italy, Japan, Korea, Mexico, Netherlands, Norway, Romania, Russian Federation, Spain, Sweden, Trinidad and Tobago, United Kingdom, USA, Venezuela • 21 Observer (O) Members: Australia, Belgium, Bulgaria, Canada, Columbia, Cuba, Czech Republic, Ecuador, Egypt, Hungary, Iran, Malaysia, Poland, Republic of Moldova, Poland, Sand Arabia, Slovakia, Switzerland, Thailand, Ukraine, Vietnam, Yugoslavia • 1 Corresponding (C) Member: Hong Kong • External Liaisons • International Association of Oil and Gas Producers • World Customs Organization • International Association of Drilling Contractors • Internal Liaisons • ISO/TC 5 • ISO/TC 17/SC 18

  11. ISO/TC 67 Materials, Equipment and Offshore Structures for Petroleum and Natural Gas Industries ISO/TC67 MC/EC Management and Executive Committee WG 2 SC 1 SC 2 SC 3 SC 4 SC 5 SC 6 SC 7 Certification principles Drilling & completion fluids, & well cements Pipeline transportation systems Drilling & production equipment Casing, tubing & drill pipe Processing equipment & systems WG 4 Offshore structures Linepipe Data collection WG 5 Aluminium drill pipe WG 7 24 Participating (P) Member Countries 21 Observer (O) Member Countries 1 Corresponding (C) Member Country Corrosion resistant materials WG 8 Materials, corrosion control, welding & joining & NDE WG 9 Life cycle costing

  12. 1989 - Paris 1990 - Oslo 1991 - San Diego 1992 - London 1993 - Assen 1994 - Chiba 1995 - Berlin 1996 - Milan 1997 - Jakarta 1998 - Xi’an 1999 - Oslo 2000 - Paris --------------------- 2001 - Samara, Russian Federation 2002 - Denmark 2003 – Italy 2004 - Brazil ISO / TC 67 PLENARY MEETINGS

  13. Oil/Gas Companies Vendors/ Suppliers WORLDWIDE PARTICIPATION IN ISO/TC67 Others 168 380 402 “Others” includes Certifying Bodies, Legislators, National Standards Bodies, Academics etc. Estimated total of 950 people participating in ISO/TC67 from 20 Participating Member Countries and 22 Observer Members

  14. Number of ISO Standards Targeted and Published since 1995

  15. ISO/TC 67 Publications 1995 - 2001

  16. ISO STANDARDS ISSUED BY ISO/TC 67 IN 1999 ISO 13879 Petroleum and natural gas industries - Content and drafting of a functional specification ISO 13880 Petroleum and natural gas industries - Content and drafting of a technical specification ISO 13881 Petroleum and natural gas industries - Classification of products, processes and services (TR) ISO 14224 Petroleum and natural gas industries - Collection of reliability and maintenance data for equipment ISO 3183-3 Petroleum and natural gas industries - Steel pipe for pipe lines - Technical delivery conditions - Part 3: Pipes of requirement class C ISO 14313 Petroleum and natural gas industries - Pipeline transportation systems - Pipeline valves ISO 10432 Petroleum and natural gas industries - Subsurface safety valve equipment ISO 13628-1 Petroleum and natural gas industries - Design and operation of subsea production systems - Part 1: General requirements and recommendations ISO 13628-4 Petroleum and natural gas industries - Design and operation of subsea production systems - Part 4: Subsea wellhead and tree equipment ISO 13702 Petroleum and natural gas industries - Control and mitigation of fires and explosions on offshore installations - Requirements and guidelines ISO 10441 Petroleum and natural gas industries - Flexible couplings for mechanical power transmission - Special purpose applications ISO 14691 Petroleum and natural gas industries - Flexible couplings for mechanical power transmission - General purpose applications

  17. ISO STANDARDS ISSUED BY ISO/TC 67 IN 2000 - 1 ISO TR 13881 Petroleum and natural gas industries - Classification of products and services (Published Apr 2000) ISO 15663-1 Petroleum and natural gas industries - Life cycle costing - Part 1: Methodology (Published Aug 2000) ISO 13623 Petroleum and natural gas industries - Pipeline transportation systems (Published Apr 2000) ISO 13847 Petroleum and natural gas industries - Pipeline transportation systems - Field and shop welding of pipelines (To be published Oct 2000) ISO 10426-1 Petroleum and natural gas industries - Cements and materials for well cementing - Part 1: Specification (Published Mar 2000) ISO 13534 Petroleum and natural gas industries - Drilling and production equipment - Standard for inspection, maintenance, repair and remanufacture of hoisting equipment - Requirements and guidelines (To be published Dec 2000) ISO 13628-2 Petroleum and natural gas industries - Design and operation of subsea production systems - Part 2: Flexible pipe systems for subsea and marine applications (To be published Dec 2000) ISO 13628-3 Petroleum and natural gas industries - Design and operation of subsea production systems - Part 3: Through flow line (TFL) pumpdown systems (To be published Dec 2000) ISO 13628-6 Petroleum and natural gas industries - Design and operation of subsea production systems - Part 6: Subsea production control systems (Published Apr 2000) ISO 13628-9 Petroleum and natural gas industries - Design and operation of subsea production systems - Part 9: Remotely operated tools (ROT) intervention systems (Published Jul 2000)

  18. ISO STANDARDS ISSUED BY ISO/TC 67 IN 2000 - 2 ISO 10405 Petroleum and natural gas industries - Care and use of casing and tubing ISO 13680 Petroleum and natural gas industries - Corrosion resistant alloy seamless tubes for use as casing, tubing and coupling stock ISO 13678 Petroleum and natural gas industries - Evaluation and testing of thread compound systems for use with casing, tubing and line pipe ISO 15544 Petroleum and natural gas industries - Emergency response on offshore installations - Requirements and guidelines ISO 17776 Petroleum and natural gas industries - Offshore platform installations - Tools and techniques for identification and assessment of hazardous situations ISO 13703 Petroleum and natural gas industries - Piping systems - Design and installation on offshore production platforms ISO 13706 Petroleum and natural gas industries - Air-cooled heat exchangers ISO 15547 Petroleum and natural gas industries - Plate heat exchangers ISO 15138 Petroleum and natural gas industries - Offshore platform installations - Heating, ventilation and air-conditioning ISO 13707 Petroleum and natural gas industries - Reciprocating type compressors ISO 10440 -1 Petroleum and natural gas industries - Positive displacement rotary type compressors - process compressors

  19. ISO STANDARDS ISSUED BY ISO/TC 67 IN 2001 - 1 ISO 10423 Petroleum and natural gas industries - Wellhead & christmas tree equipment ISO 10414 -1 Petroleum and natural gas industries - Field testing of drilling fluids ISO 10427 -1 Petroleum and natural gas industries - Bow spring casing centralizers ISO 13533 Petroleum and natural gas industries - Drill-through equipment ISO 15156 -1 Petroleum and natural gas industries - Materials for H2S environment ISO 14310 Petroleum and natural gas industries - Packers and bridge plugs ISO 16070 Petroleum and natural gas industries - Lock mandrels and landing nipples ISO 15136 -1 Petroleum and natural gas industries - Progressing cavity pump system ISO 18165 Petroleum and natural gas industries - Performance testing of cement float equipment ISO 14723 Petroleum and natural gas industries - Subsea pipeline valves

  20. ISO STANDARDS ISSUED BY ISO/TC 67 IN 2001 - 2 ISO 11960 Petroleum and natural gas industries - Casing and tubing ISO 15590 -1 Petroleum and natural gas industries - Induction bends ISO 15649 Petroleum and natural gas industries - Piping ISO 15663 -2 Petroleum and natural gas industries - Life cicle costing ISO 15663 -3 Petroleum and natural gas industries - Life cicle costing ISO 3977-5 Petroleum and natural gas industries - Gas turbines - processment ISO 13691 Petroleum and natural gas industries - High speed enclosed gear units ISO 13704 Petroleum and natural gas industries - Calculation of heaters tube thickness ISO 13705 Petroleum and natural gas industries - Fired heaters for general service ISO 10440 -2 Petroleum and natural gas industries - Positive displacement rotary type compressors - packaged compressors ISO 11960 Petroleum and natural gas industries - Casing and tubing

  21. 27 FOCUS ITEMS FOR ISO/TC67 SUBSURFACE - ISO 10432 (SSSV) - ISO 11960 (Casing &Tubing) - ISO 11961 (Drillpipe) - ISO 13680 (CRA Casing & tubing) - ISO 10426-1,2 (Well cements) - ISO 13500 (Drilling fluids) SUBSEA SYSTEMS - ISO 13628-1 (Subsea systems) - ISO 13628-2 (Flexible pipe) - ISO 13628-4 (Subsea wellhead & christmas tree) - ISO 13628-6 (Subsea production controls) OFFSHORE STUCTURES - ISO 13819-2 (Offshore structures) OFFSHORE TOPSIDES - ISO 10423 (Wellhead & christmas trees) - ISO 13535 (Hoisting equipment) - ISO 13702 (Control and mitigation of fire & explosion) - ISO 13703 (Piping systems) PIPELINES - ISO 13623 (Pipelines) - ISO 3183-3 (Linepipe) - ISO 13847 (Pipeline welding) - ISO 14313 (Pipeline valves) PROCESS FACILITIES - ISO 10437 (Steam turbines) - ISO 10439 (Centrifugal compressors) - ISO 10441 (Flexible couplings - special) - ISO 13706 (Air-cooled heat exchangers) - ISO 13707 (Reciprocating compressors) - ISO 13709 (Centrifugal pumps) - ISO 14691 (Flexible couplings - general) 8 billion 2.5 billion 1.5 billion 1.5 billion 5 billion 1.5 billion TOTAL US $ 20 billion p.a.

  22. COST/BENEFIT Total worldwide industry expenditure covered by the 27 ISO/TC67 Focus List Standards = US $ 20 billion p.a (Shell share 10% = US $ 2 billion) If only 1% is saved by the use of the ISO standards, then BENEFIT = US $ 200 million p.a. Investment to achieve this is COST = US $ 8 million p.a. Hence RETURN = BENEFIT/COST = 200/8 = 25 : 1

  23. Comments on MMS slide “Proposal” Conclusion • Full Support for Proposal with Regard to Common Standards for Equipment Specifications and Recommended Practices • Measured Support for Proposal with Regards to Common Standards for Regulations/Guidelines (Plans, Permits, Procedures)

  24. CONCLUSIONS • The Industry is Moving Towards ISO • ISO/TC67 is Delivering • Removing Barriers to International Trade • OGP Welcomes All the Interest Parties in this Subject

  25. INTERNET WEB SITES • ISO CS http://www.iso.ch/ • ISO TC67 http://www.api.org/iso/tc67/ • API http://www.api.org/ • ANSI http://www.ansi.org/ • CEN http://www.cenorm.be/ • OGP http://www.ogp.org.uk/

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