Oil and gas operators should be liable for E&P risks
Source: GL Noble Denton , Author: Posted by BI-ME staff
Posted: Thu May 3, 2012 10:16 am

INTERNATIONAL. Oil and gas professionals at the Offshore Technology Conference say that operators should accept complete liability for exploration and production (E&P) risks, according to a poll conducted by GL Noble Denton.

INTERNATIONAL. A poll of delegates attending the Offshore Technology Conference (OTC) in Houston has revealed that oil and gas professionals think operators should be liable for the risks associated with their exploration and production activity.

66% of participants thought that operators should accept complete liability, while 33% thought that E&P risk should be passed on to contractors.

The Industry Snapshot Poll was conducted by global independent technical advisor GL Noble Denton on the second day of OTC, which is expected to attract nearly 80,000 oil and gas professionals from more than 100 countries. The poll was also completed online by senior players across the industry.

The poll result comes two years after the Deepwater Horizon incident in the Gulf of Mexico; a tragic event that has triggered a major re-evaluation of the industry’s risk profile.

Pekka Paasivaara, Member of the GL Group Executive Board, said: “Attitude towards risk has changed dramatically in recent years, causing discussion over who should accept liability if things go wrong. Operators have traditionally accepted liability – except in cases of gross negligence – because they benefit from the upside of production.

“That model has begun to change since the Macondo incident, with some operators passing liability for catastrophic risk to contractors. Our poll shows that the industry at large disagrees with this move, and suggests that operators should be accountable for the consequences of major accidents.”

GL Noble Denton is conducting three Industry Snapshot Polls this week, one for each full day of OTC. Delegates are also being asked to vote on whether gas will replace oil as America’s primary energy source by 2030, and if US investment in deepwater research and development has stalled since the Macondo incident two years ago. To participate in the poll, visit GL Noble Denton at booth number 2241-K. Participants will be entered into a prize draw to win a new iPad after the show.

The results of the polls will be available from: www.gl-nobledenton.com

About GL Noble Denton
GL Noble Denton, part of the GL Group, is an independent technical advisor to the oil and gas industry. With a presence in over 80 countries, the business applies global best practice in safety, integrity and performance across the lifecycle of its clients' on- and offshore assets and operations.

 

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