API Spec Q2

Stacey W. Hagen
SC18 Chairman
Agenda
Cb[ecuve
rovlde hlsLory and lndusLry expecLauons on Al Spec C2
CuLllne
PlsLory of Al Spec C1
8uslness urlvers
Al Spec C2 LlemenLs Speclc Lo urllllng Servlces
8eneLs
lndusLry Collaborauon
- lndusLry lorum
- 8eLa 1esL SlLe AssessmenLs
History of API Spec Q1
Al's Monogram and SLandardlzauon
rograms were esLabllshed ln 1924
8uslness drlver was Lo ensure Lhe producuon
and avallablllLy of safe and lnLerchangeable
equlpmenL manufacLured Lo Al producL
speclcauons
rogram was Lransluoned lnLo a Lhlrd parLy
audlL program ln Lhe mld 1980's under Lhe
Speclcauon of CuallLy rograms, Al Spec C1
LhaL ls now ln lLs 9
Lh
Ldluon
!usL as Lhere were drlvers for Lhe Monogram
rogram, one now exlsLs for Lhe cerucauon
of servlces
Q2 Business Drivers
!"#$%&$ () * +,*-./0 1*%*2$1$%/ #0#/$1

3*&4 () .15-$1$%/*6(%

7%&(%#.#/$%/ *55-.&*6(%

3*&4 () (8$9#.2:/


Q2 Business Drivers

non-roducuve 1lme (n1)
lallures, unrellablllLy,
breakdowns, lnemclencles,
plans gone wrong, ume
wasLed and money wasLed
roblem evenLs LhaL lnLerrupL
Lhe crlucal paLh drllllng
acuvlLy


2,000
0
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
0 20 40 60 80 100
Days
Days vs. Depth
120 140 160 180 200
M
e
a
s
u
r
e
d

D
e
p
t
h
Water Depth = 6,346
22 Casing
13-5/8 Casing
Parted Drill Pipe Recover sh
- Parted FloatSub Recover sh
- Lost BHA. Recovered sh
Lost returns
POCH to test BOP
36 Casing
CBW Target AFE AFE with Supplements Actual (No NPT) Actual
Q2 Business Drivers

non-roducuve 1lme (n1)
lallures, unrellablllLy,
breakdowns, lnemclencles,
plans gone wrong, ume and
money wasLed
roblem evenLs LhaL lnLerrupL
Lhe crlucal paLh drllllng
acuvlLy
Crlucal paLh - lanned
operauons requlred ln
order Lo compleLe Lhe
sLewarded work


2,000
0
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
0 20 40 60 80 100
Days
Days vs. Depth
120 140 160 180 200
M
e
a
s
u
r
e
d

D
e
p
t
h
Water Depth = 6,346
22 Casing
13-5/8 Casing
Parted Drill Pipe Recover sh
- Parted FloatSub Recover sh
- Lost BHA. Recovered sh
Lost returns
POCH to test BOP
36 Casing
CBW Target AFE AFE with Supplements Actual (No NPT) Actual
Q2 Business Drivers
lncreaslng complexlLy of wells
need for lmproved servlce
Lechnology and equlpmenL / Lool
rellablllLy

lncreaslng spread raLes on rlgs
need for sysLems Lo ensure
unlnLerrupLed operauons

Q2 Business Drivers

Servlce cenLers have more Lhan one
cusLomer
Addluonal requlremenLs Lyplcally
specled by one or Lwo cusLomers
A cusLomer may only be 10 of
LoLal buslness
lmplemenLauon / compllance of
requlremenLs only 10 of Lhe ume
ls nexL Lo lmposslble
Root Causes of NPT
Lack of
procedures
Lack of lnspecuon/LesL
Lack of use hlsLory"
logs
noL
followlng
procedures
CompeLency /
1ralnlng
lnsumclenL
conungency
plannlng
Lack of a prevenuve
malnLenance, lnspecuon,
LesL programs
Standardization of Expectations
Specification for Quality Management
System Requirements for Service
Supply Organization for the
Petroleum and Natural Gas Industries
API SPECIFICATION Q2
FIRST EDITION DECEMBER 2011

8eallzauon LhaL lSC 9001 , lSC 1S29001 and
Al Spec C1 applled Lo manufacLurlng
Al 1ask Croup (1C) 3 developed under Al
SC18
Speclcauon for CMS 8equlremenLs for
Servlce Supply Crganlzauons
ldenufy Lhe expecLauons for execuuon of
upsLream servlces lncludlng well consLrucuon,
lnLervenuon, producuon and abandonmenL
ubllshed uecember 13, 2011
Overlap API Spec Q1 vs. Q2
Specification for Quality M
anagem
ent
System
Requirem
ents for Service
Supply O
rganization for the
Petroleum
and Natural Gas Industries
API SPECIFICATION Q2
FIRST EDITION DECEMBER 2011
- Ceneral 8equlremenLs
- CuallLy Manual
- ConLrol of uocumenLs
- ConLrol of 8ecords
- ManagemenL CommlLmenL
- CuallLy ollcy
- lannlng
- ManagemenL 8evlew
- ConLrol of MonlLorlng and
MeasuremenL LqulpmenL
- MeasuremenL, Analysls and
lmprovemenL
Service-Specic Additions in API Spec Q2
Specification for Quality Management
System Requirements for Service
Supply Organization for the
Petroleum and Natural Gas Industries
API SPECIFICATION Q2
FIRST EDITION DECEMBER 2011
CurrenLly no Clalms Lo Lxcluslons" (1.2)
CompeLency / 1ralnlng of ersonnel
8lsk AssessmenL and ManagemenL
1esung, Measurlng & ueLecuon
LqulpmenL (1MuL)
Servlce ueslgn
Conungency lannlng
Supply Chaln ConLrols - Crlucal/non-
Crlucal Servlces
Servlce CuallLy lan
revenuve MalnLenance, lnspecuon and
1esL
Servlce erformance valldauon
ManagemenL of Change

8
e
s
o
u
r
c
e
s

-90+ 0 40 10 20 160+ 80
8lsk
AssessmenL
urllllng Cperauons
ueslgn of
Servlce
M
rograms
Conungency
lannlng
MalnLenance
& Crlucal Spares
- "##$%&'(
)*#+ , -$#.
CA/CC
- /$0123$
4$0560%7*3$
87'297:6*
-;<" )*#+$3:6*#
-=>?
Crlucal
Suppllers
-2%$ @ 02A 97(#B
(AlL) Spud
Cperauons SupporL
- C$'' )*.$A02.(
D$9E3:6* 65 F4-
ConLracLor lnuence
A

l

S
p
e
c

C
2

- -66' )*#+
G 9$'21$0(
CompeLency
Servlce
CuallLy lans
Industry Collaboration
8eLa 1esL SlLe AssessmenLs:
Caps, hurdles and mllesLones for audlung Lo C2
ldenufy compeLencles / Lralnlng for Al SLa /
AudlLors
ldenufy needed resources
1ypes of cerucauons needed Lo meeL lndusLry
needs
When?
8aker - ;(15-$/$<
Schlumberger - ;(15-$/$<
WeaLherford - ;(15-$/$<
PalllburLon - ;(15-$/$<
1ransocean - 3
rd
CuarLer 2013
Crlon urllllng Company - 3
rd
CuarLer 2013
What API Spec Q2 is Not


lL ls noL a LemplaLe
LhaL you ll ln and
clalm compllance.



lL ls noL a cross
reference beLween
your managemenL
sysLem and your
cusLomers
requlremenLs or
Lhe Al C2
SLandard.

lL ls noL a manual
wlLh new buzz
words LhaL you
presenL Lo your
cusLomers.

What is API Spec Q2
lL ls abouL Servlce CuallLy and 8lsk Mlugauon supporLed
by meLrlcs and acLual servlce provlder performance.
Benets of API Spec Q2

lmproves servlce relaLed producL rellablllLy
Mlnlmlzes rlsk Lhrough ldenucauon, plannlng & conLrols
lmproves emclencles
lnLernal & exLernal communlcauon and lnformauon ow
Mlnlmlzes procedural relaLed errors due Lo new CC
requlremenLs assoclaLed wlLh servlces and servlce relaLed
producLs
8lsk assessmenL ldenues crlucal Lasks, sLeps LhaL lmpacL
quallLy, safeLy and Lhe envlronmenL
Key Activities for API Spec Q2
user Culde:
ldenues expecLauons for requlremenLs
rovldes guldance Lo lndusLry for
lmplemenLauon
uullzed Lo Lraln Al AudlLors / SLa
SC18 1C3
ConLacL:
SC18 1C3 Chalrman: SLacey Pagen
sLacey.w.hagen[exxonmobll.com


API Specification Q2
User Guide
FIRST EDITION
Participating Companies
API Subcommittee Structure
Al
Spec C2
Llfe Cycle
Manageme
nL
Al
Spec C1
Al
Spec C2
Llfe Cycle
ManagemenL
Al
Spec C1
SC18
TG 1 TG 2 TG 3 TG 4 TG 5 TG 6 TG 7
AudlLor
Lecuveness
CSOEM
Mln. Mfg.
8equlremenLs
Weldlng Monogram
rogram