1. Lloyd’s Register services to the energy industry
HSE oil and gas management services
Inge Alme
Vice President
Scandpower, Lloyd’s Register Group
22 April 2011

2. Lloyd’s Register services to the energy industry
Impact of the regulatory requirements in the GoM
• The Macondo well failure delivered a hard blow to the offshore industry
• The regulatory response has necessarily been dramatic in order to restore
lost reputation and community trust
Widespread
Complying with changes in the
the regulatory requires way companies
response work in the Gulf
of Mexico

3. Lloyd’s Register services to the energy industry
The challenges of the new safety regime
• Regulators were swift to act; new safety regulations have already been
introduced, and more will come
• One of the more challenging new requirements mandates the implementation
of a Safety and Environmental Management System (SEMS)
Operators
By
November SEMS
2011

4. Lloyd’s Register services to the energy industry
What is the basis for the new SEMS?
• The regulations have been set forth by the Bureau of Safety and
Environmental Enforcement, a division of the Bureau of Ocean Energy
Management, Regulation, and Enforcement (BOEMRE)
• The regulations are based on SEMP (API RP 75) which was introduced 15
years ago to promote better HSE oil and gas practices. This was only a
recommended practice
• The difference is that now they are mandatory
• Companies have one year within which to implement these new procedures
• Companies will be audited within two years of the SEMS being implemented

5. Lloyd’s Register services to the energy industry
Twelve elements of SEMS (based on SEMP)
• The SEMS contain twelve elements
• Mechanical integrity, hazards analysis, operating procedures and
management of change are considered the most important
Mechanical Operating
Hazards analysis
integrity procedures
Hazards Operating
analysis procedures
Safety and
Management of
Training environmental
change
information
Mechanical Management
Safe work practices Pre-startup review
Investigation of integrity of change
incidents
Main
SEMS
elements
Audit of safety and
environmental
Emergency response Records and
program
and control documentation
management
elements

6. Lloyd’s Register services to the energy industry
Implantation of the system
• It is not enough just to create the SEMS; companies must ensure it is actually
used by the organization
• Key element is the organization’s safety culture, which must receive
continuous attention
• It is imperative that companies get this right
Lloyd’s Register’s human engineering professionals
can offer guidance and coaching in this process,
ensuring a successful SEMS implementation

7. Lloyd’s Register services to the energy industry
Lloyd’s Register’s experience and expertise
• From its global involvement in independent third-party audit and verification
work, Lloyd’s Register has developed a keen benchmark understanding of
what is required for a safety management system in this industry to receive
regulatory approval and public acceptance
Oil and gas
HSE Management
industry
Successful
SEMS
implementation
Contracto
Operator Establish Develop Audit
r

8. Lloyd’s Register services to the energy industry
Effective HSE management
• The benefits of implementing a successful SEMS go far beyond just fulfilling
the regulatory requirements:
• Improve own HSE processes
• Avoid accidents
• Avoid environmental spills
• Increase efficiency
• Promote cost-effective operations
• Ensure safety of personnel and plant

9. Lloyd’s Register services to the energy industry
Securing regulatory compliance
• The Lloyd’s Register group of companies, including subsidiaries such as
Scandpower and LRQA, can assist in many ways to secure compliance with
the new regulations, including:
Preparation and development of SEMS
Auditing SEMS by independent third-party
Hazard analysis (for instance, risk analyses, safety studies etc.)
Studies and documentation of mechanical integrity
Establishing management of change procedures
• With the deadline of 15 November 2011 looming, companies need to act
upon the new regulations right now; enlisting the help of Lloyd’s Register
would ensure your company is compliant within the right timeframe

10. Lloyd’s Register services to the energy industry
Engaging with Lloyd’s Register
To contact Inge directly, please visit his LinkedIn page:
www.linkedin.com/in/ingealme
For more information about how Lloyd’s Register can help you, contact us:
Lloyd’s Register
1505 Highway 6 South, Suite 100,
Houston, Texas 77077, USA
T +1 (1) 281 675 3100
E energyamericas@lr.org
W http://www.lrenergy.org