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Posts Tagged ‘Norway’

BOE does not officially resume posting until 30 August, but we wanted to make sure you were aware of Magne Ognedal’s recent remarks to Upstream

“It is very frustrating,” Ognedal said. “We do not have the information we need to finish the job. We know from the transcripts of the inquiry that the Macondo and Montara blowouts appear to have very similar causes.  However we cannot draw any conclusions until we have access to the report.”

I also suggest that you read the text of Magne’s excellent speech during the Safety Luncheon at ONS in Stavanger.

Magne Ognedal Addresses ONS Safety Luncheon

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Hart E&P shares reader feedback about the infamous Tiger Mike. (also, see our precious post)

Meanwhile BOE Senior VP Odd Finnestad recalls experiences with Mike-like characters offshore Norway:

For some reason I think there were many – and still are some – Tiger Mikes around in the business. I know they were here in Norway when our first field, the Ekofisk, was discovered by the “Ocean Viking” and later developed the field way back in the sixties. And when you would be sacked simply for having been clumsy enough to have had your fingers crushed by the makeup or breakout tongs. The comment of the ODECO supervisor would then probably be: “Five minutes for a smoke. Then you come back or you f…. jump on the first f…. helicopter!” He might even have added: “And, if you do, I don’t want to see your f…. face again!” well knowing that it was not really necessary for him to elaborate on the fate of the poor Norwegian roustabout that had just signed on for the good money!

You do not find so many of these supervisors in the offshore NCS today. But I think I can still see some – busily harassing employees in other types of oil and gas related organisations.

The Tiger Mikes of today are much more subtle.  While they may say the right things (at least officially), their actions and offhand comments send other signals.  They insist on making every decision, create an atmosphere where employees are afraid to raise safety concerns, and ignore warning signs that might delay operations and increase costs.

When things go wrong, the temptation for both operators and regulators is to be more like Tiger Mike – more memos, more prescription, and more approvals. While this approach may address certain technical or operational details that contributed to a specific accident, it does not address the fundamental leadership, organizational, and cultural shortcomings that must be corrected to improve operational performance and reduce safety and environmental risks.

Great organizations stimulate and harness employee energy and ingenuity such that the whole is greater than the sum of the parts. Similarly, great regulations foster organizational excellence on the part of both the regulated community and the regulator.

Don’t be like Mike!

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Dette kan skje igjen (This could happen again)~ Magne Ognedal, Director General, Petroleum Safety Authority Norway

Magne’s quote in the Stavanger Aftenblad acknowledges that tragic accidents like the Macondo/Horizon blowout or Alexander Kielland sinking could happen again (see English translation of full article by BOE Europe Chief Odd Finnestad).  Magne goes on to say:

We must appreciate there are risks associated with our petroleum activities, and in our yearly risk assessments we attempt to put in concrete terms what those inherent risks are.  It is up to our national political system to determine whether this risk picture should be accepted or not.

and

We must endeavor to learn from whatever happens around the world, and if there is something that is also relevant to Norway we must apply those lessons, both regulators and industry

Industry and government officials would be wise to follow Magne’s lead and avoid “can’t happen here” statements.  A few of these statements were made in the US after the Montara (Timor Sea) blowout, and we know how that worked out.

Some very experienced and capable offshore managers have had “there but for the grace of God go I” moments in the wake of this disaster.  They know that this is not the time for boasting, piling-on, or schadenfreude.  Like Magne, real leaders are focused on monitoring the investigations, studying the findings and recommendations, and applying the lessons as necessary to further reduce their operating risks and the risks of others who conduct offshore oil and gas operations.

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Syttende Mai

Children's Parade in Oslo, Stortinget (Parliament) in Background

Best wishes to our many Norwegian friends on their National Day, which celebrates the signing of their Constitution on May 17, 1814. Enjoy the holiday!

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Magne Ognedal

BOE is pleased and honored that Magne Ognedal, Director General of the Petroleum Safety Authority – Norway, has agreed to the blog’s first interview.  Magne is an internationally recognized authority on offshore safety and regulatory policy.  He has been a leader of the International Regulators’ Forum since its inception in 1994, has assisted governments with emerging offshore energy programs, and served as program and steering committee chair for major international conferences.   He was recently appointed by the King’s cabinet to a second 6-year term as Director General.  I’m sure you will be interested in Magne’s candid and informative comments about offshore safety, regulatory policy, and international cooperation.

I am glad Norway is one Kingdom!

Update: See Magne’s 10 February comments about offshore safety and PSA’s report- Safety Status and Signals, 2009-2010.  For an e-book version (nice work by Ole-Johan Faret!) click here.

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