Revision of API RP 17N Subsea Production System Reliability, Technical Risk & Integrity Management Don Wells (Hess)

Agenda Introduction Membership General Plans / Progress Detail Progress Integration 17 Committee/ISO

Introduction Incorporate Integrity Management into current API 17N …Subsea Reliability and Technical Risk Management Recognize and incorporate integration with other Industry initiatives Incorporate updates based on feedback from using existing 17N document Respond to recent industry experiences

Membership Room for additional membership Organized into subcommittees Design and Decommission Manufacture, Assembly, SIT, Installation, Commissioning Operations Technology Qualification Regulations Room for additional membership Opportunity to Make a Difference

Membership Graeme Davies – DNV Chairman 2012 John Fassero – ExxonMobil Karl Woods – Woodside Martha Viteri – DNV Michael Taylor – FMC Mzahid Mamot – Petronas Paul Kefford – Chevron Reza Mostofi – DNV Ronald Pechacek – NASA – United Space Alliance Stephen May – Cameron Mike Theobald – Maersk Oil Karina Vitale – Chevron Runar Østebø – Statoil Jason Strouse – National Coupling Anibal Dam – BP John Macneill – Stress Engineering Chairman 2012 Don Wells – Hess Co-Chairman John Allen - GE Mark Siegmund – BP Champion John Strutt - Astrimar Record Keeper Adriana Botto – Wood Group I.M. Membership Lars Buus - DNV David Valentine – NASA – United Space Alliance Denver Roopchand – Atkins Dane Tipton – National Coupling Fuad Ahmad – Petronas James Cencula – GE

Mandate / Goals Add Integrity Management to Current Document Incorporate into all existing KPs & Stages from Concept to Installation / Commissioning Add an Operations Stage / Section Change Tone from Production to Integrity Current tine reflects maximizing production Will add Broader Integrity Environment, etc. Decide on Prescriptive vs. Safety Case Ensure Tie-in with other API documents i.e. API 17 V

General Progress 2010 – 2011 2012 - Planned Storming and forming - Complete Gap Analysis – Mostly Complete Added Runar Østebø – Statoil & convener of ISO/TC67 WG4 2012 - Planned Define Tone (prescriptive / recommend) Work the Gaps Work the Interfaces Industry Peer Assist Workshop (SURF IM Forum)

Detailed Progress Define Scope _ Define Charter _ Divide and Conquer…..Regular Subcommittee meetings 1. Design and Decommission New Key Process (KP) for Through Life under development Does API want Risk Based or Safety Case Approach? (Hybrid?) don’t have all the answers yet. We are working it and this is a representation of where we are. Storm and Form approach has been taken

Detailed Progress Divide and Conquer – cont. 2. Manufacture, Assembly, SIT, Installation, Commissioning Matrix Developed Where & How to test being worked Does Verification and Validation need new KP? (Rewrite KP06?) MOC being worked

Detailed Progress Divide and Conquer – cont. 3. Operations Reviewed and Raised issues with existing 12 KPs Proposed 3 additional KPs Field Modifications Inspection and Monitoring Remedial Intervention Added 3 Processes to “Project Phase Guide to Processes”

Detailed Progress Divide and Conquer – cont. 4. Technology Qualification New Risks Identified – commercial obsolescence Keep integrated as a section in API 17N Utilize DNV RP A-203 as much as possible Completed Activities Received industry feedback on main challenges with Qualifying Technologies Strawman created for TQ section Activities in Progress Drafting started Defining the proper use of TRLs Path Forward Consolidate and review individual sections

Detailed Progress Divide and Conquer – cont. 5. Regulations Managing Committees 1-4 Interfaces Will lead Prescriptive vs. Recommend discussions On hold until more definition / decisions from other committees

Path Forward Path Forward Write Review Continue Subcommittee work Outline of Process to use as QA tool Common Matrix to combine / review completed work Work the idea of using SURF IM Forum to discuss with industry and gather additional input Write Review Ballot – still aiming for year end 2012

Integration API 17A, API Q1 ISO DNV RP A203/API RP 17Q? 14224 - Collection and exchange of reliability and maintenance data for equipment 20815 - Production assurance and reliability management 15663 - Life Cycle Costing TR 12489 - Reliability modeling and calculation of safety systems Review committee draft document Feedback 17N specific comments DNV RP A203/API RP 17Q?

Questions?