1. Contractors 1 Transocean – Ran Drill Rig Operations
Owned and maintained the blow out preventer
Managed drill fluids (kept pressure on well)
Haliburton – Cemented the well
Sperry Sun - Provided mud logging equipment and personnel to assist with monitoring the well and pressure fluctuations
Schlumberger - Provided well logging services to measure formation properties
M-I SWACO - Contracted to provide drilling mud products, as well as personnel (mud engineer) to supervise the mud operations
Weatherford - Provided the casing components used in the Macondo well
Dril Quip - Contracted to provide wellhead equipment and the personnel necessary to supervise the installation and maintenance of the equipment
Oceaneering - Contracted to provide remote operated vehicle (ROV) equipment and the personnel required for its operations in order to inspect the subsea equipment 1

2. Who paid the highest price?2

3. Why did it happen? Risk is the space between a Hazard and an Incident3

4. Incident Tracking and Investigation
Don’t we just have to report recordables?
OSHA 300 logs are regulatory minimums
Fatalities
Something horrible happened
Medical Treatment & Lost Time Injuries
Something bad happened
First Aid Injuries
Something minor happened
Near Miss/Hit
Something could have happened/did happen with no effect. 4

5. Incident Tracking and Investigation5

6. Risk Ranking Injury and Fatality License to operate Public perception
Community impact
Business interruption
Financial Instability
What risks matter most to you? Focus on the contractors who contribute to these risks. 6

7. Risk Ranking What are the Hazards?
Which contractors represent the highest risk?
Start Auditing
Look at progams
Ask for evidence (records)
Inspect and observe equipment and activities on site
Create a culture of accountability 7

8. Fatigue Blood Alcohol Level Hours Awake
Coordination and Response Tests
0.00 12
No Impairment
0.025 14
Mild Difficulty
0.08 22
Noticeable Difficulty 8

9. Changing Regualtions 9

10. GHS 10

11. Training Records 11

12. Equipment Inspections12

13. Water Hauler Contractors13

14. Water Truck Incidents 14

15. Meeting Result Ran off one contractor – not interested in compliance
Paid the other ones more
one route has a tight turn / farmers fence replaced 31 times in 5 years
Single roll over cost one contractor $1.2 Million
Nearly put him out of business 15

16. Summation If you hire a contractor to do this…
Make sure you are doing this, and this and this. 16

17. Questions? 17