Neftegazstandart-2009 Kazan 9 September 2009

Neftegazstandart-2009 Kazan 9 September 2009 Trends/drivers in international standards for equipment for the oil and gas sector Neil Reeve Chair ISO/TC67, and OGP Standards Committee Introduction and purpose This presentation sets out to explain the following: Description of ISO/TC67 OGP standards position Oil companies use external standards Changes: in market, ISO/TC67, and other Standards Developing Organizations Way forward

ISO TC67 organisation and secretariat (flag) Re-established in 1989 with ANSI/API holding secretariat Member countries: 32 participating, 28 observing Involves more than 1,500 engineers around the globe Annual plenary meeting, next in Canada, 1-2 October 2009

Management Committee meets three times per year Published standards: 139 Current work programme: 71 standards (new + revisions) Handover to NEN in Oct 09 WG8 Materials, welding, etc. TC67 COUNTRY MEMBERS Participating Members Observing Members

ISO/TC 67 statements Mission: To create value-added standards for the oil and natural gas industry Vision: Global standards used locally worldwide Goals: Prepare standards required by this industry Prepare standards that could be adopted worldwide by bodies such as API and CEN Publish standards that enable companies to minimize their specifications Deliver standards to the target dates on the agreed work programme Kazan - Sept 2009

ISO TC67 has published 135+ standards. API has adopted 65+ of these as joint API / ISO standards. CEN has adopted 115+ of these as joint European EN ISO standards. China, Gulf Region, India, Kazakhstan etc. have also adopted many of these ISO standards. Follow these industry standards ISO/TC 67 accomplishments: Cumulative number of documents published 140 125 120

134 116 109 96 100 76 80 60 60 41 40

19 20 0 128 0 2 6 6 8

1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Note: excluding fasttrackISOs OGP position on standards OGP strongly supports the internationalisation of key standards. OGPs position on standards includes: Promote development and use of ISO and IEC International Standards. Ensure standards are simple and fit for purpose. Use International Standards without modification wherever possible. Available resources should be used efficiently, avoiding duplication of effort. Company specifications should be minimised. Promote users on stardards work groups. The T adoption of this approach is expected to minimise barriers to trade, enable more efficient worldwide operations, and improve the technical integrity of equipment, materials, and offshore h

structures used by the petroleum, petrochemical and natural gas industries. e For full position, see International Association of Oil & Gas Producers, (OGP) report No. 381, April a 2007. d o p Example: Shell Transparent Standards StructureManagement control Knowledge feedback Increased resources

for critical standards External External Standards DEP Business justification to deviate Shell Group Common Base. Central organization responsibility

Company Variation Project Variation Local Operating Company responsibility DEP Design and Engineering Practice Company Variation EGGS in USA; ESTGs in Canada; ERDs in Oman etc Example: Shell focus on key external standards 200 standards managed 2,000

standards referenced in DEPs 20,000 titles accessed each year 100,000 standards made available to Shell 1,000,000 standards published worldwide Changes in Market Essentials remain the same, but

World financial climate Increasing globalisation of markets (import/export) Downsizing/sharpening projects Increasing need for good, up to date, globally relevant technical standards Towards: 1 standard, 1 test, accepted everywhere Total Cost of Ownership Change in ISO/TC67 Secretariat ANSI/API (USA) have decided to relinquish the Secretariat of ISO/TC67 after 20 years service ISO have allocated this Secretariat to NEN (the Netherlands) July 2009

Effective after ISO/TC67 plenary meeting in October 2009 Expected: Neil Reeve Chair (Shell) Harold Pauwels Secretary (NEN) Changes in ISO/TC67 New Secretariat New Work Group 8 on Materials (Brazil) New Work Group 10 on LNG (Japan) Steadily increasing membership (new: Bahrain, Belgium, Iran, Kazakhstan and Sweden) Steadily increasing participation (Brazil, China,

Russian Federation) More than half the portfolio has been revised at least once or is in revision Members of ISO/TC 67 32 Participating (P) Members: Argentina, Bahrain, Belgium, Brazil, Canada, China, Denmark, Finland, France, Germany, Indonesia, Iran, Italy, Japan, Kazakhstan, Korea, Libya, Mexico, Netherlands, Nigeria, Norway, Portugal, Qatar, Romania, Russian Federation, South Africa, Spain, Sweden, Ukraine, United Kingdom, USA, Venezuela 28 Observer (O) Members: Australia, Austria, Azerbaijan, Bulgaria, Colombia, Croatia, Cuba, Czech Republic, Ecuador, Egypt, Hong Kong, Hungary, India, Ireland, Malaysia, Moldova, Mongolia, Oman,

Poland, Saudi Arabia, Serbia, Singapore, Slovakia, Switzerland, Thailand, Trinidad and Tobago, Turkey, Viet Nam Changes in other Standards Developing Organizations Strong position of ISO, IEC Continuous performance of ISO/TC28 and 193, and range of other ISO and IEC TCs Continually growing CEN/CENELEC, but many based on ISO/IEC standards New Russian Federation TK23 EASC Growing Gulf Standards Organization Continuing performance of US Standards Developing Organizations

Growth of CEN European Standards 15000 13300 9900 10000 6400 5000 2400 0 60

130 400 1981 1985 1990 1995 2000 2005 Cumulative number of published CEN standards

2008 MORE THAN 200 MILLION CARS IN EUROPE RUN ON EUROPEAN STANDARDS! Standardization Bodies Relationships RR ee International cc oo Regional gg nn ii ss National ANSI ee dd

Industry Companies Kazan - Sept 2009 API ISO / IEC Vienna Agreement CEN / Russia, China Brazil, etc. ASME OPERATORS

L i a i s o n OGP CENELEC Other European BSI

EEMUA CONTRACTORS EI SUPPLIERS Conclusion and way forward ISO/TC67 has a solid portfolio of standards for equipment for our industry. Other international standards committees, also. They are developed by experts from oil companies, manufacturers, certification bodies and regulators from all over the world. Increasingly, they are used by companies and accepted by regulators around the world.

For cooperation, not competition. The increasing Russian Federation presence is welcomed. ISO/TC 67 Vision Global Standards Used Locally Worldwide Thank you for invitation to Neftegazstandart-2009, to share this with you [email protected] www.iso.org www.ogp.org.uk

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