Upstream Engineering Centre

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1 Upstream Engineering Centre BP s Subsea Reliability Strategy 10 years on David Saul BP Advisor, Subsea System Reliability MCE Deepwater Development April 2014 With acknowledgements to D Brookes, K Williams and Z Bruce

2 Introduction and Aims David Saul, I work in BP s Upstream business Reliability and Technology Lead for BP s Global Subsea Hardware team Our role is to deliver standardised subsea hardware to all BP s major projects, utilising global agreements with key equipment suppliers Company Advisor for Subsea System Reliability My presentation today will look at how BP s subsea reliability strategy has developed since it s formal launch in

3 The Drivers for Improvements in Subsea Equipment Reliability The realisation that BP needed to focus on improving availability of subsea equipment started to gain traction from the early 2000s driven by 3 areas of challenge 1. Continued subsea equipment failures electrical and hydraulic connectors, valves, umbilicals, subsea electronics analysis suggested over 60% of subsea wells experienced failure, often in early life 2. Expansion BP and others were predicting massive increase in subsea wells 3. Production costs oil dropped to around $10 barrel in 1999 even with prices increasing, the impact of premature failures raised questions over the viability of the projected expansion BP 2004 SUT presentation 3

4 BP s Early Reliability Strategy Improved availability can be achieved in 2 ways: Extend failure free operating period (reliability) Reduce time to restore system (maintainability) The strategy targeted Increasing value for BP by driving for reliability rather than maintainability to achieve availability Internal strategy goals guideline documents on how reliability improvement initiatives should be implemented across BP s current & future subsea activities External strategy goals Work to codify reliability and qualification processes as new API / ISO standards Encourage suppliers to use the Capability Maturity Model (CMM) to drive reliability improvement in-line with that achieved in the Auto industry 4

5 BP s Early Reliability Strategy The first published strategy was based on a 13 stage process 5

6 End of 2009 Status Internal project audits at the end of 2009, revealed that uptake the reliability strategy was patchy some projects using it well, some hardly at all clear successes but clearly examples of poor early life performance good early buy-in from suppliers, but evidence that this has not been sustained Reasons varied, but included: too complex not mandatory business case not properly recognised need for more clarity around roles and accountabilities Technical assurance elements working well 6

7 2013 Reliability Engineering the BP way Using the learning's from the 2009 review and capturing wider changes in BP the strategy was formally re-launched in 2013 Key changes simplification clearer guidance on application of techniques strengthened focus on reliability engineering as a core design input greater enforcement, mandated for all subsea projects more support for projects BP RAM data specialists appointed appointment of subsea reliability Advisor updated reliability training offer, mandated for new graduates more effective in-service performance measurement to enable improved input to OREDA and in-house performance databases 7

8 Key Concept the Reliability Assurance Cycle The revised strategy is based on the concept of a Reliability Assurance Cycle joined-up structured approach for management of reliability and technical risk worked across the complete project cycle 4 Steps: defining RAM goals and requirements creating consistent plans to achieve them implementing reliability activities in accordance with the plan providing feedback and assurance 8

9 Reliability Processes Within the Assurance Cycle Technology risk / level assessments are used to plan which implementation and assurance tools are likely to provide the best value to BP Basic tools such are worked by the project engineers with the more complex methods such as Fault Tree Analysis being run by specialist practitioners As the project develops the tools are applied at a more detailed level Project engineers are encouraged to see reliability work as part their core engineering delivery scope as important as the actual hardware! A reliability engineer assigned to each project provides assurance The Reliability Assurance Document (RAD) is used to collect the data from the reliability processes / tools 9

10 Score Card v 2013 Original Goals Reliability recognised as a core No Yes subsea discipline Formalised BP processes No Yes, mandated BP Group Practices Industry standards covering subsea No Yes, API 17N reliability Being applied to all BP projects No Greenfield -Yes Brown field Part Open sharing industry culture around learning from failures Tier 1 suppliers at CMM level 5 Evidence of reliability processes being used to drive design activities Reducing component early life failure trend Good 1 st year availability performance Embryonic initiatives such as the SUT S.I.R.E.N up and running Subsea suppliers considered to around between level 2 and 3 No No No Industry now less open to share failure information - but hope that new OGP subsea committee could improve this CMM not widely adopted by subsea equipment suppliers Inconsistent Inconsistent Clear improvement, but mainly gained from effective use of redundancy 10

11 Looking Forward BP continues to recognise the importance of Reliability Engineering and is committed to getting the best value from applying the reliability strategy across it s portfolio What does this mean? more focus on achieving better early life component reliability extend processes from subsea reliability strategy into other areas of BP: BP s 20K project development scope wells, and downstream supporting updates to API 17N improved Operations data collection through effective application of BP s Production Efficiency Improvement [PEI] common process more effective data feedback into the early project design BEL Subsea HIPPS valve - An example of a recent reliability strategy driven qualification for the Shah Deniz Project 11

12 12 Questions

13 Reliability Acronyms and Abbreviations CCFA Common cause failure analysis. CMM capability maturity model ETA Event tree analysis. FMECA Failure mode, effects, and criticality analysis. FTA Fault tree analysis OREDA Offshore reliability database. RAD Reliability assurance document. RAM Reliability, availability, and maintainability. RBD Reliability block diagram. RCFA Root cause of failure analysis. TRAP Technical risk assurance process. TRC Technical risk categorisation. TRL Technology readiness level. 13

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