API 17G Update. API SC17 Summer Meeting 12 Jun API 17G Monthly Leadership Update 1

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API 17G Update API SC17 Summer Meeting 12 Jun 2018 05/31/2018 API 17G Monthly Leadership Update 1

Agenda task group leadership how we re working where we are today results from ongoing reviews where we re going key milestones 05/31/2018 API 17G Monthly Leadership Update 2

API 17G Task Group Leadership Name Company Role Task Group Walz, Gregg Anadarko Petroleum Company Co-Chair, API 17G Design and Manufacture of Subsea Well Byrd, Mike Byrd Energy Services Co-Chair, API 17G Intervention Equipment Muff, Anthony TechnipFMC (Retired) Co-Chair, API 17G1 System Configuration and Operation of Stawaisz, Ray Chevron Energy Technology Co Co-Chair, API 17G1 Subsea Well Intervention Systems Hess, Mike Shell International Exploration and Production Chair, API 17G2 Subsea Pumping Well Intervention Systems Dziekonski, Mitch Altiss Technologies, Inc Chair, API 17G3 Design of Subsea Well Intervention Systems using Non-Ferrous Alloys Crawford, Neil Oceaneering International, Inc Chair, API 17G4 Riserless Subsea Well Intervention Hennig, Jake Anadarko Petroleum Company Co-Chair, API 17G5 Recommended Practice for Intervention Hill, Chris Oceaneering International. Inc. Co-Chair, API 17G5 Workover Controls Systems (IWOCS) (1) 05/31/2018 API 17G Monthly Leadership Update 3

Approach to new 3 rd Edition Draft People 9 Workgroups made up of 75 volunteers from manufacturing, operating, and integration companies workgroups co-lead by Operator and Manufacturing representative interface team acts as advisory team to Co-Chairs and provides guidance to workgroups and resolves contentious issues Process Performance manage like a project All shall statements and previous ballot comments will be evaluated clear guidance, objectives, and scope for evaluating requirements New Requirement Guidelines (NRG) well defined and systematic process to review ALL Shall requirements and address previous ballot comments Tools provided workgroups with spreadsheets which have a: complete list of previous ballot comments complete list of Shall statements (2 nd & 3 rd edition) 05/31/2018 API 17G Monthly Leadership Update 4

General Guidance Principles create fit for purpose document which promotes safety and allows for future innovation judicious use of shall/should statements define a minimum set of requirements and standards for international use. The document is not intended to be: used for monograming equipment a substitute for highly detailed regionally specific internal specifications for the manufacturer, integrator, or operator. minimize use of teaching and/or instruction maximize referencing of existing published industry documents and standards. will not attempt to fix other API documents (17D, TR7, TR8, etc). references to 17G1 will be informative only (no normative requirements) 05/31/2018 API 17G Monthly Leadership Update 5

New Requirement Guidelines (NRG) The requirement or shall is only necessary if it: enhances environmental and personal safety enhances equipment reliability codifies relevant post-macondo lessons codifies relevant new and accepted technology and manufacturing practices incorporates new and updated references to documents which may have changed or did not exist in 2006 The requirement or shall needs to: set a minimum requirement tell what needs to be done, not how to do it utilize an existing API or other standard requirement (if possible) work in all regions and not be regional specific be evaluated for negative impacts if it is or is not adopted be measurable or auditable so compliance is clear Adhere to API: document format and style manual (2009) procedure for standards development (2016) 05/31/2018 API 17G Monthly Leadership Update 6

Workgroups Workgroup Content Workscope Clause 1 Scope 1 2 3 4 Common - Scope, References, Datasheets, Functional Subsea Test Tree - Functional Requirements and Validation Testing Open Water Systems - Functional Requirements and Validation Testing Design - Loading, Fatigue Clause 2 Normative References Clause 3 - Definitions, Abbreviations and Symbols Annex F - (informative) Equipment Specification Datasheets Clause 4 - Functional Requirements (Common) Clause 4 Functional Requirements (Subsea Test Tree) Annex G - (normative) Verification and Validation Testing of Subsea Test Tree Assemblies and Associated Accessories Clause 4 Functional Requirements (Open Water Systems) Annex H - (normative) Verification and Validation Testing of Well Control Devices for open-water Intervention Systems Clause 5 Design Requirements Annex C - (normative) Load Capacities Annex D - (normative) Fatigue Load Capacities 5 Materials & Welding Requirements Clause 7 Welding Requirements Clause 6 Material Requirements Clause 8 Quality Requirements 7 Quality, Shipping, Storage & Clause 9 Documentation Requirements Documentation Requirements Clause 10 Marking Requirements Clause 11 Preservation, Storage, and Shipping 8 Validation of Connectors Annex E - (normative) Validation of Connectors 9 Interface Team API 17G & G1 - Interface Workgroup 10 IWOCS New Document - IWOCS 05/31/2018 API 17G Monthly Leadership Update 7

17G Interface Team Name Company Category Walz, Gregg Anadarko Petroleum Company Co-Chair Byrd, Mike Byrd Energy Services, LLC Co-Chair Skeels, Brian TechnipFMC SC17 Committee Tag/Mfg Kaculi, Jim DrilQuip Manufacturer Smith, Craig OneSubsea Manufacturer Stawaisz, Ray Hess, Mike Chevron Energy Technology Company Shell International Exploration and Production Operator Operator Cowan, Bill ENI Petroleum Operator 05/31/2018 API 17G Monthly Leadership Update 8

Creating a revised 3 rd edition API 17G, 3rd Edition, 2017 (Ballot Doc & comments) NRG Filter API 17G, 3rd Edition, 2018 (Updated Document) API 17G, 3rd Edition, 2018 (Ballot Draft) Lot s of good stuff here let s not create anything new unless absolutely necessary! API RP 17G, 2 nd Edition, 2006 Sense check revised document against 2 nd edition for consistency and undergo group review 05/31/2018 API 17G Monthly Leadership Update 9

Workflow 2018 Winter Meeting Today Apply NRG to 3 rd Edition requirements and shall statements. Address comments from 3 rd Edition ballot (4136) Sense check the final results with the 2 nd Edition to make sure nothing important has been omitted. Each workgroup aggregates changes into respective draft clauses Create Working Draft (WD) reviewed by WG9 (Interface Team) WD External Review (Workshop Attendees) Create Ballot Draft (BD) Incorporate comments from review. BD reviewed by WG9 (Interface Team) WG9 (IT) BD ready for submittal to API (Oct 2018) Workgroups 05/31/2018 API 17G Monthly Leadership Update 10

What we are not doing: We are not: building a compendium of individual or personal lessons learned, preferred practices, and preferences. creating a primer document on how to design or build intervention equipment only addressing comments from the 3 rd edition defining any particular component as a well control barrier this will be left to the operator 05/31/2018 API 17G Monthly Leadership Update 11

17 G-G5 Status 17G Workgroup are nearly complete with the review of all previous ballot draft requirements and comments Sections are in various stages of development of document drafts 17G1-17G4 documents are all on hold until a new Working Draft of 17G is complete. 17G5 IWOCS was approved by CSOEM as stand-alone RP. Currently dispositioning previous ballot comments and reviewing requirements in previous ballot. Draft of document is in process 05/31/2018 API 17G Monthly Leadership Update 12

Workgroup Progress Summary (since Jan 2018) Excellent WG engagement and participation To date, have resolved: o 762 of 1,006 shall statements o 1,890 of 2,067 ballot comments Thorough and consistent application of NRG NRG review has resulted in approximately: o 42% reduction of shall statements o Elimination of approximately 140 specific requirements Re-write of all clauses well underway 05/31/2018 API 17G Monthly Leadership Update 13

Key 17G Milestones Oct 2017 New leadership in place Nov 2017 Held 17G Content Workshop to define the principles and plan to develop new draft Dec 2017 Identification an deployment of workgroups, work began addressing requirements and comments Jun 2018 Workgroups complete preliminary text edit of respective sections based on review of shall statements and previous ballot comments. Aug 2018 Complete Working Draft Sep 2018 Complete external review of Working Draft Oct 2018 Complete and submit Ballot Draft to API 05/31/2018 API 17G Monthly Leadership Update 14

Key 17G Milestones Milestone Old Revised Workgroups complete preliminary text edit of respective sections based on review of shall statements and previous ballot May 2018 Jun 2018 Complete Working Draft Jun 2018 Aug 2018 Complete external review of Working Draft Jul 2018 Sep 2018 Complete and submit Ballot Draft to API Aug 2018 Oct 2018 05/31/2018 API 17G Monthly Leadership Update 15

05/31/2018 API 17G Monthly Leadership Update 16

05/31/2018 API 17G Monthly Leadership Update 17

17G Co-Chairs Assumed new co-chair role Oct 2017 Gregg Walz (Anadarko Petroleum Company) Current role: Sr. Engineering Advisor Been at Anadarko for 4 years 37 years industry experience Mike Byrd (Retired BP) Last role: Director Subsea Wells (Global Wells Organization) Worked for BP 23 years Major projects and wells organizations 38 years industry experience (offshore & deep water) 05/31/2018 API 17G Monthly Leadership Update 18

17G Interface Team Purpose provide guidance and direction to the workgroups in application of the NRG s ensure consistency in the work products participate in the review the final document Team Make-Up and Responsibilities members are appointed and led by Co-Chairs members (7) 17G Co-Chairs x 2 One representative from SC17 Leadership x 1 Operator representative x 2 Manufacturing representative x 2 must be committed and accountable to: NRG application process (consistent, systematic, & rigorous) Principle of more concise and less prescriptive document must be prepared to challenge workgroup results if necessary ensure workgroups apply the NRG s in a systematic, consistent, and rigorous manner need to be able to see big picture each Interface Team member will be assigned one or more workgroups 05/31/2018 API 17G Monthly Leadership Update 19

Workgroup Leadership API 17G Workgroup Leadership Name Interface Team Tag 1 - Common - Scope, References, Datasheets, Functional Gregg Walz Chevron Energy Technology Company Steve Pierce & Expro Jamie Walker Mike Byrd 2 - Subsea Test Tree - Functional and Validation Testing BP Exploration and Production, Inc. Paul Anderson Craig Smith National Oilwell Varco Eric Wehner 3 - Open Water Systems - Functional and Validation Testing ExxonMobil Production Company Gaston Gauthier Mike Hess TechnipFMC Roy Whiteman 4 - Design - Loading, Fatigue Jim Kaculi OneSubsea, A Schlumberger Company Gary Rytlewski & Shell International Exploration and Production Tom Klepcyk Ray Stawaisz 5 - Materials & Welding Chevron Energy Technology Company Will Lamberth Craig Smith OneSubsea, A Schlumberger Company Richard Marques 7 - Common - Quality, Marking, Storage, etc Gregg Walz Anadarko Petroleum Corporation Ken Peurifoy & National Oilwell Varco Paul Beauchamp Mike Byrd 8 - Validation of Connectors Jim Kaculi Dril-Quip Andrew Grohmann & ENI Petroleum Bill Cowan Ray Stawaisz 10 - IWOCS Anadarko Petroleum Corporation Jake Hennig Brian Skeels Oceaneering International, Inc. Chris Hill 05/31/2018 API 17G Monthly Leadership Update 20

Progress Shall Statements Comments % Workgroups Total Resolved % Resolved Accepted (1) % of Shall's Resolved Removed (2) % of Total Resolved Resol Resolved ved Workgroup 1 - (C 1, 2, 3, & 4 Common) 87 13 15% 11 85% 2 15% 125 29 23% Workgroup 2 - (C2, AG) (In-Riser) 287 63 22% 30 48% 33 52% 61 61 100% Workgroup 3 - (C4, AH) (Open Water) 451 31 7% 19 61% 12 39% 155 0 0% Workgroup 4 - (C5, AC, AD) (Design) 494 36 7% 14 39% 22 61% 247 0 0% Workgroup 5 - (C6 & 7) (Materials & Welding) 150 0 0% 0 #DIV/0! 0 #DIV/0! 57 0 0% Workgroup 7 - (C8-11) (Quality, Doc, Mark, Pres) 189 0 0% 0 #DIV/0! 0 #DIV/0! 87 0 0% Workgroup 8 - (AE) (Connector Validation) 132 15 11% 0 0% 15 100% 57 2 4% Workgroup 9 - Misc Common Comments 16 0 0% Workgroup 10 - (G5) IWOCS 277 0 0% 0 #DIV/0! 0 #DIV/0! 201 0 0% Total 2067 158 8% 74 47% 84 53% 1006 92 9% Notes: 1. Accepted = Agree + Agree in Principle 2. Removed = Disagree + Noted 05/31/2018 API 17G Monthly Leadership Update 21

17G Content Workshop Held 14 Nov 2017 45 attendees (Operators, Manufacturers, Consultants, Integrators) The purpose of the workshop was to: articulate the forward strategy, principles, and preliminary timing for producing a new ballot draft of 17g which is more concise and less prescriptive (without compromising safety) identify key issues which are important to voters (especially those that drove the previous ballot results) identify which organizations will be willing to provide resources in support of work groups The deliverables of the workshop were: 1. written guidance to work groups in order to create a new working draft of 17G which is more concise and less prescriptive (without compromising safety) 2. a list of workgroups required to address each clause and annex 3. a list of organizations w/contacts support the workgroups 05/31/2018 API 17G Monthly Leadership Update 22