Division of Spill Prevention and Response


Working with the Oil and Gas Industry


Status of Industry Participation To-Date


Kick-off through AOGA:  Work on the ARA Project began in July 2008.  An introductory meeting was held shortly after kick-off to introduce the project team to industry members, provide an overview of the project, and discuss the role of industry owner/operators in the risk assessment process.  Subsequent to this meeting, each owner/operator company provided a single point of contact for their company and later agreed to discuss non-confidential information with the technical team.


Input into the Proposed Methodology:  During the stakeholder consultation period of the project, which ran from July 2008 – November 4, 2008, the team solicited input on the methodology from a wide variety of stakeholders, including the oil and gas industry.  Like other stakeholders, Industry members were invited to give their input and additionally, were solicited for key pieces of information considered valuable inputs to the proposed methodology.  These included basic facility overview information, industry risk assessment standards and guidance, industry best practices, operating company risk management policies and procedures, and example approaches for consistently ranking safety, environmental, and economic consequences.  The window for receiving input into the development of the proposed methodology closed to the public on November 4, 2008.  Industry was given an extended period of time to provide information, which ended January 9, 2009.  The proposed methodology was published for public/peer review on March 20, 2009.


Facility Information: In order to solidify the scope of the assessment and begin gathering the information needed to implement the risk assessment during Phase 2, the project team developed a facility verification survey and began meeting with industry operators in fall 2008 to validate, correct, and supplement information.  The team met with virtually all companies that operate infrastructure within the scope of the assessment.  Most of these operators have voluntarily provided the basic facility overview information needed to create the node breakdown, which involves segmenting each of the oil and gas facilities included in the project into manageable segments.


Confidentiality of Industry Information: Confidentiality has been an ongoing concern of both the industry and the state since the commencement of the project. The issue has been discussed at length in the AOGA forum, at project meetings, and with individual company attorneys. In February 2009, the state prepared a proposed draft confidentiality agreement and submitted it to AOGA for industry review. A revised draft agreement was received from industry through AOGA on April 22nd. It is being reviewed by the project team.