Oil and Gas Industry

Extracting oil and gas offshore is a complicated process carried out in a harsh environment. The UK’s offshore installations range from large structures standing on the seabed, where up to 200 people may work, to smaller floating production facilities that may employ as few as 30. According to UK offshore oil and gas industry trade association, Oil & Gas UK, around 32,000 people are directly employed by oil and gas companies and their major contractors.

The UK oil and gas extraction industry (referred to as ‘upstream’) covers the exploration, extraction and initial processing of oil and gas (hydrocarbons) from around the UK, both on- and offshore. The centre of activity for oil and gas extraction is off the coast of Aberdeen, Scotland. Hydrocarbons are, however, produced in other areas of the UK such as the southern North Sea, from around offshore Humberside to Norfolk and Suffolk, and offshore from Liverpool and Morecambe Bays.

Most offshore sites have landfall locations around the coast to where the hydrocarbons are piped for further distribution or processing for export; others offload from the offshore facility to small tankers, which transport the cargo to various onshore terminals for onward transmission. The principal onshore production area is in Poole, Dorset, where the reservoir is under Poole Harbour but produced onshore using environmentally sound methods. There are other lesser-known onshore fields in the UK, such as that in Surrey.

THE SECTOR AT A GLANCE

The companies involved in the UK’s oil and gas industry, can be split into three main types:

operators own licences and are responsible for exploration and production
drilling contractors undertake drilling operations, and supply personnel and equipment
contract service companies undertake specialised support and maintenance roles

11th
UK’s global ranking for crude oil production

70.07 million tonnes
total offshore crude oil production in the UK

2 million
barrels of oil consumed by UK per day

84.18 bn m3
total UK natural gas production

Sources: include Cogent

The UK continental shelf (UKCS) is maturing so that its future ability to compete will depend on improvements in performance. This will, in turn, depend on greater collaboration to allow its output to be delivered with the resources available. The UK still has substantial and potentially recoverable reserves of oil and gas, but many current fields are declining, with fewer and smaller discoveries and many technical challenges. This makes the UK a high-cost province so, as other areas around the world open to international oil investment, competition for investment funds is becoming ever tougher.

Gas is delivered to beach terminals. It is checked for quality and energy content, and then enters 275,000 kilometres of steel pipelines, iron and polyethylene mains and services to supply the customers who use it.

JOB ROLES OFFSHORE

Searching

Geologists locate possible sites and calculate how much oil is there
Geophysicists map the substructure

Exploration

Mud loggers (geologists) analyse mud, fluid and debris from an exploratory drilling
Reservoir engineers assess oil reserves and drilling sites

Drilling

Roustabouts are offshore unskilled manual labourers
Roughnecks/floormen carry out the drilling operation under supervision
Derrickmen work above the rig, handling the drill pipe sections
Pumpmen assist derrickmen
Assistant drillers coordinate the activities on the drill floor
Drillers control the drilling team
Toolpushers oversee the whole operation
Rig superintendents are responsible for the operation
Drilling engineers order the drilling programme

Well services

Operations supervisors oversee the well crew’s activities
Wireline operators maintain the well and the tools
Coiled tubing operators use a tube to pump fluids into the well

Production

Production engineers monitor wells and check efficiency
Production operators manage the flow of oil
Control room operators (barge engineers) manage the equipment that reports on production

General operations

Offshore installation managers are responsible for offshore operations
Radio operators control movement and communications
Crane operators and their assistants load and unload cargo, and supervise teams
Caterers feed and water the crews
Stewards maintain and clean accommodation
Divers inspect and maintain subsea structures, often using remote equipment
Medics deal with minor complaints and major injuries
Storemen order and hold equipment and supplies
Mechanics and technicians perform a variety of specialist roles

Business support

This includes accounting, legal, IT and administrative roles

The oil and gas industry and the Services
There is no direct relationship between the oil and gas industry and the Armed Forces. Nevertheless, many of the skills required and valued by employers are taught and practised by a number of people in the Services. Generalist skills, such as supervisory management, project management and administration, are sought after, as are all manner of specialists like engineers, divers and cooks. There are also fuel specialists in units, and a few people highly trained in fuel technology.

CSWIP: Certification Scheme for Personnel Underwater Welding, Inspection & NDT

CSWIP is considered to be the global industry standard for underwater inspection personnel.
A CSWIP certificate is often a mandatory requirement for offshore inspection.

To find out more, please visit www.cswip.com,
Tel: +44 (0)1223 899000 or
email: twicertification@twi.co.uk.

Working offshore
Working offshore involves two or three weeks on a rig or installation, followed by equal time at home. Everyone works shifts, normally of 12 hours’ duration. They work close to others in places where there is little space to spend time on their own. Working conditions are noisy and dirty; work is outdoors, and involves lifting and carrying heavy weights, and working with powerful machinery. Some of the jobs available are listed in the accompanying box.

Competition for jobs offshore is fierce; relevant skills and experience are valued, with ex-Forces people often highly employable. Pay is good and experienced operators can expect to earn upwards of £30,000 a year. Offshore installations vary in size, but a typical one houses a core crew of 50 to 100 men and women. Living quarters are compact but comfortable. Food is good and plentiful, with a range of activities provided for off-duty periods.

Divers
The industry is also one of the largest employers of divers. Diving also requires life support technicians managing and controlling all aspects of a diver’s well-being in a decompression chamber between or after dives. ROV technicians man two types of ROV (remotely operated vehicle): work and inspection.

Entry requirements for the industry

Minimum age of 18, but the preferred range is 21–30
Minimum height of 1.63 m (5 ft 5 in)
Physical fitness
Not colour blind (for some jobs)
Relevant employment experience (if possible) and good Services work record

Training and development
Cogent (the Sector Skills Council for the chemicals, pharmaceuticals, nuclear, oil and gas, petroleum and polymers industries) is developing standards, qualifications and training. Energy & Utility Skills (the Sector Skills Council for the gas, power, waste management and water industries) is also developing occupational standards and qualifications for those involved in mains laying and service laying.
All offshore workers must achieve the minimum industry safety training standards:

introduction to the hazardous offshore environment
working safely (including safety observation systems)
risk assessment
platform integrity
permit to work (also called control of work)
mechanical lifting
manual handling
control of substances hazardous to health
working at height.

Completion of this programme is included on the individual’s Vantage Card accreditation and, for this to be maintained, a refresher programme will need to be taken every four years. In exceptional circumstances, an individual who has not undertaken this training may be allowed to work offshore as a ‘green hand’ under the supervision of a mentor.

The current Basic Offshore Safety Induction and Emergency Training (BOSIET) course modules are:

l Travel safely by helicopter to an offshore installation
l Live and work safely on an offshore installation
l Respond to offshore installation emergencies.
Follow-up training may include:
l Helicopter safety and escape
l Firefighting and self-rescue
l Emergency first aid.

Those with degrees in geology, chemistry, engineering and logistics, and experience in project management, are highly prized. AS-levels or equivalent are required to enter as a technician, while GCSEs or equivalent will give people a start at craft level. According to Cogent, there is a 17% under-supply of people qualified at S/NVQ levels 2 and 3. As occupations that employ people qualified at this level account for 57% of the oil and gas industry, this is a significant shortfall – and one that the industry is aiming to address. There are a large number of S/NVQs to be gained, in subjects including:

Bulk liquid warehousing
Chemical, pharmaceutical and petro-chemical operations
Forecourt operations
Measurement processes (maintenance)
Measurement processes (proving, prover)
Nuclear decommissioning
Offshore deck operations
Offshore drilling operations
Process engineering maintenance
Processing operations: hydrocarbons
Refinery control room operations
Refinery field operations.

Working onshore

Work onshore encompasses a wide range of activities. Scientists and technicians work to produce improved fuels and more efficient energy; while engineers and construction workers build and maintain the plant and pipelines.

Energy supply is governed by complex and sophisticated ICT systems, so technicians, programmers, designers and trouble-shooters are involved.
Transporting bulk fuels by road demands specialist transport, licences and safety qualifications.

KEY CONTACTS

Cogent SSC Ltd, 5 Mandarin Court, Centre Park, Warrington, Cheshire WA1 1GG
Tel: 01925 515200 Website: www.cogent-ssc.com Twitter: @cogentssc

OPITO (Oil & Gas Academy) (training information), Minerva House, Bruntland Road, Portlethen, Aberdeen, Scotland AB12 4QL Tel: 01224 787800 Website: www.opito.com

Energy & Utility Skills, Friars Gate, 1011 Stratford Road, Shirley, Solihull B90 4BN Tel: 0845 077 9922 Website: www.euskills.co.uk

Oil & Gas UK, 6th Floor East, Portland House, Bressenden Place, London SW1E 5BH
Tel: 020 7802 2400
Website: www.oilandgasuk.co.uk
Twitter: @oilandgasuk