In Ecuador, back in 2006-2007, the Operator of Blocks 14 and 17 concluded a large exploration project with the construction of Batata 2 well pad and the drilling of two exploratory wells pursuing the confirmation and development of oil reserves identified during the seismic work started in 2003 by EnCanEcuador (Subsidiary of EnCana), in the north area of Block 14. All this development occurred within the Yasuni National Park, one of the natural areas with the highest biodiversity in South America and also traditional land of peoples living in voluntary isolation (Tagaeri and Taromenani). The Company developed and implemented implementation a sound environmental and social project management that included a sensitive stakeholders engagement and involving plan, the implementation of a permanate HSE team on site focused on audit operations on a daily basis, a community monitoring program, an strong constractor selection process, and a set of best construction and drilling parctoces. This paper summarizes some of the most important elements of project planning and execution of Batata 2 well pad. Now, years after its execution, we can do a retrospective analysis to identify some of those practices, to highlight them and to present them to our colleagues in the industry. Now the Life Cycle Management is a well know environmental management tool, and the Batata 2 project is a suceesful study case of a properly managed project that represents the commitment from the oil industry to develop and execute projects under the highest social and environmental standards.
Areas of petroleum exploration in the upper Amazon basin of Ecuador have a high diversity of fauna, which is attracted to and depends on dispersed microhabitats such as clay licks (geophagy), nesting areas, animal dens, watering and bathing holes, fruiting trees and leave-cutter ant and termite nests for feeding, watering, and reproduction. Environmental control of geophysical acquisition activities in and near these sensitive microhabitats historically has not been effective. Seismic lines, heliports, camps and DZs have been inadvertently constructed within or near these microhabitats by survey and cutting crews resulting in partial destruction of the habitat, disturbance and consequent flight of fauna, and post-project hunting by locals. Andes Petroleum Ecuador Ltd., Walsh and biologists from Ecuadorian universities developed and executed a plan for offsets to protect these biologically sensitive areas (BSAs) in Yasuni National Park before and during the execution of a seismic campaign. Criteria was developed by biologists to define these BSAs in the field based on size of BSA, number and abundance of fauna species using the BSA, and functional importance to each species. No human entry buffers were established for each BSA. Procedures were established for early identification of BSAs so that biologists working with the survey crews could direct line cutting and other clearing activities outside the buffer areas prior to intervention. Ecuador biologists were effectively incorporated into decision-making process in the field. The seismic biological team identified and protected 49 BSAs (primarily clay licks and bathing areas) during a seismic campaign in 165 km 2 of mature rainforest in 2006. The baseline information on location and characteristics of BSAs is providing an important resource for university research. Technical staff and contractors from the petroleum company along with biologists from universities and foundations were brought together in making important real time design decisionsin the field. This participatory biodiversity management system is a model for protection of BSAs in other high sensitivity rainforest.
Many Oil and Gas Exploration and Production (O&G) companies devote significant resources to keep their employees safe, protect the environment around their operations, stimulate local economies and build strong and trusting relationships with community stakeholders. Despite these efforts, recent public opinion surveys show that the oil and gas industry is mistrusted more than any other, and cite questionnaire responses that reveal a negative impression of the sector for having minimal regard for social and environmental issues. This mistrust translates into direct operational, reputational, legal, and financial risks for O&G companies throughout the project life cycle, from exploration to production and to decommissioning. The O&G industry is not the only sector to have attracted criticism and been challenged by social campaigns to improve sustainability performance. It is worthwhile to learn from the responses of other initiatives that have successfully made a virtue of their corporate responsibility through third-party certification, especially those built around market mechanisms, such as with sustainable palm oil and soy; responsibly produced timber, fish, and mining; and Fair Trade cotton and coffee. These approaches serve to create a constructive relationship between producers, consumers and stakeholders that reduce risk to both society and to business and facilitate wealth creation. Between 2009 and 2012, Equitable Origin developed the first and only stakeholder-based, social and environmental certification system specifically for the oil and gas industry. The system includes a rigorous, comprehensive standard for exploration and production, a certificate trading platform and a consumer-facing ecolabel program that enables downstream customers to support operations working to high HSE standards and better production practices. Pacific Rubiales Energy (PRE), the largest private operator in Colombia, committed in 2012 to implement the fundamental principles of this standard in two of their producing fields to be the first fully certified oil and gas operations to the market by the end of 2013. This paper will present the process, practices and results of PRE's commitment to achieve certification, including a thorough performance gap analysis against the EO100™ Standard and the lessons-learned for putting in place the systems and practices to meet the requirements of certification.
In Ecuador, back in 2006-2007, A Chinese Operator completed a large exploration project with the construction of Batata 2 well pad and the drilling of two exploratory wells to confirm a potential development of oil reserves identified during the seismic survey executed ealier in 2003 by EnCanEcuador (Subsidiary of EnCana), in the north side of Block 14. All this within the Yasuni National Park, one of the natural areas with the highest biodiversity in South America and also traditional land of peoples living in voluntary isolation (Tagaeri and Taromenani). These special social and environmental conditions called the attention of NGOs that predicted large impacts as well as permanent impact to local communities.The early planning and execution of this project included the development of a long-term strategy and abiding to a set of high social and environmental practices to minimize company's exposure to potential future liabilities, and to guarantee the success of this challenging project. Unfortunately, by first-half-2007-, after drilling the above-mentioned exploratory wells, the prospects were declared non-commercial, triggering the process for decommissioning and reclaiming the Batata 2 well pad. The loop was closed and the success of the project was dimmed by the lack of expected drilling results. Nevertheless, the project demanded an important set of best practices to guarantee an impeccable HSE and Social Performance.This paper summarizes some of the most important elements of project planning and execution of the Batata 2 well pad.
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