API ECS Reorganization Update David Miller PE F

API ECS Reorganization Update David Miller, PE, F. ASCE Director, Standards 1

API ECS Reorganization Update • Presentation will cover: – ECS Reorganization Efforts – Administrative Changes to API S 1 2

API ECS Reorganization Update • Background – the API ECS ad hoc Reorganization Team recommended the ECS take the following actions: – Overhaul/disband SC 16, Drilling Well Control Equipment and work to increase SC 8 participation – Form an API Well Control Standards Oversight Group – Expand the Scope of SC 19 – Identify Contractors to maintain the Tank Standards – Identify Contractors to maintain the Mooring Hardware Standards • The ECS approved these recommendations and implementation is underway 3

API ECS Reorganization Update • Status: – Overhaul/disband SC 16, Drilling Well Control Equipment and work to increase SC 8 participation • Work is underway to investigate the possibility of repopulating SC 16 to manage the drilling well control equipment standards • Two workgroups are in place to finish work on updates to Spec 16 C, Choke & Kill Systems and new RP 16 ST, Recommended Practice for Coiled Tubing Well Control Equipment Systems and Operations • ECS members are tasked with helping to resource SC 8 4

API ECS Reorganization Update • Status: – Form an API Well Control Standards Oversight Group • Oversight group would consist of 3 - 5 members with operator and drilling contractor representatives. • Oversight Group would report to both the ECS and EC on Drilling and Production Operations • Work would be completed by AHGs, made up of volunteers from Drilling Well Control Resource Group, including former SC 16 members – Scoping meeting held with IADC and ECDPO representatives May 2008 - IADC canvassing members for interest in survey participation on drilling well control equipment standards 5

API ECS Reorganization Update • Status: – Expand the Scope of SC 19, Completion Equipment • API 14 A, 14 B and 14 L transferred from SC 6 • API 11 D 1 and 11 V series transferred from SC 11 • SC 19 now responsible for sand control screen and barrier valve standards – SC 19 Core Group now made up of 7 groups: • Gaslift, Production Packer, Accessory Equipment • Barrier Valve, Perforators, Sand Control Screens • Subsurface Safety Valves & Subsurface Flow Controls • Emphasis is on greater coordination with ISO/TC 67/SC 4/WG 4, Production Equipment, via bi-annual joint meetings 6

API ECS Reorganization Update • Status: – Identify Contractors to maintain the Tank Standards • SC 11 is working to update the 12 series standards, and once complete the entire suite will be transferred to API Committee on Refinery Equipment’s Subcommittee on Aboveground Storage Tanks • SC 11 is now properly resourced to handle remaining field operating equipment standards on oilfield engines, sucker rods, pumping units and related equipment – Identify Contractors to maintain the Mooring Hardware Standards • Contractors identified and work proposed for 2009 budget 7

API ECS Reorganization Update • Administrative Changes to API S 1 - changes address the following topics and align S 1 with API Policy and CRE & COPM Policy and Practices: • ECS membership – now tied directly to API member company and organization representation, with SC chairs as non-voting members – Policy 501 Compliance – Company Representation – Sarbanes Oxley Compliance • ECS SC sponsor positions – Encourage active participation • SC membership review • Roundtable Discussions – Encourage technical exchange • Awards • Changes effective July 1 8

API ECS Reorganization Update Thank you! David Miller, PE, F. ASCE Director, Standards 9