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Evolution of safety clothing and equipment in the energy sector
The frontline professionals in the energy sector are exposed to numerous life-threating activities and hazards. Danger lurks around every corner, right from working in well foundations, to erecting lease tanks to chemical treatments or hydraulic fracturing wells. Even in the presumably safe environments like refineries, certain activities pose threats like process sampling, handling or recharging catalyst or inspection. Also, the off-shore drilling offers risk due to hydrogen sulfide gas, use of heavy metals and the presence of benzene in the crude. Even during shutdowns and repairs, the risk is high. The workers are also exposed to fires and flames and hence require comprehensive safety measures and equipment to work without risk.
Evolution of Personal Protective Equipment
Personal Protective Equipment (PPE), is referred to the equipment that is worn by workers to minimize the exposure to workplace related hazards and injuries. It includes but is not limited to respirators, hard hats, gloves, safety harnesses, safety glasses, earplugs, bodysuits, and steel-toed shoes. During the industrial revolution, the PPE was put in place to minimize the workplace injuries. However, with time it has become more efficient at protecting the overall well-being of the workforce. So, let us track the evolution of some key safety equipment and clothing in the energy sector over the period:
Safety Harness:
· Back in the 1900s, industrial workers used hemp or natural fiber body belt to protect from injuries. However, these belts did not have shock-absorption properties.
· In 1959, shock absorption property was incorporated into the safety belts. This helped the workers to reduce or eliminate injury caused due to fall.
· In the 1990s, there were more improvements such as snap hook connectors, D-rings, and full-body harness. It transformed the fall prevention system for better
Hard Hats:
· As per the article published in Occupational Health & Safety (OHS) magazine, the gold miners created the bowler hat to protect themselves from the debris that falls while working in the mines. It had rounded brims and hard exterior, while the interior was stuffed with cotton.
· The Golden Gate Bridge project is considered as the first major project that made it compulsory for all the workers to wear a hard hat. The hat was crafted using canvas and it had an internal suspension system.
· After some time, an aluminum hat was introduced but was soon discontinued due to its side-effects: corroding and electricity conduction.
· In 1950’s thermoplastic was used to construct hat; these hats were easily molded and hence uniformity in the hats was introduced. Hard hat has not been improved much, however additional accessories like earplugs or Bluetooth technology has been introduced to enhance the comfort level.
Respirators:
· Roman Empire created the first respirator which was made out of the animal bladder and was used by the miners to prevent inhalation of iron oxide dust.
· In the middle of the 1800s, the charcoal gas filter mask was introduced. After two decades it was further improved and was known as “fireman’s respirator.” But, the respirators were not widely accepted until 1900.
· In the 1970s, the safety equipment manufacturers created Powered Air Purifying Respirators (PAPR) which comprised of a blower and filter inside a helmet. It was widely used in the areas where the face and eye contamination were the concern.
· However, most respirator even today use simple technology that helps in respiration. PAPR is still in the growing stage.
Ear Plugs
· Do you know the earliest reference to the earplugs were found in Greek Drama, The Odyssey? During those times, it was used to block the songs of the siren. The sailors used beeswax as earplugs.
· In the early 1900s, earplugs were used in the densely populated neighborhood and was made of cotton and wax. These benefits were then marketed to the industry.
· In the 1960s, foams were used to make earplugs and after a decade, polyurethane was used.
· Some years later, the thermal plastic elastomer was used as it was easier to shape the earplugs and it offered better comfort and fit.
· In the recent years, numerous technological advancements have been made with noise cancellation technology, mic, recorders and extra grip earplugs. The idea is to encourage workers to use it to eliminate any chance of hearing impairment.
Safety Glasses
· Safety glasses were first introduced by a tribe in Alaska which used it to prevent snow blindness. Later, this idea was adopted, and the safety glasses were used to protect the eyes from various contaminants such as dust, splashes, heat, glare, and wind.
· In the energy sector, the workers are expected to wear it full-time. Now, it has been aesthetically designed to make it more fashionable. Even the prescription-based safety glasses have been introduced. Just by wearing glasses, a lot of vision-related injuries can be avoided.
Since the mid-20th century, safety clothing and equipment have evolved significantly. The standardization and safety policies have also helped in encouraging workers to use the PPE which in turn has helped in reducing the rate of injuries and illness at the workplace.
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A month ago, crude oil prices were riding a wave, comfortably trading in the mid-US$70/b range and trending towards the US$80 mark as the oil world fretted about the expiration of US waivers on Iranian crude exports. Talk among OPEC members ahead of the crucial June 25 meeting of OPEC and its OPEC+ allies in Vienna turned to winding down its own supply deal.
That narrative has now changed. With Russian Finance Minister Anton Siluanov suggesting that there was a risk that oil prices could fall as low as US$30/b and the Saudi Arabia-Russia alliance preparing for a US$40/b oil scenario, it looks more and more likely that the production deal will be extended to the end of 2019. This was already discussed in a pre-conference meeting in April where Saudi Arabia appeared to have swayed a recalcitrant Russia into provisionally extending the deal, even if Russia itself wasn’t in adherence.
That the suggestion that oil prices were heading for a drastic drop was coming from Russia is an eye-opener. The major oil producer has been dragging its feet over meeting its commitments on the current supply deal; it was seen as capitalising on Saudi Arabia and its close allies’ pullback over February and March. That Russia eventually reached adherence in May was not through intention but accident – contamination of crude at the major Druzhba pipeline which caused a high ripple effect across European refineries surrounding the Baltic. Russia also is shielded from low crude prices due its diversified economy – the Russian budget uses US$40/b oil prices as a baseline, while Saudi Arabia needs a far higher US$85/b to balance its books. It is quite evident why Saudi Arabia has already seemingly whipped OPEC into extending the production deal beyond June. Russia has been far more reserved – perhaps worried about US crude encroaching on its market share – but Energy Minister Alexander Novak and the government is now seemingly onboard.
Part of this has to do with the macroeconomic environment. With the US extending its trade fracas with China and opening up several new fronts (with Mexico, India and Turkey, even if the Mexican tariff standoff blew over), the global economy is jittery. A recession or at least, a slowdown seems likely. And when the world economy slows down, the demand for oil slows down too. With the US pumping as much oil as it can, a return to wanton production risks oil prices crashing once again as they have done twice in the last decade. All the bluster Russia can muster fades if demand collapses – which is a zero sum game that benefits no one.
Also on the menu in Vienna is the thorny issue of Iran. Besieged by American sanctions and at odds with fellow OPEC members, Iran is crucial to any decision that will be made at the bi-annual meeting. Iranian Oil Minister Bijan Zanganeh, has stated that Iran has no intention of departing the group despite ‘being treated like an enemy (by some members)’. No names were mentioned, but the targets were evident – Iran’s bitter rival Saudi Arabia, and its sidekicks the UAE and Kuwait. Saudi King Salman bin Abulaziz has recently accused Iran of being the ‘greatest threat’ to global oil supplies after suspected Iranian-backed attacks in infrastructure in the Persian Gulf. With such tensions in the air, the Iranian issue is one that cannot be avoided in Vienna and could scupper any potential deal if politics trumps economics within the group. In the meantime, global crude prices continue to fall; OPEC and OPEC+ have to capability to change this trend, but the question is: will it happen on June 25?
Expectations at the 176th OPEC Conference
Forecast Highlights
Global liquid fuels
Natural gas
Electricity, coal, renewables, and emissions
Source: U.S. Energy Information Administration, U.S. liquefaction capacity database
On May 31, 2019, Sempra Energy, the majority owner of the Cameron liquefied natural gas (LNG) export facility, announced that the company had shipped its first cargo of LNG, becoming the fourth such facility in the United States to enter service since 2016. Upon completion of Phase 1 of the Cameron LNG project, U.S. baseload operational LNG-export capacity increased to about 4.8 billion cubic feet per day (Bcf/d).
Cameron LNG’s export facility is located in Hackberry, Louisiana, next to the company’s existing LNG-import terminal. Phase 1 of the project includes three liquefaction units—referred to as trains—that will export a projected 12 million tons per year of LNG exports, or about 1.7 Bcf/d.
Train 1 is currently producing LNG, and the first LNG shipment departed the facility aboard the ship Marvel Crane. The facility will continue to ship commissioning cargos until it receives approval from the Federal Energy Regulatory Commission to begin commercial shipments. Commissioning cargos refer to pre-commercial cargo loaded while export facility operations are still undergoing final testing and inspection. Trains 2 and 3 are expected to come online in the first and second quarters of 2020, according to Sempra Energy’s first-quarter 2019 earnings call.
Cameron LNG has regulatory approval to expand the facility through two additional phases, which involve the construction of two additional liquefaction units that would increase the facility’s LNG capacity to about 3.5 Bcf/d. These additional phases do not have final investment decisions.
Cameron LNG secured an authorization from the U.S. Department of Energy to export LNG to Free Trade Agreement (FTA) countries as well as to countries with which the United States does not have Free Trade Agreements (non-FTA countries). A considerable portion of the LNG shipments is expected to fulfill long-term contracts in Asian countries, similar to other LNG-export facilities located in the Gulf of Mexico region.
Cameron LNG will be the fourth U.S. LNG-export facility placed into service since February 2016. LNG exports rose steadily in 2016 and 2017 as liquefaction trains at the Sabine Pass LNG-export facility entered service, with additional increases through 2018 as units entered service at Cove Point LNG and Corpus Christi LNG. Monthly exports of LNG exports reached more than 4.0 Bcf/d for the first time in January 2019.
Source: U.S. Energy Information Administration, Natural Gas Monthly
Currently, two additional liquefaction facilities are being commissioned in the United States—the Elba Island LNG in Georgia and the Freeport LNG in Texas. Elba Island LNG consists of 10 modular liquefaction trains, each with a capacity of 0.03 Bcf/d. The first train at Elba Island is expected to be placed into service in mid-2019, and the remaining nine trains will be commissioned sequentially during the following months. Freeport LNG consists of three liquefaction trains with a combined baseload capacity of 2.0 Bcf/d. The first train is expected to be placed in service during the third quarter of 2019.
EIA’s database of liquefaction facilities contains a complete list and status of U.S. liquefaction facilities.