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First Response

Gulf Oil Spill, Refinery Fires Show Need for Industry Oversight
BY CHRIS SANFORD

The deaths of 11 workers on the sunken Deepwater Horizon oil rig and the resulting environmental disaster are indicative of an industry in overwhelming need of closer oversight by the federal government, according to a prominent maritime law firm in Houston.

“This tragic oil rig disaster is almost certainly the result of a management culture that gives safety plenty of lip service but not enough preparation and enforcement,” said Jeffery L. Raizner, a partner with the Houston law firm of Doyle Raizner LLP, which specializes in maritime accidents such as the Deepwater Horizon’s explosion April 20. “Offshore oil drilling companies must approach safety with an eye toward the worst possible things that can happen at sea – fire, explosions, sinking.”

The maritime and Jones Act attorneys at Doyle Raizner believe it is clear that there are too many operations and too many companies operating offshore to track for the limited inspection resources of the Federal government’s Mineral Management Service. The Jones Act pertains to the employment and rights of individuals at sea.

“As a result, the oil exploration industry that operates oil rigs and oil drilling platforms is left to ‘regulate’ itself, leading far too often to unnecessary death and injury of oil rig workers, as well as environmental damage, right off our coasts. There are well-documented instances of offshore injuries being concealed by offshore drilling companies even though they are required to be reported to government authorities,” said Raizner.

“Without a clear understanding of the real risks and hazards being faced by the workers in our offshore industries, there is no real way for the risks to be properly addressed. Whether looking at a driller, roughneck, or floorhand, or even a supply boat crewmember, their health and safety is too important to be placed entirely in the hands of self-interested industries. There is no reason to believe that moving out of sight of land means industry will behave better.”

Also calling for health and safety improvements in the oil industry is the United Steelworkers (USW), union, which represents oil refinery workers, including those at the LyondellBasell refinery in Houston, which had a fire in early May. The fire was the latest in a series to occur at refineries in May and exemplifies the lack of safety within the oil industry, says the union.

The fire occurred in a crude distillation unit where a mix of residual oil and diesel fuel was burning. Fortunately, no one was injured, but residents were told to shut their windows and remain indoors until it could be determined if there were any health risks.

“This is another example of the need for improvements in health and safety within the oil industry,” said USW Vice President Gary Beevers, who heads the union’s oil sector. “On average, a fire a week occurs at one of the nation’s refineries. Like the lack of attention paid to health and safety on the industry’s offshore oil rigs, the industry fails to develop a safety culture within the refining sector.”

From May 3-17 there were six reported fires in the oil refining industry. More fires than those reported are likely because refineries have no legal obligation to report every incident.

“While this is a dangerous industry, there are too many workers losing their lives,” said Beevers after the sinking of the Deepwater Horizon rig in the Gulf. “How many more workers have to pay the price for the industry’s lack of a safety culture? The industry is long overdue for a complete overhaul of its health and safety provisions.”

The disaster appears to have one more casualty, Chris Oynes, appointed during the Bush administration to head offshore energy oversight at the Mineral Management Service (MMS). After 35 years of service, he leaves a career tarnished by a photo of him presenting Transocean, the Deepwater Horizon’s owners, with a safety award.

His agency is blamed for severely lax safety oversight and neglecting inspections in BP’s massive Gulf of Mexico oil spill, estimated to be somewhere between 5,000 and 70,000 barrels a day. Though BP PLC had some success capturing leaking oil from a riser tube on May 17, efforts to drill a relief well were expected to take up to three months.

“We are doing absolutely everything in our power to eliminate the source of the leak and contain the environmental impact of the spill,” said BP Group Executive Tony Hayward, who had earlier been quoted in the press as saying the company had not had the technology available to stop the leak, and that it should have done more to prepare for such an emergency. “We are determined to fight this spill on all fronts, in the deep waters of the Gulf of Mexico, in the shallow waters, and, if necessary, on the shore.”

“BP will be paying the bill,” said President Barack Obama. “But as President of the United States, I’m going to spare no effort to respond to this crisis for as long as it continues. And we will spare no resource to clean up whatever damage is caused. And while there will be time to fully investigate what happened on that rig and hold responsible parties accountable, our focus now is on a fully coordinated, relentless response effort to stop the leak and prevent more damage to the Gulf.”

“We absolutely understand and share President Obama’s sense of urgency over the length of time this complex task is taking,” said Hayward. “And while we continue in these efforts, we are participating fully in investigations that will provide valuable lessons about how to prevent future incidents of this nature.”

   

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