canadian association of oilwell drilling contractors

C A NA DIA N A S S OC IAT ION OF OILWE L L
DR IL L ING C ONT R A C TOR S - C A ODC
The unified voice of the Canadian drilling and service rig
industry
OUT L INE
► Who is CAODC?
► Our Environment
► Our Equipment
► Our People
► Our Challenges
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A B OUT C A ODC
►
CAODC's Mission
• CAODC is the unified voice of the Canadian drilling and service rig industry.
This industry association promotes safer and more efficient operations
through advocacy, communications and needed products and services.
►
CAODC's Vision
• To be a leading advocate for the Canadian petroleum industry, promoting
the value of a strong drilling and service rig sector.
►
CAODC's Guiding Principles
• CAODC is committed to:
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o Promoting a culture of safety excellence in the industry.
o Acting in the best interests of its member companies, their employees and the
industry as a whole.
o Continuing a strong tradition of leadership and cooperation.
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ME MB E R S HIP
► CAODC represents 100% of the land-based
drilling contractors in Canada: 39 companies,
816 rigs
► CAODC represents 99% of the service rig
contractors in Canada: 72 companies, 1131rigs
► Focused, homogeneous membership4group
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E NV IR ONME NT
► Drilling and service rig contractors are hired by producer
or operating companies
► We provide equipment and people to a project – under
contract
► Some of the most technologically advanced equipment
in the world with the highest inspection standards
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► Our people are in demand around the world due to the
excellent training standards
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E NV IR ONME NT (C ONT ’D)
► Steady global commodity prices
► Consistent royalty rates
► Intelligent regulatory processes
► Cyclical and seasonal sector
► Biggest threats:
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• Lack of skilled manpower
• Anything that threatens the stability of the three items
above
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2012 C A ODC DR IL L ING F OR E C A S T
2012 Total Number of Wells (Western Canada): 11,834
ACTIVE RIGS
FLEET
UTILIZATION
OPERATING
DAYS
2012 – 1st ***
540
798
68%
48,109
2012 – 2nd
161
805
20%
14,344
2012 – 3rd
433
817
53%
38,576
2012 – 4th
456
829
55%
40,625
Average 2012
398
812
49%
141,654
QUARTER
WTI: $90.00/bbl (USD)
AECO: $3.00/Mcf (CDN)
12.0 days/well
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WE L L C OMP L E T IONS A ND AV E R A G E R IG
C OUNT IN WE S T E R N C A NA DA
Year
Average Active
Rig Count
Fleet
Utilization
Annual
Completions
2012
398
812
49%
11,834
2011
417
795
53%
16,071
2010
326
797
41%
13,566
2009
219
855
26%
8,278
2008
351
877
40%
16,844
2007
335
880
38%
19,144
2006
502
801
63%
22,127
2005
502
736
68%
21,925
2004
439
701
63%
21,593
2003
418
672
62%
19,851
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OUR E QUIP ME NT
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OUR E QUIP ME NT
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OUR E QUIP ME NT
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OUR E QUIP ME NT
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DR IL L ING OR S E R V IC E ?
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S E R V IC E R IG
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DR IL L ING R IG
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T R A NS P OR TAT ION IS S UE S
► CAODC Service Rig Executive works very closely
with Alberta Transportation (as well as counterparts
from other provinces)
► CAODC – Alberta Transportation Memorandum of
Agreement (MOA)
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► Federal Hours of Service legislation
► Transportation of Dangerous Goods (TDG)
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OUR P E OP L E
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T HE NUMB E R S
► 1 working rig:
• = direct employment for 16 people (rig workers)
• = direct employment for 75 people (the rest of the
services required to drill a well)
• = indirect employment for 125 people (surrounding
community, services, etc)
► Q1 2012
• = 540 rigs x 16 = 8640 employed
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L E A S E HA ND
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F L OOR HA NDS (R OUG HNE C K S )
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MOTOR HA ND (R IG T E C H 1)
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V IE W F R OM T HE
MONK E Y B OA R D
• Two “green”
floorhands working
with a more
experienced
floorhand, or
motorhand.
• This would be similar
to the derrickhand’s
view each day.
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DE R R IC K HA ND (R IG T E C H 2)
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DR IL L E R (R IG T E C H 3/J OUR NE Y MA N)
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DR IL L E R (R IG T E C H 3/J OUR NE Y MA N)
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DR IL L E R (R IG T E C H 3/J OUR NE Y MA N)
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P E OP L E C HA L L E NG E S
► Current generation of workers:
• Aging workforce and turnover
• Growing upstream operations
• Competition inside and outside the sector:
o To recruit the best employees
o To retain/protect our best employees
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P E OP L E C HA L L E NG E S
► New generation of workers
• Message from industry:
o Great long-term career opportunity
o Competitive compensation
o Excellent training (both OTJ and technical schools)
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P E OP L E C HA L L E NG E S
► Government perspective:
• Occupational Health and Safety (OHS)
• Workers’ Compensation Board (WCB)
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T R A INING INF R A S T R UC T UR E - DR IL L ING
► Drilling members have worked through CAODC
to put in place some of the highest training
standards in the world.
► Alberta is the only jurisdiction in the world to
recognize the unique skill set of rig workers
► Rig Technician – mandatory trade in Alberta,
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voluntary in BC & SK; Red Seal program
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T R A INING INF R A S T R UC T UR E - S E R V IC E
► Service rig members utilize industry competency
training programs through Enform.
► Program is supervised by individual companies
► Administrative structure is similar to the Rig
Technician trade – subject matter experts
recommend and approve changes to31the content
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C ONC L US ION
► Our members are in the business of Equipment
and People
► Our vitality depends on the health of our
customers
► Enjoy strong and open working relationships
with our government partners
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C ANA DIA N AS S OC IAT ION
OF OILW E L L DR IL L ING
C ONT R AC TOR S
800, 540 – 5th Avenue S W,
C algary, Alberta T 2P 0M2
E -mail: info@ c aodc .ca
C all: (403) 264-4311
F ax: (403) 263-3796
www.caodc.ca
www.R igT ec h.c a
www.S ervic eR igDrive.c a