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Notification of order to Statoil withdrawn

Statoil has confirmed that it will act to ensure adequate capacity and expertise – and an acceptable burden on employees – when implementing a new common operations model on the Norwegian continental shelf. The notification of an order issued on 5 November 2009 has therefore been withdrawn.

The Petroleum Safety Authority Norway (PSA) conducted an audit of the Exploration & Production Norway business area in StatoilHydro – which became Statoil Petroleum AS on 1 November 2009 – during the period between 20 February and 4 November.
Attention in this audit was concentrated on the company’s management of the implementation project and on working conditions for offshore supervisors.

It found that Statoil faced substantial challenges in ensuring adequate capacity and expertise during the implementation phase, and in monitoring how this process affected overall risk on an installation.

On that basis, the PSA notified the company of its intention to issue an order (see below).

In its response to the notification, Statoil has confirmed that the following action will be taken.

a) It will carry out verifications with a sufficient degree of independence at the installation level directed towards the management of expertise and capacity, combined with an assessment of the burden on individuals and groups.

b) It will establish and implement measures to ensure sufficient expertise and capacity and an acceptable burden on individuals and groups.

This fulfils the intentions specified in the notification of an order. The action will be taken from January 2010, and a report on its progress will be provided at the annual status meeting between Statoil and the PSA in February 2010.

Wording - Notification of order
Based on the findings made during the audit, we have issued Statoil Petroleum AS the following notification of order:

Pursuant to Section 15 of the Framework Regulations relating to verifications and Section 18 of the Management Regulations relating to collection, processing and use of data, cf. Section 58 of the Framework Regulations relating to individual decisions, Statoil Petroleum AS is ordered to monitor and verify management of capacity and competence on its facilities in the ongoing implementation phase, ref. Chapter 5.1 of the report.

The deadline for submitting a plan with dates for complying with the order is set at 5 December 2009.

Pursuant to Section 10-2 (1) of the Working Environment Act relating to working hours schemes and Section 52 of the Framework Regulations relating to periods of stay, cf. Section 58 of the Framework Regulations relating to individual decisions, Statoil Petroleum AS is ordered to evaluate the strain on individuals and groups, inter alia as a consequence of using extended offshore periods and additional work, and to implement necessary measures, ref. Chapter 5.1.4 of the report.


About “orders” vs. “notification of order":
An order is a administrative decision made pursuant to the regulations. Before we issue an order, we usually submit a "notification of order" to the companies involved.

A notification of order is neither a measure nor a warning of sanctions, but part of our administrative process in accordance with the established rules of procedure. The notification is just a first step before an administrative decision is made.