Lessons from Baghjan blowout: OIL will review SOP, says CMD

OIL’s Chairman & Managing Director, Sushil Chandra Mishra talks to TOI on the disaster and the future.
GUWAHATI: Oil India Limited and international hydrocarbon well blowout control experts will launch their final move to kill the gas well at Baghjan oil field in Assam’s Tinsukia district, which is throwing out towering jets of fire for 15 days now after Army’s 3rd Corps completed a 150-metre long Pontoon bridge in just four days that will be used for transporting men and materials to the blowout site.
The Baghjan episode is a not just national loss, in terms of money and natural resources, but also an unfortunate event that took away two precious human lives. There is also an adverse impact on the surrounding environment and on the image of Oil India Limited, a Navratna company under the Ministry of Petroleum and Natural Gas.
OIL’s Chairman & Managing Director, Sushil Chandra Mishra talks to TOI on the disaster and the future. The excerpts from the interview:
How would you describe the Baghjan explosion that cost two human lives—an accident or a disaster due to human error or a disaster due to technical error?
-Five different enquiry committees are looking into this matter. Once the reports are ready, we will be able to come to a conclusion whether the accident was due to human or technical error or a combination of both.
Two OIL officials have been suspended, but what were their roles in the disaster?
-The suspended officers were assigned with the responsibilities for overseeing the work over operations.
Can John Energy (the Gujarat-based private company engaged in the maintenance work at the well) be made accountable? If not, why and if yes, when and how?
-We have issued show cause to M/s John Energy and subsequently there has been exchanges of their replies and our counter charges. Once the enquiry reports come out appropriate actions will be initiated.
Are well blowouts and subsequent explosions like that in Baghjan common? What is the probability?
-The last time, OIL encountered an incident of such magnitude was in Dikom in 2005. Such major incidents are rare though not uncommon.
How many such blowouts with explosions have occurred in OIL’s operational areas, including Assam so far?
-A blowout of such magnitude happened in 2005 at Dikom. Earlier such type of blowouts had occurred at Kathloni.
How well is OIL prepared for a Baghjan-like mega blowout?
-This is the second such disaster in 15 years in Assam since Dikom.
Can’t OIL build its own team of qualified experts instead of waiting for foreign specialists to arrive?
-World over, E& P companies do have certain expertise and equipment to handle such incidents. OIL has its own Crisis Management Team and experts within the company. However, during such times of crisis it is always prudent to have consultations, advice and expertise of experts in handling such situations. Even very big majors when confronted with such blowouts engage expert companies in controlling the wells. M/s Alert disaster Control is one of the few such companies globally. Their experts have controlled over 1000 blowouts in 135 countries. This implies that companies all over the world, even much bigger in size than OIL also need expert hands when they encounter such blowouts.
What is the extent of the damage to the environment because of the blowout of gas and gas condensate?
-Professional agencies are conducting various studies and once the assessment is done, the impact due to this disaster can be ascertained.
What are the lessons learnt from Baghjan?
-Review of SOPs and strengthening the existing systems and processes, wherever required will be undertaken to avoid such events in future.
Compensation pay-out seems to the bottom line—from land acquisition to disasters. Your take on it.
-As a responsible PSU, OIL has always ensured that adequate compensation is provided to the impacted. In this case also, OIL will fulfill its responsibility once the details are available from the district administration.
What’s your vision as the CMD on the right balance between meeting energy needs and protecting the ecosystem, taking into account onshore operations particularly in Assam where OIL operations rub shoulders co-exist in close proximity with dense human habitations?
-Yes, the need for ensuring energy security and mitigating adverse impact on the eco system have always been our priority. We are a company with a legacy that can be traced back to 1889. As an extractive industry, ensuring that our activities do not adversely impact the catchment area is part of our company’s vision statement. New eco-friendly technology are available and OIL has always adopted the new innovations available.
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