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Annual Report 2015

Safety and Service Quality

Record-Setting Safety Performance

Our vision is to be a company that is incident free, delivers on our promises, and leaves the environments in which we operate better than we found them.

We are proud to say that 2015 was our safest year yet.

16%v

reduction in the
total recordable
incident
rate (TRIR)

23%

reduction in the
lost-time incident
rate (LTIR)

43

manufacturing facilities
achieved no lost-time
incidents, no recordable
injuries,
and no preventable
vehicle incidents

33%

reduction in the
preventable vehicle
incident
rate (PVIR)

No2

Security Program in
the Energy Sector from
Security Magazine's
Security 500 Rankings
Global, 2015

best safety record
Canada
CSE logo

Gold Award

Canada's safest employer in the oil and gas industry

Silver Award

Canada's best safety culture in all industries

From Thomson Reuters' Canadian Occupational Safety magazine
Canada

Angola
Chevron logo

Best basic behavior safety

From Chevron
Cabinda / Angola

Texas
Eagle logo

Eagle Ford Excellence Award for Environmental Stewardship

From the South Texas Energy & Economic Roundtable (“STEER”)
Corpus Christi, Texas

Eagle logo

2016 Special Meritorious Award for Engineering Innovation

HSE Hand and Finger Injury Prevention Program

From Hart's E&P
Houston, Texas

Bolivia
Total logo

Outstanding participation in HSE

From Total
Bolivia

Austria
Appea logo

People’s Choice Safety Award

From the Australian Petroleum Production & Exploration Association (APPEA)
Australia

Award-winning hand and finger injury prevention program

Injury prevention icon

The statistics say it all — 35% of our injuries are hand and finger related. This is a problem not only for Weatherford, but the industry at large.

In 2015, we created and implemented a new Hand and Finger Injury Prevention Program to actively address the issue and keep our employees safe. We are proud to have received the Hart’s E&P 2016 Special Meritorious Award for Engineering Innovation in recognition of this program's success.

The team worked together to create materials that were not only educational, but also appealed to the emotions of our employees — emphasizing how often we use our hands in our daily lives. This targeted training was designed to reinforce the use of higher level risk management controls based on our hierarchy of control model. We provided our employees with access to reference materials — such as our standards, technical work instructions, an in-depth instructional presentation, a safety booklet and a video series — that strategically tie into this model.

The program has sparked discussions that are continuing today about how each of us can become safer in our daily work. Following the program, we saw reduction in hand and finger injuries in the first quarter of implementation alone.

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We strategically identified the areas where hand and finger injuries are most prevalent and focused our efforts on educating employees about how to reduce the number of these types of incidents. These activities were performed in a controlled environment so as not to put the employees or anyone around them at risk.

Hazardous substances program

Hazardous substances icon

The nature of our business means employees may work directly with or have exposure to many different hazardous substances, including explosives, lithium batteries, and workplace chemicals.

It is important for our employees to be aware of the hazards and understand the risks these substances pose and the controls needed to use them safely. In 2015, we launched a Hazardous Substances Program — one of the pillars in our Eight GEMS (Getting Everyone Managing Safety) program — that was conducted at facilities around the world to reinforce the safe handling and storage of hazardous substances. We held a global Safety Stand-up, distributing a podcast and several resources including our standards, technical work instructions, facility posters, and more. Each Safety Stand-up culminated in conducting a facility hazard hunt, putting the program learnings into action. This program is just another measure we take to ensure that our employees return home safely at the end of each day.

test tubes
scientist

Delivering service quality

Service quality icon

Our reach, like that of our clients, is not confined to any single state, country, or region.

Delivering on service quality and reliability is a primary focus for Weatherford. We maintain API Q1 and Q2-certified facilities throughout the world, which enables us to meet the specific needs of our clients, and we continue to grow our capabilities.

In keeping with that tradition, in 2015, we achieved better service quality and reliability in three ways:

  1. Maintaining focus on the rollout of our OEPS management system and associated standards
  2. Improving technical reporting
  3. Maintaining corporate verification

By keeping our focus on the rollout of OEPS and other global standards, we were able to drive improvement and standardization of our organization to superior levels. Weatherford is proud that our first facility in Canada qualified to API Q2 — the highest international standard for quality management systems.

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St. John's Newfoundland, Canada - API Q2 Facility

 

We will continue to certify locations to API Q2 as part of our commitment to meeting the demand of the industry and our clients. In 2016, we anticipate the certification of product lines and facilities in Edmonton, Canada; Lafayette, Louisiana; Macae, Brazil; and Aberdeen, Scotland.

In 2015, we improved our technical reporting, which allowed us to perform detailed operational and root-cause analysis using live data dashboards. We increased our job reporting by 25%, which dramatically enhanced our ability to monitor performance. This enabled us to define relevant key performance indicators (KPIs), dedicate resources where they were needed, adjust faster to a dynamic marketplace, and be proactive with our clients through more detailed Service Quality Reviews. Additional advantages of the new technical reporting process include an improved understanding of our product line performance and the establishment of KPIs that drive continuous improvement for our core services.

Weatherford is actively conducting internal verification of its processes and management system implementation through local self-verification audits and corporate-sponsored audits. The verification program drives global uniformity and lessons learned to continuously improve our processes.

Following the implementation of our OEPS online system, we have seen significant service delivery enhancements in our operations:

Revolution® Rotary Steerable System (RSS) Global Record Obtained

On January 6, 2015, Weatherford commenced drilling with the Revolution RSS at 6,484 ft measured depth and reached a total depth (TD) of 22,430 ft on January 16, 2015. Downhole temperatures approaching 330°F were encountered and mitigated by circulating mud to cool the wellbore. A total one-run footage of 15,946 ft was achieved, setting a new global record for the Revolution RSS.

revolution rss

Revolution® Rotary Steerable System

Field Service Modernized

Demonstrating our solid commitment to service quality, we have proceeded to drive the modernization of field service by bringing mobility innovations to the market, first with our Surface Pumping Unit Reliability (SPUR) tablet application and Pumping Unit Maintenance Tracking (PUMT) portal.

The SPUR application provides our workforce with all relevant task-risk assessed Technical Work Instructions — enabling access to the latest, safest, most efficient procedural steps at their fingertips, removing the manual change management process of hard copy transfer, and minimizing operational disruption. A Job Hazard Analysis form within the SPUR application enables us to thoroughly document on-site hazards, controls, and responsible parties at the well site as efficiently as possible.

The SPUR application also contains the pumping unit preventative maintenance and inspection data collection forms. This inspection data is then made visible in the PUMT portal, providing Weatherford and our clients visibility of asset conditions, including criticality, which helps minimize lost production time and expedite the service order process.

pumping unit application log in

World’s Heaviest Casing String Landed

Weatherford was approached to help a client run the world’s heaviest casing string to TD. The rig spider was only rated to 1,000 tons and the string weighed a record-high 1,180 tons (1,070,478 kg). Weatherford deployed the landing-string slips (LSS) 1250, which can carry loads of up to 1,250 tons (1,133,981 kg). Weatherford engineers provided slip-crush calculations to verify that the pipe could reach TD without incurring damage from excess stress. The team then ran the casing and landing string to TD without issue. The final hookload was 2,360,700 lb (1,070,796 kg).

The LSS 1250 enabled the client to complete the well with the planned casing and landing string. Without this high-load-capacity solution, the client would have needed to drill a second hole section and run two separate casing strings at an approximate cost of US $15 million.

heavy casing

Professional people, professional process

Professional people icon

By building a trained and qualified workforce, competence assurance helps to prevent service disruptions, improve safety, mitigate environmental risk, and meet client requirements.

Competence assurance is also a key factor in the continued development and increased morale of our people. The Weatherford Competence Assurance Process has evolved through risk-based evaluation and gap analysis to ensure the right personnel are selected for each task. This process integrates the onboarding of short-service employees with a tailored approach to technical training, supervision, and progression throughout an employee’s career.

safety always