ASSESSMENT OF BOW-TIE STRATEGY FOR RISK MANAGEMENT PRACTICES ON THE AKPO OIL FACILITY, RIVERS STATE, NIGERIA

Abstract

The study assessed the risk management practices on AKPO FPSO as related to the environmental risks attached with the project. The study specifically assessed the frequency and severity of oil spill on AKPO FPSO, the environmental impact of Loss of Primary Containment and risk management practices on AKPO FPSO using bow-tie strategy. The research is a survey type, which focused on the use of bow-tie strategy in managing risk in the oil and gas sector. It involves the gathering of information about risk management practices and its effects on operational performance of AKPO FPSO. The survey design involves developmental study that reveals the prevailing state of affairs of risk management practices over a period of time, particularly in Nigeria. The study area is Rivers state, with concentration on AKPO floating production storage and offloading (FPSO) vessel. AKPO FPSO was commissioned in mid-2005 by Total Upstream Nigeria following the successful development of the AKPO oil and gas field, 200km south of Port Harcourt off the coast of Nigeria in West Africa. For this study, the target population were HSE experts that are involved in AKPO FPSO operations within the period of the study, including Total Nigeria Plc staff and consulting firms. This study used total population sampling, a non- probability sampling. Total population sampling is a type of purposive sampling technique that involves examining the entire population (i.e., the total population) that have a particular set of characteristics. Using interview, as the research instrument and secondary data, the data obtained were analyzed for normality to ensure its suitability using standard multivariate analysis. The study found that that there were more cases of loss of primary containment, that is, oil spill before the deployment of bow-tie strategy on AKPO FPSO and after its deployment. Findings from the study further revealed that although there is a difference in the total volume of LOPC released, however this difference is not statistically significant (p = 0.529). The study also found that thereis reduction in the frequencies of LOPC since the deployment of bow-tie strategy on AKPO FPSO. The study concluded that the potentials of the bow-tie strategy need to be fully optimized in managing risk on AKPO FPSO. It further concluded that the bow-tie strategy deployed on AKPO FPSO should be optimized in order to record more significant impact. Also, reports from various departments involved in maintaining and implementing risk management practices on the oil facility should be harnessed into the operations of bow-tie strategy .