COVID-19 Updates – Industry response and impact
Last updated: 30 September 2020
Impact on operations
Oil & gas operations and supply are not directly impacted for the time being.
While there have been cases of oil and gas workers affected by COVID-19, including on offshore installations, our Member companies have procedures in place to isolate and evacuate personnel should screening procedures or testing fail to identify affected employees. In many cases, workers are isolated or quarantined before travel to remote sites. .
Other preventive measures are also put in place, such as downsizing non-essential operations, reducing the number of personnel present on site, adjustment to shift patterns and separation of critical teams, in order to safeguard the safety of the workforce while maintaining energy supply.
An ongoing concern is the ability for our international key workers to travel to their work of travel, similar to seafarers and mariners. This has resulted in extended tours of duty for many and also given rise to new ways of performing inspections and critical maintenance.
IOGP monitors the situation through regular contact with national oil & gas industry partners (companies and trade bodies).
Production keeps going despite the current sanitary situation and market conditions – this is no easy feat.
There is in general good collaboration between government and industry in the different producing countries to make sure operations are maintained, with no incidents offshore. In fact, several IOGP members report a reduction in incidents and improved up-times for facilities.
Companies are affected, some more profoundly than others. From 2019 to 2020, depending on countries and areas, capital expenditure plans are being reduced by 20-30%. It’s still too early to have a comprehensive view, also given that there are clearly delays to future capital investment decisions.
This is already directly impacting the whole supply chain: for many of the supply chain companies, the loss of activity will have a very substantial impact: Some construction yards are losing 70% of their workload, engineering around 60%.
The world oil storage capacity is more or less at capacity, and whilst the oil price has recovered somewhat from its initial drop to some USD 20 per barrel, clearly the market is not yet balanced and is certainly not sustainable.
The lessons of the 2014 crisis have helped soften the blow. The impact on the industry would be worse without the efficiency gains made in the past few years, including thanks to IOGP’s work on standardization.
The industry are moving from their immediate responses, are now in recovery mode and defining their strategy and purpose to be successful in the new normal. Clearly, we expect to see further impacts on the work force. Sustained reduction in expenditure and -thus- personnel will likely result.
Economy and security of supply are back on top of the agenda, with climate still close behind. We strongly believe CCS must be part of any strategy looking to direct funds to sustainable technologies.
IOGP continue to help harmonise its Members’ responses through information and learnings sharing, and helps Members progress on specific issues. Whilst many of our members work globally, IOGP helps them gain national insights as the situation evolves. This has also included extensive collaboration and communication with other trade organizations and entities like the UN, EU, IMO and various regulators across the globe through the International Regulator Forum.
Below is a brief summary of our Committee work. For more information on this drop us a line with your questions and we will get back to you as soon as possible.
- Started meeting at earliest stages of the COVID-19 crisis, and sharing information on travel restrictions, quarantine, controlling infections and other relevant measures.
- The Committee began by looking into issues such as testing for the virus, , physical (how do we deal with it in practice) and now looks into mental health aspects (longer term effects of prolonged rotations and their mitigation). The latest aspects includes considerations for harmonizing our industry approach to any future vaccine and also to distil and document learnings for the future.
- Further, the Health Committee have been actively sharing its insights and positions taken in various industry fora, with regulators and many other industry associations.
- Being a critical part of the response, helicopters are a part of the oil and gas supply chain integral to any response. The aim remains to ensure safe transport to and from remote sites or offshore installations in the face of this new threat.
- In collaboration with others, they have delivered protocols and harmonized measures related to such safe transport and already have industry aligned views on changed or new risks that has arisen during the pandemic response.
- Has active discussion on new risks, and sharing of global industry insights to help inform individual company responses. This includes the totality of the oil and gas supply chain.
- Following the initial short term actions and responses, the committee is now focusing towards learning and documenting responses to date and will assess new or changed risks as well.
Our Members’ response to Covid-19
The list of companies and initiatives is not exhaustive – we do our best to keep this list up to date.
Should you wish to list your company initiative, contact us at email@example.com.
Baker Hughes is engaging with communities globally, and locally, to support the fight against COVID-19:
- In the United States, Germany, Scotland, Italy and Saudi Arabia, Baker Hughes is beginning to engage with local hospitals, industrial consortiums and partners to print hundreds of face shield pieces and other high-demand medical equipment.
- Baker Hughes is gathering and donating personal protective equipment (PPE) to local healthcare facilities, including thousands of face masks and goggles.
BP is supporting essential services, elderly and vulnerable citizens staying at home in the UK during the current COVID-19 pandemic:
- The BP Foundation will donate $2 million USD to the WHO’s COVID-19 Solidarity Response Fund, which supports medical professionals and patients worldwide by providing critical aid and supplies. The Solidarity Response Fund also helps track and understand the spread of the COVID-19 virus and supports efforts to develop tests, treatments, and ultimately, a vaccine.
- In the UK, from 21 March, BP is providing free fuel to emergency services ground transport vehicles. This includes charging of electric vehicles through BP Chargemaster. From 1 April, BP supplies free jet fuel to air ambulance services.
- BP is offering free delivery of food and convenience goods from many of its UK retail sites to help those who have been advised to minimise social contact.
Chevron operates in many parts of the world and sees the effects COVID-19 is having on communities where its employees live and work. During this unprecedented time, the company is committed to protecting its customers, supporting its workforce, helping those affected in the communities where it operates, and supporting healthcare workers on the frontlines of the pandemic.
- Maintaining a Health Workplace: Chevron continues to take steps to connect employees with resources that support their health and well-being, such as offering alternative work schedules, virtual health visits and mobile app access to various HR services where possible. It has also expanded mental health services via secure video, confidential consulting services and online resilience programs.
- Protecting Customers: It is committed to providing customers with quality fuels and products in a safe environment. Its Chevron app lets customers pay for fuel right from their vehicle.
- Supporting Communities: Together with its global partners, Chevron is enacting a series of social investment and support initiatives to help communities and non-profits address the COVID-19 crisis. In the U.S., more than $2 million has been donated to local relief efforts in several states, with an additional $2 million to match 2:1 employee contributions to U.S.-based non-profits. Outside the U.S, it is working with global partners on a variety of initiatives, such as helping to fund emergency services in remote parts of Western Australia and providing medical supplies to hospitals in Thailand. To date, it has committed more than $12 million around the world to COVID-19 response efforts.
Learn more about its efforts here.
ConocoPhillips is taking steps to support and sustain its global workforce, communities and health care professionals during the coronavirus pandemic by donating much-needed relief aid, food and medical supplies to area hospitals and first responders, while continuing to deliver the oil and natural gas that is essential to keep society running:
- $300,000 USD donated to procure life-saving medical supplies and support front-line medical personnel in Wuhan, China.
- More than 3,000 lbs. of food delivered to food banks and missions in Houston, Texas and Bartlesville, Oklahoma.
- 6,500 respirator masks donated to local area hospitals and first responders in Houston, Texas; Casper, Wyoming; and Riverton, Wyoming.
- 6,000 pairs of medical exam gloves donated to medical centres and first responders in Odessa, Texas; Andrews, Texas; and Casper, Wyoming.
- 100 pairs of safety and reading glasses donated to first responders in Casper, Wyoming.
- Dozens of lunches delivered to the staff at Stavanger University Hospital in Norway.
- Gloves, visors and protective masks donated to the staff at James Cook University Hospital in Middlesbrough, U.K.
- $25,000 donated to Camp Fire Alaska for emergency programme services benefiting local children of active duty and deployed military personnel and $10,000 to the Children’s Lunchbox for meals to youth in low income neighbourhoods.
- 500 personal hand sanitisers for area first responders Karnes and DeWitt, Texas.
- Employee volunteer Connie Carter donated her time to make 100 cloth masks for local nursing home residents in Watford City, ND.
- ConocoPhillips Chinese American employees purchased a secure shipment from China and delivered 4,500 masks and 200 protective gowns to several Houston hospitals and first responders.
- Eni has partnered with the Fondazione Policlinico Universitario Agostino Gemelli IRCCS to set up the “Colombus Covid 2 Hospital” in Rome. The Hospital is exclusively devoted to treating patients suffering from coronavirus and became operational on 31 March. As part of the same project, an Emergency Room for patients suffering from coronavirus will be set up inside the Gemelli Polyclinic.
- In Milan, Eni is working with Ospedale IRCCS Luigi Sacco to set up a new Emergency Room devoted to infectious diseases.
- In Pavia, Eni is helping set up a high-level isolation unit inside the infectious diseases department of Ospedale San Matteo.
- Together with IRCCS Policlinico di San Donato, Eni is ensuring the provision of medical equipment such as monitors for resuscitation units and personal protection equipment.
- Eni is funding public information campaigns.
- The company is in the process of finalising its partnerships with CNR Institute for Complex Systems and with Istituto Superiore di Sanità to use the calculation and modelling capability of its HPC5 supercomputing system for medical research related to infectious diseases.
- Eni has so far allocated €30 million to the fight against coronavirus.
In addition to continuing to safely and efficiently produce the energy society needs, ExxonMobil helps support the fight against Covid-19 through donations of medical supplies, support for impacted communities, and ramping up the production of feedstock used in hand sanitisers. Examples include:
- ExxonMobil is using its experience of polymer-based technologies to work with the Global Center for Medical Innovation to rapidly redesign and manufacture reusable personal protection equipment for health care workers, such as face shields and masks.
- In the US, the Baton Rouge plant is maximising production of isopropyl alcohol (IPA), a key ingredient in hand sanitiser, so it can continue to provide it to the customers and areas that need it most such as the state of New York. ExxonMobil is also supporting local communities facing economic hardship due to Covid-19 by helping provide 1 million meals to Houston-area residents through $250,000 in contributions to local food banks, and donating $100,000 to the West Texas Food Bank. In New Mexico, ExxonMobil has donated $100,000 to support online education for low income students in remote locations with limited access to the internet.
- In Europe, ExxonMobil has donated IPA to help produce hand sanitiser for hospitals, nursing homes and first responders in Belgium. The SARPOM refinery in Italy has made a financial donation to help local community hospitals acquire key medical materials. While in France the Gravenchon plant has supplied bottles needed to package and transport medical hand sanitiser.
- In China, ExxonMobil provided $200,000 to the China Charity Federation to assist in COVID-19 relief efforts, supplied of lubricants to emergency response organizations, and donated medical supplies to impacted communities, including 48,000 masks and 4,300 sets of protective clothing.
PGNiG provides widespread support for different vulnerable groups affected by the coronavirus pandemic:
- To support local communities in the regions of PGNiG operations, PGNiG has donated over EUR 1.5 million to hospitals fighting against COVID-19 for purchase of the necessary equipment such as ventilators and respiratory equipment as well as personal protective gear for hospital staff.
- PGNiG helps other public institutions, such as the National Health Fund, by delegating several dozen employees to work at the coronavirus hotlines, financing video information hotlines on coronavirus for the deaf as well as by sponsoring of the educational TV programs for children that stay at home while schools are closed.
- The company has launched various measures dedicated to its clients, namely: temporary suspension of overdue payments collection from its client, strengthening online channel of communication with clients while closing Customer Service Offices.
- Wherever feasible PGNiG facilitates its employees to work remotely. For others, additional health and safety measures have been introduced, including implementation of special work organisation and providing additional personal protective equipment.
Repsol shows its support by implementing a range of initiatives aimed at contributing to the fight against the Coronavirus pandemic:
- Repsol is donating personal protective equipment and sanitary clothing to hospitals, emergency services, police, and fire fighters in Spain and other countries where it operates, particularly Portugal and Bolivia.
- The company is donating different polyolefin grades to various entities and companies for production of face screens, masks, and gowns.
- At its Technology Center in Madrid, it produces 10,000 l/week of hydro-alcoholic sanitary gel to donate to hospitals in Spain. Repsol has purchased and donated disinfectant gel to local actors in Indonesia and Ecuador.
- The company has temporarily donated an automatic PCR machine to perform COVID-19 tests and a portable respirator to hospitals in Spain. It has donated funds to purchase medical equipment and respirators in Peru. It has made a donation to support the construction of a temporary field hospital in Rio de Janeiro, Brazil, and given power banks and charging stations to a temporary field hospital in Madrid.
- Repsol’s service stations in Spain offer cheap menus, free coffee and buns, and access to toilets and showers to truck drivers, professionals of the armed and security forces, and emergency and health service workers. At the industrial complexes it donates picnic baskets to truck drivers.
- Repsol contributes food to indigenous communities, vulnerable families, orphanages, etc. in areas where it operates in Ecuador, Peru, and Malaysia.
- The company is organising a solidarity campaign with the Red Cross where employees can make donations. The Repsol Foundation will make an additional financial contribution.
Safety is a core priority for Schlumberger, it embraces a safety mindset and build it into how it works. It has taken a proactive approach to COVID-19 outbreak response, quickly implementing a comprehensive outbreak management plan and adapting its work practices.
In addition to initiatives at its sites and offices— it also has initiatives that are contributing to the safety of the people in the communities where it works.
Visit its COVID-19 webpage for full details of its outbreak response, which includes:
COVID-19 Management Practices
Schlumberger has publicly shared its new COVID-19 Management Standard which guides work practices to help continue to operate safely around the world. Schlumberger has made these documents available on its public website, along with a number of supporting procedures, flowcharts and communications materials to help promote the sharing of safety best practices related to COVID-19 management.
- Resources to improve information management and promote engagement
- A practical approach designed to reduce exposure
- Geography-specific preparations designed to meet local jurisdictional requirements
- Tools for business continuity plans
Supply chain continuity
- Ongoing supply chain risk assessment, operations impact assessment, and development of potential mitigation measures, including alternative suppliers
- Specific risk analyses for extended product and spares lead times, increased product cost, and supply disruption
- Potential supply chain impact assessment for supplier changes to delivery dates, delays due to port congestion, and transport (air/ocean/trucking) quarantine requirements
- Project delay communications on a case-by-case basis
- Workforce footprint reduction enabled by remote operations
- Risk-based travel and alternative routing for field crews
- Conditions-based maintenance for tool and equipment integrity
- Business continuity plans to enable HQ operations support
Schlumberger’s global stewardship commitment shows a long tradition of contributing to the communities where the company live and work. The COVID-19 pandemic has presented many opportunities to demonstrate that commitment. Across the globe, Schlumberger teams are putting their skills and expertise into action to support front-line responders, healthcare professionals, and the wider community by manufacturing hand sanitizer and PPE. Some examples of these projects include:
Shell is prioritising the safety and health of its people and customers, and is preparing a global response to COVID-19:
- Shell is increasing the production of isopropyl alcohol, a key chemical ingredient of hand-sanitising liquids. Shell’s manufacturing plants in the Netherlands and in Canada are diverting production resources to make isopropyl alcohol. In the Netherlands, the company is making 2.5 million litres available free of charge for the healthcare sector.
- From 26 March, in more than 15,000 participating retail sites across 30 countries, Shell is providing free food or drink to health-care professionals such as nurses and doctors, as well as truck drivers and the delivery people who are vital to maintaining supplies.
- In Germany, Shell set up a new supply chain within two weeks to help secure hand sanitiser for hospitals. In the first wave of deliveries, Shell donated 700 tonnes of bioethanol and separated it into manageable container sizes.
- Shell has been helping to develop face protectors for medical staff. The adjusted snorkel masks cover the face fully and are connected to a medical filter by a part that is being produced using the 3D printers at the Shell Technology Centre Amsterdam.
Total is supporting French hospitals and healthcare staff mobilised in the fight against COVID-19 by supplying free fuel vouchers, and through the Total Foundation:
- Total Group will provide hospitals with gasoline vouchers worth up to €50 million that can be used at Total stations.
- The Total Foundation will mobilise €5 million in favour of the Institut Pasteur, and hospital and health associations involved in the fight against COVID-19.