Handling Well Control Claims in Southeast Asia · A Part of Braemar Technical Services...

A Part of Braemar Technical Services Incorporating:

Handling Well Control Claims in

Southeast Asia

13 September 2012

Lynette Muilenburg – Senior Adjuster

A Part of Braemar Technical Services Incorporating:

• Introduction to the Braemar Adjusting

new Global Well Control Team

• Case Study of a claim in Central

Sumatra, Indonesia

• Comparison of claims handling in

Southeast Asia to the United States

through the Case Study claim

Objectives

A Part of Braemar Technical Services Incorporating:

• Chris Dye • Managing Director of Houston

• Dwayne Callais • Petroleum Engineering Degree

• 16 years of exploration and production experience

• 14 years of energy loss adjusting experience

• Lynette Muilenburg • Chemical Engineering Degree

• 3 years experience as a field engineer

• 7 years experience as a loss adjuster • 3 years experience handling Well Control claims in Singapore

• Stephen O’Reilley • 3 years Well Control claims handling as a loss adjuster

Braemar Adjusting Global Well

Control Team

A Part of Braemar Technical Services Incorporating:

• Central Sumatra, Indonesia

• Exploration Well Drilled in 1995

• Bottom hole section isolated by permanent

cement plugs

• Perforated in two separate formations

• Production packers to isolate the perforated

formations

• Scheduled workover includes the perforation

of two more production zones

Well Control Claim

A Part of Braemar Technical Services Incorporating:

Well Control Claim

A Part of Braemar Technical Services Incorporating:

Law

This insurance is subject to Indonesian Law and Practice.

A Part of Braemar Technical Services Incorporating:

The main function of BPMIGAS is to oversee and

control the business activities of the upstream oil

and gas for extraction of natural resources.

Badan Pelaksan Kegiatan Usaha

Hulu Minyak Dan Gas Bumi

(BPMIGAS)

The Upstream Oil and Gas Executive Agency

A Part of Braemar Technical Services Incorporating:

• BPMIGAS is the Regulatory Authority for

Indonesia

• BPMIGAS enters JV agreements with PSC’s

• BPMIGAS is a Named Insured under the

Insurance Policy

• All Insurance contracts are under Indonesian

Primary Insurers (Jasindo, Tugu, etc.)

• The Indonesian Primary Insurers reinsure in

the public market

Fundamentals

A Part of Braemar Technical Services Incorporating:

Location

A Part of Braemar Technical Services Incorporating:

20 March

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

• Cranes to secure the drill pipe

• Cut the mesh away from the drill pipe on the

monkey board

• Remove the monkey board

• Lay down the mast and move the rig off location

• Build a platform around the drill pipe

• Cut the drill pipe

• Install a Capping Stack

• Kill the well with kill mud

Operations

A Part of Braemar Technical Services Incorporating:

28 March

A Part of Braemar Technical Services Incorporating:

29 March

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

30 March

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

31 March

A Part of Braemar Technical Services Incorporating:

April Fools Day

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

A Part of Braemar Technical Services Incorporating:

• Identify what charges were not going to be

found acceptable

• Establish a working relationship with the

Assured’s Risk Manager

• The Assured’s Risk Manager submitted a very

clean claim

• This simplified and expedited the adjustment

process

Benefits to Being on Location

A Part of Braemar Technical Services Incorporating:

• Unable to find out information regarding the

well from any other sources than the Assured

• BPMIGAS being a Named Insured, the

Regulatory Authority, as well as, having an

influence on the Insurers

Additional Challenges

A Part of Braemar Technical Services Incorporating:

• Foreign Laws

• Language

• Location

• Weather Conditions

• Cultures / Customs

• Government Regulators

Summary