This consolidation is unofficial and is for reference only. For the official version of the regulations, consult the original documents on file with the Registry of Regulations, or refer to the Royal Gazette Part II. Regulations are amended frequently. Please check the list of Regulations by Act to see if there are any recent amendments to these regulations filed with the Registry that are not yet included in this consolidation. Although every effort has been made to ensure the accuracy of this electronic version, the Registry of Regulations assumes no responsibility for any discrepancies that may have resulted from reformatting. This electronic version is for your personal use and may not be copied for the purposes of resale in this or any other form.
Nova Scotia Offshore Area Petroleum Drilling Regulations
made under subsection 146(1) of the
Canada-Nova Scotia Offshore Petroleum Resources Accord
Implementation (Nova Scotia) Act
S.N.S. 1987, c. 3
O.I.C. 92-679 (July 7, 1992), N.S. Reg. 137/92
as amended up to O.I.C. 2006-376 (August 17, 2006, effective Dec. 31, 2006), N.S. Reg. 165/2006
Table of Contents
Conditions of Drilling Program Authorization
Defective or experimental equipment
Requirements for drilling installations
Standards for drilling equipment
Safety and escape arrangements
Blowout preventer system requirements
Misuse of safety and fire-fighting equipment
Part II - Approval to Drill or Approval to Re-enter a well or to drill a test hole
Suspension or revocation of approval
Evidence of financial responsibility
Part III - Operational requirements
Display of authorizations, approvals and critical procedures
Pressure tests of casing and blowout preventers
Maximum pressure during well stimulation
Directional and deviation surveys
Suspension of drilling operations
Inspections and tests of equipment
Inspection of hoisting equipment
Bulk handling of fuel and consumables
Radio and support craft procedure
Part IV - Safety and training of personnel
Protection against poisonous gas
Part V - Operational records and reports
Safety and well evaluation information
Notification of significant situation or significant event
Notification to conservation engineer
Penetration and gas content records
Testing and sampling formations
Part VII - Well or test hole termination
Drilling rig removal prohibited
Operator responsible for abandoned wells
Length and quality of cement plugs
Fluid in completed, abandoned or suspended wells
Part VIII - Deposition of samples from a well
Delivery of samples and other materials to chief
Exploratory and development wells
1 These regulations may be cited as the “Nova Scotia Offshore Area Petroleum Drilling Regulations”.
2 In these regulations
(a) “abandoned” means, in respect of a well or test hole, a well or test hole that has been permanently plugged;
(b) “accommodation installation” means an installation used to accommodate persons at a drill site that functions independently of a drilling installation;
(c) “Act” means the Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation (Nova Scotia) Act;
(d) “Approval to Drill” means the approval granted to an operator pursuant to Part II to drill a well;
(e) “Approval to Re-enter” means the approval granted to an operator pursuant to Part II to re-enter a well for the purpose of conducting a downhole operation;
(f) “Approval to Terminate” means the approval granted to an operator pursuant to Part VII to terminate a well or test hole;
(g) “casing liner” means a casing that
(i) is suspended from a string of casing previously installed in a well, and
(ii) does not extend to the wellhead;
(g.1) “certificate of fitness” means a certificate, in the form satisfactory to the Board or to the person designated by the Board, issued by a certifying authority in accordance with Section 4 of the Nova Scotia Offshore Area Certificate of Fitness Regulations;
Clause 2(g.1) added: O.I.C. 96-21, N.S. Reg. 5/96.
(g.2) “certifying authority” has the same meaning as in Section 2 of the Nova Scotia Offshore Area Certificate of Fitness Regulations;
Clause 2(g.2) added: O.I.C. 96-21, N.S. Reg. 5/96.
(h) “Chief” means the Chief Conservation Officer;
(i) “completed” means, in respect of a well, a well that has been prepared to permit the
(i) production of fluids from the well,
(ii) observation of the performance of a reservoir,
(iii)injection of fluids into the well, or
(iv) disposal of fluids into the well;
(j) “conductor casing” means casing that is installed in a well to facilitate well control during drilling of the hole for the surface casing;
(k) “conductor pipe” means a large diameter pipe installed in a well to provide a conductor for drilling fluid through surficial formations;
(l) “development well” means a well that is drilled in a field or pool for the purpose of the
(i) production of fluids from the well,
(ii) observation of the performance of a reservoir,
(iii) injection of fluids into the well, or
(iv) disposal of fluids into the well;
(m) “discovery well” means an exploratory well that is in a significant discovery area;
(n) “diverter” means a device fitted on a wellhead or on a marine riser for the purpose of directing the flow of fluids away from the drill floor in an emergency;
(o) “drill crew” means the personnel whose primary duties consist of the operation of a drilling rig;
(p) “drill floor” means, in respect of a drilling rig, the stable platform surrounding the slip setting area that provides support for the drill crew during drilling operations;
(q) “drill site” means a location where a drilling rig is or may be installed;
(r) “drilling base” means the stable foundation on which a drilling rig is installed and includes a platform fixed to or resting on the seafloor;
(s) “drilling installation” means a drilling unit, or a drilling rig and its drilling base;
(t) “drilling program” means a program for the drilling of one or more wells within a specified area and time using one or more drilling installations and includes all operations and activities ancillary to the program;
(u) “Drilling Program Authorization” means the authorization given to a person pursuant to Section 135(1)(b) of the Act to conduct a drilling program;
(v) “drilling rig” means the plant used to make a well by boring or other means and includes a derrick, draw works, rotary table, mud pump, blowout preventer, accumulator, choke manifold and other associated equipment including power, control and monitoring systems;
(w) “drilling unit” means a drillship, submersible, semi-submersible, barge, jack-up or other vessel used in a drilling program and fitted with a drilling rig, and includes the drilling rig and other facilities related to the drilling program that are installed on the vessel;
(x) “drillship” means a ship that has a hull and is fitted with a drilling rig so that it is capable of drilling in deep water;
(y) “environmental conditions” means meteorological, oceanographical and other natural conditions, including ice conditions;
(z) “exploratory well” means a well, other than a development well or test hole, that is drilled for the purpose of discovering petroleum or obtaining geological information;
(aa) “formation flow test” means an operation to induce the flow of formation fluids to the surface of a well for the purpose of procuring reservoir fluid samples and determining reservoir flow characteristics;
(bb) “intermediate casing” means the casing installed in a well, following the installation of a surface casing in the well, through which further drilling operations may be carried out in the well;
(cc) “kick” means the spontaneous flow of fluids at the surface of a well caused by the entrance of formation fluids into the well-bore;
(dd) “legal survey” means a survey made in accordance with the instructions of the Surveyor General (Canada);
(ee) “natural environment” means the physical and biological environment in the area specified in the Drilling Program Authorization;
(ff) “operator” means an individual or company that has applied for or has been given a Drilling Program Authorization;
(gg) “permafrost” means the thermal condition of the ground when its temperature is at or below 0oC for more than one year;
(hh) “permafrost casing” means the conductor casing installed in a well to protect against the hazards associated with the thawing of a permafrost section or the liberation of gas within or immediately below a permafrost section;
(ii) “production casing” means the casing installed in a well-bore for production or injection purposes and may include an intermediate casing;
(jj) “relief well” means a well drilled to assist in controlling a blowout in an existing well;
(kk) “rig release date” means the date on which a drilling rig last conducted operations on a well in accordance with the Approval to Drill in respect of that well;
(ll) “seafloor” means the surface of all that portion of land under the sea;
(mm) “spud-in” means, in respect of the drilling of a well, the initial penetration of the seafloor;
(nn) “standby vessel” means a vessel that has been approved by the Board for use as a standby vessel;
(oo) “support craft” means any vessel, tug, ship, aircraft, air-cushion vehicle or other craft used to provide transport for or assistance to a drilling program and includes a standby vessel but does not include a drilling installation;
(pp) “surface casing” means the casing installed in a well to a depth sufficient to establish well control for the continuation of the drilling operations;
(qq) “suspended” means, in respect of a well or test hole, a well or test hole in which drilling or producing operations have temporarily ceased;
(rr) “terminated” means
(i) in respect of a well, a well that has been abandoned, completed or suspended in accordance with these regulations, and
(ii) in respect of a test hole, a test hole that has been abandoned in accordance with these regulations;
(ss) “test hole” means a hole, other than a well or seismic shot hole, drilled through sedimentary rock to a depth of more than 30 m;
(tt) “U.L.C.” means the Underwriters' Laboratories of Canada;
(uu) “waste material” means refuse or garbage, or other useless material generated during a drilling program and ancillary operations, but does not include drilling fluid and drill cuttings;
(vv) “well-bore” means the hole drilled by a bit in order to make a well;
(ww) “well control” means the control of the movement of fluids in or from a well;
(xx) “well material” means a formation or reservoir material obtained from a well, including any cutting, core or fluid;
(yy) “wireline” means a line that is used to run survey instruments or other tools in a well and that is made of steel, or several wires made of steel, copper or other metals together with electrical insulation.
3 These regulations apply
(a) to every operator who explores or drills for petroleum under the Act; and
(b) in respect of every well and test hole drilled under the Act.
4 Any information that is required to be submitted under these regulations shall be prepared and submitted in a form and manner satisfactory to the Board or any person designated by the Board.
5 Any person may apply for a Drilling Program Authorization by completing and forwarding an application to the Board.
Conditions of Drilling Program Authorization
6 A Drilling Program Authorization is subject to the following requirements:
(a) the program, including all equipment used therefor, shall be in compliance with this Part;
(a.1) the operator shall conduct the drilling operations in accordance with the contingency plans referred to in Section 64;
Clause 6(a.1) added: O.I.C. 96-21, N.S. Reg. 5/96
(a.2) the operator shall conduct the drilling operations in accordance with any conditions imposed in relation to any approval referred to in clause (b);
Clause 6(a.2) added: O.I.C. 96-21, N.S. Reg. 5/96
(a.3) a certificate of fitness shall be obtained for each drilling installation and accommodation installation and shall continue to be valid and in force;
Clause 6(a.3) added: O.I.C. 96-21, N.S. Reg. 5/96
(b) every approval provided for in Parts II to VIII shall be obtained according to the requirements applicable to that approval; and
(c) the operator shall comply with Section 72.
Defective or experimental equipment
7 (1) Subject to subsection (2), every operator shall
(a) forthwith repair or replace equipment that is essential to a drilling operation and is defective;
(b) alter any operational procedure that is unsafe, inadequate or deficient; and
(c) initiate any new operational procedure required to ensure the safety of the drilling operation.
(2) Where, pursuant to subsection (1), an operator is required to replace equipment or alter a procedure described in the application for a Drilling Program Authorization, the operator shall obtain the approval of the Board or a person designated by the Board for the replacement equipment or altered procedure prior to undertaking the replacement or alteration.
8 (1) No operator shall in a drilling program use drilling equipment that has not been proven under field conditions unless it has been approved by the Board or a person designated by the Board in accordance with subsection (2).
(2) The Board or any person designated by the Board may approve the use in a drilling program of drilling equipment that has not been proven under field conditions, but such approval shall cease to be valid if the actual performance of the equipment does not meet or exceed the performance characteristics specified for that equipment set out in the application for the Drilling Program Authorization.
9 Every support craft used in a drilling program shall be designed and constructed to operate safely and to provide safe and efficient support for all drilling operations.
10 Every support craft referred to in Section 9 that is a vessel shall
(a) meet the requirements of the Collision Regulations (Canada), as amended from time to time, as if the support craft were a Canadian vessel; and
(b) carry emergency equipment and lifesaving devices sufficient in number to permit the escape of all persons from the support craft under any conditions that may reasonably be anticipated.
11 A standby vessel that has sufficient capacity and equipment to evacuate all personnel from the drill site shall be provided for a drilling operation as a means of evacuating personnel from the drill site.
12 Every standby vessel shall be equipped in accordance with the Canadian Coast Guard TP 7920E Standards Respecting Standby Vessels, as amended from time to time.
13 The design and construction of pressure vessels, steam generators, hot water boilers, hydraulic systems and other components of a hydraulic, steam or compressed air system used in a drilling program shall be in accordance with the Canadian Standards Association Code B51-M1986, Boiler, Pressure Vessel, and Pressure Piping Code, as amended from time to time.
14 Every operator shall take all reasonable precautions for the protection of personnel and equipment from naturally-occurring and man-made hazards in the area specified in the Drilling Program Authorization issued to that operator.
Requirements for drilling installations
15 Every drilling installation shall be designed and constructed to withstand the environmental conditions and effects that may reasonably be anticipated to occur during the drilling program and permit the drilling and related operations to be conducted safely and efficiently.
16 (1) Every drilling installation shall be equipped with
(a) drip trays, curbs and gutters and such other facilities as are necessary to prevent pollution of the water by fuel or chemicals that have been spilled or leaked aboard the drilling installation; and
(b) a means for burning, venting, storing, transporting or otherwise disposing of waste in accordance with Sections 112 to 114.
(2) The operator of every drilling installation shall ensure that the drilling installation is equipped with a system capable of collecting waste oil from the oil sumps on the installation.
Sections 17 to 20 repealed: O.I.C. 96-21, N.S. Reg. 5/96.
Standards for drilling equipment
21 The derrick, mast, draw works, mud pump and related equipment of a drilling rig shall be designed to operate safely and efficiently under the maximum load conditions anticipated during a drilling operation.
22 (1) Every operator shall obtain, during the period an operation is being carried out under a Drilling Program Authorization, forecasts of meteorological conditions, including ice movements, each day and each time during the day when the conditions change substantially.
(2) Every operator shall ensure that the drilling installation is equipped with facilities and equipment for observing, measuring and recording
(a) environmental conditions; and
(b) in the case of a floating drilling unit, the pitch, roll and heave.
Safety and escape arrangements
23 Every operator shall ensure that
(a) safety guards are installed on the drilling installation on all potentially dangerous machinery and on machinery that has external moving parts; and
(b) guard rails are installed on the drilling installation around the perimeter of the drill floor, deck area, walkways, stairs and those working areas where there is a drop from that area to an adjacent area of more than one metre.
Section 24 repealed: O.I.C. 96-21, N.S. Reg. 5/96.
25 Where a person is required to work in the derrick of a drilling rig as part of a normal drilling operation, an escape device shall, where practicable, be provided as a means of escape from the working platform of the derrick.
26 (1) There shall be at least one person on each drilling crew engaged in a drilling operation who is the holder of a certificate in first aid from the St. John Ambulance Association or a certificate in first aid from another similar organization having requirements equivalent or superior to those of the St. John Ambulance Association.
(2) Every drilling installation shall be equipped with
(a) a medical treatment room that has
(i) resuscitation facilities and such medical treatment supplies as may be necessary to deal with any industrial accident that may reasonably be anticipated,
(ii) at least one standard hospital bed where the normal complement of the drilling installation is less than thirty,
(iii) at least two beds, one of which shall be a standard hospital bed, where the normal complement of the drilling installation is thirty or more, and
(iv) a connection with the internal telephone system, and
(b) a rigid frame stretcher suitable for the transfer of an injured person to or from the drilling installation.
(3) Where a drilling operation is being carried out, the operator shall make arrangements whereby
(a) a qualified physician is available at all times for consultation or to be transported to the drilling installation;
(b) an injured person can, at any time, be speedily transported from the drilling installation to a hospital; and
(c) a qualified physician, a trained nurse or a medical attendant who is the holder of a valid certificate of medical training obtained by successfully completing a course such as a provincial industrial first aid course is available on the drilling installation at all times.
27 (1) Every drilling rig shall be equipped with
(a) at least five portable self-contained pressure-demand breathing devices available at locations readily accessible from the drill floor or an air manifold on the drill floor equipped with at least five outlets and five suitable face masks.
Clauses 27(1)(b) and (c) repealed: O.I.C. 96-21, N.S. Reg. 5/96.
(2) The living accommodation area of a drilling installation shall be equipped with at least four self-contained portable pressure-demand breathing devices.
28 Every drilling installation shall be equipped with two buoyant personnel transfer baskets that are in serviceable condition.
Section 29 repealed: O.I.C. 96-21, N.S. Reg. 5/96.
30 (1) Every electrical installation on a drilling unit used to carry out a drilling program shall
(a) comply with the Institute of Electrical and Electronics Engineers, Inc. IEEE Recommended Practice for Electric Installations on Shipboard, Standard 45-1983, as amended from time to time; and
(b) be explosion-proof or pressurized where it is installed
(i) in any open space within 15 m horizontally of the rotary table of the drilling unit;
(ii) less than 3 m above the drill floor of the drilling unit or less than 10 m below the drill floor; or
(iii) within 3 m of a mud ditch, shale shaker, degasser or mud tank.
(2) Where combustible gases may accumulate in an enclosed area of a drilling installation and air is used to provide the pressure referred to in clause (1)(b), the air intake shall be located outside and as far as practicable from an area where combustible gases may accumulate.
(3) The primary circuits from the power plant serving a drilling installation shall be equipped with at least two manual shut-off switches, each at a different location.
31 (1) During the course of a drilling program, all working areas shall be provided with adequate lighting.
Subsection 31(2) repealed: O.I.C. 96-21, N.S. Reg. 5/96.
Sections 32-44 repealed: O.I.C. 96-21, N.S. Reg. 5/96.
45 (1) Every crane that is used on a drilling installation shall have
(a) a load capacity chart that specifies boom angle and safe working loads for each block posted inside the crane control cab;
(b) load measuring devices for the main block, where the load rating of the crane is more than five tonnes; and
(c) boom and block travel-limiting devices.
(2) All crane hooks used on a drilling installation shall be equipped with safety catches.
(3) The capacity of each sling used on a drilling installation shall be clearly and permanently marked on the sling.
Blowout preventer system requirements
46 (1) Where drilling and related operations are being carried out below the conductor casing of a well, a diverter or blowout preventer system shall be installed on the wellhead.
(2) Where hydraulic control lines are used to activate a blowout preventer system, the lines shall be fire-resistant.
(3) A drilling system shall be designed to provide a means of installing on and removing from the wellhead the blowout preventer system referred to in subsection (1).
(4) Subject to subsection (5), each blowout preventer system installed pursuant to subsection (1) shall have a rated working pressure in accordance with Section 81.
(5) The rated working pressure of a blowout preventer system installed pursuant to subsection (1) shall be not less than 13 MPa.
(6) A blowout preventer system installed pursuant to subsection (1) shall be equipped with
(a) a control panel whose functions are clearly identified thereon and in full view and within easy access of the driller's station;
(b) a control panel in addition to the control panel described in clause (a), in a readily accessible and protected location remote from the drill floor;
(c) a control system that is capable of closing
(i) a ram-type blowout preventer within 30 seconds after activation,
(ii) an annular-type blowout preventer with a base diameter of less than 450 mm within 45 seconds after activation, and
(iii) other types of blowout preventers within 60 seconds after activation; and
(d) a secondary control system and a secondary source of operating power capable of activating the blowout preventers in case the primary control system or primary power source fails.
(7) An accumulator in a hydraulic blowout preventer control system installed on a wellhead during the drilling of a well shall be capable of closing and opening the annular-type blowout preventer and one of the ram-type blowout preventers in one continuous sequence of operations without recharging.
(8) The blowout preventer system installed pursuant to subsection (1) shall be designed to permit the maintenance, retrieval and replacement of a major component of the system while maintaining well control.
47 Equipment used for the purpose of well control shall
(a) have sufficient structural strength to withstand normal loading conditions associated with drilling and related operations; and
(b) be designed to operate under all environmental conditions that may reasonably be anticipated to occur during the drilling program.
48 (1) Casing installed in a well shall be new pipe or, subject to subsection (2), reconditioned pipe.
(2) No reconditioned pipe shall be used as casing unless it has been inspected by a method approved by the Board or a person designated by the Board and found to have adequate strength for its intended purpose.
(3) Where a floating drilling unit is used to drill a well, the conductor casing for that well shall be designed to have sufficient structural strength to support the load imposed by the marine riser and by the diverter or the blowout preventer system.
(4) In the design of the conductor casing referred to in subsection (3), the support provided by the conductor pipe may be taken into account.
49 (1) The casing installed in a well shall be designed to withstand burst, collapse, tension, bending, buckling or other stresses that are known to exist or that may reasonably be expected to exist.
(2) For the purpose of subsection (1), the performance properties of a casing shall be considered to be those listed for that casing in the American Petroleum Institute's API Bulletin on Performance Properties of Casing, Tubing, and Drill Pipe, API BUL 5C2, nineteenth edition, October 1984.
(3) The minimum design factors used in the design of well casings shall be
(a) 1.33 for burst, for surface and intermediate casing;
(b) 1.0 for burst, for conductor casing, production casing and production casing liners;
(c) 1.0 for collapse; and
(d) 1.6 for tension.
50 (1) Subject to subsection (3) of Section 61, the casing installed in a well shall be designed to withstand burst pressures using the following assumptions:
(a) the maximum internal pressure in the conductor casing and surface casing is 22 kPa per metre of depth to which it is run;
(b) the maximum internal pressure in intermediate casing is equal to 75 percent of the maximum anticipated formation fluid pressure at the depth to which the well is to be drilled prior to setting a further casing;
(c) the maximum internal pressure for production casing is the maximum reservoir pressure;
(d) the maximum internal pressure determined in accordance with clauses (b) and (c) is reduced by an internal pressure equivalent to a head of methane gas that extends from the wellhead to the depth to which the well is to be drilled prior to setting a further casing; and
(e) for surface and intermediate casing, an external pressure exists that is equivalent to a head of water from the casing shoe to mean sea level.
(2) For the purposes of clause (b) of subsection (1), where the formation fluid pressure is not known, the formation fluid pressure at any depth shall be assumed to be 11 kPa per metre of well depth.
51 (1) The casing installed in a well shall be designed to withstand collapse loading based on the following assumptions:
(a) the hydrostatic head of the drilling fluid in which the casing is run acts on the exterior of the casing at any given depth;
(b) subject to clause (c), the casing is 50 percent evacuated; and
(c) the production casing is completely evacuated.
(2) For the purpose of subsection (1), the effect of axi