10 Most Common Oil and Gas Risks and How to Control Them

The oil and gas industry remains one of the world's most hazardous sectors, with unique risks that demand sophisticated safety management approaches.

As someone who has spent over three decades working in risk management, I've witnessed firsthand how proper risk identification and control can mean the difference between operational success and catastrophic failure.

There are many critical risks in the oil and gas industry which must be addressed to ensure a safe and effective work environment.

Why Is Oil and Gas a High-Risk Industry?

The oil and gas sector operates under extreme conditions that create inherent dangers at every stage of operations.

From upstream exploration and drilling to downstream refining and distribution, workers face exposure to hazardous substances, high-pressure systems, and volatile environments.

Recent statistics from the International Association of Oil & Gas Producers (IOGP) highlight the ongoing challenges. The industry's fatal accident rate, while improved from historical levels, remains significantly higher than many other sectors at 0.89 fatalities per 100 million hours worked in 2023. There is a real human cost behind the numbers, experienced professionals, fathers, mothers, and providers whose lives were cut short by preventable incidents.

The complexity of modern oil and gas operations compounds these risks. Offshore drilling platforms operate in harsh marine environments, often hundreds of miles from shore. The sheer scale of operations, with refineries processing hundreds of thousands of barrels daily, means that even minor incidents can escalate rapidly.

What are Common Hazards in the Oil and Gas Industry?

Understanding hazard categories is fundamental to effective risk management. In my experience training thousands of safety professionals, I've identified several persistent hazard patterns across oil and gas operations.

Chemical hazards dominate the landscape. Hydrogen sulfide (H2S), benzene, and various volatile organic compounds present both acute and chronic health risks.

Physical hazards include high-pressure systems, rotating machinery, and confined spaces. Biological hazards, while less common, can occur in offshore environments or when dealing with contaminated water systems.

Environmental hazards add another layer of complexity. Weather conditions can change rapidly on offshore platforms, while onshore operations may face seismic activity or extreme temperatures. The interconnected nature of these hazards means that a weather event can trigger a cascade of other safety issues and set off a domino effect.

What Legislations Covers Health and Safety in the Oil and Gas Industry?

Regulatory frameworks vary globally, but several key pieces of legislation shape industry practice. In the UK, the Health and Safety at Work etc. Act 1974 provides the foundational framework, supplemented by the Control of Substances Hazardous to Health (COSHH) Regulations and the Dangerous Substances and Explosive Atmospheres Regulations (DSEAR).    

The Offshore Installations (Safety Case) Regulations 2005 specifically address offshore operations, requiring operators to demonstrate that risks have been reduced to as low as reasonably practicable (ALARP). This risk-based approach has become the gold standard for process safety management worldwide.

Internationally, API standards and OSHA regulations in the United States, along with emerging frameworks in developing oil economies, create a complex regulatory landscape that operators must navigate while maintaining consistent safety standards.

Most Common Risks Encountered in Oil and Gas

Based on comprehensive incident analysis and my extensive field experience, here are the ten most critical risks facing the industry:

Fire and Explosion

The most catastrophic risk is posed by hydrocarbon releases, which create immediate ignition hazards. The Buncefield incident in 2005 demonstrated how quickly vapour clouds can form and ignite. Control measures you should implement include gas detection systems, hot work permits, and proper electrical classification.

Toxic Gas Exposure

H2S exposure remains a leading cause of fatalities. Concentrations above 100ppm can cause immediate unconsciousness. Effective control requires continuous monitoring, proper PPE selection, and comprehensive emergency response procedures.

Blowouts

Uncontrolled releases during drilling operations can devastate both personnel and the environment. The Deepwater Horizon tragedy highlighted the importance of robust sound control systems and competent personnel training.

Confined Space Incidents

Tanks, vessels, and pipelines create oxygen-deficient or toxic atmospheres. A structured permit-to-work system, atmospheric testing, and proper ventilation are essential controls.

Chemical Burns and Exposure

Caustic substances used in refining processes can cause severe injuries. Material Safety Data Sheets (MSDS), appropriate PPE, and emergency shower stations are critical control measures.

Mechanical Failures

High-pressure systems under stress can fail catastrophically. Regular inspection programs, pressure relief systems, and proper maintenance protocols help prevent these incidents.

Transportation Accidents

Moving personnel and materials in remote locations creates significant risks. Vehicle maintenance programs, driver competency assessments, and journey management systems are key controls.

Falls from Height

Offshore platforms and processing units require extensive work at elevation. Proper fall protection systems, competent person schemes, and equipment inspection regimes are essential.

Electrical Hazards

Hazardous area electrical installations require specialised expertise. Proper classification studies, certified equipment selection, and competent installation practices prevent ignition sources.

Environmental Releases

Spills and emissions can trigger regulatory action and community concern. Secondary containment systems, spill response procedures, and environmental monitoring programs provide essential protection.

Each of these risks requires a systematic approach combining engineering controls, administrative procedures, and personal protective equipment. The hierarchy of control principle should guide decision-making, with elimination and substitution preferred over PPE-based solutions.

Which Safety Course is Best for Oil and Gas?

For health and safety professionals seeking to excel in oil and gas environments, process safety management expertise is non-negotiable. The industry's complex risk profile demands specialised knowledge that goes beyond traditional occupational health and safety training.

The NEBOSH Process Safety Management course stands out as the premier qualification for oil and gas safety professionals. The course covers essential topics including process hazard analysis techniques, management of change procedures, and incident investigation methodologies – all critical capabilities for managing the risks.

Gain a highly demanded level of expertise in safety for today’s oil and gas industry through the NEBOSH Process Safety Management course below. Alternatively, find out everything you need to know about health and safety in your workplace via the Astutis Knowledge Hub.