WASHINGTON REPORT
VOLUME XLI NUMBER 3 

NOVEMBER, 2013

SPECIAL EDITION

2013 NOIA FALL MEETING REVIEW
The National Ocean Industries Association held
its 2013 Fall Meeting October 2-4 at the Broadmoor in Colorado Springs. This was the second
meeting this year to set a record attendance
that hasn’t been seen in over a decade.

Vice President Dick Cheney (R-WY)

Highlights from the meeting included an evening
with Vice President Dick Cheney and Wyoming
Senator Alan Simpson, a rousing presentation
from Andrew Friedman on the state of politics
in Washington DC, and a presentation from the
2013 Safety in Seas award winner, Stone Energy,
on their innovative decommissioning method.
Journalists made the case for continued US energy security while discussing the global market’s current instability in the Middle East and
Africa. Industry representatives and panelists
made the case for increased G&G activities in
the Atlantic, more access in the Arctic, and continued struggles of wind offshore.

Senator Alan Simpson (R-WY)

NOIA’s mission is to
secure reliable access
and a fair regulatory and
economic environment
for the companies that
develop the nation’s
valuable offshore energy
resources in a safe
and environmentally
responsible manner.

Featured speakers included the Senior Editorat-large for Fortune, Goeff Colvin; former
Congressman Bob Inglis (R-SC); NPR National
Security & Counterterrorism Correspondent,
Dina Temple-Raston; Senior Vice President of
Science at the Franklin Institute, Dr. Frederic
M.N. Bertley; and Colorado’s very own, Congressman Cory Gardner (R-CO).
Following is a synopsis of the meeting.

GENERAL SPEAKERS
VICE PRESIDENT DICK CHENEY &
SENATOR ALAN SIMPSON
NOIA was honored to have both Vice President
Dick Cheney and Senator Alan Simpson (R-WY)
sit down with NOIA President Randall Luthi for
an intimate forum on topics ranging from national security to energy at NOIA’s opening dinner for the Fall Meeting.
While the discussion began with reminiscing
about the shared Wyoming roots they both had
with NOIA President Randall Luthi, the conversation quickly shifted to a broader discussion on
the state of politics in Washington.
Vice President Cheney spoke on the pressures
of the office, his recent heart transplant surgery
and what it was like being in the White House
on September 11, 2001, when America came
under terrorist attack. Vice President Cheney
described the concern that engulfed him on that
day and the need for the proportional response
the US carried out over the next decade.
The conversation then shifted to the state of
Washington with Senator Simpson opining for
the more balanced dialogue that existed before
the hyper-partisan Washington we see today
came to be. Both Senator Simpson and Vice
President Cheney tend to agree that the gridlock we have today is here to stay for the near
future following the recent elections and President Obama’s reelection.
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1120 G Street, NW, Suite 900, Washington, DC 20005 Tel 202-347-6900 Fax 202-347-8650 www.noia.org

 NOIA FALL MEETING REVIEW
Senator Simpson spoke about his concern
regarding the Nation’s astronomic deficit
spending and his recommendations from the
Simpson Bowles Plan. While Vice President
Cheney disagreed with Senator Simpson on
cutting defense spending they both agreed that
comprehensive tax reform and entitlement cuts
were absolutely necessary.
Vice President Dick Cheney;
Mark Miller, RSC Bio Solutions

With both the Senator and Vice President hailing from Wyoming, and the Vice President
having previously served as CEO of Halliburton,
it is no surprise that both called for increased
American energy, reducing the need for foreign
oil and gas.

dynamic in Washington. Friedman also noted
that significant entitlement reform is needed for
the federal government to be able to recover a
sustainable fiscal path.
The federal fiscal picture also has practical implications on private investment decisions and
planning, and Friedman warned that as Washington deals with budgetary matters, new and
higher taxes and reductions in existing tax credits and deductions could be on the horizon. He
noted that changes to the estate tax could present issues, and that companies, in general, may
want to begin evaluating how to deal with potential structural tax changes that could impact
their businesses.

ANDREW FRIEDMAN

Senator Alan Simpson (R-WY);
NOIA President Randall Luthi

Andrew Friedman
Financial & Policy Expert
“The Washington Update”

NOIA kicked off the Fall Meeting with Andy
Friedman, who addressed our opening luncheon with a “Washington Update.” A leading
financial and political expert, Friedman provided valuable insight into the political polarization
of fiscal policy matters and gave an engaging and
informative discussion of financial issues important to industry when Washington deliberates
tax reform.
As Washington continues in seemingly perpetual
disagreement on budgetary matters, Friedman
argued that the source of ongoing stalemates
can be traced back to the failed “super committee”, the 2012 elections, the “fiscal cliff” deal cut
by Republican and Democrat leaders, and disagreement over how to deal with sequestration.
The confluence of these events, and the strong
opinions held by individual Members of Congress about these events, has created a perfect
storm in which each side has retreated to their
respective political bases, Friedman emphasized. These issues coupled with the erosion of
respect by rank and file members for their leadership has created a new and more challenging
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Friedman wrapped up his presentation by providing insight into major upcoming issues on
Capitol Hill. Of note, lawmakers are likely to
take up continuing appropriations and debt ceiling legislation; tax reform; and potential Affordable Care Act (i.e. “Obamacare”) reforms and
efforts by the House to repeal and/or replace
that law.

GEOFF COLVIN
FORTUNE MAGAZINE
During Thursday’s breakfast session, award
winning author, broadcaster and public speaker
Geoff Colvin presented riveting commentary
about the significance of the internal culture
within today’s organizations and the measures
executed by the most outstanding leaders to
achieve sustainable, competitive advantage. His
discussion, suitably titled “The Political Circus,
a Complex Economy and the Future of Your
Business”, gave the audience pause to consider
practical, useful methods to ensure a healthy
and thriving business.
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 WASHINGTON REPORT
NOIA FALL MEETING REVIEW
After sharing the current headlines from several leading newspapers about the government
shutdown and the ensuing political wrangling,
Colvin acknowledged that we live in an age of
extraordinary uncertainty, further observing
that “the machine is broken.” He noted, however, that we still boast a culture that embraces
risk-taking for positive change and that we have
reason to be very optimistic about the future, in
spite of the discouraging sound bites and news
articles promoted in the media.
Colvin stressed the importance of the culture in
organizations, and then outlined a set of compelling principles that are used by the best business trailblazers, satisfying the need that exists
within people to pursue a noble purpose. Accordingly, the best leaders tend to innovate the
business model; integrate the full enterprise;
never stop building the human capital; and get
customer centered. We were alerted that the
leadership that follows these practices may feel
a little out of the mainstream. However, Colvin reminded us that it takes courage to exist
outside the norm. In his words, “Somebody’s
gonna win; it may as well be you.”

DINA TEMPLE-RASTON
NPR
At the closing breakfast, the NOIA membership heard from Dina Temple-Raston, National
Security and Counterterrorism Correspondent
for National Public Radio. Ms. Temple-Raston’s
presentation on modern terrorism characterized various tiers of threats to U.S. security,
ranging from nation-states such as China, Syria,
Iran and North Korea, to insurgent groups such
as Al-Qaeda. She concentrated on this latter
group’s commonality: non-state actors harnessing power via technology and chemical
weapons.

Temple-Raston’s discussion focused on her
multi-year coverage surrounding the jihadi
pipeline between Minneapolis, MN and Somalia. She filed nearly two dozen stories for NPR
on this pipeline after negotiating with the local FBI office on what she could publicize. It
was ultimately determined that 24 boys from
the Minneapolis area traveled to Somalia to
be indoctrinated and trained by Al-Qaeda and
their Somalia-based cell, Al-Shabaab; returning to Minnesota in 2009. Many of them were
ultimately arrested and some are returning to
American society.

Geoff Colvin
Fortune Magazine

Temple-Raston used this example to draw a
contrast between the old model of terrorist
cells using traditional weaponry and tactics, versus the new model which utilizes new technologies and social media to recruit, organize and
train.

CONGRESSMAN CORY GARDNER
(R-CO)
GOVERNMENT AFFAIRS COMMITTEE
Congressman Cory Gardner addressed the
government affairs meeting by teleconference,
as ongoing Capitol Hill deliberations related to
the government shutdown resulted in a cancellation of the scheduled district work period for
Members of Congress. A Republican House
member who was recently named among the
top 10 most likely to be House Speaker by the
publication Roll Call, Gardner provided a very
timely and informative update on the status
of budgetary negotiations on Capitol Hill and
expressed support for our industry.
At the time of the Fall Meeting, the federal
government was two days into the shutdown,
and Rep. Gardner gave an insider’s perspective of the ongoing disagreements between the
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Dina Temple-Raston
NPR

Dina Temple-Raston
NPR

 NOIA FALL MEETING REVIEW
House and Senate, as well as between Republicans and Democrats. He noted that the budget
negotiations had essentially stalled movement
on other matters, including potential energy
legislation in the Senate.

The Honorable Bob Inglis
(R-SC)

Despite the current battles on Capitol Hill, he
provided a positive message about the energy
industry and the jobs created and revenue
generated by our industry. We should expect
to see the House continue to support and
pass legislation that provides for expansion of
energy activities, but the fight remains in the
Senate, he noted. The House will likely take
up legislation in the near future to ensure that
oversight of hydraulic fracturing remains at the
state level, not the federal level, and we should
also expect to see continued efforts to require
the approval of the Keystone pipeline and
broader energy infrastructure legislation. Congressman Gardner concluded by taking a round
of questions by our group, and by encouraging
us to continue to spread the message about all
that the industry offers to the entire country.

on climate change, where Inglis 2.0 began to
evolve.
Congressman Inglis said he could no longer refute the fact that climate change was caused by
man and that it was his responsibility to help
rectify the situation.
As a Republican and a pragmatist, Congressman
Inglis knows that America and the developing
world will continue to use traditional sources
of energy, but at the same time we must do
something in the present to help spur new ideas
and innovations that will empower future generations. The solution for Inglis is clear: a carbon tax. While many NOIA members may have
disagreed with the former Congressman on his
assessment to both the perceived problem of
climate change and his proposed solution of a
carbon tax, it was nevertheless interesting to
hear a dissenting viewpoint that will surely be
further discussed in the future by NOIA members and politicians alike.

COMMITTEE MEETINGS
THE HONORABLE BOB INGLIS
FORMER CONGRESSMAN (R-SC)

Former NOIA Chairman
Dean Taylor, Tidewater; The
Honorable Bob Inglis (R-SC)

G&G TASK FORCE

The final day of NOIA’s Fall Meeting featured
former Congressman Bob Inglis (R-SC), who
delivered a message on climate change that
doesn’t fit the Republican party’s standard
stance.

WALT ROSENBUS

Congressman Inglis served South Carolina’s 4th
Congressional District in two separate six year
stints, the first begning in 1993 and the second in
2005. During the Congressman’s first six years
in Congress he claims that his views were very
much like the Republican base on most issues,
specifically climate change, which he referred
to as Inglis 1.0. However, midway through his
second stint, he had a change of mind and heart

The major focus of discussion was the litigation
settlement reached with the Environmental
non-governmental organizations (eNGOs) earlier in the summer. This settlement says that industry agrees not to conduct seismic surveys for
30 months, starting June 25, 2013, unless one of
the permitting agencies issues a decision in that
time. It affects only DeSoto Canyon, Mississippi
Canyon, from the shore to 20 meters depth and

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We had a strong turnout at our G&G Committee meeting, which featured Walt Rosenbusch
of IAGC reporting out on some of the most important relevant issues of the past half year.

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 WASHINGTON REPORT
NOIA FALL MEETING REVIEW
the area West of the Florida Keys and Tortugas.
It does NOT affect all seismic in the Gulf.

general political landscape going into the 2014
election cycle.

In addition, it states that companies must undertake new mitigation measures, including a separation distance of 40 km between two activities.

The Committee and many NOIA members
attending the session heard of the decreasing number of competitive House races due
to recent redistricting which solidified various incumbent districts for Republicans and
Democrats alike. Coupled with rising costs
of elections generally, the result was a record
level of spending per race in 2012, with the
average Senate victor spending $10 million and
House winners spending an average of nearly
$2 million.

As the eNGO community realizes that stopping
seismic effectively shuts down all activity that
derives from it, we can expect to see more lawsuits like this. This settlement agreement may
provide a path forward through expected future
challenges.
The settlement agreement was issued one day
before the IAGC modeling workshop with federal agency representatives. Nevertheless, the
productive nature of these meetings means that
others are envisioned for the future.
This could be particularly important for the Atlantic, where we continue to wait for the
Programmatic Environmental Impact Statement
(PEIS) to be concluded. Although the Draft
PEIS was issued in March of 2012, the lengthy
time for this next phase is being attributed to
the sheer volume of public comments. This has
likely been slowed further by the Federal Government shutdown.

PAC ADVISORY COMMITTEE
JASON HEBERT
Jason Hebert, Managing Partner of The Political Firm in Baton Rouge, addressed the PAC
Advisory Committee. A former state Republican Party Executive Director and Louisiana native, Hebert is a veteran of over 300 campaigns
in the last 18 years.
Hebert’s presentation focused on the crucial role political fundraising plays in NOIA’s
mission and advocacy efforts, as well as the

PAC spending has seen a corresponding
increase in recent years, growing from roughly
$250 million in 2002 to nearly $450 million in
2012. These trends are expected to continue
rising in 2014, according to Mr. Hebert.

OFFSHORE RENEWABLES
TASK FORCE
MICAHEL OLSEN
The Offshore Renewables Task Force met the
morning of Wednesday, October 2 to discuss
progress towards full-scale commercial renewable energy projects on the Outer Continental
Shelf.
The meeting featured an update on the Hywind Main Deepwater Floating Wind Project
delivered by Michael Olsen, Senior Director of
Government Affairs for Statoil. Olsen briefly
summarized the history of the project, including
Statoil’s 2011 application to the Bureau of Ocean
Energy management (BOEM) for a lease in the
Wind Energy Area (WEA) offshore Maine with
the intent to install 4 floating 3 MW turbines 12
nautical miles southeast of Boothbay Harbor.
The outlook for the project looked good in
December 2012, when BOEM issued a deter5

 NOIA FALL MEETING REVIEW

Dr. Frederic M.N. Bertley
The Franklin Institute

Kent Satterlee
Shell Exploration

mination of no competitive interest in the area.
However, in June of 2013, Governor LePaige
of Maine threw a monkey wrench into Statoil’s
plans when he signed legislation requiring a second round of competitive bidding. This opened
the door for the University of Maine and its
partners to compete with Statoil. Ultimately,
and largely as a result of this legislation, Statoil
placed the Hywind project on hold.
(Note:
On October 15, Statoil announced that it was
scrapping the Hywind Maine Project altogether
citing political and regulatory uncertainty.)
In happier news, it appears there is steady forward movement for offshore wind projects
in the Atlantic. The Department’s Bureau of
Ocean Energy Management (BOEM) conducted
its first two commercial offshore wind auctions
this summer. The first took place on July 31 in
the Wind Energy Area (WEA) offshore Rhode
Island and Massachusetts (RIMA). NOIA member company Deepwater Wind won the two
leases offered in the sale. The second sale for
the WEA offshore Virginia was held September
4. Virginia Electric and Power Company was the
successful bidder.
Despite these positive developments for offshore wind energy, developers are concerned
over the looming expiration of the Production
Tax Credit and Investment Tax Credit. Both of
these provisions for development and deployment of offshore wind projects expire on December 31, 2013. Offshore wind developers are
fighting for their extension in 2014.

Mark Denkowski
IADC

PUBLIC AFFAIRS & EDUCATION
COMMITTEE
DR. FREDERIC M.N. BERTLEY
The Public Affairs and Education Committee
(PAEC) focused on Science, Technology, Engineering and Mathematics (STEM) development
in American education with a rousing presentation by Dr. Frederic M.N. Bertley, the Senior
Vice President at the Franklin Institute in Philadelphia.
Dr. Bertley is a current Dell Inc. Inspire 100
World Changer who has dedicated himself to
advancing science education throughout the
K-12 population and augmenting science literacy
for families.
Dr. Bertley opened his presentation with the
need for STEM education and the importance of
such a common core within primary education
for our country to remain competitive over the
next century. Dr. Bertley went through all the
amazing things being done in science and asked
why the latest technology isn’t being taught in
schools, a question many of NOIA’s members
have as well. Dr. Bertley says the problems begin early when females and males are separated
and told that engineering and mathematics are
for boys and is exacerbated when any child is
told to pursue sports for a career rather than
science.
Dr. Bertley believes that we need an overhaul
of the entire way STEM is taught in schools to
fully realize the potential of our population. Ultimately the choice comes down to whether the
United States wants to remain a world leader or
fall behind other countries with more qualified
graduates for the most technical fields of work.

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 WASHINGTON REPORT
NOIA FALL MEETING REVIEW
TECHNOLOGY POLICY
COMMITTEE
STEPHEN SMITH
ERIK WIIK
With Committee Chairman Kevin McEvoy
of Oceaneering at the helm, the Technology
Policy Committee (TPC) continued to look at
the specific solutions that will be necessary in
the Arctic. The major challenge industry faces
right now is that some local communities, federal regulators and environmental groups stand
in strong opposition to U.S. development of the
Arctic. Highlighting the technologies that can
make operations there safe is critical.
First, we heard from Stephen Smith of GE Oil
and Gas, who profiled the firm’s Naxys technology. These are a series of acoustic monitoring
systems that can be dropped on site to detect
leaks of very small size, allowing for faster intervention. They are currently in use in the North
Sea off Norway.
Then we heard from Erik Wiik of Aker Solutions, who provided an extensive overview of
the many operations with which his company is
already involved in non-US Arctic development,
as well as in the Chukchi and the Beaufort in
Alaska. In particular, he explained the number
of research initiatives that Aker is involved with.
If we are to move ahead with exploration and
production in the U.S. Arctic, it is stories such
as these that will win the day. Most average citizens have no idea how advanced the technology is and our job will be to continue to identify
stories like these and bring them in front of the
regulators here in DC.

HEALTH, SAFETY, SECURITY &
ENVIRONMENT COMMITTEE
INDUSTRY PANEL

NOIA
2014
Annual
MEETING

“INDUSTRY WIDE STANDARDS FOR CONTRACTOR KSA”
KENT SATTERLEE,
CHARLIE WILLIAMS
& MARK DENKOWSKI
NOIA’s Health, Safety, Security and Environment Committee (HSSE) sponsored an Industry Panel focusing on the increasing need for
industry-wide standards for contractor knowledge, skills, and abilities (KSAs). The panel was
moderated by Kent Satterlee of Shell Exploration and Production Company and consisted
of Charlie Williams, Executive Director for the
Center for Offshore Safety (COS) and Mark
Denkowski, Vice President of Accreditation and
Credentialling for the International Association
of Drilling Contractors (IADC).
Safety and Environmental Management Systems
(SEMS) regulations issued by the Bureau of Safety and Environmental Enforcement (BSEE) have
focused increased attention on the competency
of contracted workers and placed more responsibility on the operators who hire them. Under
the regulations, operators are required to document that each contractor is knowledgeable and
experienced in the work being done. Operators
are also required to perform periodic evaluations of the performance of contract employees
to verify they are fulfilling their obligations. The
situation is further complicated by the “big crew
change” currently in its early stages. While offshore activity is increasing globally and technology is advancing rapidly, more people are
leaving the workforce than entering it, leaving a
dearth of experienced and competent workers.

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7

April
9-11
The Mandarin
Oriental

Washington, DC

 NOIA FALL MEETING REVIEW
Charlie Williams explained that COS has established a working group to identify good practices and provide a framework for verification
of contractor skills and knowledge. The group
is focused on three areas related to competency of contractors: individual training requirements, assessment and verification of individual
performance, and a Skill and Knowledge Management System. A draft guidance document
is under review and slated for distribution to
industry in early 2014.
In addition, COS has been working toward a
subsea personnel competency standard. Initiated by Chevron and facilitated by COS, this
joint industry project is focused on improving
the competence of all personnel engaged in
blow-out preventer maintenance, testing and
operations. Certification of subsea personnel
through an accreditation model or body is being
examined, said Williams.
Mark Denkowski discussed IADC’s initiatives to
address competencies of offshore drilling contractors, including their KSAs project, Competence Assurance Accreditation, and Workforce
Attraction and Development Initiative. The
IADC published KSAs in 2001 for 12 drilling positions as a response to both regulator and industry call for globally accepted, recommended
and commonly used competence standards.
The KSA project is evolving to develop enhanced competency guidelines for virtually all
rig-based positions that can be sorted based on
rig type, environment, geographic region, and
equipment.
Denkowski also gave an overview of IADC’s
Workforce Attraction and Development Initiative (WADI), which is a collaborative effort
between IADC, colleges, and other training
8

providers to deliver career development pathways based on industry identified KSAs. He also
addressed IADC’s Competence Assurance Accreditation Program, including the accreditation
criteria and process.
Both the COS and IADC presentations can be
seen in their entirety on NOIA’s website at:
www.noia.org/past-meetings/.
The NOIA HSSE Committee will continue to
examine ways in which NOIA can participate
in the development of industry-wide minimum
competency standards for the offshore workforce.

HSEE COMMITTEE
2013 SAFETY IN SEAS AWARD
PRESENTATION BY STONE ENERGY
“STONE ENERGY DECOMMISSIONING
METHOD”
Stone Energy, the recipient of the 2013 Safety
in Seas (SIS) Award delivered a detailed presentation on their innovative and award winning decommissioning method. Chairman, CEO
and President of Stone Energy introduced Gary
Siems, Decommissioning Manager at Stone
who compared the traditional decommissioning
method to the Stone method. The Stone method is shorter, operationally safer, less harmful to
the environment and (Continued on next page)

 WASHINGTON REPORT
NOIA FALL MEETING REVIEW
saves money. The traditional decommissioning
method involves on average, six mobilizations
with 42 days of work over a 10 month period
and costs $3.5 million. The Stone method involves one mobilization, with 22 days of work
over a 22 day period, and costs $2.4 million.
Stone partnered with Montco Offshore whose
lift boat Robert offered new technology that
was the catalyst for Stone’s new decommissioning method. Montco also provided additional
contractor services.
Stone also sought out new technologies from
Oceaneering including internal and external
abrasive cutting and hydraulic auger dredging.
Stones’ innovative and technologically advanced
method resulted in a four-fold increase in the
volume of decommissioning work completed
in 2012 with zero OSHA recordable incidents.
This included 76 structures removed, 12 wells
plugged and abandoned, 56 pipelines abandoned, 1,037 air/mixed gas dives, 320 internal
abrasive cuts, 40 external abrasive cuts and
370,000 man hours worked.
For more information about how Stone accomplished all this and won the NOIA 2013 SIS
Award, check out the entire Stone presentation
online at:
www.noia.org/past-meetings
The 2014 Safety in Seas Award competition will
feature a second category for sustained safety
performance. NOIA will announce the competition and solicit entries at the end of 2013.

EXECUTIVE COMMITTEE
& BOARD OF DIRECTORS
NOIA Chairman, Dick Alario, Chairman, President & CEO, Key Energy Services, chaired
the meetings of the Executive Committee and
Board of Directors. He opened both meetings
with remarks over his pleasure in announcing
that for the first time in well over three decades
NOIA has reached the goal of 300 members.

Dave Welch, Stone Energy,

Treasurer Bret West, Executive Vice President
& Division Head, Wells Fargo Energy, then presented a full report of the association’s financial
position at June 30, 2012, with observations
that the Association’s financial position remains
strong. Areas reviewed were:
• 
• 
• 
• 
• 
• 
• 
• 

2013 Contributions: Actual vs. Budget
2013 Actual Expenses vs. Budget
NOIA Liquidity Summary
PAC and Joint Economic Study (contributions and fund balances)
2012 Projections vs. 2013 Budget
Proposed 2014 Budget
Projected 12/31/2013, Liquidity, Analysis and Observations
Decisions on Investment Strategies

Gary Siems, Stone Energy

The 2014 proposed budget was approved by
the Executive Committee and sent forward to
the Board of Directors where it received unanimous approval.
Copies of all financial statements and reports
are available to all NOIA members and can be
obtained by calling the NOIA office. They are
also available on the NOIA Website.

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9

NOIA Chairman Dick Alario,
Key Energy Services

 NOIA ANNUAL MEETING REVIEW
NOIA President, Randall Luthi gave his report
on the association’s activities and priorities. Issues and areas addressed were:
•  Financial Strength, Proposed Budget
•  NOIA/API Study
•  Fall Fly In
•  Legislative Review
•  Administration and regulatory review
•  NOIA outreach
•  Social media
•  Technology Plan
•  Annual and Fall meetings
•  Membership
•  NOIA PAC
•  Summary of other activities
•  Upcoming priorities
•  Increased Access
•  Seismic Activities
•  Offshore/GOM Trips
•  Five Year Plan
•  Technology Sharing Workshops
•  Alaska
•  Jobs Message
•  Technology Plan
•  Health, Safety, Security and Environment Committee
(See full text of President’s report on the next page )
NOIA Vice Chairman, John Rynd, President &
CEO, Hercules Offshore, in his role of Nominating Committee Chairman, proposed that the
following NOIA members of the Board serve on
the 2014 Nominating Committee:
•  Burt Adams, President, OGRS, LLC
•  Quinn Hebert, President & CEO, Cal
Dive International
•  Kevin McEvoy, President & CEO,
Oceaneering International
•  Jamie Vazquez, President, W&T Offshore
The proposal was unanimously approved.
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With no new business being brought to the table, Chairman Alario passed the floor to Membership Committee Chairman, Richard Lunam,
Vice President North America Exploration,
ConocoPhillips. Alario noted that this is Richard’s first meeting as Chair of the committee
and remarked on the extraordinary efforts he
has been making toward growing NOIA’s membership in the short time since he has assumed
the Chairmanship.

MEMBERSHIP COMMITTEE
Chairman Lunam reviewed member development efforts for the first three quarters of the year and focused much of his
comments on the increased effort to ensure the growth and strength of NOIA.
Lunam reported that 27 new members had
been added to NOIA thus far this year bringing over $233,000 in new revenue into the association. He had prepared an extensive slide
presentation that chronicled the membership
by industry category as well as the extensive
list of prospective members broken down
by industry segment. There was a lengthy
discussion of the prospective members, the
list was significantly expanded and a number of members volunteered to contact their
peers within those prospective companies.
Lunam thanked the membership for their efforts to strengthen and sustain the growth of
this association by the addition of new members and encouraged all present to continue
to reach out wherever possible to those in
(Continued on next page)

If you have any prospects for new
membership, please contact Franki Stuntz
or any member of the NOIA staff at
(202) 347-6900

 WASHINGTON REPORT

PRESIDENT’S REPORT
NOIA continues to press our message that increased oil and gas development in the outer
continental shelf means more jobs, more energy security and more energy reliability. We
remain on solid financial ground. The budget
numbers and priorities reflect what I believe to
be our core areas, legislative and regulatory advocacy, media relations and public educational
outreach.

NOIA/API STUDY
Thanks to you and many other NOIA members,
we have exceeded our funding goal for this
updated economic impact study. To date, we
have checks or commitments totaling $260,000.
Sixty-two companies and a majority of board
members contributed. We expect the rollout
to begin with the mid and south Atlantic regions
in December.

FALL FLY IN FRONT
NOIA hosted a Fall Fly In September 18 -19.
Participants included: Chairman Dick Alario,
Key Energy Services; Paul Danos, Danos; Anton
Du Preez, SEMPCheck Services; Quinn Hebert,
Cal Dive International, Inc.; Chip Gill, President
of the International Association of Geophysical
Contractors; Darrell Hollek, Anadarko Petroleum Corporation; Cory Kief, Crosby Tugs,
LLC; Mike McCauley, Arena Offshore, LP; Evelyn Medvin, CORE Laboratories; Richie Miller, Spectrum Geo; Bill New, New Industries;
Doug Polk, Vallourec & Mannesmann; Court
Ramsay, Aries Marine Corp.; Cindy Taylor, Oil
States International; and Robert Workman of
National Oilwell Varco.
In addition to individual meetings, small group
meetings were scheduled with the Blue Dog
Caucus, Western States Caucus, Virginia House
Delegation, South Carolina House Delegation
and the Republican Study Committee. In all, we
visited 28 members of Congress, 6 staff from
Congressional offices, and BSEE Director Salerno and his Washington, DC executive staff.

PERSONNEL
Megan Bel joined the staff in May. Most of you
had the opportunity to meet her at the Annual Meeting. She comes to us via Congressman Scalise. She’s an LSU grad, and has already
helped organize two offshore trips and a fly in.
You may also recall that Richard Lunam took
over the Membership Committee and Will Pecue is now chairing the Health, Safety, Security
and Environment Committee.

The next Fly In will be in conjunction with our
Annual Meeting in Washington, DC, April 9 – 11,
2014. Please let any of us know if you are interested in participating.

LEGISLATIVE ISSUES
Congress has been focusing on budetary disagreements, defunding of the Affordable Care
Act and raising the debt limit, but there has been
progress in offshore access. The House passed
a bill providing sales in the Atlantic, Eastern Gulf
of Mexico, Pacific and offshore Alaska. While
this is not new, what is new is that the state del(Continued on next page)

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NOIA FALL MEETING: OCTOBER 2-4

the industry whom they consider to be viable
candidates for membership in NOIA. Concluding by commenting on reaching the 300
member milestone, he said “why not 350?”

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 NOIA FALL MEETING REVIEW
egations from Virginia and South Carolina also
have bills providing for sales off their coasts.

quiring a decision by the end of this year, which
was passed by the House.

The Senate has not been cooperative to date,
but there is hope in that chamber. Senators
Landrieu and Murkowski have introduced a
revenue sharing bill, which would increase the
amount of revenues to be received by coastal
states. This bill holds the possibility of being
amended to open up more areas in order to
find those increased revenues. I was invited to
testify on that bill earlier this year .

ADMINISTRATIVE/REGULATORY/
LITIGATION

The importance of having Democratic Senators
willing to support this concept is crucial, which
is one of the reasons some were targeted at the
recent Fly In, including Chairman Wyden of the
Energy and Natural Resources Committee and
Senator Begich.
The US-Mexico Transboundary Agreement bill
passed the House, and there are ongoing negotiations to hopefully resolve the Dodd-Frank
provision regarding disclosure of payments to
Federal Governments contained in the Senate
version.
Currently the Department of the Interior (DOI)
is completing an EIS on Atlantic Seismic Activities. The decision was originally scheduled for
this Fall, but it has already been delayed until
next year. A decision is critical on this because
DOI will begin their new five year plan in the
near future. Secretary Jewell has said that the
decision to include new areas will depend on
what is known about the resource potential,
which creates a Catch 22 situation. NOIA assisted in drafting a letter signed by 40 members of Congress requesting the Administration
make a decision as soon as possible and NOIA
assisted in drafting and promoting language re-

NOIA continues its push for increased access
on various fronts. We, and other trade associations, commented on the recent ESA listings,
marine sanctuary designation process, and the
production safety systems proposed rule (we
requested a 120 day extension, and received a
45 day extension on top of the 60 day comment
period). We’ve also been active in idle iron and
bonding issues and are starting to ramp up for
the five year scoping process.
Pursuant to your approval last Fall, NOIA intervened in the Central and Western Sales litigation in support of the sales. Motions for and
pleadings for Summary Judgment were filed
on September 6, and the Intervenors reply to
Plaintiff’s opposition to summary judgment is
due on November 21.
We continue expressing our concern over marine spatial planning and are attending meetings
of the National Ocean Council to advocate concern over timing, scope and practicality of implementing coastal and marine spatial planning.
The House of Representatives has voted twice
to restrict funding to implement this initiative.
We are working with BSEE/BOEM to schedule technology sharing workshops through our
Technology Policy Committee.
We are increasing our involvement with NOAA
and Coast Guard on issues that directly involve
the offshore energy industry.

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 WASHINGTON REPORT
NOIA FALL MEETING REVIEW
NOIA OUTREACH
Since our last Annual Meeting, we have issued
28 press releases, responded to numerous media inquiries and participated in numerous media interviews. NOIA staff and members have
authored 26 op-eds and placed 23 in national,
regional and local print or online media outlets.
NOIA staff have made over 25 presentations
at various conferences ranging from OTC to
regional and local workshops on offshore issues. We sent out 50 Washington Updates, our
weekly electronic member newsletter.

Previously, if one were to search for NOIA,
we didn’t even show up in the first page of results, today we top our Newfoundland counterpart and the city of Noia, Spain, ranking first
on search engines. We offer a wide variety of
options and hope you are visiting our website
(www.noia.org) on a regular basis. Our efforts
in social media reach continues to climb steadily
since last year with Facebook at over 522,209
impressions and over 300 new likes and Twitter followers at over 550 through which we
have reached over 664,000 .

TECHNOLOGY PLAN
We continue to advance our state outreach efforts, particularly in the Southeast. We participated in an energy forum for Virginia again this
year. NOIA will be represented in the Offshore
Governor’s Coalition meeting in October and
we participated in a forum in South Carolina
advocating lease sales in the Southeastern Atlantic. We also supported Energy Day in Houston on October 19, 2013.

Major purchases of our new phone system are
complete. All of our computer hardware is
on a rotation replacement schedule and we will
continue to update and replace out of warranty
and out of date equipment on a regular basis.

As many of you have suggested, we actively
seek coordination with other trade associations. We have increased the number of Allied
Associations to 20.

MEETINGS

As we continue the push to open up more areas, we are contemplating working with Offshore Energy Center and the Mobil Education
Unit to get into schools in the Southeastern
U.S. We shipped over 400 NOIA Educational
Activity Books for school aged children.

SOCIAL MEDIA
NOIA launched our new website, which includes a new members only directory, newsfeed, numerous other interactive features and
most importantly, search engine optimization.

The purchase of iPads being phased in and the
new website design is another step in implementing the plan.

It is our endeavor to persistently book leading speakers, discuss relevant topics and make
our Annual and Fall meetings informative, and
yet enjoyable. Attendance was very good for
both the Annual and Fall Meetings. Due to
scheduling conflicts, the summer membership
regional meeting did not occur, but it is back
on the agenda for 2014. The 2014 NOIA Annual Meeting will be April 9 – 11, in Washington,
D.C.
(Continued on next page)

Copies of all presentations
mentioned in this report
are available on the NOIA
website at www.noia.org

13

NOIA STAFF
Randall Luthi
President
Faith Burns
Executive Assistant
to the President
Franki Stuntz
Senior Vice President,
Administration &
Membership
Ann Chapman
Vice President,
Conferences & Special Events
Nicolette Nye
Vice President,
Communications &
External Relations
Jeff Vorberger
Vice President,
Intergovernmental &
Political Affairs
Michael Kearns
Vice President,
Government Relations
Megan Bel
Senior Director,
Government & Political Affairs
Robert V. Myers, III
Director of Public Affairs

 NOIA FALL MEETING REVIEW
MEMBERSHIP

OTHER ACTIVITIES

For the first time in almost four decades, our
membership has reached 300 members. We
added 26 members this year to date. Over
100 letters and NOIA information packages
were sent to prospective members. Mergers
and acquisitions continue to be a challenge.

I am privileged to be a Board Member of the
Offshore Energy Center, the National Energy
Education Development Project (NEED), IPAA
Education Institute and the Center for Offshore Safety.

PRIORITIES
Thank you for encouraging your colleagues and
even competitors to join us. We have set a goal
of maintaining no fewer than 350 members in
the future. That number can only be reached
by going up the vendor chain and through your
continued support and effort. Richard Lunam,
new Chairman of the Membership Committee,
has directed and crafted a Member Development Program.

Increased Access
This remains our number one objective. We
continue our coordinated approach to open up
the Atlantic and other areas.

We have also implemented our Membership Renewal and Retention program, with all
NOIA Staff members involved in reaching out
to members on an annual basis.

Technology Sharing Workshops
Some environmental groups have targeted seismic operations. Last year we saw the NRDC
lawsuit in the Gulf of Mexico, and Oceana has
a campaign in place to stop seismic surveys in
the Atlantic. We continue to work with other
trades, particularly IAGC to show the facts and
support the government in permitting seismic
activity.

NOIA PAC
Last year, NOIA PAC supported a record
number of candidates and received a record
number of donations. Even though this is an
“off election year” we have received over
$120,000 in 2013 donations. We have also
distributed over $100,000 to candidates.
Current balance in the PAC is approximately
$100,000. We have made it easier to donate,
by now having credit card swiping technology.
We also have new PAC pins this year. All donors will receive a white NOIA PAC pin, while
those who donate the maximum amount of
$5000 receive a gold pin. You’ll see a listing of
all PAC donors outside the registration area.

Seismic Activities
We continue to push Congress for changes to
the current schedule for completing the seismic EIS.

Offshore/GOM Trips
NOIA facilitated four Congressional visits to
facilities. These are absolutely invaluable as a
learning experience for Members of Congress
and staff. A special thanks to Anadarko, Aries Marine, Cobalt, ENSCO, Noble, Shell and
W&T for hosting. We will continue to promote
these facility visits.

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14

 WASHINGTON REPORT

NEXT MEETING
The NOIA Membership will next meet for the
2014 Annual Meeting, April 9-11, 2014 at the
Mandarin Oriental in Washington, D.C..
We hope to see you there!

Technology Sharing Workshops
We are hopeful to schedule one or more
workshops with BOEM and/or BSEE,
the Coast Guard and possibly NOAA
through the Technology Policy Committee.
Alaska
As the potential for activities offshore Alaska
increases, so should NOIA’s interest. We will
continue to work closely with the Alaska Congressional Delegation, AOGA and NOIA members Shell, ENI, Statoil and ConocoPhillips.
Jobs Message
We will continue the message of job creation through all means. The new NOIA/API
study will assist tremendously in this effort.
Health, Safety, Security and Environment
Committee
We are using the members of this Committee to provide assistance on commenting on
proposed offshore safety regulations. We
are also recommending an expansion of the
Safety in Seas program and award to include
a new category to recognize companies with
solid safety cultures that have resulted in sustained improvements in safety performance.
Copies of all presentations
mentioned in this report
are available on the NOIA
website at www.noia.org

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NOIA FALL MEETING: OCTOBER 2-4

Five Year Plan Message
We continue to push Congress for changes to
the current five year plan and are preparing for
the scoping of the new five year plan.

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Therese & Darrell Hollek, Anadarko Petroleum;
Bruce & Sandi Gresham, Heerema Marine Contractors US;
Pam & Barnes Darwin, ExxonMobil Exploration Company;
Kathy & Galen Cobb, Halliburton

Bobby & Gail Donnes, AFS Petrologix;
Melba & Ronnie Murphy, United Vision Logistics;
Richard Higham, Acteon Group;
Bobbi Coffey, June Ressler, Cenergy International

Dean & Marilene Taylor, Tidewater;
Kylie & Court Ramsay, Aries Marine

Gabriel & Diana Osorio, Ecopetrol America;
William Kuzmich, Petrosys

Lee Orgeron, Montco Offshore; Scott Howard, Regions Bank;
Ross Keogh, Petsec Energy

Holly Hopkins, API; Richard & Liz Morrison, BP

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 WASHINGTON REPORT

Doss Bourgeois, Freeport McMoRan Oil & Gas;
Karen Fortier, Hornbeck Offshore; Sally Bourgeois,
Peter Fortier, Hornbeck Offshore

Robert Workman, National Oilwell Varco;
Aletha & Tom Moyers, Cameron

John & Jane Ellis, Wood Group Mustang;
Ronnie Smith, Upstream Engineering

Copies of all presentations
mentioned in this report and
pictures are available on the
NOIA member’s section of
the website at noia.org

Mark & Kimberly Meunier, Kiewit Offshore Services;
Maggie & Richard Williams, Fugro Chance

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NOIA FALL MEETING: OCTOBER 2-4

Michelle & Robert Hobbs, TGS’
Marc Lawrence; Anton & Yolanda du Preez, SEMPCheck

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Alex Ellsworth, Tom Hood, Ellsworth Corporation;
Kurt Crosby, Crosby Tugs

Ronnie Luquette, Mike Johnson, Cetco Energy Services; Doug &
Marie Polk, Vallourec USA

Bruce & Barbie Ross, OFS Energy Fund;
Kelly & Donald Young, Hoover Group

Kurt & Susan Crosby, Crosby Tugs;
Kerry & Regan Wood, New Tech Global

George & Becky Banos, Edison Chouest Offshore;
Adana & Len Paton, PPHB

Richard Clark, Deep Gulf Energy;
Tim & Christy Duncan, Melissa & Bill Moss, Talos Energy

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 WASHINGTON REPORT

Paul Howes, Cyndy Johnson, Frank Lyon, Newpark Resources

Al Gonsoulin, PHI; Larry Dickerson, Diamond Offshore Drilling;
Richard Clark, Deep Gulf Energy

Ann & Kent Satterlee, Shell E&P;
Michael Whatley, Consumer Energy Alliance;
David Bernhardt, BHFS

Evelyn Medvin, CORE Laboratories; Richie Miller, Spectrum;
Mike McCauley, Arena Offshore; Court Ramsay, Aries Marine;
Janet Harrell, Shell Energy Resources Company

Aldo Rodriguez, Harris CapRock;
Danny Foster, Foster Marketing;
John Belsome, Laborde Marine Management

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NOIA FALL MEETING: OCTOBER 2-4

Mike Olsen, Statoil; John HBFS;
Gene Coleman, Jacob Roche, Murphy Oil Company;
Judith Roos, MSRC

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Cindy Taylor, Oil States International;
Kurt & Susan Crosby, Crosby Tugs; Allan Taylor, Oil States

Doss & Sally Bourgeois, Freeport McMoRan;
Clyde & Faye Munson, Aries Marine;
Ronnie & Kate Luquette, Cetco Energy Services

Steve & Susie Roussel, Offshore Energy Services

Clyde & Faye Munson, Aries Marine;
Mitzi Alario, Iberia Marine Services; Bob Alario, PHI

20

Kevin & Malinda Williams, Baker Hughes;
Tom Young, Deep Gulf Energy; Jerry & Candace Schlief, Auterra Energy

Laslo Olah, TXIS; Moe Plaisance, Diamond Offshore;
Margie & Gene Ratterman, Venari Resources

Richard Lunam, ConocoPhillips; Richie Miller, Spectrum

John Hrobsky, BHFS; Holly Hopkins, API; Mike Olsen, Statoil;
Vice President Dick Cheney; NOIA President Randall Luthi;
Michael Whatley, CEA; David Bernhardt & Luke Johngson, BHFS