MEMBER COMPANIES (As Of October 2018) - Ime

d. Division 1.4 – Explosives that present a minor explosion hazard. The explosive effectsare largely confined to the package and no projection of fragments of appreciable size orrange is to be expected. An external fire must not cause virtually instantaneousexplosion of almost the entire contents of the package. Typical examples includecertain shaped charges, certain loaded perforating guns, detonating cord in specialpackaging, power charges, safety fuse and electric, electronic, and nonelectricdetonators.As noted above different classifications can have the same type of explosive. Thedifferences may be due to explosive loads or may be due to packaging differences. Alltesting is evaluated based on how the explosive performs in its package. Also note, theexamples provided in the divisions above may fall under more than one division.Two other classes of hazardous materials are commonly utilized by the oil and gas industry in downholeoperations.a. Division 4.1 – Flammable solid, not an explosive. Typical examples are certain powercharges and some chemical cutter propellants.b. Division 5.1 – Oxidizers, not an explosive. Typical examples are StimGunsTM andbromine triflouride (used in chemical cutters)2. Classification Divisions for Storage PurposesFor storage purposes, ATF separates oil and gas related explosives into two classes 3 as follows:a. High Explosives – Explosive materials that can be caused to detonate by means of a blastingcap when unconfined. Typical examples include shaped charges, detonating cord, jet cutters,detonators, severing tools, bi-directional boosters, and time delay fuzes.b. Low Explosives – Explosive materials that can be caused to deflagrate when confined. Typicalexamples include igniters, core gun loads, and power charges that are classified as explosives.STORAGEThis section of SLP 32 contains guidelines for explosives storage in oil and gas operations. It is intended tosupplement IME SLPs 1, 2, 3, 14, and 17. In general, all explosive materials must be stored in magazinesconstructed and located in accordance with federal, state and local regulations. Magazines should be keptlocked at all times except for inspection, inventory, or the movement of explosive materials in or out of themagazine.Approved storage magazines are designed to prevent unauthorized persons from having access to theexplosives and to protect the explosive materials from deterioration. Accordingly, magazine sites should beinspected frequently (at least every seven days). Accurate inventories should be kept of all explosivematerials and stocks of older materials should be used first. A daily summary of magazine transactions(DSMT) must be maintained. Roofs, walls, doors, floors, locks and ventilators of magazines must be kept ingood repair. The area inside the magazine should be kept clean, dry and orderly. No combustible material3ATF has three classifications of explosives, however only high explosives and low explosives categories areapplicable to the oil and gas industry.9

should be stored within 50 feet (15.2 m) of the magazine and all dry grass or brush cleared for a distance of25 feet (7.6 m) around the magazine.Anyone contemplating building or locating a storage magazine or purchasing explosive materials shouldmake sure that they are in compliance with all applicable regulations.The following table provides examples of common oilfield explosive products and magazine types in whichthese products can be stored.Explosives Compatibility Based on ATF RequirementsMagazine TypeClasses of materials that maybe stored together 4All classes of explosives:High explosives and lowexplosives.Detonator storage magazine:Examples of allowed storageDetonators, igniters, time delayfuzes, and percussion initiators.Type 2–portableAll classes of explosives:High explosives and lowexplosives.Detonators, igniters, time delayfuzes, and percussion initiators.Type 3 – daybox (Not to beused forunattendedstorage.)All classes of explosives:High explosives and lowexplosives.Detonators, time delay fuzes,and percussion initiators.Type 4 –permanent orportableLow explosives only.Non-mass detonatingdetonators, igniters and squibs.Type 1 –permanentstorageOther storage magazine:ExamplesShaped charges,detonating cord, jetcutters, severing tools,power charges, core gunloads, bi-directionalboosters and ignitersShaped charges,detonating cord, jetcutters, severing tools,power charges, core gunloads, bi-directionalboosters, and ignitersShaped charges,detonating cord, jetcutters, severing tools,power charges, bidirectional boosters,igniters, and core gunloadsCore gun loads, powercharges, and ignitersIn order to store detonators in Type 4 magazines, they must be stored in a manner which will prevent themfrom mass-detonating. As an example, DOT Division 1.4 explosives will not mass detonate if the conditionsof DOT’s approval are maintained. Changes to an explosive’s package or storage of other materials,explosive or non-explosive, in the package, may invalidate the DOT Division 1.4 classification. Forexample, removing Division 1.4 detonators from their package and placing them in another box or removinga portion of the packaging material may allow for a mass explosion. The DOT approval documentation willdescribe packaging requirements for proper classification.Loaded perforating guns may be stored in areas outside of a magazine according to the conditions listed inATF Ruling 2010-7, which requires the following: Notification for each site at which perforating guns are to be storedSite security features and practicesConfigurations and positions of stored gunsMaximum limitations on quantities of stored guns and net quantities of explosivesNotification of local fire safety authority and local ATF officeSpecific documentation of perforating guns and contents4Detonators, with certain exceptions, may not be stored with other explosive materials. Refer to “Detonator StorageMagazine” column in this table.10

Use the American Table of Distances for Storage of Explosive Materials to determine safe distances frominhabited dwellings, highways, passenger railways, and between explosive materials magazines. ATF mayapprove, via variance, use of an IMESAFR quantitative risk assessment in lieu of quantity-distance.SHELF LIFEExplosives should be used on a first-in/first-out basis to prevent accumulation of aged shelf stock. Somemanufacturers may specify a shelf life and storage conditions on their explosives. Unless specifiedotherwise by the manufacturer, shelf life should be treated as a guideline to verify that condition andperformance are still suitable for intended use rather than as a maximum storage length or expiration date forthe explosives. Excess heat, humidity, or vibration may significantly affect shelf life.TRANSPORTATION1. Explosives are to be transported in compliance with applicable local, national or international transportregulations, including air and vessel regulations. In the United States, these are the regulations written bythe U.S. Department of Transportation (DOT) and published in Title 49 Code of Federal Regulations. IMEaddresses the transport of explosives in depth in IME Safety Library Publication Number 14, Handbook forthe Transportation and Distribution of Explosive Materials. The sections below supplement thatinformation for products specific to the oil and gas industry, such as loaded perforating guns.Transportation of explosives via railroad, water, or highway under the jurisdiction of DOT or theDepartment of Homeland Security (U.S. Coast Guard)), is exempt from the storage regulations of theBureau of Alcohol, Tobacco, Firearms and Explosives (ATF).2. The driver of a motor vehicle meeting the definition of a commercial motor vehicle in 49 CFR 383.5,must hold a valid commercial driver’s license (CDL). In summary, a commercial motor vehicle is defined inthat section as a motor vehicle or combination of motor vehicles that: Has a gross vehicle weight rating (GVWR) of 26,001 pounds or more; orHas a gross combination weight rating of 26,001 pounds or more, inclusive of a towed unit(s) thathas a GVWR of more than 10,000 pounds; orIs of any size and is used to transport hazardous materials in quantities that require the vehicle to beplacarded, or any quantity of a material listed as a select agent or toxin in 49 CFR 73.When transporting explosives, or any hazardous material, in a quantity that requires the vehicle to beplacarded, the driver’s CDL must also have a hazardous material endorsement.3. Prior to loading explosives onto a vehicle, the compatibility of explosives with other explosives and withother hazardous materials, should be determined by reviewing the segregation and compatibility chartsfound in 49 CFR 177.848.4. Perforating Gun Transportation.a. Classification: Prior to transporting or offering perforating guns for transport, they must beapproved by DOT. The approval, titled Classification of Explosives (also known as an EX-letter),specifies the UN number, proper shipping name, UN division and compatibility group assigned to aparticular style of perforating guns.The approval process for any explosive can be expensive, complicated and time consuming, usuallyrequiring evaluation and/or testing by an approved laboratory before the approval application will beconsidered by DOT. To simplify the process, IME and the Association of Energy ServiceCompanies (AESC) developed the Guide to Obtaining DOT Approval of Jet Perforating Gun usingAESC/IME Perforating Gun Specifications (“Specifications”); see Appendix A. The Specificationsare a series of documents setting forth standardized parameters for various perforating gun systems.11

The documents include a drawing representative of the perforating gun system, technical details forthe system, authorized components and compliance requirements that govern the applicability of theperforating gun specification.The Specifications have been reviewed and approved by DOT for companies to use to apply forapproval of their loaded perforating guns. Use of the Specifications will enable the applicant toobtain DOT approval of their qualifying perforating gun systems without the need for testing andwith a minimum of effort and delay. Perforating gun systems covered by the Specifications are: Ported tube systems (without detonator)Tube & strip systems (without detonator)Tube & tube systems (without detonator)Strip carrier systems (without detonator)Wire carrier systems (without detonator)Link carrier systems (without detonator)Swing carrier systems (without detonator)Tube & Tube Kodiak system (without detonator)Every company that loads perforating guns must have their perforating guns approved by DOT,before transporting or offering the perforating guns for transport. Details regarding the approvalprocess using the Specifications is provided in the Specification document which is available on theIME website at: https://www.ime.org/content/recommendations and guidelines.b. Transporting perforating guns: Loaded perforating guns are to be transported in compliance withthe applicable hazardous materials transportation regulations. This includes marking and labelingeach perforating gun, preparation of shipping papers, and if applicable, applying placards to thevehicle. Details are included in 49 CFR 172, Subparts C – F. IME’s Safety Library Publication 14,Handbook for the Transportation and Distribution of Explosive Materials, provides guidance inmeeting those requirements.Additionally, loaded perforating guns must be carried as specified in 49 CFR 173.62 PackingInstruction US 1 (see Appendix B). Among the provisions of US 1 is the requirement in paragraph1.d.(i) that guns are not subject to damage by contact, one to the other or any other article ormaterial carried in the vehicle. In March 2015, DOT clarified this provision stating that merecontact between perforating guns is not a violation of the regulation, unless the contact allows formovement between the guns that could cause damage by contact. Perforating guns that aretouching, but that are appropriately secured for conditions normally incident to transportation,would be compliant with the requirements of US 1, paragraph 1.d.(i). See Appendix C for the DOTclarification.As with all explosives, security is a critical component when transporting loaded perforating guns.Implementing sound security practices reduces vulnerability to loss or theft. Loaded perforatingguns should be secured in a manner that will prevent their unauthorized removal, as well as removalof their explosive contents. This can be accomplished by locking the perforating guns to the truck,trailer or rack through the use of chains and locks or locking bars, or locked in a closed compartmentof the truck.5. Transportation of Detonators with Loaded Perforating Guns:Detonators may be carried on the same vehicle as loaded perforating guns, as specified in PackingInstruction US 1, paragraph 1.a. They are to be carried in their original UN certified packaging or, asauthorized by 49 CFR 173.63(f) and (g) for 1.4B and 1.4S detonators, in an IME 22 box. Refer to IME’sSafety Library Publication 22 for construction details for an IME 22 box. Additionally, detonators maybe carried by road in an alternate container that has been approved by DOT’s Associate Administrator,12

per 49 CFR 177.835(g)(3). One such authorization was issued by DOT through Special Permit DOT-SP11432. Each company that is a Party to that Special Permit may carry up to 24 detonators (each in aheavy wall tube) in a steel “cap box” constructed of at least 12 gauge low-carbon steel, lined with at least¼” foam or wood, with at least two means for preventing the lid from opening should accidental initiationof the contents occur. To apply for Party status to that Special Permit, or any other, follow the directionsspecified in 49 CFR 107.107. To view DOT-SP 11432 or any other Special Permit, follow this -permits/search6. Special Requirements for Transportation of Detonating Cord:Detonating cord, not contained in a loaded perforating gun, must be packaged as specified in PackingInstruction (PI) 139 of 49 CFR 173.62. That PI allows cords that are classified as UN0065, UN0104,UN0289 and UN0290 to be carried without the ends of the cord sealed, provided the inner packagingused to contain the cord consists of a static-resistant plastic bag of at least 3 mil thickness and the bag issecurely closed. The inner packaging must then be placed in the appropriate UN certified box, alsospecified in PI 139, and closed in the manner specified by the cord manufacturer. In the U.S., detonatingcord may be transported as UN0289 / 1.4D shipment if shipped pursuant to 49 CFR 173.63(a). Shipmentunder conditions other than described in 49 CFR 173.63(a) requires that this package be marked / labeledUN0065 / 1.1D.13

USE OF EXPLOSIVES IN OIL AND GAS OPERATIONSThe oil and gas industry uses different types of explosives in its day to day operations. Among thecommonly used articles are: Perforating ChargesJet cuttersSetting toolsCore gunsPerforating gunsPropellent productsIgnitersPower ChargesInitiating systems (including detonators, cartridge actuated, hydraulic and impact firing heads)Bidirectional BoostersDetonating CordEach of these explosives have a unique makeup. For example, there are several different types of explosiveloads, explosive types, and physical configurations. These explosive articles are selected based on physicalrequirements unique to the wellbores in which they are to be used.Each manufacturer of these explosives has their own instructions for application and use of their products.Users should be well trained in the installation and use of these explosives and follow those instructions.INITIATION COMPONENTS AND SYSTEMS1. Electric Detonators – Oilfield electric detonators are explosive devices that require electrical stimulus tobegin the initiation process. There are multiple types of electric detonators:a. Bridgewire detonators – Oilfield bridgewire detonators should have a minimum resistance of 50Ohms and a 200mA no-fire current, per RP67. The resistance will typically come from resistors thatare inserted in the detonator circuit. This type of detonator typically employs a primary explosive(such as lead azide, lead styphnate, silver azide, etc.) to begin the initiation train but may also use apyrotechnic mix. Secondary explosives (such as PETN, RDX, HMX, HNS, etc.) are used as the mainoutput explosive. These detonators are normally 1-4” in length and 1/4-1/3” in diameter.b. High Energy Electric Detonator

Division 1.2 - Explosives that have a projection hazard but not a mass explosion hazard. Typical examples are certain power charges. c. Division 1.3- Explosives that have a fire hazard and either a minor blast hazard or a minor projection hazard or both, but not a mass explosion hazard. Typical examples are