Development of Methodologies for Managing Process Safety Risk Using HAZOP and LOPA for LNG Facilities

The objective of this project was to develop methodologies for managing Process Hazard Analysis (PHA) techniques, such as Hazard and Operability (HAZOP) and Layers of Protection Analysis (LOPA) for Liquefied Natural Gas (LNG) facilities.

The project developed a detailed guide for LNG production, storage, and transport companies to understand and consistently apply PHA methodologies, tailored to the LNG industry resulting in an increased understanding and consistency of the application of PHA methodologies.

Literature Review

A search was initiated to review the relevant literature regarding hazard analysis and risk evaluation, particularly those techniques and methodologies which would be aptly suited for the LNG industry. Approximately one hundred (100) sources were identified for this project. The complete list of literature sources are included in Appendix 3-A.

PHA Techniques

This report examines PHA techniques and how they are used for LNG facilities. These techniques include: Preliminary Hazard Review (PreHA), Hazard Identification (HAZID), Inherently Safer Design Review, Concept Risk Assessment (CRA), Checklist, What-If, Hazard and Operability Study, Failure Mode and Effect Analysis (FMEA), Event Tree Analysis (ETA), Bow-tie Analysis, Layers of Protection Analysis, and Quantitative Risk Assessment (QRA). The review of PHA techniques is for those designing, operating, and maintaining LNG facilities expecting to perform PHAs.

Supporting Techniques and Information for Conducting PHAs

The report also explains supporting techniques and provides information and data needed when it is applied in combination with PHA methodologies. It begins with risk evaluation concepts, such as frequencies, consequences, and risk tolerability, lists of typical hazard scenarios, failure frequencies, consequences, and risk tolerability, lists of typical hazard scenarios, failure frequencies and conditional modifiers specific to the LNG industry are contained in the report. The review of supporting techniques and information is for those designing, operating, and maintaining LNG facilities expecting to perform PHAs, as well as those auditing PHAs of LNG facilities.

Recommended Techniques By Stage

Historically, Process Safety Professionals refer to the life cycle of a project as starting with identification of hazards at the research and development stages, through "Conceptual Design" and pilot plant operations prior to the "Detailed Engineering Design" phase. However, LNG facility construction is based on known chemistries, as well as known hazards. The methodologies to be utilized for a PHA will be dependent on the scope of the project and complexity of the process. This report recommends methodologies for each Life Cycle Stage of an LNG facility. These recommendations are for those designing, operating, and maintaining LNG facilities expecting to perform PHAs.


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