Energy and Petroleum Projects Insurance Coverage
Coverage Overview
Ta'awuniya Insurance Company provides comprehensive insurance services covering various risks associated with energy and petroleum projects.
🔸 General Risks Facing Petroleum Facilities
Petroleum facilities are exposed to various risks, which can be classified as follows:
1. Based on Location:
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Onshore Risks.
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Offshore Risks.
2. Based on Nature of Risk:
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Physical Damage Risks.
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Corrosion Risks.
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Pollution Risks.
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Civil Liability Risks.
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Consequential Loss Risks.
🔸 Insurance Coverage Throughout the Stages of Oil Extraction
1. Exploration Stage
This stage includes:
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Surface Geological Survey.
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Seismic Survey.
2. Drilling Stage
During this stage, drilling rigs are exposed to several risks, including:
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Dismantling and reassembly operations.
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Operational errors.
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Fire caused by flammable materials used in drilling operations or by unexpected gas or oil blowouts during drilling.
3. Development Stage
This stage includes:
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Gathering, processing, and storage facilities.
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Gas processing plants, chemical plants, and refineries.
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Installation of platforms and preparation of transportation networks.
This stage requires appropriate insurance coverage, which may be provided through a Fire and Named Perils Policy. Construction works can also be covered under a Contractors' All Risks (CAR) Policy.
4. Operation and Production Stage
At this stage, petroleum facilities require coverage against various risks that may arise during operations, pumping, or oil transportation.
Physical damage can be insured under either an All Risks Insurance Policy or a Named Perils Policy.
In addition, the company provides a specialized insurance coverage unique to the petroleum industry, specifically designed for oil wells. This coverage protects against expenses and costs arising from well-control operations, including:
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Well-control and redrilling costs.
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Debris removal costs.
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Evacuation and emergency relocation costs.
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Cleaning and site clearance costs.
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Losses resulting from underground blowouts.
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Liability arising from pollution and leakage.
5. Field Maintenance Stage
This stage involves cleaning and maintenance operations aimed at extending the productive life of oil fields and maintaining operational efficiency.
Ta'awuniya Insurance Company provides specialized insurance solutions designed to cover the various risks associated with energy and petroleum projects throughout their different stages, from exploration and drilling to production and field maintenance.
