The Oil and Gas industry is a peculiar one. However, we know that the application of technology brings great benefits to us as a society. The ultimate aim of any operator of an Oil and Gas installation is to maximise profits by quick and efficient exploration of hydrocarbons with minimal or no interruption by way of accidents. Apart from being a lengthy process, determining liability and awarding cost to injured parties3 is usually a huge burden considering that the industry is characterised by sub-contracting. Risk will be managed and controlled when the risk has been explicitly allocated to one or more parties4. Money spent on taking out several insurance policies is considered an additional expense, with the incentive to use contracts to modify a common law approach to risk management becoming even more attractive.
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