Evolving Standards: How API 16B Impacts Existing Equipment in the Field

As a manufacturer of pressure control equipment for coiled tubing and wireline well interventions, NXL Technologies has received numerous inquiries from customers about navigating the upcoming release of API 16B. Many are unsure how to address the significant changes that new requirements may impose on their existing equipment, along with the potential financial impact, especially if their clients and regulatory bodies started imposing sweeping, evolving, or unclear requirements. This article aims to clarify these challenges by offering insights into the importance of collaboration among stakeholders and how proper evaluation and planning can mitigate potential negative impacts of new and evolving standards while maintaining safety and performance expectations.?

Elevating Safety & Quality in Well Intervention Equipment?

The long-awaited release of API 16B for Coiled Tubing, Snubbing, and Wireline Well Intervention Equipment is hopefully just around the corner. A lot of blood, sweat, and tears have gone into making this standard a reality, and thanks to the combined efforts and commitment of the industry to safety and quality, manufacturers and service providers will finally have a dedicated standard tailored to the unique requirements of coiled tubing, wireline, and snubbing well interventions.?

API Standards and Their Importance in Oil and Gas Safety?

Safety standards in the oil and gas industry are not just guidelines—they are essential safeguards that protect lives, the environment, and operational integrity, developed through industry collaboration and continuously updated to address emerging risks. Implementation and compliance with these standards are not about just ticking boxes – it is about mitigating hazards, preventing incidents, and fostering a culture of safety that reflects a deep commitment to protecting workers, safeguarding communities, and ensuring the responsible stewardship of natural resources.??

API Standards: Voluntary Guidelines or Mandatory Requirements??

It is important to understand that the American Petroleum Institute (API) is not a regulatory body mandating that the oil and gas industry adopt its standards. Instead, API works with industry experts to develop technical specifications and recommended practices or guidelines, which become mandatory only when adopted by the individual policies of operators or service providers, or when incorporated by reference into regulatory requirements. API only acts as the governing body for manufacturing and service companies seeking to obtain certifications and monogram licenses.?

Avoiding Blanket Policies: Navigating Compliance Decisions for New and Legacy Equipment??

It is crucial that companies avoid making knee-jerk decisions when API revises existing or releases new standards such as API 16B, as this may lead to unnecessary blanket policies. If not approached with proper consideration, blanket policies can lead to unintended consequences, including high financial burdens, operational setbacks, and the premature decommissioning of viable assets. Let's explore this further:?

Is the Monogram Always Required??

While the API monogram is a key indicator of equipment quality and adherence to industry standards, it may not always be applicable. Customers may choose not to, or be unable to, monogram equipment for various reasons, such as the equipment not falling under a standard, not qualifying due to unique requirements or customizations, or customers having their own robust quality criteria. In other cases, operating conditions or regional regulations may not mandate the use of monogrammed equipment.?

API Licensed Manufacturers Ensure Quality, With or Without the Monogram?

Regardless of the reason for not monogramming equipment, purchasing from a facility with an API-license such as API 6A or 16B (when released) remains a reliable choice. An API monogram licensee must ensure that the rigorous API Q1 Quality Management System requirements are always in place for equipment manufactured for the oil and gas industry, even when that equipment does not fall under the scope on their certification. Additionally, licensees’ must also have the capability and processes in place to meet the stringent design, material, and testing requirements of the API technical specification, providing an extra layer of quality, safety, and performance, monogrammed or not.?

Assessing Legacy & New Equipment During the Transition Phase??

When API revises or releases a new standard, such as API 16B, the oil and gas industry does not automatically mandate full compliance or disqualify legacy equipment. During the transition period, as manufacturers upgrade their systems to obtain the monogram license, service companies and operators need to evaluate their existing fleets. The wireline, coiled tubing, and snubbing industries should adopt a risk-based approach to assess current equipment, update requirements for new pressure control equipment, and identify where deviations or exceptions may be appropriate. This effort requires collaboration among industry experts—including manufacturers, service companies, operators, and governing bodies—to ensure safety remains a top priority for both new and existing equipment.?

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No Shortcuts in Safety: How Risk Assessments Can Keep Legacy Equipment in Play?

You’ve heard the saying, “You Can’t Grandfather Safety”. And this is true—when it comes to safety, there should never be shortcuts. But what if we could tweak that concept a bit? By adding in risk assessments, evaluations, thorough testing, and making the right retrofits, it’s possible to ensure that existing equipment meets today’s performance standards without having to retire fleets of existing equipment. After all, if a piece of equipment has been in use for the last 20 years without any issues, it's already been virtually validated through real-world performance. It’s not about cutting corners; it’s about taking a smart, responsible approach to make sure existing equipment is up to par, even if it's been around for a while.?

Compliance: Evaluating & Upgrading Existing Equipment??

Evaluating existing equipment against API 16B demands a structured approach to maintain safety, performance, and compliance. This process involves identifying gaps, performing risk assessments, and determining the appropriate actions to take. Let’s dive into what this evaluation may involve:?

Industry Review and Gap Analysis?

Conducting a detailed comparison between existing equipment that had no applicable standard and the requirements of API 16B once released.?

Risk Assessments?

Performing a risk-based evaluation related to design, operational, and safety gaps to determine whether existing equipment can be safely used as-is, upgraded, or replaced altogether. Key considerations may include:?

• Condition of Equipment: Conducting a detailed review of existing equipment’s age, service history, and environmental exposure.?

• Upgraded Recertification: The level of assurance that can be provided by a 5-year recertification with some additional inspections, such as drift testing, UT examination, hardness testing, and positive material identification testing. This could provide tangible evidence to use in determining if the equipment still meets operational safety and reliability demands.?

• Engineering Review: Obtaining engineering justification by the OEM or an independent Third-Party to confirm that the design methods used for existing equipment meet the intended performance criteria.?

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Guidelines for Addressing Existing Equipment and Maintenance?

The results of risk assessments should provide companies with essential information to develop clear guidelines for evaluating equipment condition, determining inspection requirements, and establishing strategies for maintenance or replacement. Let’s explore what this may involve:?

Condition of Equipment?

Guidelines should outline how to assess the current state of equipment and its service history to determine its continued use. Equipment that has been subjected to less harsh conditions—such as minimal pressure or exposure to corrosive environments—may have a higher allowable age limit than equipment that’s seen in more extreme conditions. If the equipment remains within its original service parameters without showing performance or safety issues, operators may choose to continue using it without immediately requiring compliance with new API standards.?

Third-Party or OEM Upgraded Recertification?

Guidelines may include criteria for testing beyond standard 5-year recertification. This could involve sending equipment to the OEM or an approved Third-Party for additional inspections (e.g., drift testing, hardness testing, or positive material identification) or necessary retrofits to ensure compliance with updated API 16B standards for replacement parts.?

Allowable Deviations?

In certain cases, service companies, operators, and governing bodies may permit deviations from API standards based on factors such as service conditions or the applicability of the standard to the equipment. For example, since API 16B has not yet been released, there is currently no dedicated standard for wireline and coiled tubing pressure control equipment. In these instances, companies often use equipment that complies with relevant requirements of existing API standards, such as API 6A, while approving specific deviations where appropriate. These deviations are carefully assessed to ensure they do not compromise safety or performance.?

• Industry Example - Approved Deviations in the Absence of a Standard: When the 21st edition of API 6A was released, changes in raw material, mandating tensile testing from a larger QTC size, disqualified some previously acceptable material that still met chemistry, Charpy, and UT standards, resulting in longer lead times and increased material costs. In response, many companies approved deviations to continue using materials compliant with the 20th edition, while ensuring that design methodologies and testing adhered to the 21st edition.?

Developing a Maintenance or Replacement Strategy?

Operators or regulatory bodies may establish minimum requirements for phasing out non-compliant equipment under API 16B, if necessary, over a defined period. This may involve replacing outdated equipment with compliant or monogrammed API 16B units. Service companies can then create and submit phase-out plans, factoring in recertification results and the current condition of their existing equipment, to meet these new standards.?

Final Insights on Adapting to New Standards?

In conclusion, as a premier manufacturer and provider of recertification equipment for coiled tubing and wireline in the oil and gas industry, NXL Technologies believes that a thoughtful, measured, and data-driven risk-based approach can effectively adapt the "grandfather clause" to ensure equipment remains safe, reliable, and fit for service, even as new standards emerge.?

Guiding Companies Toward a Balanced Compliance Strategy?

At NXL Technologies, our commitment to stewardship means we prioritize health, safety, and environmental responsibility. Through innovation and excellence, we deliver next-level solutions that transform challenges into opportunities, ensuring that quality is at the core of everything we do. Our expertise and client-focused approach mean that operators and service providers can rely on us for trusted support and effective solutions.?

If you would like to learn more about how NXL Technologies can help you navigate new API standards, contact us today.?

Written by Karri Lundy, Director of Quality Assurance, NXL Technologies?