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HSSE Challenges and Plan in OMV Petrom Romania Upstream Conference & First Eastern Europe HSE Forum

Sustainability: HSSE Hans Zepic Business Partner HSSE for E&P OMV Petrom

Clear statement of OMV Petrom management Before Modernization After Modernization 2 OMV Petrom HSSE Challenges and Plan .

Reduction of LTIs  Anti-Theft campaign rolled out  Stepping. handling and lifting training for 7. Contractor Management  High Risk Contractors identified  CARE Card (Start Card) System implemented in projects  Number of Hazard and Near Miss reports from Contractors increased by 50% 3. Spills 7. Road Safety vehicle drivers and 1.600 heavy vehicle drivers 3 OMV Petrom HSSE Challenges and Plan . review of fire fighting capabilities 2.Steps were taken to manage the major HSSE challenges facing the E&P activities in Romania Major challenges 1. Theft with 3rd party injury/fatality 5.000 persons  HSSE leadership training program for managers  First Aid Training Program  Identification of focus areas and pipelines with majority of spills  Defensive Driving campaign including courses for 5. training of workforce. recognition & reward for HSSE performance.700 light 6. preventive maintenance system launched 4. Process Safety/ Asset Integrity 2011 measures  Process safety management walk-arounds  Process safety champions nominated  Safety-critical equipment identified  Fire detection and fighting study. Workover focus  Comprehensive program focused on LTIR reduction.

Stepping. working at heights Objectives  Transmitting best practices to Action Lines  Construction of 3 simulators that mimic real working conditions easy to be mounted.  Train-the-trainers for 36 E&P & HSSE employees  Training of 7. handling and lifting & Working at heights Training Campaign 2011 Aims Prevention and reduction of risks of accidents and professional illnesses by:  Informing  increasing awareness related to behaviors  theoretical & practical training of professional categories involved in activities of stepping. dismantled and transported. lifting & manual handling.000 employees in all OMV Petrom E&P locations employees involved  Decreasing the number of accidents and incidents compared to the 2009 .2010 period 4 OMV Petrom HSSE Challenges and Plan .

HSSE plan for 2012-2015 .

HSSE performance of contractors. multiple risks and new priorities in OMV Petrom into 2015 People Society. community and stakeholder engagement  Quantification and reduction of environmental liabilities 6 OMV Petrom HSSE Challenges and Plan . and other stakeholders will have increasing expectations towards technical standards and how we work in future Planet Profit Shift in priorities within the business model: Profitable Growth Growth Integration Change Performance HSSE-relevant challenges  Increasing operational risks (less ‘easy hydrocarbons’)  More contractor involvement  Safety and socioeconomic challenges with divestments  Increasing personal and corporate liabilities HSSE Strategy 2015  Identification of security risks in sites and implementation of measures at future projects/sites  Process safety (PS) organization in operational sites and auditing of PS plans  Reporting. ability to work  HSSE involvement in project decisions. shareholders. safety.A challenging environment. Execution of health programs.

OMV Group level initiatives Process Safety Management Activity Plan 2012 Group PSM Team Guidance Barrier Checklist PSPI Analysis Approach Prioritisation Approach Check Mentor Operating Sites PSPI reporting in CARE OR Apply Barrier Checklist Substandard Barriers Assets PSPI Results Analysis Risk Reduction Plan Annual PS Status Report Prioritisation Consolidated Issues Registers 7 OMV Petrom HSSE Challenges and Plan .

Roll out Plan 8 OMV Petrom HSSE Challenges and Plan .OMV Group level initiatives HSSE Golden Rules Overview The OMV Golden Rules are the product of a three year industry wide study of the cause of fatalities which identified the critical controls that shall be in place prior to starting work.

 Location (via GPS)  Speed / RPMs  Hard dip bumps. record. analyze and improve driver and vehicle performance.OMV Group level initiatives IVMS (In vehicle monitoring system) System overview IVMS is an integrated and secured system designed to monitor. alert. unsafe turns. acceleration or brakes  Impact / crash data  Seatbelt use and headlight use  Trip duration / mileage Expected benefits Safety Benefits ► Increase in stolen vehicle recovery ► Increase in personnel security and safety ► Reduction of accidents ► Reduction in insurance costs Fuel Consumption Benefits ► Reduction of excessive idle ► Reduction of harsh acceleration ► Reduction of unauthorized use Vehicle Maintenance Benefits ► Reduction in brake and tire wear ► Reduction in drive train wear ► Accurate Maintenance Scheduling Productivity Benefits ► Real-time tracking and dispatching ► Reduction in paperwork ► Increased driver performance ► Decrease in unnecessary overtime ► Decrease in disputes 9 OMV Petrom HSSE Challenges and Plan .

 Other Materials:  Increase accountability of employees.OMV Petrom level initiatives Seatbelt Programme. depicting interior after collision with dummies and informative labels with injuries. Focus areas and objectives Programme focus areas and key objectives  Increase knowledge and awareness of the benefits Communication campaign Key activities of seat belt use. by introducing actions for non-compliance. supported by internal regulation applicable at company level  Post-crash bus caravan. as regulated by labor legislation and internal rules of OMV Petrom  Monitor programme performance through random checks involving line management. through a communication campaign. through EB decision and Internal Note. in order to maximize the impact of the seatbelt programme. on a regular basis 10 OMV Petrom HSSE Challenges and Plan . Bus caravan to start in Petrom City HQ and circulate in the main operational locations.  Communicate management commitment.

11 OMV Petrom HSSE Challenges and Plan . TBE and hepatitis) will continue in 2012. NEW HEALTH PROMOTION CAMPAIGNS addressing risk factors for spine & joint diseases and cardiovascular diseases:  Ergonomic assessment of the workstations (for office workers)  Healthy eating campaign (for office and field workers) Continue on-going initiatives The cardio-vascular diseases screening and the vaccinations campaigns (flu.OMV Petrom level initiatives Preventive and health promotion plans for 2012 Develop new programs and campaigns NEW SCREENING PROGRAMS addressing other important causes of sick leave days:  Liver diseases  Respiratory diseases Both screenings will be offered to office and field workers.

consisting of field visit and meetings with the local management by the Executive Board member and the HSSE support function  Create Safety awareness through movies and break-out sessions  Roll-out the HSSE plan 2012 understanding and awareness regarding the importance of HSSE in our daily activity and in our lives. commitment by top management  Create the possibility for the participants to discuss HSSE topics  Field visits. as a result behaviors will change The participants’ perception of safety will change both from a professional and personal point of view 12 OMV Petrom HSSE Challenges and Plan .OMV Petrom EP level initiatives Petrom EP HSSE Roadshow 2012 Aims  Increasing the level of Objectives  Show HSSE leadership and Approach  1 day in each Petrom EP Asset. get in contact with blue collar to show HSSE is our first priority ► ► A live message coming from top management has an important impact.

with the purpose of ensuring the alignment with Petrom standards Monitor performance and take into account when awarding future works Reporting HSSE KPI’s as well as technical performance indicators Systematic approach. for both existing and new contractors. educate and raise performance Increase monitoring of sub-contractors and ensure that contractors request same standards from their sub-contractors Senior management leadership for driving culture change in both Petrom and Contractor organization Quarterly senior management meetings with contractors Greater involvement at site level. for setting examples and reinforce monitoring Training for ensuring a better understanding of HSSE matters ► Improve contractor capability and performance assessment ► ► ► ► Increase awareness and monitoring at operational/ site level ► ► ► Increase awareness and monitoring at management level ► ► ► ► 13 OMV Petrom HSSE Challenges and Plan .OMV Petrom EP level initiatives Contractor Management concept in Petrom E&P ► Clearly define accountability and responsibilities ► ► ► Establish individuals (CO/ CH) in charge of monitoring performance. HSSE Forums. better coverage of work sites Constant effort to share learnings. open dialog. with clear systems in place Increase site level engagement through increased accountability and communication Workshops. for ensuring a proper management of the contract Hold line managers accountable for contractor HSSE performance Clearly define the responsibilities of all involved departments and train accordingly Update and (re)define standardized HSSE contractual T&C: generic and specific according to activities Simplify and improve pre-award capability assessment.