PNG LNG Upstream Infrastructure

Weekly Report
Week Ending in February 18, 2011

Access Number (International): +1 832 214 2262

Meeting ID: 9918027

*C1 Safety Theme*

Hand Safety – Right PPE, Right Tool for Task, Pinch Point Awareness

ACCOMPLISHED ACTIVITIES LOOK AHEAD

SHS Safety Recognition: 0 Safety
Fatalities Cat 1 sites
Brian Herlihy / 0 LTIs only  Hand safety
Brad Hillman
28 days without a recordable 2 RWIs focus
injury. 13 MTIs
235 First Aids Health
Dave
Hancock / Ana Safety Incidents 37 Near Misses
374 Hazards
Santos Reported
Gobe (1)
1 First aid, burn on arm from Infrastructure Field Work
Philip Taulelei /
Leading Safety JSA TBT
Terry Johnson / welding
Indicators
Ben Kincade Mendi (1) This Week 1254 321
1 Near Miss Light vehicle Project-to-Date 70060 16886
suffered blow out and went off
Team Hrs this Hrs
road.
week PTD
Hides (2)
Cat 1 sites 115578 5659025
2 prop damage, portable water
Cat 2 sites
pump hit by grader, light pole
damaged by reversing bus. N-S sites 2891 336979
Infra PMT 4308 255583
Kutubu/Kantobo (0) Total 122777 6251587
Week ending Feb 18 2011:
Juni (0) JSA/200K Man Hrs: 2170

Project to Date:
THIR: 8.83 PTD
TRIR: 0.53 PTD
Progress  Kikori Bridge - Commenced installatrion of decking.
Highlights  Mubi Bridge - Commenced assembly of launch nose on launch rails.
 Road Breakthrough from Kantobo to Mubi on 16 February.
 Recommenced work at Hides on 14 February.
.

Weekly Week Week Total Total

Progress Planned Actual Planned Actual
Kopi 0.0% 0.0% 100.0% 100.0%
Southern Supply Route 0.0% 1.7% 100.0% 91.1%
HGCP Site * 0.0% 2.7% 100.0% 36.8%
Hides Wellpads and 1.5% 0.0% 36.5% 4.1%
Access Roads*
Highlands Highway 0.0% 0.0% 100.0% 100.0%
EPC1 Telecoms 0.2% 0.4% 88.0% 68.2% Camps – Overall 0.0%
2.5% 100.0% 93.0%
Total Infrastructure 0.3% 1.0% 88.8% 70.0%
Project

* HGCP / Hides area recommenced work on 14 February after shut down due to security breach which
occurred at Wellpad A on 21 January.

3 week
 Kikori Bridge - Complete bridge installation.
look ahead
 Kwill Creek - Launch bridge.
 Mubi Bridge - Commence main truss assembly.
 ACCOMPLISHED ACTIVITIES
Lost Time
KPI’s
Environme Accomplishment
nt  Completion of C1 Monthly Report and
Vicki Cole participation in Monthly Execution Meeting
Julie McDowell  Review of CCJV Hides Spill Response Plan
 Review of Pre-construction Survey Report for
Mubi Quarry CH9500
 Environmental review and approval of access to
additional areas for aggregate on Mubi to
Kantobo Road
 Review and input into Lender field itinerary
 Preparation of sites for Lender visit (ongoing)
Environmental Incidents
 th
12 February 0.05L grease found on Mubi-to-
Kantobo road, source not determined.
 14th February 0.02L lube oil from burst hose on
dozer at HGCP site. Quick response prevented
larger spill.
 15th February 5L hydraulic oil from drilling
machine at Mubi.
 16th February 0.5L diesel at Komo Access Road
when excavator blew its fuel line.
LOOK AHEAD
Forecast
 Continue organisation for
environmental pre-construction
surveys of aggregate sources in
Hides and Mubi/Kantobo.
 Continue organisation for
environmental pre-construction
surveys for Hides Spineline Road
 Preparation and facilitation of
Lender Visit
 Completion of sidecasting poster
and roll-out to sites
Issues
 Spill Response Plans for Hides –
after review significant work still to
be done. Gobe still outstanding.
 Closure of overdue field
environmental observations and
non-conformances
 Weed management Mubi to
 ACCOMPLISHED ACTIVITIES LOOK AHEAD
 19th February 2L diesel at Tengo quarry when Kantobo Rd
refuelling – assistant turned on pump before
ready.
 19th February 0.5L diesel at HQ1 when hose
fitting came loose on a dozer.

 One near miss incident at Kantobo camp when

transporting diesel drum which became
punctured during transport. Diesel spilled to
container floor but not to ground.
SELCA  All SELCA personnel have returned to work.  Need to revisit HWMA Huli ditch
Katie Some Resettlement (C&S) team members have due to engineering and
Cafouros / been relocated to the pipeline out of Moro and environmental concerns.
James has resulted in a lack of field staff for approx 10  Resettlement to commence
Birkmanis
days to 24 Feb. roadshows for Hides Ridge
 RIT and L&CA on standby to accompany CCJV landowner groups.
to access the Hides WMA site. Imperative that  Attend eMOC training to be held in
C1 indicates likely access date as soon as POM 25 Feb.
possible to commence communications with  Confirm with Drilling the
landowners. requirements for the boundary of
 C1 to cover WMA buffer Huli trench budget, the Well Pads.
SELCA site team to facilitate the work. 
 Resettlement currently identifying the delays  Continue following up lender non-
caused by the stop work and re-evaluating the conformances and actions prior to
likely site access dates for WAR, SAR. next visit starting 2 March.
 Draft Hides landowner map prepared, expecting  Assist completion of Project Water
final input from L&CA today for completion. Replacement Plan in conjunction
 CCJV revising National Content/LBETPs to with Env and Reg team.
create a workbook for use by PMT.  Continue updating relevant PLAFs.
 Kikori Bridge Mumu postponed indefinitely due to
security concerns.
 SELCA management seeking legal advice on
options to remove Matialu’s house.
 URS contract to be terminated at end March.
Majority of Resettlement are employed through
URS – waiting to find out what the implications
will be.

C1 – Civil Kikori River Construction Southern Supply Route
Constructi Kikori River Bridge - Jack Down of bridge continues. Mubi Bridge
on & Field Rollers removed. Backfill of northern bridge approach. Continue assembly of launch rail on
Activity concrete, rebar, and beams. Continue
Vince Giorgi Kwill Bridge: Abutment A and B completed – ready assembly of launch nose. Concrete
Rachel Cazier for launching post completion of Kikori ( awaiting construction at Abutment A.
Kirrily Addison launching equip ); Improved Ebu Creek anti-scouring Continue drilling and piling and splicing
Scott measures. Launched plan for week of 13 FEB. on West Side.
Westbrook
Mubi Bridge Kaiam - Kikori Bridge
East - Rocker beams installed on Pier B. Continued Bridge landed: 15 February
rebar and formwork for launch rail beams. Began Headstock Bracing at Kaiam
assembly of launch nose. Began backfill of portion of 24 February
launch rails to enable bridge assembly. Backfill of Bracing installed: 06 March
underside of abutment A and concrete blinding. Plan Opening ceremony

West – Drilling and piling of piles. 1st sections are Mubi-Kantobo Road
drilled. Splicing has begun. - Continue Pioneering track, widening,
trimming road surface, sheeting and
Gobe: tidying of batters.
Gobe-Mubi Road: Continue with road Furniture
installation. Hides
Culvert 52 to be fully installed by 13 FEB. 3 barrel  Security Shutdown
culvert – last one on this section of road.  Investigate EPC5 ROW Quarry
 ACCOMPLISHED ACTIVITIES LOOK AHEAD
source
Mubi-Kantobo Road - Surveyed through CH 5600. Highlands Highway
Cleared through CH 5950. Pioneered through CH 6000.  Continue Road Maintenance
Bulk Earthwork through CH7990. Sheeting through CH  Demobilization planning of
9650. Contractor staff from Oyarip
camp .
Kantobo  Retrieval of C1 assets from Kiburu
Mubi-Kantobo Road - Surveyed through CH 5500.  Relocate crew to Section 5 for
Cleared through CH 5200. Pioneered through CH 4850. road maintenance work
Bulk Earthwork through CH 4500. Sheeting through
CH 3500.
Key Issues
 Security and Threat escalation in
Hides Hides hindering progress
 Site Shut down – All Non essential Personnel  C1 Staffing - EOS personnel issue
demobilized and Security Threats to personnel
 Security Upgrades to Well Pad A and C1
Camp area ( HGCP) Progressed Key Learnings and Positive
 Feedback
Hides Utilities
 Commissioning of Washington Rig complete –  C1 - 5 million man-hours –
mobilization expected at Hides work re-start. Recognition program roll-out in
Hides Pad ready to receive coming 2 weeks all C1 Sites
 Execution Planning and Procurement  2nd Hides Community interface
reconciliations in progress with Clan Leaders – Community
support for the Project confirmed
Highlands Highway  Mobile Squad engagement and
Camps ( Supply to Hides ) presence at C1 Sites more
 Shipment of 6 accommodation Blocks to Hides prominent

Bridges
 HP03 concrete formwork in progress
 All other bridge propping complete

Roads
 Road works Section 4 (2 areas- split
resources)

 Resheeting Tari Gap - 4.2 km remaining

estimated completion 12 - 15 days.
 TA 1 to Margarime - 7 klm remaining
estimated completion 12 days.
Quality Major Work Activities Quality Assurance
Mike Wade /  Kikori Bridge Completion Documents Initial Review. CCJV  Continue Scheduled Quality Surveillance at
Angga addressing comments. all project sites as required.
Novantara  Kikori Road Deviation Completion Documents Initial Review.  Completion of Gobe – Mubi Road and Small
CCJV addressing comments. Bridges.
 Gobe – Mubi Road Completion Documents Initial Review.  Completions of Kikori Bridge, Kikori Road
CCJV addressing comments. Deviation and Laydowns.
 Kwill Bridge Completion Documents Initial Review  Competion of KP 67 Road Deviation.
 KP67 Road Deviation Competion Documents Initial Review.  Completion of Kwill Creek Bridge.
CCJV addressing comments.  Highlands Highway Completion of MR-1,Final
 Post Pour Inspection for Kwill Bridge Abutment. Documentation review to be done.
 Punch List Close out for Gobe – Mubi Small Bridges.  Completion of Kantobo Pioneer Camp.
Audit and Surveillance  Juni facility hand over approaching.
 Quality Surveillance Schedule for 2011 to be finalized. Documentation review to be done.
 Non compliance on the Mubi-Kantobo Road alignment Key Issues
whereas CCJV Construction have been following inaccurate  Site EHL PT required latest revisions of all
survey stake out. NCR issued by CCJV Quality – awaiting drawings and up dates as issued.
action.  CCJV Quality personnel coverage is being
Engineering related Issues close to resolution. However a concern of the
 ACCOMPLISHED ACTIVITIES
 NCR close out for HGCP Earthworks requires approved
engineering disposition – 3 out of 4 NCR’s closed.
Site specific activity
Mendi
 Closing Oiyarip Camp Punch list Items.
 MR1 - completions on progress.
Kopi
 Two (2) Final Acceptance packages for Wharf 1 and Wharf 2
pending due to Wharf Vendor Documentation still
outstanding. And one (1) for Eastern Laydown Area
Gobe
 Continue monitoring Punch List Close Out for Gobe – Mubi
Road, Gobe-Mubi small Bridges.
 Punchlisting for GM 36 Culvert and KP 67 Road Deviation.
 Closing Punch List items of Gobe 250 Man Camp.
Moro / Kantobo / Mubi River
 Ridge Bypass Road Completion Documents. RLAB and As-
Built survey drawings to be completed.
Hides Area
 Nothing to Report – Due to Security issue, Work Front being
Shut Down.
 EPC4 Engineering requesting further documentation /
clarification for Top Pad Hand Over.
Company Juni Training Center
Camps  Camp construction: 86% complete vs. 100%
Danny Cotrino / planned
Brian Stogdill  Turnover Checklist- PH I- 96% / PH II- 69% / PH
III- 25%
 Phase I: Correct/ repair/ sign off punch list items.
 Phase II: Prepare accommodations for inspection.
 Inspect female accommodations and ablutions.
 Phase III: Poured slabs for Training Bldg; began to
install walls and roof
 Pour slabs for a/c units
 Electrical/ plumbing in toilets and Clinic
 Completed perimeter lighting
LOOK AHEAD
personnel's performance providing coverage
remains an issue.
 CCJV site Quality Representatives need to
increase day to day Quality monitoring at
Work Fronts.
 CCJV Material Control and Handling not
complying with Project Specifications. Two
NCR’s issued no indication of improvement.
Management to provide a support.
 CCJV have now been issued with the
detailed requirements for Documents For
Operation (DFO) Index.
Juni Training Center .
 Phase I: Fire water pump installation.
 Underground plumbing to Screening
Clinic area
 Phase II: Walk down and punch list for
female ablution & accommodation units.
 Mgt Office & male accommodation
punch list completion
 Phase III: Erect walls for Training Bldgs
and install roofs.
 Install a/c units in Class Rooms and
Clinic
 Pour slab for Equip Storage
 Street light wiring and commissioning
 Screening Clinic interior fitting and toilet
block construction.
 Due-in material:
 Fiberoptic cable (C1 Telecoms)
 Fire Water Pump- misc parts

Engineerin Roads/Earthwork: Roads/Earthwork:

g  Completed perimeter road design modeling.  Commence design changes to
Richard Roll  Continued drafting changes to utilities/process area. industrial park.
 Finalized rotator housing design modeling.  Issue utilities/process area.
 Reviewed batter stability options for HGCP.  Finalize EPC4 laydown
requirements.
 Continue to review batter stability
options for HGCP.

Logistics  Refer Attachments for material movement stats.  Formalizing recommendation to

Mike Ribar / purchase carrier owned containers
Graham missing or packed with bridge
Jackson materials.
 LER commenced journey to Hides
some difficulties encountered,
reviewing road conditions and
alternate opportunities
 ACCOMPLISHED ACTIVITIES
Business  Worked closely with CCJV regarding closure of
Services HGCP MTO, design, Quarry issues to drive
Brian Hilton Contractor re-baseline schedule & cost exercise.
 Progressed development of re-baseline cost
forecast
 Submitted responses to CCJV on various contract
change requests
 Progressed Asset Management, Transfers and
disposals detailed procedures
 Conducting selected audit/reviews of CCJV Cost
allocations
 Continued to progress development of COMPANY
positions to defend potential contract claims.
 Developed options for CCJV funding, pending AFE
Supplement approval by COV.
 Commenced review of Ancillary Project cost
estimates.
 Prepared Execution/ Cost slide formats in
conjunction with Upstream Business
 Prepared material for PMT workshop and
presented same covering Achievements, Schedule
Rebaseline exercise & cost
Personnel  Port Douglas Workshop Cost close out.
Logistics  Issued Org Chart structure
Renee Gray  Issued correspondence to CCJV that response is
still outstanding on charter numbers and
processes.
 Continued efforts on expediting mobilisation of
staff.
LOOK AHEAD
 Hastings Deering, Lae:
740 ADT Unserviceable
825H
COMPACTOR Serviceable 
14M GRADER Unserviceable R
FAs for long term fuel purchase and
transport submitted for committee
review.
 Time charter for MV Giluwe ends
February 28th. CCJV intend to replace
Giluwe with spot charter with Bismark
Maritime. RFA Submitted
 Mike Ribar at CCJV, Milton pending
work permit issuance
 CCJV developing plan to manage
approximately 550 shipper owned
containers scattered around
highlands
 CCJV is reviewing Twin Otter charter
to GOBE in light of demobilization of
personnel from that camp.
 Piles being moved from Ribak yard to
NLB for storage, discussions with
Bismark regarding 68 removed and
being held in their facility
 Ongoing difficulties on the Highlands
Highway due to disturbances with
communities, pay back and weather.
 Progress change orders for internal
review and issue to CCJV
 Finalise Asset Management,
Transfers and disposals detailed
procedures
 Undertake Fuel Control audit in Field
 Undertake further Asset Register
Control audits in Field
 Complete Risk & Reward KPI Review
with CCJV
 Revamp CCJV Asset Management
 Complete Schedule & Cost re-
baseline
 Close out of Workshop (issue notes,
action items, budget etc)
 Make minor changes to Org Charts
 Monthly Reporting
 Close out of Milestone & Recognition
Plan
 Continue following up on staff
 ACCOMPLISHED ACTIVITIES LOOK AHEAD
 Clarified IT’s intensions for Field and relayed C1’s mobilisation
frustrations.
 Confirmed merchandise for Kikori Bridge Opening
NOTE:

Welcome back Fred Pratt. Fred will

be assisting with the rebaselining
activities, in addition to assisting with
Claims in Harvey’s absence.

For those that are unaware, Ian

Harvey has had to return to hospital
where he continues keep the nurses
on their toes.
He is working from his laptop and
phone so please continue to keep him
in the loop.

Congratulations to Angga on his

firstborn. A little girl called Aurora was
born on 13th Feb.

Also another big Congrats to Daniel

Bird and the birth of son Taiga, born
on the 15th Feb.
Effort of the Week

Action Items Date Status

Assigned
Infrastructure Team Personnel Movements
 Safety Statistics
Leading Indicators

O&I & JHA ALL C1 / INFRASTRUCTURE

200%

150%

100%

50%

0%
Jan- Feb- Mar- Apr- May- Jun- Aug- Sep- Oct- Nov- Dec-
2009 2010 Jul-11 YTD PTD
11 11 11 11 11 11 11 11 11 11 11

% JHA Achieved 24% 121% 166% 110% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 142% 117%

% O&I Achieved 1% 85% 112% 103% 0% 0% 0% 0% 0% 0% 0% 0% 0% 0% 108% 82%
TARGET 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100% 100%

Lagging Indicators

INJURY CHART ALL C1 & INFRASTRUCTURE

3.00 18
15
2.00 12
9
1.00 6
3
0.00 2009 2010 J an-11 Feb-11 Mar-11 Apr-11 May-11 J un-11 J ul-11 Aug-11 Sep-11 Oct-11 No v-11 Dec-11 YTD P TD
0
ROLLING LTIFR 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
LTIFR 0.00 0.00
Reco rdables 3 9 3 0 0 0 0 0 0 0 0 0 0 0 3 15
ROLLING TRIFR 2.74 0.50 1.30 0.73
TARGET 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3 0.3
RIFR 0.73 0.48
 Logistics Statistics

         
Jan 12th Feb - 18th Feb
  C1 RPT WK 7 2011  
   
  PORT ACTIVITY  
  Vessel Arrival Lae 1  
  Vessels Schedule to Arrive Lae 1  
  BOL's Pending Customs Lae 7  
  Vessel Arrival POM 1  
  Vessels Schedule to Arrive POM 1  
  BOL's Pending Customs POM 8  
     
  TRUCKING ACTIVITY (LAE)    
  Laydown Yards    
  No of Loads in Backlog Gen FRT 4.5  
  Gobe camp units Loads 11  
  Tamadigi Camp (HBS Yard) Stored Loads 19.5  
  Kopi Camp (NLB) Stored Loads 0  
  Yellow Iron Equip 3  
  General Equiment BBK 0  
  Blasting Equipment in Storage Loads 7  
366,750 frt tonnes
  Piles BBK 20 loads  
  FRT Movement  
  No of Convoys for Period EX Lae   6  
    CCJV 25  
  No of Convoys for Period EX MDU   7  
    CCJV 11  
   
  Destination  
  Lae Hides 22  
  Lae Kobalu 1  
  Lae MXH 1  
  Lae MDU 1  
  MDU Hides 8  
  MDU Lae 3  
   
   
  CUSTOMS / QUARATINE  
  No issues to RPT 0