EP Controlling Document Restricted

Procedure / Activity Description Disposal Of Surplus Materials

Procedure / Activity Description: Disposal Of Surplus

Materials (ref. EPBM EP.14.04)

Revision information Description

Revision no.1

Objective To provide a standardised approach for the disposal of Shell EP

Europe owned surplus materials throughout the EP Europe
Organisation.

Scope The Policy is applicable to:

!" EPE organizations that generate EPE owned surplus materials;
!" EPE location owners where EPE owned surplus materials are
generated;
!" EPE Contract holders who manage contracts in which EPE
owned surplus materials maybe generated as part of the scope.

Risk domain and risk Risk Domain Risk(s):

Finance Sales price too low
Not reaching correct target group
Currency fluctuations
HSSE/Reputation Disposal of contaminated goods
Reputation/ Selling goods to embargoed countries/
Legal Breach of Law/Regulations

Input to activity Input From Activity name / Doc No. IT system

Correctly completed Asset Owner e-mail
and authorised EP.14.PR.03
Asset Disposal
Request Form/e-
Form(ADR/PVA).

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Procedure / Activity Description Disposal Of Surplus Materials

Activity Responsibility
Matrix

FPL
Head Supply
Disposal Asset Engineering Fixed Asset
Task definition Originator & References
Coordinator Owner Maintenance Accountant
Transport
Logistics

Initiate registration process Manual Of Authorities

1 and control of ADR in Livelink (Disposal
'Disposal Request Form' Request Spreadsheet)

Adding of goods into Asset

2
Disposal Register

Manual Of Authorities. If
Decide on method of disposal. Materials are not to be
3 SOX Compliance Ref No. sold alternative routes are
C.5.4.A identified in
EP 14 WI 08 01
Initiate tender, assess bids
MoA and SCM Process A-
4 and award. SOX Compliance
13.PR.04
C.5.4.c

5 Completion of sale

Initiate concept request for

6
recharging

Initiate and approve request

7
for recharging

Physical removal of goods

8 after receipt sale price. SOX
Compliance C.5.4.b

Update Asset Disposal

9
Register

Review of items in UK - Monthly, NL

10
administrative system. Quarterly

Output of activity Output To Activity / Doc No. IT system

Request for Procedure Handling Disposals e-mail
recharging EP.15.PR.23
Report (UK Only) Fixed Asset Accountant Report

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Procedure / Activity Description Disposal Of Surplus Materials

Additional requirements Step 1

Originator is responsible for identifying Surplus Material and raising
ADR
Surplus materials are identified as part of other Processes and
Logistics involvement commences when the correctly completed and
authorised ADR Form is input into the ADR Spreadsheet in Livelink
by the Asset Owner. Only correctly completed ADR’s are accepted.
Asset Owner can delegate the authority to initiate the registration to
an Authorised Focal Point
Disposal Co-ordinator has to check the integrity of entered ADR’s on
a weekly basis. Ref SOX C.5.4.A, SOX C.5.4.B

Step 3
Alternative methods of Disposal include Donation, Scrapping and
Re-use as detailed in Work Instruction Disposal Of Surplus Materials
[3] or Re-use of Pulled OCTG[4]

Related controlling Ref. Title Document No.

documents [1] Manual Of Authority
[2] Supply Chain Management EP.13.PO.01
[3] Work Instruction – Disposal Of EP.14.WI.08.01
Surplus Materials
[4] Re-use of Pulled OCTG EPE-EP14.WI.08.02

Other references Ref. Title Document No.

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