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chevron in Nigeria 1
2017 corporate responsibility report
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2017 corporate responsibility report
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2017 corporate responsibility report
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2017 corp
corporate
porate
e res
respon
responsibility
ponssibility report
pon
table of contents
social investments 8
health 9
education 12
economic development 16
engaging stakeholders 26
our people 29
operating responsibly 35
nigerian content 41
awards 48
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2017 corporate responsibility report
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2017 corporate responsibility report
our company’s
foundation is built on
our values,
which distinguish us
and guide our actions
to deliver
results
Chevron is the third largest oil company operations. The company build on the communities’ focus on
producer in Nigeria and one of the operates the Escravos Gas Plant growing small businesses, increasing
largest investors in the country, with which is the processing facility for the household income and employment,
billions in annual capital investments. Sonam Development Field. The 40 and aligning with the United Nations’
percent-owned and operated Sonam Sustainable Development Goals.
Chevron companies in Nigeria have natural gas field is expected to deliver
varying interests in nine Deepwater a total of 215 million cubic feet of the the chevron way
blocks offshore, with the company natural gas per day to the domestic
operating three of these blocks. gas market and produce a total of vision
Chevron’s interests in Nigeria include 30,000 barrels of liquids per day. At the heart of The Chevron Way is
the Agbami Field, which is Nigeria’s our vision: to be the global energy
largest discovery. The Agbami Field Chevron takes its role as a member company most admired for its people,
lies 70 miles (113 km) off the coast of the Nigerian community seriously, partnership and performance.
of the central Niger Delta region, and is active in many corporate
spanning 45,000 acres (182 sq. km). responsibility projects promoting enabling human progress
Chevron also has a 30 percent non- health, education and economic We develop the energy that improves
operated working interest in the Usan development. lives and powers the world forward.
Field, located in 2,461 feet (750 m) of
water, 62 miles (100 km) off the coast In 2005, Chevron pioneered a values
of the eastern Niger Delta region. new approach to community Our company’s foundation is built on
engagement in the Niger Delta to our values, which distinguish us and
A Chevron company also operates improve community participation guide our actions to deliver results the
and holds a 40 percent interest in in determining the social and right way. We conduct our business
eight concessions in the onshore and economic needs of our neighboring in a socially and environmentally
near-offshore regions of the Niger communities. This model, called responsible manner, respecting the
Delta, operated under a joint-venture the Global Memorandum of law and universal human rights, to
arrangement with the NNPC, which Understanding (GMoU), gives benefit the communities where we
holds a 60 percent interest. communities a greater role in work.
managing their own development
Chevron is continuing its efforts to through Regional Development Chevron’s core values are:
monetize recoverable natural gas Committees (RDCs). The objective ȼˏ %2!./%05ˏ* ˏ%*(1/%+*
resources of approximately 17 trillion is to bring peace, sustainable ȼˏ $%#$ˏ,!."+.)*!ȓˏ
cubic feet in the Escravos area development and stability to areas ȼˏ %*0!#.%05ˏ* ˏ0.1/0ȓˏ
through a combination of domestic where Chevron operates. In 2015, ȼˏ ,.0*!./$%,ȓˏ* ˏ
and export sales and use as fuel in the company launched GMoU+ to ȼˏ ,.+0!0%*#ˏ,!+,(!ˏ* ˏ0$!ˏ
environment.
chevron in Nigeria 7
2017 corporate responsibility report
social
investments
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2017 corporate responsibility report
social investments
health
interventions
Chevron adds significant value to Nigeria by supporting improved access to health care,
education and socio-economic development opportunities
We believe that good health is other key stakeholders received comprehensive clinical care. The
central to social progress. It is for environmental sanitation/hygiene and project also reached 6,844 women of
this reason that we have committed malaria control education; 44 health reproductive age with HIV/antenatal
substantial resources over the years workers and 74 sanitation officers care and PMTCT messages.
toward improving access to quality were trained; and 3,500 long-lasting
health care for people in our areas of insecticide-treated nets and 205 river boat clinic
operation and beyond. We support refuse bins were distributed. In 2017, over 49,808 community
programmes and partnerships to fight members benefitted from the River
HIV/AIDS, Malaria, Tuberculosis and HIV/AIDS campaign Boat Clinic (RBC) services and
other diseases. In 2016, Chevron announced an improved access to health care. The
additional $1.4 million in funding RBC is a mobile clinic that serves
mass deworming to support the second phase of communities located along the creeks
In 2017, the company launched its the Prevention of Mother-to-Child and islets in the Escravos areas of the
deworming campaign in Idanre, Owo Transmission (PMTCT) project known Western Niger Delta where there is no
and Okitipupa Local Government as PROMOT II in Bayelsa State. Led access to health care. In 2017, about
Areas of Ondo State. About 60,000 by Pact Nigeria in partnership with 19,273 patients received treatment
school children benefited from the Community Based Organizations for illnesses and injuries; 8,937 people
medicinal exercise, which contributes (CBOs) and Chevron, the primary received preventive health education;
to their good health and nutrition. goal of the project is educating and 1,298 children under the age of
and mobilizing the population in five were vaccinated or immunized.
roll back malaria targeted communities to reduce
In 2017, NNPC and Chevron carried mother-to-child transmission of HIV. Established in 2001, the RBC remains
out its annual Roll Back Malaria PROMOT II focuses on healthcare- the first of its kind in Nigeria. Under
programme in Yenagoa, Bayelsa State, seeking behaviors amongst women of this programme, the Delta State
in partnership with the State Ministry reproductive age, particularly those government provides the medical
of Health and the National Malaria living with HIV. personnel while NNPC and Chevron
Elimination Programme (NMEP). The provide the boat and medical supplies.
four-month programme focused on Overall, PROMOT II’s activities
Environmental Sanitation, Community reached 7,085 direct beneficiaries other health interventions
Awareness, Prevention and Capacity in 2017. The project counseled and Chevron continued to help strengthen
Building. During the programme, tested 1,020 pregnant women. 19 the nation’s health care system
8,000 community members and HIV-positive women were provided through advocacy and awareness
chevron in Nigeria 9
2017 corporate responsibility report
“
We thank Chevron
Malaria screening for children below the age of five was a major feature of the Roll Back initiative funded by the NNPC/
CNL JV in 2017 for the continued
successful
implementation of
campaigns throughout the country Tuberculosis and provided training the PROMOT project
during 2017. and counselling on treatment and and we assure you
management of the infection. of our commitment
ȼˏ 0.ˏ!!,30!.ˏ!0.+(!1)ȑˏˏ These campaigns were held in four
Chevron company, and its parties local government areas in Akwa
to ensuring its
in the Agbami field, donated fully Ibom, Nasarawa and Oyo States. sustainability in
furnished and equipped Chest Bayelsa State.… Going
Clinics. ȼˏ +ˏ!*/1.!ˏ0$!ˏ/"!05ˏ+"ˏ%#!.%*ˏ forward, the State
doctors, nurses and technicians, chapter of the Nigerian
ȼˏ ))*1!(ˏ!*!.(ˏ+/,%0(ˏ Agbami parties worked with
in Akwa Ibom State, one of the Federal Ministry of Health Medical Association
the benefitting institutions of to publish Standard Operating will collaborate with
the Chest Clinics, reported Procedures and National PROMOT and the
a 26 percent increase in the Guidelines on Biosafety for Niger Delta University
Tuberculosis cure rate from 2015 Tuberculosis Laboratories. These
to 2017. critical manuals were developed
to explore capacity
by Nigeria’s top medical building in Polymerase
ȼˏ $!2.+*ˏ* ˏ%0/ˏ#)%ˏ,.0%!/ˏ practitioners to standardize the TB Chain Reaction (PCR)
partnered with local non- health care management system in testing, which is a key
governmental organizations Nigeria. component of the
(NGOs) on campaigns to raise
awareness on the dangers of project. “
Prof. Ebitimitula Etebu,
Commissioner for
Health, Bayelsa State
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Focus Story
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social investments
education
Chevron believes that if people and communities are to thrive, education and job training are
of critical importance. The thrust of our educational support strategy is improved access to
education for all Nigerians. Chevron and NNPC partner on many of these programmes.
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Winners of the 2017 National Art Competition for Nigerian Secondary Schools in a group photograph with dignitaries during the Award and Exhibition
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Star Ultra Deep Petroleum Limited (a Chevron company) and its partners in the Oil Mining License (OML) 140 during the donation of teaching aids to schools in Ogun State
“
scholarship scheme) and secondary
Command Secondary School, Iyana school students who made innovative
Ipaja; the renovation and furnishing contributions to STEM. Between
of the school library at Stella Maris The event, which attracted students
College Okitipupa, Ondo State; the from both public and private
2008 and 2017, the
provision of desks, chairs, windows secondary schools in Lagos, also company spent
and doors at Ugbomro Primary featured an insightful panel discussion
School Effurun Warri, Delta State; and on “STEM Education - Empowering N2.48 billion
the provision of relief materials, food the Next Generation of Game on community
and clothing to Internally Displaced Changers.”
Persons (IDPs) in Makurdi, Benue scholarship
State. competitions: programmes, which
support for STEM education: In 2017, Chevron Nigeria continued its has attracted 11,499
sponsorship of several competitions: beneficiaries in the
To encourage the teaching and National Art Competition for Nigerian
learning of the science, technology, Secondary Schools, with the aim last 10 years. “
engineering and mathematics (STEM), of raising and sustaining students’
Agbami parties hosted over 150 interest in the creative arts; Chris
students to the second edition of the Ikomi Essay Competition; Awokoya
STEM Symposium at the Honeywell Chemistry Competition for secondary
Auditorium of the Lagos Business schools in Delta State; the Nigerian
School. Media Merit Award; and the Wole
Soyinka Award for Investigative
Reporting.
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Focus Story
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social investments
economic
development
Multi stakeholder partnerships are at the heart of our innovative and strategic
socio-economic investments in Nigeria.
Dividend of the GMoU: A Jetty at Ajama Zion, constructed by the Egbema Gbaramatu Communities Development Foundation to facilitate ease of transportation
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The Chevron booth at the 2017 Society of Petroleum Engineers (SPE) Exhibition in Lagos
N19.9 billion to fund the GMoUs. Areas of Rivers State in technical Nigerian PHD students to undertake
In 2017, three RDCs (Ilaje, KEFFES, vocations such as welding and research work in fields related to
Egbema-Gbaramatu Communities fabrication, fashion and design, nature conservation and sustainable
Development Foundation) initiated automobile works, plumbing, and livelihood and the Walk for Nature
41 projects including electricity, computer repairs. The training also programme in commemoration of the
health, transportation, and social focused on agriculture-based skills World Environment Day.
infrastructure worth over N1.18 billion. acquisition in fish, snail and poultry
Of those projects, 24 (worth over farming. Other reputable charities, professional
N517 million) were completed and organizations, non-governmental and
commissioned, benefitting over donations and sponsorships: nonprofit organizations supported
48,400 community members As a demonstration of the company’s by the company include; the Institute
commitment to responsible of Chartered Accountants of Nigeria
environmental stewardship, Chevron (ICAN): the Chartered Institute of
support for local businesses:
provides an annual subvention Personnel Management (CIPM); the
Chevron continues to help secure a
for the maintenance of the Lekki Nigerian Institute of Public Relations
productive future for Nigerians by
Conservation Centre (LCC), the (NIPR); the Nigerian Mining and
providing economic empowerment
78-hectare facility built by Chevron for Geosciences Society (NMGS); the
initiatives to start up and support
the Nigerian Conservation Foundation Nigerian Association of Petroleum
local businesses. We recognize that
(NCF), as a reserved sanctuary for Explorationists (NAPE); the Society of
skills acquisition is the bedrock of job
the rich flora and fauna of the Lekki Petroleum Engineers (SPE); Women
creation.
Peninsula. N60.1 million was released in Management, Business and Public
in 2017 to the NCF for both capital Services (WIMBIZ); and the Musical
training and capacity building: Society of Nigeria (MUSON).
and recurrent expenditures. We also
Star Ultra Deep Petroleum Limited (a
supported the Foundation’s activities
Chevron company) and its partners in
including the Chief S.L. Edu Memorial
the OML 140 asset trained 55 young
Lecture, annual grants to two
persons from 12 local Government
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N867 million
leveraged in new investments from
government and private sector
2,021
farmers trained
via Aquaculture
Service Providers
(ASPs)
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partnership initiatives
in the Niger Delta
The Foundation for Partnership Initiatives in the Niger Delta (PIND) was established in 2010 as a non-profit
foundation in Nigeria to serve as the operational entity funded by the Washington, D.C.-based Niger Delta
Partnership Initiative (NDPI).
PIND develops new solutions to the economic and social development challenges in the Niger Delta, and
complements Chevron’s GMoU process, which has been an effective model for building relationships and
managing risks from communities close to the company’s operations.
PIND’s regional social risk management strategy focuses on four main areas: Economic Development;
Capacity Building; Peace Building; and Analysis and Advocacy.
economic development: Training includes: how to select and workshops for palm oil farmers,
PIND’s agricultural value chain appropriate catfish species; how to processors and equipment fabricators
interventions worked to improve the prepare, screen, and lime ponds; reached a total of 7,305 participants
agronomic and business practices how to effectively use fertilizer, feed, in 2017.
of farmers. By the end of 2017, it medicine, and water testing kits; and
had leveraged over 841 million naira how to maintain proper records. Since 2010, PIND trained 17,795
in new investments from both the farmers on Best Management
government and private sector The 20 ASPs trained by PIND reached Practices to improve field access,
through partnerships in its supported another 7,025 farmers by September, ground cover management, herbicide
aquaculture, cassava and palm oil up from the 3,610 reached in 2016, application, fertilizer application,
sectors. and facilitated 782 full time jobs in pruning, canopy management,
the process. It also catalyzed private harvesting, yield taking, record
These investments catalyzed adoption sector fish feed companies to invest keeping, and work rate systems.
of best practices and use of efficient in grants and loans totaling over 284
technologies, which increased the milion naira to run demonstration Through engagements with palm
agricultural productivity of 13,279 ponds as part of their marketing oil stakeholders, including farmers
farmers; lead to a net increased strategy to reach new markets. and processors, 20 agro-dealers and
income of over N1.9 billion for 3,787 37 local fabricators trained by PIND
smallholder farmers and Small-to- These improvements have had a continued promoting the Mechanical
Medium Enterprises (SMEs); and significant impact on the profitability Adjustable Harvester (MAH) and
facilitated the creation of 1,990 full- of fish farmers. Following PIND’s Malaysian Knife (MK), for more
time jobs across the sectors. interventions, fish farmers had a efficient harvesting of palm fruits,
combined net additional income of and the use of Small Scale Processing
aquaculture: over 187 million naira in 2017. Equipment (SSPE) for increased
PIND’s aquaculture programme efficiency in processing palm oil.
increased the sustainability of its agronomics:
demonstration ponds by training PIND continued its work to improve By the end of 2017, PIND facilitated
aquaculture service providers (ASPs) agronomic practices, increase 337 new full-time employment
to make a business out of training access to efficient technologies, and opportunities in palm oil, increased
new entrants and existing fish improve farmers’ access to quality the availability of more efficient
farmers on best agronomic practices. seedlings. The seminars, trainings technologies through the sale
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2017 corporate responsibility report
of 74 SSPEs, 155 MKs and 57 To expand outreach to farmers, It also leveraged 274 million naira in
MAHs (compared to 18, 110 and 28 demonstration plots were investments in small businesses. By
respectively during the same period in established in Akwa Ibom, Abia, September 2017, 513 SMEs reported
2016). The improvements in practices Edo, Delta, Imo and Ondo states, that new sales had increased their net
and access to technologies helped facilitating 204 jobs and reaching additional income by over 788 million
increase 800 farmers’ net additional 2,451 farmers, of which 1,389 saw naira. Additionally, 337 new full-time
income by over 767 million naira which increased net additional income of jobs were created.
surpassed the 2017 target by 53%. over 209 million naira by the end of
2017. water, sanitation and hygiene
cassava A key focus of the cassava PIND’s Water, Sanitation and Hygiene
Following the successful pilot of programme was to ensure at least (WASH) programme garnered
a cassava demonstration plot in 30 percent participation of women. support from international bodies
Ubulu Uku, Delta State, PIND set-up The assessment of trainings done in during 2017.
additional demonstration plots in Mbiri, Mbiri and Umukabia showed that out
Delta State, and Umukabia, Imo State. of a total of 795 beneficiaries, 415 PIND continued its partnership with
This work was done in partnership with were women (52 percent). International Rotary Club’s Water
agricultural input companies Notore, Sanitation and Hygiene Rotarian
Jubaili, and Harvest Field, leveraging business linkages Action Group (WASHRAG) to
over 74 million naira from these private PIND’s economic development work improve WASH access in 30 Niger
sector investments. This project also helped improve the business Delta schools. Toilet facilities were
targets improving farmers’ agronomic outcomes and competitiveness built or refurbished in 14 schools.
practices, such as land preparation, of small businesses via access to While building these WASH facilities,
use of improved cassava stems, weed markets, finances, technical support PIND worked with each school to
management, herbicides and fertilizer and business advisory services for set up student-led WASH clubs,
application for higher productivity. select Niger Delta-based SMEs. which help to raise awareness of
After the harvest, a post-pilot survey The working capital was provided better hygiene practices. PIND also
showed improved practices in Delta through a Technical Assistance Fund. worked with WASHRAG to build local
and Imo states and increased farmers’ organizations’ capacity by hosting a
output from 8.33 tons per hectare to Working with nine business service training of trainers for government
18.6 tons per hectare (a 123 percent providers (BSPs) trained by PIND, and civil society actors on how to
increase). the foundation reached 1,502 small effectively improve WASH practice in
businesses with technical assistance. their areas.
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PIND also completed delivery of its PIND facilitated the opening of P4P in grant making, ICT skills, financial
Cooperation Agreement with the sub-chapters in two remote riverine management, monitoring and
UNICEF to enhance peacebuilding areas where CNL’s Ilaje and KEFFES evaluation, resource mobilization,
in 10 Local Government Areas in Regional Development Committees fundraising and social media, as
five Niger Delta states. This was (RDCs) are located. This effort well as the Making Markets Work
achieved by developing systems to involved local actors being trained in for the Poor (M4P) development
mainstream conflict sensitivity in conflict mitigation and assessment. approach, done in collaboration with
WASH programming and build the PIND’s Integrated Peace and UK Department for International
capacities of local institutions to use Development Unit conflict incident Development (DFID)-funded Market
these systems to strengthen social reporting and novel Short Message Development (MADE) project.
bonding and mitigate conflict in Service (SMS)-based early warning
project communities. platform increased its positioning as a PIND also boosted the ability of
center for innovation and research for trained institutions to deliver improved
The partnership produced standard peace building practices for the role services to communities by providing
national training manuals on it is playing in reducing violence in them with small grants. These grants
Delivering Effective WASH Training the region. In 2017, 157 stakeholders enabled them to procure more robust
(DEWT) and Community Water Safety utilized its peace building data for information technology tools which,
Planning, and trained over 100 trainers diverse purposes. in turn, improved their work efficiency
on the methodologies. During the and productivity. It also linked the
year, there was an increase in the organizations to mentors to help
capacity building:
number of agencies and organizations improve their practices in key areas,
Through its Capacity Building
requesting and attending the DEWT and created a Community of Practice
programme, PIND continued to help
training, including the National to encourage peer-to-peer learning
transform government, civil society
Water Resource Institute; the Federal among the various civil society
and local communities into forces
Ministry of Water Resources; United organizations.
for social and economic change by
Purpose; Action Against Hunger; and improving their capabilities to deliver
Save the Children. By the third quarter of the year,
social services and engage in public
44 organizations had created and
decision-making, local governance
The partnership also built the capacity applied new policies to improve
and economic development project
of two factories to produce standard their organizational effectiveness.
management.
clay filters for treating water at the PIND also supported local civil
point of use to improve the availability society organizations through the
During the year, PIND’s Capacity
of affordable water filtration Strengthening Advocacy for Civic
Building for Local Empowerment
technology in Niger Delta homes. Engagement (SACE) program that it
(CAPABLE) programme trained
co-funds with USAID.
492 people from 44 organizations
peace building:
Initiated by PIND in August 2013, the
Partners for Peace (P4P) Network has
continued to grow. By the end of 2017,
843 individuals and 125 organizations
had been newly-identified as peace
agents, bringing the total of peace
agents to 5,703 since inception.
These peace builders are working
in tandem with public and private
sector stakeholders to mitigate
conflicts at state and community
levels throughout the Niger Delta.
Information on the dynamics of
conflict and the importance of peace
reached over five million people in
2017. Efforts initiated in 2016 to assure
P4P’s independence and ability to
self-govern continued with the setting
up of its Board of Trustees and the
facilitation of numerous chapter-level
trainings on resource mobilization to PIND’s, Integrated Peace and Development Unit Capacity Building Coordinator, David Udofia facilitating a training to
members of various RDCs on early warning response systems at the ATED Centre
enable the respective state chapters
to raise funds effectively.
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Participants at the PIND-facilitated CAPABLE business service providers training at the ATED Demonstration Centre in Warri, Delta State
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engaging
stakeholders
To remain a good corporate citizen and a welcome member of the community, Chevron
builds trusting and mutually beneficial relationships by collaborating with various tiers of
government in Nigeria.
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2017 corporate responsibility report
The Government Affairs group held a strategy meeting with critical stakeholders in 2017 to discuss The Reform Agenda in the Oil and Gas Industry
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Members of the Chevron Executive Leadership team during an engagement meeting with NAPIMS leadership in Lagos
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2017 corporate responsibility report
Jeff Ewing, Chairman and Managing Director and the Chevron team during a visit to the Lagos State Governor, Mr. Akinwumi Ambode
“
I must commend Chevron for being in the forefront
of regular tax payment and an industry leader
in terms of corporate social responsibility,
especially in the areas of education, health and
economic empowerment
-His Excellency, Mr. Akinwunmi Ambode, Governor of Lagos State
“
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our
people
5,377 45
employee’s children
total number of benefited from the Chevron
Nigerian employees International REACH
and contractors as at (Recognizing Excellence and
the end of 2017 Achievement) Scholarship
Programme
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2017 corporate responsibility report
our people
One of our enabling strategies for business growth is investing in our employees, our greatest assets.
We invest in people to develop and empower a highly competent workforce that delivers results the
right way. We maintain a fair and consistent recruitment process that embraces human resources best
practices and upholds organizational confidence. At Chevron, every employee is a leader.
Jeff Ewing, Chairman/Managing Director with members of the “Chevron Orchestra” singing on stage during the NMA Employee Week
recruitment:
Chevron provides career opportunities By the end of 2017, the total Recruiting Management System, a
for Nigerians hired as employees and number of Nigerian employees and web-based tool to provide equal
contractors. contractors was 5,377. The company’s access to opportunities for all
recruitment policy is based on its qualified employees to expand their
Our employees are united by common people strategy framework – the right horizons, build competencies and
values and our drive to develop the people, with the right skills, in the grow their experiences.
energy that improves lives and powers right place, at the right time, and at
the world forward. Delivering energy the right cost. “Hiring right” is critical Externally, vacancies are advertised
to the world requires a wide range to the health of our business. on a global recruitment tool to
of technologies and the best and Open jobs in the organizations are provide equal access to opportunities
brightest minds. posted on the company’s internal for all qualified candidates, regardless
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of their location. The use of video Intelligence; and Safety Awareness, community members, the media,
conferencing to interview candidates as well as training on Operations partners, government officials and
outside Nigeria further demonstrates and Maintenance; Human Rights; other members of society.
the equal opportunity, transparency Compliance; and other competencies
and fairness of the company’s to develop capabilities. We also help
employee educational
recruitment process. pay examination fees in some cases.
assistance: As part of our
efforts to encourage employee
employee development: new-to-chevron: This is a year- self- development, the company
Our employee development long programme that starts from
reimburses 75 percent of course fees
philosophy is anchored on the need to the first week of employment. It is
and the cost of books to employees
equip employees with the right skills a combination of formal classroom
who enroll for part-time courses
that enable organizational growth and training, e-learning, mentoring
at tertiary institutions in Nigeria.
support business success. We invest and guidance to ensure that new
The employees are also granted
in people to strengthen organizational personnel understand the company’s
time off to attend lectures and take
capability and develop a talented operations, values and objectives.
examinations. A Scholarship Board
global workforce that gets results the
oversees the process and determines
right way. horizons and pathways: Many the suitability of such part-time
Petrotechs and some functional courses to the employee’s current
Career development at Chevron professionals are enrolled in a role and development plan. A total
combines individual aspirations structured technical competency of 15 employees benefitted from this
with business objectives to invest in development programme called programme in 2017.
employees’ professional growth. Horizons for the first five years of their
employment. Those who graduate The company also offers educational
The company has a policy on from Horizons go through the scholarship programmes to support
Study Leave, which grants leave to Pathways programme to help deepen children of employees and retirees. In
employees who desire to pursue their technical and business skills. 2017, 45 children benefited from the
higher academic or professional
REACH scholarship programme while
qualification. The jobs of employees
training and development for 21 others were awarded the Chairman/
on Study Leave are guaranteed until
stakeholders: Chevron sponsors Managing Director’s scholarship.
employees return.
and supports training and other
For career enhancement, Chevron forms of development for students,
funds employee memberships in
many local and foreign professional
organizations and encourages
employees to join.
structured leadership
development:
These programmes are designed to
provide the opportunity for growth,
learning and strengthening of the
company’s organizational capability,
covering skills and competencies
required to become an effective
leader. Some of the programs are
open-enrollment while others require
nomination.
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2017 corporate responsibility report
workforce health:
In 2017, we continued to invest in
world-class medical facilities and
health programmes for our employees
to promote healthy lifestyles, prevent
ill-health and disability, and treat
existing medical conditions. Examples
include:
designed to determine if an
employee is mentally and physically
capable of performing the essential
functions of a job without risk of
injury to the worker, co-workers or
the environment. It ensures medical
fitness for work that optimizes
safety, increases productivity, retains
experienced workers, and improves
employee morale. The process
specifically identifies health-sensitive
and physically demanding jobs, and
develops appropriate evaluations for
the various job categories.
Members of the Executive Leadership Team and some of the Star awardees at the 2017 Long Service Award ceremony
32 chevron in Nigeria
2017 corporate responsibility report
occupational hygiene: aerobic exercise programmes occurred in all Chevron locations throughout
Occupational hygiene and medical 2017 to prevent obesity, assist in weight reduction, enhance wellness and
surveillance programmes are in place optimize heart health.
and continue to protect workers from
workplace exposures. peer health educators (PHEs): This programme is an integral part of
the company’s commitment to the wellbeing of its employees and community
health promotion and members in its areas of operations. The PHEs provide peer-to-peer health
opportunities: Programmes education within the workforce on HIV, Malaria, Tuberculosis and cardiovascular
on communicable and non- health. Peers also organize community outreach programmes.
communicable diseases are offered
throughout the year. Webinars, employee assistance programme and work-life services:
seminars, lunch and learn sessions, The Employee Assistance Programme (EAP) promotes and sustains a
and “health moments” are held on psychologically healthy and resilient workforce to support safe and successful
relevant and topical issues including operations. It provides confidential consultation for work-related, personal and
healthy lifestyle, high blood pressure, family problems. In 2017, EAP continued to provide support and interventions
mental health, drug abuse and stress. regarding people and work group problems. Management of change, critical
Chevron joined the global community incident debriefing, and stress management provides significant value to the
to participate in activities on days organization through health, safety and the mental well-being of employees.
designated by the World Health
Organization to highlight HIV/AIDS,
Malaria, Tuberculosis, Heart Health
and Diabetes. Automated blood
pressure machines are provided
at office and offshore locations to
encourage employees to self-monitor
and track their readings. Employees
are also encouraged to use stations
located in offices to self-monitor
weight and body mass index.
chevron in Nigeria 33
2017 corporate responsibility report
90% 38%
reduction of supply of total
routine flaring domestic gas sales
from 2008 to in Nigeria in 2017
2017
34 chevron in Nigeria
2017 corporate responsibility report
operational
excellence
Everything we do begins with our fundamental commitment to safety. We are committed
to protecting the safety and health of our employees and contractor workforce.
The Chevron Way places the highest company reviewed the activities contractor health,
priority on protecting people and the representing the highest potential environment, safety
environment. As such, Chevron has consequences, continued developing management (CHESM)
a rigorous Operational Excellence workforce skills, and encouraged As part of Chevron’s efforts to
Management System (OEMS) that commitment to hazard recognition partner with contractors on OE, we
translates this priority into world-class and safeguard verification during held several events aimed at sharing
operational performance. work execution. best practices and disseminating
information to eliminate health,
OE performance Chevron Nigeria also deployed fatality environmental and safety incidents,
In 2017, we maintained our focus prevention tools. The Save Your Life and provided opportunities for
on preventing serious incidents and Actions (SYLA) are the safeguards contractors to engage with Chevron
fatalities. Our safety performance designed to prevent serious injuries leaders on OE topics. We also
record included a Total Recordable and fatalities while performing work. increased the fluency of contract
Incident Rate of 0.086 and a The Start Work Checks (SWC) are owners and contractors on the
Days Away from Work Incident verification tools designed to help refreshed CHESM process and
Rate of 0.023. We continued workers confirm that safeguards Information Technology tool, and
to implement programmes to designed to prevent serious injuries conducted performance reviews for
drive our OE performance with and fatalities are in place and 104 medium- and high-work-risk-
emphasis on Preventing Serious functioning prior to starting work. The profile contractors.
Injuries and Fatalities, Process SYLA program covers nine high-risk
areas:
Safety, Environmental Stewardship, emergency management
Operational Discipline and OE Chevron places the highest priority on
Assurance. ȼˏ /+(0%*#ˏ6. +1/ˏ*!.#5
incident prevention. However, a robust
ȼˏ ˏˏˏ %"0%*#ˏ* ˏ%##%*#
emergency management system is
ȼˏ 420%+*
2017 global OE focus in place to manage emergencies if
ȼˏ +.'%*#ˏ0ˏ!%#$0/
campaign they do occur. In 2017, the company
ȼˏˏˏˏˏ+*˛*! ˏ,!ˏ*0.5
Our annual OE Focus campaign is a deployed the refreshed Emergency
ȼˏ ˏˏ+))!.%(ˏ%2%*#
week-long initiative that increases OE Management (EM) Process, including
ȼˏ +0ˏ+.'
awareness and provides learning and Incident Command System (ICS)
ȼˏ !ȥ*!.#%6! ˏ(!0.%(ˏ+.'
fluency improvement opportunities 100, 200 and 300 training, to Asset
ȼˏ *!.#%6! ȩ %2!ˏ(!0.%(ˏ+.'
for the workforce. The campaign, Emergency Management Teams
themed ‘Operational Discipline on across the business unit.
These new tools complement
High Potential Consequence Tasks our existing Managing Safe Work
- Preventing Serious Incidents,’ standards and tools to help ensure process safety
was held at all Chevron locations in that everyone goes home safely at the In 2017, Chevron progressed the
Nigeria. During the campaign, the end of each work day. implementation of four key process
chevron in Nigeria 35
2017 corporate responsibility report
36 chevron in Nigeria
2017 corporate responsibility report
gas utilization
Chevron supports the Federal
Government of Nigeria’s (FGN)
goals to meet domestic gas supply
obligations in accordance with the
government’s Gas Master Plan,
including implementation of the Gas
Sale and Aggregation Agreement
contract regime and the eventual
transition to a willing-buyer-willing-
seller contract regime.
As evidence of Chevron’s support Mr. Monday Ovuede, Director, NNPC/CNL Joint Venture (2nd left), engaging presenters during the 2017 OE Week
poster session
chevron in Nigeria 37
2017 corporate responsibility report
$60 $2
million billion
well drilling
approximately
contract awarded
invested in Nigeria
to indigenous
Content in 2017
Oando Energy
Services (OES)
38 chevron in Nigeria
2017 corporate responsibility report
developing
Nigerian content
Chevron remains an industry leader in the development of indigenous capacity in Nigeria’s oil
and gas industry thus boosting local economies, creating job opportunities, and generating
related multiplier effects.
Chevron continues to play a leading To execute an onshore drilling recommended simulation software for
role in building and sustaining the programme, Chevron patronized local improved results.
capacity of indigenous companies contractors through a Third-Party
and contractors in Nigeria’s oil Funding scheme. Oando Energy 2017 nigerian content key
and gas industry. We consistently Services (OES) Limited was awarded achievements (projects)
demonstrate our commitment an onshore well drilling contract worth Chevron consistently reserves
to empowering Nigerian service over US$60 million which utilized the significant portions of job scopes
providers and suppliers through rig OES Respect. OES is 100-percent for Nigerian contractors on its small,
human and institutional capacity Nigerian-owned with 100-percent medium and major capital projects.
development, creation of local jobs, shore-based national rig management, Highlights of Nigerian content success
developing and sourcing from local and more than 96-percent rig-based stories include:
suppliers, employing local workforces, Nigerian personnel running the OES
local patronage, and the reservation Respect. The rig completed its 25th ȼˏ .0*!./$%,ˏ3%0$ˏ !)0!$ˏ(+(ˏ
of work scope to benefit local Chevron well in December 2017, Engineering Services Limited,
community contractors. achieving record performance with an a fully indigenous company, to
average of one well in each of the last fabricate the wellhead jacket for
Chevron also provides technical 25 months of the current contract. the Abiteye Non-Associated Gas
support, support for asset acquisition,
(NAG) Development Project. The
and partnership on research and Chevron Nigeria also awarded a project was completed incident
development to local community contract worth over US$7 million to and injury free.
contractors. This has helped Nigerians SOWSCO Well Services (Nig.) Limited ȼˏ .+1.!)!*0ˏ+"ˏ(+((5ˏ//!)(! ˏ
benefit from the proceeds of the oil for cementing and pumping services Zinox desktops and laptops from
and gas industry while developing on another drilling campaign. Chevron local manufacturer Task Systems
local commerce. partnered with the contractor to Ltd. and OEM - Zinox Systems.
increase capacity related to the ȼˏ %.%*#ˏ+"ˏ)%(0+*ˏ!$*+(+#%!/ˏ
Our investment in Nigerian Content handling of pumping equipment by Limited, a Nigerian manufacturing
was approximately US$2 billion, while using Human Machine Interface (HMI) company, in partnership with
Local Community Contractors spend and service. The company also helped Baker Hughes, an American
on materials procurement was $74 SOWSCO improve its processes and General Electric company, to
million (with $284 million expended
on services).
chevron in Nigeria 39
2017 corporate responsibility report
training
Chevron Nigeria, in partnership with
the Nigerian Content Human Capacity
Development Initiative (NCHCDI),
equipped Nigerians to deliver value
through executive and management
One of the Agbami subsea manifolds fabricated at Grinaker-LTA Port Harcourt, Rivers State
training, technical and professional
skills training, and on-the-job training
during project execution.
40 chevron in Nigeria
2017 corporate responsibility report
chevron in Nigeria 41
2017 corporate responsibility report
Chevron
“ Human Capacity Development
Initiatives (HCDI)
ȼˏ +* !'ˏ
ȼˏ ˏ˚/$+.!
the Escravos System Project
(EESP)
ȼˏ +*0.0ˏ+"ˏȽȆȎȅˏ0$+1/* ˏ
awarded for development of
world class Human Capacity
continues to Development Initiative (HCDI)
training plan/curriculum for
CNL’s Drilling & Completions
play a leading unit and the Nigerian Oil & Gas
industry in general continued.
role in building ȼˏ $+(./$%,ˏ0+ˏ%#!.%*ˏ
seamen for training in Dynamic
and sustaining Positioning continued at PEM
Offshore Limited, a marine
training facility. Contract is
the capacity worth $200 thousand per
annum
of indigenous
Logistics ȼˏ .%*!ˏ(0"+.)/ˏ %)%0! Supply of vessels for Agbami
companies and ȼˏ 3.%0/!ˏ%#!.%ˏ %)%0! ˏ
ȼˏ 1'1/ˏ * 1/0.%!/ˏ %)%0!
& Escravos- Gas-To-Liquids
operations
contractors in
Procurement ȼˏ ) ,%*ˏ .%0%)!ˏ %)%0! Coastal supply of Automotive
Nigeria’s oil and ȼˏ +/0(ˏ+*/1(0/ˏ 0
ȼˏ %(ˏ *0!#.0! ˏ!.2%!/ˏ 0 Ȑˏ
Gas Oil (AGO) to Escravos.
gas industry
“ Desmobuk Rocket Nig. Ltd.
42 chevron in Nigeria
2017 corporate responsibility report
aawards
good corporate citizen and a partner of choice. The various recognitions and
acknowledgements of our contributions to the socio-economic development of the
country validate our vision of being the global energy company most admired for its
people, partnership and performance.
Jeff Ewing, Chairman and Managing Director receiving an award from the Nigerian Business Coalition Against Aids (NiBUCCA) for the company’s
support in the fight against the spread of HIV/AIDS in Nigeria
chevron in Nigeria 43
2017 corporate responsibility report
44 chevron in Nigeria
2017 corporate responsibility report
B
chevron in Nigeria 45
2017 corporate responsibility report
D
46 chevron in Nigeria
2017 corporate responsibility report
chevron in Nigeria 47
2017 corporate responsibility report
human energy R
creating wealth
chevron in nigeria
2014 corporate responsibility report 2015 corporate responsibility report 2016 corporate responsibility report
contact:
esimaje brikinn
general manager, policy, government and public affairs
chevron nigeria limited
2, chevron drive, lekki peninsula
lagos, nigeria
P.M.B. 12825
48 chevron in Nigeria