1. Newsco International Energy Services Inc. Newsco’s Safety and Training Program Presented by Klaus Rimke Global Safety & Training Coordinator HSSE Manager

2. www.newsco.ca group company Presentation Outline I.Introduction to Newsco Training System II.Standards required III.Training methodology IV.Mission Statement V.Online LMS implementation requirements VI.Accreditations and Certifications

3. www.newsco.ca group company Newsco’s Safety and Training program Newsco International Energy Services is a Global Company therefore:

4. www.newsco.ca group company Newsco’s Safety and Training program  Safety standards  Training standards  Processes & procedures  Verification and conformance must be standardized to ensure our global footprint is the same regardless of where work is being done.

5. www.newsco.ca group company Newsco’s Safety and Training program NEWSCO Training Structure Training (safety and job competency) Theoretical Knowledge and skills Practical (Hands on training with verification.) Certification Requirements : IADC RigPass/SafeGulf IRP 16, COR, ISNWORLD Implementation costs Upgrades and improvements

6. www.newsco.ca group company Newsco’s Safety and Training program “Mission Statement” To create a comprehensive e-learning program consisting of theoretical & practical training with a method of verification created to document compliance and understanding by the employees.

7. www.newsco.ca group company Newsco’s Safety and Training program The Oil and Gas industry, in particular the many service industries are not regulated by set standards such as found in the Automotive, Construction, and Medical field where a governmental standard with approved training curriculums are established throughout Colleges and Universities issuing licences and diplomas.

8. www.newsco.ca group company Newsco’s Safety and Training program Therefore a comprehensive Apprenticeship for the company specific job descriptions was needed to meet the following goals: Leading industry standards for MWD, DD operators, Lab Technicians and Office personnel Online certification for Rig Pass & Safe Gulf for our global operations 100% Compliance to all owner clients in ISNetworld Exceeding Certificate of Recognition (COR) by maintaining an average audit of over 90% Meet all requirements for IRP-16

9. www.newsco.ca group company Newsco’s Safety and Training program Building TLM Database Process (The Learning Matrix) is the name chosen to describe the structured matrix at Newsco International Energy Services. Before putting a system together the company must examine each job description by task and required skills by a pre- determined level requirement. Once the basic structure has been determined as to who does what, when, and how. A lesson plan for each skill / task can be written or videoed covering that specific training agenda. These lessons are then are then combined or grouped into a training module to cover the theoretical information being instructed, a question base is then added to test module covering the theoretical knowledge and retention of the employee, (ensure there are enough questions in the data base to ensure the main points are covered and that a random number of questions can be drawn upon to allow for variation of each test to prevent questions from being copied and passed around)

10. www.newsco.ca group company Newsco’s Safety and Training program

11. www.newsco.ca group company Newsco’s Safety and Training program

12. www.newsco.ca group company Newsco’s Safety and Training program

13. www.newsco.ca group company Newsco’s Safety and Training program International Association of Drilling Contractors (IADC ) IADC is the basis of where the safety program was derived from with the base safety curriculum coming from the RIGPASS® Program. Newsco is RIGPASS with Offshore endorsement certified. It has expanded to include the SafeGulf® Certification for possible work in the Gulf of Mexico and possibly any environmentally sensitive area in the US continental shelf

14. www.newsco.ca group company Newsco’s Safety and Training program International Association of Drilling Contractors (IADC ) To meet these requirements there are certain parameter's dictated by IADC, they are: 1.Prior to taking the Course there are two documents that need to be signed and read. 2.Student must be verified to be who they say they are 3.Complete currently external courses in First Aid, H2s, Fall protection, WHMIS, TDG. i.These courses are covered in the on-line program and hopefully if and when allowed can certified and have a IADC certification card issued through IADC for Internationally approved verification. (My Goal is to discuss this with IADC in February after the IADC Conference.) 4.Students must meet the minimum required 90% for Safe Gulf and 80 % for Rig Pass qualification and 5.Instructors need to be approved in the IADC program and trained.

15. www.newsco.ca group company Newsco’s Safety and Training program Certificate of Recognition (COR) COR Certification is certified through Enform expires every 3 years with 2 Yearly Maintenance audits and 1 compliance audit Minimum Pass 80% Newsco Maintains an above 90% for the last 3 years, which as resulted in i.Reduced Workers Compensation Payments (WCB) as seen in the premium rate statement (53.61% lower than industry average) ii.IRP16 (Industry recommended Practices) Certified and Verified through the COR Audit (is an additional requirement from some clients)

16. www.newsco.ca group company Newsco’s Safety and Training program One has to remember that meeting and exceeding any regulatory requirement requires proof of compliance through documentation and demonstration of commitment from the entire company from the top down. This cannot be done through the use of e-learning or hands on training alone, but further requires a change in the safety culture within the company and the industry itself. The Basic Safety Protocol's (BSP) changed in 2011, Industry average scores dropped by at least 10-15% (Red line above indicates the minimum requirement to pass the COR audit) Newsco maintained above 90% for the last 3 years.

17. www.newsco.ca group company Newsco’s Safety and Training program ISNetworld Compliance

18. www.newsco.ca group company Newsco’s Safety and Training program ISNetworld Compliance Since 2009 Newsco has gone from 2-7 owner clients and has maintained a 100% compliance with all of them

19. www.newsco.ca group company Newsco’s Safety and Training program Summary: Safety and Training are only one area needed to maintain our high standards, World Class equipment requires world class operators. Documentation and verification further covers the due diligence of our company in ensuring the safety and welfare of our employees. The added benefits of meeting and exceeding regulatory requirements will be seen in savings in WCB payments, plus helps the sales department set us apart from our competition and the fact that If, in the case of an OHS incident, it cannot be proven that a worker was competent or that everything "reasonably practicable" was done to ensure a worker’s competence, the organization may be charged and held liable under applicable OHS Law, including potential criminal prosecution.”

20. www.newsco.ca group company THANK YOU