1. PDO xxxxxxxxx
PRE-START-UP AUDIT

2. Agenda the audit team audit objectives schedule recommendations
reporting

3. Team members
xxxxx PDO (Leader)

4. HSE Performance
“There must always be a gap between … aspirations and performance … But a gap between policy and performance is unacceptable”
Phil Watts - Shell EP HSE Conference September 1997

5. Terms of Reference Objective
To assess the readiness of all resources, controls, procedures and services to support the operation of the new facility.

7. Standards Applicable Oman laws and regulations
Group HSE policies and commitments
PDO and contractor policies, standards and procedures
Group and SIEP HSE guidelines such as EP95 000

8. Audit Process Familiarisation Review & Testing Reporting
Terms of reference
Audit programme EP
Review & Testing
Study Documentation
Site visit
Test findings
Interviews
Reporting
Agree findings
Present Findings
Drafting
Editing
Report Finalisation

9. Terms of Reference Scope Exclusions:
The scope is limited to those facilities, resources and controls necessary to operate the xxxxxxxxxx Expansion Facilities.
Exclusions:
Corporate HSE issues not directly related to the Facilities.

10. Specific issues 1 Demonstration that HSE risks are ALARP
Design, installation, commissioning
Future operation
HSE Case
Close out of audits and reviews
HAZOP close out
Fitness for purpose hardware
Constructed to design
Effectiveness of change control

11. Specific issues 2 Commissioning Procedures Plans & Procedures
Personnel
Concurrent operations risks
Procedures
Operating, Maintenance
Availability and adequacy
Emergency
Understood and exercised

12. Specific issues 3 Operations plans for start-up Resources & services
Organisation
Responsibilities
Contractor / PDO
Interfaces
Communications
Resources & services
Personnel
Spares, consumables
Environmental compliance

13. Audit Programme Sat 31/5 Opening Presentations Doc. Review
Sun 1/6 Coastal Interviews
Mon 2/6 Visit Site - Compile notes
Tue 3/6 Return from Site
Wed 4/6 Compile Report
Sat 7/6 Draft Report/Final Presentation
Wed 11/6 Issue Final Report

14. Audit opinions The IAC defines 4 possible audit opinions:
Good
Fair
Poor (equivalent to IAG Unsatisfactory)
Unacceptable
The definitions are in terms of:
the level of concern
the inference for senior management

15. Audit opinion derivation
Based principally upon an assessment of severity and number of Findings
Definition of Few and Many:
Few  20
Many  40
each Finding to contain only one weakness

16. AUDIT OPINION
Few  20 Findings Many  40 Findings

18. Audit Recommendations
For a Pre Start-Up audit, an indication is given, in the classification of Findings of:
those that should be closed out prior to the introduction of hydro-carbons - classified (I)
those that should be closed out prior to close out of this project - classified (C)
those that are not directly related to project close out - classified (F)

19. Weakness Classification MatrixB C D E
Severity
People
Assets
Environ-
ment
Repu-
tation
Never heard of in
EP industry
Has
occurred in
EP industry
Has occurred in
the audited OU
Happens several times a year in the audited OU
Happens several times a year in the audited facility No
injury No
damage No
effect No
impact
123
Low
Slight
injury
Slight
damage
Slight
effect
Slight
impact 1 2
Minor
injury
Minor
damage
Minor
effect
Minor
impact
Medium
Consider-
able
impact 3
Major
injury
Local
damage
Localised
effect
High 4
Single
fatality
Major
damage
Major
effect
National
impact
Inter-
national
impact
Serious
Multiple
fatalities
Extensive
damage 5
Massive
effect A B C D
_____
total
High: Though not serious, essential to be brought to Management attention. Includes medium weaknesses as repeat from previous reports.
Low: No major HSE impact at process level, correction will assure greater effectiveness/efficiency in process concerned.
Serious: Exposes OU to a major extent in terms of achievement of corporate HSE objectives or results.
Medium: Could result in perceptible and undesirable effect on achievement of HSE objectives.

20. Report Principles Report is collective view of team
no reference to sources
whole team review whole report
facts reported are as agreed by all the team
judgements are by consensus as far as practicable
wording agreed to as to intended meaning
audit leader has casting vote in case of disagreement
where possible, root causes identified
Final draft report before team disbands
no later changes, only minor (punctuation, grammar) editing in CO
final report within two weeks

21. THE END

22. Structure of Questionnaires
Generic Questionnaire (common to all HSE Audits)
Leadership & Commitment
Policy & Strategic Objectives
Organisation, Responsibilities, Resources, Contractor Management.
Communications, HSE-MS Documentation, Standards & Change Control
Hazards and Effects Management
Planning & Procedures
Implementation & Monitoring
Audit
Management Review
Subsidiary Questionnaire
Facilities
Subsidiary Questionnaire
Facilities
Subsidiary Questionnaire
Start-Up
Subsidiary Questionnaire
Seismic
Subsidiary Questionnaire
Drilling
Subsidiary Questionnaire
Environment
Subsidiary Questionnaire
Health

23. EP-HSE Audit Method Audit of HSE MS, fully covering H, S and
Focus on Risk
OU Staff involved
Based on OU / Contractor standards
Bottom up Approach
Significance & breadth of findings
Assessment of the 33 HSE MS sub elements of the HSE MS Self Assessment Questionnaire (levels 1-4)
Follow up: OU responsibility
Audit of HSE MS, fully covering H, S and
Sampling Process
Questionnaire based x

24. HSE Audit Overview Auditors will: operate in pairs (sometimes three)
make an appointment to see you
no surprise visits
try to make it as easy as possible
be only interested in facts, not speculation
(interested in your view in how to improve)
possibly use a questionnaire in the interview
ask open ended questions
like “How ..”, “In what way…”
interview a “vertical slice” of the organization
look for the good as well as the less than adequate

25. Report Index 1 Introduction 2 Executive Summary
Audit opinion and justification
HSE MS element summary
3 Audit Findings and Recommendations
HSE Management System (Tables)
Subsection for each of HSE-MS sub elements
Appendices
Definitions of Audit opinion and classification
Classified recommended actions
Terms of Reference
Abbreviations
HSE MS sub element assessment

26. Report Principles Report is collective view of team
no reference to sources
whole team review whole report
facts reported are as agreed by all the team
judgements are by consensus as far as practicable
wording agreed to as to intended meaning
Audit leader has casting vote in case of disagreement
where possible, root causes identified
Final draft report before team disbands
no later changes, only minor (punctuation, grammar) editing in CO
final report within one week