HSE Leadership On The Front Line Module 1: Shell’s Perspective on HSE This section is delivered by senior leadership within the organization from the site.

Purpose To provide Shell employees with the knowledge and skill to help you lead our organizations to be injury and incident-free. At the end of this section you will be able to: Understand the case for change Describe Shell’s core HSE values Understand where incidents are occurring and where we are at-risk Understand that achieving zero requires constant focus Recognize how you can demonstrate your commitment to HSE

HSE Leadership Training “Intervention and Intensity” Safety Journey Future 1970’s Safety Focus Cost and Safety Focus 1990’s 1980’s Shell HSE MS ILCI Introduced Shell Fatalities Life Saving Rules 2008 2000 2009 As the leader talk about the Shell journey -Where we have been -Where we have come from - We have had some bumps along the way Also talk about your personal journey and everything you have seen and experienced in your career on our journey. 2007 HSE Cases/RAM HSE Leadership Training “Intervention and Intensity” 2006 Safety Conference ISO 14001

Benchmarking Onshore Projects - Pinedale Safety Performance 12 Month Rolling Avg. (per million hours) TRCF Workforce Employees + Contractors Shell 8 7 6 5 4 1 per million hours 3 2 1 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Improving industry trend with TRCF halving every 5 years. Shell improvements in line with industry and on track to reach new low in 2009. Shell benchmarks with peers to facilitate and share learning. Source: Group Safety (CAE) - Excluding associates such as PDO Oman, Sakhalin, BP/TNK, …

What Does This Mean in People Terms? 20 people fatally injured working for Shell in 2009 International Labour Organization estimates >2.3million people lose their life at work every year Is this the BEST we can do?

What is Important to Shell? Commitment to core values is sustained by: No harm to people Protect the environment Managing HSE as any other critical part of our business Incorporate the HSE Golden Rules into everything we do… YOU AND I… 1. Comply with the law, standards and procedures 2. Intervene on unsafe or non-compliant actions 3. Respect our neighbours This slide is intended for the Leader who is delivering this module to discuss the policy from their perspective. The intent is not to be analytical and read the policy but to personalize it and internalize what it means to that leader. Answer the following two questions: How do I communicate and bring this policy to life? Why is this so important??

Life-Saving Rules – what are they? Verify isolation before work begins and use the specified life protecting equipment Obtain authorization before overriding or disabling safety critical equipment Obtain authorization before entering a confined space Protect yourself against a fall when working at height Work with a valid work permit when required Conduct gas tests when required 1 2 3 4 5 6 7 8 9 10 11 12 Wear your seat belt Do not walk under a suspended load Do not smoke outside designated areas No alcohol or drugs while working or driving While driving, do not use your phone and do not exceed speed limits Follow prescribed Journey Management Plan

Leadership characteristics the same Major Fire / Explosion Fatalities LTI Fire TRI Large release / spill First Aids Minor release / spill As the facilitators of this module ask the following questions of the class What is the difference between the two? – the answer is that there are parallels' between the two. How do your leadership behaviours affect both? The intent of the slide is to engage the group in discussion on for them to walk away with the message that there are many parallels' between process safety and personal safety and that their leadership behaviors effect each process. Personal Safety Process Safety

The Challenge – Goal Zero Is zero achievable? Injuries Spills Compliance What do we need to do better to drive us to zero? How do we maintain zero? Lead Group Discussion Show concrete examples of incident free situations Ask the group for examples of areas of incident free operations Oil sands project passed 4M man hours without LTI

Goal Zero – No Harm to People Why is safety important to me? Have the participants write the peoples names on the inside of their name tent of who they are hoping to really see at the end of today (most likely family members but possibly others). If someone is hesitant because they have “no one” have them write an activity that they really look forward to doing at the end of the day. As a leader, please convey your personal message around why safety is important to you. Use an experience from your past that has really created/energized towards safety (possible a significant incident in your career or having to relay bad news to family members, or something that has happened to you personally) The intent is to stimulate the audience into sharing your passion towards “target zero” and not simply provide a business or statistical reason for doing it.

Why I work safe………………..

Actions Increased intensity for HSE Start, support and sustain a step change… zero is achievable Take the time to communicate ‘WHY’ Health, Safety and Environment is important What are the expectations for this course? Take at least three learnings and apply them in your workplace Strengthen your understanding of the HSE processes A renewed commitment to safety expectations Share with others in your organization