Closing Presentation Date Name Level 2 AI-PS Audit Closing Presentation Date

Audit Objectives The objectives of this audit (in TOR): To assess the adequacy & effectiveness of the implementation of AI-PS requirements. To provide recommendations and guidance for areas where weaknesses to PDO’s AI-PS requirements are identified Using examples of PDO and external implementation as examples of good practice.

Audit Team Name Position Ref. Ind. Role

Name General overview Oxy Safa 7300 m3/d OXY Baraka = 6000 m3/d Daleel = 6500 m3/d PTTEP = 650 m3/d

Key Messages – Positives / PWRs

Key Messages – High Findings Recommendation

Control Assessment Matrix Element Rank Findings Process safety culture Element 8 Plant operating procedures / manuals  Element 15 Conduct of operations Element 2 Compliance engineering Standards Element 9 PTW Emergency management Process safety competency Element 10 Technical Integrity Incident investigation Workforce involvement Element 11 Contractor management Measurement and metrics Stakeholder outreach Training and performance assurance Assurance Element 6 Process Knowledge Management Element 13 Management of change Management review and continuous improvement Element 7 HEMP Operational readiness

Summary Recommendations Element Serious High Medium Low TOTAL - 25 All Actions will be entered into PIM for close out monitoring

Level 3 Integrated Assurance Planning Finding Recommendation 2. Delivery; 3. Knowledge & Skills; and 4. Coverage

Medium Findings Finding . Recommendation

Detailed Presentation

Element 2: Compliance to Engineering Standards Finding Recommendation

Element 6: Process Safety Knowledge Finding Recommendation:

Element 7: HEMP Finding Recommendation:

Element 8: POM Finding Recommendation

Element 9: Permit To Work Finding Recommendation Interview w UOP1 & UOP6 team – PTW:  . e-PTW: can be open for 24hr or for 12hr (LPS is 12hr), hence start/finish time for 12hrs. (Extra 3hrs possible in the software tool if required). Resubmit for revalidation required after the 12hr or 24hr, to be re-approved by AA. AA can also validate on PA behalf; or can call someone to suspend on his behalf.  . PTW PR-1172 update (not yet due for 5-yearly review): to be updated in due course  . E-PTW enhancements (pending USD ~200k approval), to be implemented in Q4-2017.   . Recommend out-of-office solution (e.g. VPN, Citrix, Cloud system, ...etc): Star-Chamber already.

Element 10: Technical Integrity Finding Recommendation

Element 11: Contractor Management Finding Recommendation

Element 13: Management of Change )

Element 15: Conduct of Operations Finding Recommendation

Other Field Observations

Back-up

Background AI-PSM in PDO Assuring the safety of our people, our assets, the environment and the company’s reputation is a core value of PDO and providing assurance that we are managing our major process safety risks is a critical aspect of our corporate governance. Asset Integrity Process Safety (AI-PS) describes the way we manage our assets so that the process risk is As Low As Reasonably Practicable (ALARP).

Background to AI-PS Asset Integrity Process Safety (AI-PS) is the means of ensuring that the people, systems, processes and resources, which deliver integrity, are in place, in use and fit for purpose throughout the whole lifecycle of the asset. The aim is to be able to confidently state that ‘our assets are safe and we know it’. Asset Integrity Process Safety Management is a complex area of expertise covering a wide range of components, all of which are essential to ensuring systems, processes and equipment perform as required. There are a number of Elements which make up the Asset Integrity Process Safety management system.

CCPS AI-PS Assurance Framework

9 Elements in Scope of the L2 Audit -1- Compliance with Engineering Standards The standards system addresses both internal and external standards; national and international codes and standards; and local, state, and federal regulations and laws. The system makes this information easily and quickly accessible to potential users. Element 6 Process Knowledge Management The knowledge element primarily focuses on information that can easily be recorded in documents, such as (1) written technical documents and specifications, (2) engineering drawings and calculations, (3) specifications for design, fabrication, and installation of process equipment, and (4) other written documents such as material safety data sheets (MSDSs). Element 7 HEMP Hazards and Effects Management Process (HEMP) is a collective term that encompasses all activities involved in identifying hazards and evaluating risk at facilities, throughout their life cycle, to make certain that risks to employees, the public, or the environment are consistently controlled within the organization’s risk tolerance. Element 8 Plant Operating Procedures Plant operating procedures are written instructions (including procedures that are stored electronically and printed on demand) that (1) list the steps for a given task and (2) describe the manner in which the steps are to be performed.

9 Elements in Scope of the L2 Audit -2- PTW System Permit To Work (PTW) fills the gap between operating procedures and maintenance procedures. Safe work practices help control hazards and manage risk associated with non-routine work. Element 10 Technical Integrity Technical integrity is the systematic implementation of activities, such as inspections and tests necessary to ensure that important equipment will be suitable for its intended application throughout its life. (Limited to Process Containment, Protection Systems, and Shutdown Systems Barrier) Element 11 Contractor Management Contractor management is a system of controls to ensure that contracted services support both safe facility operations and the company’s process safety performance goals. Element 13 Management of Change The MOC ensures that changes to a process do not inadvertently introduce new hazards or unknowingly increase risk of existing hazards. Element 15 Conduct of Operations Conduct of operations institutionalizes the pursuit of excellence in the performance of every task and minimizes variations in performance.

Structure of AI-PS Assurance

Overview of Audit Methodology The audit will be conducted using the PDO HSE Audit methodology. Findings shall be classified and the implementation of AI-PS Elements assessed. Self-assessment against the level 2 AI-PS protocols, Plant Operating Manual and Operations HSE Case shall be forwarded or made accessible to Audit Leader at least one (1) week prior to the audit. The methodology will use a “risk-based” approach and a general auditing approach in line with good industry practice. Team members will gather information by field observation, through interviews and including checks of hardware and documentation. Audit evidence will be based upon sampling of the available information and therefore should not be considered all-inclusive or exhaustive. Conscientious efforts will be made to verify findings and to confirm the validity of recommended actions. Where judgment is required, the result will be determined by consensus within the audit team.

Audit Stages COMMUNICATIONS Plan audit Execute audit Audit wrap-up Terms of Reference Audit schedule Pre-reading Interview list Execute audit Execute (interviews, field visits) Develop audit findings and recommendations Independent peer review Agree audit findings and close-out COMMUNICATIONS Audit wrap-up Agree actions and action parties Issue draft audit report Issue final audit report Obtain feedback on audit

Risk Assessment Matrix