7 killed in Alberta highway crash

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1 Oil Sands Winter Drilling Campaign Summary

2 Safety Moment

3 7 killed in Alberta highway crash April 27 th, Seven people are dead after a fiery head-on crash Friday on Highway 63 near Boyle, about 200 kilometres north of Edmonton, RCMP said. Two others were badly injured and were taken to Edmonton hospitals.

4 Shannon Wheaton, centre, a pastor from Fort McMurray, Alta., is shown with his family. Wheaton, his wife Trena Thompson- Wheaton, and youngest son Benjamin, died in a head-on crash north of Edmonton Friday. Oldest son Timothy survived.

5

6 Project Summary Number of Wells 148 (Largest to-date) TRR: 0.85 (64% improvement) Zero Recordable Spills Total Number of Safe Rig Moves: 211 9,109 Care Cards Submitted & Processed (38% increase)

7 Execution Challenges Significant Challenges Short season Contracted supervision Inexperienced workforce Job training Remote location Extreme climate Low industry standards Expanding construction projects

8 Execution Challenges Significant focus on safety HSE Execution Plan Management engagement Job training Safety leadership Safety advisors Improved start-up meetings Single drilling camp Behavior based safety program (CARE Card) Journey management program SIMOPS implementation

9 2011/2012 HSE Winter Plan Training Kick-off & Mobilization Campaigns Leadership Behavior Based Safety HSE Winter Plan SIMOPS Audits/ Inspections Journey Management

10 Kick-off and Mobilization Campaign Begun early Focus groups: Well-site supervisors, rig supervisors, HSE Coordinators, Crews In the yard, on the road, on the road Meetings in camp Safety leadership for supv PSI for the crews

11 HSE Training Safety Leadership Induction/Orientation Roughneck Defensive Driving H2S, First Aid, etc.. Commercial Driver Focus programs (steam, line-of-fire, working at height, hand & fingers, cold weather)

12 BBS CARE CARD Program Oct Apr Safety Observation Report All Locations Participation by Rig AD9 984 Akita Drilling Rig 9 AD Akita Drilling Rig 22 CAMP1 300 Delineation Drilling Camp CAMP2 2 SAGD Drilling Camp CAMP3 0 Completions Camp CD3 529 Calibre Drilling Rig 3 CHARD 2 Chard Camp GD9 343 Groundforce Drilling rig 9 PD7 500 Patterson Drilling Rig 7 PD8 428 Patterson Drilling Rig 8 PD9 427 Patterson Drilling Rig 9 SD Savanna Drilling Rig 429 SD Savannan Drilling Rig 446 SRR 0 Surmont Regional Residence 984 SURL 27 Surmont Lodge TD Trinidad Drilling Rig 57 TCD1 464 Tempco Drilling Rig 1 TCD Tempco Drilling Rig TCD5 414 Tempco Drilling Rig 5 Other/Blan Participation by Rig AD9 AD22 CAMP1 CAMP2 2 0 CAMP3 CD3 CHARD 2 GD9 PD7 PD8 PD9 SD429 SD446 SRR 0 27 SURL TD TCD1 TCD4 TCD5 Other/Blank

13 BBS CARE CARD Program 6830 Breakdown by Card 4914 Safe At Risk Oct Apr Canada Oilsands Drilling & Completions 60% 47% Body Position Body Use / Ergonomics Percent Safe by Section 73% 58% 40% 41% Procedures PPE Environment Tools and Equipment 28% 33% 43% Conditions Behavior Other Issues At Risk Observations 1406 Summary Type of Work At Risk Observations Ascending/Descending Eyes on Task/Hand Pinch Points Body Position Drilling Jumping Over Exertion Pushing/Pulling 32 Body Use / Ergonomics Line of Fire 378 Completions Hand Placement 95 Improper PPE Foot Fall Body Protection Hand PPE Number of Number of Itemized Action Action Cards Observers Comments Required Required 216 Submitted Items Items Completed 66 Feedback Given Lease Construction Not Specified Followup / Action Required Lifting/Lowering Adequate Followed Known/Understood Lease Entrance Checkin Procedures Respiratory 20 Proper Certification 18 Hearing Eyes/Face Head Potential Energy PJHA/JSA Permits Wildlife Temperature Environment 1961 Yes 465 Yes Lockout-Tagout Right Tool for the Job Tools and Equipment Roads Weather No No Guarding Radios Lease Conditions Confined Space SIMOPS Rigging Observation Type 0 Hoses/Couplings Hand Tools Forklift Spill 156 Electrical/Grounding 160 Ignition Source Wind Slings/Shackles Pump/Tank Industrial Hygiene 71 Catwalk/Piperacks 142 Lighting Slips 61 Atmosphere Housekeeping lking & Working Surfaces Up Out Not Specified Derrick Rotary Table Tongs Walkways Handrails Stairs/Ladders Signage Accommodations Lighting Slip/Trip Hazards Excavations Heights Dropped Objects Conditions AD9 AD22 CAMP1 CAMP CAMP3 CD3 CHARD 2 Participation by Rig GD PD7 PD8 PD9 SD SD SRR SURL TD57 TCD1 TCD4 TCD5 Other/Blank Fatigue Rushing Complacency Write-In -Fire Retardant Clothing Facial Hair Hoodies Jewelry Behavior Other Issues

14

15 Audit and Inspections Rig inspections Lifting and Rigging Environmental Compliance Transportation Camp Training Hazard Hunts

16 Leadership

17 Enform Safety Stand-down

18 Journey Management Rig moves Personnel transport Commercial vehicle inspections Transportation safety specialist In-vehicle monitoring systems Driver training Vehicle standard

19 Drug and Alcohol

20 Winter Delineation Program Surmont Drilling Season (Nov 30, Mar 30, 2011) Drilling Season (Nov 30, 2011 Mar 27, 2012) Wells Drilled Man hours 421, ,654 TRIR Medical Treatment Cases 3 1 Restricted Workday Cases 2 1 Lost Workday Cases 0 0 Recordable Spills 1 0 First Aid Cases Triple Zero Rigs 7 rigs 9 rigs Safe Rig Moves Care Cards 6,600 9,109

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