Land Transport Paul Zealand Land Transport A Key

Land Transport Paul Zealand

Land Transport – A Key Risk • Increasing exposure with increase in onshore Project and Facilities growth • Close interaction with Public on common roads Increased road usage • West Texas – 47% increase fatalities in one year • 3 Industry and 3 Public Fatalities in the Queensland Area of Operations in one week. Heavy vehicles/Multiple passengers • 50% increase in Fatalities in the Surat Basin in the last 5 years

Land Transport – Current Status • APPEA endorsed Vehicle Safety Guideline • Develop by Industry working group (Operators and Contractors) • Based on OGP and Industry best practice • Building on experience in the CSG sector • Guideline : - Set minimum requirements - Shall’s and Should’s - Provide acceptable solutions - Provides a new entrance with a pathway - Define metrics – To enable a clearer picture of our industry

Land Transport – Success so Far. . . In Vehicle Monitoring System - Combined • Acceptance of Risk by all Industry participants – newcomers adopting 4, 000 1, 200 3, 500 1, 000 Reported Events • Guideline used to support international Operations (Apache and Conoco Philips) 4, 500 3, 000 800 2, 500 600 2, 000 1, 500 KM Travelled / Frequency Rate 1, 400 1, 000 500 0 n 12 Ju l-1 2 Au g 12 Se p 12 Oc t 12 No v 12 De c 12 Ja n 13 Fe b 13 M ar -1 3 Ap r 13 M ay -1 3 0 Ju • Step improvement in behaviours from IVMS users 200 Contractor KM Travelled (x 1000) Origin Employee KM (x 1000) Seatbelts Speeding Poor Driving Frequency Rate per million km Note data spike with raising std .

Land Transport – Next Steps. . . • Establish Industry baseline against Guideline • Establish Common KPI’s to report to enable performance monitoring/comparison/learnings • Heavy Haulage code of practice for sector

CSG Queensland – Industry Alignment Queensland CSG Industry are currently finalizing consistent approach to IVMS use. DR AF T INPUTS IVMS Setting SEATBELTS Seatbelts SPEED Over Speed Event Geo-Fenced Speeds Origin Santos QGC Arrow OUTPUTS Proposed Industry Settings* > 15 KPH Instantaneous Any speed > 20 seconds > 10 kph for 60 seconds >20 kph for 1 second > 10 kph for 10 seconds Any movement, any duration (where seatbelt detector fitted) 115 kph for 20 seconds 120 kph Instantaneous 125 kph Instantaneous >115 kph for 10 seconds > 110 kph (instantaneous) > 110 for 30 sec >125 kph (instantaneous) > 10% of speed limit for all speed events > 110 kph** > 120 kph Not Enabled >5 kph over speed for 10 seconds > 10% of speed limit for all speed events Audible warning at >110 kph 5> kph >10 for 15 seconds 10> kph >15 Instantaneous Audible warning at over speed FATIGUE LV Hours Driving / Rest Breaks POOR DRIVING Harsh Braking Excessive Harsh Braking Harsh Acceleration > 2 hours 10 min rest every 2 hrs 30 min rest after 5 hrs Not Enabled > 2 hours/15 minutes > 2 1/4 hours / 15 mins > 2 1/2 hours / 15 mins > 2 hours/15 minutes > 12 kph/sec (0. 34 g) > 18 kph/sec (0. 51 g) > 12 kph/sec (0. 34 g) > 2 hours Instantaneous 15 min rest break every 2 hrs Not Enabled > 12 kph/sec (0. 34 g) > 12 kph /sec or 0. 34 g > 17 kph/sec (0. 48 g) > 18 kph/sec (0. 51 g) > 18 kph /sec or 0. 51 g > 12 kph/sec (0. 34 g) > 12 kph /sec or 0. 34 g Audible warning at 1¾hrs Notes: * Implementation remains subject to the IVMS unit configuration capability ** The speed settings are in the final stages of industry review, with a reduction to >110 kph instantaneous expected to be an agreed exception trigger. The current Origin setting of >115 kph for 15 seconds may be retained for purposes of consequence management

Heavy Vehicles: A Critical Safety Priority for Industry • 47 fatalities from accidents involving heavy vehicles in QLD in 2010 (19% of the total) • 478 hospitalised casualties from accidents involving heavy vehicles in QLD from 1 July 2008 to 30 June 2009 (7% of the total) • Heavy vehicle accident rates are declining, but: • Number of heavy vehicles, and the distance travelled by them, is increasing significantly • CSG sector will account for large proportion of the forecast increase in QLD • Underdeveloped rural road infrastructure significantly increases CSG risk exposure

CSG – Logistics Safety Code Commitment • Origin and Santos commits to signing as a licensed participants to the Australian Logistics Councils (ALC) National Logistics Safety Code (NLSC) - 2011 Method • Forms the CSG Logistics Safety Code of Practice working group (Origin, Santos, Arrow , QGC) Purpose • To support supply chain safety compliance - critical risk area The Code • Designed to ensure that all participants are aware of their responsibilities in the supply chain where they control or influence the safe and legal carriage of freight

The Code is intended to assist all parties in the supply chain • • • To identify issues related to the “Chain of Responsibility” and to manage that compliance To manage their legal obligations (Road and Traffic Laws and OH&S Legislation). To understand their responsibilities in the supply chain when they control or influence the safe and legal carriage of freight To produce clear and equitable alignment of responsibilities for the carriage of goods against the relevant standards and regulations. To induce higher standards of accountability and good practice within the industry Carriers • • Logistics Provider/s Transport Rig Mangers Truck Pushers Consignee • • Company Sites Laydown Areas WSR Rig Managers

Code Audit Theme findings Origin Corrective Action Reporting Count by Element for Reporting Period – June 13 Driver Health 5. 78% Subcontractor Assessments 5. 41% Operational Infrastructure 3. 24% Legal Compliance & Co. R 17. 72% Equipment 5. 94% Speed Management 12. 57% Safe Loads 11. 30% Communications 1. 17% WHS Risk Assessment & Compliance 15. 23% Fatigue Management 21. 64%

Summary - Needs from CEO’S • Recognise the Industry wide nature of the risk • Advocate for a consistent approach • Direct staff to participate in Industry data gathering, KPI monitoring, and learning from each other on vehicle safety