ISNetworld - Safequarry

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ISNetworldISNetworldContractor ManagementBest PracticesISNSeptember 26, 2008Software CorporationAtlantic Alliance Symposium

AgendaI.OverviewII.Due Diligence ProcessIII.Case StudyIV.BenchmarkingV.QuestionsISNetworldISN Software Corporation

Outsourcing and Associated RiskWhy outsource work to Contractors?9 To focus on core competencies9 Free up resources9 Acquire specialized expertise

ISNetworld Process

Over 125 Owner Clients in ISNetworldUPSTREAM Apache Canada Ltd Badger Oil Corporation BP Exploration (Alaska) Inc. BP - Gulf of Mexico Business Units CDX Gas, LLC Chevron Canada Resources Chevron E&P Co. Gulf of Mexico Chevron MidContinent/Alaska Business Unit ConocoPhillips Alaska ConocoPhillips Canada ConocoPhillips Company (Lower 48) Connacher Oil & Gas Limited Devon Canada Corporation Devon Energy Corporation El Paso Exploration and Production Co. EnCana [Canadian Foothills] EnCana [Integrated Oil & Canadian Plains] Energy Partners, Ltd. Energy XXI EOG Resources Canada Fairborne Energy Ltd Hunt Oil Company Husky Energy Koch Mineral Services Mariner Energy Resources, Inc. Marlin Energy Offshore, LLC McMoRan Oil & Gas Nexen Inc. Canadian Oil & Gas Division Nexen Petroleum USA Inc. Nippon Oil Exploration U.S.A. Limited Noble Energy Oxy USA Inc./Occidental Permian Ltd. PetroQuest Energy LLC Plains Exploration and Production Company Quicksilver Resources Repsol E&P USA Inc. and affiliates Seneca Resources Corporation Shell Exploration & Production St. Mary Land & Exploration StatoilHydro Stone Energy Vintage Production California LLC W&T Offshore Woodside Energy (USA) Inc. XTO EnergyMIDSTREAM Alliance Pipeline Alyeska Pipeline Service Company Atmos Energy Corporation Aux Sable Liquid Products Belle Fourche Pipeline BP Pipelines & Logistics BP Products North America Inc. Bravo Pipeline Company Buckeye Partners, LP Centurion Pipeline L.P. Chevron Pipe Line Company Chief Oil & Gas, LLC Colonial Pipeline ConocoPhillips Pipe Line Company Denbury Onshore, LLC Dixie Pipeline Dow Pipeline Enbridge Natural Gas Business Enbridge Pipelines Inc. Energy Transfer Company EPCO Holdings, Inc. Explorer Pipeline ExxonMobil Pipeline Company Genesis Crude Oil Hilcorp Energy/Harvest Pipeline Holly Energy Partners Kerr McGee Gathering LLC Kinder Morgan, Inc Koch Pipeline Company- Corporate LDH Energy LOOP, LLC Magellan Midstream, LP Marathon Pipe Line LLC NuStar Energy, LP ONEOK Energy Companies ONEOK NGL Petrologistics Olefins, LLC Plains All American Pipeline Plains Marketing Praxair Questar Ribost Terminal, LLC Sem Group, LP Shell Pipeline Co. LP Source Gas Sunoco Logistics Partners, LP Targa Resources TransCanada TransMontaigne Western Refining Williams Williams Gas Pipeline Wolverine Pipe Line CompanyDOWNSTREAM Celanese Chevron BRES Chevron Products Company Chevron Products Company, NAM, P&FO CITGO Petroleum Corporation ConocoPhillips ExxonMobil Lubricants & PetroleumSpecialties Company Flint Hills Resources Lyondell/Equistar NCRA/Jayhawk Pipeline Sinclair Oil Corporation Sunoco Terra Industries Tesoro Refining and Marketing Company Valero Energy CorporationENVIRONMENTAL Chevron EMCPOWER GENERATION Covanta EnergyMINING Chevron MiningBIO PHARMA Amgen Biogen Idec Bristol-Myers Squibb Wyeth ZymoGeneticsMANUFACTURING Georgia-Pacific US Steel

Over 14,500 Contractors Use ISNetworld

Contractor Company ProfileTier 1 Companiesw/ 1-20 Employees5%8%3%1% 1% 1%49%Tier1 1-20 EmployeesTier2 21-100 EmployeesTier3 101-200 EmployeesTier4 201-400 EmployeesTier5 401-750 EmployeesTier6 751-1500 EmployeesTier7 1501-3000 Employees33%Tier8 3000 Employees65% of Tier 1Have less than 10 employees On average, an ISNetworld member contractor works for 3 Owner Clients in ISNetworld ISNetworld has a 90% contractor membership renewal rate

DashboardCentralized Compliance Tracking and MeasurementSCQ-VGrading/Rating15%Safety ProgramReview (RAVS)30%Post Job Audit15%TRIR - 3 Yr Avg20%EMR - 3 Yr Avg20%

Case Study:Chevron Gulf of Mexico Universal Grading TRIR 25% Safety Questionnaire 20% Audit 20% Field Feedback Forms 25% Working Relationship 10% Employee Guidance A-B – No restrictions C – Mitigation plan and pre-job meeting required D – Mitigation plan, pre-job meeting required;management approval in writing; trained HES person onsite during work F – Not allowed to be used; VP approval required

HES Case Study – Chevron Gulf of MexicoImprovement Metrics TRIR 2002 – 1.75 2003 – 0.85 (Target 1.60) 2004 – 0.71 (Target 1.27) 2005 – 0.76 2006 – 0.62 Optimized contractor base by42%

Leading IndicatorsWritten Safety Program Reviews

Contractors with RAVS compliant safetyprograms have 25% lower incident rates

Key Performance IndicatorsOSHA Log and EMR StatisticsDiscrepancies easilyidentified by automatedhighlighting

Leading IndicatorProof of Training Documentation

Manage Individual Level Information

Benchmarking ISNetworldContractors Against BLS Industry Averages

What Gets Measured, Gets Done EMR trend showssteady decline for eachadditional year of use TRIR shows dramaticdecreases forcontractors subscribed 2or more years

ISNetworld Contact Rory Callaghan– (214) 303-4946 Direct– RCallaghan@ISNetworld.com Melanie Gordon– (214) 303-4936 Direct– MGordon@ISNetworld.com

ISNetworldContractor ManagementBest PracticesSeptember 26, 2008Atlantic Alliance Symposium

On average, an ISNetworld member contractor works for 3 Owner Clients in ISNetworld ISNetworld has a 90% contractor membership renewal rate Tier1 1-20 Employees Tier2 21-100 Employees Tier3 101-200 Employees Tier4 201-400 Employees Tier5 401-750 Employees Tier6 751-1500 Employees Tier7 1501-3000 Employees Tier8 3000 Employees 65% of Tier 1

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SAFETY a HELP WE Is the ISNetworld system a full time job? It’sBLACK & WHItE. IF sAFEtY Is tHE PROBLEM TCA IS THE SOLUTION 3131 Memorial Court Suite 15101 Houston, TX 77007 713.263.7661 Tara.Amavi@tcamembers.com Legal Notices: TCA is an independent service provider and is in no way endorsed by, sponsored by, approved by, or .

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