2013 2013 Welcome to Road Transport David Thibodeaux RTA Permian - - PowerPoint PPT Presentation

SHE HELL PERMIAN BASIN RT RT FORUM F FEB 2013 2013

Welcome to Road Transport

David Thibodeaux RTA Permian Basin

Safety Emergency exits In case of fire emergency: Remain calm Walk Use stairs; DO NOT use elevator Follow instructions from safety leader Meet at Muster Point Antitrust

Things to Remember - Antitrust Guidelines

• It is Shell policy to strictly comply with all Federal and State

antitrust laws. Meeting participants are reminded that during, before and after meetings, there shall be no discussion of competitively sensitive information, including but not limited to prices, costs, customers, suppliers, output or production, commercial plans, allocation of territories or customers, or any

• ther discussion that could be viewed as restraining competition
• r limiting any person or company from free access to any

business, market, customer, or vendor.

• Discussion should be limited to agenda items only. Any questions

about the propriety of a discussion item should be raised immediately and should be addressed with an abundance of

• caution. When in doubt, participants should table issues until

reviewed by legal.

• Don’t discuss prices with competitors
• Don’t forget that conviction of antitrust violations is criminal

and can lead to personal incarceration and substantial fines for you as well as your company

• Don’t agree with competitors to boycott suppliers or

customers

• Don’t prepare documents or make presentations without

considering antitrust implications

• Don’t discuss with competitors levels of production outputs

THINGS TO REMEMBER - ANTITRUST GUIDELINES

AGENDA

David Thibodeaux & Mark Hessel

INTRODUCTION T TO S SHE HELL ROAD TRANSPORT RT STAFF

1.0

MARK HE HESSEL LOGISTICS T TEAM LEAD

DAVI VID THI HIBODEAUX ROAD TRANSPORT RT AUTHO HORITY (RT RTA)

VI VINCE VARGAS RT RTSS

VI VINCE VARGAS RT RTSS

RTA David Thibodeaux

12 12 LSR

2.0

Employee a and C Contractor Inductio ion

Work wit ith a a valid id w work permit it when requir ired

You should…

• Understand the Work Permit and

follow it

• Confirm that the Work permit is valid
• Confirm with the Supervisor or the

Person in Charge of the work that it is safe to start work

Conduct gas tests when requir ired

You should…

• Confirm with the Supervisor or the

Person in Charge of the work that the air is tested

• Confirm with the Supervisor or the

Person in Charge of the work that it is safe to start work

• Stop work if you smell gas

Gas Testers should:

• Understand which tests the Work Permit

requires and how often

• Use certified equipment for the tests

Verif ify is isolatio ion before work begin ins and use the specif ifie ied lif ife protectin ing equip ipment

You should…

• Understand the isolations that protect

you from danger

• Confirm with the Supervisor or the

Person in Charge of the work that isolations are in place

• Confirm with the Supervisor or the

Person in Charge of the work that it is safe to start work

Obtain in authoris isatio ion before enterin ing a confin ined space

You should…

• Confirm with the Supervisor or the

Person in Charge of the work that it is safe to start work

• Confirm with the Attendant that you can

enter a confined space

• Follow the requirements of the

Work Permit

Attendants should:

• Approve and control access to a

confined space

• Have means of communication with

people in the confined space

Obtain in authoris isatio ion before overrid idin ing or dis isablin ing safety crit itic ical equip ipment

You should…

• Obtain authorisation from the

Person in Charge or your Supervisor before overriding or disabling safety-critical equipment

Protect yourself again inst a fall w when workin ing at h heig ight

You should…

• Have authorisation to work at height
• utside a protective environment
• Be aware of what fall protection

equipment to use and how to use it

• Check equipment before using it
• Always tie off when at height outside of

a protective environment

Do not walk under a s suspended load

You should…

• Never cross a barrier controlling an

area with a suspended load without authorisation

• Follow the instructions of the Flagman
• r the Person in Charge of the lift

A Person in Charge should…

• Mark the unsafe area and put barriers

in place

• Ensure that nobody walks under a

suspended load

Do not smoke outsid ide desig ignated smokin ing areas

You should…

• Know where the designated smoking

areas are

• Intervene if you see someone smoking
• utside a designated area

No alcohol or drugs whil ile workin ing or driv ivin ing

You should…

• Always inform your Supervisor or the

Person in Charge if you are taking medicine that may have an effect on your performance

• If in doubt, always check with your

Supervisor or the Person in Charge who may seek medical advice

• Not use, keep, sell or distribute

illegal drugs

• Intervene if you see a case of alcohol or

drugs abuse

Whil ile driv ivin ing, d , do not use your phone and do n not exceed speed lim imit its

Drivers should…

• Not use a mobile phone or pager, send
• r read a text message, or use a hands-

free mobile phone device

• Stay at or below the maximum

allowable speed for the road your are driving on as indicated by road signs or Journey Management instructions

• Stay at or below the maximum

allowable speed limit for the vehicle you are driving

• Adjust your speed to the prevailing

conditions

Wear your seat belt

Drivers and Passengers should…

• Always use a 3-point seatbelt (please note

exceptions* below)

• Check that your seatbelt works properly
• Keep your seatbelt properly fastened while

in a moving vehicle

• Check that everyone in the vehicle is

wearing a seatbelt properly before starting to drive

• Intervene when your fellow passengers are

not wearing seatbelts properly

* Exceptions include vehicles where only lap seatbelts are available or in public transport where seat belts are not available.

Follow prescrib ibed Journey Management Plan

Drivers should…

• Confirm if a Journey Management Plan

is required before starting the journey

• Discuss the Journey Management Plan

with the authorised person

• Understand the Journey Management

Plan before starting the journey

• Comply with the duty, driving and rest

hours specified in the Journey Management Plan

• Follow the route specified in the Journey

Management Plan

• Always tell the authorised person

immediately if changes occur

Intervene

Maximum

appropriate disciplinary action

Home… Home… …and SAFE

Permian Basin Team David Thibodeaux /Mark Hessel

CBT & O OTHE HER INFORMATION

3.0

CBT TRAINING

UA contractor Orientation http://www.uacontractor.com/orientation/index.php * All new contractors performing work on behalf of Onshore Wells must review and abide by BOTH

the UA HSE Contractor Handbook and the Minimum HSE Expecations. **As of J July 2012, , there is is a new onlin ine Orie ientatio ion (Blue Book Train inin ing) that is is avail ilable for all Productio ion, , Proje jects and Wells contractors to take. . It wil ill be mandatory to have the onlin ine versio ion completed PRIOR to goin ing to any of our sit ites. . Please go to www.c .contractorpor

• rtal.ca to regis

ister and take the orie ientatio ion(s) onlin ine. Registration Information Contractor Admin Information

CBT & O OTHE HER

Road Transport is any activity related to road, rail or any other method of land transport of materials and goods belonging to Shell or under Shell's

• responsibility. Road Transport incidents consistently remain one of the largest

sources of fatal accidents in UA Company and contractor operations. Systematically, thoroughly implemented HSE Management of all UA and contractor land transport operations can prevent these incidents http://www.uacontractor.com/roadtransport/index.php

Please take 15 min to stretch and take care of Business

BREAK

Break

Steve Saenz

CALICHE ROADS & DUSTY CONDITIONS

4.0

CALICHE HE ROADS AND D DUSTY CONDITIONS

BEST PRACTICES

SRIM

OVE VERVI VIEW DID Y

YOU KNOW THA HAT STATISTICALLY Y YOUR MOST DANGEROUS PART OF YOUR JOB IS D DRIVI VING?

Dusty caliche roads are a fact of life for us in the oil & gas industry, and a hazard we must

• manage. Like any hazard it is best handled proactively and proper controls put in place to

manage the risk. Driving on caliche roads can be extremely dangerous: variable road conditions, dust, and wildlife are just some of the factors while driving on them. Dust clouds created by the weather conditions and/or other vehicles are particularly dangerous. Driving in a dust cloud on a caliche road is dangerous as you cannot see the road ahead and

• ther vehicles will not be able to see you. The risk of a head on collision, or collision with the rear
• f another vehicle or animal is very high.

Driving in these kinds of dusty conditions results in a significant number of deaths each year around the world!

SRIM

TIP: Wildlife on roads, slow down as fast as safely possible, honk your horn and wait for them to leave the road TIP: When driving into large dust clouds, slow down and drive to the conditions

SRIM

DUSTY R ROADS

Slow down and drive to conditions – there is less traction on caliche roads Follow tire tracks whenever possible – this will provide firmer ground Keep away from the caliche on the edge of the roads, it could pull you off the road and may cause your vehicle to roll over Slow down for washboards – the old adage about speeding up to travel over the top may appear to work for small washboards but you can easily lose traction and that may lead to a loss of control of the vehicle Watch out for the slope or camber of the road on corners – it could be sloping in the wrong direction and cause you to skid off the road if you are travelling too fast One thing to remember is that dust is not fog, and behaves completely differently. It can be much denser, and as a result is a much higher risk. People do drive up to 25 mile an hour on caliche roads, which is high speed in dusty conditions. Always drive to the conditions!

SRIM

CALICHE HE ROADS CONT….

• ABS will work differently on caliche and may increase your braking
• distance. If you have to brake heavily be aware of he difference in

the braking sensation of ABS

• Consider using a lower gear when driving. It will give you better

control and enable you to use your engine as a brake.

• Try to steer and brake as smoothly as possible – jerky or sudden

braking or steering will increase the risk of losing control

• Slow down and keep right on the approach to blind corners and crest –

if you meet an oncoming vehicle it may be difficult to avoid a collision.

• Don’t swerve to avoid an animal – you may lose control and you can’t

predict which way the animal will go. Slow down as much as possible and stop, if necessary, until the road clears

SRIM

DRIVI VING IN D DUST

TIP: If the vehicle in front of you, or

• ncoming, is throwing up lots of dust then

slow down, put on your headlights, and if it is really difficult to see pull off to the side of the road somewhere safe and stop for a while TIP: It is very important also to not simply drive off the side of the road, if you cannot see where you are going. There can be deep ditches, creeks and ponds, large rocks or trees there. Be very careful and don’t continue driving if you cannot see where you are going.

SRIM

DRIVI VING IN D DUST

Followin ing a vehic icle travellin ing in in the same dir irectio ion When a vehicle travelling in the same direction is creating a dust cloud that makes it difficult to see the road ahead, drivers should: Slow down; Keep a safe distance (at least four seconds) from the rear of the dust cloud, far enough back to be able to identify and stop safely if the vehicle in front was to stop suddenly; Never enter the dust cloud; Never overtake in the dust cloud. Keep observing the road for turns, sharp curves or T-junctions on graded roads.

SRIM

DRIVI VING IN D DUST

Approachin ing a vehic icle travellin ing in in the opposit ite dir irectio ion When approaching a vehicle travelling in the opposite direction which is creating a dust cloud that will blow across the road and make it difficult to see the road ahead, drivers should: Slow down; Keep moving slowly along the shoulder area. Only rejoin the road when they can see the road in both directions is clear; Slow to a crawl and drive as close to the shoulder as possible. Stop immediately if they become disoriented

SRIM

DRIVI VING IN D DUST

Followin ing a vehic icle travellin ing the same dir irectio ion and then approaching a vehic icle travellin ing in in the opposit ite dir irectio ion When following another vehicle and faced with an approaching vehicle creating a dust cloud that will blow across the road and make it difficult to see the road ahead, drivers should: Enter the shoulder area and stop. The driver of the vehicle in front may have become disorientated and stopped, putting them at risk of a rear end collision in the dust cloud. Hazard lights must be used. Only rejoin the road when the road in both directions is clear.

SRIM

DUST DRIVING SAFETY TIPS

If dense dust is observed blowing across or approaching a roadway, pull your vehicle off the road as far as possible, stop, turn off lights, set the emergency brake, take your foot off

• f the brake pedal to be sure the tail lights are not illuminated.

If you can't pull off the roadway, proceed at a speed suitable for visibility, turn on lights and sound horn occasionally. Look for a safe place to pull off the roadway. Never stop on the traveled portion of the roadway. If the dust cloud is really thick while following other vehicles think about stopping for a couple of minutes and take rest. This will give a chance for the road to clear the dust caused by the other vehicles. LIGHT HTS OUT! In the past, motorists driving in dust clouds have pulled off the roadway, leaving lights on. Vehicles approaching from the rear and using the advance car's lights as a guide have inadvertently left the roadway and in some instances collided with the parked vehicle. Make sure all of your lights are off when you park off the roadway.

SRIM

SOME OTHE HER DUST CONSIDERATIONS

Health: Fine dust particles may become a health hazard when inhaled, aggravating existing respiratory health problems Safety: Dusty caliche roads may contribute to increased frequency and severity of motor collisions. Accident potential is increased due to loss of visibility and less traction due to loose gravel. About 2.3 times more people are killed per vehicle mile of travel on unpaved than paved roads in the United States

Vegetatio ion: Large amounts of dust may stress vegetation due to increased heat absorption and decreased transpiration Aquatic ic Resources: High levels of dust falling into aquatic systems may adversely affect aquatic plants and fish that are not adapted to high levels of sedimentation. Our Neig ighbours: Dust produces an immediate visual impact that may affect residents who live near dust prone roads. For people living along these roads, dust can mean grimy houses, grey laundry, and dust covering everything. Vehic icle Damage: lots of dust fines will lead to loose aggregate on the road surface that can damage

• windshields. Dust will also clog filters and increase abrasion of moving parts

SRIM

SOME OTHE HER AVE VENUES TO P PURSUE?

SRIM

WORK ON ELIMINATING THE HE HA HAZARD?

Should the road be redesigned? Can a better type of surface material be used for the road? Can some kind of dust reducing material be used? Ideally you can work with your company to eliminate the hazard through some kind of engineering control For example, we can ask ourselves and our companies:

SRIM

PERHA HAPS YOU CAN PLACE SOME A ADMINISTRATIVE VE CONTROLS?

Can the amount of traffic be reduced Can speeds be reduced Can the size and/or frequency of heavy vehicles be controlled Can procedures be implemented to cover driving in dusty conditions Have more frequent road maintenance Ideally you can work with your company to place some types of administrative controls on the road For Example:

DRIVI VING IN D DUST

THANK YOU

Barry Washington & Vince Vargas RTSS Permian Basin

MAINTAIN YOUR LANE AND 20 TIPS ON DRIVING

5.0

STANDARD T TEXT S SLIDE TWO L LINE T TITLE

This flyer is intended for Companies who would like to further their understanding of the Maintain Your Lane Philosophy. By no means are we asking anyone to implement a policy of this nature. This is Awareness only.

• the truck/trailer rolled over and exploded into flames killing the driver.

• Always utilize the 6-second following rule
• If your vehicle is over 40 feet long, add an additional second for each additional 10 feet.
• When traveling over 40 mph you should increase your following distance by at least one second.
• When driving in poor weather (rain, snow, fog) conditions - ALWAYS increase your following

• The increased following distance will provide visibility and Time to react!
• Use the 5 Key’s 1.) Aim high in Steering 2.) Get the big picture 3.) Keep your

When all else fails - MAINTAIN YOUR LANE

TIPS ON D DRIVI VING

• 1. Hy

• planing

• Ease your foot off the accelerator. This will slow down your vehicle and help you to maintain steering control. • Avoid turning sharply or

• today. But even with good treads, hydroplaning may occur when water is deeper than the tread depth.

• 2. Bad-Weather Braking

• Apply brakes fully, maintain pressure, and attempt to steer around the car. By applying brakes fully you will activate the anti-lock braking

• brakes. Pumping anti-lock brakes reduces their effectiveness. Drivers without anti-lock brakes should:
• Apply brakes firmly but short of wheel lockup. Try to keep the heel of your foot on the floor, and use the upper part of your foot to apply a

• 3. Guardrail

• guardrail. To minimize damage to your car and your risk of serious injury:
• Do not slam on your brakes. Maintain a firm grip on the steering wheel, and apply brakes firmly but not to a point of lockup. Then gradually

TIPS ON D DRIVI VING

• 4. Sharing the Roa
• ad with Trucks

• Make sure you are far enough behind the truck so the driver can see you in the side mirrors. If you can’t see the truck’s mirrors, chances are the

• First check for a "no passing zone" marking or sign. Check your mirrors, and signal your intention to move when it is safe to do so. • Complete

• 5. Drunk Drivers

• Signal, then make a right turn onto another roadway or driveway. If you are on a long stretch of open highway, continue on until you can turn off

• taillights. • As the car passes, try to get a license plate number and a description of the vehicle. Then notify the police. Highway Hint

• 6. Child Safety Seats

• Choose -- and use -- the proper type of safety seat for your child. There are rear-facing seats for infants, convertible seats for infants and toddlers,

• n how to secure the child safety seat in your vehicle. Before you drive:

TIPS ON D DRIVI VING

• 7. Emergency Ve

• Stay where you are if traffic is too blocked to move into the right lane. Do not move to your left and into oncoming traffic lanes. You risk a head-on

• 8. Following Too Close

• brakes. You hit your brakes hard, but it is too late. Your car rams into the back of the vehicle you were following. What could you have done to avoid

• Allow plenty of distance between your vehicle and the one ahead. Space allows you time to stop safely if the other driver suddenly brakes. A good

• ne ahead of you. Better yet, allow three seconds. Highway Hints

• A. Pick out something up ahead, such as a light post.
• B. When the rear of the vehicle ahead of you passes that point, begin to count "One thousand one, one thousand two, one thousand three..."
• C. If the front of your vehicle reaches the light post before "one thousand three," you’re following too closely.

• 9. Railroad Crossing

• Stop, look, listen -- and live. Less than one-third of all public highway rail grade crossings have flashing lights or gates to warn motorists a train is
• approaching. At all crossings, it’s your responsibility to slow down or stop if necessary. A train always has the right-of-way since it might take a train a

TIPS ON D DRIVI VING

• 10. Right-Ha

• Treat the intersection as if it were a four-way stop. Yield the right-of-way to the car on the right on the intersecting street. Highway Hint

• 11. Flash Flood

• Pull over slowly and stop. Never try to drive through pools of water on the road. They may be deeper than they appear. Highway Hint

• 12. Motorcycles

• Always keep your headlights on -- even during the day. It will help make you more visible. Twenty-two states require motorcyclists to operate their

• Remember to share the road. Keep a lookout for motorcycles. A motorcycle’s small size makes it more difficult to spot in traffic, so motorists must

TIPS ON D DRIVI VING

• 13. Avoiding Collisions

• More collisions can be attributed to driver error than any other factor. Driver error includes many factors, such as improper lookout, excessive speed,

• Avoid taking your eyes off the road to adjust your radio or air-conditioning/heating, or to talk to passengers. • Pull onto the shoulder if you need to

• 14. Air Bags

• You are rear-ended by another car, or hit in the side. • You misjudge your stopping distance and run into a stopped car at up to 10 to 15 mph.

• 15. School Bus Safety

• Come to a stop and wait to move until the lights stop flashing or the bus is moving. On an undivided highway this is true no matter what side of the

TIPS ON D DRIVI VING

16 16. . Left-Hand Turns You’re pulling out of a business driveway and want to make a left turn onto a busy street. The road has a special center lane designed for making turns. To ensure center-lane safety:

• After the traffic clears in the lanes nearest you, enter the center lane -- and wait for traffic to clear in the far lane. Once you are in the

center lane, turn on your right -- hand turn signal. • Do not drive in the "shared left-turn lane." It is neither legal nor safe. Highway Hint As you merge, watch out for vehicles entering the special turning lane in front of you as well as behind you. 17.

• 17. Using Y

Your Turn Signal Always use your turn signal when changing lanes -- even if you’re in the RIGHT TURN ONLY lane and you think it should be obvious that your intention is to turn. When you use your signal every time you change lanes:

• Your intentions will be clear to everyone. This includes pedestrians as well as motorists. • You’ll keep the law on your side. Failing to

signal is a ticketable offense. Highway Hint Most states require the driver to signal at least 100 feet prior to any change in direction. 18 18. . Drifting o

• nto the R

Right Shoulder As you travel down a two-lane highway in the country, your right wheels drop off onto the unpaved shoulder of the road. To correct this situation:

• If the level of the shoulder is only slightly below the pavement, recovery is fairly easy. Hold the steering wheel firmly and ease off the
• accelerator. If there is nothing in the way, steer so that your vehicle straddles the edge of the pavement. • Do not turn the steering wheel
• sharply. You can turn the steering wheel up to a one-quarter turn until the front tire is back on the pavement. Then continue straight down

the road. Highway Hint If your tires scrub against the side of the pavement, do not steer more sharply. Instead, ease off the accelerator, holding the steering wheel firmly, and straddle the pavement once more. Then repeat the procedure as stated before.

TIPS ON D DRIVI VING

19 19. . Recognizing Risks Children playing, cars pulling away from the curb, cross-street traffic, someone getting out of a parked car, animals at the side of the road

• - each of these everyday events can spell disaster for the driver who fails to look well beyond the immediate field of vision. To get the "big

picture" on the roadway:

• Scan the road ahead from shoulder to shoulder. Get the big picture. Search the road -- and roadside -- at least 12 seconds ahead. Think
• f this as your "visual lead time," which will allow you time and space to make decisions and control your vehicle. Highway Hint

At higher speeds, it’s especially important to get the big picture. As speed increases, your eyes focus more on what’s directly in front of you and less on what is to your sides. 20 20. . Head-On C Collision You’re driving down a two-lane highway at 55 mph. In the distance, you see a car approaching in your lane at a high rate of speed. You frantically honk your horn, but the car continues to move toward you in your lane. You think the driver might be asleep or drunk. To avoid a head-on collision:

• Move to the right. If you move to the left, the head-on collision you were hoping to avoid may still happen. If the oncoming driver

recovers, he may instinctively swerve back into his proper lane. • Reduce your speed and wait as long as you can to pull out of your lane. Pull as far to the right as possible; if need be, drive completely off the road. Highway Hint Driving off the road isn’t without risk: There is a possibility you may be injured. However, it’s almost always better than a head-on collision. If you have to hit something, aim for something relatively soft, such as shrubbery.

David Thibodeaux /Mark Hessel

IMPROVE VEMENT PLAN

6.0

AGENDA

Improvement Plan After receipt of your completed assessment spreadsheet the Shell Road Transport Representative will then analyze your responses and schedule a face-to-face meeting to discuss the results and agree upon a formal “Improvement Plan” The “Improvement Plan” is a document that is generated by Shell, in agreement with the contractor to address gaps that were identified in the assessment spreadsheet. You should expect this meeting request generally within 10-14 days once the initial assessment has been completed and sent back to Shell. Assessment Results Your company’s Road Transport (RT) Safety will be evaluated utilizing the Road Transport Safety Pillars. Points will be awarded in each pillar and the total assessment score will be the sum of all the pillars combined. Primarily based on this score, your company will be RT “Stoplight Banded” “Red”, “Yellow” or “Green”. A Road Transport Assessment Summary, establishing your company’s Stoplight Banding will be e-mailed to you by the Shell Road Transport Representative (total assessment scores and individual element points are not shared). Your “Improvement Plan” will help your company improve its assessment score and in turn help make our workplace safer.

GRACE BY BARRY W ASHI HINGTON

Lunch

Subtitle if required.

PROJECT LIFE SAVE VER

7.0

Guest Speaker

TDPS

8.0

TEXT AND I IMAGE

• nes you may be most familiar with are the Texas Highway

• n rural Texas highways and perform a variety of other duties:
• Apprehend traffic law violators, investigate most rural traffic

• Supervise the State Vehicle Inspection Program which includes

• Provide education and information programs on traffic safety

• Responsible for security at the Texas State Capitol Complex in

• Enforce laws regulating weight, registration and other

• Driver License Division Troopers license and rehabilitate Texas

• Oversee Hazardous Materials incidents

Permia ian Logis istic ics Kic ick-off Meetin ing

Invoicing and KPI’s February 6 2013

9.0

Shell Logis istic ics T Team

What is is C Changin ing? Managin ing Purchases made by Chesapeake

Any services rendered prior to February 1 must be invoiced to Chesapeake. Services rendered after February 1 under Shell direction, should be invoiced to Shell. You must obtain a purchase order or LOU number prior to performing work for Shell. Services related to ongoing drilling, completion or construction operations started prior to February 1 under Chesapeake direction, must be invoiced to Chesapeake until the end of the job. Shell will take over the first drilling, completion, pad started after February 1. On February 1, 2013, Permian Basin’s legal name will change to SWEPI LP. Shell’s Upstream assets utilize SAP as their enterprise resource planning system. Upstream calls their SAP system “SAP Blueprint”.

What is is C Changin ing? Shell Invoic icin ing

On February 1, 2013, SWEPI LP will have new PO Boxes set up for Permian

Basin for invoice submittal. The PO Boxes are in Houston, Texas. There will be other changes including a scanning team where all invoices and supporting documentation are submitted and imaged. Our centralized invoice receipt team and invoicing requirements are intended to make the process work efficiently and supporting paying our vendors on time. Effective February1, 2013 invoices for Shell Permian Basin should be submitted to the following PO boxes:

Business Area Email Address US WELL HOU-IC-POBox301440@shell.com P.O.Box 301440 Houston, Texas 77230-1440 US CONST/LOG/PROD HOU-IC-POBox301441@shell.com P.O.Box 301441 Houston, Texas 77230-1441

Logis istic ics I Invoic ice Process

Each week vendor will hold all BOL’s, Weigh bills, Load tickets to submit consolidated invoice the following week Vendor will consolidate all loads on to 2 weekly invoices

 One for Production – all charge codes “PM or Order Numbers” that

begin with 2

 One for Drilling/ Completions – all charge codes “Networks” that

begin with 3 Consolidated invoices will have a line for each load/group of consecutive loads (i.e. one BOL per line item). Each line must include:

BOL/Weigh Bill Number Accessorial Charges Origin/Destination Hours or Miles Fuel Surcharge Network/PM Order Number Date Extended invoice value (i.e. total load cost).

Logis istic ics I Invoic ice Process – Supportin ing Documentatio ion Consolidated invoices must be accompanied by supporting documentation for each load:

 Weigh bills  BOL’s  Load tickets  Water tickets  Waste disposal manifests  Copies of third party pass through charges if applicable

Logis istic ics I Invoic ice Process – Supportin ing Documentatio ion Each BOL/Weigh Bill/Load Ticket must contain:

 Discrete BOL/Weigh Bill Number  Origin/Destination  Rig Name or Location  Hours or Miles  Type of Fluid and Number of Barrels Hauled  Applicable Accessorial  Name and contact number of the Shell contact at the field

location

 Signature of OSR at the field or rep at Waste Disposal site  Network Number (beings with 3) or PM Order Number (beings

with 2)

Logis istic ics I Invoic icin ing P Process – Sig ignin ing/Approval

When Shell staff are on sit ite and avail ilable:

 For services performed at Shell locations, prior to leaving the site you should obtain

Shell’s signature approval on your weigh bill/BOL

 The Shell approvers have been instructed to provide four pieces of information on your

Weigh Bills/BOL’s.

When work is is performed remotely and Shell staff is is not on sit ite (i.e i.e thir ird party dis isposal sit ite):



Go to Shell Kermit or Pecos Field Office to have BOL/Weigh Bills signed



Make sure the name of the Shell contact and contact number is on your BOL/Weigh Bill.



If you cannot get signed at the field office, BOL’s/Weigh bills will be dropped off at the Permian Logistics office with consolidated invoice and Logistics Team will get signature for you

Logis istic ics I Invoic icin ing P Process – Sig ignin ing/Approval

Consolidated invoices with associated supporting documentation must be dropped off or emailed to the Shell Logistics office each week (for previous week’s loads) for review.

 Email:

 Address:

2010 Rankin Hwy Midland, TX 79701 Attn: Shell Logistics Team

Shell Logistics Team will review all charges on each invoice to validate loads, audit pricing, ensure all weigh bills/BOL’s are signed Shell Logistics Team will notify vendor when invoices have been reviewed and are ready to be picked up or they scan and email back to your company representative (based on your preference) Vendor will send approved consolidated invoices to the correct Shell PO Box in Houston (see PO Boxes Slide 4)

Invoic icin ing Requir irements – BIG RULES

ALL INVOICES MUST HAVE A SHELL PURCHASE ORDER NUMBER

 Shell purchase order numbers are ten digits and begin with the

following prefix 49 49XXXXXXXX Invoices must contain a unique invoice number and invoice date. All consolidated invoices must contain Shell Contact Name

 Mark Hessel, Shell Permian Logistics Lead

Invoices must contain the vendor name and remittance address. Name

• n invoice must match the vendor name on the Shell purchase

contract. Always reference the respective Shell PO Box number on first page of invoice.

Invoic icin ing Requir irements – Consolid idated Invoic ice S Sample

AB ABC T C TRUCKIN CKING 123 Smi Smith Rd Rd, , Midlan idland T TX, X, 79111

Payment On T Tim ime

Shell’s goal is to pay all invoices on time.

 Shell’s global payment on time target is 95% for invoice volume and

invoice value.

 All invoices are received centrally. Payment on time is calculated as

follows:

 Receipt Date + Payment Terms = Invoice Due Date.  Receipt Date = Invoice Scanned Date.  For example:

 Invoice is scanned August 1, 2013.  Vendor payment terms are Net 30 payment terms.  Invoice Due Date is August 30, 2013.

Vendor Payment Inquir iry Assis istance

Shell Upstream Americas has a dedicated team to respond to vendor payment inquiries.

 If you have not received a payment or need to reconcile your

Accounts Receivable balances, contact via one of the following:

 Phone Toll free: +1-866 –595– 6335  Email address: SEPCO-Payments@shell.com Note: Email is the

preferred method of communication. All emails and phone calls are logged and tracked. A timely response is part of an internal scorecard. Note: The initial response may not resolve the issue as investigation with the business may need to take place. If you do not use the above methods to investigate an invoice issue, your issue will not be tracked and will delay response re your issue

KPI’s - Freig ight

Data for all loads hauled for Shell must be tracked in the attached format Should be sent to Shell Permian Logistics Team Weekly

 SEPCO-Permian-Logistics-Freight@shell.com

KPI’s - Bulk

Data for all loads hauled for Shell must be tracked in the attached format Should be sent to Shell Permian Logistics Team Weekly

 SEPCO-Permian-Logistics-Bulk@shell.com

David Thibodeaux Lead RT Team supervise

BREAK OUT SESSION

10.0

BREAK OUT

Dis iscussio ion questio ions

• How do these training meetings

benefit your company?

• How does the sharing of

information benefit your company and our industry?

• What training is the most

important and why?

• What will you take back with

you from this Forum?

GUEST SPEAKER

MM Safety Inc. & MM Consulting

Krisha Marker

SAVI VING L LIVE VES O ONE MILE A AT A A T TIME

BAD DRIVE VERS ARE EVE VERY RYWHE HERE!

WHA HAT I IS THE HE PURPOSE OF LIFE SAVI VING D DRIVI VING RULES?

Save Liv ives, R , Reduce I Inju jurie ies, a , and Make Better D Driv ivers!

DDD DDD

WHA HAT I IF YOUR C CAR HA HAD A B BRAIN?

GOD GAVE VE US T THE HE BRAIN NOT T THE HE CAR:

Proven fact: Less Likely to be seriously injured

• r even killed by wearing a seat belt.

Click it or ticket: “It is the law” Everyone must be seat belted in!

Never let your guard down when it comes to defensive driving or riding!

MAKE I IT A A H HABIT:

EXCLUDING PHO HONES & E ELECTRONICS OTHE HER UNSAFE A ACTS S SEEN A AND N NOTED B BY LAW OFFICIALS

• Shaving
• Make-up
• Reading
• Beating your kids
• NO seatbelt
• Speeding
• Tailgating
• Eating
• Drinking
• Failing to Stop or Yield
• Unsafe Passing
• Not using Blinkers
• Driving Under the

Influence of…………..

ARROGANCE, , ANGER, & , & ALCOHO HOL

MYTHS HS

“I don’t have far to go” “I don’t feel any effects” “I’m more alert after a few drinks” “Coffee will sober me up” “I just need some fresh air” “I’ll drive slowly and carefully” “I’ve only been drinking beer”

DEFENSIVE VE DRIVI VING E ENSURES:

• Making good choices behind the wheel for YOUR

WORLD and OUR WORLD on the ROAD!

• Action vs. Reaction
• Only 1 Person can control your behavior behind the

wheel & that is YOU!

• Road Rage: 3 R’s Reflect,

, Reframe, & , & R Refocus

• Scan ahead, around, and behind your vehicle using

mirrors every 3 to 5 seconds.

• Use the “what if” strategy to keep yourself alert to

hazards known and unknown.

• Lastly No matter how you look at it…Only 1 in

100,000 100,000 people a are p proven Multit itaskers… Electronic ics & P Phones a are D DISTRACTIONS! SMART P PHO HONES HA HAVE VE C CREATED S STUPID DRIVE VERS

Your Choic ices today wil ill im impact your tomorrows.

Thank you! Krisha Marker MM Safety Inc.

Q & A