Minimum Training/Orientation Requirements

1. SafeGulf Minimum Training/OrientationRequirements STEP Network Meeting Corpus Christi, Texas April 20,2005

2. Desired Outcomes • Share history of Contractor Operator Steering Team (COST) and SafeGulf • Provide overview of industry concerns related to training and security • Describe minimum training requirements and timeline (www.SafeGulf.com) • Address issues from communication sessions. STEPS Network Meeting April 20, 2005

3. SafeGulf Advisory Group • BP – Ray Britt • ChevronTexaco – Tim Elsen • ExxonMobil – Milton Bell • Shell – Jim Shackelford • ASC – Sonny Hedges • IADC - John Auth • ICP – Gary LoPiccolo • GCS&TG – Steve Langlinais • Contractors at Large – Chad Comeaux • Support Operator’s Group – Bill Walker(nonvoting member) STEPS Network Meeting April 20, 2005

4. Organizations Consulted Regulatory/Industry Agencies Consulted: • OSHA • API • USCG • ADA • American Bureau of Shipping (ABS) Listed groups were consulted and feedback was received: • OOC • IADC • NOIA • OMSA • ICP Contractors • Diving Community • Drilling Community • Marine Transportation Community • Catering Community • Painting Community • Crane Mechanics and Rental Community • Welding Community • I&E Community • Association of Reciprocal Safety Councils • Operators’ Legal Staff Note – This does not constitute an endorsement from any of the above. STEPS Network Meeting April 20, 2005

5. History of SafeGulf • Originated from a mix of ICP contractors and operators. • Evolved from 3 days of regulatory training to 1 day of minimum required training. • Single source trainer to multiple options • In response to industry-wide training and security concerns. STEPS Network Meeting April 20, 2005

6. Industry Training Concerns • Operators have not been consistent with training requirements. • Significant number of RCA’s have “lack of training” listed as a near root cause. • Contractor high turnover rate creating additional cost to contractors and operators due to retraining. • Level playing field. STEPS Network Meeting April 20, 2005

7. Industry Security Concerns • Safety Councils are identifying and reporting to proper authorities more than 7 people a week with false Social Security Numbers. • USCG are issuing security bulletins and are defining minimum security requirements. • 33 CFR • DOT security requirements. • 49 CFR STEPS Network Meeting April 20, 2005

8. Minimum Training/Orientation Requirements • Accident Prevention Signs & Tags • Blood borne Pathogens (Awareness) • Confined Space (Awareness) • Lockout/Tagout • Drug & Alcohol (Awareness) • Electrical Safety (Non Electrical Worker) • Fall Protection (Awareness) • Fire Prevention and Portable Fire Extinguisher • Hazard Communication & HAZWOPER • Walking Working Surfaces (Awareness) • Offshore Orientation and Evacuation • Personal Protective Equipment (PPE) & Respiratory Protection (Awareness) • Marine Debris (Awareness) • Permitting (Awareness) • Prevention of Workplace Violence • Incident Reporting and Investigation (Awareness) • Hand Safety (Awareness) • Back Injury Prevention • Intervention & Behavioral Safety (Awareness) • Job Safety and Environmental Analysis Underline – Operator Requirement STEPS Network Meeting April 20, 2005

9. Important Note • This is the absolute minimum needed to work offshore for BP, ChevronTexaco, ExxonMobil and Shell. • Contractors still need to provide additional specialized training based on employee roles and responsibilities. STEPS Network Meeting April 20, 2005

10. 2004 Grandfathering • July 1, 2004 through January 1, 2005 is the grandfathering period. • IADC Rig Pass Card holders are grandfathered. • All Others: • Be listed on endorsing operator’s “approved” list of contractors for grandfathering • Submit acceptable syllabus (www.SafeGulf.com) • Submit proof that employees attended courses STEPS Network Meeting April 20, 2005

11. Program Compliance Options • SafeGulf Program and Accreditation • Reciprocal Programs Accreditation • Test-Out STEPS Network Meeting April 20, 2005

12. Accreditation • IADC and ASC are working to insure equivalent accreditation. • ASC will accredit any of the following starting in July 2004: • Contractors (In House Training Programs) • Third Party Trainers • Technical Colleges • Safety Councils STEPS Network Meeting April 20, 2005

13. Reciprocal Programs Accreditation • SafeGulf equivalent contractor programs • IADC Rig Pass – Closing gaps • PEC/Premier - Closing gaps • OMSA - Closing gaps STEPS Network Meeting April 20, 2005

14. Test-Out Option • Test-Out Option - Individuals passing the 100 question test (80% passing grade) by a SafeGulf accredited Training Provider. • If an individual fails, he/she must attend the SafeGulf Course provided by a SafeGulf accredited Training Provider. STEPS Network Meeting April 20, 2005

15. ProgramCost • SafeGulf Program and Accreditation • $1000 • Renewal minimal • Reciprocal Programs Accreditation • ~$1000 • Test-Out • Third party pricing • SafeGulf Certification / Card/Bar Code • ? STEPS Network Meeting April 20, 2005

16. InternetAccessDatabase All Accredited Trainers will have student data entered into ASC database. STEPS Network Meeting April 20, 2005

17. InternetAccessDatabase STEPS Network Meeting April 20, 2005

18. SafeGulfStructure Associated Safety Councils SafeGulf Advisory Group International Association Of Drilling Contractors Supporting Operator’s Curriculum Committee Review Committee OMSA – Closing gaps PEC – Closing gaps STEPS Network Meeting April 20, 2005

19. SafeGulfAdvisoryGroup • Safe Gulf Advisory Group (SGAG) - The SGAG formed to assist SafeGulf by providing industry input and expertise into the curriculum and process. Members of SGAG do not represent the interests of their individual companies or organizations and participation of the members companies or organizations in SafeGulf remains a management decision within each company or organization. STEPS Network Meeting April 20, 2005

20. Committees • Curriculum Committee - Comprised of 15 member volunteers recruited from industry by the SGAG. Committee will periodically review the current SafeGulf courses and make recommendations, as needed, to the SGAG on any updates, upgrades, additions etc. to those courses. • Review Committee - Comprised of 15 member volunteers recruited from industry by the SGAG. This committee will review and monitor this process and provide information to the SGAG regarding accreditation. STEPS Network Meeting April 20, 2005

21. Operator Implementation • Shorebases begin checking for SafeGulf Certification July 1, 2005. • SafeGulf Certification required January 1, 2006. • Contractors must have picture identification. STEPS Network Meeting April 20, 2005

22. Employees with Disabilities What if the student can not read? • Students are asked to notify the instructor during the first break of the day if reading assistance is required. • Test is read to the person and it is true / false. • Operators can choose to require a sign comprehension test that is available from ASC. This tests for recognition of signs before being allowed onto property. Operators may elect to not allow person onto property at all. STEPS Network Meeting April 20, 2005

23. BenefitsofSafeGulf • Clear, defined minimum requirements • SafeGulf Certification • Training program Synergies • Level the playing field • Identification Lookup • Database interconnection • Contractors are given the option to train their personnel in-house or with another third party of choice • High quality training at accredited trainers guaranteed through unannounced and announced audits • Consistency between major GOM operators STEPS Network Meeting April 20, 2005

24. DetailedTimeline STEPS Network Meeting April 20, 2005

25. CommunicationSessions Follow up Communication Sessions with contractors • May 11 in Lafayette at CVX, 9 am & 1 pm • May 17 in New Orleans at CVX, 9 am & 1 pm • May 25 in Houston at the Associated Safety Council, Deer Park, 9 am & 1 pm (Dates to be posted on SafeGulf Website) STEPS Network Meeting April 20, 2005

26. CommunicationSessionsIssues • SS#’s • ISNetWorld • PEC • $ Cost • Reciprocate with Downstream STEPS Network Meeting April 20, 2005

27. CommunicationTools • BP Contractor Web Site • http://gomcontractors.bp.com/ • ChevronTexaco Web Site • http://www.chevrontexaco.com/contractorgom/ • Shell Contractor Web Site • http://www.sepcocontractor.com/ • SafeGulf Web Site • http://www.safegulf.com/ STEPS Network Meeting April 20, 2005