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

• 50% increase in Fatalities in the Surat Basin in the last 5 years

•West Texas – 47% increase fatalities in one year

• 3 Industry and 3 Public Fatalities in the Queensland Area of Operations in one week.

Increased road usageIncreased road usage

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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...• Acceptance of Risk by all Industry participants – newcomers adopting

• Guideline used to support international Operations (Apache and Conoco Philips)

• Step improvement in behaviours from IVMS users

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.

IVMS SettingINPUTS OUTPUTS

Origin Santos QGC ArrowProposed Industry Settings*

SEATBELTSSeatbelts > 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)SPEEDOver Speed Event 115 kph for 20 seconds

120 kph Instantaneous125 kph Instantaneous

>115 kph for 10 seconds > 110kph (instantaneous) > 110 for 30 sec>125kph (instantaneous)

> 10% of speed limit for all speed events

> 110 kph** Instantaneous> 120 kph Instantaneous

Audible warning at >110 kphGeo-Fenced Speeds Not Enabled >5 kph over speed for 10

seconds> 10% of speed limit for all speed events

5> kph >10 for 15 seconds10> kph >15 Instantaneous

Audible warning at over speedFATIGUELV Hours Driving /Rest Breaks

> 2 hours10 min rest every 2hrs30 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 > 2 hours Instantaneous15 min rest break every 2hrs

Audible warning at 1¾hrs

POOR DRIVINGHarsh Braking > 12 kph/sec (0.34g) Not Enabled > 12 kph/sec (0.34g) > 12 kph/sec (0.34g) > 12 kph /sec or 0.34gExcessiveHarsh Braking

> 18 kph/sec (0.51g) > 17 kph/sec (0.48g) > 18 kph/sec (0.51g) > 18 kph/sec (0.51g) > 18 kph /sec or 0.51g

Harsh Acceleration > 12 kph/sec (0.34g) > 12 kph/sec (0.34g) > 12 kph/sec (0.34g) > 12 kph/sec (0.34g) > 12 kph /sec or 0.34g

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 >110kph instantaneous expected to be an agreed exception trigger. The current Origin setting of >115kph 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 CodeCommitment• 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 findingsOrigin Corrective Action Reporting Count by Element for Reporting Period – June 13

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