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MONGOLIAN

MINING

COMPANY

MONGOLIAN MINING COMPANY THE ROAD TO ZERO HARM OYU TOLGOI LLC-SAFETY STRATEGY Mahoney D’Alterio Principal Advisor

THE ROAD TO ZERO HARM

OYU TOLGOI LLC-SAFETY STRATEGY

Mahoney D’Alterio

Principal Advisor

ABOUT OYU TOLGOI LLC

MONGOLIAN

MINING

COMPANY

ABOUT OYU TOLGOI LLC MONGOLIAN MINING COMPANY One of the world’s largest undeveloped copper and gold
ABOUT OYU TOLGOI LLC MONGOLIAN MINING COMPANY One of the world’s largest undeveloped copper and gold

One of the world’s largest undeveloped copper and gold deposit, located in the South Gobi region

copper and gold deposit, located in the South Gobi region Proven resources for 27 years of

Proven resources for 27 years of production, and identified resources that could extend mine life to 59 years

resources that could extend mine life to 59 years Features high-quality deposits that can be produced

Features high-quality deposits that can be produced at low costs and make Mongolia competitive in the world market.

low costs and make Mongolia competitive in the world market. Construction is 70 per cent complete,

Construction is 70 per

cent complete, with first production planned for

2013.

Ulaanbaatar 600 km Oyu Tolgoi
Ulaanbaatar
600 km
Oyu
Tolgoi

MONGOLIAN

MINING

COMPANY

MONGOLIAN MINING COMPANY THE IMPACT OF OYU TOLGOI LLC Oyu Tolgoi is the largest single economic

THE IMPACT OF OYU TOLGOI LLC

Oyu Tolgoi is the largest single economic stimulus in the history of Mongolia.

By the time the mine is brought into production, investors will have contributed US$6 billion.largest single economic stimulus in the history of Mongolia. 30% of government revenue will come from

30% of government revenue will come from Oyu Tolgoi, peaking at $1 billion.production, investors will have contributed US$6 billion. Mongolia’s economy will grow by an additional 35% by

Mongolia’s economy will grow by an additional 35% by 2020.revenue will come from Oyu Tolgoi, peaking at $1 billion. The value of Mongolian exports will

The value of Mongolian exports will double.Mongolia’s economy will grow by an additional 35% by 2020. The operation will employee 15,000 people,

The operation will employee 15,000 people, 90 percent of them from Mongolia35% by 2020. The value of Mongolian exports will double. Wages will increase 30%. For every

Wages will increase 30%. For every Oyu Tolgoi job, 4 additional jobs will be created.employee 15,000 people, 90 percent of them from Mongolia The project includes development of an airport,

The project includes development of an airport, new and improved roads, a power plant and transmission lines, and a US$2 million sports complex.90 percent of them from Mongolia Wages will increase 30%. For every Oyu Tolgoi job, 4

of an airport, new and improved roads, a power plant and transmission lines, and a US$2
of an airport, new and improved roads, a power plant and transmission lines, and a US$2

HEALTH, SAFETY AND ENVIRONMENT STRATEGY

MONGOLIAN

MINING

COMPANY

AND ENVIRONMENT STRATEGY MONGOLIAN MINING COMPANY Leadership Manage key risks and opportunities Processes and

LeadershipAND ENVIRONMENT STRATEGY MONGOLIAN MINING COMPANY Manage key risks and opportunities Processes and tools

Manage key risks and opportunitiesSTRATEGY MONGOLIAN MINING COMPANY Leadership Processes and tools Organisation Learning and training

Processes and toolsMINING COMPANY Leadership Manage key risks and opportunities Organisation Learning and training Regulatory

OrganisationMINING COMPANY Leadership Manage key risks and opportunities Processes and tools Learning and training Regulatory

Learning and trainingMONGOLIAN MINING COMPANY Leadership Manage key risks and opportunities Processes and tools Organisation Regulatory

RegulatoryMINING COMPANY Leadership Manage key risks and opportunities Processes and tools Organisation Learning and training

COMPANY Leadership Manage key risks and opportunities Processes and tools Organisation Learning and training Regulatory
COMPANY Leadership Manage key risks and opportunities Processes and tools Organisation Learning and training Regulatory

OYU TOLGOI’S HSE VISION, OBJECTIVES AND VALUES

OUR VISION:

Oyu Tolgoi is committed to zero harm to all its stakeholdersOYU TOLGOI’S HSE VISION, OBJECTIVES AND VALUES OUR VISION: MONGOLIAN MINING COMPANY OUR OBJECTIVES: Zero

MONGOLIAN

MINING

COMPANY

to all its stakeholders MONGOLIAN MINING COMPANY OUR OBJECTIVES: Zero fatalities and continuous improvement
to all its stakeholders MONGOLIAN MINING COMPANY OUR OBJECTIVES: Zero fatalities and continuous improvement

OUR OBJECTIVES:

Zero fatalities and continuous improvement in all our HSE performance indicatorsMONGOLIAN MINING COMPANY OUR OBJECTIVES: Active, felt and visible leadership All work planned and all

continuous improvement in all our HSE performance indicators Active, felt and visible leadership All work planned

Active, felt and visible leadership

performance indicators Active, felt and visible leadership All work planned and all work executed according to

All work planned and all work executed according to the plan

OUR VALUES:

and all work executed according to the plan OUR VALUES: Caring for our employees, our neighbours

Caring for our employees, our neighbours and our environment

Our health, safety and environment systems produce leading edge outcomesand all work executed according to the plan OUR VALUES: Caring for our employees, our neighbours

our employees, our neighbours and our environment Our health, safety and environment systems produce leading edge
our employees, our neighbours and our environment Our health, safety and environment systems produce leading edge

MONGOLIAN

MINING

COMPANY

MONGOLIAN MINING COMPANY SUCCESS DEPENDS ON ACTIVE, HEART FELT AND VISIBLE LEADERSHIP LEADERSHIP COMMITMENT IS

SUCCESS DEPENDS ON ACTIVE, HEART FELT AND VISIBLE LEADERSHIP

LEADERSHIP COMMITMENT IS CRITICAL TO OUR SUCCESS AND IS SEEN THROUGH OUR LEADERS

Living the cultureIS CRITICAL TO OUR SUCCESS AND IS SEEN THROUGH OUR LEADERS Driving behaviours that are aligned

Driving behaviours that are aligned to our valuesSUCCESS AND IS SEEN THROUGH OUR LEADERS Living the culture Making the right decisions Actively encouraging

Making the right decisionsculture Driving behaviours that are aligned to our values Actively encouraging broad participation in every aspect

Actively encouraging broad participation in every aspect of safety managementthat are aligned to our values Making the right decisions WE ARE ACHIEVING THIS THROUGH Visible

WE ARE ACHIEVING THIS THROUGH

Visible HSE ideals and iconsaspect of safety management WE ARE ACHIEVING THIS THROUGH Safety leadership training programmes Actively involving our

Safety leadership training programmesWE ARE ACHIEVING THIS THROUGH Visible HSE ideals and icons Actively involving our people in identifying

Actively involving our people in identifying risks and implementing controlsHSE ideals and icons Safety leadership training programmes Strategy focuses on risk management and is supported

Strategy focuses on risk management and is supported by programs.involving our people in identifying risks and implementing controls Shared accountability for safety and risk management

Shared accountability for safety and risk managementpeople in identifying risks and implementing controls Strategy focuses on risk management and is supported by

Strategy focuses on risk management and is supported by programs. Shared accountability for safety and risk

MANAGE KEY RISKS AND OPPORTUNITIES

KNOWING OUR KEY RISKS AND OPPORTUNITIES IS CRITICAL TO US ACHIEVING OUR VISION AND OBJECTIVES

Understand work area hazards/ impacts and manage the material risksIS CRITICAL TO US ACHIEVING OUR VISION AND OBJECTIVES Incorporate process safety assessments in all new

Incorporate process safety assessments in all new areas of plantwork area hazards/ impacts and manage the material risks Increase reporting of significant potential incidents

Increase reporting of significant potential incidents potential incidents

Complete Health baseline assessments for all OT LLC employees and contractorsplant Increase reporting of significant potential incidents MONGOLIAN MINING COMPANY WE ARE ACHIEVING THIS

MONGOLIAN

MINING

COMPANY

employees and contractors MONGOLIAN MINING COMPANY WE ARE ACHIEVING THIS THROUGH Designing and implementing

WE ARE ACHIEVING THIS THROUGH

Designing and implementing systems – examples, risk management, health monitoring, hazard awarenessMINING COMPANY WE ARE ACHIEVING THIS THROUGH Implementing and embedding our Health, Safety and

Implementing and embedding our Health, Safety and Environment operational standards to manage these – examples, isolation, working at heights, confined spaces, vehicles confined spaces, vehicles

Involving our employees i n safety management examples communication and consultation nvolving our employees in safety management examples communication and consultation

Promoting hazard awareness so employees see and manage the risks in the workplaceI nvolving our employees i n safety management examples communication and consultation Induction and training processes

Induction and training processesexamples communication and consultation Promoting hazard awareness so employees see and manage the risks in the

Promoting hazard awareness so employees see and manage the risks in the workplace Induction and training

PROCESSES AND TOOLS

WORLD CLASS AND CONSISTENTLY IMPLEMENTED PROCESSES AND TOOLS ARE CRITICAL TO US ACHIEVING OUR VISION AND OBJECTIVES

OUR INTEGRATED HEALTH, SAFETY AND ENVIRONMENT MANAGEMENT SYSTEM AND OPERATIONAL STANDARDS PROVIDES THIS FRAMEWORK AND FOUNDATION

CORE ELEMENTS INCLUDE

Our Policy – example, Life Saving Rules

Measuring and monitoring – example, health monitoring and wellness programmes

MONGOLIAN MINING COMPANY 2 1 Policy 3 Legal and Hazard other 17 identification require- and
MONGOLIAN
MINING
COMPANY
2
1
Policy
3
Legal and
Hazard
other
17
identification
require-
and risk
Management
ments
4
management
review
HSEQ
management
Performance
16
improvement
assessment and
planning
auditing
5
Organisational
Data and
resources,
records
accountabilities and
15 management
Leadership
responsibilities
6
Non conformance,
incident and action
management
commitment
Training, competency
& resources
and awareness
14
Supplier and
Measuring and
contractor
7
monitoring
management
13 Business
Documen-
resilience
tation and
and
document
8
recovery
Communi-
Manage-
control
cation and
12
ment of
Operation
consultation
chage
control
9
11 10

Hazard identification and risk assessment – examples, TRACK

Communication and consultation – example, Pre-Start Safety meetings, Safety Share

Business resilience and recovery – example, Emergency response plan

HSE Operational standards – example, training, procedures, permit to work

Incident reporting and investigation and Action management

standards – example, training, procedures, permit to work Incident reporting and investigation and Action management

MONGOLIAN

MINING

COMPANY

MONGOLIAN MINING COMPANY SAFETY PROCESSES AND TOOLS

SAFETY PROCESSES AND TOOLS

MONGOLIAN MINING COMPANY SAFETY PROCESSES AND TOOLS
MONGOLIAN MINING COMPANY SAFETY PROCESSES AND TOOLS
MONGOLIAN MINING COMPANY SAFETY PROCESSES AND TOOLS
MONGOLIAN MINING COMPANY SAFETY PROCESSES AND TOOLS

MONGOLIAN

MINING

COMPANY

MONGOLIAN MINING COMPANY ORGANISATION, LEARNING AND TRAINING AND REGULATORY ORGANISATION Have one HSE

ORGANISATION, LEARNING AND TRAINING AND REGULATORY

ORGANISATION

Have one HSE organisation to support the whole of OTLEARNING AND TRAINING AND REGULATORY ORGANISATION Demonstrate alignment to Rio Tinto HSE standards Ensure all

Demonstrate alignment to Rio Tinto HSE standardsHave one HSE organisation to support the whole of OT Ensure all activities and personnel follow

Ensure all activities and personnel follow OT HSE frameworkwhole of OT Demonstrate alignment to Rio Tinto HSE standards Create an outcome focused HSE organisation

Create an outcome focused HSE organisationEnsure all activities and personnel follow OT HSE framework Ensure all areas have Team HSE plans

Ensure all areas have Team HSE plans and objectives derived from this strategyOT HSE framework Create an outcome focused HSE organisation Advance HSE talent management and organisational capacity

Advance HSE talent management and organisational capacity developmentTeam HSE plans and objectives derived from this strategy LEARNING AND TRAINING Ensure all personnel complete

LEARNING AND TRAINING

Ensure all personnel complete applicable HSE training prior to commencing workorganisational capacity development LEARNING AND TRAINING Ensure all roles are clearly defined and identify skills

Ensure all roles are clearly defined and identify skills required to perform safely required to perform safely

Develop our HSE professionals to achieve excellencedefined and identify skills required to perform safely REGULATORY Perform to world class Health safety and

REGULATORY

Perform to world class Health safety and Environmental regulatory standardsto perform safely Develop our HSE professionals to achieve excellence REGULATORY Work with government and industry

Work with government and industry groupsprofessionals to achieve excellence REGULATORY Perform to world class Health safety and Environmental regulatory standards

Perform to world class Health safety and Environmental regulatory standards Work with government and industry groups

MONGOLIAN

MINING

COMPANY

MONGOLIAN MINING COMPANY SAFETY – STRIVING FOR ZERO HARM Keeping the message fresh and awareness high

SAFETY – STRIVING FOR ZERO HARM

Keeping the message fresh and awareness highMINING COMPANY SAFETY – STRIVING FOR ZERO HARM Moving beyond conformance to accountability Developing

Moving beyond conformance to accountabilityFOR ZERO HARM Keeping the message fresh and awareness high Developing strong culture and supporting systems

Developing strong culture and supporting systemsawareness high Moving beyond conformance to accountability Actively managing low-probability, high-consequence events

Actively managing low-probability, high-consequence eventsDeveloping strong culture and supporting systems Focusing on learning and training in classroom and on job

Focusing on learning and training in classroom and on jobActively managing low-probability, high-consequence events Developing leaders who “walk the talk” Engaging our

Developing leaders who “walk the talk”events Focusing on learning and training in classroom and on job Engaging our contractors into our

Engaging our contractors into our cultureevents Focusing on learning and training in classroom and on job Developing leaders who “walk the

and training in classroom and on job Developing leaders who “walk the talk” Engaging our contractors
and training in classroom and on job Developing leaders who “walk the talk” Engaging our contractors

THANK YOU

Mahoney D’Alterio

Principal Advisor

THANK YOU Mahoney D’Alterio Principal Advisor