Sie sind auf Seite 1von 33

PR1171 Part I : HSE in Contracts Procedure Printed 08/06/14

The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.




Petroleum Development Oman L.L.C.

Document: Contract HSE Management:




Document ID PR-1171 PART 1
Document Type Procedure
Security Un-Restricted
Discipline Management Safety & Environment
Document Owner Head of Corporate HSE-SD
Month and Year of
Issue
March 2012
Version 5.0
Keywords Company rules for managing HSE in contracts
FINAL
Copyright: This document is the property of Petroleum Development Oman, LLC. Neither the
whole nor any part of this document may be disclosed to others or reproduced, stored in a retrieval
system, or transmitted in any form by any means (electronic, mechanical, reprographic recording or
otherwise) without prior written consent of the owner.


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012


i PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.





DOCUMENT Authorisation







Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012


i PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.




The following is a brief summary of the three most recent revisions to this document. Details of all
revisions prior to these are held on file by the Document Custodian.

Version No. Date Author Scope / Remarks
Version 5.0 01/04/2012 Kevin Doyle MSE/12 Reformatted. Supersedes PR1171 Part I Version 4.
Added. Requirement for Preliminary HSE Plan.
Critical tasks streamlined from 53 to 25 tasks to add
value to the contract HSE process.
Version 4.0 Jan 2002 Trevor Ford UEG/1D Reformatted. Supersedes HSE/97/04, HSE/97/06
HSE/96/02, SP-1080. Revised in line with new CHCS
scheme. Deleted provisions for Low-Risk Contracts.
Deleted requirement for Preliminary HSE Plan.
Version 3.0 Dec 1998 Steve Raatz CSM/2x Renumbered for EDMS (was HSE/97/02).
Reformatted to new Procedure template. Added
provision for Low-Risk Contracts including Minor
Revisions to Contract Management Plan.




User Notes:

The requirements of this document are mandatory. Non-compliance shall only be authorised by CFDH
Operations Safety through STEP-OUT approval.

A controlled copy of the current version of this document is in Livelink and HSE Web page as well as HSE
for contractors page.. Before making reference to this document, it is the user's responsibility to ensure
that any hard copy, or electronic copy, is current. For assistance, contact the Document Custodian.

This document is the property of Petroleum Development Oman, LLC. Neither the whole nor any part of
this document may be disclosed to others or reproduced, stored in a retrieval system, or transmitted in
any form by any means (electronic, mechanical, reprographic recording or otherwise) without prior written
consent of the owner.




Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012


i PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.




Related Business Processes & CMF Documents
Related Business Processes
Code Business Process (EPBM 4.0)




Parent Document(s)
Doc. No. Document Title
CP 122 HSE Management System Manual




Other Related CMF Document(s)
Doc. No. Document Title
PR 1171 Pt
I & II
Contract HSE Management
PR 2010 Pt
II
HSE Training Provision Approvals and Quality Assurance Procedure
SP 1157 HSE Training Specifications
SP 2000 Road Transport Specification
GU 673 Core HSE Assessment System
PR1233 Contract C&P Management
SP1234 PPE


Related Corporate Management Frame Work (CMF) Documents
The related CMF Documents can be retrieved from the Corporate Business Control
Documentation Register CMF.





Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



ii PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contents

Related Business Processes & CMF Documents ................................................................... iv
Related Corporate Management Frame Work (CMF) Documents .......................................... iv
1. Introduction .......................................................................................................................... 1
1.1 Background............................................................................................................... 1
1.2 Purpose ..................................................................................................................... 1
1.3 Distribution ............................................................................................................... 1
2. Contract HSE Management Procedure .............................................................................. 2
2.1 Scope ......................................................................................................................... 2
2.2 Description ............................................................................................................... 2
2.3 Contract Owners Responsibilities ........................................................................ 2
2.4 Contract Holders Responsibilities ........................................................................ 3
2.5 Minor Contract ......................................................................................................... 3
Contract Phase Planning and Invitation to Tender ............................................................... 4
Task 1 Contract holder to Conduct HSE Assessment ...................................................... 4
Task 2 Prepare (GU140) C-09 HSE Requirements .......................................................... 4
Task 3 Development of HSE Prequalification Criteria .................................................... 5
Task 4 Tender Board Endorse HSE Prequalification Criteria ...................................... 6
Task 5 Prequalify Contractors ............................................................................................ 6
Contract Phase Tender Period ............................................................................................... 7
Task 6 Contractor Submission: Document GU140 (C-09) HSE Requirements ........... 7
Task 7 Site Visit .................................................................................................................... 7
Task 8 Clarification Meeting ............................................................................................... 7
Contract Phase: Evaluation and Contract Award .................................................................... 8
Task 9 Review Contractor Submission Document C-09 HSE Requirements ............ 8
Task 10 Approve Contractor Key HSE Personnel ........................................................ 9
Contract Phase: Mobilization ................................................................................................... 9
Task 11 Kick off Meeting PDO Internal and Contractor Meeting .................................. 9
Task 12 HSE Workshop ................................................................................................. 10
Task 13 Approve Contractors HSE Plan. .................................................................... 11
Task 14 Contract Holder Develops PDO HSE Monitoring Program, review and
approve 11
Task 15 PDO and Contractor Training ........................................................................ 11
Task 16 Pre-commencement HSE Audit of Contractor (checklist HSE Web) .... 12
Task 17 Contractor Completes Pre-execution HSE audit Items ............................. 13
Task 18 Contract Holder to Issue HSE Commencement Certificate ...................... 13
Contract Phase - Execution ..................................................................................................... 14
Task 19 Monitor Contractors implementation of HSE Management Plan ............ 14
Task 20 Additional HSE Requirements ....................................................................... 14
Task 21 Revise/Review & implement the HSE Plan...................................................... 14
Task 22 HSE Penalties and Defaults ........................................................................... 15
Task 23 Contract HSE Performance Reports ............................................................. 15


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



ii PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contract Phase: Demobilization ............................................................................................. 16
Task 24 Site Restoration Certificate Approval .......................................................... 16
Contract Phase: Close Out Report ......................................................................................... 16
Task 25 Final Contract HSE Performance Report ...................................................... 16
Appendix A: HSE Checklist for Minor Contracts ............................................................ 17
Appendix B: HSE Default Format (Sample) ................................................................... 18
Appendix C: HSE Monitoring Program ........................................................................... 20
Appendix D: Template, Contract HSE Performance Report ........................................ 21
Appendix E: HSE Commencement Certificate ................................................................ 23
Appendix F: Site Restoration Certificate ....................................................................... 24
Appendix G: Accessing PDO and Shell Web Documents ............................................. 25
Appendix H Contract HSE Activity Chart & RASCI (Responsibility, Accountability,
Support, Consult, Inform) ................................................................................................. 26



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



1-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


PART I: Mandatory for PDO personnel involved in Contract Management

1. Introduction
1.1 Background

PDOs Policy Document, PL-04 Health, Safety and Environment Protection, requires that a systematic
approach to HSE management be applied which shall require Contractors to manage HSE in line with
PDOs HSE Policy. PDOs Code of Practice Document, CP-122 HSE Management System Manual, Part 2
Chapter 3, requires that PDO Asset Managers shall ensure Contractors are made aware of PDOs HSE
management requirements and have adequate business controls in place to meet them.

The International Organization for Standardization (ISO 14001:1996, Para. 4.4.3) requires that
procedures be established and maintained to ensure that relevant environmental requirements are
communicated to Contractors.

1.2 Purpose

Document PR-1171 has two parts:

Part I: Mandatory for PDO Personnel involved in Contract Management
Part II: Mandatory for Contract Holders and Contractors

Part I details the information that must be followed by Contract Holders There are 25 critical activities
related to Contract HSE management issues are described, together with any Deliverable(s) and relevant
Reference Document(s) that are obtainable on the PDO intranet system Refer to Appendix G for
assistance in accessing PDO and Shell Web Documents.

Part I describes the tasks to be executed by Contract Holders, from strategy definition to close-out of a
contract, to ensure that Contractors achieve the same (or higher) HSE standards as those required by
PDO for its own operations. The Procedure is based on a planned approach with attention being paid to
HSE issues in the early Contract Phases in order to properly address HSE through the entire contract
process.
Appendix H Contract Holder Check Sheet and RASCI

Part II is referenced, in document GU-140 C-09 HSE Requirements, to enable Contractors, together
with Contract Holders, to carry out PDO prescribed HSE activities in the manner and at the level required
by PDO. Of particular importance in this section is the detail given for the preparation of the Contractors
HSE Plan.
The input to each Contract Phase and the depth of analysis (the Tasks) primarily depends on the level
of HSE risk presented by the contract activities, which consequently determines the actions and input
required for the contract execution.

Whether a contract is large or small in scope and value the Tasks are all the same. Preparations for all
contracts shall utilise the same systematic process of hazard identification, assessment, control,
mitigation and recovery (Hazards and Effects Management Process - HEMP), together with the
demonstration that a system is in place to manage these hazards.
1.3 Distribution

This Procedure is a mandatory requirement for Contract Owners and Contract Holders.




Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



2-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Distribution of this document is controlled by the Document Custodian.

This document shall be reviewed in case of any major changes resulting from recommendation of Audit,
changes in industrial standards or changes in regulation/law as advised by regulatory authority. The
Document Custodian will update the changes as applicable, but no less frequently than every four years.
Any user of this document who encounters a mistake or confusing entry is requested to immediately
notify the Document Custodian

2. Contract HSE Management Procedure
2.1 Scope

This Procedure applies to all contracts tendered by PDO regardless of size and value.
2.2 Description

This Procedure follows the HSE sequence of Tasks in contract management as detailed in the Contract
Holdership Certification Scheme. These activities, specific to HSE in the preparation, evaluation and
execution of a contract, are summarized in Appendix H, Summary - Contract HSE Management
Procedure.

The sequence of events in any contract can be described in seven Contract Phases:

1. Planning and Invitation to Tender
2. The Tender Period
3. Evaluation of the Tenders and Contract Award
4. Mobilization
5. Execution
6. De-mobilization
7. Close Out

The succeeding sections of Part I of PR-1171 detail the Tasks contained in these seven Contract Phases,
finalizing with the summary in Appendix H.

In some of the Tasks, form(s) must be completed for the Contract to proceed. These are detailed in each
Task where required, including any reference documents that relate to the forms. All forms necessary for
the HSE Management of a Contract are given in the various Appendixes in this document.

Each Task paragraph also contains instructions for any relevant Deliverable(s), as well as the document
number and title for any reference material pertinent to that Task.

Appendix G provides guidance for retrieving documents from the PDO electronic system. This could be
required for some of the Shell-origin documents referenced in this Procedure.
2.3 Contract Owners Responsibilities

Contract Owner shall be an individual with the right level of HSE competence and authority to direct the
contracting process to protect overall PDO and Asset objectives. Where relevant, Contract Owners
should attend Tender board presentations to support Contract Holders. Contract Owner should at all
times be cognizant of HSE issues in each Contract.



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



3-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


2.4 Contract Holders Responsibilities

Contract Holder shall have single point responsibility for the activity management of the Contract and
verification that the control mechanisms are in place (HSE Management tasks 1-25).

Contract Holder shall have single point responsibility for advising Contractor and/or Contractor Personnel
of activities, stated in each relevant Task, requiring their action(s). These activities are not necessarily
repeated in Part II of PR-1171, as they generally arise from the responsibilities and activities of the
Contract Holder as stated in each Task.

It is not expected that Contract Holders can carry out all the activities listed in the following sections.
Rather, Contract Holders shall call upon professional personnel from relevant PDO departments when
assistance with HSE issues is required i.e. HSE Team Leader or other
1
Technical Authority 2 (TA2). This
does not in any way remove from Contract Holders the absolute responsibility for ensuring that advice
received and ensuing actions taken are the best possible solutions to any point in the execution of a
Contract.
2.5 Minor Contract

Contract Holder shall complete the necessary sections of the table in SAP that is part of the Minor
Contracts documentation. If not using SAP, Contract Holder shall complete the necessary sections of the
table in Appendix A.

Contract Holder shall ensure that the Contractor is fully aware of and understands the requirements of
this table.

Contract Holder shall ensure that the Contractor is fully aware of and understands the following
statement (refer document SP-1151, General Conditions for Minor Works & Service Contracts, Article 17):

Contractor shall operate, and shall cause all sub-contractors and Contractor Personnel to operate, with
the utmost care for the health and safety of Contractor Personnel, Company personnel and third parties,
and for the environment, and in accordance with the Company's health, safety and environmental
regulations (the HSE Specification) in force at the Effective Date, or as subsequently amended by the
Company, and the Contractor shall exercise the strongest discipline in this regard.

Contract Holder shall ensure that there is a formal HSE monitoring plan for all contracts. Contract holder
shall ensure that the Contractor is fully aware and understands the importance of the quality and
frequency of the performance monitoring.


1
Technical Authority TA2 is a role approved by the relevant Corporate Function Department Head
and may be filled by appropriate person from HSE discipline.



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



4-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contract Phase Planning and Invitation to Tender
Task 1 Contract holder to Conduct HSE Assessment
Reference Contract Holder Web Site: Tools
HSE Team Leader (TA2) to support the Contract holder in developing the HSE assessment.

Contract Holder shall conduct a structured, formal HSE Assessment of the Contract, using the Scope,
Schedule and Strategy documents (as well as any existing HSE information from prior documents related
to the same package of work) with a view to minimizing the HSE exposure and level of risk for the
Contract.

Contract Holder shall use suitably qualified PDO personnel in developing the HSE Assessment. These
personnel shall include Professional HSE Advisors, personnel who will participate in the work to be carried
out under the contract, or those who have prior experience in the execution of contracts.

The primary objective of the HSE Assessment is:

Identify and assess the major hazards and risks associated with the contract

The HSE Assessment shall include or enable:

Hazard and Effects Management Process (HEMP), in accordance with instructions in document CP-122
Define the level of HSE risk presented by the contract

Details shall be formally recorded with future actions identified and, wherever possible, action parties
nominated.

Contract Holder shall confirm the suitability of the Contract HSE Assessment against contract scope,
schedule and strategy with the view to minimizing the HSE exposure and level of risk for the contract.
HSE Team Leader may be consulted with regard the suitability of the risk assessment against the
contract scope.

Deliverable(s): Note to Contract file, HSE Assessment

Reference Document(s):

C4 Scope of Work
GU-140, C-09 HSE Requirements
CP-122 HSE Management System Manual Signed Contract Risk Assessment form (HSE
web Page)

Task 2 Prepare (GU140) C-09 HSE Requirements
Reference Contract Holder Web Site: Tools
The HSE TA2 authority should be consulted to review the assessment

The purpose of Section C-9 of the standard contract documentation is to: -
Highlight the hazards and consequences related to the Works or Services being provided under a
contract.
Act as the enforceable contractual link to the applicable PDO HSE Management System documentation.


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



5-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Detail the requirements for Contractors to examine the proposed Scope of Works (Section C-4), determine
the hazards and consequences and define how those hazards will be managed so that risk is minimized.

Contract Holder shall use the results of the HSE Assessment to develop Document C-09 HSE
Requirements for inclusion in Tender Documents. C-09 HSE Requirements shall be used by the Contract
Holder and the successful Contractor for the duration of the Contract.

Deliverable(s): Note to Contract file, HSE Assessment co-signed by HSE TA2 authority

Deliverable(s): Contract HSE requirements

Reference Document(s): GU-140, C-09 HSE Requirements

Task 3 Development of HSE Prequalification Criteria
Reference Contract Holder Web Site: Tools
Contract Holders are encouraged to consult with HSE TA2 (HSE Team Leaders).

Contract Holders shall be responsible for the decision to pre-qualify Contractor(s).

In any contract of technical complexity and/or high value, or where a Contractor wishes to be placed on
PDOs bid list, prequalification of Contractors may be carried out. This enables PDO to ensure that the
contract requirements are met for all technical and financial issues, as well as meeting document C-09
HSE Requirements. Contractors that have been evaluated previously by company may already have an
existing HSE profile i.e. Banding score, and this information will assist the Contract Holder in the pre-
qualification process.

PDO has a policy of encouraging Local Community Contractors (LCCs). These Contractors often have
little or no background in HSE Management, and a plan to overcome these shortcomings shall be
developed. Such a plan may require additional supervision, more explicit procedures or additional
training before an LCC can be deemed qualified to tender. Contract Holders should supervise this activity,
but not necessarily take an active part in it. However, Contract Holders shall remain responsible for
determining when to prequalify Local Community Contractors.

To ensure that HSE prequalification data obtained on each Contractor is standardized and thus fully
comparable; the use of The HSE Capability Questionnaire in T3 will apply.

The HSE evaluation of the contractors will be completed by a Company HSE Technical Authority Level 2
(TA2). The contractors will be scored and given a Banding Rate in line with the company Procedure
PR1997. The Contract Holder MUST ensure that the banding evaluation includes the contractor office
and/or worksite visits of each contractor.

The HSE prequalification questionnaire as provided (T3) is a base case only and should be expanded (or
reduced) to meet any specific HSE management skills required as part of the C4 , Scope. The questionnaire
aims to discover the information required to assess the extent to which the management of HSE is
systematically organized by the Contractor.


Contractor line management shall complete the questionnaire. The Contractor should be advised by the
Contract Holder to cover all activities relating to a contract (including off-site support) and not just those
conducted on PDO sites.



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



6-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contract Holders MUST emphasize the need for complete answers substantiated by supporting
documentation as far as is practicable. It should be remembered that increasing amounts of detail (and
therefore information required to support it) will need to be requested as risk increases.

If extreme HSE risks are expected then the detail should extend to an HSE Case. An HSE Case is
typically described in a seven-part document. Full details can be obtained from SIEP document EP 95-
0100 (see Reference Documents below). HSE Cases shall be developed by suitably qualified HSE
Professionals, and it is not expected that the Contract Holder will be personally required to develop any
HSE Case necessary for a Contract.

Contractors should be encouraged to identify where they exceed PDO requirements and this excellence
should be recognized.

In all cases where it is deemed necessary that a Contractor shall be pre-qualified, the document
references given below must be used in addition to the HSE prequalification questionnaire included in the
T3 requirements.

Deliverable(s): Contractor prequalification assessment for Tender Board endorsement

Reference Documents:
CP122, Health, Safety and Environmental Management Systems
EP 95-0110, Shell Management of Contractor HSE
PR-1233, Section 4, Item 4 - Selection of Contractors, Bonds and Guarantees - Commercial
Procedures & Guidelines
GU-121, Pre-qualification of Tenderer
GU-143, Data provided by the Tenderer
PR1977 HSE Banding of Contractors
Task 4 Tender Board Endorse HSE Prequalification Criteria

Tender Board shall review and endorse as appropriate the HSE prequalification criteria submitted by the
Contract Holder.

Deliverable(s): Tender Board minutes, endorsing Prequalification Criteria
Minutes of Meeting to Contract Holder

Reference Document(s): PR-1233, Section 4, Item 4
Task 5 Prequalify Contractors

Contract Holders, having taken the decision that prequalification is required, shall follow the procedures
given in Task 3.

When Contractor submissions are received, the Contract Holder will rate the submissions as described in
Appendix B. The resulting Contractor Bid List will be submitted to the Tender Board with
recommendation to approve. Contractors who are not approved shall be advised and assistance to
prequalify for future Contracts shall be given, particularly in the case of LCCs.

Deliverable(s): Contractor Bid List to Tender Board

Reference Document(s): PR-1233, Section 4, Item 4




Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



7-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contract Phase Tender Period
Task 6 Contractor Submission: Document GU140 (C-09) HSE Requirements

The Contract Holder shall ensure that the Contractor(s) submits a draft HSE plan to detail the following:

Hazards and Effects Management Process (HEMP), based on the information provided in the
Contract Scope of Works and Document C-09 HSE Requirements.
Details provided shall fully describe the manpower including roles and responsibilities of the
individuals stated in the organisation chart, based on information advised in the C-09
Clearly indicate the policies, procedures and standards to be adopted during each phase of the
contract.

Deliverable(s): Complete GU140 (C-09) HSE Requirements Submission in Tender Documents
Reference PR1171 Part II Section 2.6 (guidance)
Reference Document(s): GU-140, C-09 HSE Requirements
HSE plan sample
Task 7 Site Visit

Contract Holder shall arrange a site visit if requested by Contractor(s) or deemed appropriate by the
Contract Holder. The purpose is to allow familiarization with the Contract Scope of Works and the impact
that site conditions may have on all aspects. Depending on the complexity of the scope (C4) consider a
dedicated discussion with the contractors on the HSE aspects of the contract. (HSE TA2 should be invited
to advise the contractor in HSE matters e.g. submission of their HSE plan and the impact of the PDO HSE
Procedures listed in C9.

In any contract of technical complexity and/or high value, the Contract Holder shall visit the site to
become familiar with site conditions, prior to receipt of Tender Documents.

Deliverable(s): Memo to Contract File detailing site visit

Reference Document(s): Document C-4, Contract Scope of Works
Task 8 Clarification Meeting

Contract Holder shall hold a clarification meeting with Contractor(s) if requested. See Mandatory
statement below.

Mandatory

Tender clarifications shall be approached with extreme care. Clarifications shall be required where the
evaluation cannot be completed from the Tender due to either ambiguities or discrepancies.

All Tender clarifications and responses shall be issued in written form using the standard template in
EDMS and shall be forwarded by post or fax. The Unit Contract Section shall draft and issue the
clarifications to the Tenderer to ensure that the risk of soliciting a price adjustment is avoided.

Where clarification meetings are held with the individual Contractors these shall be minuted and the
minutes agreed with the Contractors. Unit Contract Section shall be present at any meeting. All
technical meetings shall commence with the statement by the Company that no price change shall result
from these technical discussions. Where technical discussions identify a price impact, the technical issues
only shall be discussed.



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



8-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Meetings and discussions shall be immediately suspended if commercial/financial issues are raised.

Minutes of a clarification meeting shall be formalised by a letter to the Contractors identifying the points
of discussion and agreement. The Contractors shall confirm, by return, agreement with the contents of
the letter and identify any further points not covered.

Deliverable(s): Minutes of Meeting; Letter to Contractors

Reference Document(s): PR-1233, Section 7, Item 4.2
PR-1233, Section 7, Item 6.3

Contract Phase: Evaluation and Contract Award
Task 9 Review Contractor Submission Document C-09 HSE Requirements

The HSE Evaluation of the Contractors to be completed by a HSE TA2 Company Authority and using the
HSE Banding system PR1997. TA2 will deliver a banding report for each contractor.

Contract Holder shall with the assistance of a HSE TA 2 conduct a HSE Evaluation of the contractor
submission. The evaluation includes a review of their submission documents as well as a visit to their
office and/or site

Contract Holder shall communicate or meet with Contractor(s) if further clarification is needed for Tender
submission of C-09. This meeting, if required to be held following written requests for clarification, shall
establish where improvements in proposed HSE risk management will be required if contract is awarded.

Contract Holder shall consider the results of the HSE Banding process and evaluate which Contractor(s)
will require additional PDO supervision to ensure that the management of HSE risk is carried out
correctly.


Deliverable(s): Minutes of Meeting; Letter to Contractors

Reference Document(s): C-09 HSE Requirements Tender Submission Document
PR-1233, Section 7, Item 4.2
PR-1233, Section 7, Item 6.3
PR1997 Banding

Contract Holder shall determine the likelihood that levels and classes of manpower, equipment, any other
resources and policies detailed in the Contractor(s) C-09 HSE Requirements Tender submission will
enable the Contractor(s) to manage Contract risk.

HSE equipment and resources would normally include such items as:
Safety equipment, personal protective equipment (PPE)
HSE audits, induction and training, emergency response resources
medical facilities, first aid training, Medevac, health surveillance
waste disposal, promotion schemes, journey management
financial resources of the Contractor that are available for HSE management

The resources allocated for HSE provide only an indication of the Contractor's preparedness (at the time
of tender) to comply with PDOs HSE requirements. Low HSE resource allocation could indicate that the
Contractors organization is at a high level of HSE implementation. Conversely, it could indicate the
Contractor does not understand PDOs requirements. Contract Holders should be conscious of the fact


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



9-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


that thorough understanding of a Contractors abilities to manage HSE issues can only be obtained by
careful study of the whole of a Contractors HSE management system.

Contract Holder shall make a Contract award recommendation to the Tender Board, based on the
technical and commercial reports as well as the Contractor HSE assessment. The award recommendation
shall highlight any anomalies or additional qualifications accepted from the original Tender documentation
issued.

Task 10 Approve Contractor Key HSE Personnel

Contract Holder shall determine that the Contractors key HSE personnel are described in the Contractors
C-09 Tender submission (refer Task 9). If the list provided in the Contractors advisory letter (refer Task
9) are not the same as in C-09, the Contract Holder may withhold approval until the Contractor provides
satisfactory explanations and assurances that no reduction in the quality of key HSE personnel will result
from the changes. CVs shall be provided for any replacement personnel different from those described in
C-09. In all cases, PDO reserve the right to interview Contractors HSE personnel.

Contract Holder shall approve the Contractors appointed key HSE personnel when satisfied that the
quality of management of HSE risk will be maintained to PDO standards.


Deliverable(s): Letter to Contract Manager

Reference Document(s): Contractors C-09 HSE Requirements Contract document

Contract Phase: Mobilization

Task 11 Kick off Meeting PDO Internal and Contractor Meeting

Company TA2 responsible for the Contract should attend

Contract Holder shall hold a PDO internal kick off meeting to ensure that:

Company Representative and Company Site Representative(s) are fully aware of their delegated powers
under the Contract.
All personnel involved with the Contract understand the contents of the Contract.
Key factors considered during the Tender period are explained.
Presentation and understanding of the penalties objectives and structures.
Process of instructions, administration and reporting requirements are understood.
Clarification of handover from existing Contractor (where applicable).

As a minimum, the Contract Holder, Company Representative, Company Site Representative(s), HSE
Professional(s), Company TA2 responsible for the Contract and Unit Contracts Sections shall attend the
PDO internal kick off meeting.

Contract Holder shall then conduct a kick off meeting with the Contractor immediately after Contract
award and before the execution of any work. This is essential to ensure that all contractual obligations,
including HSE, are thoroughly and mutually understood. The kick-off meeting is the first formal meeting
between Contract Holder and Contractor after the award of a contract.



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



10-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


The agendas of the kick-off meetings and the HSE workshop are entirely at the discretion of the Contract
Holder. Should the Contract Holder require HSE assistance with either kick-off meeting or the HSE
workshop, an HSE professional shall be requested to assist.

During either or both of these meetings, the Contract Holder shall ensure the following minimum
objectives are covered:

Demonstrate to the Contractor that PDO is fully committed to HSE
Establish that the Contractor completely understands the risks within the Scope of Work and has
committed the resources detailed in the Contractors tender submission C-09 HSE Requirements
Ensure that the Contractor has or can put systems in place to manage risk and these are suitable and
sufficient to meet standards
Highlight any areas for improvement in the Contractors C-09 HSE Requirements Tender submission, and
agree on any actions necessary, by either PDO or the Contractor, to remove deficiencies particularly in
the case of an HSE Amber or Red banded contractor.
Resolve any issues arising from a variation to contract since the award
Introduce any new Contractor(s) to the details of PDOs HSE policies, standards and systems

Deliverable(s): Minutes of meetings to Contract file

Reference Document(s): PR-1233, Section 8, Item 4.1a
Task 12 HSE Workshop
Reference Contract Holder Web Site: Tools
Contract Holder shall obtain clear, written permission from the Contract Owner that an HSE Workshop
need not be held. In all cases the HSE TA2 shall be consulted.

Contract Holder, following the kick off meeting, the Contract holder shall schedule a HSE Workshop to
focus on all outstanding HSE issues relating to a contract. Ideally the Workshop will be held at the site
where most of the activities will take place. Notwithstanding the Contract Holder may choose to run an
initial Workshop on the coast. The Contract Holder may also choose to run one at the coast and then an
additional workshop(s) at the site(s).

The HSE Workshop is held to bring all the disciplines together from company and Contractor to
interrogate the HSE management proposal from the contractor and in particular the HEMP details
submitted as part of the technical evaluation. It is a useful mechanism to introduce the Contractor to the
details of PDOs HSE Management Schedule. All activities will be recorded, Hazards identified and a risk
assessment completed. A major focus will be on the control measures proposed to manage the risk and
these are to be recorded and auctioned by the contractor. In addition it is an opportunity to review any
changes to the Specific Contract HSE Management Plan

In the case of Contracts and/or Contractors where all parties agree in writing that a HSE Workshop may
not be required, then:

Contract Manager shall deliver the current Contractors HSE Management Plan.
Contract Manager shall submit the Contractors HSE Management Plan to the Contract Holder for review
and approval.

Deliverable(s): Contractors HSE Management Plan to Contract Holder

Reference Document(s): C-09 HSE Requirements Tender Submission



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



11-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Task 13 Approve Contractors HSE Plan.
Reference Contract Holder Web Site: Tools
Contract Holder will consult with a company HSE TA2 before approval.

Contract Holder shall approve the Contractors HSE Management Plan once all modifications required by
the Contract Holder (if any) have been incorporated.

This HSE Management plan shall incorporate any PDO comments arising from the kick off meeting and
the HSE Workshop, and also any mandatory PDO training. Full details for the preparation of an HSE
Management Plan are given in PR-1171, Part II, and section 2.6

Deliverable(s): Approval Letter to Contract Manager

Reference Document(s): Contractors HSE Management Plan
Task 14 Contract Holder Develops PDO HSE Monitoring Program, review and approve
Appendix C
Reference Contract Holder Web Site: Tools
Contract Holder will consult with a company HSE TA2 before approval.

Contract Holder shall, throughout the period of a Contract, monitors the Contractors HSE performance
against the Contractors C-09 HSE Requirements Contract document and its HSE Management Plan.
Implementation of the PDO HSE monitoring program shall take place when the Contractor commences
mobilization (refer Appendix C).

Contract Holder shall prepare the PDO HSE Monitoring Program using the form contained in Appendix C.
The Program shall be submitted to the Contract Owner for review and approval.

PDO Contract personnel shall complete Contract HSE Performance Reports to detail the results of all
monitoring activities. A template and guidance note for these reports is provided in Appendix D.
Assistance with using the template is also provided in Appendix D. Contract Holder may choose to
develop a different model e.g. Dashboard type.

Contract Owner shall approve the proposed HSE monitoring program once confirmation is obtained that
all necessary resources, competencies and capabilities of Contract Holder, Company (PDO)
Representative and Company (PDO) Site Representative to discharge their duties are in place and
appropriate for the level of risk in the Contract.

Deliverable(s): Contract Owner approve monitoring programme
Contract Holder Memo to Contract File Approving HSE Monitoring Program

Reference Document(s): Approved HSE Monitoring Program
Task 15 PDO and Contractor Training

Contract Holder shall ensure that all PDO and Contractor personnel training has been completed with all
personnel involved receiving approval from HSE trainers. Training records will contain name(s) of
trainee(s), name of training course and completion grade (Satisfactory or Unsatisfactory).

Deliverable(s): PDO and Contractor Training records



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



12-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Reference Document(s): C-09 and SP1157,
Task 16 Pre-commencement HSE Audit of Contractor (checklist HSE Web)
Reference Contract Holder Web Site: Tools
HSE TA2 should support the audit as required by the contract holder.

Contract Holder shall conduct a pre-execution HSE audit to determine that the Contractor has achieved
the pre-execution targets stated in the Contractors C-09 HSE Requirements Contract document and HSE
Management Plan, and that mobilization is complete.

a. The execution of the post mobilization phase of Contract work shall not be initiated until the
requirements of the pre-execution HSE audit have been met.

b. This often occurs with long mobilization periods. It may then be necessary to specify a list of
HSE audits/checks/verifications to be completed during the mobilization period.

c. The Contract Holder must approve each of the checks before subsequent actions can be started.
For example, the Contractor cannot start transporting material from the Coast until drivers have
been qualified and vehicles have passed inspection checks.

d. In such a situation, the pre-execution HSE audit may consist of the Contract Holder determining
the satisfactory completion of driver training and vehicle inspection before the field site is audited
and fieldwork begins.

e. Mobilization payments may be attached to specific pre-execution requirements dont let these
override HSE requirements.

f. Following any HSE audit, or any inspection in support of an audit, the resulting findings should be
discussed with the Contractor's site and office management.

g. Contractor shall respond to the Contract Holder, confirming the minutes and advising the
remediation schedule and/or confirming that all audit recommendations will be or have been
carried out.

h. The Contract Holder shall agree with the Contractor on a procedure for monitoring the
implementation of the inspection/HSE audit findings i.e. Action tracking register.

i. The Contract Holder can delegate the necessary authority to the Contractor for undertaking the
administration of these procedures if regular status reports are presented at the contract review
meetings. Contractor shall ensure that the Contract Holder documents this approval.


Inspection/HSE Audit finding reports should:
Detail personnel responsible for correcting each finding
Be measurable - i.e. state exactly what remedy is required by each finding
State completion dates for each finding

Deliverable(s):
Contract Holder letter to Contractor giving minutes of inspection/HSE audit findings meeting
Contractor letter to Contract Holder confirming minutes of inspection/HSE audit findings meeting
Contract Holder letter to Contractor documenting delegation of authority to undertake remediation of
inspection/HSE audit findings

Reference Document(s): C-09 HSE Requirements Tender submission


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



13-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contractors HSE Management Plan
Contractors Action Tracking Model

Task 17 Contractor Completes Pre-execution HSE audit Items

Contract Holder ensures that Contract Manager shall complete remediation of all findings resulting from
the pre-execution HSE Audit. HSE TA2 shall support the contract holder to identify all remedial steps in
place.

Deliverable(s): Remediation completed and action items Signed off by Contract Manager

Reference Document(s): Minutes of Pre-execution HSE Audit meeting

Reference Document(s): Minutes of Pre-execution HSE Audit meeting
Task 18 Contract Holder to Issue HSE Commencement Certificate
Appendix E
Reference Contract Holder Web Site: Tools
The contract holder may acquire the support and co-signature from the Company HSE TA2 before issue.

Contract Manager shall advise, in writing, Contract Holder that all items from the pre-execution audit
requiring remediation have been completed.

Contract Manager shall issue Pre-execution Completion Report and request HSE Commencement
Certificate

Contract Holder shall issue the HSE Commencement Certificate (refer Appendix E) to Contract Manager,
subject to any exceptions noted on the HSE Certificate.
Contract Holder shall withhold issuing the HSE Commencement Certificate if any of the activities listed on
the HSE Certificate require exception that leads to unsafe operating conditions.

Deliverable(s): HSE Commencement Certificate

Reference Document(s): Minutes of Pre-execution HSE Audit meeting
HSE Commencement Certificate (Appendix E)

Mandatory

Contract Holder shall assume single point responsibility to ensure the effective execution of the Contract
by the Contractor. This shall require proper management of PDO resources and provisions involved in
the execution of the Contract (personnel, facilities, equipment, materials, expenditure forecasts, user
requirements etc), and full compliance with the Contract requirements.

Contract Holder shall include as a minimum:
Supervision of the Work/Services period.
Verification and enforcement of HSE requirements.
Verification and enforcement of the Contractors Quality system.
Monitoring of financial controls; commitments to date; values of work done; invoices received and
payments made, as well as performance against Company controls.
Certification of Work/Services and acceptance of Milestones.
Monitor usage of Company provided facilities and materials throughout Contract period.


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



14-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Any other specific Contract requirements.
Maintain up-to-date register of all correspondence between Contractor and the Company, this register
shall include as a minimum: - date of receipt or dispatch together with date of relevant response.
Claims Register update.

Deliverable(s): All necessary memos, letters to Contractor and reports.

Reference Document(s): PR-1233, Section 8, Item 5.1a) and b).

Contract Phase - Execution
Task 19 Monitor Contractors implementation of HSE Management Plan

Contract Holder/ will implement the Monitoring Plan. Monitor the Contractors performance against the
Contractors HSE Management Plan, using the PDO HSE Monitoring Program. In addition the Company
can use the Contractor HSE monitoring plan.

Contract Holder shall participate in all planned HSE planned audits, incident investigations, meetings and
reviews. Owner must review?

Deliverable(s): Contract HSE Performance Reports (refer Appendix D)

Reference Document(s): Contractors HSE Management Plan
Contractor HSE Monitoring Plan
PDO HSE Monitoring Program
Task 20 Additional HSE Requirements

Contract Holder shall perform a Hazards and Effects Management Process (HEMP) periodically in the
execution of a Contract. In particular, revised HEMP shall be triggered by any additional requirements
that lead to an increased Scope of Works, thereby requiring a Variation in the Contract.

Revision will also allow the incorporation of any additional HSE requirements arising from the process of
Contract execution. Any additional PDO-originated HSE requirements discovered, including those arising
from Substantial Completion, shall be advised to the Contract and Procurement Systems and
Procedures Department (FPS) and to the Contractor.

Deliverable(s):
Note to Contract File, Variation to Contract PDO HSE Requirements
Memo to FPS, Variation to Contract PDO HSE Requirements
Letter to Contractor, Variation to Contract PDO HSE Requirements

Reference Document(s): Contractors HSE Management Plan
PR-1233, Section 8, Item 5.2.1a
PR-1233, Section 8, Item 9 Variation to Contract (refer Appendix G)
Task 21 Revise/Review & implement the HSE Plan

Contract Holder shall ensure that The Contract Manager will revise the HSE Management Plan as often as
required to accommodate PDOs advice that additional HSE requirements need to be incorporated. All
unforeseen work activities shall be assessed and incorporated. Authorization for all deviations from
and/or amendments to the Contractors HSE Management Plan shall be sought from the Contract Holder.

Deliverable(s):


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



15-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Letter to Contract Holder advising revised Contractors HSE Management Plan

Reference Document(s):
Letter to Contractor, Variation to Contract PDO HSE Requirements
Contractors HSE Management Plan

Contract Holder shall review Contractors revised HSE Management Plan. Any further revisions required
by PDO shall be advised to Contractor.

Deliverable(s): Note to Contract file
Letter to Contractor as required by additional revisions
Letter to contractor Approval of revised plan

Reference Document(s):
Letter to Contractor, Variation to Contract PDO HSE Requirements
Letter to Contract Holder advising revised Contractors HSE Management Plan
Revised Contractors HSE Management Plan
Task 21 to be repeated and recorded as required

Task 22 HSE Penalties and Defaults
Appendix B
Reference Contract Holder Web Site: Tools
Company (PDO) Contract Holder (s) shall apply HSE penalties and defaults on the Contractor, as allowed
in the Contract, for unauthorized deviation(s) from the Contractors HSE Management Plan and C-09 HSE
Requirements. The Contract Manager is to be advised in writing of all Penalties and Defaults being
imposed.

HSE Penalties and Defaults shall be determined by the Contract holder. It be necessary to deliver the
default in writing.
Deliverable(s): Letter to Contractor advising HSE Penalties and Defaults may include form below,

Reference Document(s): PDO HSE Monitoring Program PR1171 Part I Appendix C
Contract HSE monthly Performance Reports
Contractors HSE Management Plan
Contractors C-09 HSE Requirements Tender submission
Default form PR1171 Part I Appendix B
Task 23 Contract HSE Performance Reports
Reference Contract Holder Web Site: Tools
Contract Holder shall prepare Contract HSE Performance Reports (refer Appendix D) providing feedback
to PDO Management on the overall HSE performance of the Contractor and any sub-Contractors.
Reports to be submitted as frequently as required (usually annually in a long-term contract), or as
requested, to Contract Owner and Service Group Custodian.

Deliverable(s): Contract HSE Performance Reports

Reference Document(s):
PDO HSE Monitoring Program PR1171 Part I Appendix C
Contract HSE Performance Reports



Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



16-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contract Phase: Demobilization
Task 24 Site Restoration Certificate Approval

Contract Holder shall ensure that the Contractor demobilizes from the site of work in accordance with all
contractual agreements including the Contractors HSE Management Plan.

Contract Holder shall approve the Site Restoration Certificate (refer Appendix F) and issue it to the
Contractor.

Company (PDO) Representative/Site Representative may sign the Site Restoration Certificate at the
discretion and approval of the Contract Holder.

Deliverable(s): Approved Site Restoration Certificate and copy to Corporate HSE (MSE23)

Reference Document(s):
All relevant Contract documents, including the Contractors HSE Management Plan.

Contract Phase: Close Out Report
Task 25 Final Contract HSE Performance Report

Contract Holder shall prepare the Final Contract HSE Performance Report to be submitted to the Contract
Owner and Service Group Custodian. The report is to be finalized and submitted not later than 90 days
after demobilization.

Service Group Custodian shall review report, update the Service Group as necessary and file the report
for future use.

Close Out Responsibilities for Contracts
Mandatory for Contract Close Out Reports

Contract Holder shall:
Agree and confirm physical status of the Work /Services against the Contract.
Issue substantial completion certificate for Lump Sum Contracts.
Note all items to be completed and/or rectified and formally document with Contractor.
Prepare a Contractor Performance Report to record the execution of the Contract, including technical
competence, Omanisation and all HSE aspects.
Conclude all claims and disputes in line with Company Procedures.
Ensure any penalties have been applied in accordance with the Contract.
Issue the Completion Certificate, applicable for all Contracts.
Compile the Contract feedback report, for Contract values of over US$10M
Consolidate all documentation to support close out.
Confirm that all charges made under the Contract are valid.
Agree and sign the statement of final account, applicable for all Contracts.

Note: The Contract Holders responsibility for management of the Contract shall end on completion of the
statement of final account

Deliverable(s): Final Contract HSE Performance Report
Reference Document(s): PR-1171, Appendix D
GU-242, Close Out Procedure for Lump Sum Contracts
PR-1233, Section 10, Item 3


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



17-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Appendix A: HSE Checklist for Minor Contracts

Contract Holder Name: Contracting Company:
Contract Number:

Item
No.
Contract Holder Action Required for Contract?
Coastal Interior
If Required,
Action
Completed?
Pre-execution of Contract:
1 PDO 5555 Emergency number/procedure
explained (PR1065)
MANDATORY MANDATORY NO
2 Permit To Work requirements explained
(PR1172)
MANDATORY MANDATORY NO
3 Reportability of HSE incidents explained
(PR1418)
MANDATORY MANDATORY NO
4 PDO Road Journey Management Procedures
explained (SP2000)
Not required MANDATORY NO
5 Vehicle(s) meet PDO standards (SP2000) Not required MANDATORY NO
6 Area Coordinator briefed about interior visit Not required NO NO
7 HSE workshop with contractor completed NO NO NO
8 Identification of Hazards & Effects completed
for Contract Scope of Work
NO NO NO
9 HSE Certificate signed NO NO NO
10 HSE Training requirements explained (SP1157) NO NO NO
11 HSE Training commenced NO NO NO
During Execution of Contract:
11 Contractor working practices monitored by
Company Site Rep.
NO NO NO
12 HSE Training completed NO NO NO
Post-execution of Contract:
13 Site Restoration Certificate Issued NO NO NO
14 Contract HSE Report filed NO NO NO

All Mandatory and Contract Requirements completed

Signed: _____________________ Date:
Contract Holder

All Mandatory and Contract HSE Requirements explained and understood.

Signed:____________________ Date:
Contractor








Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



18-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Appendix B: HSE Default Format (Sample)




Contract/Project No:..

Form No. -00001 F1 Rev. A01
Default
NoticeNo.0001


HSE Default Notice
Contractor: Location:
Contract / P.O. No: C31/ Activity No:

Originator: Received and Accepted by:
Name: Name:
Title: Title:
Signature: Signature:
Date: Date:
Issued for Company by: Name: Signature: Date:
Requirement:

Within the terms of Section 11 C9 and in particular HSE Specification SP1009.

Specific Details of Non-conformance (default):
Failure to comply with the procedure SP 1009 Section?
Failure to ensure that ..compliant (.
Due to the serious nature of this finding the default will be recorded for each day until the
situation is accepted by company.

Corrective Action Proposal:
Contractor to .. SP 1009 requirement

Estimated Date of Completion: December 30
th
2011

PDO
Proposed by: Date:
The Default and the recorded Action/s was/were recorded in the Action Register:





Name: .. Title: .. Signed Date







Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012



19-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Contractor
The above Corrective Action/s has/have now been completed




Name: .. Title: .. Signed Date
PDO CH/CSR or Deputy Authorised Signatory
The completion of the above Corrective Action/s has/have been Verified for PDO by:






Name: .. Title: .. Signed Date


Contractor
The Action/s has/have been closed in the Action Tracking Register (for Contractor)





Name: .. Title: .. Signed Date





Cc. DDC
PDO CSR





Embedding HSE into our Business


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012

20-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.


Appendix C: HSE Monitoring Program
Contract Number Contract Name
Prepared by: Contract Holder/ Rep. Name / Reference Ind.
Approved by: Contract Owner Name / Reference Ind.

Activity Responsible
Person (Leader)
Participants Resources Frequency T I M I N G
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
Meetings

Inspections

Management
Walkabouts


Audits

Emergency
Exercises / Drills


Follow-up

Note. Template should be expanded as required
Deliverable(s): proposed HSE Monitoring Program
Reference Document(s): Contractors C-09 HSE Requirements Contract document
Contractors HSE Management Plan
Embedding HSE into our Business


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012

21-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.



Appendix D: Template, Contract HSE Performance Report

Contractor HSE Performance Report
CONTRACTOR
CONTRACT NUMBER
CONTRACT NAME
DATE(S) OF CONTRACT

SUBJECT RATING COMMENT
Leadership and Commitment Did management promote a strong HSE culture?
Were sufficient resources allocated to manage HSE?
Were all deficiencies cleared promptly and effectively?

Implementation of HSE Policy Was Policy communicated and enforced?

Implementation of Contract HSE
Plan
Was the Contract HSE Plan followed and updated as
required?
Effectiveness of HSE
Organization
Were the resources provided adequate?
Did all systems perform to standard?
Did the organization learn from mistakes?
Employee HSE Induction and
Training
Completed to standard and on time?
Sub-Contractor HSE
Management
Did sub contractors perform to the same standard as
the contractor?
Were efforts made to improve when deficiencies were
noted?
HSE Personnel: Competence Were personnel competent?
Did they provide effective training and advice?
Did management respect their role?
HSE Meetings Was a cascaded hierarchy of meetings in place,
effective and attended by all personnel?
Tool Box Talks Were these conducted to standard?
Driving/Journey Management Were all vehicles to specification?
Was journey management followed and controlled?

Quality of Contractors HSE
Manual and Documentation
Was documentation available, comprehensive, in correct
languages and used?
Emergency Response Procedures Were all credible scenarios supported by procedures?
Were procedures tested and improved when found
lacking?
Safety Rules/Job Instructions Were correct rules in place based upon job hazard
analysis?
Accident Investigation Procedure Were all incidents investigated to standard?

Implementation of HSE
Standards Manual
Were the requirements of the Manual followed and
incorporated in to contractor standards?
Briefly summarize major contraventions of standards
FATALITIES Describe in detail any fatalities (cross reference to
reports), comment on contractor response to
investigation recommendations
Embedding HSE into our Business


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012

22-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.



LTIF Brief comment on reasons for LTIs. Comment on
contractor response to investigation recommendations
TRCF
Man-hours worked/Total
workforce

Maintenance and Control of Plant Was equipment maintained and capable of completing
the work?
Maintenance and Control of
Other Equipment
Was equipment maintained and capable of completing
the work?
Camp Facilities/Hygiene Were standards maintained?
Were there any outbreaks of illness?
Site Restoration Completed to the standard required?
Waste Management Conducted according to standard?

HSE Audits Summarize the main findings and conclusions
HSE Inspections Summarize the main findings and conclusions
Management Review Was this carried out?
Was this a learning organization prepared to improve?

Data Compiled By ________________________ Reviewed By _____________________
Date ________________________ _____________________

Recommendations on Future Use of Contractor
Unconditional Conditional
(list conditions below)
Not to be used again
(list reasons why)





Contract Holder

Date_____________________
Contract Owner

Date_____________________

Embedding HSE into our Business


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012

23-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.



Appendix E: HSE Commencement Certificate
_ Petroleum Development Oman
HSE COMMENCEMENT CERTIFICATE
Contract Title
Contractor Contract No.
Sub-Contractors
Contract Plan Activity Date Completed

Exceptions
Contract HSE Plan Endorsed
Kick Off Meeting Held
HSE Workshop Held
Residential Camp Accepted
Industrial Site Accepted
Vehicle/Plant Accepted
Training Completed:
Required to attend prior to
commencing, C:
Required to attend within 2 months,
M:
Recommended only, R:

Pre-execution Audit Completed
Essential Audit Items Completed

Notes:


On behalf of the Contractor I confirm that the activities stated above have been
carried out and we are capable of performing the work in a healthy, safe, and
environmentally responsible manner.
Name Date Responsibility Signature
Contract
Manager

We hereby agree that the HSE status of this Contract allows work to proceed, subject
to the above exceptions.
Name Ref. Ind. Responsibility Signature
Contract Holder
Representative*



* At Contract Holder's discretion
Send Copy to MSE12
Embedding HSE into our Business


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012

24-34 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.



Appendix F: Site Restoration Certificate


_ Petroleum Development Oman
SITE RESTORATION CERTIFICATE
Contract Title
Contractor Contract No.
Sub-Contractors
Site Restoration Activity Date Completed Exceptions
Demobilization Date Approved



Requirement for Isolation of Facilities
(telecoms, electricity, water) notified to
PDO

Residential Camp Inspection Completed


Office Inspection Completed


Industrial Area Inspection Completed


Work-site Inspection Completed


All PDO Assets handed over to PDO


All actions as per SP-1012 completed



All Outstanding materials handed over to
PDO

Summary file of Contract Waste Log
handed over to PDO

Notes:
On behalf of the Contractor I confirm that the activities stated above have been carried out and
we have restored the site(s) according to the Contract Requirements
Name Date Responsibility Signature
Contract Manager
We hereby agree that the HSE status of this Contract allows the Contractor to Demobilize subject
to the exceptions listed above.
Name Date Ref. Ind. Responsibility Signature
Contract Holder
Representative *
Name Date Ref.Ind. Responsibility Signature
HSE TA2

* At Contract Holder's discretion


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012




25-27 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.

Appendix G: Accessing PDO and Shell Web Documents
Throughout this document, references are made to documents from two sources: PDO and Shell.

Access to PDO documents:

Open the internet browser to the PDO Home Page at http://sww1.pdo.shell.om/
Left click on Livelink at the top left hand corner of the web page.
Enter the document title in the dialog box on the left hand side. A hit is more likely if only key
words such as HSE are used. It is helpful to sort the documents by document number rather
than document title.
If the document number is known then use the number
The relevant document will appear as an MS Word icon. Click on the icon and the document will
open up in a separate window.
To print tick the box at the side of the document and then choose Select Action at the top of the
page. Ideally print to file to save on the paper copies.

Access to SIEP documents:

These documents are referenced in PR-1171 as EP 95-0100 etc, and are accessed as follows:

http://sww1.pdo.shell.om/dept/cd/csm/blocks/links/links.html
Choose Shell International Exploration and Production (SIEP) EP search Page
Type the exact document number as given in the Reference Documents in the various PR-1171

If you require more common HSE documents go to:
HSE Documents


Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012




26-27 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.

Appendix H Contract HSE Activity Chart & RASCI (Responsibility, Accountability, Support, Consult, Inform)

CONTRACT NO:
Task Task definition
Contract
Owner
(CO)
Contract
Holder
(CH)
Technical
Authority
(2) HSE
Site Rep
(CSR)
Contract
User
Contractor
Manager
Tender
Board
(TB)
Remarks/
Ref to other PR 1171
documents
Date
Completed
PLANNING

1 Conduct HSE Risk Assessment R C
2 Prepare C-09 HSE Requirement R C
3
Development of HSE Prequalification
Criteria
A R

4
Tender Board- Endorse HSE
Prequalification Criteria
R C

5 Prequalify Contractors
R A

TENDER PERIOD


6
Contractor Submission: Document C-09
HSE Requirement
R C I

7 Arrange Site Visit R C I
8 Hold Clarification Meeting R C I
EVALUATION AND CONTRACT AWARD


9
Review Contractor Submission-
Document C-09 HSE Requirements
R C
BANDING PR1997
10
CH Approve Contractor Key HSE
Personnel
R C




Petroleum Development Oman LLC
Revision: 3.9
Effective: March 2012




27-27 PR1171 Part I : HSE in Contracts Procedure Company Printed 08/06/14
The controlled version of this CMF Document resides online in Livelink. Printed copies are UNCONTROLLED.

MOBILIZATION
11
Hold HSE Kick Off Meeting PDO
Internal and External with Contractor
R C S

12 Hold HSE Workshop
R C S

13
Contract Holder Approve HSE
Management Plan
R C S

14
Develop PDO HSE Monitoring Program,
review and approve
A R C S

15
Assure The arrangements for PDO and
Contractor HSE Training
R S

16 Pre-execution HSE Audit of Contractor R C S
17
Complete Pre-execution HSE Audit
Items
R S
R


18 Issue HSE Commencement Certificate R C S R
EXECUTION
19
Monitor Contractors Implementation of
HSE Management Plan R C
S


20 Additional HSE Requirements R C S
21
Contractor - Revise/Review &
Implement the HSE Management Plan

R C
S
To be repeated as often
as required
22 Consider HSE Penalties and Defaults R C S
23 Contract HSE Performance Reports R C S
DEMOBILIZATION
24 Site Restoration -Certificate Approval C
CLOSE OUT
25
Final Contract HSE Performance
Report A R C S


Overall Complete
Date:
Name:
Sign: A R