AMENDMENT RECORD

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TABLE OF CONTENTS Introduction

D&C Vision and Strategy 1.1 Organization and Team Functions 1 .2 1.2.1 Drifling and Completions Exploration and Appraisal Team 1.2.2 1.2,3 Drilling Engineering Team Completion Engineering Team 1 .2.4 1.2.5 Operations Team Model Thunder Horse/Atlantis Operations Team 1.2.6 Production Operations Team 1 .2.7 1.2.8 Performance Management Team ProjectsTeam 1.2.9 1.2.10 Technology Rig and Well Services Team 1 .2.11 D&CHSSE 1.3 1.3.1 Overview Organizational Structure 1.3.2 Team Functions 1.3.3 1.3.4 General Principles 1.3.5 D&C HSSE Team Roles Management and Governance 1 .3.6 People Management 1 .4 Pladning and Scheduling 1 .5 1.5.1 Rig Scheduling Process Well Planning Process 1.5,2 1.5.3 Long-Term Planning and Budgeting Process Performance Management 1 .6

4
5 6 6 7 8 9 10 13 13 13 17 17 18 19 19 20 21 21 24 24 26 28 28 31 35 40

1.7 1 .8 1 .9

Major Capital Projects Supplier Management

Technology Management

43 45 47

APPENDICES
Appendix 1: Appendix 2: Appendix 3: Beyond the Best (BtB) Manual GoM Wells Group

LTP Process Recommended Practice

GoM SPU Drilling, Completions and Interventions Risk Management Process

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ntroducfion

This paper will provide insight as to how the new Gulf of Mexico (GoM) Drilling and Completions (D&C) Organization functions as it manages all well planning and execution activity as well as the major support functions within the D&C Central Team. This organization is based on a central team model that uses four major groups to manage the entire life cycle of projects from Exploration through Development. All well planning and execution activities are managed through the Exploration and Appraisal (E&A) Operations, Projects, Engineering, and Atlantis/Thunder Horse & Production Operations. Health, Safety, Security, Environment (HSSE), Performance Management, Rig and Wells Services, and Technology are also managed within the D&C Central Team. The Central Team model will allow improved support to the New Development Projects, more efficient utilization of scarce resources, improved learning between Drilling and Completion engineers, and provide standardization opportunities that were difficult to achieve in the previous organizational model. The overarching design principles of the central organization are: Improve D&C HSE/lntegrity Management (IM) and Simultaneous Operations (SIMOPS), and maintain asset integration Consistent HSE/IM and SIMOPS standards/ensure effectiveness Embedded D&C critical positions to maintain continuity and integration with project and subsurface teams

Drive continuous performance improvement and consistency Rig execution excellence continuity one rig/one team machine

Rigorous and standardized performance and cost management Clarity of accountabilities

Improve efficiency and effectiveness of workforce Standardization in well planning and design through a central team for drilling and completions engineering support Fully utilize scarce skills, improve Team Leader (TL)/engineer ratio, and provide central resource support so engineers focus on wrench time Build capability; accelerate employee development and organization learning curves

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1,1 D&C Vison and Strategy

The GoM D&C asset-based DE teams have completed the process of transitioning to a D&C Central Team. While 2008 was a year of change and transition as well .as remarkable accomplishment, 2009 will be a year of challenge as the entire organization strives for excellence in a challenging market environment. This change and challenge will require patience and very strong team behaviors from everyone on the team. It will also require constructive, positive feedback to the Leadership Team, so we can know what to focus on to improve.

GoM SPU D&C&l Profile

GoM Drilling, Completions and Interventions (D&C&l) 2009 spend is estimated at $2.5 bn D&C&l activities will add 100,000 BOEPD Activity set is around seven rig years at an average daily expenditure of $850,000 per rig per day or $4.5 mm per day The G0M SPU D&C&l Group consists of 300 employees of whom approximately 135 are contractors/consultants and 95 are field based.

It will take everyone to achieve the vision that the D&C Leadership Team has created for this organization. This vision will take time to achieve, but the LT is committed to making it happen. The vision that the D&C Leadership Team has developed and stands for is as follows:
The DW

GoM

D&C Team will be known as a highly motivated organization, consistently

delivering Top Quartile perfomanoe, making the most out of its resources and expertise while providing a fulfilling career experience and an enjoyable work environment.

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1.2 Organzaton and Team Functions

1.2.1 Drilling and Completions

Kevin Lacy is the Vice Pesident (VP) of the GoM Strategic D&C Central Organization. He has six direct reports, who are: Harry Thierens Mick Leary Bill Kirton Kevin Guerre Richard Keck Wells Director Performance Manager Projects Manager Rig and Wells Services Manager Technology Manager

Performance

Unit

(SPU)

Curtis Jackson HSSE Director (hosted for the SPU) This group manages all aspects of the D&C Organization including HSSE, individual well planning and execution, new development projects, performance management, rig scheduling, BP-owned rig management, project services, and D&C support staff. Harry Thierens is the Wells Director and is responsible for all well planning and well execution activities. Harry has six direct reports, who are: Jon Sprague
Dave Rich Ian Little Charlie Holt Andy Frazelle Steve Tink Drilling Engineering Manager. Completions Engineering Manager Wells Operations Manager Wells Operations Manager

E&A Thunder Horse & Atlantis

Wells Operations Manager Production Wells HSSE Manager

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1.22 Exploration and Appraisal Team

is the Wells Operations Manager in charge of planning and executing G0M SPU E&A wells. His team sits on the second floor in WL-4 and is the only team

Ian Little

E&A

supported by the engineering teams, which are managed by the D&C engineering managers. All planning is managed within Ians team. Ian has five direct reports, who
are:

not

Joke

Skelton

Wells Team Leader Wells Team Leader

Horizon West Sirius (Devon-operated) Leader

Jim Wellings Richard Harland Projects Glenn Nohavitza

Wells Team

Rig

of Opportunity and

Special

Wells Team Leader

Palmer

(reports into Exploration Manager David Sims Keith Daigle Engineering Team Leader

Deep Gas)

E&A

Operations Advisor

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1.23 DriIIinc Encneerinci Team

He leads a team of four Drilling Engineering Team Leaders and one Drilling Advisor responsible for Drilling planning and execution of all DW GoM Development and Production wells. Additionally, the manager for the Mad Dog Rig and Spar New Builds reports to Jon. His team sits on the 10th floor of WL-4 and works closely with the Projects Leaders to develop a world-class sanction for New Development Projects and with the Thunder Horse/Atlantis and Production Rig Operations teams to plan and deliver the wells. The chart below details at a high level the accountabilities for each of the teams. Jons six direct reports are: Pete Driscoll Tony Emerson Charles Taylor Greg Walz Perry Hill TBN Drilling Engineering Team Leader Drilling Engineering Team Leader Drilling Engineering Team Leader Drilling Excellence Team Leader Mad Dog Rig and Spar New Builds Drilling Engineering Advisor

Jon Sprague is the Drilling Engineering Manager.

Major Projects Support Team I Team 2

Siguport project access with engineering ascesonerri s Option generationi selection Coot estirnatlrsg OCUS Pith idenhipcotiorr Projein lend drilling SoR Project lenol drilling EnD Technology seiectiort incorporate standardization Project Learning integration

Drilling SoP Drilling 600 Well level denigtrlprocodore Technnln5r implemenrarion Final cost ostirstatesi APE Well Level DCUS Risk Idenag.nsorrt Equlpmenl and service provider cczrlrrrllrnenls Drilling operations support Sopport access wllh englneetrng support tsr rcpioitaticn opportUvirien Appraise Stage option generallonlselertlon Rapid Response Resoorcing Tieback Developtrrerrt Stralegy Special Protons to reduce resetvas access cost per weir
-

Support corn non process Technology coordination Long Thrtn DWutralestr PleldiTlals Special engineering and lunctlonol project studies hI detain deep sporualist shills Enpaipnlent deogrr Design reviews oiprrtetrl 4 Ec irnegriry FilliPs HPHT Technology delelopmnnl Contrast support

Procicle eopnrtise and advase DR Manager on leadership end riiredlontor DW DETeern Adviso DEblenagor err orgenizntionol issues Advise DETearn on work and prounse blnrplinnariorr Be an enpert lrooble.shooter br DEC problems Operational Personoel and Organzoticn Technical Commerciol Advise on Pig and Prepping Advise on 3rd Part p Support Advise LTnn DR Issues Advise ott Project Services support

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1.2.4

Completion Engineering Team

Dave Rich is the Completions Engineering Manager. He leads a team of five Completion engineering Team Leaders and one Completions Advisor responsible for Completion and Intervention planning and execution of all DW G0M Development and Production wells. His team sits on the 1 0th floor of WL-4 and works closely with the Major Projects team to develop a world-class sanction for New Development Projects and with the Thunder Horse/Atlantis and Production Rig Operations teams to plan and deliver the wells. The chart below details at a high level the accountabilities for each of the teams. Daves six direct reports are: Terry Miglicco Richard Loveland Quentin Dyson Bruce Rogers Dave Tiffin Wayne Sutton Completions Engineering Team Leader Completions Engineering Team Leader Completions Engineering Team Leader Completions Excellence Team Leader Completion Advisor Engineering Team Leader

Major Projects Support Team 1 Team 2

Interventions

Suppuit rnJecI 000550 Lb engireeiirrg

Orticir

gorier adic., and selection Cost estirvctiirg DCUS Plot Ideutiticetior Techucloyy celectiuc Technology develclur000t lircoiputate stairdoadizaticu Project ..earrriuitg lntegrat:cu 5 Fl (gun In/cl uciiiplctiuilS SuP Project level CCiepteOofls 800 Pcgirptnnct OIud service provider cororn,trtseirts Loot leans

Welt nc-P Well BoO Well level ccnnplelicrt 500igniprcceoiire Techr,oioyp rreplerner,tntioir Flirol oust estiviales/AFE Well Level Oct/S Risk riransget-nect Eigiiipreent and service plodder ccrviuitmuntc Culeldeticlls operations support Appraise Stage alvtioir penoraticar/selentioic

Siipprait corrireov process Teotsuvlvgy c-oordircrction Lurid Terre OW Wratedy

-

Field Tmiil i/opi-J thespurirso Resuarciug Dursui-st orgireeting ard lurcIi000l prcject studies Main alit deep specialist shills Erpilpirrurrl design rripiueist 1 Er OA1OC Design re,iews Eqrripment Integrity Fluids ilFt-cr Teolnrtsl-ngp development Contract sUppol i5 at at Injections Well teeinp/flowbaoiis
-

lureivertiuc strategy lirterueirtius option jelrerariun OtJPPUI I iicterveiitioe .Jeoiyii/piunoduiec intervnr,ti055 operations soupcrr Provide Corriplehoir crud lntercecti005 oivetotions OpeciOlist support

Piov:dc erprvtivc uii/ arMOr CE M camper Advise on reguiriroticeol isstles!lvecple devotopmeilt Advise crc ptccess ciluplification Keep dclii CErearri linked with EP5loical vurrpletiulrs oofllrcttcity. Assist lit Couhliruous Peitcireonce Improvement

Concrriutnicate corn petiuc risks oiuprcpriatelp Se air erpert trouble-shooter for CiSC problems

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1.2.5 Operations Team Model

There are three Operations Teams, which are Wells Operations E&A, Wells Operations Thunder Horse/Atlantis, and Wells Operations Production. The E&A Team is located

on the second floor in WL-4 and is responsible for well planning and execution. The. TH/Atlantis and Production Ops teams are located with the assets and are responsible for operations. The planning for their operations is done in the D&C Engineering Teams, located on the 10th floor of WL-4. The Rig Ops Team will consist of two parts. The first is a core group of dedicated rig team members (as represented on the right side of the diagram below with the solid line reporting line). The second part of the team is supported from the Central Engineering Team reporting to the D&C Engineering Managers (as represented on the left side of the diagram below with the dotted reporting line). The generic model for the rig teams is depicted below:

bp

Wells Teem Leader

One rig Central D&C Teams Engineering and Resource +
\Votsite Leaders

one team machine

Expi, Proj and PU Teams

Rig Clerks Strocture of this will be mock as today Execution DC (1 2)

These positorm oll be leap frog from planning to execution Contirsaity will be maintained in thia plannir9 group

F
i i

Perfamance tng,neers

on t rexo
GdG Support

I-iSP

, 1 op Teams from 6 Projects or assets will be tugged to a.port on well plan, deoi9n, execution Position o,ll support a rig(s) and will report to Wella HS5E TL

bE

Or
Te fg.o

fff
Support
.

Operations CE

Thou positions will be hard lined too rig. Primary role will be to integrate planting into rig efficiency and drive looming into operation. CE
role will not exist io Exploration Teams

Will be nagged to a rig team, but will report to a technologist

TL

Technologist

Jpdcted 03-12-08

The RACI chart for integration of the Engineering and Operations teams is included as follows.

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1.2.6

Thunder Horse/Atlantis Operations Team

Charlie Holt is the Wells Operations Manager Thunder Horse/Atlantis and is in charge of executing Thunder Horse and Atlantis wells. His Wells Team Leaders, along with their th Rig Teams are seated with the assets (1 &h floor of WL-4 for TH and 9 floor of WL-4 for Atlantis). Charlie has four direct reports, who are:

Dan Stoltz Doug Chester Gavin Kidd Robert Sanders

1.2.7

Wells Team Leader

Enterprise

Wells Team Leader Thunder Horse PDQ Wells Team LeaderDDll Wells Team Leader

DDIII

Production Operations Team

Andy Frazelle is the Wells Operations Manager Production. He is in charge of executing the existing Production Asset wells such as Mad Dog, Holstein, Horn Mountain, Marlin and NaKika as well as Intervention Operations. His Wells Team Leaders, along th with their Rig Teams are seated with the assets (I 4 floor of WL-4 for Mad Dog/Holstein th 16 and floor of WL4 for Marlin, NaKika, and Horn Mountain). Andy has four direct reports, who are:

George Gray Wes Black TBN John Smart

1.2.8

Wells Team Leader Marianas Wells Team Leader Wells Team Leader

Holstein Mad Dog

Intervention and Completion Ops Team Leader

Manaciement Team

Performance

Mick Leary is the D&C Performance Manager. He is accountable for leading the Performance and Project Services teams, Integrity Management for D&C as well as managing the BP-owned rigs (Thunder Horse PDQ, Holstein, and Mad Dog) and OMS Implementation. A portion of his team will be seated on the 9th floor of WL-4 but others are co-located with the teams they directly support. The direct reports are accountable for Performance, Project Services, D&C Integrity Management, OMS Implementation and BP-owned rigs. Mick has five direct reports, who are:
Terry Jordan Dan Welch Kevin Forness Mark Webster David Porter D&C Performance Team Leader BP Rig Team Leader D&C Project Services Manager D&C OMS Implementation Lead D&C Integrity Management Lead

The Performance Team provides robust support to the Operations and Engineering teams in D&C and leverages the capability of the engineering staff and Wells Team Leaders for operations. Technologists, Common Process Coordinators, and Technical

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Editors will report into the Performance Team and support the operations and engineering teams, and be co-located with these teams to affect efficient work processes. Having the reporting relationship centralized has and will continue to allow greater efficiency in standardization of processes and balancing of workloads. This team also holds SPU IT&S and segment D&C lT&S interface accountability with GoM D&C for D&C software applications (i.e. Open Wells, EOM, LiveLink. etc.). The same synergies have occurred with the centralization of the Project Services team. The Project Services organization has four team leaders, three of whom are leading the cost tracking and forecasting work through the cost engineers and analysts. Additionally , one of these TLs carries accountability for the PS Technicians processing invoices and for special projects like the P2P!Backbone implementation. A fourth PS TL is accountable for Scheduling and Document Control. Below is a RACI chart between D&C PS, SPU Finance and the Assets.
Drilling & Completions Protect Services Current GeM Practices RACI Chart
RESPONSI8LE ACCOUNTABLE CONSULTED clay to doff I ultimate answerable 12-waycommunicotcn 1-way cbrnmunicutcn

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D&C Project Service Scope Boundaries: DSC spend cAPEX S OPEX SIMOPS obend- Need absstule Clarity on sncpk deFineston Subsurface Spend Need absolute Clarity on scope delineation Lorry Lead Spend Forecast S Spend P.econcilialion (avis Lacy Budynted Rig MOSS spvnd
-

Finance

LTP1 Reeve Gold Rig Sclredule Asboanptions lCreatelUpdate Depletion Plan )Subsurfacel lCreote/ljpdate Eepl Plan, Appraisal Plan, PC.D Develop Well Design. Tarring. Concept. & Basis of Design (Perfornance Assumptions) RIg Rate Ansirnpllons Development High Level Spread Rate and All.in Rate Assumptions Development Develop Commbeifq & Sorsims Inflation Assbntplions Provide CDPAS* Pcrerwst phased by rrronlhlyeor to D&C PS Pracatoners Application of Celailed Assumptions at Well ,bclinfy Level
by Program

A A
A

A 5 A A

[
S
R R A A A A A A A A R

A
A

)PrnbablinficS Uncertainty Reviews D&C Variance Analysis )LTP 55 LTPI Corbal DEC Internal Reeler, poor to Asuel teed Asset Reviews Ipunctional Reviews Finance Rot.op & Consofdatnv APE iOvera:l APE Coordination & Tracking Cradle to Grave iDevelnp inibat cml enlinrote deterministic Develop millS cnsl ectirnole - probabilislcc )RevierniIalidole Engr. Coal estimates, DCUS (use benchmark data,
-

P
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vendor ostirnates...)

,Revierv LL laneibles cost allocahoir to Well lObtoic DEC APE approvels consislerrt silk DOe, Igubmit APE to Lanuyntertace AFE issues With Land tdsnitor APE staLls for fat apsrovel S obtain ccpy of fully approved APE Cootd:nate With Finance WBS setup in SAP Liuse ,cith Finance to close APE in Nnoncial System (TECO) Momntain Am SuromaryReporl for DEC Mgmt Maintain APE SuarirnaryReporl tar Parbrels Reconcile APE Costs to Field Estimates (DIMS) and Rnaocral System kAdtuarsl Ccnlrol APE tcost Senpe) & evetuale need for dopplemerl Monitor APE for over nd End 01 Well Reviee itt DEC Engineers

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I .19 Prolects Team

Bill Kirton is the D&C Projects Manager. He leads a team of Project Leaders accountable for the three current Major Projects, as well as future Major Projects, through the Appraise and Select phases of the Project. His team is the second step in the value chain after E&A Operations, and works closely with D&C Engineering Major Projects Support Teams to develop concept selection, create a Basis of Design and sanction the Project. The Projects Team will set up the conditions for success for the D&C Engineering Teams as they perform detailed well planning in the Define Phase, and also for the Operations Team as they operate in the Execute Phase Bill has three direct reports, who are:
Dave Schilling Gary WuIf Glenn Fritchie Project Leader Paleogene Project Leader

Tubular Bells/Kodiak

Project Leader Greater Puma

I .210 Technology
Richard Keck is the Technology Manager and is accountable for guiding the Wells Leadership Team in making strategic technology decisions, supporting the SPU Technology Manager in developing and implementing the technology strategy, and providing strategic direction to the Exploration and Production Technology Group (EPTG). He will work with the Projects Teams to ensure new equipment development is aligned with what is being developed around the world in BP.

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1.2.11 Rig and Well Services Team

Kevin Guerre is the Rig and Wells Services Manager. He is accountable for managing all Wells Services Contracts, and a variety of services to the SPU relative to rigs, including strategy input to the Global DW Strategy, coordination of the SPU rig schedule, rig farm-outs and farm-ins and the delivery of new rigs. Kevin has three direct reports, who are: Jonathan Gulick Mark Diehl John Hosford DDlll Rig Delivery Leader PS I Rig Delivery Leader Contract Renewal Lead

The Rig and Well Services Team is organized as depicted in the Figure below. The key reasons behind this organizational structure include:
1d Capture all GoM 3 party rig delivery expertise in one organization Hold contracting expertise and liaison with Procurement and Supply Chain Management (PSCM) primarily in one place Share resources and capture learning within rig delivery

G0M Rig and Well Services Team

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1.3.1 Overview
D&C is ultimately accountable for HSSE performance on all drilling, completions and intervention operations. The HSSE performance objectives for D&C will be aligned with

GoM SPU, E&P D&C, Segment, and BP Group requirements. D&C is committed to openly communicate HSSE results and appropriately engage the overlaying SPU Performance Units and Assets. The guidelines for involvement are outlined in the RACI
chart shown below. Delivery of HSSE will be accomplished through the drilling contractors Safety Management System (SMS) that is bridged to BP requirements. Simply stated, each drilling contractor will be accountable for HSSE on their installation and at the same time, they will be supported in this area by BPs D&C organization. BPs third party contractors will also work under the applicable drilling contractors SMS. There will be joint BP and drilling contractor responsibility to report and investigate incidents by these third party contractors.

bp

A C

= =

Ultimately accountable Consulted before decision

Responsible for task Informed after decision

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1.3.2 Orcanizationa Structure

The GoM D&C HSSE Team organizational structure, depicted below, includes these key roles:

Office HSSE Advisor

Office advisors support all D&C HSSE activities in their operating area Individual Office HSSE Advisors are assigned accountability for two rigs/activities Focus is for execution of specific rig needs and any agreed SPU-wide initiatives Reports to HSSE Manager with dotted line to Wells Team Leaders Provides oversight of day-to-day activities of the Field HSSE advisors

Field HSSE Advisor

a

Each rig will have two Field HSSE advisors (working Assigned to a specific Rig operating area Focus

14/14)
if it moves to a different

and will stay with rig even

on

rig specific HSSE needs

Reports to HSSE Manager with dotted line to Well Site Leader Receives oversight of day-to-day activities by the Office HSSE advisors

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1.3.3 Team Functions

Overview The HSSE learn is accountable for HSSE excellence within the Drilling organization. Accountabilities include the following: Engaging drilling contractors in continuous HSSE improvement Providing fleet-wide and rig specific HSSE analysis recommendations

and

Completions

and

improvement

Assuring consistent application of BP Group and SPU HSSE requirements Conducting HSSE coaching and training for the D&C organization Providing art interface with the SPU HSSE Functional Teams

Operations
HSSE is accountable for providing HSSE support for drilling, completions and intervention operations. HSSE advisors will be embedded within office-based teams for each Drilling Operations Manager. Each rig and intervention activity will also be staffed with onsite HSSE support. Performance Ensure HSSE performance is continuously improving in D&C operations. Improvemen t activities will include the following: Accurate and timely HSSE data tracking and reporting Learning from incidents and applying those lessons broadly within the fleet Implementing HSSE systems that are simple and consistent with OMS, GoM requirements and contractor management systems

SPU

Assurance
HSSE is accountable for ensuring that all applicable BP Policies and Agency Regulations are followed. Assurance will be achieved by: Training on regulatory requirements Self-assessments and audits Use of existing Compliance Management Systems

1.3.4 General Principles

The D&C HSSE Team is accountable for providing HSSE support for drilling operations under the following D&C HSSE operating principles: D&C is ultimately accountable for HSSE performance on all drilling, completions and intervention operations. D&C will jointly work with the production OIM on incident reporting and incident investigations for BP-owned rigs. D&C HSSE performance objectives will be aligned with BP Group, E&P D&C, Segment and GoM SPU requirements.

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Delivery of HSSE will be accomplished through the drilling contractors safety management system. Each drilling contractor will be accountable for HSSE on their installation. They will be supported in this area by BPs D&C organization. BP 3rd party contractors will work under the applicable drilling contractors SMS. There will be joint BP and drilling contractor responsibility to report and investigate incidents by these 3rd party contractors. D&C will openly communicate results with the overlaying SPU Assets (Production, Development and Exploration).

Working with Contractors

D&C uses the GoM SPU Contractor Performance Evaluation Team (CPET) to assess contractor HSSE systems against minimum standards required by the G0M SPU. Contractors not meeting these standards can be used only under an MOC. Personal Safety, MOC, and Industrial Hygiene The GoM SPU Safe Practices Manual (SPM) is the benchmark used by D&C for drilling operations. The SPM contains EP-approved standards for personal safety, MOC and industrial hygiene. A bridging document between the drilling contractors SMS and BPs SPM is maintained for each drilling contractor. To avoid confusion among drilling contractor personnel, the drilling contractor operates under their SMS plus any additional BP requirements identified in the bridging document. Security
D&C operates under the GoM SPU security requirements. Of specific interest for D&C is the Transportation Worker Identification Credential Program (TWIC). All personnel who work on or travel to facilities and vessels regulated by the Maritime Transportation Security Act (MTSA) and all mariners holding Coast Guard-issued credentials must possess a TWIC card. The following BP facilities are impacted by this regulation. Included are drilling rigs located on the facility and all associated wells intervention personnel. MODUs that are foreign flagged are not subject to the MTSA requirements.

Impacted TWIC Facilities

Atlantis Holstein Horn Mountain* Mad Dog Main Pass 260 (Pipelines) Marlin NaKika Pompano* Port Fourchon South Pass 89E (Pipelines) Thunder Horse

*Although Horn Mountain and Pompano are not MTSA regulated, they are impacted because G0M has taken a holistic approach to the application of MTSA and TWIC regulations.

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Environment
The Environmental Management System for the G0M SPU maintains certification under the ISO 14001 Standard as required by OMS. All D&C operations are included in that certification and operate under the GoM Environmental Management System for BPs environmental impacts. Each rig maintains an Environmental Management Plan (EMP) that focuses on continual improvement on the G0M-significant aspects of water quality, waste and spills. Each drilling contractor also maintains an environmental system for their drilling rig that addresses specific environmental impacts that they own (i.e., maintenance waste for their equipment).

Incident Management and Reporting

D&C uses the G0M Incident Notification, Reporting and Investigation Procedure to report and investigate incidents. Because of BPs commitment to operate under the drilling contractors SMS, the following modifications to the above procedure are used in D&C:
o

For recordable injury investigations, D&C maintains a duty roster list that contains members of the D&C Extended Leadership Team. These members function as BPs lead on the investigation team and are accountable for delivering BPs requirements under the above Procedure. Incident investigations are led by the drilling contractor with BPs participation.

Crisis and Emergency Management

The GoM SPU Crisis and Emergency Management system applicable incident responses. Personnel from D&C fill critical Management Team and Business Support Team in support effort. D&C also maintains compliance with MMS Subpart control capability. is utilized by D&C for all roles on both the Incident of the overall GoM SPU 0, which addresses well

Privilege to Operate
The G0M SPU Compliance Management System (CMS) is utilized by D&C to identify legal and regulatory HSSE requirements. Additionally, Regulatory and Environmental Specialists from the Central HSSE Team have accountabilities to assist with regulatory permitting, compliance and reporting.

Assessment and Audit

D&C conducts internal risk-based HSSE self-assessments. The intent of the self-assessment is to verify contractors are properly utilizing their safety management systems and bridging documents. D&C is also included in the Group S&O audit program and that is coordinated through the GoM SPU audit process.

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1.3.5 D&C HSSE Team Roes

D&C HSSE Manager
The primary objective for this role is to facilitate continual improvement in D&C HSSE performance. The HSSE Manager is accountable for managing a team of HSSE professionals and the organizational capability of that team to assist the D&C organization in HSSE performance delivery. The role also provides an interface with the Central 0cM SPU HSSE Team., production HSSE teams and contractor HSSE representatives to ensure common process consistency. D&C Office HSSE Advisor The Office D&C HSSE Advisor is the HSSE contact for the Wells Operations Teams in the Houston Office. The purpose of this role is to provide coaching and assurance that HSSE systems and processes are understood, implemented and sustained. D&C Fieki HSSE Advisor The Field D&C HSSE Advisor is the day-to-day offshore interface with all onboard staff and contractors. This role provides constant onsite support and coaching to help ensure HSSE systems are fully implemented and continually used by the work crews.

1.3.6 Management and Governance

Recurring Meetings
Key meetings for the D&C HSSE Team are outlined below.

D&C Leadership Team Lacy Bi-weekly Exploration Leadership Team Rainey Weekly G0M SPU HSSE Leadership Team Jackson Bi-weekly D&C HSSE Staff Meeting Tink 8i-weekly HSSE Performance Management Meetings HSSE Steering Committee Tink Bi-monthly HSSE Performance Review Tink Bi-monthly Welisite Leader Conference Call Ops Mgrs 6 weeks
-

3 hours 4 hours 2 hours 2 hours 2 hours 2 hours 1 hour 4 hours

Contractor Meetings
Annual Contractor Meeting Ops Mgrs One per yr

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Performance Management HSSE performance management in D&C is accomplished using the performance management plan shown in the diagram below. This pan addresses management of the D&C HSSE Performance Agenda, performance management of HSSE metrics, and field engagement. The drilling contractors jointly participate in this system.

D&C HSSE Performance Management Plan

D&C HSSE Steerincl Committee Objectives of the Steering Corn m ittee Execute the D&C HSE agenda Monitor D&C HSE performance Approval body tor HSE activities Consist of the following: D&C Ops Managers (3) D&C Ops Director (1) D&CHSEManager(1) Drig Cont. Management (3) SPU HSE Director (1) D&C 1-ISSE Performance Reviews D&CVP(1) Objectives Meeting Frequency Performance Management Si-monthly Agenda Delivery Context Attendees HSSE Steering Committee Wells Team Leaders Office HSE WSLs (that are in the office) Rig Managers Meeting Frequency Si-monthly

WII Sits I adr Tinnfr

Objectives Field Engagement Lessons Learned Sharing Current events Attendees WSL Field HSSE Drilling OIM Performance review attendees Meeting Frequency Every 6 weeks
-

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