TRAINING PACKAGE

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TRAINING PACKAGE

• 3b Employee pack (Contractors and
  sub-contractors)

LIFE SAVING RULES
WHO DECIDES TO BREAK THE RULES, DECIDES NOT TO
WORK FOR MOL GROUP
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A message from the CEO
The Life Saving Rules set out clear and simple
dos and donts covering activities with the
highest potential safety risk and apply to all
employees and contractors. The best-performing
companies operate within a simple framework of
rules and trust their employees to do the right
thing. Our Life Saving Rules will help us do the
same. They are simple, sharp and do what they say
save lives. As our workers, leaders,
managers, supervisors and contractors, Im asking
you to make a personal commitment to the Life
Saving Rules too, make sure everyone understands
and follows them. Safety will always be our top
priority and this shall be based on respecting
each other and our rules. My message is a simple
one - if you choose to violate the rules and do
your job the unsafe way, then you choose not to
work for MOL Group. We are determined to save
lives. József Molnár MOL Group CEO
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What are the Life Saving Rules?

• The Life Saving Rules are basic safety rules for
  high-risk works where failure to comply with the
  rules has the highest potential for serious
  injury or death. They also highlight simple
  actions individuals can take to protect
  themselves and others.
• None of the Life Saving Rules is new, they have
  already been valid through various legal and
  internal regulations.
• Most staff already comply every day.
• The aim is not to blame employees but to drive a
  culture of compliance. The focus is on modifying
  worker and supervisor behaviours in the workplace
  by raising awareness.
• Compliance is mandatory for everyone, MOL Group,
  contractor and sub-contractor employees alike.
• Failure to comply will result in disciplinary
  action.

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What is our goal?
Prevent serious injuries
17 fatalities
NOW
GOAL
Compliance with the LSR would have saved many of
these lives
Staff contractor/sub-contractor employee
fatalities 2008-2012
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How were they developed?

• Review analysis of
• MOL Group historical incident data (fatalities,
  serious or high potential incidents)
• OGP recommended practice
• Oil gas industry practice
• Criteria applied
• Rules apply to at least 50 of fatal incidents
• Rules can be clearly defined and easily
  understood by staff contractors
• Violation of the rules can be monitored
  consistently

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Real incidents
Ignition source Workforce and contractor personal accidents in the last 5 years March 2010 Contractor employee died in an explosion during a tank cleaning at Csepel logistics depot in Hungary.
Permit to work Workforce and contractor personal accidents in the last 5 years June 2012 Two contractor employees were killed due to asphyxiation by nitrogen at TVK in Hungary.
Gas testing Workforce and contractor personal accidents in the last 5 years January 2010 Slovnaft employee drowned in a service shaft at Slovnaft Refinery in Slovakia.
Life Saving PPE Workforce and contractor personal accidents in the last 5 years February 2012 Contractor employee fell from the canopy of a Tifon filling station in Croatia as he attempted to remove snow and suffered fatal injuries.
Energy isolation Workforce and contractor personal accidents in the last 5 years October 2008 Contractor employee was fatally injured by electric current as he was measuring electric motor at Slovnaft Refinery in Slovakia.
No alcohol or drugs Workforce, contractor and 3rd party personal incidents in the last 5 years September 2012 Third party driver was killed in a road accident with a contractor tank truck at Krk in Croatia.
!
!
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Consequences of breaching the rules
All rule-breaking cases will be investigated
thoroughly.
Rule violators expose themselves or others to a
higher risk of injury or fatality.
If the rule violator acted intentionally, the
maximum appropriate disciplinary action will be
applied.
For employees of contractors or sub-contractors,
this can include removal from site and
disqualification from future Company work.
If a supervisor sets the conditions for rule
breaking or fails to follow through if one is
broken, appropriate disciplinary action will
apply.
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1. Smoke only at designated areas, do not use
ignition source

• Any piece of equipment that is or could be an
  ignition source, such as a grinder, drilling
  machine etc. at an area with fire / explosion
  hazard, such as technological area is extremely
  dangerous and forbidden without the correct
  permit to work and fire prevention measures.
  Smoking or use of matches or cigarette lighters
  could set on fire flammable materials or cause an
  explosion. Smoking at designated, clearly signed
  areas will keep you safe from causing fire or
  explosion.
• As a worker, I have to
• Learn where the designated smoking areas are
• Intervene and report if I see someone smoking
  outside a designated area
• Avoid using any ignition sources in technological
  areas without a permit to work and fire
  prevention measures.

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2. Verify energy isolation before work

• Isolation separates and keeps you safe from the
  hazards of various energy sources that can exist
  at any job site. These hazardous energy sources
  are typically electric current, stored
  electricity (e.g. capacitors), high pressure,
  toxic materials, poisonous gases, chemicals (e.g.
  flammable liquids), hot liquids/steam, radiation
  or moving/rotating machine parts (e.g. compressed
  spring) etc.
• As a worker, I have to
• Understand the isolations that protect me from
  danger
• Confirm with the supervisor that isolations are
  in place
• Confirm with the supervisor that it is safe to
  start work.

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3. Obtain and follow permit to work

• A permit to work describes what hazards you are
  likely to encounter while you are working and how
  these hazards must be controlled to keep you
  safe. A permit to work must always be obtained
  prior to starting the following activities and
  followed throughout the job (1) Confined space
  entry, (2) Hot work, (3) Critical lifting, (4)
  Work at height and/or over water, (5) Ground
  disturbance, (6) Maintenance works of
  particularly increased risk or conditions.
• As a worker, I have to
• Confirm with the shift lead / foreman that it is
  safe to start work
• Confirm with the watchman that I can enter a
  confined space
• Follow the requirements of the permit to work.
• As a watchman to a confined space, I have to
• Approve and control access to a confined space
• Have means of communication with people in the
  confined space
• Be aware of emergency rescue measures and carry
  those out as necessary.

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4. Use correct lifesaving PPE whenever required

• Personal Protective Equipment termed life
  saving are personal fall arrest systems and
  personal respiratory protection equipment (except
  dust masks). Always use a personal fall arrest
  system when working outside a protective
  environment where you can fall over 2 metres. A
  protective environment includes approved
  scaffolds, stairs or platforms with guardrails
  and man lifts. Personal respiratory protection
  equipment must always be used if you are exposed
  or could be exposed to hazardous agents or to a
  hazardous atmosphere (e.g. when oxygen levels are
  low or the space is filled with nitrogen), as
  required by the permit to work.
• As a worker, I have to
• Be aware of what fall protection equipment to use
  and how to use it
• Be aware of what respiratory protection equipment
  to use and how to use it
• Check equipment before using it, always connect
  the personal fall arrest system to an anchor
  point when working at height outside of a
  protective environment
• Refuse work if not sure how to use the life
  saving PPE.

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5. Conduct gas tests whenever required

• During some works or in specific work areas the
  atmosphere has to be tested to prevent explosions
  and/or make sure you and other people on-site can
  breathe the air safely. Examples for such works
  are entry into a confined space and hot works,
  where initial gas testing is always obligatory
  and continuous testing is also often required.
• As a worker, I have to
• Confirm with the shift lead / foreman that the
  atmosphere is tested
• Confirm with the shift lead / foreman that it is
  safe to start work
• Wear the calibrated personal gas detector if
  required by the permit to work or site
  regulation
• Stop work if I smell gas or the personal gas
  detector alarms.

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6. Do not carry out work in trenches without
appropriate shoring

• No matter how safe an excavated trench or pit may
  seem to you, it can turn unnoticed into a deadly
  trap after a short rain or depositing material
  next to it. Shoring or sloping the sidewalls
  easily gets you on the safe side.
• As a worker, I have to
• Enter a trench or pit deeper than 1.2 metres
  (approx. chest level) that is not protected by
  shoring or doesnt have sloped side walls.

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7. Do not remove safety signs or override /
disable safety critical equipment

• Examples of safety-critical equipment include
  isolation devices/emergency shut-down valves,
  lock out/tag out devices, trip systems, relief
  valves, fire and gas alarm systems, certain level
  controls, alarms, crane computers.
• As a worker, I have to
• Obtain authorisation from the shift lead /
  foreman before overriding or disabling
  safety-critical equipment
• Never remove any safety signs.

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8. Do not violate safe lifting rules

• Working or walking immediately under a suspended
  load is unsafe as the load can fall on you. Using
  damaged, undersized or incompatible rigging
  equipment or incorrect rigging methods seriously
  increases the risk of a load to accidentally
  fall. Some lifting activities involve increased
  hazards (like lifting heavy loads close to crane
  capacity or over critical technological areas),
  these are called critical lifting.
• As a worker, I have to
• Make sure never to cross an area with a suspended
  load hazard, whether indicated with tapes or
  barriers or not
• Follow the instructions of the signaller.

Some lifting activities involve increased
hazards (like lifting heavy loads close to crane
capacity or over critical technological areas),
these are called critical lifting.
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9. No alcohol or drugs before and during working

• Using alcohol, illegal drugs and misusing legal
  drugs or other substances will not only reduce
  your ability to do your job safely, but will
  expose your colleagues to increased risk.
• As a worker, I have to
• Always inform the shift lead / foreman if Im
  taking medicine that may have an effect on my
  capabilities or performance. If in doubt I always
  check with the shift lead / foreman who will seek
  medical advice
• Avoid using, keeping, selling or distributing
  illegal drugs
• Report any case of alcohol or drugs abuse
• Avoid taking any risk if I dont feel fit to work.

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10. Comply and intervene

• Keeping the Life Saving Rules will save lives.
  One who chooses not to keep the Life Saving Rules
  chooses not to work for MOL Group.
• As a worker, I have to
• Refuse any work that violates the Life Saving
  Rules
• Intervene and report if somebody violates the
  Life Saving Rules.

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Disciplinary actions
Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff Contractor / Subcontractor Staff
Smoking out of the designated smoking area Energy isolation missing Working without work permit Not using/wearing the life-saving protective equipment Failure in performing the prescribed gas concentration test(s) Protection against collapse is missing Safety equipment and signs are removed or missing Violation of regulations relevant to lifting operations Proven consumption of alcohol or drug
Penalty amount 50 000 HUF/Pers. 200 000 HUF 200 000 HUF 50 000 HUF/Pers. 50 000 HUF 50 000 HUF 200 000 HUF 10 000 200 000 HUF 50 000 HUF/Pers.
Expulsion until correction (suspended work) - X X X X X X X -
Ban the relevant shiftleader - - Ban for 1 year for MOL Group sites. Ban for 1 year for MOL Group sites (if the PPE was not ensured). Ban for 1 year for MOL Group sites (if the equipment was not ensured). - - - -
Ban the relevant employees Ban the relevant employees for 1 year for MOL Group sites. - - Ban the relevant employees for 1 year for MOL Group sites. (if the employee not used the PPE). Ban the relevant employees for 1 year for MOL Group sites. (if the employee not used the equipment). - - - Ban the relevant employees for 1 year from MOL Group sites.
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LIFE SAVING RULES

• WHO DECIDES TO BREAK THE RULES,
• DECIDES NOT TO WORK FOR MOL GROUP