HOW DOES TRAFIGURA Our business model relies on being able to deliver oil and

petroleum products consistently, safely and responsibly.

DELIVER OIL PRODUCTS If we were to supply off-specification products we might

suffer financial penalties or find them rejected by customers.

RESPONSIBLY, RELIABLY AND The reputational and societal consequences could be even more

TO INTERNATIONAL STANDARDS?
significant. Trafigura is a strategic energy provider in many
of our markets. Should we fail to deliver, economies would be
disrupted and cities might have to go without heat or power.

SOURCE STORE BLEND DELIVER

Trafigura sources petroleum products globally.
All in-bound fuel transfers are subject to rigorous
testing by independent inspectors.
We require all trading partners to observe their legal
and regulatory obligations, and oppose corruption,
market abuse and unethical business practices.
Trafigura stores petroleum products on land and Trafigura blends fuels to meet environmental
in floating storage. We conduct due diligence to
ensure the storage facilities we select meets
regulations, sustainability objectives, improve
performance and optimise costs.
international best practice.
It is mandatory for fuel blenders to comply with
restrictions or bans on certain components in
26% particular jurisdictions. Blending is a non-reactive
WHERE DOES TRAFIGURA BLEND PRODUCTS?
90% on-shore
On-shore blending is a routine procedure that is well
understood and controlled by terminal operators.
Trafigura conforms to the SOLAS convention,
which includes special requirements for tankers.
Our chartering policy ensures the Group uses only
modern, reliable tankers and barges.
All vessels must be Ship Inspection and Reporting (SIRE)
certificated with at least two inspections and approvals
MEETING COMPLEX SPECIFICATIONS
Trafigura delivers petroleum products that meet
specifications agreed with our customers. National
governments and their regulatory authorities are in
charge of setting these specifications. Fuel grades
therefore reflect local requirements and priorities.

Under our Know Your Counterparty (KYC) procedures,

Trafigura’s compliance officers conduct due diligence
for each new counterparty. These checks support
our anti-bribery, anti-corruption and anti-money
laundering policies.
of storage is leased from terminals owned
process. No by-product is produced.
Additives to enhance fuel sustainability, defend
10% on-ship within the previous six months. We only charter double-
hulled ships that are less than 25 years old. We also
Specifications have proliferated over the last quarter
century as fuel quality continues to improve across the
by Trafigura’s affiliate Puma Energy. make sure that all chartered vessels are classified world. Technological advances are delivering lower
engines against corrosion, promote cleaner burning On-ship blending is only carried out in controlled
by a member of the International Association of emissions and dramatic improvements in air quality.
74% and improve performance in extreme climates are
only used in small quantities in the blending process:
conditions as specified in the International Convention
for the Prevention of Pollution from Ships (MARPOL).
Classification Societies.
Regulators use fuel specifications to advance
typically at dilutions of less than one part in 2,000. Vessels must be berthed in port. Blending petroleum sustainability and energy policy. In the US for instance,
of storage is leased from third-party owned terminals. products during sea voyages was prohibited under
No by-product is produced. the Environmental Protection Agency’s (EPA) mandatory
Trafigura’s ‘Due Diligence Procedure and Storage International Convention for the Safety of Life at requirement for a biofuel component in gasoline is
Chemical treatments alter a fuel’s composition by Sea (SOLAS) in 2014.
Approval’ process, which applies to all third-party helping to reduce the country’s reliance on fossil fuels.
changing its molecular characteristics. Unwanted
owned terminals, includes the following activities: WHY BLEND ON-SHIP?
by-products may be produced. As a matter of policy,
• Independent inspectors audit the terminal and Trafigura does not undertake chemical treatments. • Accessibility: draft restrictions may make on-shore
review all mandatory licences storage inaccessible
• Trafigura’s insurers review documentation and give • Safety: fewer transfers are needed when fuel already
consent for commercial agreements to proceed on board can be blended to make a different grade
for another location
• Due diligence is repeated annually.
• Energy efficiency: sequential blending minimises
the need for pump-assisted mixing.

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INTERNATIONAL BEST PRACTICE AND REGULATORY FRAMEWORKS
CORPORATE PRINCIPLES, POLICY AND CODE ROBUST OPERATING CONTROLS SOLAS MARPOL SIRE SHIP-TO-SHIP TRANSFERS
All Trafigura personnel are required Principles. Trafigura’s Code of Business The hazards associated with the delivery and transfer of hydrocarbons are SOLAS is the main international treaty MARPOL is the main treaty covering SIRE introduced by the Oil Companies Trafigura’s approach reflects the latest
to conform to clearly articulated Conduct sets out the ethical and addressed by controls and good operating practices. These include: concerning the safety of merchant prevention of pollution of the marine International Marine Forum (OCIMF) industry guidance as described in ‘Ship-
standards and procedures in relation responsible behaviours expected of shipping. It specifies minimum environment by ships from operational provides detailed inspection information to-Ship Transfer Guide for Petroleum,
• Design and construction of plant • High integrity instrumentation
to the management of health, safety, all personnel. Mandatory adherence standards for the construction, or accidental causes. on tankers, barges and small vessels for Chemicals and Liquefied Gases’. This
and facilities in accordance with good and control systems
environment and community (HSEC) to the Code is monitored by Trafigura’s equipment and operation of ships, charterers, ship operators, terminal joint publication between OCIMF, the
engineering practice and local regulations Annex I of the MARPOL Convention
concerns. Standards are enshrined in Compliance Department. • Formal classification of hazardous compatible with their safety. operators and government bodies Chemical Distribution Institute (CDI),
contains the most important regulations
our HSEC Policy and HSEC Business • Use of formal process hazard analysis areas and specification of appropriate concerned with ship safety. the International Chamber of Shipping
for preventing pollution by oil from
techniques in developing the design equipment for use in potentially (ICS) and the Society of International
ships. Specific regulations apply to
INDEPENDENT INSPECTION AND ASSURANCE explosive atmospheres. Strict Gas Tanker and Terminal Operators
• Operation by trained and the off-loading of water washings
Trafigura and its counterparties appoint • Testing of product to ensure it prohibition of ignition sources (SIGTTO) specifies best practice
competent staff and other wastes.
independent inspectors to supervise meets the agreed specification in these areas procedures for hydrocarbon transfers.
all transfers of hydrocarbons, water • Operation in accordance with formal
• Retention of samples for • Proactive mechanical integrity
washings and waste. Inspectors fulfil standard operating procedures which
archive purposes assurance programmes underpinned
the following tasks: recognise potential safety and
• Mediation in the event of disputes by robust independent inspection.
environmental hazards under
• Provision of quality assurance • Reporting of bad practice. normal and upset conditions