PERU LNG EXPORT PROJECT

MARINE FACILITIES EPC CONTRACT

________________

CONTRACT NUMBER LNG-P/05-0005

01 18-Apr-07 Approved for Construction GSE MCZ TAC

0A 23-mar-07 Issue for Review GSE MCZ TAC

Rev. Date Description of revision Prepared by Checked by Approved by

DD-MM-YY Visa Visa Visa
OWNER: CONTRACTOR:

This document is CDB Melchorita property. It cannot be copied or transmitted to third parties without prior authorization.
Type of documents :

PROCEDURE

Contractor's document identification: Rev. Status :

F 1 2 2 5 4 C D B W 0 1 H S E P R O 0 0 1 3 6 0 1 AFC
Document title:

HSE BEHAVIOR BASED SAFETY

Owner’s or other entities documents No.: Sheet:

1/8
 Doc. N°:
PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
Rev.: 01 Date: 18-Apr-07

HSES BEHAVIOR BASED SAFETY

Page: 2/8

REVISION SHEET

Rev. N° Status Description of Revision

0A IFR Issued for Review

01 AFC Approved for Construction

 Doc. N°:
PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
Rev.: 01 Date: 18-Apr-07

HSES BEHAVIOR BASED SAFETY

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TABLE OF CONTENTS

1. SCOPE AND PURPOSE ............................................................................................................................4

2. REFERENCE DOCUMENTS......................................................................................................................4

3. DEFINITIONS .............................................................................................................................................4

4. ACTIVITIES DESCRIPTION.......................................................................................................................4
4.1 RESPONSIBILITES ................................................................................................................................4
4.1.1 PROJECT DIRECTOR............................................................................................................................5
4.1.2 DEPUTY PROJECT DIRECTOR & CONSTRUCTION MANAGER (CM)..........................................................5
4.1.3 HEALTH, SAFETY, ENVIRONMENT AND SECURITY (HSES) MANAGER .....................................................5
4.1.4 SUBCONTRACTOR CONSTRUCTION MANAGER ......................................................................................5
4.1.5 SUBCONTRACTOR HSES MANAGER ....................................................................................................5
4.1.6 SUBCONTRACTOR SUPERVISOR ...........................................................................................................5
4.1.7 EMPLOYEE..........................................................................................................................................6
4.2 INSTRUCTIONS ....................................................................................................................................6
4.2.1 PROCESS INITIATION ...........................................................................................................................6
4.2.2 OBSERVATION GUIDELINES ..................................................................................................................7
4.2.3 RECORD KEEPING / DATA RESULTS ......................................................................................................7
4.2.4 OTHER TRAINING ................................................................................................................................7

APPENDIX A – BASED (BBS) PROCESS .......................................................................................................8

 Doc. N°:
PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
Rev.: 01 Date: 18-Apr-07

HSES BEHAVIOR BASED SAFETY

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1. SCOPE AND PURPOSE

This construction plan describes the HSES Behaviour based Safety activities for CDB Melchorita and
their Subcontractors, during construction of the Marine Facilities Project

This plan addresses field implementation and controls for HSES Behavior based Safety management
during construction as well as the processes for monitoring and mitigation of construction activities that
could potentially impact the environment.

This plan will be updated if conditions or HSES Behavior based Safety requirements change.
The purpose of this plan is to assist CDB and their Subcontractors in complying with all applicable HSES
Behavior based Safety requirements during construction and commissioning.

2. REFERENCE DOCUMENTS

CONTRACT LNG-P/05-0005 Peru LNG Export Project / Marine Facilities EPC Contract

F12254-CDB-W01-PMT-PLA-00001 Project Execution Plan

3. DEFINITIONS

PROJECT: PERU LNG Export Project Marine Facilities EPC Contract

OWNER: PERU LNG S.R.L.
CONTRACTOR: CDB Melchorita,

PROJECT common definitions are listed in the F12254-CDB-W1-PMT-PLA-00001 - Project Execution

Plan.

4. ACTIVITIES DESCRIPTION

When an activity is defined for a certain position in this procedure, the responsibility remains with that
person although a designee may perform the implementation of that activity. The appointed designee
must report directly to the assigned individual.

4.1 RESPONSIBILITES
When an activity is defined for a certain position in this procedure, the responsibility remains with
that person although a designee may perform the implementation of that activity. The appointed
designee must report directly to the assigned individual.
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PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
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4.1.1 PROJECT DIRECTOR

The Project Director has the overall responsibility for ensuring that the Health, Safety,
Environmental and Security policies, objectives and activities incorporated or inferred in
the Project HSE Program are carried out and that any related procedures are
successfully implemented.
The Project Director ensures Management Commitment in the provision of a creditable
project Health, Safety, Environmental and Security Program.

4.1.2 DEPUTY PROJECT DIRECTOR & CONSTRUCTION MANAGER (CM)

The CM is responsible for providing the personnel, facilities, and other resources
necessary to effectively implement this procedure.
The CM and the management team will lead by example, modelling the behaviour
expected from all personnel performing work at the jobsite.

4.1.3 HEALTH, SAFETY, ENVIRONMENT AND SECURITY (HSES) MANAGER

The HSES Manager, in conjunction with the CM and Project Director, is responsible for
implementing and administering this procedure.
The HSES Manager will:
− Function as an adjudicator on any issues from the implementation of
this procedure audit Subcontractors to ensure the requirements of this
procedure are implemented and will provide feedback on performance
to Contractor and Subcontractor Management.
− Assist Subcontractor to plan and coordinate the work to effectively
implement the requirements of the procedure
Ensure the required HSES records are generated and available for review by
Management and Authorities as appropriate.

4.1.4 SUBCONTRACTOR CONSTRUCTION MANAGER

The Subcontractor Construction Manager has the responsibility for compliance with this
procedure and shall provide the personnel, facilities, and other resources necessary to
effectively implement, administer and enforce this procedure.
The Subcontractor Construction Manager is responsible for the effective dissemination
and education o the requirements throughout the Subcontractor’s and its Subcontractor’s
organizations. The Subcontractor Construction Manager shall ensure that all
Subcontractor employees and all Lower tier Subcontractors comply and actively
participate with its requirements.

4.1.5 SUBCONTRACTOR HSES MANAGER

Subcontractor HSES Manager shall be responsible for the continuous monitoring of the
implementation of this procedure.
Subcontractor HSES Manager will provide feedback on performance and assist
Subcontractor
Supervision to plan and coordinate the work to effectively implement the requirements of
the procedure

4.1.6 SUBCONTRACTOR SUPERVISOR

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PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
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HSES BEHAVIOR BASED SAFETY

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Subcontractor Supervisor shall be thoroughly familiar with this procedure and with their
individual responsibilities regarding its implementation and enforcement.
Subcontractor Supervisor shall ensure that only competent persons are assigned work
tasks.
This includes ensuring the worker has the skills, physique and knowledge to safely
execute the work task.

4.1.7 EMPLOYEE
Employees must know, understand and comply with the health, safety and environmental
requirements of this procedure as applicable to the work they perform.
Employees must report to their Supervisor any equipment malfunction that may effect the
safe operation of the equipment.
Employee must advise their immediate Supervisor whenever unsure of the instructions
for a task or where concerned about the safety status of any task.

4.2 INSTRUCTIONS

4.2.1 PROCESS INITIATION

− The BBS process will only be initiated as a pilot project agreed upon by the
HSES Manager and the CSM. A thorough evaluation is necessary to determine
the best approach for successfully implementing the process. For a step-by-step
roll out and flowchart of the execution process (Attachment A).
− Upon completion of training a safe work observation team will be established to
conduct systematic, organized, and behavioral observations to enable the project
to track and analyze how safely employees are working.
− Observers are selected from among the hourly personnel.
− The behavior observation team will:
o Develop a work observation checklist of safety based on work
practices and conditions that could cause accidents, injuries,
equipment, or property damage at the project/facility.
o Identify specific needs for employee coaching and HSES training.
o Provide feedback on the effectiveness of recent employee coaching
and HSES training.
o Check the adequacy of existing job/task methods and procedures
with regard to HSES.
o Emphasize appropriate on-the-spot feedback to encourage safe work
practices and eliminate at risk behavior
− The HSES Manager or his/her designee will provide the initial training to the
observers to kick off the process. As new observers rotate into the process, they
will be required to attend observer training. Observer training will cover:
o Behavioral modification principles and theory
o Work observation process
o Positive reinforcement and coaching
o Participation in field observations with a trained observer
− The team will meet at least weekly to review observation results, develop
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PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
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HSES BEHAVIOR BASED SAFETY

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recommendations for improving safety performance, and monitor progress

toward achieving the elimination of at-risk, and celebrate successes.

4.2.2 OBSERVATION GUIDELINES

− Observer(s) will be required to perform job/task observations. The observer will

be alert for employees performing safe and at-risk work practices. Safe s will be
positively reinforced and at-risk s that could cause injuries, illnesses, or
equipment or property damage will be discussed. Employee will be coached to
understand the value of working safe and changing works.
− The required observation time will be determined by the size of the project/facility.
Observation time, which can be spread throughout the week, is to be increased
as activities increase.
− As observers identify safe and at risk work practices, the observer will document
it on the BBS Checklist. Items documented on the checklist will be discussed with
the employee(s) being observed at the conclusion of the observation.
− Completed BBS Checklists will be turned in to the HSE representative for data
compilation.
− Data gathered will be compiled for discussion in the observers’ weekly meeting.
This meeting should be held prior to the weekly safety meeting so the information
can be presented to the project/facility

4.2.3 RECORD KEEPING / DATA RESULTS

− All observation forms and results will be maintained in the HSES files. It is
essential to make sure that observation forms are filled out according to
the guidelines.
− Reports and trend data will be produced utilizing BBS computer software
application. The data will be discussed in staff meetings, progress review
meetings, and employee meetings to make sure all employees are aware
of the process and the findings.

4.2.4 OTHER TRAINING

− The BBS process will be reviewed with all employees during orientation.
− All managers and supervisors will attend training in order to achieve an
understanding of the BBS process and the process implementation
methodology and procedures. Training will cover:
o General overview of behavioral modification process and safe
reinforcement
o Orientation to the BBS process
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PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
Rev.: 01 Date: 18-Apr-07

HSES BEHAVIOR BASED SAFETY

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APPENDIX A – BASED (BBS) PROCESS

 Doc. N°:
PERU LNG EXPORT PROJECT F12254-CDB-W01-HSE-PRO-00136
MARINE FACILITIES EPC CONTRACT
Rev.: 01 Date: 18-Apr-07

HSES BEHAVIOR BASED SAFETY

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APPENDIX A : EXECUTION STEPS

1) HSE Manager meets with project/facility management to provide

2) Basic:
a) Overview and obtain project commitment;
b) Understanding of the process;
c) Commitment to proceed;
d) Agreement of the resources and time involved for start-up and maintenance.
3) Develop a plan of action for implementation:
a) The first two steps can be done simultaneously;
b) ID a long-term project facilitator
4) Train management and supervisors in the BBS process
5) Select the Behavior Observation Team (BOT). Team made up of employees and trained in
BBS process.
6) Train the general employees and incorporate into new basic hire orientation.
7) BOT develop the work checklist and definition of each work process.
8) The BOT decides and defines the observation strategy.
9) BOT develops the communication strategy for data use.
10) BBS Facilitator to continue to coach the BOT to maintain a focus on priority observations.
11) The HSES Manager maintains contact and oversight.
12) BOT is linked to the BBS champion and/or the Zero Accident Team.