ExxonMobil Canada Properties - Hebron Project · of both the GBS and Topsides teams celebrated the...

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ExxonMobil Canada Properties Hebron Project Canada-Newfoundland and Labrador Benefits Report for the Period January 1, 2017 to December 31, 2017 PROPERTY OF HEBRON This document may not be released in whole or in part without the express written permission of ExxonMobil Canada Properties.

Transcript of ExxonMobil Canada Properties - Hebron Project · of both the GBS and Topsides teams celebrated the...

ExxonMobil Canada Properties

Hebron Project Canada-Newfoundland and Labrador Benefits Report for the Period January 1, 2017 to December 31, 2017

PROPERTY OF HEBRON

This document may not be released in whole or in part without the express written permission of ExxonMobil

Canada Properties.

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Table of Contents

1.0 INTRODUCTION …………………………………………………………………………………….……...2 2.0 PROJECT ACTIVITY AND BENEFITS ACCOMPLISHMENTS...………….……....…………….…....3 3.0 EMPLOYMENT…………………………….…………………………………………….………….……….6 4.0 CANADA-NL CONTENT ESTIMATES………………………………………………….…………….…...8 5.0 PROCUREMENT AND CONTRACTING……………………………………………………………….....8 6.0 SUPPLIER DEVELOPMENT ………………………………………………………………………………9 7.0 RESEARCH AND DEVELOPMENT AND EDUCATION AND TRAINING….………………………..10 8.0 DIVERSITY……………………………………..……………………………………….………….……….11 APPENDIX I 2017 CONTRACT AWARD LISTING……………………………………………………….13 APPENDIX II 2017 HEBRON PHOTOS………………………………………………………………..…..15

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1.0 Introduction

Hebron is an offshore oil field estimated to produce more than 700 million barrels of recoverable

resources. The field was first discovered in 1980, and is located offshore Newfoundland and Labrador in

the Jeanne d'Arc Basin 350 kilometres southeast of St. John's, the capital of Newfoundland and

Labrador. It is approximately 9 kilometres north of the Terra Nova Project, 32 kilometres southeast of

the Hibernia Project, and 46 kilometres southwest of the White Rose Project. The water depth at

Hebron is approximately 92 metres.

The Hebron co-venturers are: ExxonMobil Canada Properties (EMCP), Chevron Canada Resources,

Suncor Energy Inc. through the Hebron Petro-Canada Partnership, Statoil Canada and Nalcor Energy –

Oil and Gas Inc. EMCP is the operator of the Hebron Project.

During May 2011, EMCP on behalf of the Hebron co-venturers, filed the Hebron Benefits Plan with the

Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB). The Hebron Benefits Plan

was conditionally approved on May 31, 2012 and covers the construction and operations phases of the

project.

Five key principles of the Benefits Plan include:

Meeting local benefits commitments while maintaining the highest levels of safety,

environmental performance, efficiency and integrity of our operations;

Selecting contractors and suppliers that will work diligently with us to deliver benefits to the

people of the Province;

Promoting the development of local skills and industry capacity that leaves a lasting legacy for

the communities in which we operate and for the Province;

Delivering execution certainty so that Hebron delivers best-in-class return on investment to

stakeholders, including the Province of Newfoundland and Labrador; and

Working collaboratively with industry, government, academic and training institutions,

community and other stakeholder groups for the effective delivery of benefits.

As outlined in section 45 of the Atlantic Accord Acts, specific provisions of the Hebron Benefits Plan

include a plan for:

The employment of Canadians and, in particular, members of the labour force of the Province of

Newfoundland and Labrador;

Providing manufacturers, consultants, contractors and suppliers and service companies in the

Province, and other parts of Canada, with full and fair opportunity to participate on a

competitive basis in the supply of goods and services used in any proposed work or activity

referenced in the Benefits Plan;

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Providing first consideration to services provided from within the Province and to goods

manufactured in the Province, where those services and goods are competitive in terms of fair

market price, quality and delivery;

Consistent with the Canadian Charter of Rights and Freedoms, providing individuals resident in

the Province with first consideration for training and employment in the work program for

which the Benefits Plan was submitted;

The establishment of an office in the Province where appropriate levels of decision-making are

to take place; and

Expenditures for R&D, including education and training, to be carried out in the Province.

This report summarizes the Hebron Project activities for the period of January 1, 2017 to December 31,

2017 in the areas of employment, expenditures, procurement and contracting, supplier development

research and development, diversity and other relevant areas.

2.0 Project Activity and Benefits Accomplishments

The Hebron Project has had a year filled with achievements and accomplishments. EMCP, as operator of

the Hebron Project, has been involved in continuous collaboration and engagement with various

stakeholders throughout 2017 regarding benefits initiatives and plans. EMCP is committed to providing

benefits to the province.

Throughout 2017, the Hebron Project continued collaboration and engagement with various

stakeholders regarding benefits initiatives and plans.

On February 5, 2017, the 2017 Hebron Cup hockey tournament was held in Portugal Cove-St. Philips, at

the homemade rink of Todd Churchill, a member of the WP Topsides team. The Hebron Cup is a

fundraiser held to benefit ‘Reason for the Rink’ charities which were inspired by Todd’s son, Carter in

order to assist local charities that help children with disabilities. Hebron was an initial sponsor of Reason

for the Rink, and since the initiative started more than five years ago, the Hebron Cup raised a total of

$20,183, the most raised by a recurring event held at the rink. All funds raised are donated to Easter

Seals NL, Rainbow Riders Therapeutic Riding NL, and Mazol Shriners.

On April 18, 2017, EMCP, along with its project co-venturers and senior government officials, celebrated

the completion of the Hebron platform during a pre-tow ceremony in Bull Arm. Participants marked this

significant project milestone with a ceremonial 'chain-cutting', symbolizing cutting the mooring lines

that tethered the platform to land for the construction phase.

In April 2017, the Hebron Project sponsored the 20th Annual NLOWE Conference held in St. John’s. The

NLOWE Conference is the premiere events for women-owned businesses in the Province. It was a great

networking opportunity and a chance to promote the project’s Supplier Diversity Program with those

who were interested in learning more.

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In April 2017, Hebron was once again the presenting sponsor of the Kids Eat Smart Gala, an annual event

held to raise funds for school breakfast clubs throughout the province.

On June 3, 2017, the Hebron Project commenced tow-out of the platform from the Bull Arm

Construction Site, Mosquito Cove, Newfoundland and Labrador, to the Hebron field in the Jeanne d’Arc

Basin, located about 350 kilometers offshore Newfoundland and Labrador. The platform arrived at its

final destination on June 14, 2017.

On August 15, 2017, the Hebron Project provided $15,000 to the Petty Harbour Mini Aquarium to

support the organization's marine education activities. The Hebron contribution will be used to upgrade

lab equipment - purchased with earlier Hebron funding - used to educate visitors about the marine

environment. The funding will also be used to develop programming around the use of the new

technology. As a Marine Legacy Partner of the aquarium, Hebron continues to be a leader in supporting

marine education initiatives, conservation and career support for the next generation of young science

professionals.

In October 2017, EMCP representatives attended NLOWE’s Annual Entrepreneur of the Year Awards

Gala. Since 1998, NLOWE's Entrepreneur of the Year Awards have paid tribute to the province’s most

successful female entrepreneurs for their important contributions to the economy and their

communities. EMCP sponsored the Economic Impact Award, and the Area Procurement Manager

introduced and presented the award to the recipient during the gala.

Hebron reached a very important milestone on November 27, 2017 with the platform producing first oil.

The Project started up ahead of schedule following the June 2017 platform tow-out and is capable of

producing up to 150,000 barrels of oil per day. The oil was extracted from the Hebron field in the Jeanne

d’Arc Basin, located 350 kilometers offshore Newfoundland and Labrador.

Between October and December 2017, Hebron provided a total of $20,000 ($5,000 each) to the

organizations below to support their education and outreach efforts:

Coalition of Persons with Disabilities – Newfoundland and Labrador – provides information,

education and awareness of issues of concern to disability

Esteem Women Inc. – aims to increase the participation of women in science, trades,

engineering, and math careers

Newfoundland and Labrador Sexual Assault Crisis and Prevention Centre – provides support and

services to adults impacted by sexual violence; works to eradicate sexual violence

Resource Centre for the Arts - aims to provide accessible, supportive and well-resourced

programs and venues, with a primary focus on the creation, development, and advancement of

the performing arts in NL.

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During 2017, EMCP Benefits continued to engage the public service and supply sector regarding

procurement opportunities, respond to public questions and inquiries and attend contract kick off

meetings.

In keeping with our dedication to safety, security and strong communities, EMCP, as operator of the

Hebron Project, continued its investment within our province. In addition to the contributions

mentioned above, below are other examples of EMCP’s support:

Newfoundland and Labrador Environmental Association

Bridges to Hope Block the Bus

Clarenville Middle School

Regional Action Committee on Housing (REACH), Clarenville

Clarenville YouthTube

Memorial University of Newfoundland Engineering Society "A"

Hot Soup Cool Jazz

During 2017, EMCP raised substantial funds for United Way Newfoundland and Labrador and members

of the team volunteered their time to help charities under the United Way Days of Caring banner.

Numerous employees and contractors rolled up their sleeves and contributed their time where help was

needed at the Gathering Place, Ronald McDonald House, and the East Coast Trail Association.

Gravity Based Structure and Topsides

In 2012, EMCP authorized KKC and WorleyParsons to proceed with work on the Hebron Project GBS and

Topsides, respectively. The authorization followed substantial completion of front end engineering and

design services and exercised EMCP’s option to subsequently award the next phase, including detailed

engineering, procurement and construction (EPC) services.

Both EPC contractors provided overall project management of the contracts with subcontracts awarded

to multiple third parties, with a focus on performing work in Newfoundland and Labrador in accordance

with the benefits requirements under the Hebron Benefits Plan and the Hebron Benefits Agreement.

Throughout 2017, both KKC and WorleyParsons focused on project closeout. On April 18, 2017 members

of both the GBS and Topsides teams celebrated the completion of the Hebron platform at the pre-tow

ceremony in Bull Arm.

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3.0 Employment

The total number of person hours worked on the Hebron Project in 2017 was 4,120,139. The reported

number of people employed on the Hebron Project during the last quarter of 2017 was 1,135 of which

3978 (86%) were NL residents, 85 (8%) were Other Canadian and 72 (6%) were Non-Canadians based on

Canadian General Standards Board (CGSB) reporting guidelines and the C-NLOPB definition of residency

(i.e. in compliance with the Newfoundland and Labrador Elections Act).

HEADCOUNT

Total Employment Summary

Hebron Project

Year 2017

Direct Employment (Total Number of Persons)

Newfoundland and Labrador Residents

Other Canadians Non-Canadians

1,135 86% 8% 6%

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NL OC NC Male Female

Newfoundland and Labrador 978 85 71 939 195 1,134

Other Canada - - - - - -

Outside Canada - - 1 1 - 1

TOTAL 978 85 72 940 195 1135

Residency Status

Employment Summary by Location

Hebron Project

Year 2017

Total Number of Persons

TOTALGenderLocation

1. Report includes the reported number of persons directly employed on the project, including operator and contractor personnel 2. Residency status is reported as of the time of hire, based on the following definitions: Canadian Citizen:

A person who was born in Canada and has not relinquished his/her Canadian citizenship; or, a person who has been granted Canadian citizenship; or, a person who has been granted landed immigrant status. Newfoundland and Labrador Resident: A Canadian citizen or landed immigrant who meets the residency requirements of the Province as defined by The Elections Act, SNL 1992, CE-3.1. (At point of hire)

3. Headcount includes persons that have worked 50% of their time during the last quarter of 2017

Male % Female %

Management 105 83% 21 17% 126

Administration 19 22% 66 78% 85

Engineers 116 91% 12 9% 128

Technicians 176 88% 23 12% 199

Professionals 95 71% 39 29% 134

Skilled Trades 262 97% 7 3% 269

Labour 101 90% 11 10% 112

Students 10 56% 8 44% 18

Other 56 87% 8 13% 64

Total: 940 83% 195 17% 1,135

Year 2017

Discipline Number of Persons

Employment Summary by Discipline

Hebron Project

Total

number of

Persons

Notes:

1. Disciplines are based on the following National Occupational Classification (NOC) Codes:

Management includes: Senior Managers as well as Middle and Other Managers

Administration includes: Administrative & Sr. Clerical Personnel as well as Clerical Personnel

Engineers includes: only those in that NOC code

Technicians includes: Semi-professionals & Technicians

Professionals includes: only those in that NOC code

Skilled Trades includes: Skilled Crafts & trades as well as Skilled Trades & Services

Labour includes: Semi-Skilled Manual Workers, Other Manual Workers as well as Intermediate Sales & Service

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Students includes: any student enrolled at a recognized educational institution or accredited academic program and includes both graduate and undergraduate students, cadets or any other student

Other includes: positions that do not fit into any of the other disciplines

PERSON HOURS

Person Hour Summary Report

HEBRON PROJECT

Year 2017

Activity/Component Total Person Hours

Project Management Team 159,686

Operations 1,610,592

Gravity Based Structure 937,271

Topsides 1,360,597

Offshore Loading System 51,993

Total for 2017 4,120,139

Project Cumulative 74,325,432

4.0 Canada-NL Content Estimates

The Newfoundland and Labrador content percentage of the 2017 expenditures totaled 72%, Other

Canadian 6% and Non-Canadian expenditures totaled 22%. As a cumulative project figure, the content

percentages are Newfoundland and Labrador 55%, Other Canadian 7% and Non-Canadian 38%.

Canadian-NL Content Estimates

Hebron Project

Year 2017

Reporting Period

Content

NL Other Canadian

Non-Canadian

Year to Date 72% 6% 22%

Project Cumulative 55% 7% 38%

Note: Content percentages may be updated to reflect accurate numbers due to year end reconciliation.

5.0 Procurement and Contracting

EMCP is committed to providing manufacturers, consultants, contractors and service companies in the

province and other parts of Canada with a full and fair opportunity to participate on a competitive basis

in the supply of goods and services. EMCP is also committed to ensure first consideration shall be given

to services provided from within the province and to goods manufactured in the province, where those

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services and goods are competitive in terms of fair market price, quality and delivery. This is cascaded to

the Tier I contractors providing services to Hebron.

During 2017, some of the main contracts awarded by EMCP included Fishing, Cut & Pull and Pipe

Recovery Services, Fibre Optic Maintenance Services, Wellbore & BOP Cleanout Services, Derrick &

Associated Equipment Parts and Services, Core & Reservoir Fluid Analysis, Metering and Measurement

Services, and Hose Management Services.

Please see Appendix I for listing of new contracts awarded with a value greater than $250,000 during the

reporting period January 1, 2017 to December 31, 2017.

KKC’s procurement focus during 2017 was on Marine Operations, preparation for and successful

completion of tow-to-field, and closing out subcontracts that have been completed.

Throughout 2017, WorleyParsons focused its procurement efforts on a number of areas, including

monitoring remaining subcontracts and purchase orders, ensuring continued management oversight of

procurement processes and systematically closing out purchase orders and subcontracts that have been

completed.

6.0 Supplier Development

Throughout 2017, the Supplier Development Coordinator continued communication with local vendors

to address questions regarding the Hebron Project and potential opportunities.

EMCP and Hibernia Management and Development Company (HMDC) held a Supplier Forum March 21

in St. John’s, NL. The goal of the forum was to introduce the main Tier 1 contractors supporting Hebron

(operations) and Hibernia assets to the broader supplier and business communities and to facilitate a

collective space where companies can connect and share information about procurement opportunities.

The key objective was to identify local opportunities and capabilities as well as local supply gaps. The

sessions consisted of morning presentations by Wood Group Canada Inc., KCA Deutag Drilling Canada

Inc., Aker Solutions Canada Inc., Parker Drilling Canada Company, Atlantic Towing Limited and Teekay

(Atlantic) Chartering ULC., with a focus on their approach to procurement as well as some of the local

supply gaps relative to their business needs. Following the morning presentations, local suppliers met

one on one (pre-scheduled meetings) with representatives from the top 11 Tier 1 contractors allowing

potential suppliers the opportunity to exchange contact information and relevant data about the

materials and/or services they can supply while allowing the key contractors the benefit of meeting

individually with companies and learning what the local community is capable of supplying.

Approximately 400 people, representing more than 300 local businesses and organizations, attended

the session.

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EMCP received a number of inquiries during 2017 from suppliers interested in learning more about

opportunities during the Operations phase. Responses were sent to interested suppliers in consultation

with Hebron’s Procurement Manager or the appropriate subject matter expert.

7.0 Research and Development and Education and Training

In 2017, EMCP met the Hebron Project Development phase expenditure obligation of $32.6 million.

Expenditures for the year exceeded $1.9 million.

There are four Joint Industry Partnerships with Petroleum Research Newfoundland and Labrador (PRNL)

in which Hebron is a participant. These projects include:

Bio-Indicators – Diagnostic Tools for Effects assessment of Specific Marine Life

Marine Dredge Disposal

Impact of Seismic Activity on Shrimp Behaviour

Leach Storm Petrel Study

In the first quarter of 2017, under the project of Marine Dredge Disposal – Measuring Recovery to

Natural Conditions, the final report was completed and distributed for technical review. For the project

of Bio-Indicators – Diagnostic Tools for Effects Assessment of Specific Marine Life, analysis of the multi-

year data is underway and will be used for completing the project final report.

There were no new R&D or E&T expenditure authorization applications submitted in 2017.

Investment in the Co-operative Education Program at Memorial University and College of the North

Atlantic (CNA) continued during 2017 with EMCP, WorleyParsons, KKC and Cougar employing 36

students on the project. A total of eight Memorial University students and four Marine Institute

students received the 2017-2018 Hebron Diversity Award and the Hebron Women in Science and

Engineering Scholarship, each valued at $3,000. In addition, six students from College of the North

Atlantic were recipients of 2017-2018 Hebron Diversity Award and Women in Industrial Trades and

Engineering Technology Bursary, each valued at $1,500.

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8.0 Diversity

It is the ongoing responsibility of EMCP to oversee the implementation and execution of the Hebron

Project Diversity Plan to meet its regulatory and contractual requirements. EMCP’s approach to

achieving success in diversity is a long-term view, and focuses on sustainability following

implementation. The report below includes results from EMCP’s workforce self-identification survey

and initiatives completed in 2017.

1.1 REPRESENTATION

Representation numbers indicate a percentage of the total project workforce, including EMCP

employees, contractor agency employees, main contractors and subcontractors

With the exception of gender, all representation results reflect responses to the

self‐identification survey. Individuals have the right to decline self‐identification and as a result,

not all representation may be captured.

In 2017, the workforce decreased by 70% as construction was completed. The representation of

women in crafts, trades and manual workers decreased as work transitioned permanently

offshore. However, the overall representation of designated groups significantly increased in

other employment categories.

1.2 IMPLEMENTATION

Total compounded community investment of approximately $2 million

o 2017 saw focused investment in high economic, employment and social impact programs;

including Women in Resource Development Corporate (WRDC)’s Techsploration, Coalition

for Persons with Disabilities, NL Sexual Assault Crisis and Prevention, NLOWE, Memorial

University Diversity Awards and College of the North Atlantic Diversity Awards.

Collaborative recruitment and selection efforts

WomenAboriginal

Peoples

Visible

Minorities

Persons with

Disabilit ies

2017 2017 2017 2017

Managers and Supervisors 30% 6% 7% 0%

Professional and Technical 47% 3% 9% 1%

Administrative 80% 1% 1% 3%

Skilled Crafts and Trades 4% 1% 1% 0%

Sales and Service 15% 5% 0% 1%

Manual Workers 4% 1% 3% 1%

Employment Categories

Representation of Designate Groups

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o In 2017, EMCP and its contractors worked with community organizations to attract and

recruit diverse candidates from around the province.

‘One platform, One Team’ inclusive and supportive work environment

o 2017 saw continued initiatives aimed at supporting inclusion and wellness of employees on

the Hebron Project. In addition, the YWCA St. John’s recognized Gail Hickey, WorleyParsons

Fluor with a Women of Distinction Award in Business for her impact on Diversity for the

Hebron project.

Continuous improvement of monitoring and stewarding initiatives

o In 2017, EMCP continued to onboard new contractors for production scope including

reviewing contractor’s diversity plans, monitored layoffs while construction progressed to

completion, and EMCP’s contractor Wood Group-Cahill consulted with WRDC to capture

feedback from women working on the Hebron Project.

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APPENDIX I 2017 Contract Award Listing

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Tables below list contracts awarded with a value greater than $250,000 during the reporting period

January 1, 2017 to December 31, 2017.

Description Contractor

Contractor

Location

(NL, OC, NC)

Wellbore and BOP Cleanout Services Weatherford Canada Limited NL

Supply of Coring Services Baker Hughes Canada Company NL

Supply of Dril l ing Rental Tools DBA Workstrings Canada NL

Provision of Hose Management Services Atlantic Hose & Fittings Ltd. NL

Base Slab Hole Openers Weatherford Canada Limited NL

Base Slab Hole Openers Dreco Energy NL

Derrick and Associated Equipment Services and OEM

Spare Parts

Cameron Dril l ing Services / Cameron Canada , A

Schlumberger CompanyOC

Fishing, Cut & Pull and Pipe Recovery Services Schlumberger Canada Ltd. NL

Fibre Optic Maintenance Services Alcatel Submarine Networks NC

Supply of Bull Arm Management Services Young’s Industrial Ltd. NL

Supply of Fisheries Liaison Officer Fish, Food and Allied Workers NL

Supply of Metering and Measurement Services IKM Measurement Services Ltd. NC

Torquing Equipment Integra Technologies Ltd. OC

Supply of Services and Goods for Hydril Equipment Hydril PCB Canada Inc. OC

Supply of Data Management and Transmission Services Petrolink Data Services, Inc. NC

Core and Reservoir Fluid Analysis Core Laboratories Canada Ltd OC

Provision of PCHE Repair Services Heatric Division of Meggitt (UK) Limited NC

Spool Fabrication North Eastern Constructors Limited NL

Provision of Hyperbaric Reception Facil ity Sea-Force Hyperbaric NL

Supply Chain Services Alpha Chemical OC

Offshore Chemical Transfer Tanks Hoover NC

SwivelMaster Rubicon NC

Goodwin NC

Eastern Valve NL

Perar NC

Atlantic Controls NL

CGIS NL

Bonney Forge OC

Atlantic Controls NL

FMC NC

OCTG - 5 1/2" x 20# 13Cr95 Super Chrome for Pool 4

producer advancedMarubeni (JFE Steel Manufacturer) NC

OCTG - 9 5/8" x 47# CRA Chrome for oil producers Sumitomo Corporation of America (NSMCC) NC

EMCP/EMCE CONTRACTS

NALCO CHAMPION CONTRACTS

Procurement of Critical Sparing

SCORE CANADA CONTRACTS

EAST COAST TUBULARS CONTRACTS

SUBSEA7 CONTRACTS

HALLIBURTON CONTRACTS

Contracting Activity

Hebron Project

Year 2017

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APPENDIX II 2017 Hebron Photos

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5th Annual Hebron Cup Breaks Rink Records

During Q1 2017, Hebron sponsored

‘Reason for the Rink’ which is an

initiative that started five years ago

in order to assist local charities that

help children with disabilities. The

Hebron Cup is a hockey

tournament held at Todd

Churchill’s homemade rink in St.

Philips and has raised a total of

$20,183, the most raised by a

recurring event held at the rink. All

funds raised are donated to Easter

Seals NL, Rainbow Riders

Therapeutic Riding NL, and Mazol

Shriners.

Geoff Parker, Hebron Senior Project Manager, drops the puck at the 2017 Hebron Cup

ExxonMobil Canada Honoured at EDFNL Awards

The Eating Disorder Foundation of Newfoundland and Labrador (EDFNL) recently honoured EMCP at their annual awards ceremony.

EMCP was one of four recipients of the award. Each recipient was honoured by EDFNL for making a contribution that assists the foundation with funding, facilities, or other resources that help them meet their goals and objectives as an organization.

Mike Ryan, Vice President of EMCP, accepting award from EDFNL on company’s behalf

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Carman Mullins speaking at the Kids Eat Smart Gala, April 2017

Hebron Sponsors Kids Eat Smart

Carman Mullins, President of EMCP,

spoke at the Kids Eat Smart gala held on

April 8, 2017, sponsored by EMCP.

Funds raised will support meals for

school children in Newfoundland and

Labrador.

Hebron contributes to Petty Harbour Mini Aquarium

The Hebron project provided $15,000 to the

Petty Harbour Mini Aquarium to support the

organization's marine education activities. The

Hebron contribution will be used to upgrade

lab equipment - purchased with earlier Hebron

funding - used to educate visitors about the

marine environment. The funding will also be

used to develop programming around the use

of the new technology.

Keith Moore (PHMA), Carman Mullins (EMCP), Kiley Best (PHMA), Scott Sandlin (EMCP), and Tera Shandro (EMCP)

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Hebron Project Produces First Oil

Hebron platform produced first oil on November 27, 2017, starting up ahead of schedule following

June 2017 platform tow out. Both the offshore and onshore teams gathered to celebrate this

significant milestone. The platform is capable of producing up to 150,000 barrels per day and is

expected to provide long-term employment for more than 600 personnel and generate millions in

annual royalties and taxes for Newfoundland and Labrador.