2014 Responsible Canadian Energy Awards Nominees

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AWARDS

2014

RESPONSIBLE CANADIAN ENERGY


About This Publication This booklet provides a compilation of the 34 project nominations for CAPP’s 2014 Responsible Canadian Energy (RCE) Awards. The awards recognize innovative environmental, health and safety, and social projects that demonstrate responsible resource development in support of the CAPP RCE Program. Project summaries and photos have been submitted by individual companies. Projects are grouped by submission category and listed alphabetically by company name. For more information about these projects, contact the respective companies directly.

Table Of Contents

President and CEO’s message............................................... 3 Responsible Canadian Energy Program................................. 4 Project Submissions for Environmental Performance........5-17 2013 Responsible Canadian Energy Progress Report .......... 18 Project Submissions for Health and Safety Performance 19-30 Project Submissions for Social Performance ..................31-42 Responsible Canadian Energy Advisory Group..................... 43

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Cover Photo Credits Left to Right: Cenovus Energy Inc., Talisman Energy Inc., ConocoPhillips Canada


: ENVIRONMENT

PRESIDENT AND CEO’S MESSAGE Each year the Canadian Association of Petroleum Producers (CAPP) recognizes leading performance in Canada’s upstream oil and gas sector through the Responsible Canadian Energy (RCE) Awards.

: HEALTH & SAFETY

The RCE Awards are a key part of the broader RCE program and serve to recognize leading practices in industry. The award recipients are selected from the project submissions by the RCE Advisory Group, comprised of leaders from the safety, environment, labour, Aboriginal, academic, private, finance and investment communities. There are three categories of submissions: environment, health and safety, and social performance. This year we received a record 34 submissions for the awards from CAPP member companies. As you will read in the project summaries in this booklet, the projects nominated demonstrate leadership, innovation and the application of new technology to improve performance in many areas of our industry. Together they demonstrate our industry’s ongoing commitment to performance improvement and provide examples from which others can learn and build upon. They also supplement and augment our annual RCE progress report. To find out more about our progress, visit www.capp.ca/rce. On behalf of all CAPP staff and members, I would like to congratulate and thank all of the member companies that made submissions this year. Your effort and results are a powerful reflection of our industry’s commitment to Responsible Canadian Energy.

: SOCIAL

Sincerely,

Dave Collyer President and CEO Canadian Association of Petroleum Producers

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RESPONSIBLE CANADIAN ENERGY (RCE) PROGRAM The RCE Program represents a collective commitment by CAPP’s member companies to continuously improve, measure and report on their performance in the areas of people, air, water and land. The measurement, analysis and reporting of information enables industry to show both where it is making progress in improving performance and where more focus is needed to ensure every worker returns home safely each day, to reduce industry’s environmental footprint, and to improve the ways in which it engages stakeholders.

VISION, MISSION AND OUTCOMES The RCE Program aligns directly with CAPP’s Vision and Mission statements, which are endorsed by the CAPP Board of Governors. CAPP’S VISION: Our vision is to enhance Canada’s prosperity by enabling responsible growth of Canada’s upstream oil and gas industry. CAPP’S MISSION: On behalf of the Canadian upstream oil and gas industry, our mission is to advocate for and enable: • Economic competitiveness; and, • Safe, environmentally and socially responsible performance.

This means achieving the following OUTCOMES for our industry: Competitiveness, in North America and globally, so as to attract the capital necessary to grow production and expand markets and to deliver value to the Canadian public and to our investors; and, Social Licence from governments, Aboriginal peoples, the public, stakeholders and the communities in which we operate, which will be determined by: • Our collective performance, as measured by continuous improvement and comparison to world-class benchmarks; and, • The effectiveness of our communication and outreach.

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: ENVIRONMENT

Photo Credit: Suncor Energy Inc.

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CANADIAN NATURAL RESOURCES LIMITED : ENVIRONMENT

ENHANCING HABITAT FOR ARCTIC GRAYLING

In May 2008, Canadian Natural Resources Limited created the first compensation lake in Alberta’s oil sands region. Horizon Lake, also known by its Cree name Wapan Sakahikan, represents a unique alternative to addressing environmental impacts to fish habitat. Developed in close consultation with local people and incorporating Aboriginal traditional knowledge in its design, the lake is a self-sustaining ecosystem with a growing population of native fish species. Canadian Natural has continued to enhance fish habitat near the lake by improving summer feeding

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and overwintering habitat for Arctic Grayling, a regionally sensitive fish. This project involved applying innovative measures to increase species population such as installing a rock weir and scour pools in an inlet river to create deeper water habitat. The company is monitoring the project’s success, using fish fences, hydroacoustic technology and implanted tags to track fish movement and measure species abundance and habitat use. Canadian Natural is sharing the learnings and data from its Horizon Lake experience with stakeholders and other operators. www.cnrl.com


CENOVUS ENERGY INC : ENVIRONMENT

PILOTING NEW SYSTEM TO REDUCE NOX EMISSIONS

In the oil sands, steam generators are the main source of nitrogen oxides (NOx), an air emission formed during combustion. Cenovus Energy is piloting a flue gas recirculation system to reduce NOx emissions at its SAGD oil sands facilities. Flue gas circulation is used in vehicles, but Cenovus wanted to prove the technology at a larger scale. The company retrofitted a steam generator at its Christina Lake plant for a demonstration project that began in September 2012. Flue gas is recycled into the steam www.cenovus.com

generator, which reduces the temperature of the flame by reducing the amount of oxygen available for combustion. Cooler temperatures mean less NOx is formed, which reduces overall emissions. Early results show a 50 per cent reduction in NOx emissions. Cenovus has installed flue gas recirculation in its new steam generators at Christina Lake and is identifying opportunities for use at its other oil sands projects.

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CONOCOPHILLIPS CANADA : ENVIRONMENT

DEHYDRATOR TECHNOLOGY REDUCES EMISSIONS, PROVIDES FUEL SAVINGS

ConocoPhillips Canada operates many glycol dehydrators to remove moisture from natural gas. A byproduct of this process is a waste gas stream containing benzene. To reduce site emissions, the company’s energy efficiency team piloted an innovative technology at its Ferrier, Alberta compressor station, starting in October 2013. The technology, called SlipStream, uses upgraded engine controls and piping to capture previously vented gas to fuel a natural gas engine on site. This recovered gas now provides more than 10 per cent of the engine fuel requirements.

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In addition to significant fuel savings, the retrofit project has: • reduced the station’s benzene emissions by more than two tonnes a year; • lowered greenhouse gas emissions by more than 3,000 tonnes annually; • increased sales gas; • reduced site odors; and • lowered worker exposure to benzene. ConocoPhillips now has a proven technology that can be installed at a number of dehydrator locations to ensure reliable regulatory compliance while providing positive economic returns. www.ptac.org/attachments/1211/download


DEVON CANADA CORPORATION : ENVIRONMENT

ENGAGING EMPLOYEES IN NEW IDEAS TO REDUCE GREENHOUSE GAS EMISSIONS

Devon Canada has a greenhouse gas (GHG) reduction budget that awards funding to initiatives proposed by Devon employees. This program engages employees in environmental stewardship and creates awareness around why energy efficiency and GHG mitigation are important to Devon’s business. To qualify for funding, the initiatives must provide a suitable rate of return, result in measurable emission and energy reductions and go beyond regulatory compliance. All submitted projects go through a vetting process by Devon’s employee-led GHG Working Group. www.commitmentrunsdeep.ca

In its first year in 2013, the budget totaled $2.5 million. Thirty-three employees came forward with more than 75 proposed projects; 11 proposals were selected for implementation. Together these projects are anticipated to: • reduce emissions by approximately 30,000 tonnes of carbon dioxide equivalent a year —the equivalent of removing 6,300 vehicles from Canada’s roads; • provide estimated savings of over $1.5 million per year; and • result in a rate of return of more than 40 per cent.

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DEVON CANADA CORPORATION : ENVIRONMENT

MANAGING IMPACTS TO WILDLIFE NEAR IN SITU OIL SANDS OPERATIONS

Devon Canada has oil sands interests in northeast Alberta in two actively operating projects (Jackfish 1 and 2), one approved project near completion (Jackfish 3) and one project in the approval stage (Pike 1). Impacts to wildlife, biodiversity and land are major topics of interest for stakeholders of these projects, and Devon is proactively addressing them through its In Situ Oil Sands Wildlife Mitigation and Monitoring Program. Devon’s program is a multi-pronged commitment to monitor wildlife populations, conduct environmental research to fill key data gaps and mitigate negative impacts to biodiversity in and around project areas. The program has been endorsed by regulators as

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best in industry for such initiatives, and comprises five key elements: • wildlife mitigation commitments; • a long-term wildlife mitigation and monitoring program; • a regional caribou collaboration and research program; • BearSmart practices; and • innovative wildlife inventory techniques for remote areas and hard-to-detect species. Learnings from the program have enabled Devon to improve its performance in predicting, reducing and mitigating impacts to wildlife in many ways.

www.commitmentrunsdeep.ca


ENCANA CORPORATION : ENVIRONMENT

CAPTURING VENT GAS TURNS EMISSIONS INTO FUEL

In 2012, with funding from its Environmental Innovation Fund and the Climate Change and Emissions Management Corporation (CCEMC), Encana initiated a two-year program to install vent gas capture systems at 52 natural gas compressors in southern Alberta. Each system captures fuel gas vented to the atmosphere as part of normal operations and redirects it into the compressor engine’s air intake to help fuel the engine. The technology was developed www.encana.ca

by REM Technology Inc., a division of Spartan Controls, based in Calgary. The deployment is now 85 per cent complete, and all of the vent gas capture systems are expected to be operational by June 2014. By redirecting this gas to fuel the engines, Encana expects to recover approximately 175 million standard cubic feet of sales gas per year, reduce emissions by more than 69,000 tonnes of carbon dioxide equivalent annually and generate $1 million per year in carbon offsets.

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HUSKY ENERGY : ENVIRONMENT

CO2 CAPTURE AND INJECTION PROJECT FOR ENHANCED OIL RECOVERY AND CO2 STORAGE

Husky Energy constructed and is operating a project to capture and inject carbon dioxide (CO2) for enhanced oil recovery (EOR) and CO2 storage. This project is focused on research and development activities to develop new knowledge and methods for EOR in heavy oil reservoirs and for CO2 storage. Husky built the capture facility at its ethanol plant at the Husky Lloydminster upgrader complex in Saskatchewan. CO2 is transported by truck from the ethanol plant capture facility to the heavy oil

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reservoirs. Husky has retrofitted three existing oilfields for pilot scale projects that inject CO2 into thin heavy oil reservoirs that have been partially depleted by primary production. Up to 100,000 tonnes of CO2 a year will be captured, injected and stored. Husky plans to operate the facilities for multiple injection and production cycles to test the technical and economical viability of the cyclic gas injection in improving oil recovery and CO2 storage. www.huskyenergy.ca


NEXEN ENERGY ULC : ENVIRONMENT

PILOT PROJECT IS TESTING RESTORATION TECHNIQUES IN WOODLAND CARIBOU HABITAT

Since 2011, Nexen Energy, together with other oil sands operators and government and industry partners, has supported the Algar Habitat Restoration Project, a pilot initiative to restore woodland caribou habitat near Fort McMurray. The project is an important undertaking within Canada’s Oil Sands Innovation Alliance (COSIA)—an alliance of oil sands producers focused on accelerating the pace of improvement in environmental performance in Canada’s oil sands through collaborative action and innovation. The project’s purpose is to test multiple restoration techniques on past linear land disturbance within

56,000 hectares of critical woodland caribou habitat in northern Alberta. To date the project has resulted in: • a detailed inventory of industry’s footprint in the region, including past industrial access and seismic activity; • land reclamation work; and • sharing of operational learnings. In addition, a vegetation monitoring program is underway and a wildlife monitoring plan has been developed to determine the effectiveness of the restoration work on woodland caribou and other wildlife.

www.cosia.ca/focus-areas/land/caribou-habitat-restoration

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SHELL CANADA LIMITED : ENVIRONMENT

SHELL BUFFALO HILLS CONSERVATION RANCH PROTECTS HABITAT IN ALBERTA

In September 2013, Ducks Unlimited Canada, with Shell Canada, celebrated the launch of the Shell Buffalo Hills Conservation Ranch, a conservation property located one hour southeast of Calgary. Shell Buffalo Hills Conservation Ranch includes 4,130 acres of pristine, native grasslands and an additional 1,769 acres of tame hay lands. In total, it represents nearly 6,000 acres for the breeding, migration or wintering of 159 bird species that use native prairie and the boreal forest of Alberta.

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Shell has a land and reclamation strategy to guide environmental performance in its oil sands business. Full oil sands reclamation takes decades to complete, so conserving land like the Shell Buffalo Hills Conservation Ranch allows for action in the short term. With the Shell True North Forest, north of Grande Prairie, and the addition of the Shell Buffalo Hills Conservation Ranch, Shell has conserved nearly 9,000 acres of habitat in Alberta.

www.shell.ca


SHELL CANADA LIMITED : ENVIRONMENT

SHELL CANADA ESTABLISHES SPILL REDUCTION GROUP AT PEACE RIVER FACILITY

Spills and leaks at oil production facilities have the potential to impact the environment, personal and process safety and operating success. To enhance spill prevention, Shell Canada established a spill reduction group in 2012 at its Peace River Complex in northern Alberta. Although acceptable levels of performance had been maintained in the past, thorough spill reporting at the in situ heavy oil facility allowed senior managers to detect early indicators of slipping performance through identification of smaller leaks and spills. By endorsing the creation of a dedicated spill reduction www.shell.ca

group, they were able to send a clear message and provide appropriate resources to stopping this trend of slipping performance before a major event occurred. The spill reduction group delved into the incident data to find underlying causes, and engaged workers to share ideas and develop innovative solutions. As a result, the number and magnitude of spills and leaks have decreased significantly at the facility, and there is greater awareness among employees of what to watch for in preventing spills.

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SUNCOR ENERGY : ENVIRONMENT

NEW GAS RECOVERY SYSTEM REDUCES EMISSIONS FROM TERRA NOVA FPSO

Suncor Energy operates the Terra Nova field, located off the coast of Newfoundland and Labrador in the Jeanne d’Arc Basin. Recently the company introduced a hydrocarbon blanket gas and recovery system on the Terra Nova floating production, storage and offloading (FPSO) vessel. The new system significantly reduces the emission of volatile organic compounds (VOCs). In conventional cargo systems, inert gas is used to maintain a positive pressure in the FPSO’s storage tanks. During production as cargo tanks are being filled, the mixture of VOC and inert gas is vented into the atmosphere.

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Installed in 2012 and commissioned in 2013, the new hydrocarbon blanket gas and recovery system blankets the FPSO’s cargo tanks with pure hydrocarbon gas, which is recovered to process during production, effectively eliminating the release of VOCs. The system significantly contributes to reducing Suncor’s corporate VOC emission profile and is intended to operate for the remaining life of the Terra Nova field, so the environmental and economic benefits will be returned many times over.

www.suncor.com


SUNCOR ENERGY : ENVIRONMENT

USING TAILINGS WATER FOR IN SITU MAKE-UP WATER

In February 2013, Suncor implemented an industryleading process to send tailings water from its oil sands base plant near Fort McMurray through an existing pipeline to its Firebag facility for reuse as make-up water in in situ operations. Reusing tailings water for the in situ extraction process is new not only to Suncor but also to the entire oil sands industry. Through this initiative, Suncor has demonstrated that reusing water from the end of one project’s cycle in another part of its business improves Suncor’s water management practices over a larger geographical area www.suncor.com

and can reduce overall regional fresh water use. Suncor has cleared the technical, regulatory and operational hurdles to allow sharing of recycled tailings between its operations, and is proving that a deemed “waste product” can in fact be reused as a valuable resource for other production purposes. Suncor is now expanding the project by collaborating with industry partners to send its recycled tailings water to other in situ operators to further reduce regional water demand across the industry.

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2013 RESPONSIBLE CANADIAN ENERGY PROGRESS REPORT CAPP gathers and analyzes data each year from its members and presents this information in the annual RCE progress report. The report provides data from a national SO2 perspective, highlighting key issues and trends; detailed data and regional analysis are also available online. The report is available at www.capp.ca/rce/.

The percentage of water used in oil sands mining production that is recycled. In situ rates are typically 90 per cent to 95 per cent.

0.02%

The proportion of Canada’s boreal forests disturbed by oil sands mining since development began almost five decades ago.

R E P O R T

ENERGY

S U M M A RY

NO $18 billion X

Total annual payments by the upstream oil and 2 gas industry to municipal, provincial andSO federal governments in royalties, income taxes and lease sales.

GHG

CO2

-29% The reduction in total recordable injury frequency among industry workers from 2008 to 2012.

P R O G R E S S

View the full report online at www.capp.ca/rce

CO2

SOME RCE FACTS

80%

RESPONSIBLE CANADIAN 2 0 1 3

SO2

NOX

CO -19% & -18% CO GHG 2

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The respective reductions in the industry’s sulphur dioxide (SO2) and nitrogen oxide (NOx) emission intensity over the past five NO years. SOX2 and NOx emissions contribute to NOX acid rain and smog.

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GHG


: HEALTH AND SAFETY

Photo Credit: Photographic Services, Shell International Limited

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CHEVRON CANADA LIMITED : HEALTH AND SAFETY

PLANNING AND TEAMWORK RESULT IN ZERO INCIDENTS FOR OFFSHORE WELL

In 2013, Chevron Canada operated the Margaree A-49 exploration well in the Orphan Basin offshore Newfoundland and Labrador. The Margaree well was drilled without any recordable injuries or environmental incidents in one of the most difficult operating environments in the world. A total of 306,176 person hours were worked without any recordable incidents from the start of well planning through to the completion of drilling operations. This strong safety and environmental performance was a

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direct result of the high level of teamwork demonstrated by Chevron Canada, Stena Drilling and other contractors to achieving incident-free operations. The team proved that with proper planning and with a “do it right – once, the first time” execution philosophy that Zero is Attainable, even on a complex drilling operation in the harsh North Atlantic operating environment in ultra-deep water (2,476 metres) far from shore (415 kilometres from St. John’s, Newfoundland and Labrador). www.chevron.ca


CONOCOPHILLIPS CANADA : HEALTH AND SAFETY

DVDS HELP TO PROMOTE FARM SAFETY ACROSS ALBERTA

Since 2006, ConocoPhillips Canada has partnered with Alberta’s Farm Safety Centre to address a community need for accurate, easy to access farm safety information. As a result, they have worked together to develop two stand-alone, interactive DVDs—Rural Safety Sense for children ages 12 to 18 and Farm Safety for elementary school students. ConocoPhillips Canada safety experts collaborated on the DVDs, which include modules on crushing, entanglement, drowning and asphyxiation, toxic substance exposure, falls and collision, noise exposure, oil and gas facilities, electricity and personal accident www.conocophillips.ca

experiences. To create the DVDs, families have shared their own experiences in the hope they will prevent future accidents and fatalities. The DVDs are placed in around 500 schools each year and are used by agricultural societies, counties, municipal districts, local health offices, farming businesses, farm machinery dealerships, adult learning centres and local safety day events. To date, more than 4,500 DVDs have been distributed throughout Alberta, providing a long-lasting, inexpensive learning tool on safety.

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ENCANA CORPORATION : HEALTH AND SAFETY

ADVANCING BEST PRACTICES IN SILICA DUST MANAGEMENT

Silica sand is the most frequently used proppant in hydraulic fracturing operations. (Proppant is a solid material used to keep cracks open in the reservoir rock during a fracturing treatment.) Recent studies show that workers—especially those handling proppant— are exposed to high levels of respirable crystalline silica and may be at risk for developing silicosis (the stiffening of lung tissue), lung cancer and other serious health effects. To address this critical health and safety issue, Encana, over the past two years, has developed a multi-

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pronged approach, including engineering controls, work practices, protective equipment and training and awareness programs. The company, for example, has created an awareness training program for employees to outline the risks associated with silica dust. It has also evaluated a number of technologies to control and limit the concentrations of airborne silica during highexposure activities such as sand inloading. These best practices have been shared with industry and other stakeholders in a proactive effort to better manage the hazard and support worker safety. www.encana.ca


ENERPLUS CORPORATION : HEALTH AND SAFETY

ENGAGING EMPLOYEES IN HAZARD IDENTIFICATION AND CONTROL THROUGH PATCH

As its top priority, Enerplus strives to create a workplace where zero people get hurt—workers and stakeholders alike. This commitment starts from the top. Building on the Safety Essentials for Supervisors and Managers course, the company created an additional safety foundation course in 2011: Positive Attitudes Towards Controlling Hazards (PATCH). The program’s premise is to engage the hearts and minds of each individual to understand that a hazard cannot be controlled if it has not been identified or anticipated. Each participant is taught the step-by-step approach to hazard management, from recognition and anticipation to control and mitigation. New hazards www.enerplus.com

are identified regularly and communicated throughout the organization. In this way, the company’s goal is to mitigate hazards and create a safe work environment where everyone goes home safely every day. To date, 98 per cent of Enerplus field employees and over 20 per cent of Enerplus office employees have received PATCH training. In early 2013, Enerplus introduced the PATCH program to contractors and third-party representatives.

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PERPETUAL ENERGY INC : HEALTH AND SAFETY

DRIVING A MAJOR SHIFT IN SAFETY ACCOUNTABILITY AND PERFORMANCE

Beginning in 2009, Perpetual Energy embarked on a transformation of its safety program, targeting a paradigm shift in safety accountability and performance. “Triple Zero” is its Mantra. With the target of zero losttime injuries, zero vehicle accidents and zero spills, the company’s success has been driven by a grassroots shift in safety accountability. To achieve progress, the company has: • created an effective hazard identification system; • positively reinforced good reporting; • developed an extensive risk matrix;

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• built a company-wide safety orientation program; • implemented self and peer audit processes; and • ensured all employees are trained and competent in their occupational health, safety rights and duties. Using the continuous improvement model of “Plan, Do, Check, Act,” Perpetual Energy has created a culture of learning and change that is driving improved safety performance and cost reductions. In 2013, the company recorded zero lost-time incidents, zero major vehicle accidents and only three spills, and achieved a Certificate of Recognition score of 93 per cent. www.perpetualenergyinc.com


Shelter-in-place (SIP) safety protocols have long been known as a safe protection measure in the event of a sour gas release. However, the theory behind SIP was not widely or effectively communicated, leading to doubt and confusion for residents. Shell led the change in public safety protocol from automatic reliance on evacuation to SIP as the preferred option. After hearing skepticism from Alberta residents about the safety of SIP versus evacuation, Shell committed to increase awareness of the science behind SIP.

and visual aids, to increase employee and public understanding. The essence of the e-training is that science has proven that almost any building that can keep people warm in winter can retain a supply of clean air that will outlast a sour gas leak or spill. Thanks to the course, employees now understand the science behind the change so they feel confident providing advice about SIP to the public. The course is free online through Enform, Canada’s upstream oil and gas industry safety association.

In 2011, Shell Canada designed Shelter-in-Place Protocol Shift training, using non-technical language www.enform.ca/safety_resources/

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SHELL CANADA LIMITED : HEALTH AND SAFETY

ONLINE TRAINING PROMOTES UNDERSTANDING OF SOUR GAS SAFETY PROTOCOLS


SHELL CANADA LIMITED : HEALTH AND SAFETY

SCOTFORD UPGRADER IMPLEMENTS TURNAROUND GOAL ZERO PROGRAM

Following poor safety performance in its 2010 turnaround, the Shell Scotford Upgrader in Fort Saskatchewan, Alberta, implemented the Turnaround Goal Zero program in 2013. Led by a steering team made up of different Shell stakeholders as well as contractors, the program’s goal was to guide a step-change improvement in the site’s safety culture, thereby improving safety performance during its 2013 turnaround. The program included: • safety workshops for workers, supervisors and site leaders;

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• weekly health and safety meetings; and • daily feedback to workers to improve safety culture and performance. Under the team’s leadership, the program significantly improved safety performance during the April-May turnaround, which brought more than 1,500 workers on site. Feedback from contractors, union representatives, Shell global turnaround experts and staff emphasized they could see a difference in safety culture at the facility. During the turnaround, Shell reduced first aid incidents from 138 to 24 and reduced recordable injuries from 12 to two. www.shell.ca


SHELL CANADA LIMITED : HEALTH AND SAFETY

INCREASING VISIBLE SAFETY LEADERSHIP IN HEAVY OIL BUSINESS

Shell’s Heavy Oil business in Alberta is a unique part of the company’s global portfolio. The business encompasses the Athabasca Oil Sands Project (including mining operations near Fort McMurray and an upgrader and a carbon capture and storage project near Fort Saskatchewan) as well as in situ operations. Employing over 4,000 full-time employees and 3,100 contractors and operating year round in harsh weather, the scale of the operations presents safety challenges. In 2012, Heavy Oil had a total recordable case frequency two to three times greater than the Shell benchmark. Existing Heavy Oil Visual Safety Leadership www.shell.ca

(VSL) activities were not linked to site programs and lacked standardization. In response, Shell’s Heavy Oil Operations Leadership team formed a group to develop and implement a VSL standard to reduce injuries in the business. Involving leaders working at site, including contractors, the program provided safety leadership training, mentoring, safety engagement tools and performance tracking. As a result, the business has significantly reduced injuries and reached over 1,000 people. Photo Credit: Photographic Services, Shell International Limited

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SUNCOR ENERGY : HEALTH AND SAFETY

IMPROVING CONTRACTOR SAFETY MANAGEMENT AT EDMONTON REFINERY

Contractor personnel are the most susceptible to sustaining a recordable injury within any frontline workforce. Contractors incur more injuries than employees on an annual basis. Consequently, stipulating contractor safety management is the greatest opportunity for improving safety performance in an organization. When its contractor safety data began to exhibit a similar trend, Suncor Energy initiated an enterprise-wide commitment for improvement in late 2011. At its Edmonton refinery, for example, the company launched a contractor safety management improvement process.

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The refinery’s process involved: • adoption of upstream competency practices; • enhancement of the current job observation process; • creation of an integrated auditing program, including a robust investigation practice; and • renewed focus on leading safety metrics. Although still in its early stages of application, the refinery’s contractor safety management improvement process has provided immediate benefit. Since early 2012, leading safety indicators such as proactive safety efforts (safety meetings, inspections and job observations) have steadily improved while the facility’s contractor recordable injuries have decreased. www.suncor.com


In 2013, Talisman Energy carried out its Cypress 3D Seismic Program, a large-scale, low-impact geophysical exploration program 100 kilometres northwest of Fort St. John, British Columbia. The goal was to acquire seismic data while ensuring the project caused no harm to people, minimized environmental impact and addressed local stakeholder and First Nations’ concerns. Given the remote location and the desire to minimize surface impacts, the company would move workers and equipment by helicopter. Aviation safety risks were managed by conducting helicopter operations during

spring and summer months. At the same time, the project team recognized the need to put in place measures to avoid disturbing migratory birds during the critical nesting timing window. To manage these challenges, the project team applied new technologies and improved assurance activities. The project became the first to use the Helicopter Association of Canada’s Final Draft Helicopter Guidelines for Canadian Onshore Seismic Operations. The team also developed practical methods for identifying and avoiding bird nests while carrying out seismic activity.

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TALISMAN ENERGY INC : HEALTH AND SAFETY

SEISMIC PROGRAM PROMOTES HELICOPTER SAFETY AND REDUCES IMPACTS TO MIGRATORY BIRDS


TAQA : HEALTH AND SAFETY

NEW SUPERVISOR COMPETENCY ASSESSMENT IMPROVES OPERATIONS

To support workers and improve operations, TAQA has established a Supervisor Competency Assessment, a systematic ranking of supervisor competency—and a leading industry practice. In the past, field staff were assigned projects based on availability rather than fit-for-purpose skills. The company, however, recognized improved staff practices were needed to match project requirements with the highest strengths available within its cadre of staff and contractors. Introduced in early 2013, the new Supervisor Competency Assessment provides a standardized

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instrument to assess, rate and prioritize the core competencies of TAQA’s supervisors. By identifying competency strengths as they relate to project needs, the company is using the process to appropriately staff and support its projects as well as develop and improve the working skills of supervisors. The results have led to enhanced performance at the field level and an improved safety record. The program has also strengthened the company’s alignment with its people, enhanced communication between supervisors and field staff, and increased emphasis on safety leadership across the organization. www.taqaglobal.com


: SOCIAL

Photo Credit: Imperial Oil Limited

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ARC RESOURCES LTD : SOCIAL

WEBSITE CONNECTS EMPLOYEES WITH COMMUNITY-GIVING ACTIVITIES

A spirit of volunteerism and charitable giving is a central component of the culture at ARC Resources. An important element of ARC’s community investment policy is ensuring a framework is in place to support staff in their giving and volunteering endeavors. In 2013, ARC recognized the need to develop a platform to further assist employees in connecting with the multiple charitable and volunteer activities within the company. Through the work of an employee committee created to take on this task, ARC introduced the Community Connections website. Community Connections is an

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internal employee-developed website, which centralizes information on community investment and volunteer activities at ARC, including corporate initiatives, field office events and employee-led programs. As a result of the website, employee participation in volunteer events has increased and employees feel a stronger connection with ARC’s community investment program. The project is mutually beneficial to ARC and its community partners as it raises awareness surrounding important causes and helps increase volunteer and monetary contributions. www.arcresources.com


CONOCOPHILLIPS CANADA : SOCIAL

TOUR OF HYDRAULIC FRACTURING SITE BUILDS AWARENESS IN SAHTU COMMUNITIES

In support of its proposed exploration program in the Central Mackenzie Valley in the Northwest Territories (NWT), ConocoPhillips Canada conducted a workshop and tour of a ConocoPhillips hydraulic fracturing site near Red Deer, Alberta, in November 2012. The program included 15 delegates from communities in the NWT’s Sahtu region and was carried out in collaboration with Husky Energy, Schlumberger, the Canadian Society for Unconventional Resources (CSUR) and the NWT government.

www.conocophillips.ca

Multi-stage hydraulic fracturing has never been conducted in the NWT, and ConocoPhillips Canada wanted to prepare communities for the type of activity that could potentially be expected. Representatives were flown to Alberta to participate in informationsharing sessions that included presentations, visual aids and extensive dialogue with industry experts. This was followed by a guided tour of a hydraulic fracturing site. The collaborative model proved very successful, with tour participants recognizing the project’s potential and the need for continued collaboration.

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CONOCOPHILLIPS CANADA : SOCIAL

ENVIRONMENTAL PROGRAM SPONSORS STUDENT PROJECTS IN OVER 140 SCHOOLS

ConocoPhillips Canada has partnered with Destination Conservation (DC) since 2007 on its signature environmental program, ConocoPhillips School Environmental Quest, to maximize environmental impact through education. Through the distribution of $1,000 grants, this program assists schools in establishing studentled environmental and energy-saving projects and programs that will make positive changes. Projects and programs range from recycling to installing solar panels on schools. Each year these activities and successes are published in a booklet that is distributed

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to schools and communities to encourage knowledge sharing between them. Most schools continue to run the programs yearly. In doing so, they make environmental stewardship a part of their school culture. Each year ConocoPhillips Canada supports over 140 schools in Alberta, northeastern British Columbia and the Northwest Territories in running the Quest-DC program. The program has made ConocoPhillips Canada partners in collaboration with Alberta Council for Environmental Education, Green Calgary, Calgary Mayor’s Environment Expo and more. www.conocophillips.ca


DEVON CANADA CORPORATION : SOCIAL

CASH FOR CANS PROGRAM AT JACKFISH HEAVY OIL OPERATIONS

Devon Canada’s Cash for Cans program is a grassroots initiative, put forward by two employees that work in production and maintenance for Devon’s Jackfish heavy oil operations in northern Alberta. Launched in 2010, the program involves collecting recyclables from across eight Jackfish district offices and camps and donating them to local non-profit groups in the community. The group that receives the donation is responsible for taking all recyclables to a bottle depot and collecting the redeemed funds. The funds are then used for their program or project. www.commitmentrunsdeep.ca

The program is the first of its kind at Devon and has gained momentum in Jackfish and in local communities. In the three years it has been running, the program has: • raised more than $170,000 for local non-profit and community organizations; • recycled nearly 1.5 million cans and bottles; • supported 90 community groups through donations; and • engaged employees in community investment activities.

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DEVON CANADA CORPORATION : SOCIAL

GRANT PROGRAMS SUPPORT COMMUNITY INITIATIVES IN WESTERN CANADA

Devon Canada has three signature grant programs: Investing in People, Science Giants and Safe Homes. Collectively, these programs provide an innovative method for community-based organizations to access funding for organizational priorities that are often difficult to fund, such as staff development, operations or capacity building. Through funding provided by these programs, Devon supports a wide variety of community-based initiatives in Western Canada. Devon has distributed more than $400,000 to 100 community partners since the first program was established six years ago.

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The programs are easy to administer, can be tailored to operational areas and budgets, and provide significant positive exposure for Devon within local communities. For each grant cycle, a committee composed of employees chooses the recipients. The employee committees are diverse both geographically and professionally. The process provides internal professional development and team-building opportunities. It also affords employees a glimpse into the priorities of Devon’s operating communities and the importance of stakeholder relations. www.commitmentrunsdeep.ca


ENCANA CORPORATION : SOCIAL

EDUCATING STUDENTS ABOUT VIOLENCE AGAINST WOMEN

A component of social licence is giving back to the communities where companies operate. Consistent with this and its support for strong, safe communities, beginning in 2011, Encana, along with the British Columbia and federal governments, took to the field with the BC Lions football club and the Ending Violence Association and partnered in the Be More Than a Bystander campaign. With a focus on young adults, the campaign is aimed at substantially increasing understanding of the impact of violence against women. Leveraging their public profile and role model status, the Lions have travelled www.encana.ca

throughout the province, including northeastern British Columbia where Encana is active, educating some 30,000 high school age students about violence against women. Through their presentations, they have provided tools, language and practical ideas about how to be more than a bystander and how to communicate that violence and abuse is not acceptable. Building on the initiative’s success, Encana is moving elements of the program into its field operations and camps.

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IMPERIAL OIL LIMITED : SOCIAL

CHILDREN’S BOOK RECORDS STORIES FROM ABORIGINAL COMMUNITIES NEAR KEARL

Imperial announced the start-up of the Kearl oil sands project on April 27, 2013. As part of celebrating first oil at Kearl, the company produced a children’s book to create a record of the stories told across generations in Kearl’s surrounding communities. The book, Our Stories Help the Northern Lights Dance, features stories collected from Fort Chipewyan and Fort McKay elders and was written by Northwest Territories author Richard Van Camp, with illustrations by local children with assistance from Alberta First Nation artist

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George Littlechild. The book provides the reader with an understanding of local First Nations and Métis history that is passed down through generations of storytelling. Copies of the book were presented to local First Nations and Métis elders, as well as community schools and libraries. The book is one of the ways Imperial is giving back to the communities who have shared not only their stories, but also their deep understanding and respect for the land where the company operates at Kearl.

www.imperialoil.ca


In collaboration with Aboriginal stakeholders, Japan Canada Oil Sands Limited (JACOS) established an advisory group in 2009 made up of potentially impacted First Nations, Métis Locals and Aboriginal trappers. Known as the Aboriginal Review Group, the advisory group provided traditional knowledge to JACOS and its consultants while conducting the environmental impact assessment (EIA) for the company’s Hangingstone SAGD expansion project south of Fort McMurray. JACOS provided an independent third-party www.jacos.com

environmental consulting firm to the group to review and critique all work done associated with the EIA and the project submission, and supplemental information requests. Prior to commencing clearing work for the project, JACOS and the group held a “pre-disturbance” ceremony to bless the land. The group is currently advising JACOS on various environmental monitoring plans and will be involved with observing construction and operational activities. JACOS has committed to continued support of the advisory group until final reclamation of the project.

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JAPAN CANADA OIL SANDS LIMITED (JACOS) : SOCIAL

ABORIGINAL REVIEW GROUP INVOLVED IN SAGD EXPANSION PROJECT


LARICINA ENERGY LTD : SOCIAL

TRAINING PROGRAM IMPROVES SKILLS AND QUALITY OF LIFE IN FIRST NATION COMMUNITY

Laricina Energy, together with community, government, and industry partners Cenovus Energy Inc. and Osum Oil Sands Corp., took a lead role in 2013 in supporting a heavy equipment training program for members of the Bigstone Cree Nation (BCN) in northern Alberta. The company joined with the BCN, Alberta Works Human Services, Cenovus and Osum to provide a three-month machine operations training program for 12 band members. The trainees had the opportunity to give back to their community while learning a trade. Participants learned how to operate industrial

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equipment while they worked to complete landscaping, ditching, grading and finishing for a newly constructed 11-home housing division in the BCN community. The project was expanded to include an additional 22-home subdivision and upgrades to roads. The project provided a number of benefits: The trainees completed their program and have gained employment locally, band members acquired project management skills, two residential subdivisions on the reserve were re-developed and transformed, and quality of life was improved for families in the community.

www.laricinaenergy.com


SUNCOR ENERGY : SOCIAL

SOCIAL PROSPERITY WOOD BUFFALO STRENGTHENS NON-PROFIT AGENCIES

Social Prosperity Wood Buffalo (SPWB) is a five-year community-driven collaboration project between stakeholders in the Regional Municipality of Wood Buffalo (RMWB), the University of Waterloo and Suncor Energy Foundation to build capacity in the non-profit sector in this region of northeast Alberta. The project emerged from Suncor’s vision to further build quality of life in Wood Buffalo by developing and sustaining innovation and social change. Established in 2011, SPWB has brought together stakeholders from the energy industry, the private www.socialprosperity.ca

sector, the non-profit sector, government and higher education. Suncor and the different participants are working together to develop processes and tools to help the community become more socially prosperous, resilient and sustainable. SPWB reflects Suncor’s community investment strategy and commitment to collaboration for longterm sustainability. The project’s goal is to strengthen the non-profit sector, allowing groups to be more proactive, better equipped to deal with change and able to support vibrant communities.

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TALISMAN ENERGY INC : SOCIAL

MULTI-STAKEHOLDER WORKING GROUP ESTABLISHED IN WEST-CENTRAL ALBERTA

In mid-2012, landowners in the Aurora-Beaver Flats area in west-central Alberta expressed concerns about the increased oil and gas activity levels in the region and associated impacts such as traffic and dust issues. With the support of the West Central Stakeholders (WCS) group, an established multi-stakeholder synergy group, the Aurora Energy Working Group was created with the participation of oil and gas operating companies, the regulator, the Clearwater County and local landowners. The companies included Talisman Energy, Apache Corporation, Bonavista Energy Corporation, ConocoPhillips Canada, Imperial Oil, Penn West Petroleum and TAQA North.

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The Aurora group was successful in promoting community dialogue and establishing a collaborative process to tackle the primary source of concern— excess dust on a local highway and road. As a concerted solution, a dust suppression program was executed in July 2013 on parts of the highway and road, with the operating companies sharing program costs. The group witnessed a marked decrease in complaints about local industry activity. In a follow-up meeting later that year, community representatives said they were satisfied with the solution and reported hearing no concerns through the busy and usually dusty summer months. www.westcentralsh.com


RESPONSIBLE CANADIAN ENERGY ADVISORY GROUP

The Responsible Canadian Energy Advisory Group (RCEAG) is composed of leaders representing the safety, environment, labour, Aboriginal, academic, private, finance and investment communities. The RCEAG is an independent body whose role is to advise and challenge industry to effectively manage its risks and continuously improve its performance. Members of the advisory group review and provide feedback on the RCE program, performance report process, and the progress industry is making as demonstrated in the RCE progress report. They also select the RCE award recipients from the nominated projects.

Anne McLellan, RCEAG Chair Bennett Jones LLP

Ken Ogilvie Environmental Policy Consultant

Bob Demulder Alberta Regional Vice President, Nature Conservancy of Canada

Dr. Robert (Bob) Page Director, Enbridge Centre for Corporate Sustainability, University of Calgary

Stewart Elgie Director, Institute of the Environment, University of Ottawa

Ruth Ramsden-Wood Community Member

JP Gladu President and Chief Executive Officer, Canadian Council for Aboriginal Business

Greta Raymond Independent Consultant

Cameron MacGillivray President and Chief Executive Officer, Enform Larry Matychuk Business Manager, United Association of Plumbers and Pipefitters Local Union 488

Gary Redmond Executive Director, Synergy Alberta Robert Walker Vice President, ESG Services, NEI Investments Dr. Dan Wicklum Chief Executive, Canada’s Oil Sands Innovation Alliance

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ABOUT THE CANADIAN ASSOCIATION OF PETROLEUM PRODUCERS The Canadian Association of Petroleum Producers (CAPP) represents companies, large and small, that explore for, develop and produce natural gas and crude oil throughout Canada. CAPP’s member companies produce about 90 per cent of Canada’s natural gas and crude oil production. CAPP’s associate members provide a wide range of services that support the upstream crude oil and natural gas industry. Together, CAPP’s members and associate members are an important part of a national industry with revenues of about $110 billion a year. CALGARY HEAD OFFICE

ST. JOHN’S

2100, 350 - 7 Avenue SW Calgary, Alberta, Canada T2P 3N9 Phone: 403-267-1100 | Fax: 403-261-4622

403, 235 Water Street St. John’s, Newfoundland and Labrador A1C 1B6 Phone: 709-724-4200

OTTAWA

VICTORIA

1000, 275 Slater Street Ottawa, Ontario K1P 5H9 Phone: 613-288-2126

310, 1321 Blanshard Street Victoria, British Columbia V8W 0B5 Phone: 778-410-5000

http://twitter.com/@OilGasCanada http://www.facebook.com/OilGasCanada www.capp.ca

2014-0025


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