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HSE Annual Report 2010 (English) - WINTERSHALL

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Health,<br />

Safety and<br />

Environment<br />

ANNUAL REPORT<br />

<strong>2010</strong><br />

Shaping the future.


04 Foreword.<br />

06 Activities And regions.<br />

08 hse – our philosophy.<br />

14 hse – our Actions.<br />

34 hse perFormAnce <strong>2010</strong>.<br />

52 outlook.<br />

55 contActs.


04/05<br />

Dear Ladies and Gentlemen,<br />

Energy is our business.<br />

And energy is our future.<br />

We want to make our future a sustainable one. For<br />

us, sustainability is achieved through reconciling<br />

long-term commercial success with protection of<br />

the environment, safety, health for all and our social<br />

responsibility.<br />

We embrace these challenges. After all, lasting economic<br />

success is not possible if we do not protect<br />

health, safety and the environment (<strong>HSE</strong>). The aim of<br />

our <strong>HSE</strong> management system is to systematically<br />

reduce risks to both people and nature. That’s why<br />

we at Wintershall believe that nothing is so important<br />

that it would justify ignoring the principles of<br />

work safety and environmental protection. This is<br />

a substantial basis for our corporate philosophy.<br />

As a responsible company, Wintershall defines its<br />

own ambitious standards toward safety performance<br />

and environmental protection – usually<br />

beyond what is required by law. These are valid for<br />

our executives, employees and contractors alike.<br />

Wintershall lives up to its responsibility.<br />

<strong>2010</strong> was a special year for our company. Apart<br />

from the start of work on building the Baltic Sea<br />

pipeline Nord Stream, the foundation was laid for<br />

one of Europe’s largest infrastructure projects:<br />

Construction of the 470-kilometer natural gas pipeline<br />

OPAL in Eastern Germany. Up to 2,500 workers<br />

were and are going to be busy working here until the<br />

pipeline’s planned commissioning date in October<br />

2011. Major projects of such economic significance<br />

are all too rare. They pose great challenges for<br />

everyone involved.<br />

Our economic performance in <strong>2010</strong> was impressive.<br />

Despite a tough climate, Wintershall nearly<br />

maintained oil and gas production at the high level<br />

of the previous year: 133 (2009: 136) million barrels<br />

of oil equivalent (BOE). The company was able to<br />

increase its earnings before income and taxes (EBIT)<br />

by 45 million euros year-on-year to 2,234 million in<br />

<strong>2010</strong>. From this, 1,918 million euros were generated<br />

from exploration and production and 416 million<br />

from gas trading.<br />

Our ambitious health and safety target is zero<br />

accidents in all our activities. We achieved that<br />

mission for our own employees and were once<br />

more able to improve on the previous year in <strong>2010</strong>.<br />

However, to our great dismay, our contractors suffered<br />

three fatal accidents and six accidents with<br />

lost time injuries, which led us to extensively review<br />

the requirements toward our contractors. On this<br />

basis, we have developed an extensive catalogue<br />

of measures to avoid such accidents in the future.<br />

The implementation of these is a joint effort between<br />

ourselves and our contractors. I call on all employees<br />

to play an active part in this process.<br />

In the area of exploration and production, <strong>2010</strong><br />

was impacted by the events related to the Deepwater<br />

Horizon disaster in the Gulf of Mexico. Even<br />

though we ourselves do not carry out any deepwater<br />

drilling, we have taken the incident and its investigation<br />

reports as an opportunity to identify learning<br />

points and room for improvement in our offshore<br />

activities.


In the oil and gas industry, technological excellence,<br />

innovativeness and technical expertise are at least<br />

as good at opening doors to cooperation deals and<br />

participating interests as billions in capital. As in the<br />

past, Germany must be the first home to innovative<br />

technologies in the future. The potential production<br />

of shale gas in Germany is currently a topic of<br />

debate. In this regard, we may be on the verge of<br />

a new technological leap. And we must not miss<br />

the boat. However, we don’t even know how large<br />

these unconventional deposits are in Germany and<br />

whether they can be developed cost-effectively.<br />

Consequently, our strategy is: Yes to exploration,<br />

yes to research. However, what is technically feasible<br />

can only be put into practice if it makes both economic<br />

and environmental sense. Our policy is not<br />

one of development at all costs.<br />

We intend to invest more strongly in a sustainable<br />

future. That includes genuine innovations, such as<br />

the Schizophyllan biopolymer. The idea came from<br />

nature itself. These biopolymers are biodegradable<br />

and are eco-efficient if applied in oil production.<br />

Wintershall and BASF are jointly researching these<br />

in order to develop a new environmentally friendly<br />

technology which significantly increases oil recovery<br />

rates for the reservoir it is applied to.<br />

To reduce greenhouse gas emissions from our<br />

production sites, in 2007 we committed ourselves<br />

to discontinuing the flaring of associated gas.<br />

We are determined to achieve this goal by 2012.<br />

This report was created to give our employees,<br />

partners, public authorities and the interested<br />

public a summary of our health, safety and environment<br />

activities in <strong>2010</strong>. To ensure this, we have supplemented<br />

the key figures that are customary in the<br />

international arena, and that have been audited<br />

by KPMG, with many outstanding examples of our<br />

<strong>HSE</strong> activities.<br />

Our success is primarily due to competent, innovative,<br />

extremely motivated and above all healthy<br />

employees. We are well prepared and together will<br />

overcome the challenges ahead of us, especially in<br />

the field of health, safety and the environment – to<br />

achieve a sustainable and safe future. After all, our<br />

ambitious goal for the future remains: zero accidents<br />

and an end to the flaring of associated gas by 2012.<br />

Wintershall – Generating safety.<br />

Dr. Rainer Seele<br />

Chairman of the Board<br />

FOREWORD


06/07<br />

CORE REGIONS AND ACTIvITIES<br />

OF <strong>WINTERSHALL</strong>.


Wintershall, based in Kassel, Germany, has been actively involved in the exploration and production of<br />

crude oil and natural gas for more than 75 years. Wintershall focuses on selected core regions, where<br />

the company has built up a high level of regional and technological expertise. These are Europe, North<br />

Africa, South America, as well as Russia and the Caspian Sea region. It is also expanding its activities<br />

in the Middle East. The company, a wholly-owned subsidiary of BASF, is now the largest German<br />

producer of crude oil and natural gas, and with its subsidiaries, WINGAS and WINGAS TRANSPORT,<br />

is also an important gas supplier to the German and European market.


08/09<br />

<strong>HSE</strong> – OUR<br />

PHILOSOPHY.<br />

The objective of Wintershall’s <strong>HSE</strong> (Health, Safety and Environment) management system is to reduce<br />

the risks to people and the environment. The guiding principle is: Economic concerns do not have<br />

priority over health, safety and the environment. Nothing is so important that Wintershall would allow<br />

the principles of safety at work and environmental protection to be ignored. Values, standards and<br />

guidelines also serve to protect our most important resource: our people. We offer all employees<br />

opportunities for establishing the best possible working conditions and for personal development,<br />

enabling them to realize their potential.


10/11<br />

SYSTEMATIC <strong>HSE</strong> –<br />

SUCCESSFUL AND SAFE.<br />

Wintershall has laid down its position on <strong>HSE</strong><br />

(Health, Safety and Environment) in a policy. This<br />

policy governs how the company operates within<br />

the global oil and gas industry. The key objectives<br />

of the company’s <strong>HSE</strong> policy are:<br />

• Integration and continuous improvement of <strong>HSE</strong><br />

in all activities.<br />

• “Everyone counts” – rigorous implementation of<br />

the <strong>HSE</strong> guidelines by all employees.<br />

• Living up to our social responsibility.<br />

• Responsibility for global climate protection.<br />

• Compliance with international conventions, local<br />

laws and our own standards.<br />

In order to achieve these objectives <strong>HSE</strong> has to be<br />

effectively integrated in all activities. This is ensured by<br />

the WINS health, safety and environment management<br />

system. It consists of 12 elements, subdivided<br />

into planning, rollout, reporting and system improvement.<br />

The management system is designed so that<br />

<strong>HSE</strong> is integrated appropriately and the business<br />

objectives can be achieved.<br />

<strong>HSE</strong> Award Winners <strong>2010</strong><br />

Well-planned<br />

Implemented<br />

Notified<br />

System improved


THE <strong>HSE</strong> AWARD – A PRIzE FOR<br />

INNOvATIvE EMPLOYEE IDEAS.<br />

Innovative solutions for improvement of health,<br />

safety and environment are rewarded at Wintershall.<br />

The company has been conferring an <strong>HSE</strong> Award<br />

since 2007, a prize for outstanding projects in the<br />

field of protecting health, safety and the ecology.<br />

An award category for “Simple Solutions” – a small<br />

and smart solution that has a perceptible impact<br />

on everyday work through minor changes – was<br />

added in <strong>2010</strong>.<br />

The <strong>HSE</strong> Award rewards proactive and creative<br />

measures that have been successfully implemented<br />

at the company during the contest period and<br />

have resulted in a clear improvement in the field of<br />

<strong>HSE</strong>. An additional criteria for the reward is whether<br />

the solution can be applied at other locations.<br />

The aim of the contest is to improve our high <strong>HSE</strong><br />

performance continuously. Each entry is an enrichment<br />

for the whole company’s <strong>HSE</strong> performance,<br />

since all the solutions are communicated within the<br />

company worldwide. Therefore they can be taken<br />

up by other teams and developed further.<br />

In line with the <strong>HSE</strong> mission statement “Everyone<br />

counts,” all employees are urged to join in and submit<br />

innovative ideas from their team. The award is<br />

intended as an additional incentive – above and<br />

beyond the company suggestion system – for<br />

employees to become involved in <strong>HSE</strong> and is<br />

accompanied by a tax-free cash prize.<br />

The winners are chosen by an evaluation committee<br />

consisting of ten permanent jurors and representatives<br />

of the winning teams from the previous contest.<br />

The jury examines all entries and assesses them on<br />

the basis of set criteria – the most important being<br />

the project’s benefit for health, safety and the<br />

environment. Others include the <strong>HSE</strong> solution’s<br />

pro-activity, personal initiative and team spirit.<br />

<strong>HSE</strong>-AWARD <strong>2010</strong>.<br />

22 entries were submitted in the <strong>2010</strong> competition,<br />

eight in the category “Simple Solutions“. The award<br />

in the <strong>HSE</strong> project category was conferred to a<br />

team from Libya that had worked on a way to improve<br />

protection of anchor pipes at wells against<br />

external corrosion in the Libyan Desert for three<br />

years. The solution includes an innovative coating<br />

and intensification of pipeline checks. The winner in<br />

the “Simple Solutions” category is based in Wintershall<br />

Netherlands. He developed a door stopper for containers,<br />

a hook-shaped device that prevents the<br />

container doors from suddenly being blown shut<br />

by the wind and so increases work safety.<br />

HEALTH SAFETY ENVIRONMENT


12/13<br />

ECONOMIC AND <strong>HSE</strong><br />

OBjECTIvES HAvE EqUAL PRIORITY.<br />

Corporate <strong>HSE</strong> Manager Guido Schnieders on the importance of <strong>HSE</strong> in<br />

Wintershall’s activities.<br />

Why does Wintershall publish a review of its<br />

<strong>HSE</strong> work?<br />

We want to demonstrate transparency toward our<br />

employees, partners, public authorities and the<br />

interested public. We regard it as our social responsibility<br />

to provide regular information on our activities<br />

in the field of health, safety and the environment.<br />

This is not limited to the internationally accepted key<br />

performance indicators; it also includes selected<br />

positive examples from our work. By this we hope<br />

to inspire others and set an example for successful<br />

<strong>HSE</strong> management.<br />

Interview with Corporate <strong>HSE</strong> Manager Guido Schnieders<br />

How significant is <strong>HSE</strong> for Wintershall?<br />

The clear philosophy of our company’s management<br />

is that our high standards in health, safely and<br />

environment at Wintershall have equal priority<br />

alongside economic objectives. Nothing is so urgent<br />

or important that we would allow <strong>HSE</strong> principles to<br />

be ignored. That also protects our employees – our<br />

most important resource.<br />

Implementation of and compliance with <strong>HSE</strong> standards<br />

entails costs. Doesn’t that diminish commercial<br />

success?<br />

The very opposite – high <strong>HSE</strong> standards are the<br />

key to lasting commercial success. For instance,<br />

avoiding occupational accidents pays off two-fold:<br />

Production remains stable because no time is lost<br />

due to injuries. At the same time, healthy employees<br />

are also motivated, perform well and can channel all<br />

their energy into making the company successful.<br />

What are the employees and contractors contributions<br />

to this?<br />

All of us have a vital part to play when it comes to<br />

complying with the <strong>HSE</strong> policy. We expect responsibility,<br />

pro-activity and personal commitment from<br />

everyone and don’t make a distinction between our<br />

own employees and those of contractors. We have<br />

an ambitious goal: zero accidents in all our activities.<br />

Even though we haven’t been able to achieve<br />

this target in one year, we are still doing all we can<br />

to avoid accidents and operate our facilities safely.


In the past years contractor incidents were reoccurring<br />

events. What do you think is the reason?<br />

We believe the sharp increase in demand for skilled<br />

workers is having a negative impact on the qualification<br />

and experience of staff and thereby on safety.<br />

That’s why we have to work with our partners to<br />

achieve a high standard of training once more in the<br />

oil and gas industry. In addition, we will rigorously<br />

enforce our contractor management processes,<br />

i.e. assess the <strong>HSE</strong> performance of external companies<br />

before awarding contracts to them and<br />

conduct information and training events.<br />

The “E” in <strong>HSE</strong> stands for environment. What are<br />

the challenges here?<br />

Wintershall increasingly explores for new reserves<br />

in areas that are ecologically or culturally sensitive.<br />

That’s why we analyze the effects on people and<br />

the environment precisely beforehand and define<br />

measures to minimize the impact. That also includes<br />

preserving the cultural heritage. Protecting the<br />

environment also means efficient use of natural<br />

resources. That’s why we constantly strive to<br />

improve the energy efficiency of our facilities.<br />

Wintershall minimizes health risks at work. It also<br />

offers events providing information on health and<br />

cancer prevention. Isn’t that the employees’ own<br />

business?<br />

No. We want to keep our staff’s health at a high level.<br />

Prevention and information play a vital part in that.<br />

In the case of cancer of the intestine, for example,<br />

experts attribute the large number of people with<br />

this disease to a lack of knowledge about prevention<br />

and early screening. And the same with exercises:<br />

We want to motivate our employees to walk<br />

8,000 to 10,000 steps a day to avoid being overweight<br />

and the related illnesses.


14/15<br />

<strong>HSE</strong><br />


OUR ACTIONS.<br />

Just about everything we do or plan influences people and the environment in some<br />

way or other. That’s why we have fully integrated <strong>HSE</strong> in our activities.


16/17<br />

HEALTH<br />

AND SAFETY.<br />

Responsibility and safety are fundamental values that form the<br />

basis for our corporate philosophy. Employees’ safety is Wintershall’s<br />

highest priority – whether they are our own or from contractors.<br />

Responsibility, pro-activity and personal comittment from everyone<br />

is vital to ensure a high standard of safety in the long term.<br />

Our managers take on responsibility for their employees so that<br />

every single one of them feels safe at work and returns back home<br />

healthy. The same also applies to our contractors, who have to<br />

meet strict requirements and are also actively supported in their<br />

<strong>HSE</strong> work.<br />

Wintershall is a company where people come first. That is because<br />

healthy and motivated employees can contribute to the<br />

company‘s success with their capabilities and creativity.


PROjECT MANAGEMENT –<br />

A GLIMPSE INTO<br />

THE FUTURE.<br />

Wintershall has many years of experience in developing<br />

reservoirs that are difficult to access and are<br />

geologically challenging. Every new exploration<br />

project therefore places high demands on planning.<br />

Above all, exploration in unknown regions<br />

requires particular support for the employees and<br />

contractors on the ground. That is why <strong>HSE</strong> experts<br />

support the project teams from an early stage.<br />

Apart from feasibility studies for a project, examination<br />

of environmental and safety aspects is an<br />

integral part of planning. This includes environmental<br />

impact studies and plant safety analyses, as well<br />

as selection of contractors on the basis of <strong>HSE</strong><br />

considerations. It is also necessary to assess risks<br />

in remote regions, such as car accidents on unpaved<br />

roads, endemic diseases, unsafe food and drinking<br />

water, logistics problems, the climate, crime, violent<br />

attacks or political unrest. During advance expeditions<br />

to the exploration area, risks are identified and<br />

suitable and concrete measures to minimize them<br />

are determined and summarized in an <strong>HSE</strong> project<br />

plan. As part of this, specialists evaluate the standard<br />

of medical care, test communication by satellite<br />

phone, identify landing strips for aircraft or examine<br />

the quality of the water in available wells. Safety<br />

engineers regularly supervise and control activities<br />

during the execution phase. Emergency concepts<br />

formulated at the outset are constantly reviewed<br />

and adapted to the current situation if necessary.<br />

Compliance with the relevant regulations and <strong>HSE</strong><br />

standards is ensured in the operating phase. All<br />

projects at Wintershall are planned and carried out<br />

according to the same <strong>HSE</strong> procedures.<br />

HEALTH SAFETY ENVIRONMENT


18/19<br />

INCIDENT MANAGEMENT.<br />

Wintershall promotes safety at work through risk<br />

assessments, procedures, seminars, training courses<br />

and audits. <strong>Report</strong>ing and investigation of incidents<br />

plays a key role in prevention and helps increase the<br />

standard of safety even further. Wintershall has established<br />

a reporting system that includes all locations<br />

worldwide and that does not make a distinction<br />

between its own employees and those of contractors.<br />

Detailed analysis of incidents helps identify<br />

and assess their causes. Incidents where there is<br />

merely a risk potential are also investigated. The<br />

results are used to derive measures to protect<br />

against such incidents occurring in future and are<br />

communicated every month.<br />

INSIGHTS.<br />

SAM – SYSTEM FOR RECORDING SAFETY-<br />

RELATED SITUATIONS.<br />

An important aid in safety work has been developed<br />

for Wintershall Deutschland in the shape of the<br />

reporting system SAM. SAM is an abbreviation for<br />

“Situation, Assess and Measures”. Its objective is<br />

to enable prompt preventive measures to counteract<br />

situations where there are risk potentials and near<br />

accidents. Best-in-class examples are also communicated<br />

using the system. Another objective of<br />

it is to improve awareness for, assessment of and<br />

readiness to communicate unsafe situations. <strong>Report</strong>s<br />

are stored in a database after being received.<br />

A working group in Kassel regularly deliberates<br />

on measures to implement the suggestions and<br />

improve the system.<br />

CRISIS MANAGEMENT.<br />

Wintershall’s <strong>HSE</strong> management system is aimed at<br />

avoiding incidents. However, to respond to unexpected<br />

events, Wintershall has an end-to-end,<br />

clearly defined and interdisciplinary crisis management<br />

system comprising strategies and measures<br />

to tackle incidents. The system is embedded in the<br />

existing management structures. Only a planned and<br />

organized approach guarantees the best-possible<br />

prevention and control of emergencies. Emergency<br />

plans, regular safety exercises and annual drills for<br />

major incidents aim to ensure an ideal response.<br />

Training courses help sensitize and prepare employees.<br />

<strong>HSE</strong> experts are responsible for drawing up,<br />

maintaining and supervising the measures and<br />

documentation for emergency planning.<br />

INSIGHTS.<br />

ESTABLISHMENT OF AN EMERGENCY<br />

RESPONSE ASSOCIATION.<br />

Almost 40 new companies have qualified as operators<br />

on the Norwegian Continental Shelf since<br />

2000. These companies will account for a significant<br />

proportion of exploration work in Norway during the<br />

next few years. To ensure safety in offshore production,<br />

there are organizations that can respond<br />

rapidly to dangerous situations.<br />

At the initiative of Wintershall Norge and in cooperation<br />

with the Norwegian Oil Industry Association<br />

(OLF) and other companies, a concept to set up a<br />

professional emergency prevention center for the<br />

new companies operating on the continental shelf<br />

was developed. A feasibility study confirmed the<br />

assumption that it would be able to offer a higherquality<br />

and more cost-efficient emergency service<br />

than the solutions currently available on the market.<br />

The Operators’ Emergency Response Association<br />

(OERA) was founded in june 2009 and a joint center<br />

was set up with ten employees. The obvious advantages<br />

of a permanent emergency response organization<br />

are greater safety thanks to improved quality<br />

and training of staff, as well as the fact that there is<br />

one and the same organization for all activities.


CONTRACTOR MANAGEMENT.<br />

Many projects in the oil and gas industry are unimaginable<br />

without the support of external experts.<br />

That is why Wintershall uses contractors in various<br />

areas, including large specialist firms to conduct<br />

drilling campaigns, construction companies in infrastructure<br />

projects or smaller subcontractors at the<br />

administrative locations.<br />

Wintershall‘s selection criteria for contractors are<br />

not limited to economic aspects. Environmental<br />

protection and work safety standards are also taken<br />

into account in assessing new and existing contractor<br />

relationships. As regards compliance with<br />

<strong>HSE</strong> standards, the Wintershall Group places the<br />

same high requirements on its contractors as on<br />

its own employees. Consequently, the company<br />

applies strict criteria in selecting them.<br />

Extensive prequalification to examine a firm’s <strong>HSE</strong><br />

performance is conducted before the contract is<br />

awarded. This comprises an assessment of the<br />

contractors on the basis of the <strong>HSE</strong> documentation<br />

submitted. Information events are also held together<br />

with the contractor companies. The objective is to<br />

inform contractors of Wintershall’s requirements,<br />

train them and give precise recommendations to<br />

them in relation to <strong>HSE</strong> and through this help them<br />

improve their <strong>HSE</strong> performance.<br />

Audits complement these measures. As part of<br />

contractor management, Wintershall’s contractors<br />

must also furnish proof of their <strong>HSE</strong> performance<br />

in further regular audits. The audits are conducted by<br />

a team of <strong>HSE</strong> experts and an operational specialist<br />

from the field of work. The findings are complemented<br />

by continuous on-site inspections.<br />

HEALTH SAFETY ENVIRONMENT


20/21<br />

PLANT AND<br />

PROCESS SAFETY.<br />

In addition to investments in exploring, developing<br />

and producing resources, the expansion of technological<br />

know-how is the basis for securing the<br />

success of our company. The ability to overcome<br />

challenging geological conditions and in particular<br />

apply innovative exploration, drilling and production<br />

technologies is a key aspect of Wintershall’s technological<br />

expertise, especially in its core regions.<br />

Worldwide, Wintershall operates facilities for exploring,<br />

producing and transporting crude oil and<br />

natural gas that comply with the very highest safety<br />

standards. The company invests continuously in<br />

the construction of new and further development<br />

of existing plants. It is crucial for plant safety to be<br />

state-of-the-art at all times. Availability and efficiency<br />

are also highly important. As early as the planning<br />

stage, aspects such as health, safety and the<br />

environment are integrated in a multi-phase process.<br />

So that all facets can be taken into account, plant<br />

safety reviews – for the most part interdisciplinary<br />

in nature – are conducted and headed by an <strong>HSE</strong><br />

expert. Apart from identification of the measures<br />

needed to protect people and the environment,<br />

decisions on the safest process technology, a suitable<br />

location and logistics are taken. A tailor-made<br />

<strong>HSE</strong> concept containing the points of relevance to<br />

safety in planning, constructing and operating the<br />

facility is created for each project on the basis of processes,<br />

site plans, the existing local infrastructure,<br />

weather conditions and geotechnical information.<br />

Implementation of the concept is reviewed before<br />

the plant is commissioned. A further component of<br />

plant safety is inspections to check compliance<br />

with safety standards.<br />

A MULTI-STAGE SYSTEM ENSURES SAFETY.<br />

For drilling projects special demands on safety and<br />

environmental protection have to be taken into<br />

consideration. It is therefore necessary to define<br />

the <strong>HSE</strong> rules and responsibilities for the projects<br />

in advance and as precisely as possible so as to be<br />

prepared, in particular for unforeseen occurrences.<br />

Alongside the very highest technical standards, this<br />

includes emergency plans backed by regular drills.<br />

The company-wide <strong>HSE</strong> management system<br />

“WINS” and the Well Operations Policy are applied<br />

in all Wintershall activities, thus guaranteeing that the<br />

highest standards are adhered to. This is ensured<br />

by regular reporting, inspections and audits.<br />

With the help of different systems it is possible to<br />

ensure safety during drilling projects. Free-flowing<br />

production wells are protected by a subsurface<br />

safety valve and a Christmas tree with numerous<br />

closing valves, ensuring that the well is automatically<br />

shut in if an incident occurs. Multi-stage blowout<br />

preventers equipped with several independently<br />

operating safety devices to seal the well are used<br />

in exploration and can be activated automatically,<br />

mechanically or by remote control. As a minimum,<br />

Wintershall requires two redundant shut-off systems<br />

to be used at all times in exploration. In offshore<br />

production, an eight-stage barrier system is used,<br />

each with a large number of safety systems. These<br />

barriers ensure the overall integrity of the facility at<br />

all times, even if one or more elements fail.


FRACING: A WORLDWIDE PROvEN TECHNOLOGY.<br />

various factors determine how fast and for how<br />

long oil or gas can be produced from a reservoir,<br />

including the geological structure of the reservoir,<br />

the porosity and permeability of the reservoir rock,<br />

and the consistency and viscosity of the hydrocarbons<br />

it contains.<br />

Special techniques are required to extract oil or gas<br />

enclosed in extremely impermeable reservoir rock.<br />

Alongside horizontal drilling, hydraulic fracturing<br />

has been in use around the world for decades and<br />

is being improved all the time. The technique is<br />

used to exploit high-density reservoirs which lie<br />

deep underground.<br />

The process involves injecting water at high pressure<br />

at previously defined points into the solid rock<br />

layers to create fine millimeter-thin cracks in the<br />

rock. Sand mixed with the water (proppants) helps<br />

to keep these cracks open longer. The cracks make<br />

it easier for the hydrocarbons in the reservoir to flow<br />

toward the well for production. This method has<br />

also been used for decades in Germany in crude<br />

oil and gas production from conventional reservoirs,<br />

in drilling for hot water or, in recent years, in geothermal<br />

drilling.<br />

99 % of the fluid mixture used in fracing comprises<br />

water and sand, with around 1% being made up of<br />

chemical additives to ensure that silica sand, for<br />

example, blends with the water. The deliberately<br />

created flow channels stay open long enough and<br />

bacteria do not enter the reservoir. Apart from the<br />

natural seal due to the pressure from the mighty<br />

weight of the several hundred meter thick overlying<br />

rock, usually consisting of clay or salt layers, the<br />

well’s system of steel pipes, which are cemented<br />

into place, form secure barriers against the waterbearing<br />

aquifer layers.<br />

For several decades now, Wintershall has used fracing<br />

to produce crude oil and gas, mostly in tight gas<br />

deposits in Russia, Argentina, the Netherlands and<br />

Germany, with high safety and environmental standards<br />

– without any impact on the environment.<br />

HEALTH SAFETY ENVIRONMENT<br />

Fracing facility drilling hole Leer Z4 in Germany


22/23<br />

HEALTH PROTECTION.<br />

The aim of health protection at Wintershall is to<br />

prevent work-related illnesses or impairment to<br />

employees’ health, as well as maintain a high level<br />

of health within the workforce.<br />

Main topics are health promotion and ensuring<br />

effective medical care in the event of emergencies.<br />

As an international company, Wintershall also endeavors<br />

to give its employees the best possible<br />

preparation for journeys and assignments abroad<br />

and avoid unnecessary risks. Travel advice, vaccination<br />

recommendations and information on countries<br />

where Wintershall operates are regularly<br />

compiled and updated. A special <strong>HSE</strong> checklist was<br />

developed to prepare employees for trips abroad.<br />

The package is rounded off by special procedural<br />

instructions and emergency cards for each location.<br />

The issue of health protection in exploration and<br />

production in remote regions and under extreme<br />

climatic conditions requires special attention. There<br />

is often a lack of medical care or the local medical<br />

infrastructure does not meet international standards.<br />

In such cases, special preventive measures<br />

are taken with great care to rule out health risks to<br />

employees and contractors as far as possible.<br />

Medical care by a company physician or a certified<br />

institution is provided at all locations. In addition,<br />

Wintershall offers its employees the chance to<br />

participate in regular health campaigns on topical<br />

issues, such as cancer prevention and screening,<br />

lack of exercise or nutrition, and take the initiative<br />

themselves.<br />

First aid courses


INSIGHTS.<br />

HEALTH PROTECTION IN PRODUCTION –<br />

NORM AND TENORM.<br />

Residues containing naturally occurring radioactive<br />

materials (NORM/TENORM) may arise in the production<br />

of hydrocarbons. Oil and gas themselves<br />

are not radioactive, unlike the enriched salty production<br />

water, which is charged with salts.<br />

The production residues, such as sludge or deposits<br />

on riser pipes, only emit a low-intensity dose.<br />

The values are well below the level of radiation to<br />

which aircraft passengers are exposed. These<br />

production residues are not a hazard to employees,<br />

the population or the environment.<br />

Production residues containing naturally occurring<br />

radioactive materials are disposed of in accordance<br />

with the provisions of the German Radiation Protection<br />

Ordinance. This process has been officially<br />

approved and examined. Storage of waste and<br />

exposure during work are monitored by radiological<br />

safety representative and is documented transparently<br />

at all times.<br />

During cleaning work on production facilities, all<br />

necessary measures, such as instruction, use of personal<br />

protective equipment, control measurements,<br />

etc., are carried out to exclude risk to employees,<br />

contractors and third parties.<br />

NORM/TENORM (technologically enhanced naturally<br />

occurring radioactive material), i.e. material<br />

containing natural radioactivity, arises in many<br />

segments of industry, including the production of<br />

drinking and mineral water, the geothermal sector,<br />

the metal-working industry and coal, ore, crude oil<br />

and gas production. The quantity of NORM/TENORM<br />

produced in Germany from the oil and gas industry is<br />

about 0.3 % of the total for the country as a whole.<br />

HAzARDOUS SUBSTANCE DATABASE.<br />

A hazardous substance database has been developed<br />

for the German production operations and<br />

can also be used internationally. It gives employees<br />

quick access to information on the substances<br />

used, for example in the form of safety data sheets,<br />

risks assessments and operating instructions. Because<br />

the database is available in Wintershall’s<br />

company network, it can be accessed locally and<br />

so is easy to use for all employees. Its content is<br />

maintained and updated centrally and thus is always<br />

up-to-date. However, the database is not only<br />

used in operational business, but also for conducting<br />

employees on the safe use of hazardous substances.<br />

HEALTH SAFETY ENVIRONMENT


24/25<br />

ENvIRONMENTAL<br />

PROTECTION.<br />

It goes without saying that Wintershall is committed to the responsible use of natural resources in<br />

exploration, field development and production. We respond to the challenges by applying high standards<br />

and driving technical innovation. Environmental protection is in our own financial interest. Therefore, the<br />

preservation of natural resources, the prevention of emissions and waste are integral parts of the exploration<br />

and production process. A key factor to our success is efficient use of the resources required to find<br />

and produce reserves with new or improved methods and so minimize the impact on the environment.


REDUCTION OF EMISSIONS.<br />

The international community has set out ambitious<br />

goals in order to stop climate change. As laid down<br />

in the Kyoto Protocol, global greenhouse gas emissions<br />

are to be cut by at least five percent compared<br />

to their 1990 levels from 2008 to 2012. The European<br />

Union has committed itself to a reduction of<br />

at least eight percent in the same timeframe. In<br />

December 2008, the EU also agreed on a package<br />

of directives and targets for climate protection and<br />

energy, under which primary energy consumption<br />

and greenhouse gas emissions are to be cut by 20<br />

percent compared to 2005 by the year 2020. This<br />

comprises expanding renewable energies and increasing<br />

energy efficiency by 20 percent.<br />

Emissions are created in exploration, production<br />

and transportation of crude oil and gas as a result<br />

of the energy required in these tasks – energy must<br />

be generated or imported in the form of electricity,<br />

process heat, steam and pressure. Since the production<br />

facilities are often sited in poorly developed<br />

regions, energy must be generated on site, normally<br />

using fossil sources, such as gas, heating oil or<br />

diesel. These emit a number of substances into the<br />

air during their thermal conversion. Other processes<br />

where substances are emitted into the air<br />

are the flaring of associated gas or condensate<br />

during production and the release of unburned gas<br />

(cold flaring / venting) for safety reasons or as part<br />

of maintenance measures.<br />

As Germany’s largest producer of crude oil and<br />

natural gas and a company that operates worldwide<br />

in selected core regions, Wintershall accepts its<br />

responsibility to protect the global climate. Apart<br />

from complying with international conventions, local<br />

laws and our own standards, we help cut emissions<br />

by using leading-edge technologies and new or<br />

improved methods to increase energy efficiency,<br />

thus minimizing the impact on the environment,<br />

reducing energy consumption and also keeping<br />

costs as low as possible.<br />

INFLUENCING FACTORS.<br />

Greenhouse gas emissions in production of crude<br />

oil and natural gas fluctuate for a number of production-related<br />

reasons. Projects, such as development<br />

of new fields, testing of wells, construction of<br />

pipeline links or scheduled plant shutdowns for<br />

maintenance or repair work, as well as safety reasons<br />

may influence their volume.<br />

HEALTH SAFETY ENVIRONMENT


26/27<br />

CO ² EMISSIONS TRADING.<br />

Emissions trading was introduced in the European<br />

Union as of january 1, 2005, as part of the implementation<br />

of the Kyoto Protocol. The goal of this system<br />

is to reduce CO ² emissions where it is cheapest to<br />

do so. Market players are facilities that produce<br />

emissions and have an output of more than 20<br />

megawatts capacity, energy-intensive industries<br />

and – as of 2012 – aviation. The second period of<br />

emissions trading in the European Union commenced<br />

on january 1, 2008, and will last until 2012.<br />

The companies involved are currently preparing for<br />

the 3rd trading period which will last from 2013 to<br />

2020 and involve major changes. As of 2013, the<br />

emissions trading system will be extended to other<br />

sectors and applied more stringently. In future,<br />

emissions rights will be auctioned to a greater extent<br />

and no longer distributed free of charge as is<br />

currently the case. The share of auctioned certificates<br />

will increase from 20 percent per annum in<br />

2013 to 70 percent by 2020. In addition, the total<br />

quantity of available certificates will be reduced<br />

continuously by 21 percent overall.<br />

Eleven plants at Wintershall/WINGAS are subject<br />

to the statutory requirements for emissions trading<br />

in the 2nd trading period from 2008 to 2012. They<br />

include compressor stations, the Rehden natural<br />

gas storage facility and the steam flooding plant<br />

in Emlichheim. Greenhouse gas emissions have<br />

already been reduced as a result of numerous<br />

projects aimed at improving energy efficiency.<br />

Wintershall is also involved in research projects<br />

investigating ways of storing and processing CO ² .<br />

Compressor station Mallnow in Germany


INSIGHTS.<br />

NO FLARING POLICY 2012.<br />

The flaring of associated gas not only destroys<br />

valuable energy resources worldwide, but also<br />

emits huge quantities of greenhouse gases into the<br />

atmosphere. To reflect our responsibility for the environment,<br />

we are committed to stopping flaring<br />

associated gas as part of routine operations. Flaring<br />

of it will be discontinued at our existing facilities by<br />

2012, while new plants will be constructed to enable<br />

use of the associated gas. As a result, we will play<br />

our part as a company dedicated to sustainable<br />

production and will also set international standards.<br />

We are regarded as a technological leader in Libya<br />

when it comes to environmental protection: The<br />

gas from the production of crude oil is already<br />

completely processed. The quantities of crude oil<br />

and associated gas are processed at the central<br />

facilities at the Nakhla and As Sarah fields. Following<br />

integration of the Hamid field in December 2006,<br />

flaring was finally ceased in Libya.<br />

STEAM FLOODING TECHNOLOGY.<br />

The crude oil at Wintershall’s Emlichheim site in<br />

Germany is especially viscous and hence difficult<br />

to extract, which is why the company uses a special<br />

technique. Water vapor at a temperature of 300<br />

degrees is forced into the reservoir at high pressure<br />

using steam flooding. The crude oil trapped in the<br />

rock heats up and becomes less viscous, enabling<br />

it to flow through the reservoir to the production<br />

wells more easily. Associated gas and natural gas<br />

are used to produce the steam. Thanks to the use<br />

of tempered and desalinated production water as<br />

boiler feed water, fuel consumption and the specific<br />

greenhouse gas emissions are reduced.<br />

EFFICIENT POWER GENERATION.<br />

Wintershall already supplies all its operations in<br />

Germany independently with electricity it generates<br />

itself. The largest of the facilities which help to<br />

supply the various sites is the combined heat and<br />

power generation (CHP) plant in Emlichheim. Gas<br />

that could not previously be used cost-effectively<br />

is now used to produce electricity and steam. The<br />

heart of the plant is a 5.2-megawatt gas turbine that<br />

drives a generator which produces up to 45 million<br />

kilowatt hours of electricity per year. Wintershall<br />

invested 5.9 million euros in building the new CHP<br />

plant. The exhaust heat, which has a temperature<br />

of more than 500° C and comes from the gas burned<br />

to produce the electricity, would normally be lost in<br />

conventional plants, but is used here to produce<br />

more than 100,000 tonnes of water vapor a year.<br />

Wintershall needs that to extract oil by steam<br />

flooding. The new technology cuts CO ² emissions<br />

by 25,000 tonnes a year.<br />

STEAM TURBINE USES ExHAUST HEAT.<br />

The exhaust heat from the three existing gas<br />

turbines at the Mallnow natural-gas compressor<br />

station near Frankfurt (Oder) is used to power a<br />

steam turbine. A pipe with a diameter of around<br />

four meters takes the exhaust gases of the gas<br />

turbines to a process, where steam is produced to<br />

drive the fourth turbine. Afterwards, the used steam<br />

is cooled and liquefied in a closed cycle. The steam<br />

turbine generates an output of up to 20 megawatts.<br />

Expensive drive power is therefore saved and CO ²<br />

emissions are specifically reduced.<br />

HEALTH SAFETY ENVIRONMENT


28/29<br />

WASTE AND WATER MANAGEMENT.<br />

WASTE MANAGEMENT.<br />

Waste emerges during the exploration and production<br />

of crude oil and natural gas. We try to avoid<br />

such waste wherever possible. Unavoidable waste<br />

is recycled and disposed in line with regulations.<br />

The amount of waste and its environmental impact<br />

during recycling and disposal can be significantly<br />

influenced by the source of generation. Wintershall<br />

disposes of waste in due form and in an environmentally<br />

friendly way, even where there is a lack of<br />

public or private means of disposal. A large part of<br />

the waste comes from former drilling mud pits,<br />

which Wintershall is now recultivating and rehabilitating.<br />

It is expected to complete this task by 2013.<br />

WATER MANAGEMENT.<br />

Production and waste water arise in the search for<br />

and production of crude oil and natural gas. Production<br />

water is removed from the oil or gas by<br />

means of separator systems at the surface. After<br />

being processed, the production water is reinjected<br />

into the original reservoir. Other waste water is<br />

produced in construction and operation of cavern<br />

storage facilities, during cleaning work and in treating<br />

water. Apart from that, there is also sanitary waste<br />

water; however, this only accounts for a relatively<br />

small proportion of the total amount of waste water.<br />

Sanitary waste water is cleaned and disposed of<br />

sensibly at locations where Wintershall is not connected<br />

to the public sewerage system.<br />

Wietingsmoor in Germany after recultivation


INSIGHTS.<br />

RECULTIvATION OF DRILLING MUD PITS.<br />

Drilling waste such as drilling fluids and cuttings<br />

used to be stored in pits. Today drilling fluids are<br />

partially reused or removed in accordance with<br />

regulations; drill cuttings are cleaned and then<br />

disposed of accordingly.<br />

Wintershall has been cleaning and renaturalizing<br />

pits in Bohlsen, Emlichheim, Eydelstedt and Wietingsmoor<br />

in an environmentally and landscape-friendly<br />

way since 2003. The deposited drilling mud is processed<br />

according to its nature and composition,<br />

and secured or recycled and disposed of at the<br />

relevant plants. The entire process is accompanied<br />

by extensive examinations. They include controlling<br />

the material to be disposed of, as well as the groundwater<br />

and the earth used to restore the areas.<br />

In Bohlsen new breeding and living grounds for a<br />

multitude of birds, endangered plants and insects<br />

was created by rehabilitation of an area of approximately<br />

24,000 m². After being cleaned up, the areas<br />

at the Eydelstedt and Wietingsmoor sites were filled<br />

with topsoil and ownership of them handed back<br />

with a view to reusing them for agriculture.<br />

Mud disposal pit<br />

Wietingsmoor<br />

WATER POLLUTION CONTROL IN STORAGE<br />

CONSTRUCTION.<br />

Wintershall’s subsidiary WINGAS ensures it meets<br />

the needs both of cost-effectiveness and protection<br />

of the environment during the construction of a<br />

cavern storage facility at jemgum in Germany.<br />

Because of its massive underground salt domes,<br />

the area around jemgum is particularly well suited<br />

to storing natural gas. The cavern storage facilities<br />

there are large cylindrical cavities in the salt layers<br />

that have been flushed out with water. The gas is<br />

then stored securely in the salt formation deep<br />

underground. So that caverns can be produced in<br />

a salt dome, however, water must first be fed deep<br />

into the site and then the brine, i.e. the water containing<br />

the dissolved rock salt, must be pumped<br />

back out of the cavity that has been formed.<br />

The project is conducted subject to strict environmental<br />

protection requirements. The fresh water<br />

used to flush out the caverns is not extracted by<br />

suction, but gravity-fed from the Ems so as to<br />

avoid any detrimental impact on the river’s fish. A<br />

means of minimizing the effects on the ecology was<br />

found by discharging the salt water produced in<br />

forming the caverns into the North Sea at Rysum<br />

just over 40 kilometers away. The original planning<br />

and approval envisaged discharge of brine into the<br />

Ems at nearby Ditzum.<br />

In discharging the brine into the North Sea, WINGAS<br />

strictly adheres to the statutory thresholds, which<br />

are controlled by an extensive monitoring program<br />

with the supervision and collaboration of the public<br />

authorities.<br />

HEALTH SAFETY ENVIRONMENT


30/31<br />

IN HARMONY WITH THE ENvIRONMENT –<br />

CONSTRUCTION PROjECTS.<br />

The Wintershall Group invests intensively in finding,<br />

producing and transporting crude oil and natural<br />

gas. Europe is increasingly dependent on commodity<br />

imports for securing its energy supply. The<br />

Wintershall subsidiaries WINGAS and WINGAS<br />

TRANSPORT alone are planning to expand the<br />

European natural gas infrastructure significantly<br />

with investments of around three billion euros by<br />

2015. The investments are mostly earmarked for the<br />

expansion of the transport system as well as the<br />

construction of new natural gas storage facilities<br />

in Europe. The Nord Stream natural gas pipeline<br />

through the Baltic Sea and its pipeline links OPAL<br />

and NEL are set to make a major contribution to<br />

transporting natural gas to Europe in future.<br />

Some of the construction projects extend across<br />

national borders and also cross numerous countryside<br />

areas. Accomplishing such large projects is a<br />

major logistical feat and demands a high degree of<br />

expertise when it comes to minimizing their ecological<br />

impact. The goal, as required by law, is to avoid<br />

spoiling the natural world and its proper functioning,<br />

ensure that it can still be used, and prevent any<br />

impairment to the flora and fauna. In addition, the<br />

group undertakes many more measures – some<br />

of them unusual – to protect the countryside to<br />

an extent above and beyond that required by law.<br />

Landscaping and nature conservation are important<br />

elements at all phases of the projects.<br />

CARE OF THE LANDSCAPE<br />

DURING PIPELINE CONSTRUCTION.<br />

Planning and building natural gas pipelines demand<br />

a large number of tasks and requirements. Especially<br />

the construction in terrain with difficult tectonics requires<br />

experience and know-how. The company’s<br />

experience in constructing pipelines enables it to<br />

live up to its responsibility for the environment and<br />

nature. The planning of a gas pipeline route takes<br />

into account ecologically valuable areas and infrastructure<br />

elements, such as transportation routes<br />

and built-up areas, as well as the supply security<br />

of the region concerned. This means that pipelines<br />

do not always take the shortest route, but the one<br />

that makes the most sense for the requirements of<br />

the population and the environment.<br />

Route planning is geared to nature conservation<br />

areas and the ecological conditions of the landscape.<br />

Protective measures, such as pressing<br />

pipes below rivers and streams, are defined in close<br />

collaboration with the landscape authorities, environmental<br />

offices and experts for environmental and<br />

landscape planning. The company’s building supervisors<br />

are supported from an ecological aspect in<br />

the implementation of tree protection measures,<br />

limiting working strips, and regulating working<br />

hours to protect birds’ breeding seasons. The fertile<br />

topsoil is removed and stored on the side before<br />

construction work begins. When the natural gas<br />

pipeline has been buried in the trench and is ready<br />

for operation, the trench is refilled with the soil that<br />

was previously removed. After work on the route<br />

has been completed, the beds of waterways are<br />

restored using formerly removed river gravel and their<br />

banks are renaturalized. The ground used for the<br />

construction site will be recultivated and loosened;<br />

trees and bushes will be planted. Meadows and<br />

arable land, as well as areas with trees and shrubs,<br />

are restored. Around a year after a gas pipeline has<br />

been laid, there are virtually no signs that there<br />

used to be a construction site. Development and<br />

care of the replanted areas continues for at least<br />

three years. The company also guarantees aftercare<br />

for all areas affected by pipeline construction<br />

after this period. Eventually, the fact that there is<br />

a pipeline can only be recognized by the yellow<br />

poles protruding from the ground every 100 to<br />

500 meters.


OFFSHORE ENvIRONMENTAL PROTECTION.<br />

The North Sea has been one of the world’s most<br />

important hydrocarbon production regions for<br />

decades. Wintershall itself has been involved in<br />

producing natural gas there since 1965 and operates<br />

26 platforms in its southern part. It also has<br />

offshore activities in Argentina and Libya. The expansion<br />

of offshore expertise is generally gaining<br />

importance in the exploration and production of<br />

oil and gas, and the company applies this expertise<br />

to its activities in other regions of the world.<br />

Wintershall Noordzee is based in Rijswijk near<br />

The Hague, and is home to the corporate-wide<br />

competence center for offshore technology.<br />

RECYCLING OFFSHORE pLATFORMS<br />

The conditions for producing oil and gas at sea<br />

are challenging. A production platform must be<br />

equipped to cope with the wind, weather, heavy<br />

seas, water quality and much, much more. The<br />

average service life of a platform is approximately<br />

25 years. After this they are usually disassembled<br />

and scrapped. Wintershall has now logically and<br />

beneficially combined ecology and economy in this<br />

area with the conversion and modernization of two<br />

platforms in the Dutch sector of the North Sea.<br />

In addition to natural gas production platform<br />

L5-C, E18-A has also been completely converted<br />

and modernized so that it can be moved on and<br />

produces elsewhere. The conversion of the old<br />

platforms saves costs, time and material compared<br />

to a completely new construction, as a large part<br />

of the installations can be reused.<br />

The predecessor to the E18-A platform, p14-A,<br />

was built in 1993, later dismantled at its location<br />

in the Dutch sector of the North Sea and towed<br />

to a shipyard in Rotterdam. The platform’s body,<br />

with its several decks and a helipad, were completely<br />

reconditioned and modernized at a yard<br />

in Ridderkerk. Reuse of a large part of the p14-A<br />

platform meant that 500 tons of steel and a considerable<br />

amount of energy – around 2.5 million<br />

kWh – were saved. The E18-A was equipped<br />

solely with electric generators to minimize emissions.<br />

A supply line to the adjacent F16-A provides<br />

the E18-A with electricity and operating resources<br />

and enables data to be transferred. As a result, it<br />

was possible to reduce the number of visits to the<br />

platform, which meant fewer helicopter flights and<br />

ship transports, hence reducing emissions.<br />

MITTELpLATE<br />

The Mittelplate platform in the UNESCO world<br />

cultural heritage site of the Wattenmeer in<br />

Schleswig-Holstein is the only oil producing<br />

facility operated from German waters. New and<br />

innovative technical solutions were necessary<br />

to develop the crude oil reserves at Mittelplate<br />

safely and ecologically. The 70 by 95 meter platform<br />

was built on the tidelands of the Mittelplate<br />

and protected on the sea side by a liquid-tight<br />

concrete-and-steel basin with sheet pile walls<br />

of eleven meters in height, so that there can be<br />

no uncontrolled discharges or seepage from it.<br />

Drilling and production operations are protected<br />

by sophisticated monitoring and control systems<br />

that provide multiple safeguards. Subsurface and<br />

surface safety valves can be activated automatically,<br />

manually and by remote control. Finally,<br />

laying a pipeline to the Dieksand land-based<br />

station eliminated the need for around 2,000 ship<br />

movements to remove the crude oil in doublehulled<br />

vessels.<br />

HEALTH SAFETY ENVIRONMENT


32/33<br />

SOCIAL<br />

RESPONSIBILITY.<br />

Conceive cultural differences as enrichment. Discover that our shared values outweigh our differences.<br />

This is why Wintershall’s international operations not only produce crude oil and natural gas, but also<br />

foster contact between people. Sponsoring cultural and social projects is not a luxury for Wintershall,<br />

but an expression of its social commitment and active steps to enhance the quality of life.


HUMAN RIGHTS.<br />

The Wintershall Group respects human rights and,<br />

as a responsible company, supports observance<br />

and promotion of them.<br />

In its economic activity, Wintershall sees itself as an<br />

attractive employer, dependable partner and good<br />

neighbor that nurtures the development of friendly,<br />

open and respectful relationships and mutual understanding<br />

between nations.<br />

Our employees’ working conditions worldwide<br />

comply at the minimum with basic international<br />

labor standards and the law of the countries where<br />

we operate. That includes preventing child and<br />

forced labor, upholding the principle of non-discrimination<br />

at work and the right to freedom of assembly<br />

and association.<br />

INSIGHTS.<br />

As a company which has operations around the<br />

world and employs more than 2,000 people from<br />

over 40 nations, we experience the enriching power<br />

of exchange across cultural borders daily and<br />

have promoted it for years at the international level.<br />

We feel connected to the regions in which our<br />

company operates. In addition to our cultural commitment,<br />

we also focus on helping people in need.<br />

Where we have activities, Wintershall sees itself as<br />

a neighbor who helps out when needed.<br />

Our employees have lent a helping hand in providing<br />

sports clothing and school uniforms for 30<br />

learners in the Cañadón-Asfalto Basin in Southern<br />

Patagonia, organizing computers and printers for a<br />

neighboring hospital or through supporting a public<br />

kitchen run by Caritas in Tierra del Fuego together<br />

with our partner Total.<br />

In North Africa, Wintershall Libya helped build a<br />

school and renovate a nursery school in jakhira.<br />

The company also gives support to regional festivals,<br />

public institutions and events for the workforce and<br />

the population of the region. When the mosque on<br />

the premises of Wintershall Libya became too small<br />

for the large number of local employees, the company<br />

had a new, bigger one built in 2004. Under<br />

Wintershall is also committed to fundamental values<br />

derived from its corporate philosophy: success,<br />

innovation, increasing value added, health and environmental<br />

protection, safety, intercultural competence,<br />

mutual respect, open dialogue and a high<br />

level of integrity. These values are defined in guidelines<br />

that are applied in our daily activities. That is<br />

because every single Wintershall employee acts as<br />

a role model and contributes to the company’s<br />

success with his or her actions.<br />

Wintershall engages in many cultural and social<br />

projects worldwide in the regions where it operates.<br />

CORPORATE NEIGHBORSHIP.<br />

the supervision of a Libyan engineer, between 15<br />

and 20 employees of a local construction company<br />

worked for five months on the new Omar Ben Al<br />

Khatab mosque. The mosque has been officially<br />

recognized and registered by the relevant authority.<br />

An imam has been appointed, who now calls the<br />

faithful to prayer every Friday.<br />

In Turkmenistan, Wintershall has helped equip a<br />

hospital room to Western standards.<br />

With the assistance of Wintershall’s subsidiary<br />

WINGAS, a home for blind and visually impaired<br />

children in Russia was connected to the public gas<br />

network, electricity lines and water pipes were renovated<br />

and the buildings were expanded. Picture<br />

books and games specially designed for visually<br />

impaired and blind children were also donated.<br />

We have also by now established a tradition of not<br />

giving Christmas presents to customers and business<br />

partners. Instead, we support charities and<br />

humanitarian organizations in Germany and our<br />

operating regions. In recent years, for example, we<br />

have given to schools, homes for children, and an<br />

SOS Children’s village, as well as to voluntary organizations<br />

and facilities for promoting the young.<br />

SOCIAL RESpONSIBILITY


34/35<br />

<strong>HSE</strong> Performance<br />

<strong>2010</strong>


36/37<br />

HEALTH AND SAFETY<br />

<strong>2010</strong>


KEY PERFORMANCE INDICATORS<br />

OCCUPATIONAL SAFETY.<br />

<strong>2010</strong> was a success story for Wintershall in terms of the occupational safety of its own employees. There<br />

were no lost time injuries (LTIs) among our own employees. However, contractors suffered three fatal injuries<br />

(FAT) and six lost time injuries. The severity of the contractor accidents led the company to critically review<br />

its safety regulations and derive suitable measures to avoid such incidents in future.<br />

<strong>WINTERSHALL</strong> / WINGAS CONTRACTORS<br />

2009 <strong>2010</strong> 2009 <strong>2010</strong><br />

Number of employees* 2,077 2,164 - -<br />

Fatal accidents (FAT) 0 0 0 3<br />

Incident with > 1 day lost time (LTI) 3 0 8 6<br />

Lost time incident frequency rate<br />

per one million man hours (LTIF) 0.65 0 1.68 1.01<br />

The statistical data on its own employees’ performance<br />

demonstrates that Wintershall was able to<br />

surpass its achievements of the previous year. For<br />

own employees the <strong>2010</strong> frequency (LTIF) was zero,<br />

the internal targets were therefore met. Despite an<br />

increase in the overall incidents witnessed in <strong>2010</strong>,<br />

the LTIF rate for contractors declined from 1.68 in<br />

2009 to 1.01 in <strong>2010</strong>. This has to be attributed to<br />

the increase in working hours performed by 42 %<br />

in comparison to the 2009 data. Following the severe<br />

accidents in <strong>2010</strong>, specific prevention measures<br />

were derived during the course of the accident<br />

investigation. The increase in working hours can be<br />

attributed to the construction of the OPAL pipeline<br />

and the jemgum storage facility by WINGAS and<br />

increased exploration activities in Norway, qatar<br />

and Mauretania.<br />

The increase in accidents during contractor activities<br />

can be partly attributed to an increased demand<br />

for experts in the past years. This has had a negative<br />

effect on the qualifications and especially on<br />

experience of personnel, which directly influences<br />

safety performance. Wintershall is working with its<br />

partners to reestablish the high level of training in<br />

the oil and gas industry. We will systematically<br />

apply the contractor management methods we<br />

have developed so that external companies meet<br />

the requirements we have set out.<br />

*Excluding temporary employees; part-time employees pro rata.<br />

The WINGAS Group has derived specific measures<br />

from the investigations into the severe incidents<br />

which occurred in <strong>2010</strong>. They include an external<br />

review of the safety concept, the obligation to submit<br />

applications for all activities at construction sites<br />

outside the agreed working time, monitoring of<br />

compliance by means of helicopter flights over sites,<br />

random checks, including at weekends, and training<br />

and specially tailored courses for different trades.<br />

The goal in 2011 is to avoid any type of accident.<br />

With enhanced standards and even more commitment,<br />

we are working to continuously improve the<br />

high level of safety and our performance.<br />

We are constantly striving to improve the companywide<br />

health, safety and environment management<br />

system (WINS). This is supported by intensive experience<br />

exchange and dialogue between experts<br />

from the Operating Companies (OPCOs) and Business<br />

Units (BUs) at Wintershall’s global locations<br />

and our involvement in committees of the International<br />

Association of Oil and Gas Producers (OGP)<br />

and the industry association Erdöl- und Erdgasgewinnung<br />

e. v. (WEG).<br />

HEALTH SAFETY ENVIRONMENT <strong>2010</strong>


38/39<br />

SAFETY <strong>2010</strong><br />

AT A GLANCE.<br />

WORLDWIDE: REvIEW OF SAFETY STANDARDS<br />

IN OFFSHORE PRODUCTION.<br />

The Deepwater Horizon disaster in the Gulf of Mexico<br />

had serious consequences for the environment.<br />

The impact of the blowout, which was caused by<br />

the failure of various safety systems, was also exacerbated<br />

by the fact that the platform was located<br />

in waters that are 1,500 meters in depth, leading<br />

to the blowout being considerably more difficult to<br />

control. The E&P industry has responded to the<br />

event by conducting extensive reviews of the existing<br />

safety systems applied in offshore production. An<br />

industry-wide working group set up by the International<br />

Association of Oil & Gas Producers (OGP)<br />

reviewed the course of the incident and the underlying<br />

causes. The objective of the review was to<br />

reassess the systems currently applied and adapt<br />

procedures where required.<br />

Even though Wintershall itself does not operate any<br />

deep-sea drilling activities, the findings from investigation<br />

report were closely monitored. In order to<br />

improve safety in drilling operations further, the<br />

potential relevance of the courses of events and<br />

failed barriers were assessed. In drilling wells and<br />

producing hydrocarbons, Wintershall adheres to<br />

the very highest standards of environmental protection<br />

and safety. At the same time Wintershall is<br />

constantly seeking opportunities to improve the<br />

safety of existing technologies. A task force was<br />

established in <strong>2010</strong> to implement learning points<br />

and optimize existing processes further.<br />

GERMANY: FIRE DRILL AT THE REHDEN<br />

NATURAL GAS STORAGE FACILITY.<br />

In the fall of <strong>2010</strong>, Wintershall invited safety experts<br />

to attend a drill for a major incident at the natural<br />

gas storage facility in Rehden. During the annual<br />

fire drill, around 60 field personnel from Wintershall<br />

and BASF plant fire services, as well as local volunteer<br />

fire fighters, trained for various scenarios in Rehden.<br />

Additionally safety experts from the Gazprom subsidiary<br />

Gazobezopasnost, from Gazprom export,<br />

Achimgaz and Severneftegazprom observed the<br />

drill for the first time.<br />

During the exercise, a task was to bring an ignited<br />

gas outlet under control at a wellhead. Together<br />

with the volunteer fire fighters, the Wintershall plant<br />

fire service demonstrated various extinguishing<br />

techniques and a personnel rescue maneuver in<br />

front of almost a hundred guests. The Ludwigshafen<br />

BASF plant fire service’s most modern service vehicle,<br />

the turbo extinguisher, played a central role<br />

in the fire drill. The turbo extinguisher is equipped<br />

with two aircraft turbines, and water or foam is fed<br />

into their jet wash. Through this, the special vehicle<br />

generates a fine mist which prevents flames and<br />

escaping gas from spreading. Thus, one hundred<br />

percent of water-soluble gases can be washed out<br />

of the atmosphere. Up to 8,000 liters of water per<br />

minute can be reduced to a fine spray and sprinkled<br />

over an area of up to 3,500 square meters from a<br />

distance of 150 meters.<br />

Fire drill in Rehden (Germany)


GERMANY: MICROTUNNEL – WORKING IN COM-<br />

PRESSED AIR CONDITIONS.<br />

The Baltic Sea Pipeline Link (OPAL) will pass below<br />

the River Peene via a microtunnel that was drilled<br />

in a depth of up to 25 meters. This method was<br />

chosen to protect the sensitive countryside and<br />

surrounding nature reserve. A tunneling machine<br />

with a diameter of three meters was used to drill a<br />

tunnel from the entry pit to the exit pit 1,000 meters<br />

away. As the machine advanced, 4-meter concrete<br />

segments were inserted in the tunnel. At the completion<br />

of the tunnel, the pipes for OPAL, which had been<br />

welded together beforehand, were drawn in.<br />

The discovery of a granite erratic boulder of around<br />

three meters in diameter after 650 meters of drilling<br />

resulted in the cutting tools having to be replaced<br />

on the drill head at a depth of around 22 meters.<br />

The position below groundwater level was a<br />

challenge. Due to the prevailing conditions in the<br />

subsoil, the tool had to be replaced with the front<br />

section of the tunnel pressurized using compressed<br />

air. This ensured stability, enabled access and prevented<br />

an excessive influx of groundwater. Extensive<br />

sealing work for the tunnel and surface were<br />

necessary to make the working area air-tight. The<br />

pressure at the drill head was 2.3 bars, equivalent<br />

to that when diving at a depth of 20 meters. Consequently,<br />

special compressed air equipment was<br />

needed to ensure safe working conditions and<br />

minimize the physical strain and stress. The technicians<br />

worked in three shifts, each lasting 2.5<br />

hours; it also took around 3 hours to prepare the<br />

workers for the face and another 3 hours to return<br />

them to the surface in a compression chamber.<br />

The entire work program was supervised by an<br />

occupational physician and coordinated by a team<br />

of professional divers.<br />

HEALTH SAFETY ENVIRONMENT <strong>2010</strong>


40/41<br />

RUSSIA: STC –<br />

WORKING HAND-IN-HAND FOR SAFETY.<br />

Over the past few years, the successful collaboration<br />

between Wintershall and Gazprom along the entire<br />

value creation chain – from the wellhead in Siberia<br />

to the customer in Europe – has been expanded<br />

systematically to other important areas for both<br />

companies. Wintershall and the Gazprom safety<br />

experts have been working together regularly since<br />

2008. The goal is to develop the skills and safety<br />

know-how of their field personnel when it comes to<br />

rectifying damage, improve coordinated interaction<br />

between them and test new protective equipment<br />

and devices. Following joint safety drills in Astrakhan,<br />

Russia, and in Rehden, Germany, further projects<br />

are planned for 2011.<br />

LIBYA: vEHICLE TRACKING SYSTEM FOR<br />

THE DESERT.<br />

Under challenging climatic conditions Wintershall<br />

produces oil in Libya. In <strong>2010</strong>, Wintershall Libya<br />

equipped its vehicle fleet and an aircraft with a<br />

satellite-based positioning system to enable rapid<br />

localization of vehicles in the desert, where full<br />

coverage by mobile communications and vHF radio<br />

is not possible. The vehicle tracking system enables<br />

vehicles to be tracked down quickly and easily, even<br />

in remote areas, and can navigate teams to their<br />

location if need be. It can be operated from anywhere<br />

in the world.<br />

Exploration in Norway<br />

NORWAY: ADAPTING TO GROWTH.<br />

Wintershall is one of the biggest licensees in Norway,<br />

holding more than 40 licenses and over 20 operatorships.<br />

The company plans to invest more than one<br />

billion euros in this region by 2015 and has discovered<br />

highly promising reserves off the Norwegian coast.<br />

In <strong>2010</strong>, Wintershall Norge and its consortium partners<br />

conducted numerous audits of their contractors<br />

and drilling rig operators to ensure compliance with<br />

the <strong>HSE</strong> standards. Areas such as health and safety<br />

management, environmental protection, maintenance<br />

and repair and emergency management<br />

were audited.<br />

Due to the continuous expansion of its activities in<br />

Norway, Wintershall Norge also pressed ahead<br />

with adapting the existing management system to<br />

changing conditions. One project team is developing<br />

a business management system integrating the<br />

<strong>HSE</strong> quality management system. Both employees<br />

and contractors are to be given access to the webbased<br />

system.


KEY PERFORMANCE INDICATORS<br />

HEALTH PROTECTION.<br />

As in 2009, no employee of Wintershall suffered from an occupational disease in <strong>2010</strong>. Together with <strong>HSE</strong><br />

experts, company physicians at the individual locations and Business Units analyze working areas in order<br />

to minimize the risks to employees’ health in their activities. The working conditions in exploration, production<br />

and administration are of a very high standard. A total of 53 plant inspections to check standards were<br />

conducted. Beside this, numerous workplace inspections were performed by the management according<br />

to the requirements of the <strong>HSE</strong> Management System.<br />

In order to ensure that emergency first aid can be administered, there are 557 first aiders who hold a nationally<br />

recognized certificate in first aid at the Wintershall Group’s locations.<br />

501 medical examinations relating to prevention or early screening for work-related diseases and to prepare<br />

staff for travels abroad were conducted worldwide in <strong>2010</strong>.<br />

HEALTH PROTECTION <strong>2010</strong> AT A GLANCE.<br />

Keeping healthy is not only a question of ensuring<br />

that operating facilities are technically safe.<br />

Health consciousness, and the will of each and<br />

every one of us to promote health and safety and<br />

to communicate this issue, is of crucial importance.<br />

Wintershall therefore believes it is vital to give its<br />

employees up-to-date information on important<br />

health concerns. Wintershall staged a campaign<br />

under the slogan “avoid bowel cancer” in <strong>2010</strong>. It<br />

was specifically aimed at providing information on<br />

this form of cancer and measures to prevent it.<br />

Specialist doctors and nutritionists explained the<br />

illness and ways it might be prevented. Around two<br />

hundred employees took part in free early screening<br />

at the headquarters in Kassel.<br />

Wintershall offers its employees regular vaccination<br />

against influenza – a service that was also taken up<br />

by many in <strong>2010</strong>. In addition, company physicians<br />

provide employees assigned abroad with intensive<br />

health advice and services before they travel. That<br />

includes health information on the country they are<br />

traveling to, as well as administering the vaccinations<br />

required there.<br />

An emergency can strike anybody. The persons<br />

affected often only have a chance of survival if<br />

immediate measures are put into effect. Above all,<br />

it is vital to know what to do in emergencies. That<br />

is why Wintershall gives its employees the opportunity<br />

to take part in first-aid courses. Wintershall<br />

and WINGAS also encourage staff to take part in<br />

courses for company first aiders held by the German<br />

Red Cross. The company registers the employees<br />

for courses and also assumes the costs.<br />

Donating blood can also save life. In <strong>2010</strong>, two<br />

blood donation drives were organized at the headquarters<br />

in Kassel and almost 100 employees took<br />

part in them.<br />

HEALTH SAFETY ENVIRONMENT <strong>2010</strong>


42/43<br />

ENvIRONMENTAL PROTECTION<br />

<strong>2010</strong>


KEY PERFORMANCE INDICATORS<br />

ENvIRONMENTAL PROTECTION.<br />

As a wholly-owned subsidiary of BASF SE, Wintershall is committed to the Responsible Care Initiative. In<br />

accordance with BASF’s Responsible Care <strong>Report</strong>ing Guidelines, environmental emissions relating to<br />

the production of crude oil and natural gas are reported as a ratio of Wintershall’s participating interest in<br />

the consortium in question. As a member of the International Association of Oil & Gas Producers (OGP),<br />

Wintershall has reported its environmental emissions in exploration and production as part of the OGP’s<br />

“Environmental Performance in the E&P Industry” report since 2006.<br />

ENERGY.<br />

We use electrical energy to produce, process and transport crude oil and natural gas, for example to drive<br />

pumps and compressors, as well as thermal energy in the form of steam to produce oil. Depending on the<br />

location of our production sites relative to the supply networks, we obtain electricity from the public grid or<br />

produce it ourselves at remote locations.<br />

In <strong>2010</strong> we used a total of 977,742 MWh in electrical energy, an additional 4,260 Mio. MWh energy for<br />

production processes and 511,514 tonnes of steam for our processes.<br />

The use and generation of energy are subject to continuous improvement regarding efficient energy use.<br />

Examples are the commissioning of a highly efficient combined heat and power generation (CHP) plant at<br />

our Emlichheim location in Germany and installation of a system to enable use of exhaust heat at a gas<br />

turbine generator plant in Nakhla in Libya. In addition, Wintershall is testing generation of wind and solar<br />

power in a pilot project in the Libyan Desert with the aim of obtaining an energy-efficient electricity supply<br />

for remote facilities.<br />

HEALTH SAFETY ENVIRONMENT <strong>2010</strong>


44/45<br />

GREENHOUSE GAS EMISSIONS.<br />

Emissions released into the air are regularly controlled and recorded in accordance with statutory stipulations<br />

and our own standards. Apart from greenhouse gas emissions, we also ascertain emissions of air pollutants.<br />

They include inorganic gases such as carbon monoxide (CO), nitrogen dioxide (as NO ² ) and sulfur dioxide<br />

(as SO ² ). Apart from carbon dioxide (CO ² ), nitrous oxide (NOx) and methane (CH 4), no other greenhouse<br />

gases are emitted by Wintershall.<br />

Wintershall was able to cut greenhouse gas emissions last year by 11 percent compared with 2009.<br />

Production operations at Wintershall and WINGAS accounted for total emissions of 1.37 million tonnes of<br />

CO ² (2009: 1.67 million) and 3,318 tonnes of CH 4 (2009: 5,940) in <strong>2010</strong>. Relative to Wintershall’s production<br />

of crude oil, natural gas and condensate, the specific emission is 0.08 tonnes of CO ² /toe (2009: 0.08).<br />

Methane losses in gas production in <strong>2010</strong> were around 0.024 percent of the total quantity of natural gas<br />

produced.<br />

source oF co ² emissions co ² emissions 2009 (t) co ² emissions <strong>2010</strong> (t)<br />

Production processes 1,507,838 828,579<br />

Indirect (import/export of electricity/steam) 46,814 79,715<br />

Direct (electricity and steam production) 123,079 465,135<br />

source of ch 4 emissions ch 4 emissions in (t) 2009 ch 4 emissions in (t) <strong>2010</strong><br />

Production, undifferentiated 5,940 3,318<br />

The reduction in greenhouse gas emissions is mainly attributable to rigorous measures to improve energy<br />

efficiency, such as commissioning of a CHP plant to produce electricity at Emlichheim, lower emissions in<br />

the Netherlands and further implementation of the No Flaring Policy. Of the produced associated gas 95 %<br />

is used to the date.<br />

FOR AN ENvIRONMENTALLY FRIENDLY FUTURE: NATURAL GAS.<br />

Natural gas stands out among fossil fuels on account of its high energy efficiency and favorable environmental<br />

properties. When natural gas is burned, it gives off mainly CO ² and water vapor. Sulfur and nitrogen<br />

are found only in low concentrations. Far fewer greenhouse gases and dust particles are emitted compared<br />

to other fossil fuels.<br />

During transportation process from the production field to the customer, natural gas sometimes travels<br />

several thousand kilometers through pipelines. The gas has to be compressed at regular intervals in compressor<br />

stations in order to compensate for the pressure loss caused by friction at the interior pipe wall.<br />

Electric, gas and steam turbines are used to drive the compressors. virtually sulfur-free natural gas is used<br />

as fuel for the gas turbines.


CO ² -EMISSIONS TRADING IN GERMANY.<br />

In <strong>2010</strong>, WINGAS TRANSPORT’s natural gas compressor stations in Mallnow, Olbernhau, Rückersdorf,<br />

Eischleben, Reckrod, Lippe and Haiming, WINGAS’ natural gas storage facility in Rehden and Wintershall’s<br />

CHP and steam flooding plants in Emlichheim as well as two Wintershall platforms in the Netherlands were<br />

required to participate in the emissions trading scheme. In <strong>2010</strong>, the German Emissions Trading Agency<br />

(DEHSt) allotted our plants 744,624 EU allowances (EUA/a). Our German plants that are required to trade<br />

emissions emitted a total of 447,628 tonnes of CO ² in <strong>2010</strong>.<br />

Wintershall is currently preparing for the 3rd emissions trading period from 2013 to 2020. It is necessary to<br />

reapply for the EU allowances for this period. In addition, allowances for the OPAL natural gas transfer<br />

station, which is currently under construction in Lubmin, and the new OPAL gas compressor station at<br />

Radeland must be applied for from the Emissions Trading Agency.<br />

EMISSIONS OF OTHER SUBSTANCES.<br />

Fossil sources of energy, such as natural gas, heating oil or diesel, which emit various substances into the air<br />

during their thermal conversion, are used in some cases for power generation and production at our locations.<br />

Emissions of inorganic substances fell by 1,621 tonnes in <strong>2010</strong>. Measures to increase energy efficiency,<br />

improved utilization of associated gas and lower energy requirements are among the reasons for this.<br />

inorgAnic substAnces emissions 2009 (t) emissions <strong>2010</strong> (t)<br />

Total inorganic substances 4,586 2,965<br />

Carbon monoxide (CO) 2,005 1,033<br />

Nitrogen oxides (NO ) as NO x ²<br />

2,276 1,678<br />

Sulfur oxides (SO<br />

²<br />

+SO<br />

³<br />

) as SO<br />

²<br />

Organic substances<br />

305 254<br />

Non-methane volatile organic compounds (NMvOC)<br />

Other substances<br />

2,375 2,015<br />

Particulate matter 20 30<br />

HEALTH SAFETY ENVIRONMENT <strong>2010</strong>


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WASTE MANAGEMENT.<br />

Waste is classified, stored, handled, transported<br />

and disposed of in accordance with the applicable<br />

legislation of the country in question. In this respect<br />

Wintershall follows international and own standards.<br />

Waste is classified into the categories “hazardous<br />

waste” and “non-hazardous waste” according to<br />

EU regulations.<br />

In <strong>2010</strong> Wintershall incurred 61,268 tonnes of waste<br />

(2009: 185,095). 29,505 tonnes were hazardous<br />

waste (2009: 150,122) and 31,763 tonnes nonhazardous<br />

waste (2009: 34,973).<br />

83 % of the waste was disposed of at approved<br />

dumps. Around 8 % was recycled or subjected to<br />

thermal recovery, approximately 4 % was disposed<br />

of in waste incinerators and 5 % was disposed of<br />

properly in other ways. The volume of waste declined<br />

in comparison to the previous year due to<br />

completion of the recultivation at the used drilling<br />

mud pit at Wietingsmoor.<br />

WATER MANAGEMENT.<br />

A total of 9.5 million cubic meters of water were<br />

used in <strong>2010</strong> (2009: 9.8 million), most of which –<br />

8.5 million m³ (2009: 9.6 million) – was accounted for<br />

by production water. Some 6.55 million cubic meters<br />

of production waster were reinjected into the reservoirs<br />

after being separated from the crude oil and<br />

natural gas at the surface. Production water from<br />

our offshore platforms totaled 1.97 million m³ and,<br />

after being cleaned, was discharged into the sea in<br />

compliance with the statutory threshold limits.<br />

There were also 152,210 cubic meters of sanitary<br />

waste water and 758,322 cubic meters of other<br />

waste water. A total of 501,332 m³ was fed to waste<br />

water treatment facilities.<br />

old oak saved


ENvIRONMENTAL PROTECTION<br />

<strong>2010</strong> AT A GLANCE.<br />

WINGAS: COMPENSATION FOR OPAL.<br />

As compensation for land-use through construction of the Baltic Sea Pipeline Link (OPAL), a multi million<br />

euro sum is being invested to expand, maintain and care for areas of ecological value. In Brandenburg<br />

alone, some 280 hectares have been converted into semi-natural biotopes, including reforestation of an<br />

area of just under 90 hectares. The diversity of heathlands is to be fostered over around 40 hectares,<br />

while a further 40 hectares will be turned into forest monocultures. In addition, hedges and tree rows<br />

will be planted, wetland biotopes created and the renaturation of watercourses supported.<br />

WINGAS SOMETIMES TAKES A DETOUR IN CONSTRUCTING PIPELINES.<br />

In order to protect an oak at least 200 years old and with a diameter of 1.6 meters that was in the<br />

planned path of OPAL, the gas pipeline was diverted around the tree and the adjacent small pond.<br />

WINGAS: ECO GAS WITH A POSITIvE CO ² BALANCE.<br />

Since October <strong>2010</strong>, Wintershall’s subsidiary WINGAS has been offering eco gas, i.e. CO ² -neutral<br />

natural gas. As a result, customers can completely offset the greenhouse gases emitted during the<br />

burning process. The emissions are compensated by CO ² reductions in climate protection projects.<br />

The projects are chosen in accordance with strict international quality criteria, such as those of the<br />

Gold Standard. These are accepted by environmental organizations like the WWF. The certificates,<br />

which are acknowledged and inspected by independent bodies such as the UN Climate Secretariat in<br />

Bonn, are purchased by WINGAS and then taken off the market and deleted. The emission-reducing<br />

processes are regularly monitored by recognized organizations such as Germany’s technical inspection<br />

association TÜv.<br />

WINGAS: BIOGAS IN THE PORTFOLIO.<br />

WINGAS’ eco gas portfolio is also complemented by biogas. WINGAS cooperates with farmers who<br />

supply the company with biogas under long-term contracts. Mixing in biogas can further improve natural<br />

gas’ excellent CO ² values. In accordance with the Federal German Government’s targets, by 2020, six<br />

billion cubic meters of biogas are to be fed into the German natural gas pipeline network each year.<br />

HEALTH SAFETY ENVIRONMENT <strong>2010</strong>


48/49<br />

NETHERLANDS: <strong>WINTERSHALL</strong> NOORDzEE<br />

CERTIFIED TO ISO 14001.<br />

In june <strong>2010</strong>, Wintershall Noordzee’s <strong>HSE</strong> management<br />

system was recertified in accordance with the<br />

international environmental standard ISO 14001 for<br />

the third time after 2005 and 2007. This requires<br />

the company to have a defined environmental policy,<br />

environmental objectives and a management<br />

system that helps achieve the objectives. These<br />

criteria are met by Wintershall Noordzee with its<br />

system. This is geared toward constant control<br />

and improvement of the company’s environmental<br />

balance.<br />

LIBYA: ABSORBENT TO HELP SAvE WATER.<br />

The company has planted over a hundred palms<br />

and mango, orange and other citrus trees for test<br />

purposes in the Nakhla treatment facility in the<br />

middle of the Sahara as part of testing the absorbent<br />

Luquasorb from BASF. If the test goes<br />

well, the absorbent will be passed on to the local<br />

settlements in the area, so that they can use it to<br />

reduce their agricultural water consumption. Four<br />

kilograms of absorbent are mixed with sand per palm<br />

and incorporated in the root area. The absorbent<br />

sucks up the water into a gel to prevent it from<br />

seeping away or evaporating quickly. A new water<br />

treatment plant is also being built. This cleaned water<br />

will then be used to water the plants and trees.<br />

LIBYA: POWER FROM SUN AND WIND ENERGY<br />

WITH CRUDE OIL PRODUCTION.<br />

A further model project in Libya, which has been<br />

running since early <strong>2010</strong>, will examine whether installations<br />

outside the central production facilities,<br />

such as camps, measuring points and pumps,<br />

can be independently supplied with power from<br />

sun and wind energy. Under desert conditions<br />

the power generated from wind in the project is<br />

compared to the output of a photovoltaic system.<br />

The effects are not limited to savings in fossil fuel<br />

consumption – greenhouse gas emissions are also<br />

reduced.<br />

Libya


qATAR: SAFETY DRILL AND INFORMATION<br />

EvENT HELD.<br />

In <strong>2010</strong>, an initial exploration well was drilled in the<br />

Khuff formation in the western part of exploration<br />

block 4N in qatar. Extensive safety measures were<br />

taken in advance to avoid oil spills. As protection,<br />

Wintershall has concluded service agreements in<br />

qatar with a specialist emergency organization that<br />

keeps safety equipment available on an escort ship<br />

stationed alongside the well. The drillship’s crew<br />

practiced using the equipment in an emergency<br />

exercise. Wintershall is also involved in block 3 in<br />

qatar. Following the first 3D seismic investigations<br />

in <strong>2010</strong>, exploration wells are planned in the coming<br />

years. Before the seismic campaign, Wintershall’s<br />

contractor Western Geco held an information event<br />

for local fishers in order to avoid disruptions for all<br />

parties involved.<br />

RUSSIA: GREEN OFFICE CAMPAIGN.<br />

It is only now that Russians are slowly becoming<br />

aware about environmental protection and resource<br />

conservation. Wintershall Russia therefore initiated<br />

an environmental protection campaign for employees<br />

at its office in Moscow. In addition to an evaluation<br />

of the office building’s environmental compatibility,<br />

the Green Office Campaign also focused on showing<br />

employees small but effective ways with which<br />

they can make a personal contribution to environmental<br />

protection and resource conservation. Many<br />

employees also took part in a campaign to clean the<br />

banks of the Moskva River in their spare time.<br />

HEALTH SAFETY ENVIRONMENT <strong>2010</strong>


50/51


OUTLOOK.


52/53<br />

NEWS.<br />

SCHIzOPHYLLAN –<br />

A SMALL FUNGUS WITH A BIG IMPACT.<br />

The production of crude oil and natural gas is no<br />

longer conceivable without modern and highlyspecialized<br />

technology. And yet the best methods<br />

often come from nature itself, as is the case with<br />

the largest research project that the German crude<br />

oil and natural gas producer Wintershall is currently<br />

conducting together with BASF. A fungus is in its<br />

focus – for one simple reason: When it consumes<br />

oxygen and starch, Schizophyllum commune – as<br />

the fungus is called – generates a biopolymer, a<br />

100 % biological thickening agent.<br />

This polymer can be used for oil production: The<br />

gelatin-like substance thickens the water which is<br />

injected into the reservoir to enhance production.<br />

The water can force more oil out of the reservoir<br />

because it increases viscosity. This technique can<br />

raise the recovery rate from a reservoir significantly.<br />

Even more, it does so in an environmentally friendly<br />

way because the biopolymer is fully biodegradable.<br />

START OF CONSTRUCTION OF NEL.<br />

Work on building NEL, the North European Natural<br />

Gas Pipeline, got up and running in 2011. 440 km<br />

in length, it is one of Germany’s largest pipeline<br />

projects and demands extreme precision on the<br />

part of the engineers planning it: Its route takes<br />

into account the factors natural conservation, geography,<br />

safety and cost-effectiveness. All this is<br />

underpinned by sophisticated technology and a<br />

planning process that includes all agencies and<br />

organizations representing public interests. The<br />

pipeline is scheduled for completion by fall 2012.<br />

ExPLORATION OF SHALE GAS DEPOSITS.<br />

Germany has valuable undeveloped gas deposits,<br />

for example in the form of shale gas. Work to quantify<br />

natural gas resources in such unconventional<br />

reservoirs is still in its early stages. The German<br />

Federal Institute for Geosciences and Raw Materials<br />

(BGR) is currently investigating the overall potential<br />

for domestic shale gas production on behalf of the<br />

German Federal Ministry of Economics.<br />

Wintershall is also involved in the scientific evaluations<br />

and in August 2011 was granted permission<br />

by the mining authorities to carry out geological<br />

tests in two fields. Wintershall’s “Rheinland” and<br />

“Ruhr” concessions cover an area of 3,900 km²<br />

and stretch from the German/Dutch border in the<br />

west as far as the Sauerland region in the east.<br />

Wintershall’s activities in the next three years will be<br />

confined solely to preliminary geological surveys to<br />

assess the resource potential of possible unconventional<br />

reservoirs in these areas. Deep drilling<br />

and fracing operations are not planned. The scientific<br />

work program in North-Rhine Westphalia includes<br />

special rock investigations aimed at providing<br />

information about the gas content of the rock at<br />

greater depths.<br />

We will be focusing on shale horizons which, in<br />

selected locations, are already close to the surface,<br />

thus making it easy to carry out geological tests.<br />

Shallow core holes of up to 200 meters under the<br />

surface which provide rock samples for closer geological<br />

examination may also be drilled and must<br />

be applied for individually.<br />

Wintershall does not currently produce shale gas<br />

either at its international sites or in Germany. The<br />

results of the preliminary investigations must be<br />

carefully evaluated before any shale gas deposits<br />

in Germany can be exploited – needless to say<br />

under the precondition that shale gas production<br />

would make economic sense and would not cause<br />

undue damage to the environment. That is because<br />

there is no hard and fast answer to this question at<br />

present.


ACTION DAYS.<br />

ENvIRONMENTAL DAY 2011.<br />

To mark the United Nations World Environmental<br />

Day, Wintershall is also launching a company-wide<br />

campaign to promote environmental protection<br />

and increase ecological awareness. The company<br />

will provide information on its environmental protection<br />

activities at the Wintershall Environmental<br />

Day 2011. It will also show how every single one of<br />

us can help protect the ecology by small measures<br />

at work and in everyday life. Outstanding projects<br />

from Wintershall’s global locations will be showcased<br />

in an exhibition. International experts will present<br />

environmental protection measures in the oil and<br />

gas industry in a program of talks. Focal issues will<br />

be production of shale gas and construction of the<br />

Nord Stream Baltic Sea Pipeline.<br />

HEALTH CAMPAIGN 2011.<br />

Skin protection is the theme of Wintershall’s Health<br />

Campaign 2011. Since skin diseases are one of<br />

the most widely spread occupational illnesses, the<br />

campaign will provide information on related risk<br />

factors and valuable tips on preventing such diseases.<br />

The emphasis is on work-related skin diseases,<br />

skin and sun protection and early detection of skin<br />

cancer. Within the campaign Wintershall offers free<br />

skin cancer screening for employees.<br />

STC – <strong>HSE</strong> ExPERTS MEET ON SAKHALIN.<br />

In 2011, <strong>HSE</strong> experts from Wintershall will meet with<br />

Gazprom’s safety and rescue service on Sakhalin<br />

in Eastern Siberia to share their experiences and<br />

discuss the latest technologies and methods for<br />

rectifying damage. Gazprom has built Russia’s first<br />

liquefied natural gas plant on the island in order to<br />

supply countries in the Far East. The challenging<br />

climatic conditions and sensitive ecosystem demand<br />

special protective measures in the area of health,<br />

safety and environment.<br />

OUTLOOK LIBYA.<br />

Wintershall is monitoring the developments in Libya<br />

with great concern. The company closed down production<br />

in the desert and shut in the wells securely<br />

at the end of February 2011 for safety reasons. No<br />

more oil has been produced there since then. All international<br />

employees were flown out at the same time.<br />

368 local employees remained in the country, some<br />

of whom are also supervising and monitoring the<br />

operating facilities. Before that, Wintershall had produced<br />

around 100,000 barrels of oil a day in Libya.<br />

It is currently difficult to assess how the situation in<br />

Libya will develop. Wintershall is taking care of its<br />

Libyan employees on site as best it can. At present<br />

it is not possible to foresee whether, when and how<br />

oil production in Libya can be recommenced.<br />

Wintershall’s commitment in Libya is long-term and<br />

sustainable – and one to which the company is<br />

firmly dedicated.<br />

Wintershall is supporting the International Red Cross<br />

(IRC) and Red Crescent in their work in Libya with<br />

100,000 euros of immediate aid. The donations will<br />

be used specifically to help people in Libya and<br />

Tunisia. In addition, a fundraising campaign for employees<br />

was initiated and Wintershall doubles every<br />

euro donated.<br />

Wintershall has been active in exploration and production<br />

in Libya, one of Africa’s biggest oil producers,<br />

since 1958. More than 2 billion US dollars have been<br />

invested in the country since then, and more than<br />

150 wells have been drilled. Wintershall currently<br />

operates eight onshore oil fields in concessions<br />

96 and 97 in the Libyan Desert. The facilities are<br />

approximately 1,000 km southeast of Tripoli.<br />

OUTLOOK


54/55<br />

<strong>HSE</strong> IN FIGURES.<br />

wintershAll perFormAnce unit <strong>2010</strong> 2009<br />

Sales to third parties mil. € 10,791 11,356<br />

• Exploration & Production mil. € 3,819 3,846<br />

• Natural Gas Trading mil. € 6,972 7,509<br />

Profit from operating companies (EBIT) mil. € 2,334 2,289<br />

• Exploration & Production mil. € 1,918 1,781<br />

• Natural Gas Trading mil. € 416 508<br />

occupAtionAl sAFety unit <strong>2010</strong> 2009<br />

Number of employees*<br />

Own employees<br />

2,164 2,077<br />

• Fatalities (FAT) 0 0<br />

• Incident with > 1 day lost time (LTI)<br />

• Lost time incident frequency rate<br />

0 3<br />

per one million man hours (LTIF)<br />

Contractors<br />

0 0.65<br />

• Fatalities (FAT) 3 0<br />

• Incident with > 1 day lost time (LTI)<br />

• Lost time incident frequency rate<br />

6 8<br />

per one million man hours (LTIF) 1.01 1.68<br />

LTIF total (own employees and contractors) 0.67 1.17<br />

occupAtionAl heAlth unit <strong>2010</strong> 2009<br />

Occupational disease own employees 0 0<br />

First aiders Wintershall/WINGAS 557 -<br />

Occupational medical check ups 501 -<br />

environment<br />

Energy consumption (total)<br />

unit <strong>2010</strong> 2009<br />

(general and production process) mil. MWh 5,238 5,933<br />

• General MWh 977,742 140,929<br />

• Production process<br />

Greenhouse gas emissions<br />

mil. MWh 4,260 5,792<br />

• CO<br />

²<br />

mil. t 1.37 1.67<br />

• CH4 t 3,318 5,940<br />

Emissions of inorganic substances<br />

Emissions trading<br />

t 2,965 4,586<br />

• Received emission allowances<br />

• Emissions from facilities regulated<br />

EUA/a 744,624 730,385<br />

under emissions trading scheme t 447,628 493,546<br />

Waste disposal t 61,268 185,095<br />

Water turnover (incl. production water) mil. m3 9.5 9.8<br />

*Excluding temporary employees; part-time employees pro rata.


CONTACT PERSONS.<br />

KASSEL HEAD OFFICE<br />

Contact: +49 561 301-1757<br />

hse@wintershall.com<br />

Guido Schnieders<br />

Corporate <strong>HSE</strong> Manager<br />

jörn Kahle<br />

<strong>HSE</strong> Expert<br />

Klaus jantos<br />

Environmental Expert<br />

Georgina Wien<br />

<strong>HSE</strong> Manager WINGAS<br />

Malalay Osmani<br />

<strong>HSE</strong> Expert<br />

Lars Winkels<br />

<strong>HSE</strong> Manager<br />

GERMANY (WIDE)<br />

Dr. Michael Bätcher<br />

<strong>HSE</strong> Manager<br />

NETHERLANDS (WINz)<br />

Onno Spinder<br />

<strong>HSE</strong> & Permitting Manager<br />

ARGENTINA (WIAR)<br />

Andres Wertheimer<br />

Human Resources & Administration Manager<br />

RUSSIA (WIRF)<br />

Nikolay Popov<br />

<strong>HSE</strong> Manager<br />

NORWAY (WINO)<br />

janne Lea<br />

<strong>HSE</strong>q Manager<br />

qATAR (WIqA)<br />

Axel Barenschee<br />

<strong>HSE</strong> Manager<br />

Responsible for the content<br />

Wintershall Holding GmbH<br />

Friedrich-Ebert-Straße 160<br />

34119 Kassel, Germany<br />

Tel.: +49 561 301-0<br />

Fax: +49 561 301-1702<br />

Concept, Design<br />

and Typesetting<br />

Damm & Bierbaum GmbH, Frankfurt am Main<br />

Lithography<br />

ORT, Frankfurt am Main<br />

CONTACT pERSONS

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