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CAPABILITIES STATEMENT

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CAPABILITIES STATEMENT

WE: DELIVER

LIST OF CONTENTS

1 AXESS IN BRIEF / OUR STORY 4

2 ADVISORY SERVICES 6

3 INTEGRITY MANAGEMENT AND INSPECTION SERVICES 8

3.1 Risk Based Inspection (RBI) program pressurized systems 8-10

3.2 Maintenance Management 10

3.3 Structural Integrity 11

3.4 Lifting and Drilling Gear Inspections 12-16

3.5 DROPS Integrity Management 18-21

3.6 Quality Assurance and Vendor surveillance 22

3.7 PRV & PSV Inspections 22

3.8 Advanced and Conventional Inspection Methods 23

3.9 Ex and Thermographic inspections 23

4 TOTAL RIG INTEGRITY MANAGEMENT (TRIM) 24

4.1 Philosophy 24

4.2 Benefits 25-27

5 ENGINEERING SOLUTIONS 28

5.1 Solutions 28

5.2 Installation and Removal 29-30

5.3 Dropped object protection systems 30

5.4 Cranes and Material Handling Solutions 31-33

5.5 Electro Services 33

6 BRAZILIAN COMPLIANCE 34

6.1 Local Regulatory Requirements 34

6.2 Main Advantages 35

7 INSPECTION SOFTWARE 36

6.1 Bridge 36

6.2 Modules 37-38

6.3 Projects 41

8 HSEQ 42

8.1 HSE/QA system 42

8.2 Our Values 43

Copyright © Axess GroupThis document is submitted in confidence and contains proprietary information which shall not be reproduced or transferred to others for the purpose of manufacture, tender or any other intentions without written permission of Axess Group

AXESS IN BRIEF / OUR STORY

WE: DELIVERIntegrity ManagementWe deliver Integrity strategies, Risk Based inspection programs and Maintenance Management to all topside systems. We can also perform evaluation of maintenance strategies based on the design, usage and operational environment. When strategies are implemented we perform the annual inspections evaluate the results and help our clients to implement the necessary improvements.

Engineering SolutionsCranes and lifting equipment has been part of Axess’ services from the establishment of the company. We are one of Norway’s largest and most skilled companies related to cranes and lifting technology. Our engineering environment designs, produces, maintains and modifies all kinds of material handling equip

ment, from small winches to high-capacity cranes.Installation and removal: We deliver cost effective turnkey deliveries of the most advanced and complicated lifting operations. We plan for how to achieve a safe lifting operation on onshore and offshore energy plants. Axess performs necessary analysis and verifications to control the risk of any operation we are involved in.

People and OfficesAxess currently employs 350 people. Our revenue in 2014 was approx. 100 Million USD. We have local offices in, Singapore, Rio de Janeiro, Orkanger, Bergen, Trondheim, Goeje, Cape Town, Ghana, Houston, Aberdeen, and St. John’s in Canada

The journey from our startup in Norway in 1998 to the company we are today has been an adventure. We have grown from being two passionate entrepreneurs, to an international player with highly competent coworkers, pushing in the same direction to secure reliable, productive and safe installations for our customers – all over the world.

Our mission statement is to help our client to reach their goal of maximum productive uptime and zero harm. We cre-ate long term partnerships with our customers and treat their goals as our own.

Accra

Cape Town

Busan

Perth

Aberdeen

Ciudad del CarmenMumbai

Oslo

LuandaStavanger

Dubai

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5CAPABILITIES STATEMENT

2 ADVISORY SERVICES

Service Portfolio

In today’s fast-paced, volatile and unpredictable business environment, with increased scrutiny from all kinds of stakeholders, proper decision-making is more critical than ever. Building on a strong foundation of hands-on technical skills and understanding of factors such as cost, schedule and quality, Axess help ensure that any decisions making basis is best in class. Our clients’ motivation for using independent expert consultants is to complement their own in-house expertise with independent external expertise. This way an informed and improved understanding of the risks and risk mitigations measures will help provide an excellent foundation upon which to conclude the proper path forward.

Axess’ focus is to help maximize potential upside and minimize potential downside whether this is a business transaction or any type of change process. Risk relates to the likelihood of loss or gains, for example in financial terms, but it is clear that risk is not just a bad thing. In fact, risk can hold tremendous opportunities and value - for those who know how to manage it properly.

Axess is assisting its clients operate safer and more efficient through provision of a range of advisory services along the entire project value chain from assessment all the way through abandonment;

Condition Assessment

Accident Investigation

Modern Asset Management

Maintenance Management

Supplier Evaluation

Marine Warranty

Brazilian Compliance

Norsok Compliance

Yard Assessment

Project Risk Management

Project Due Diligence

Concept Selection

Decision Support

Expansion Risk Management

Assess Select Develop Execute Operate Abandon

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7CAPABILITIES STATEMENT

3 INTEGRITY MANAGEMENT AND INSPECTION SERVICES Axess delivers several inspection and integrity management services for piping systems, manifolds, pressurized vessels, Lifting equipment, Drilling equipment, Lifesaving appliances, PSV & PRV valves, Electro Ex. equipment, DROPS, Hull and Structures. Axess has extensive experience within integrity management; we perform annualinspections on more than 150 different units worldwide and has since 2000 provided inspection and integrity management services for more than 300 different installations.

3.1 Risk Based Inspection (RBI) program pressurized systems

Axess RBI program for pressurized systems is a risk based long term integrity management program, where the objective is to ensure the technical integrity of the piping systems, manifolds and pressurized vessels.

As opposed to the traditional periodic thickness measurement strategy, the risk based inspection strategy is an approach where the identified risk level governs the inspection strategy.

By using the RBI approach and Axess NDT methods, the work scope can be significantly reduced. Although no systems are entirely excluded, the systems with highest identified risk associated with the loss of containment will be subject to a higher level of in-spection focus. This RBI approach ensures a correct focus for the utilization of resources on systems where the greatest safety and maintenance benefits can be achieved.

The RBI program ensures:• A complete integrity management system for high pressure and low pressure piping systems, manifolds and pressure vessels• Risk based strategy according to acknowledged methodologies (API 580, DNV RP-G101)• Full compliance with authority regulations -Statutory (BSEE, OSHA etc.) -Class (ABS, DNV GL etc.) -Company internal guidelines -Operator requirements • Predictable costs and an optimized replacement strategy• Safe and cost effective long-term inspection program• Risk reduction, predictability and control of degradations• High quality program, which combines the principles of risk with extensive experience and expertise• Systematic evaluation of inspection results and condition assessments• Proposals for improvements and actions

The RBI program includes: • Inspection strategy• RBI analysis and calculations• Long term inspection program • Inspection and technical condition reports• Daily reports

Figure 1: To implement and conduct a RBI program is a continuous process. Results and information from inspection and evaluation are basis for updated detailed RBI and inspection plan to ensure continues improvement.

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3 INTEGRITY MANAGEMENT AND INSPECTION SERVICES

3.1.1 Consulting Services

Axess has personnel with competence in electrochemistry, material science, and corrosion processes combined with experience from inspection. Axess accumulated experience is suitable for various corrosion, materials and coating related issues.

We perform consultancy services within:• Corrosion, materials and coating consulting services• Review of corrosion monitoring applications and corrosion mitigation solutions• Corrosion management strategies on existing plants and new builds• Corrosion assessments/studies• Root cause analysis• Materials identification

3.1.2 RBI Analysis

• Advisory service and evaluation of existing RBI program• Establishment of long term inspection programs with RBI method

3.1.3 Scope of Replacement Inspections

Prior to a planned maintenance, yard stays and SPS renewal surveys extended inspections are carried out to prepare scope for mod-ifications and replacements. The replacement scope is prepared in close collaboration with our clients to ensure the scope`s adjusted to remaining lifetime of the unit and budgets.

The scope of replacement survey includes:• Extended inspections to assess technical condition of each system• Technical condition report of all systems• Preparation of scope of replacements: Which systems need maintenance/upgrades/replacements, detailed overview of pipe specifications and what and how much to maintain/upgrade/ replace• Consultancy through replacement process

3.1.4 Piping Inspection

Axess can perform inspection of piping systems according to client provided scope of work and class requirements.

The piping inspection surveys include: • List of inspection results• Technical condition report of all systems• Findings log• Daily reports

9CAPABILITIES STATEMENT

3.1.5 Corrosion• Corrosion diagnosis, corrosion analysis and corrosion prevention• Third party independent corrosion studies• Literature search and supply on corrosion issues• Review of design and specifications on materials, processes, cathodic protection and coatings to identify potential corrosion risk/ failures, the compatibility of materials, the forms of corrosion and their mitigation• Design review and development of a corrosion monitoring plan and philosophy for process related equipment• Corrosion inspection and metallurgical analysis• Corrosion analysis and life prediction

3.1.6 Materials• Materials, components, structures and coatings selection, inspection, performance evaluation, and assessment of remaining life• Failure analysis of materials • Materials identification• Corrosion diagnosis and trouble-shooting of process-related corrosion issues

3.1.7 Coating• Quality assessment of coatings• Failure analysis of coatings

3.2 Maintenance Management

Modern maintenance management is not to repair broken equipment rapidly. Modern maintenance management is to keep the equipment running at high capacity and operate at lowest cost possible.

Axess MM teams consists of certified European maintenance experts and engineers within: electro, automation, hydraulic and mechanical. Axess has developed and established systematic actions for our customers to achieve and maintain a maintenance standard in accordance with the company objectives and safety requirements.

Maintenance management is a combination of all administrative and organizational activities related to determine the maintenance objectives, strategies and responsibilities. Then implement them through actions such as maintenance planning, maintenance control and supervision, and improvement of the methods of the organization including financial aspects.

Axess is a team player in maintenance management and support our customers to close the maintenance management loop:

Maintenance management must be based on a model as shown. This is an overview of how the maintenance organization should work. We handle the following computerized maintenance management systems such as: IFS, SAP, STAR, Onix, Workmate, Maximo, Infor Eam, AMOS, RMS.

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3.3 Structural Integrity

Axess deliver structural integrity management using Axess AIMS system.

Axess’ AIMS system can be applied to:• Mobile Offshore Units• Semi-subs• Jack-ups• Fixed installations

Project and site management• Renewal surveys• Intermediate surveys• Annual surveys• Inspection campaigns

Engineer and Constructions• Engineering – design of modifications• Procurement – Secure prefabrication and• deliveries• Construction and Installation – site• management , inspection and quality• assurance

Integrity engineering services• Repair and modification recommendation• and follow-up• Fitness for service (FFS) analysis• Reliability analysis – RBI• Stress measurements on structures,• pressurized and rotating equipment• Vibration Analysis (Operational Modal• Analysis, fatigue life)

AIMS

CONDITION

ANALYSISINSPECTION

REPAIR & MODIFICATION

The AIMS model

Figure 2: Aims

11CAPABILITIES STATEMENT

3.4 Lifting and Drilling Gear Inspections

3.4.1 GENERAL DESCRIPTION

Inspection and certification of lifting equipment and lifting devices are subject to the local regulations within the nations where inspection are performed. Axess’ main goal is to propose inspection management and services that add value to the client’s organ-ization by taking responsibility for the planning, performance and evaluation of the inspections. We assist our clients in closing of findings in a proactive way.

Before mobilizing, we plan the jobs to ensure a cost-effective execution, and to avoid stand-by or waiting time.Inspections are performed in accordance with internal company rules, governing rules and regulations for cranes, lifting equipment, lifting appliances for lifesaving equipment, and lifting appliances according to specified regulations.

3.4.2 Baseline Survey of lifting and drilling equipment

During the first year, a crane and lifting gear baseline survey with the establishment of a lifting register, check of certificates and review of documentation is performed to assure that the installation is in compliance with the applicable rules and regulations. All certificates gets stored electronically in Axess web based portal Equip.

All visual inspection and functional testing is performed in accordance with:• Companies procedures.• Relevant standards• Axess procedures and checklists.

Furthermore, an audit of related documentation, certificates, record of performed maintenance and inspection is performed in order to verify compliance.

3.4.3 Annual Survey of lifting and drilling equipment

Annual inspection of deck cranes, fixed drilling equipment, and fixed and loose lifting equipment are done according to applicable rules and regulations. The jobs are performed in close cooperation with the crew on board.

The annual surveys are performed with experience from the baseline survey and from previous annual surveys on each rig/installation. This provides a fluent work-flow and experience transfer of history and status for each lifting device on board.

The following is performed for the equipment according to recognized standards, Axess procedures and client requirements.• Dimensional, visual and NDT inspection• Function test of equipment.• Review of related documentation.• Evaluation of maintenance• Registration of equipment and belonging certificates electronically in EQUIPTM.• Maintaining the folder system for hard copy certificates

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Periodic Inspection programs are performed for all customers according to Axess’ procedures and follows strict guidelines with respect to applicable rules and regulations. This program includes all equipment on board for visual inspections, NDT inspection and continuous evaluation of maintenance systems for tagged equipment (i.e. checking all corrective and preventive maintenance actions performed over the period). The work is performed according to flowchart in figure 2.

Figure 3

13CAPABILITIES STATEMENT

3.4.4 Equipment Overview

Lifting equipment:• Deck cranes• Loose lifting equipment• Winches• Lifesaving appliances• Man riding and other personnel transport equipment.• Pipe handling equipment

Fixed drilling equipment: • Draw works• Crown block, traveling block• Deadline anchor• DDM w/dolly• Ram rig• Racking crane/machine• Drill floor manipulator arm• Mouse hole• Catwalk machine/Pipe shoot• HTV arm (eagle)• BOP/X-mas tree carrier• Tong lift

Loose drilling equipment• Lifting subs• Lifting nipples and caps• Rotary connections • Fishing equipment• Elevators • Elevator links / bails• Slips• Subsea equipment (Handling tools, riser spider, BOP equip ment if required)• Rig tongs• Master bushing including bowls• Safety clamps / dog collar• Misc.

3.4.5 Reporting

Main Report• Contains a summary of SOW, findings and results. • Contains a general statement on the condition of the rig • Contains rig specific advices

Findingslist• Contains a summary of all findings including a log of findings closed and when closed.

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15CAPABILITIES STATEMENT

Inspection report for each item

• For each item a separate report is made describing: -Description -ID number -Certificate status (if applicable) -SWL (if applicable) -Status of item (OK, NC, RC, MO or C)• If finding: Required action and recommendation for work shop

Colour code

Lifting related drilling equipment:• Lifting related drilling equipment is marked/color coded as other lifting appliances in agreement with client For subs, nipples and rotary connections: • Each item is colour coded in accordance with relevant standards (DS-1 or NS-2)

Colour Code Classification Remarks White Acceptable Complies with standard Green Inspection repairable Repairs are required that may be conducted by the Inspection Company. Once repaired, the green band shall be replaced with a white band.

Yellow Limited Service, Questionable Imperfections exist that exceed recommendations. The customer or his reperesentative shall be informed and if not acceptable for service, the yellow bans shall be replaced with a red band Red Reject Does not comply with standard

Equipment with missing ID:Equipment with missing ID and no tracebility is recommended to discard.

Day reportsDuring work execution Axess DREQ team will make daily reports where work progress, HSE issues, time consumption, the plan for next day, special challenges and other relevant information is listed. This report will be distributed to relevant persons in The Client site management and onshore management.

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17CAPABILITIES STATEMENT

3.5 DROPS Integrity Management

Dropped objects is an industry concern, Axess DROPS management system and inspection program is a systematic approach to prevent dropped objects and enables the company to document and demonstrate control of the work that is being done to stop dropped objects on their rigs.

To increasing extent operators demands the implementation of a management system that ensures the reduction of incidents involving falling objects as well as prevention of future incidents. The Axess system shall ensure compliance with company’s own procedures, routines for dropped object follow-up and means of measuring performance. The system shall be part of the company’s governing documentation for preventive HSE and reflect the company’s overall objectives with respect to injuries and accidents.

3.5.1 Axess DROPS Management system

Axess will compile the DROPS management system and inspection program. The system will cover the following areas on the rig; derrick, drilling equipment, moonpool and cranes. Other areas can also be specified by client. The inspection programs will comply with the “Best practice for dropped object management”, and the governing rules and regulations and recommendations given by DROPS workgroup. Deliveries will always be custom made for our clients.

A typical delivery would be:

MANAGING DOCUMENT• Summarizing the inspection program• Describes all routines, actions, references etc. regarding DROPS• Contains an overview of the inspection zones

DROPS FIELD MANUALS• Covers the object types the surveyor should inspect in the given areas.• All areas and equipment included will be defined together with the client.• Used by rig personnel during inspections• Easy to use and easy to understand thanks to specific written directions, pictures and illustrations for each item to be inspected• The manuals are printed on waterproof paper in pocket size. Handy to bring during inspection.

Figure 4: Example - Field manual

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CHECKLISTS• Are filled in during inspection and archived• Directly linked to the manuals• The manuals are printed on waterproof paper in pocket size. Handy to bring during inspection.

ADVANTAGES OF THE DROPS MANAGEMENT SYSTEM• Reduced risk of dropped objects• Coordinate all the efforts made to prevent dropped objects by the rig crew and Axess DROPS inspections.• Document the efforts made to prevent dropped objects.• Demonstrate control of the situation for the operator and authorities.

Deliverables• DROPS baseline report• DROPS inspection system including electronic files and paper hardcopies.• Closing of DROPS findings according to agreement with client.

3.5.2 DROPS

3.5.3 DROPS Inspections

Falling objects has the potential to cause severe injuries to personnel and damage to assets. Incidents due to falling objects, is one of the leading causes for injuries to personnel on board offshore installations.

Execution of DROPS InspectionsWhen all necessary pre job planning is done, and all required documents are signed and approved the job execution can commence. To ensure the best possible job execution Axess DROPS team maintain very close communication with the area responsible persons where the DROPS inspection is about to start. This communication is of great importance for avoiding conflicting operations in the area, avoiding moving equipment, establishment of barriers and generally ensures the safety of all personnel.

Axess DROPS team aims to be flexible and adapt to the operational conditions on the site. If one area is busy, the team can rapidly move to another area to ensure work progress and a high safety level. Agreement with the the Client is required.

The DROPS inspection will be executed in the areas specified in the scope of work. Typically the areas are; derrick, drilling equip-ment, moonpool area, deck cranes, traverse cranes, deck areas, exposed internal areas and antennas/ masts.

Axess executes the DROPS inspections with Best Practice Dropped Object Prevention as a guideline and reference for the inspec-tions. All technicians undergo DROPS training in accordance to Axess DROPS training program, with interactive courses, seminars and receive updates on safety alerts and development in the DROPS area.

19CAPABILITIES STATEMENT

3.5.3.1Reporting

Main Report

The main report is the document summarizing al the trends and general findings from the inspection along with relevant work descriptions, personnel involved and document history.

Included in report:• Contains a summary of SOW, findings and results. • Contains a general statement on the condition of the rig with regards to DROPS• Contains rig specific advices regarding prevention of dropped objects

Figure 5: Main report

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Picture log

The picturelog is the document where all findings are described into detail.

• The findings are three dimensionally mapped on a drawing of the rig/derrick (see example)

• For each finding the following are stated: -Description -Location -Required action -Class of finding -Access required

Pictures: Example of DROPS repair kit and height secured tools used by AxessAll repairs will be informed to site management and described in the report to ensure good information flow and continuity in the repair work. Axess aims to assist the client in eliminating as many of the DROPS findings as possible, during the time of work execution. Closing of findings will be done in close cooperation with the Client.

Figure 6: Picture log

21CAPABILITIES STATEMENT

3.6 Quality Assurance and Vendor surveillance

Axess contributes as an extension of clients QC department. We typically assist our clients with:

External fabrication and testing• Participation in kick-off and pre-fabrication meetings.• Evaluation of ITP.• In-house NDT level 3 services.• Review of procedures and certificates with respect to production standards and specifications.• Client representation and inspections on site.• Supervision of welding and NDE-activities.• FAT witnessing and follow-up.

Vessel mobilization• Sea fastening – procedures and welding.• Equipment tally.• Client representation on pipelay- and construction vessels.• Material handling and shipping• Verify that correct amount of e.g. pipes are received or shipped.• Verify correct handling of material.• Document damages and discrepancies to material on receipt.

Coating inspection• Participation in kick-off and pre-production meetings.• Evaluation and revision of ITPs for PQT and production.• Review of procedures and certificates with respect to production standards and specifications.• Client representation and inspections on site.• Experienced in-house NACE and Frosio level 3 personnel to advise company on challenges and advantages of different pipeline coatings.

3.7 PRV & PSV InspectionsAxess performs cost effective solutions for testing, calibration and repair of pressure safety and relief valves. We provide a full range of services to meet the specific needs and national board requirements for the offshore oil and gas business. Our valve experts will focus on getting your valves tested, repaired and quickly set to the exact specifications. We evaluate the condition of every valve and will recommend the right solution to manage your maintenance program.

We Peform:• Baseline inspections to set inspection criteria’s• Pressure relief valve field inspection and testing• Perform valve testing and service on all brands

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3.8 Advanced and Conventional Inspection Methods

Axess holds DNV and ABS approval to perform Axess holds competence within all the most common advanced and conventional non-destructive testing methods. We perform NDT inspections onshore and offshore.

Conventional NDT methods• VT - Visual Inspection• MT - Magnetic Particle Testing • PT - Penetrant Testing • RT- Radiographic Testing • UT - Ultrasonic Testing • ET - Eddy Current Testing

Advanced NDT methods• Automated Ultrasonic Testing (AUT)• Phased Array Ultrasonic Testing (PAUT)• Time of Flight Diffraction (ToFD)• Computed and Digital Radiography (CR/DR)• Flat panels (DDR)• SafeRad Isotope System

Coating Inspection methods• Full NACE and FROSIO Offshore and Marine Inspection• Holiday Testing• DFT Testing, Ferrous and non Ferrous• Conductivity Testing• Atmospheric Conditions• Surface Cleanliness and Profile

Other methods• HT – Hardness Testing• PMI – Positive Material Identification (XRF & OES)• Video inspection System• Helicopter GVI Inspections• Thermography

3.9 Ex and Thermographic inspections

Axess performs integrity inspections and have multi skilled personnel with electro and Ex competence combined with rope access. This gives us the opportunity to provide cost efficient solutions to our clients.

Remedial and installation work• Ex maintenance• Installation work(Experience with most systems)• Slip ring maintenance

Integrity & Inspection• Thermography surveys of switch boards and exhaust manifolds• Ex inspections. Visual, Close and Detailed(IEC and Compex trained personnel)• Risk based Ex Integrity Management(no fixed annual scope)• HV testing and analyzes og windings and cables(Ductor testing, Polarization Index test, Partial Discharge, Tan Delta testing)• QC follow up of inspection and test plan(ITP) and FAT • Verification of installations• GAP Analyses between regulations and actual status of the installation.• Cable transit surveys

23CAPABILITIES STATEMENT

4 TOTAL RIG INTEGRITY MANAGEMENT (TRIM)4.1 Philosophy

TRIM is a total integrity management service tailored for the rig market where the paramount objectives are to:

• Minimize risk levels and safeguard against asset failures • Ensure the safeguarding of HSE aspects affiliated with potential failures• Optimize production regularity• Maintain safety barrier functions (organizational, technical and operational elements)• Cost optimizing the integrity management process by taking advantage of product synergy effects• At all times, ensure compliance with current statutory and company requirements

A requirement for ensuring that barrier functions are maintained and that the risk levels for accident incidents are minimized is to ensure that all elements in the integrity management improvement loop are interconnected (ref, figure below). This is achieved by permitting contractor ownership of the total integrity management processes in close collaboration with the Drilling Contractor. The general observation is that the elements in the maintenance improvement loop are disconnected. A consequence of this is a loss of continuity in the integrity management process, thus causing a degradation of the barrier functions and the ability to maintain low risk levels. There are several contributing factors resulting in the aforementioned “disconnects”. Some factors are:

• Lack of understanding of the intentions of the improvement loop• Use of multiple sub-contractors responsible for individual elements in the improvement loop• Absence or lack of communication between sub-contractors• Indistinct definitions of ownership roles and responsibilities• Sub-contractor lacks the required competence and knowledge of the various elements in the improvement loop• Artificially high focus on inspection activities/data collection (operative)• Insufficient focus on analysis and evaluation (engineering)

A key element of TRIM is the ability to close the gaps in the improvement loop and to ensure a functioning continuous improvement process. This is achieved by means of organizing project teams comprised of engineering and operational (inspection) multidisciplinary competence. Each project team is assigned a competent graduate engineer that is involved in all steps of the process (e.g. RBI analysis, planning and execution of SoW, reporting, analysis/evaluation, and suggesting improvement actions). The engineer is trained and familiar with all elements of the improvement loop, and he has thorough understanding of how all of the elements of the loop are interrelated.

Furthermore, the ability to analyze, evaluate, improve, and change the scope on-site during the offshore campaign is emphasized. The ability to make “real-time” on-site decisions is of high value as the condition assessment performed during field work may result in immediate actions.

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4.2 Benefits

The benefits of implementing TRIM can be divided in two main categories:

1. Asset integrity benefits2. Cost benefits

The benefits related to asset integrity and the management processes are discussed in the TRIM philosophy. Briefly summarized key benefits are:

• Minimized risk levels and improved safeguarding against asset failures• Improved HSE• Optimized production regularity• Predictability• Maintained barrier safety functions• Compliance with applicable statutory and company requirements

A major cost-driver for the oil and gas industry is the effectiveness of partnering with a supplier. Experience demonstrates that scheduled activities related to inspection and integrity management in the client’s maintenance system can be optimized by reduc-ing the number of mobilizations, whilst increasing the quality of the performed work. This is a vital part of TRIM.

Axess’ experience is that the industry does not necessarily perceive the scopes described in this document as interconnected scopes where synergies can be obtained. For a well streamlined conventional set-up, one can expect 9 to11 mobilizations per year (ref. Figure 9). In reality, experience has shown that a maintenance system that is not streamlined often results in an even higher number of mobilizations.

MOB #1 Piping & pressure vessels

MOB #2 Surface Maintenance Management

MOB #3 Structural NDT

MOB #4 Annual Survey of Lifting Appliances, Lifting Gear

MOB #5 Anual Survey of Lifitng Appliances, Lifting Gear requiring Rope Access Technique (RAT)

MOB #6 Annual Survey of Fixed Drilling Equipment

MOB #7 Annual Survey of Loose Drilling Equipment

MOB #8 6 monthly Controll of cat. llll Drilling Equipment

MOB #8 DROPS

Figure 7: Conventional streamlined setup25CAPABILITIES STATEMENT

The TRIM concept replaces the conventional approach with an adaptable approach that identifies synergies in scopes, competence requirements, access to equipment/assets, and annual schedules. When synergies are identified, tailored multidisciplinary work packages and offshore teams are assembled for each drilling facility. This adaptable approach enables a potential reduction in the total number of yearly mobilizations from 9 to 4 (ref. Figure 7) when comparing a conventional streamlined setup to a TRIM setup. The 4 interconnected scopes where synergies are achieved are visualized as overlaps in Figure 8.

The implementation of the TRIM system can potentially reduce the annual costs related to mobilizations up to 40-50%. The cost reductions related to offshore man hours for a well developed TRIM setup may be in the range of 15 to 30% annually. Likewise, an annual reduction in equipment cost of 15-30% is attainable.

It is important to emphasize that cost reductions due to reductions of unplanned and planned downtime are not considered in this chapter. It is, however, an important part of the TRIM package. The latter has the potential to be the most significant cost reduction factor for the client.

MOB #1

MOB #2

MOB #3

MOB #4

• Pipe & Pressurized Systems• All NDT needing UT*

• Annual Survey Fixed Drilling Equipment• Annual Survey of Lifting Appliances, Lifting Gear• 6 Monthly controll of cat. lll Drilling Equipment

• DROPS & Derrick control• Remaining lifting gear from Mob #2 requiring RAT• Derrick structure integrity inspection (Including bolt check / API RP 4G)• Available for MISC RAT Work*

• Annual Survey of Loose Drilling Equipment

Figure 8: TRIM set up

Figure 9: Synergy effects

Drops

Piping/RBI

Structures Loose DrillingNDTRAT

Fixed Drilling

Cranes andLifting

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Figure 10: Continuous improvement

Premisesand criteria

InspectionStrategy

Conditionreport, KPI´s

Inspection andmodification

Evaluate andupEvaluate date

Improvementsand new

technology

Reporting

Budget

Annual Plan

27CAPABILITIES STATEMENT

5 ENGINEERING SOLUTIONSWe deliver cost effective solutions developed according to governing rules and standards, facilitates the best HSE and meet the client requirements in all phases from design, fabrication, installation and operation.

5.1 Solutions

Our portfolio comprises the following services, delivered at any installation on any location:

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5.2 Installation and Removal

Axess Safe Lifting delivers planning and execution of lifting operations. We are specialized in performing risk assessments, planning and execution of lifting operations performed with temporary lifting appliances. These projects are often executed at locations on the installation with challenging access.

Lifting operations offshore is governed by regulations and recognized standards, our knowledge to these combined knowledge to best practice ensures that we deliver the result our clients rely on.

When we approach material handling projects we send our experienced engineers offshore to collect necessary information. This is followed by detailed design and planning of necessary materials. The chosen method is converted into a step by step lifting plan describing in detail how the object shall be lifted in a way that is:

• Safe• Efficient• In compliance with requirements in relevant standards and equipment user manuals

The lifting plan documents that the lifting operation is feasible in a safe way and in compliance with equipment user manuals and governing standards. The lifting plan gives the premises for achieving a safe lifting operation, but the goal of zero harm is reached by the executing personnel. Axess therefor pays the greatest attention in involving the lifting supervisor and riggers in the planning phase in addition to mobilizing the method engineers for the offshore execution of the lifting operation.

We ensure the highest quality in our delivery through our department employees which are experienced engineers within the fields of:

• Practical rigging• Planning of lifting operations• Structural calculations and 3D modeling• Competence within the field of crane and lifting

29CAPABILITIES STATEMENT

5.2.1 Typical deliveries

• Drilling equipment replacement: RAM rig equipment i.e. RAM cylinders, yoke and sheaves Conventional drilling equipment i.e. crown block, pipe handling cranes, DSC cylinders, sheaves and derrick structure.

• Flare tip replacement: Replacement of flare tips and piping. Use of mobile crane, winch and custom made lifting devices or helicopter.

• Crane replacement: Lifting of cranes with lifting vessel, offshore crane, mobile crane or by old crane and skidding beams.

• Swivel replacements: Replacement of swivels while in operation. Axess provides Engineering, lifting and rigging.

• Thrusters: Replacement of thrusters and thruster motors. Use of lifting vessels and divers, tailor made lifting equipment and skidding systems.

• Jacket reinforcements: Reinforcement to structures too extend lifetime.

• Heavy items in confined spaces: Lifting and skidding of i.e. motors and transformers in columns.

• Lifting with lifting vessels: Lifting of derrick or modules with lifting barge. Axess do all coordination with lifting vessel company.

• Small rigging operations less than 2 T: Rigging in mud pump rooms, columns etc.

• Rigging with challenging access: Use of rope Access technique in towers, columns and splash zone

5.3 Dropped object protection systems

Sometimes lifting operations have to be executed in areas where the consequence of a dropped object is unacceptable. In such situations we work according to guidelines for critical lifting operations, and dropped object protection structures may be utilized as consequence-reducing measures. Based on comprehensive risk assessment and design according to the strictest standards, we can provide solutions that makes the lifting operation safe.

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5.4 Cranes and Material Handling Solutions

Axess is focusing on material handling solutions based on our personnel´s passion for finding safe and efficient solutions. Our client needs is to obtain solutions for safe operation, every day. The Axess team point up simplicity as our main goal for every product. We are constantly challenging ourselves in how to obtain the best and safest functionality, with minimum complexity to the final product. Our experience gives us deep insight in drilling operations, and we focus on every part of material handling from shore to rotary.

Axess can deliver all range of services within material handling from new builds of advanced lifting appliances to modifications, service, load testing and repair. We have carried out many upgrades of existing lifting appliances to permit operational capabilities outside the original specification. Some examples would be improved load chart, extended lifting radius and installation of new safety related control systems.

Axess holds competence to undertake service assignments for all kind of cranes, winches, baskets, elevators, trucks etc.

PRODUCTS SERVICES

OFFSHORE CRANES

PIPE HANDLING

BOP HANDLING

X-MAS TREE HANDLING

SKIDDING AND MODULE

HANDLING SYSTEMS

WINCH SYSTEMS

CUSTOM SOLUTIONS

PROJECT MANAGEMENT

MATERIAL HANDLING ANDFEASIBILITY STUDIES

ANALYSIS

SERVICE AND MAINTENANCE

CLASS RELATED MAINTENANCE

MODIFICATIONS

LOAD TESTING

31CAPABILITIES STATEMENT

5.4.1 HS Marine cranes

Axess deliver HS Marine cranes. HS Marine is a leading manufacturer of ship and offshore cranes with the world`s widest range of models ranging from 5 to 1000 tm capacity. All crane models are specially designed, masterly built and assembled to give customers top quality. The crane executions and quality details offers many years of safe and reliable operation at a low cost of maintenance.

Axess can provide all service, repair and spare parts with 24/7 on and offshore service.

HS MARINE CRANES

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5.4.2 Axess Load Recorder

Axess Load Recorder is specially developed for cranes and lifting appliances.

- What is really the total load on the lifting appliance during time?- What overloads have occurred to the crane? - How to replay an incident?

Axess Advanced Load Recorder can give you the answers to these questions at all times. It gives you an online service view with complete overview with respect to lifetime analysis for the structure and machinery of the lifting appliance. Key parameters like number of stress cycles, running hours, S.W.P. calculations, spectrum factors, overload history log, load distri-bution, various counters etc. are available directly on the display.

Main functions- Life time analysis for structure and machinery, with online reports. No downloading of data necessary for reporting- Lift- and overload tables available on screen (last 100). All lifts and overloads performed by appliance stored on file- Activity (“black box”) recorder for reconstruction of crane operation for the last 24 hours, for instance if an overload situation occurs

Specifications- Load distribution tables for structure and machinery components- Online graphic functionality for rapid operation replay- File easily accessible in readable format, e.g. Excel- Large capacity for uninterruptible operation, no data downloading necessary- Backward life time offline calculation based on last year use possible- Enhanced lift data recording for fatigue calculations of critical components available on file- Remote downloading for advanced data calculations / investigations possible. Fixed schedule reporting agreement can be offered- Maintenance calendar function for easy scheduling of important maintenance activities- Included in Axess Crane Control System or integration with existing control system. Prepared for various types of lifting appliances- Compliance with EN13852-1

5.5 Electro Services

Axess holds a high competent electro department and hold competence to low and high voltage systems together with knowledge to ex systems. Axess electro department typically assists clients with:

Remedial and installation work• Ex maintenance• Installation work(Experience with most systems)• Slip ring maintenance

Engineering• Short circuit calculation of cables and circuit breakers. Dimensioning etc.• AUTOCAD single line drawings.• Light calculation of escape routes, general areas and landing areas.• Design of AVR systems for generator systems• Design of control systems- Activity (“black box”) recorder for reconstruction of crane operation for the last 24 hours, for instance if an overload situation occurs

33CAPABILITIES STATEMENT

6 BRAZILIAN COMPLIANCE

With over 70 offshore vessels in our reference list globally, including drilling rigs, Floating Production Storage and Offloading (FPSO) and support vessels, Axess Group ensures that your equipment is in full compliance with the major Brazilian regulatory standards when operating in Brazilian waters.

6.1 Local Regulatory Requirements

We specialize in providing full support to the most relevant regulations applicable to offshore vessels:

Normas Regulamentadoras:

Full support on adequacy, consultancy and site inspections for all the applicable NRs, with focus on the most labour intensive scopes:

• Electrical (NR10)• Equipment and Machines (NR12)• Boilers, Pressure Vessels and Piping (NR13)• Safety Signalling (NR26/30)• Offshore Requirements (NR30 Appendix II)

NORMAM:

Support and consultancy with the main applicable requirements from the Brazilian Maritime Authority (Navy), including specific requirements for the marine systems (NORMAM 01) and for the certification of helideck (NORMAM 27).

IBAMA:

Guidance towards the environmental agency requirements, including Law 9966.

ANVISA:

Instructions for adequacy to the specific requirements related to health and hygiene.

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6 BRAZILIAN COMPLIANCE6.2 Main Advantages

We have a team of certified Brazilian CREA engineers and associated equipment based in Brazil and Asia, allowing us to provide cost-effective solutions with economical mobilisation costs and increased availability.

With our extensive experience and full understanding of the Brazilian regulatory framework, we have a full understanding of the auditor’s interpretation of the requirements, which ensures that corrective actions are carried out to prevent penalty for non-compliance, which leads to unexpected shutdown or delays in getting on contract. NRs are safety standards only, some of the technical requirements are not clearly specified. For this reason, identification of non-conformities may vary due to the auditor’s different understanding of the requirements. In addition, some of the requirements are informed only on technical notes or laws.

To be able to adjust our scope per our clients’ needs and preferences, we have developed a modular program that offers additional scope increments related to Brazilian Compliance tasks, such as:

• Design review for the identification of non-conformities early on the design stage.• Review of purchase orders and technical requirements of mechanical and electrical equipment.• Workshop to introduce the client to the Brazilian requirements and present solutions and samples from other offshore rigs.• Inspections of helideck, marine and safety systems. • Execution of pressure tests as required on the NR-13 regulation.• Calibration of instruments(pressure relief valves (PRVs, pressure safety valves (PSVs), pressure gauges, transmitters, etc.) in

compliance with the Brazilian Institute of Metrology.• Non Destructive Testing (NDT) services, e.g., Ultrasonic Thickness Measurement for the integrity verification requested on the

NR-13 regulation.• Ex inspection for Hazardous Areas• Thermography inspection• Due diligence on suppliers, e.g. audit, sample inspection• Fabrication of posters, plates and stickers in dual language (English/Portuguese) as required by the Brazilian Maritime

Authority.• Fabrication of pipe marking according to Brazilian Technical norms.• Specification of personal protective equipment (PPEs), collective protective equipment (CPEs), etc.• Restoration of technical documents and calculations• Extended piping inspection planning based on risk (RBI)

Based on above services, Axess can be the turnkey provider of the Brazilian Compliance requirements for any offshore vessel.

35CAPABILITIES STATEMENT

7 INSPECTION SOFTWARE

7.1 Bridge

Axess Bridge™ is the web based client interface developed by Axess. It is a web portal consisting of several modules complimentary to different Axess services. It functions as Axess’ tool to perform work on and off-shore, report findings, manage documents, and more. Axess Bridge provides our employees and clients a user-friendly web interface where all Axess related work is located.

Each client has their own tailor-made front page, where extracted and aggregated data from across different modules and services are presented. This is also the case for people with different roles. Axess Bridge™ uses email as username and users manage their password as on most other sign-in based software. Axess can develop custom user levels for different roles with respect to customer requirements.

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7.2 Modules

As mentioned, Axess Bridge consists of several modules. Each module performs one specific task. Every module is developed continuously based on user feedback. The Axess Bridge modules implemented so far are:

7.2.1 MHP™ (Material Handling Plan)

MHP™ is an application to simplify material handling documentation. For the Norwegian sector new rules and regulations require that all items over 25kg which is expected to be moved during the lifetime of an installation needs a dedicated material handling plan. One can quickly understand that this implies several thousand items with dedicated material handling plans.

MHP stores and organizes all these plans and makes them readily available for a user through a search function. In addition it makes the material handling base line work more streamlined and efficient. Providing material handling plans easily available ensures efficiency when changing out equipment in addition to provide a safe way to handle the equipment at hand.

MHP™ is linked to Equip™ (see below) which in turn enables users to find out what lifting equipment to use and the status on this.

37CAPABILITIES STATEMENT

7.2.2 Equip™ (Lifting equipment certification)

Equip™ is a system for managing certificates on lifting equipment. Axess inspectors will perform the periodical inspection in the system with full traceability and history, in addition all certificate is structured and intuitive to locate for end users. Critical information from the Equip web application will typically be published on the individual client’s Axess Bridge front page, and also possibly reported to external client systems. This provides the clients with a good overview of the status of the installations at hand. The Equip module can be operated without the browser being connected to Internet. This feature, called “local mode” is developed based on HTML5 standards and Microsoft Sync Framework. This makes the inspectors able to “bring the system” into the field and perform inspections and synchronize all data when Internet connection is restored.

7.2.3 Pipe (Inspection of pressurized systems )

Pipe is Axess’ module for inspection and integrity management of pressurized systems. It is a tool for inspection planning, execution, evaluations, reporting, inspection history, experience transfer, storing and trending of data. All inspection data and technical data will be logged to the database online, and reports and documentation can be generated from the database. This will reduce the amount of onshore work.

Pipe will give Client an online status, a good overview of technical condition and input to maintenance planning. Input from inspection data results shall be stored in a database, with comparable values and enhanced possibilities for further analysis. Client will be able to see the status from year to year, rig to rig, and for the whole fleet.

A database hierarchy can be established according to Client’s CMMS hierarchy. The technical condition can be reported in the database hierarchy, and reports and documentation can be generated. Pipe can communicate with Client’s CMMS and create corrective work orders. Findings in Pipe will be closed when closed in CMMS.

Figure 1: Equip

Figure 2: Pipe

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39CAPABILITIES STATEMENT

7.2.4 Assessment & Integrity Management for Structures (AIMS)

AIMS and AxPIA is Axess’ tool for RBI and integrity management of offshore structures. This includes both fixed and mobile units. The existing version of AIMS is a database developed in cooperation with Dolphin Drilling AS. AIMS/ TIPS(Aker)/ SIMP(Oceaneer-ing) are the tools that presently are accepted by DNV under the following assumptions; if 2.5 years interval of onshore inspection to be extended to 5 years interval for Mobile Offshore Drilling Units operated in more than 20 years.

AxPIA is a probabilistic fracture mechanics analysis program attached to the AIMS database and is calibrated towards the results presented in the DNV managed JIP “Use of Probabilistic Methods for Planning of Inspection for Fatigue Cracks in Offshore Struc-

tures.” The JIP was finalized in 2013.

7.2.5 Other relevant modules

Axess Bridge™ contains a contact module where relevant contact information both from Client and Axess is available. In addition, a feedback module is in place to make it as easy as possible for users to provide feedback on the solution. Both Contact and Feedback are default modules in Axess Bridge ™

7.2.6 Maintenance reports

Axess’ Bridge solution is developed based on the importance to integrate this solution with the client’s maintenance software. Bridge are compatible with all the maintenance software solutions on the global market today. Axess is more than willing to work with client to integrate Axess’ database with the client reports into client’s own database.

7.2.7 Axess’ willingness to work with Client to integrate software described above with Client’s systems

Axess acknowledges that many of our clients, have their own electronic databases for handling of register lists, inspection reports etc., and nothing is better than to integrate our system with Client’s.

Axess is an Integrity Management and Engineering company focusing on providing best possible service to our clients.. We do not place any restrictions on the use of our software, and we will involve our software developers (Axbit – 100 % owned subsidiary) in the quest for the most functional end product for Client

Figure: Integration possibilities40

7.3 PROJECTS & SEARCH

Projects and Search is default modules in Axess Bridge™. Projects are where all project documentation will be available for customers to view and download. All documentation will be searchable (including text within a document) thorough the Search module.

Search also searches through all the different modules. This provides the users with a very powerful tool to locate the information they desire. Say a user searches for a tag number on a lifting beam. The search will return findings from relevant material handling plans from MHP™, certificates from Equip™ and all documents in all projects where this tag is mentioned.

41CAPABILITIES STATEMENT

8 HSEQ

Zero mind set philosophy Axess has implemented the zero mind-set philosophy, which is central to all work done. The zero mind-set philosophy involves searching for methods, systems, technology and expertise which make it possible to operate without causing:

• Personal injuries • Occupational illnesses • Damage to material assets or financial losses • Unplanned discharges

8.1 HSE/QA system

Axess operates according to local regulations and applicable legislations in all its operating areas. Our HSE / QA management system is in accordance with OHSAS 18001:2007 (HS), and is certified according to ISO 14001:2004 (EMS) and ISO 9001:2008 (QA). According to Norsok S-006, Axess is approved to carry out major and complex projects. All questions are answered in Achilles (Achilles Id 24597), and are category C or better.

The management system in Axess prioritizes HSE in the weekly management- and department meetings and in the monthly board meeting. The following key performance indicators are established to secure continuous improvement regarding HSE and QA:

• Minimum one improvement report per employee per month• Number of days since last dropped object more than 100• Employee presence more than 98 %• Customer satisfaction evaluations in 10 % of delivered projects• Zero overdue projects (< 2 % within a year)

In our HSEQ system (intranet – accessible by access to internet), the status of the key performance indicators is visible. A “traffic light” system is associated with the performance indicators; light is green when status is ok, otherwise red. Improvement reports are easily reported directly into our improvement system via the intranet. The “traffic lights” status is updated in real-time according to what is reported in the improvement system.

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WE ARE CONSIDERATE• We create a good working environment and contribute to sustainable development• We consider the consequences before we act

WE TAKE ON RESPONSIBILITY AS A TEAM• We engage in each other’s safety• We dare to tell

WE COMMUNICATE WELL• We communicate job expectations and risk elements• We avoid misunderstandings because we are open, precise and listen actively

WE KEEP DEADLINES• We plan well• We ensure that our time limits allow us to work safely

WE ARE ENTERPRISING• We know that our colleague are irreplaceable resource• We invest in HSE because it’s worthwhile

WE STRIVE FOR CONTINUOUS IMPROVEMENTS• We are observant and learn from every assignment • We search for the right solutions and share experiences

HSE - A MUTUAL RESPONSIBILITYALL ACCIDENTS CAN BE PREVENTED WHEN

– WE GIVE HSE TOP PRIORITY

Børge GjeldvikManaging Director

8.2 OUR VALUES

43CAPABILITIES STATEMENT

Axess North America Inc.15915 Katy Freeway, Suite 501Houston, TX 77094, USA Tel. +1 (281) 994-0367E-mail: [email protected]

Axess do Brazil LtdaRua Dezenove de Fevereiro171, Botafogo, Rio de JaneiroRJ, CEP 22.280-030, BrasilTel. +55 (21) 4108 0532 E-mail: [email protected]

Axess Offshore Pte LtdNordic European Centre#05-31 South Wing3 International Business ParkSingapore 609927Tel. +65 6908 4174E-mail:[email protected]

Axess Petrorig Ghana Ltd3rd floor, The Pelican8 Blohum Street, Dzorwulu Accra, GhanaTel: +233 (0) 30 397 0548E-mail: [email protected]

Axess Offshore Australia Pty Ltd304 Newcastle StPerth WA 6000Tel: +61 469 291 790E-mail: [email protected]

Axess Offshore (MumbaiB2-306, 3rd Floor. Kanakia Boomerang, Chandivali Firm RoadAndheri East, Mumbai- 400072Tel: +91 8657587132

Axess Operations De Mexico S de RL de CVCalle Bosque de Ciruelos 180 PP 101, Colonia Bosque De Las Lomas, CP 11700 Cuidad De MexicoTel: +52 938 152 7688

HQ - Molde, NorwayPostboks 2197Oscar Hanssens vei 56415 Molde, NorwayTel. (duty): +47 982 43 600E-mail:[email protected]

Axess Africa Ltd.1 Nares StreetObservatoryCape Town7925, South AfricaTel. +27 82 202 5266E-mail:[email protected]

Axess Baffin Inc.799 Water StreetSt. John’s, NewfoundlandA1E 1C3CanadaTel. +1 709 758 7937E-mail:[email protected]

Axess North Sea Ltd.Units 6 & 19 Robert Leonard CentreHowe Moss DriveKirkhill Industrial EstateDyce AB21 0GG, United KingdomTel. +44 (0) 791 221 2854E-mail: [email protected]

Axess LuandaRainha Ginga127 Luanda, AngolaTel. +27 82 202 5266E-mail: [email protected]

Axess South Korea103 Apartment Complex744-1 Aju-dong, Geoji-siGyeongsangnam-do53301 South KoreaTel. +82 10 2696 2016E-mail: [email protected]

WE: CAREWE: CHALLENGEWE: COMMUNICATEWE: CONTRIBUTEWE: CREATEWE: DELIVERWE: EXECUTEWE: FOCUSWE: IMPROVEWE: INNOVATEWE: INVOLVEWE: LISTENWE: RESPONDWE: SOLVE