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Governance/Mandate of
 the Board/Committees
Code of Conduct
Confidential Reporting
Community, Environmental,
 Health & Safety

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Safety, Health & Environment Policy

Ivanhoe Energy Inc. believes the safety and health of its staff and contractors and the protection of the environment to be of primary importance. Our goal is to achieve world-class safety, health and environmental performance through continuous improvement of our SH&E awareness and training programs.

Ivanhoe Energy Inc. conducts all its operations in compliance with it's SH&E policies and procedures; meets or exceeds all country, state and local regulations; and works in accordance with petroleum industry safe practices in all its global activities.

Ivanhoe Energy believes a well structured safety program requires the full involvement and support of management, employees and contractors. Ivanhoe Energy managers and supervisors accept their responsibilities to provide a safe working environment, welldefined accident prevention procedures and effective training for all employees. In addition, each employee and contractor has the responsibility to prevent accidents by working in a safe manner, wearing prescribed protective equipment and reporting potential hazards that could cause an accident or affect the environment. Every employee and contractor has the authority to stop any work that is unsafe.

Employees and contractors are encouraged to come forward with suggestions to improve health, safety and environmental protection, and to be proactive in the development of new and improved procedures for new operations as they develop.

The company maintains an organized communication channel with local, state and national regulatory agencies to insure that we stay abreast of all new and developing requirements and regulations. This insures that Ivanhoe Energy is always in legal compliance, and that we are fully aware of future requirements that will affect our operations and employees.

China Operations

Pan-China Resources Ltd's., Health, Safety and Environmental ("HSE") management system was established based on international HSE Standards and in accordance with the company's best practices as outlined in our operations guideline. The company also is in full compliance with the laws and regulations issued by the Chinese government for safety and environmental protection. Our practice is to follow the more stringent standards in terms of safety and the environment.

As the Chinese economy continues to grow, the government is issuing new and tougher HSE requirements. As a responsible foreign operator in China, we have an obligation to ensure we stay abreast of these changing regulations. Therefore, we have organized a communication channel with the government's regulatory agencies to ensure that we have a clear understanding of all new governmental HSE requirements.

Pan-China conducts an Environmental Risk Study prior to commencing any major construction work. The company's mandate is to work directly with the community to minimize any interruption to their living environment. Our goal is to impact the environment as little as possible and to ensure protection of wildlife. Pan-China is currently implementing a zero-discharge policy at our operating sites. Employees and contractors have been educated to follow the waste segregation procedures and how to effectively minimize any pollution caused by our operation. All solid and liquid industrial and living waste generated by our operations are sent to a certified specialized waste treatment plant.

Hiring from the local community is the first option under our human resources policy. For the Dagang project, we have hired over 50 personnel from the local community, which has improved the local job market. Further, Pan-China seeks to buy from local suppliers and contractors before looking outside the community, which again supports the local economy.

Pan-China has made a commitment to transfer advanced technology, know-how and management skills to our Chinese partners and their employees. Every year we send at least 10 nationals overseas to receive training. All new national employees are professionally trained upon joining the company to ensure that they have the necessary skills and certifications. At the same time, our experienced expatriates further assist in the day-to-day hands-on training of the local employees.

In our Dagang development operation, Pan-China has contracted with International SOS to set up and staff a medical clinic to provide on site medical services for both expatriates and local employees. In addition to providing routine medical services, the doctors in the clinic have provided first aid and CPR training to company and contractor employees. To promote good health, the company provides flu vaccinations to its employees, in addition to providing high standard living quarters and catering services for both expatriates and local employees.

Through the implementation of various programs and procedures, we have achieved remarkable safety standards. The company constantly educates its employees on safety standards and requires all employees to follow procedures that promote safety. This is achieved through safety meetings, inspection and effective safety incentive programs. A safe environment is now the culture in our workplace.

U.S. Operations

Ivanhoe Energy considers the safety and health of its personnel and the protection of the environment to be of primary importance. The company complies with all federal, state and local regulations and operates in accordance with petroleum industry safe practices and contractors working for Ivanhoe Energy are required to do the same. A well-structured safety program requires the full involvement and support of management and employees. Ivanhoe Energy managers and supervisors accept their responsibilities to provide a safe working environment, well-defined accident prevention procedures and effective training for all employees. In addition, each employee has the responsibility to prevent accidents by working in a safe manner, wearing any prescribed protective equipment and reporting any potential hazard that could cause an accident.

The company maintains an organized communication channel with local, state and national regulatory agencies to insure that we stay abreast of all new and developing requirements and regulations. This insures that Ivanhoe Energy is always in legal compliance, and that we are fully aware of future requirements that will affect our operations and employees. Health, environmental and safety standards and procedures are listed in the following documents and reinforced with our employees and contractors through one-on-one discussions, tailgate meetings, monthly and quarterly reviews:
  • Injury & Illness Prevention Program (IIPP)
  • Safety Manual, Policies and Procedures
  • Emergency Response Plan
  • High-rise Office Building Emergency Evacuation Procedures Manual
  • Hazardous Materials Business Plan and Materials Safety Data Sheets (MSDS)
  • Spill Prevention Control and Countermeasure Plan
Employees and contractors are encouraged to come forward with suggestions to improve health, safety and environmental protection, and to be proactive in the development of new and improved procedures for new operations as they develop. Critical operations are conducted with specialized equipment, by people trained and certified in the use of that equipment.

Required pre-project environmental inspections are carried out before starting any project to identify concerns and to ensure that we impact the environment and wildlife as little as possible. Post-project cleanup is monitored to make sure the site is clean, safe and as close to original conditions as possible.

Ivanhoe Energy currently disposes of all produced water into sub-surface disposal wells in accordance with local and state regulations. Solid and liquid wastes are transported to certified waste management facilities. Employees and contractors are instructed to follow proper waste management procedures, and report any infractions or recommendations to minimize any pollution caused by our operations.

Our goal is to maintain a strong health, environment and safety record and improve our employees' and contractors' awareness by continuing to provide formal training programs and to reward good performance.
 
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