Shell Exploration & Production Company SHELL ALASKA VENTURE BEAUFORT & CHUKCHI SEAS EXPLORATION DRILLING PROGRAM SAFETY AND THE ENVIRONMENT November 2012.

Shell Exploration & Production Company

SHELL ALASKA VENTURE BEAUFORT & CHUKCHI SEAS EXPLORATION DRILLING PROGRAMSAFETY AND THE ENVIRONMENTNovember 2012

Susan Childs

Alaska Venture Support Integrator, Manager

2

CHUKCHI AND BEAUFORT SEAS

TorpedoSivulliq

Burg

er

Shell Exploration & Production Company

3

REVIEW OF 2012 ACTIVITIES

Chukchi Sea

Completed 1 tophole at

Burger A

Will return in 2013 to

complete and continue

drillingBeaufort Sea

Completed 1 tophole at

Sivulliq N

Will return in 2013 to

complete and continue

drilling

CDU Kulluk

Shell Exploration & Production Company

Shell Exploration & Production Company

LOGISTICS FLEET TO SUPPORT 2 DRILLING RIGS IN 2012

5

2012 Safeguards ImplementedOur ice management plan and critical operations curtailment plan were successful in keeping our assets, people and the environment safe while dealing with the ice; also our ice and weather forecasting were outstanding and provided the assurance we needed to keep all vessels working and out of harms way.

A real time ice and weather forecasting system enables Shell to determine “real time” issues that are on the horizon well before a reaction is needed.

We have trained 2,500+ employees to adhere to our Health, Safety, Security and Environmental standards to prevent unsafe behaviors that result in accidents and potential environmental impacts.

9 Communication Centers activated to ensure subsistence users were aware of where Shell’s operations and so Shell would know where subsistence users were at any given time.

11 Subsistence Advisors were employed from St. Lawrence Island east to Kaktovik to help Shell mitigate potential impacts from operations.

5 Community Liaison Officers were on board to help communities understand Shell and operations that were taking place.

Real Time Operating Centers to monitoring drilling activities downhole which allows Shell to respond to potential issues rather than react.

Protected Species Observers on all Shell assets including aviation to help collect data and monitor to avoid impacts.

Advanced Data Acquisition Manager (ADAM) keeps track of all vessels offshore and aviation assets as well as weather data points, i.e. sea ice analyses.

Shell Exploration & Production Company 6

ADVANCED DATA ACQUISITION MANAGER (ADAM)