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Classification:

Unclassified

BM Code: SE-ST-A27 November, 2005

Issue Purpose: Issue For Implementation

Sakhalin Energy Investment Company LTD. Corporate Standard for Cranes & Lifting Equipment
0000-S-90-04-O-0264-00-E Revision 04

The copyright of this document is vested in Sakhalin Energy Investment Company LTD. All rights reserved. Neither the whole nor part of this document may be reproduced, stored in any retrieval system or transmittal in any form or by any means (electronic, mechanical, reprographic, recording or otherwise) without the prior written consent of the copyright owner.

Corporate Standard For Cranes And Lifting Equipment

Rev 04

Content:
1.0 Introduction .................................................................................................................................... 3 1.1 Purpose.......................................................................................................................................... 3 1.2 Scope ............................................................................................................................................. 3 1.3 Terminology ................................................................................................................................... 4 1.3.1 Definitions................................................................................................................................... 4 1.4 User Notes ..................................................................................................................................... 7 1.4.1 Review and Improvement ........................................................................................................... 8 2.0 Risks & Controls............................................................................................................................. 9 3.0 Responsibilities .............................................................................................................................. 9 3.1 Specific Lifting & Hoisting Operation Responsibilities................................................................... 10 3.2 Records........................................................................................................................................ 12 3.3 Performance Monitoring ............................................................................................................... 12 4.0 References................................................................................................................................... 12 5.0 Workflow ...................................................................................................................................... 13 6.0 Design and Certification ............................................................................................................... 14 6.1 Design & Certification Requirements for Cranes .......................................................................... 15 6.2 Design & Certification Requirements for Sideboom Cranes ......................................................... 16 6.3 Design & Certification Requirements for Winches ........................................................................ 17 6.4 Design & Certification Requirements for Crane Wire Ropes......................................................... 18 6.5 Design & Certification Requirements for Lifting Accessories ........................................................ 20 6.6 Design & Certification Requirements for Loose Lifting Equipment................................................ 21 6.7 Design & Certification Requirements for Cargo Carrying Units..................................................... 22 7.0 Planning Of Lifting Operations...................................................................................................... 24 7.1 Lift Planning ................................................................................................................................. 24 7.2 Lift Plan Categorisation ................................................................................................................ 25 7.3 Risk Assessments ........................................................................................................................ 29 7.4 Pre-Lift Toolbox Talk .................................................................................................................... 31 7.5 Emergency Recovery Procedures ................................................................................................ 33 7.6 ISSOW And Lifting Operations ..................................................................................................... 33 8.0 Execution of Lifts .......................................................................................................................... 33 8.1 Crane Operations (Onshore) ........................................................................................................ 34 8.2 Crane Operations (Offshore) ........................................................................................................ 37 8.3 Execution of Lifts - Sideboom Cranes .......................................................................................... 40 8.4 Execution of Lifts Loose Lifting Equipment ................................................................................ 42 8.5 Execution of Lifts Tubular Handling Operations......................................................................... 44 8.6 Execution of Lifts Cargo Carrying Units ..................................................................................... 45 9.0 Working near Overhead Power Lines........................................................................................... 46 9.1 Lifting Operations in Vicinity of Overhead Power Lines ................................................................ 47 10.0 Marking of Lifting Equipment .................................................................................................... 48 10.1 Marking of Lifting Appliances.................................................................................................... 48 10.2 Marking of Lifting Accessories .................................................................................................. 49 10.3 Marking of Cargo Carrying Units .............................................................................................. 50 10.4 Colour Code ............................................................................................................................. 50 11.0 Testing And Examination.......................................................................................................... 51 11.1 Testing & Examination Lifting Appliances.............................................................................. 51 11.2 Testing & Examination Lifting Accessories ............................................................................ 53 11.3 Testing & Examination Cargo Carrying Units......................................................................... 53 APPENDIX 1: RISK ASSESSMENT MATRIX .......................................................................................... 55 APPENDIX 3: TOOLBOX TALK FORM ................................................................................................... 57 APPENDIX 4: LIFTING OPERATIONS CERTIFICATE............................................................................ 59 APPENDIX 5 : LIFTING OPERATIONS PERSONNEL COMPETANCY MATRIX.................................... 62 APPENDIX 6 : TEST & CERTIFICATION MATRIX.................................................................................. 66 APPENDIX 7: RELEVANT STANDARDS AND LEGAL REFERENCES .................................................. 67 APPENDIX 8: USER FEEDBACK FORM ................................................................................................ 72

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1.0

Introduction

1.1 Purpose This standard for Cranes and Lifting Equipment shall establish the Sakhalin Energy minimum operating standards and requirements deemed acceptable by the company for managing safety during crane and other lifting operations. The objective of this standard is to increase safety and efficiency of crane and lifting equipment operations and for all personnel involved, be it directly or indirectly. 1.2 Scope This standard applies to all Lifting Appliances such as mobile and static cranes as well as mechanical and non-mechanical hoists of all types which are able to raise, lower, suspend or transport loads, in all operating environments including onshore, offshore, office and construction locations. Lifting Appliances include: Cranes (Mobile, Pedestal, Sideboom etc). Winches, Hoists (Electric, Air, Manual). Chain hoists, Wire Rope Hoists, Lever Hoists, Beam Clamps, Beam Trolleys etc

The standard does not cover the use of cranes for lifting personnel. Refer to document 0000-S90-04-O-0287-00-E on personnel lifting. The standard is also applicable to any Lifting Accessory items used to directly or indirectly connect a load to the lifting appliance but do not form part of the load such as: Chain, wire rope and webbing slings. Sheave blocks, beam clamps, barrel clamps etc Hooks, shackles, eyebolts and other accessories

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1.3 Terminology Shall indicates a mandatory course of action. Should indicates a preferred course of action. May indicates a permitted course of action.

1.3.1 Definitions Banksman A Competent person suitably positioned to give load-manoeuvring instructions to the Crane Operator via hand signal or radio. Cargo Carrying Unit A container specifically designed for being lifted whist laden with cargo. The container should have designated lifting points and a Safe Working Load. Often referred to as shipping containers or cargo boxes. Crane A machine incorporating an elevated structural member or jib, beneath which suspended loads can be controllably raised or lowered vertically and also moved horizontally either by hoisting or derricking the boom, slewing the Crane, or by other means involving a travelling motion of the Crane. Colour Code A method of marking equipment to give a visual indication of its certification. Competent Person A Competent Person is adjudged to have sufficient knowledge and experience and relevant RF certification to assess lifting issues, and the equipment and / or accessories being used. Dynamic Amplification Factor An additional factor applied to the load to account for vessel and load motions for offshore lifting operations. EP2005: Shell Corporate HSE document EP2005-0264: Manage Logistics Lifting & Hoisting HSE.

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Factor of Safety The ratio of the load that would cause failure of an item of lifting equipment to the maximum load that can be imposed on it in service. (This is to allow for detrimental criteria such as wear, tear and dynamic loadings.) Hazardous Production Facility (HPF): An official RF designation for a site of increased safety legislation as defined in 2000-GGT-R0003-001-#A-E, FEDERAL LAW ON THE INDUSTRIAL SAFETY OF THE HAZARDOUS PRODUCTION FACILITIES, Annex 1, Point 3. In the context of lifting operations it is the whole area within the boundary defined as part of the lifting operation including the lifting appliance and area of operation. ISSOW Integrated Safe System Of Work. SEIC integrated risk-assessment driven method for managing permitted work and isolation control. Lift Plan A written document, which will include details of how a lifting operation should be undertaken, the lifting equipment and lifting accessories to be used, how the equipment and accessories should be rigged up and the control measures in place to manage the risks identified in the Risk Assessment. Lifting Accessory Any item used to connect a load to a crane or lifting appliance, but which is not in itself capable of providing any movement to lift or lower the load. Sometimes the lifting accessory is termed as lifting gear, however within this document, all references shall be to lifting accessory. Lifting Appliance Any machine that is able to raise, lower or suspend a load but excluding machines incorporating a guided load (i.e. elevators) and continuous mechanical handling devices (i.e. conveyors). Lifting Equipment Any appliance, structure or item used to raise, lower, suspend or transport a load. Lifting Equipment comprises of both Lifting appliances and Lifting Accessories.

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Lifting Operation Certificate (LOC) A certificate created within the ISSOW system when a Lifting Operations Risk Assessment is performed. This certificate describes the details of the task and ensures a Risk Assessment is performed with the appropriate hazard groups, hazards & controls for Lifting Operations. The LOC is reviewed and approved by the appropriate ISSOW defined roles depending upon the category of lift. Load Chart A diagram or table showing the rated capacity of the lifting appliance relative to the operating radius and type of lifting operation. Offshore cranes involved in vessel operations should also have charts which are applicable for the environmental conditions such as sea state. Maximum Gross Mass (MGM) The Maximum Gross Mass is defined as the maximum weight of a CCU inclusive of the weight of the CCU and its maximum cargo capacity. Permit To Work (PTW) A control document to allow work to take place at a work site. In the SEIC ISSOW system the Permit To Work is referred to as the Work Control Certificate (WCC). RCI Rated Capacity Indicator (Also termed SLI Safe Load Indicator) is a device installed on cranes and lifting equipment to accurately inform the driver of the load on the hook. The RCI should be calibrated to include the weight of the hoist rope and hook at zero weight. RF: Russian Federation Rigger Person competent and qualified to conduct lifting operations with the use of loose lifting equipment. A rigger shall have the necessary knowledge and qualifications as per requirements of the RF. RosTekhNadzor: Russian Federation regulatory body responsible for ensuring compliance with all relevant legislation and technical standards for the Russian Federation. Previous body was GosGorTekhNadzor, which has now been replaced by RosTekhNadzor.

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Sling Wire ropes, chains, synthetic web and metal mesh made into forms, with or without fittings, for handling devices. Safe Working Load (SWL) The maximum load which an item of lifting equipment may raise, lower or suspend under particular service conditions. Thorough Examination An examination carried out by a competent person to arrive at a reliable conclusion as to the condition and safety of the equipment. The competent person will determine the extent of the thorough examination in order to meet legislative, manufacturers guidelines and company requirements. The thorough examination may involve dismantling and testing. Toolbox Talk A discussion held between all members of a lifting operation prior to commencement of work in order to agree on all aspects of the work, and the sequential steps to be taken to complete the work. Winch Deck or structure mounted lifting equipment. A winch system will not have a boom (jib) but may have a system of sheaves and or snatch blocks. Working Load Limit (WLL) The maximum load which an item of lifting equipment is designed to raise, lower or suspend. The WLL does not account for particular service conditions which may affect the final rating of the equipment.

1.4 User Notes This standard applies to all Sakhalin Energy staff, Contractors, Sub-Contractors and visitors to sites where operations are being conducted by, or on behalf of, Sakhalin Energy. The standard is also aimed at personnel involved in the purchasing, operation or maintenance of any lifting equipment or lifting accessories designated for use by Sakhalin Energy Staff, Contractors, their Sub-Contractors or visitors on behalf of SEIC within the jurisdiction of the Russian Federation. At the discretion of SEIC, service companies or contractors operating on SEIC locations who can demonstrate adequate control of their own lifting equipment and operations may be exempt from this procedure. SEIC retain the right to check compliance with RF legislation of contractors lifting equipment and will instruct the service company or contractor to rectify any detected breaches of
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RF legislation, stop unsafe practices or remove any defective equipment from service. Contractors who wish to exercise this option should apply for an exemption through their SEIC contract holder. Sakhalin Energy Staff: Any non-compliance with this Standard shall be notified, investigated and reported in accordance with the Procedure for Managing Deviations and Non-Compliances. Contractors: Any non-compliance with this Specification shall be reported to the Contract Holder. A controlled copy of the current version of this document is ONLY available on the SAKHALIN ENERGY Website and the Global Livelink system. Before making reference to this document, it is the users responsibility to ensure that any hard copy, or electronic copy, is current. For assistance, contact the Document Custodian.

1.4.1 Review and Improvement Any user of this document who encounters a mistake or confusing entry is requested to immediately notify the Document Custodian on the User Feedback Form. The Document Custodian shall review this document as necessary, at least once every three years. Triggers for full or partial review of this document may include: Emerging/growing HSE concerns in specific areas. Changes in shareholder requirements and concerns of employees, Contractors, customers, government agencies and the public. Changes in legislation and/or regulations. Incident investigations which identify shortfalls in the HSE Management System. Changing Company activities and locations. New hazards or activities not considered by the HSE Management System. New equipment or significant change in equipment, technology, processes.

Users are encouraged to participate in the ongoing improvement of this document by providing constructive feedback.

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2.0 Risks & Controls The safe and effective use of cranes and lifting equipment is essential to all SEIC operational areas. The fundamental nature of operation of cranes and lifting equipment is potentially extremely dangerous and risky to both personnel and assets unless properly controlled and managed. This standard for Cranes and Lifting Equipment shall establish the Sakhalin Energy minimum operating standards and requirements deemed acceptable by the company for managing safety during crane and other lifting operations. The objective of this standard is to increase safety and efficiency of crane and lifting equipment operations and for all personnel involved, be it directly or indirectly.

3.0 Responsibilities Document Custodian The Document Custodian is responsible for: Providing discipline expertise for the creation, revision (including review of deviations and challenges in order to make recommendations to the Process Owner) and retirement of documents relating to Lifting Operations to meet the business needs of the Process Owner in accordance with the Corporate Document Control Procedure; Ensuring the technical validity of this document and that the document has been signed off to the correct level of technical authority; Defining the distribution requirements for this document; Keeping a record of user feedback on this document and considering comments at each document review.

Process Owner The Process Owner is responsible for: Specifying the need for this document and delegates the responsibility for creating it; Resolving any practical difficulties encountered in applying this procedure; Approving the document prior to issue.

Authoriser The Authoriser is responsible for: The content of this document but in practical terms delegates this responsibility to the document Custodian; Signing off this document at the highest level prior to issue.

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Asset/Project Managers, Line Managers and Department Heads Asset Managers, Project Managers and Department Heads shall be responsible for implementing this Standard by ensuring that activities they control are managed in accordance with its requirements. Supervisors Supervisors are responsible for ensuring that lifting operations are conducted in accordance with the requirements of this Standard for work executed under their supervision. They are responsible for ensuring that staff they supervise understand and implement the controls that are identified in this document. Lifting Operations Personnel Lifting operations personnel are responsible for ensuring that Lifting Operations are conducted in accordance with the requirements of this Standard for work they undertake. Contractors Contractors are responsible for ensuring that activities undertaken within the scope of their contracts are managed in accordance with the requirements of this Standard.

3.1 Specific Lifting & Hoisting Operation Responsibilities Competencies The competency of persons involved in lifting operations is an essential factor for the planning and execution of safe lifting operations. All persons involved in lifting operations within the Russian Federation must have the relevant level of RF certification for the role they occupy. In addition to the mandatory RF certification, SEIC requires, as a minimum, personnel involved in lifting operations meet the relevant requirements described in appendix 5 for the role they fulfil. Site Manager (Hazardous Production Facility Manager / Owner): The site manager has overall responsibility for the operational safety of an HPF. The site manager shall nominate a qualified and competent Job Supervisor (PIC) as defined in RF legislation. The site manager fulfils the role of Site Controller (SC) in the SEIC ISSOW system. Person In Charge (PIC) Either the designated Hazardous Production Facility Job Supervisor or a designated deputy, the PIC shall be responsible for the safe operation of crane lifting operations. PIC will provide supervision, and maintain overall control of the operation. The PIC will nominate a suitably
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experienced and certified Slinger to act as banksman for crane lifting operations. Further duties of the PIC shall be identified throughout this standard. The PIC fulfils the role of Performing Authority (PA) in the SEIC ISSOW system. For offshore installations the site manager is the Offshore Installation Manager (OIM). For routine tasks and lifts the PIC may be the task supervisor or banksman. Lifting Appliance Operator The lifting appliance operator shall possess the necessary Russian Federation qualifications for operation of the specific equipment to be used. The appliance operator must be familiar with the make and model of the appliance, as well as the operation of all operational and safety features. Lifting Operations Crew All lifting operations crew will be competent in the type of Lifting Operations being conducted. All crew members shall be fully aware of their roles and responsibilities as outlined in the specific procedure for the type of lift being conducted. The lifting operations crew will include a nominated banksman for all crane lifts. The crew will work under instruction from the banksman at all times. RF Defined Safety Supervisor / Safety Representative The Safety Supervisor, as defined in RF legislation 2000-GGT-R-0003-001-#A-E, FEDERAL LAW ON THE INDUSTRIAL SAFETY OF THE HAZARDOUS PRODUCTION FACILITIES, 1997 and associated decrees, is either the designated Hazardous Production Facility Safety Supervisor or a designated deputy. The safety supervisor will be responsible for ensuring all operations and equipment conform to the following: RF Federal Law On The Industrial Safety of Hazardous Production Facilities SEIC operating procedures and standards.

The safety supervisor must be an integral part of the planning and execution of all lifting operations and should appoint a suitably competent safety representative or deputy for each lifting operation. Within the ISSOW system the site controller (SC) will normally assume the responsibility of the RF defined role of Safety Supervisor if the appropriate RF training and certification is held by that individual.

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3.2 Records Records shall be maintained to document the implementation of this Standard. Records shall include a Lifting Equipment Logbook to be kept for each lifting appliance for purposes of recording the events of that appliances particular usage. Mechanical, hydraulic or electrical defects, including other defects shall also be noted in the Lifting Equipment logbook. Periodic maintenance and details of specific maintenance activities shall be held in the equipment logbook as proof of maintenance. Maintaining precise and up-to-date records in the equipment Logbook as stated in PB10-382-00 is the responsibility of the designated Person in Charge of Lifting. Current certification for lifting equipment will be available on all SEIC worksites, it is the responsibility of the Person In Charge (PIC) to ensure these records are kept and maintained. Records of maintenance shall be kept for all lifting equipment however these are not required to be kept at the work site. Contractors bringing lifting equipment onto SEIC worksites shall ensure current certification accompanies the equipment.

3.3 Performance Monitoring Compliance with this Standard shall be monitored through periodic site inspections and audits. These audits may be instigated by the Document Controller, Process owner or Authoriser.

4.0 References All areas where cranes, mobile elevating work platform operations and other hoisting machines, as defined in 2000-GGT-R-0003-001-#A-E, FEDERAL LAW ON THE INDUSTRIAL SAFETY OF THE HAZARDOUS PRODUCTION FACILITIES, Annex 1, Point 3, are operated are classed as Hazardous Production Facilities in Russian Federation Legislation and are as such are strictly regulated in terms of safety requirements and equipment and personnel certification. The following points must be fulfilled prior to the operation of any lifting appliance used in personnel lifting: The lifting appliances and accessories shall have current, suitable certification and registration with the RF authorities. The appliance operators and crew members shall have the relevant RF training & certification. The appliance owner shall have the necessary maintenance, safety and supervisory infrastructure as designated in RF legislation for the operation of Hazard Production Facilities.

SEIC reserve the right to audit any companies and personnel contractually conducting lifting operations on behalf of SEIC in line with RF legislation. Any breaches of legislation may result in SEIC reporting the offending parties to the appropriate RF authorities.
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The procedures and practices contained in this document are compliant with the following Russian Federation regulations: PB 10-611-03 Rules for Arrangement of Safe Operation of Hoists

RD 910-199-98 Standard Manual for Hoist Operators RD 10-198-98 RD10-34-93 RD 10-40-93 Standard Instruction for Swinging Platform Operators Standard Manual for Persons Responsible for Safety of Lifting Standard Manual for Engineering Personnel Responsible for the Safe Operation of Cranes Regulations on Design and Safe Operation of Cranes Federal Law on the Industrial Safety of the Hazardous Production

PB 10-382-00

2000-GGT-R-0003-001-#A-E,

The practices and procedures are also compliant with the following Shell standards: EP2005-0264-ST EP2005-0264-SP-01 EP2005-0264-GL-01 Lifting and Hoisting HSE Personnel Lifting Planning and Execution of Lifting

The practices and procedures are also compliant with the following SEIC Documents: 1000-S90-90-P-0008-00-03 0000-S-90-04-O-0264-00-E Phase 2 Marine Operating Procedures SEIC Cranes & Lifting Standard

Further references are detailed in appendix 7.

5.0 Workflow Not Applicable for this standard.

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6.0 Design and Certification This section states the minimum design requirements for Lifting appliances and accessories. The requirements define the features and safety devices required to meet compliance with the following: RF legislation EP2005 Requirements Global Best Practices Expectations

As a minimum, the following design parameters must be satisfied. Guidance on certification is also covered in this section and compliance shall be ensured. RF Legislation All lifting appliances and operating areas are defined as Hazardous Production Facilities, and as such are subject to the following mandatory certification requirements under RF legislations: Registration as a Hazardous Production Facility Valid Technical Passport Registration Plate with current scheduled test dates on the lifting appliance. Valid Permit to Operate.

SEIC and all companies performing lifting on behalf of SEIC are legally bound to meet the RF requirements in terms of both the equipment used and the procedures undertaken. EP2005-264 The equipment and operating requirements defined in Shell Corporate HSE Standard EP2005264 must be met as a minimum unless to do so would lead to a conflict with RF Legislation. SEIC Global Best Practice Expectations This document contains a number of globally recognised best practices that exceed RF and EP2005 requirements.

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6.1 Design & Certification Requirements for Cranes Crane design and operation will comply with RF Legislation PB 10-382-00 The following features shall be in place for any crane being operated by, or on behalf of, SEIC prior to it being deemed suitable for lifting operations: In offshore operating environments, pedestal cranes shall meet the Technical Specifications of Shell DEPs 37.92.10.30 and 37.92.10.31. Telescopic boom cranes will have accurate means of verifying radius of operation of hook and to clearly indicate the extended length of the boom. Cranes must be fitted with suitable over-hoist and over-lower limits. Hoist and luffing motions will be fitted with automatic brakes such that when the equipment operating controls are released all motions are brought to rest. The motion controls must return to the neutral position when not in operation. Gearboxes distributing drive from the prime mover for lifting operations will be of constant mesh type. All electrical and spark potential equipment shall be intrinsically safe for use on SEIC operational sites. A suitable load holding device shall be fitted to hydraulic or pneumatic systems to prevent uncontrolled motions in the event of a system or component failure. Cranes shall have a secondary independent braking method that holds the load in place in the event of a brake failure. The secondary brakes will be fitted to the hoisting function as minimum. Cranes with outriggers or hydraulic or pneumatic stabilisers shall have a means to prevent retraction in the event of component failure. On hydraulic cranes a counter balance valve / crossover valve, to prevent accidental descent on failure of the primary brakes is acceptable. Mobile cranes shall have a means of prevention of stabilisers retracting on hydraulic failure. Non-rotating rope should be used for hoisting operations. This will reduce effects of load spinning during operation. The lifted load will not exceed the cranes rating at the required working radii. The crane shall be operated within the parameters of the crane load radius chart. Cranes shall have an emergency stop control located in the operators cabin that will halt all crane motions and hold the load in the stopped position. The emergency stop shall be suitably guarded to prevent accidental operation. The crane shall be fully certified in accordance with the RF rules for operating Hazardous Production Facilities. This will include all relevant certification and testing. The testing criteria for cranes operating in Russia is that they shall undergo a partial inspection every 12 months, and complete inspection (Which includes static and dynamic load testing) every 36 months. The static test will be conducted at 125% SWL, and dynamic test at 110% SWL. Refer to PB 10-382-00 for further guidance on the testing and certification of cranes. In addition, the crane will be subject to a full technical examination after repairs have been conducted on the structural load path, including any welding repairs, winch repairs and boom or crane structure repairs.
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When there is modification or change to the cranes basic configuration, e.g. boom length (telescoping of booms not included), wire rope size and type, etc, the crane shall be subject to a full technical examination. If applicable, a new load chart shall be provided by the crane owner following any change to a cranes basic configuration. The crane shall be equipped with a load radius chart located in the operator cab. The crane shall be fitted with a Rated Capacity Indicator (RCI) or Safe Load Indicator (SLI). The indicator shall be calibrated for all working radii of the crane. The RCI or SLI shall suitably configured to account for all possible crane settings and operations. The crane shall be fitted with a suitable load limiter to prohibit all crane motions expect for load lowering set at 110% of rated capacity for the applicable operating radius. The crane will be fitted with an audible overload alarm in the operator cab. The alarm will sound at 90% of the rated capacity for the applicable operating radius. The crane shall be verified as suitable for operating within the low temperature climactic conditions encountered by SEIC operations. If fitted, the free-fall function shall be disabled at all times unless the function is specifically required for a task. If the free fall function is required it shall be identified in the planning plan and Risk Assessment for the task prior to enabling and the function shall be disabled after the task is complete.

6.2 Design & Certification Requirements for Sideboom Cranes Design and operation of Sideboom Cranes will comply with RF Legislation PB 10-157-97. The following features shall be in place for any Sideboom crane being operated by, or on behalf of, SEIC prior to it being deemed suitable for putting into operations: Sideboom cranes shall be fitted with a load radius chart, clearly visible by the operator, indicating SWL of crane at any given radius on any configuration. Sideboom cranes shall be equipped with boom angle inclinometers, either mechanical devices or as integral part of the load monitoring system. Motion limiters to prevent over hoisting or over lowering shall be fitted. A sideboom crane shall not be loaded beyond its rated load (capacity) except for required load testing. Load and boom lowering shall only be possible with the engine running. Sideboom cranes shall be fitted with automatic counterbalance systems for the full working radius and rated load. All rotational parts of the Sideboom crane shall be protected with guards to prevent accidental entrapment. The brakes on hoist and boom motion of Sideboom cranes shall be capable of withholding maximum load at all radii. An overload limiter set to 110% of SWL shall be fitted and will have an audible alarm. The load limiter panel shall be sealed to prevent unauthorised access. Sideboom cranes shall be equipped with load capacity indicators.
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Sideboom cranes shall be equipped with backstops to prevent the boom over hoisting and causing damage. Examination and maintenance schedules of sideboom cranes shall be identified within the crane manual. Sideboom cranes operating onsite at any SEIC location shall be certified safe for use by RosTekhNadzor inspectors, have a valid certification plate clearly displayed and all maintenance logs will be kept up to date. The sideboom crane shall be verified as suitable for operating within the low temperature climactic conditions encountered by SEIC operations.

6.3 Design & Certification Requirements for Winches The winch design and operation will comply with RF Legislation PB 10-611-03. The following features must be in place for any winch being operated by, or on behalf of, SEIC prior to it being deemed suitable for lifting operations: The winch shall be fitted with automatic brakes such that when the equipment operating controls are released all motions are brought to rest. The motion controls must return to the neutral position when not in operation. A second independent brake shall be provided for use if the automatic brake fails. This brake should be manual unless the second automatic brake is completely independent of the automatic braking system. Devices shall be incorporated in the winch system to prevent the load from over-riding, overlowering and over speeding The winch shall be capable of lowering in a controlled manner in the event of sudden loss of power or primary control; The winch shall have adequate capacity to handle the loads required which should include but not be limited to: 1. Weight of load to be lifted. 2. Rope weight and frictional effects. The design factor for the winch and the wire rope, taking into account the sum of these weights shall not be less than 6:1. The winch shall be equipped with a guard over the drum that provides protection to the Winch Operator e.g. in the event of rope breakage, but does not inhibit the operator from monitoring the spooling action of the rope on the drum. The winch drum shall be fitted with end flanges on both sides. The diameter of the flanges will be at least two rope diameters greater than the spooled rope upper layer diameter. Where chain is used on the winch, the flanges will have at least 1 x width of chain link greater than the spooled upper chain diameter. At least 3 complete turns of rope will remain on the drum at the lowest limit / maximum rope payout limit. The winch should be equipped with a machine hour counter. The winch shall be firmly mounted with no flexible elements in the mounting arrangement.
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6.4 Design & Certification Requirements for Crane Wire Ropes The crane rope design and manufacture will comply with RF Legislation PB 10-382-00. The ropes shall conform to state standards and a test certificate shall be present within the crane / winch certification package. Ropes manufactured from international standards shall be preapproved by RosTekhNadzor certification bodies or head engineering organisations. Only ropes of the size, type, strength and construction as specified in the crane manual should be fitted to the crane unless the crane manufacturer, rope designer or technically competent engineer has specified a suitable alternative. Evidence of this acceptance will be held in the crane technical manuals. Grades and types of ropes, dependant on application shall conform to regulatory standards. All wire ropes used on the cranes and winches shall have traceable load test certificate supplied by the rope manufacturer. The design factor for wire ropes manufactured and used in the Russian federation and within SEIC sites shall be 6:1. Rope terminations shall be made in line with the following methods; Wedge and socket type termination with wire rope clamps. Low temperature melting alloy filled socket. Any other method as prescribed by local regulatory documents with exception of termination of wire ropes by use of splicing.

The following table identifies the discard criteria for broken strands within wire rope as identified in Russian Federation regulations. Length of wire No of breaks 3d 4 6d 6 30d 16

Note: d is equal to the rope diameter. Rope shall be discarded if the following defects are found; Broken wires as indicated in the table above Broken wires at the termination of the ropes Reduction in diameter due to core deterioration (3% reduction for non-rotating rope, 10% reduction for all other types). 10% reduction in diameter Wear
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Internal Corrosion Deformations Kinks Thermal damage Basket deformation Strand protrusion

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6.5 Design & Certification Requirements for Lifting Accessories A lifting accessory is termed as any item that is used to attach the load to a lifting appliance. A lifting accessory itself cannot raise, lower or suspend a load. Items to which the term lifting accessory refers are wire rope slings, fibre slings, shackles, and any other piece of equipment that can attach a load to the lifting equipment. As a minimum requirement, all lifting accessories shall be manufactured, tested, inspected and certified in accordance with RF legislation. All lifting accessories shall be designed to operate in low temperature environments encountered in Sakhalin Energy operations. Suitable RF compliant certification shall be present for all lifting accessories with the following details on the certification as a minimum:

Name of manufacturer.
Product type. Rated load capacity. Length. Manufacturers part number. Year and month of production. Date of testing and test details, e.g. test load applied. Warranty details. Statement of compliance with relevant RF legislation.

The accessories shall be marked in accordance with RF legislation and will be fitted with a suitable tag or marker designed to last the lifetime of the item.

The following criteria shall also be met for lifting accessories used in lifting operations: Hooks on slings etc, must have a positive locking device or pinning arrangement to prevent unintentional release of the load. The maximum angle between the legs of multi-leg slings must never exceed 90. A competent person will carry out pre-use visual inspection. No welding will be conducted on the lifting accessories. Inspection & Rejection criteria will be as prescribed in RF requirement RD-10-33-93.

Periodic Inspection shall be conducted in accordance with RF legislation and the results recorded in the lifting accessories logbook. Slings shall be visually inspected at least once every ten days if in frequent use or prior to use if in infrequent use. The maximum period of

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recertification for lifting accessories is 12 months. On all offshore locations, the inspection interval will be no greater than 6 months. Refer to section 11.0 for further details. Fibre slings shall not be recertified. All fibre slings will be discarded after a maximum of 12 months from original certification date, unless the sling becomes damaged, where continued use of a damaged sling is prohibited. Fibre slings shall be manufactured with a factor of safety of at least 7:1. If no certificate of load test accompanies new engineered lifting accessories such as spreader beams etc, a full load test will be conducted in accordance with the national or international standard to which it is has been designed and manufactured.

6.6 Design & Certification Requirements for Loose Lifting Equipment Loose lifting equipment is termed as any portable lifting appliance which can be used to lift, lower or suspend a load such as chain hoists, wire rope hoists, pull lifts. All loose lifting equipment shall be supplied with a certificate of conformance to an approved industry standard, and shall include a load test certificate and record of visual inspection. All loose lifting equipment shall be designed to operate in low temperature environments encountered in Sakhalin Energy operations. Suitable RF compliant certification shall be present for all loose lifting equipment with the following details on the certification as a minimum: Name of manufacturer. Product type. Rated load capacity. Height of Lift. Manufacturers part number. Year and month of production. Date of testing and test details, e.g. test load applied. Warranty details. Applicable reference standard/code Statement of compliance with relevant RF legislation.

The accessories will be marked in accordance with RF legislation and will be fitted with a suitable tag or marker designed to last the lifetime of the item. Where loose lifting equipment is due for recertification, the following must be checked and ensured.

Hooks must have a positive locking device, or pinned. Distortion of hooks is not acceptable.
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A competent person will carry visual inspection. A competent person will conduct load test of equipment to prove integrity. No welding will be conducted on the lifting equipment. Where there is no prescribed inspection / rejection criteria in Russian federation legislation, manufacturers recommendations will be adhered.

Loose lifting equipment shall be recertified within the time period specified by the manufacturer. In cases manufacturer recommendations for recertification and test is greater than 12 months, the maximum interval between testing shall be 12 months. If recertification and test is required more regularly, then the stated interval will be adhered. On all offshore locations, the inspection interval will be no greater than 6 months. Periodic Inspection will be conducted in accordance with the schedules defined in section 7.2 of this report and the results recorded in the lifting accessories log book. In the absence of approved manufacturers guidelines the equipment shall be load tested to 125% SWL.

6.7 Design & Certification Requirements for Cargo Carrying Units Cargo Carrying Units are termed as any container or material receptacle specifically designed for holding cargo during a lifting operation. Only CCUs specifically designed for lifting shall be used. As a minimum the following design and certification criteria shall be met:

Dedicated lifting points shall be built into the design of the CCU. The CCU shall not be used in any other configuration or slinging arrangement from which it has been designed.
CCUs used both onshore and shipped to offshore locations shall be manufactured and tested to an internationally recognised standard for offshore CCUs. The design of the CCUs for shipment offshore must be designed to DNV 2.7-1 or BSEN12079, and proven as suitable to withstand the rigour of the offshore environment. All CCUs shall be suitably painted or otherwise protected to withstand the environmental conditions encountered during SEIC operations. All CCUs and lifting gear used to ship materials to or from SEIC installations and sites should be correctly chosen for the purpose, in terms of type, size and load carrying capacity. The person responsible for shipping should satisfy themselves that an adequate testing and inspection procedure is in place for 3rd party owned CCUs. Wire rope grips shall not be used in the manufacture or length adjustment of wire slings, but they may be used for locking purposes on pipe slings. CCU doors must be adequately secured, with both top and bottom locking cams fully engaged, and door handle locking mechanism secured with a seal. Typical sealing arrangements include custom seals, steel bands or tie-wraps with minimum width of 10mm (3/8). The door engaging and un-engaging method should be suitable to eliminate the requirement for excessive force to be applied.

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All certification is fully in date at the time of use, and has sufficient test period remaining so as to prevent the CCU certification expiring when at the SEIC site or installation. Only CCUs specifically designed for the purpose should be stacked. All sling sets shall be removed from CCUs onto which another CCU will be stacked in order to avoid damage to the sling set. All CCUs being transferred to and from offshore locations shall be pre-slung. The recommended sling set arrangement is a four leg sling with a fifth leg and masterlink fitted as the lifting pennant. The fifth leg should be long enough to reach down the side of the container to allow safe access for slinging but not long enough to reach the ground. When CCUs with this arrangement are transported on vehicles the masterlink must be suitably fastened down.

Furthermore, it is recommended that the following criteria be considered.

CCUs should be pre-slung whenever possible. Where open cargo baskets containing general waste are used they should be provided with safety nets to retain the contents. The use of skips has been identified as a factor in accidents, and their use should be discouraged as these skips are easily snagged. When the CCU contains Dangerous Goods, padlocks should not be used. Wherever possible scaffolding tubes and boards should be pre-slung and transported in an open top CCU. Other associated equipment, eg clips, should be sacked or

containerised. Alternative arrangements for shipping these goods to and from offshore locations should be subject to Risk Assessment.

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7.0

Planning Of Lifting Operations

7.1 Lift Planning Records of lift planning shall be held in a central location onsite, where preparation of lift plans may be executed quickly by utilising a register of lifts, and adaptation of lift plans may be conducted more efficiently. A Lift Plan shall be prepared for every lift to be conducted on SEIC worksites. Once the plan has been developed, it will be necessary for a competent person to review the lift plan, ensure that all conditions have been satisfied, and the lift is deemed safe to proceed. A sample lift plan is included in Appendix 2. When writing a lift plan, the competent person shall assess the lift, and detail the following information. The plan must contain sufficient information to ensure that the lift may be conducted safely, efficiently and shall detail Equipment required Site safety requirements Pre-use inspections. Briefings and toolbox talks. Quantity of personnel required and their particular roles. Step-by-step instructions, including designation of lifting and landing sites. Communication methods to be used. Contingency and rescue plans.

If the lift is deemed a routine lift by categorisation above, the lift plans and risk assessment may be generic. Generic lift plans and risk assessments shall state to which type of lifts they are applicable. All Lift Plans generic, specific or engineered shall be developed, reviewed and approved by persons competent to do so as designated by the local Controlling Documents. For example: routine or simple plans could be reviewed and approved by a Crane or Rigging Supervisor; complicated plans by the Site Manager, Barge Engineer or Tool pusher and complex or complicated Lift Plans by a qualified, specialist engineer.

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7.2 Lift Plan Categorisation To encompass all types of lifts being conducted within Sakhalin Energy work sites, SEIC shall adopt the scheme detailed below where the categorisation of lifts will take into account all types of lifts including offshore operations and drilling works. The lift plan categorisation is used to determine the controls that must be in place for conducting a lift. Lift plan categories to be adopted shall be in the format as listed below. 1. Routine - Routine Crane Operations/Lifting Operation 2. Non-routine - Simple Lifting Operation 3. Non-routine - Complicated Lifting Operation 4. Non-routine - Complex Lifting Operation In the interests of safety for each different category of lift, personnel conducting a lifting operation shall ensure that a valid lift plan, risk assessment and toolbox talk is conducted and documented prior to the lifting operation commencing. The following charts detail the lifting operation categorisation and the process for lift planning.

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Lifting Operations Categorisation Flowchart


Requirement for lift identified Appoint Competent Person(s) to plan, supervise and execute lift. Assess operation for degree and nature of risk. Identify lift category. Implement control measures.

Categories Of Lift Routine


Routine Crane Operations/Lifting Operation

Control Measures (As applicable)

Suitable environmental conditions. - Deck operations, boat transfers. Carried out by competent personnel e.g. Deck - Load with known and evaluated weight, shape Crew/Crane Op/Riggers. and centre of gravity. Written procedures, Standing Instructions or - Standard rigging arrangements. Work Method Statement. Generic Lifting Plan. Toolbox Talk. SEIC Cranes & Lifting Standard.

Non-Routine
Simple Lifting Operation
- Only one item of lifting equipment. - Standard rigging arrangement, vertical lift. - Stable, known weight with adequate lifting points. - Unrestricted area and access. Carried out by competent personnel e.g. Riggers, Deck Crew & others who have training in hoisting & lifting/rigging skills. Permit To Work and Lifting Operations Certificate. Generic or Specific Lift Plan. Toolbox Talk. SEIC Cranes & Lifting Standard. Carried out by competent Riggers/Crane Op. Specific Lifting Plan. Permit To Work and Lifting Operations Certificate. Risk Assessment. Toolbox Talk. SEIC Cranes & Lifting Standard.

Complicated Lifting Operation


- Lifting Personnel. - Extended duration, e.g. More than 1 shift. - Use of two or more items of lifting equipment (Tandem Lifts). - Within sensitive, difficult or restricted area.

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Complex Lifting Operation


- Lifts over live plant. - Unknown or difficult to estimate centre of gravity. - Use of two or more items of lifting equipment (Tandem Lifts). - Environmental conditions liable to affect operations. - Non-standard rigging or equipment. Carried out by competent Riggers/Crane Op Impact/Hazard Study. Method statement/Lifting Plan with engineering input required. Permit To Work and Lifting Operations Certificate. PTW Level 2 Risk Assessment. Toolbox Talk. SEIC Cranes & Lifting Standard.

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Lift Planning Flowchart


Identify lifting requirement

Yes

Existing Lift Plan?

No

Note: All lifting plans shall be created by a competent person

Review Lift Plan

Plan Suitable?

No

Carry out risk assessment. Create Lift Plan Hold Pre-job Toolbox Talk, Complete form

Yes

No Any hazards IDd Does the PIC deem the hazards may be safely overcome using task based risk assessment? Yes Identify measures to reduce risk No Risk acceptable level? Yes Perform lifting operation No

Yes

STOP JOB

Yes

Any unforeseen hazards? No Complete task, archive lifting plan

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7.3 Risk Assessments For all lifts executed within Sakhalin Energy worksites, a risk assessment and Lift Plan will be prepared and documented. This section provides guidance on how these documents shall be developed. The planning of a lift shall address all risks and implement measures to mitigate or reduce these risks as low as reasonably practicable (ALARP). The risk assessment applied to all lifts, routine or non-routine, shall address: Communication barriers and how these are to be overcome Weight, size and centre of gravity of lift to be conducted Methods of slinging and availability of certified lifting points Availability of suitable lifting equipment, and its condition Path of the lift including pick up and lay down areas Quantity and duration of lifts Selection of Lifting equipment Conflicting work in the area Environmental conditions Levels of illumination Proximity hazards Access and egress Experience, competence, training of personnel Number of required personnel Pre-use lifting equipment inspections Communication methods Procedures for changing the lift plan. Restrictions in line of sight between Banksman and Crane Operator

The object of a risk assessment is to identify and eliminate or reduce to an acceptable level, any hazards in the lifting operation. In most cases it is not possible to totally eliminate the risks however by identifying and implementing additional safety measures the risks should be sufficiently lowered to perform the task without injury or harm to people or the environment. When the lift plan has been developed, each task shall be risk assessed using the Risk Assessment Matrix in appendix 1. If any specific task has a low risk rating as determined by the competent assessor, there may be no further need to implement additional measures of safety. Implementation of safety measures identified shall be introduced after the conclusion for each step of the lifting process is determined. After implementing the safety measures, re-assess the
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risk and identify whether the hazard would be sufficiently contained, and if not, implement further measures to make the task as safe as possible. When all risks have been assessed as far as reasonably practical, the conclusion for the complete lift should be determined as Low Risk. In cases where risks cannot be reduced further than Medium Risk rating as termed in appendix 1, the lift should only proceed with adequate supervision and control. Authorisation by management shall be sought if conducting a lift that is termed greater than Low Risk. As a guide, use the following interpretations for risk categorisation and control. Low Risk The hazards should be sufficiently contained, and the lift should proceed after all safety measures have been adopted as identified during the risk assessment. The task should only be undertaken with appropriate management authority, after consultation with the assessment team and specialists if required. If possible, review the method of work, and assess whether there can be a safer way of doing the task to reduce the risks further. Task shall not proceed. The method of work should be redefined or further implement measures to reduce the risk to an acceptable level. The controls shall be re-assessed prior to job commencement.

Medium Risk

High Risk

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7.4 Pre-Lift Toolbox Talk Prior to conducting lifting operations, the Person in Charge of a lift shall hold a toolbox talk with all personnel assigned to carry out the lift. The Toolbox Talk will cover, though not be limited to the following elements of the lift.

The planned Lift


Procedures to be adhered Responsibilities of each crew member Access and egress to job site Possible hazards as identified in risk assessment and specific site risks Tools and equipment required Materials required Work permits Isolations, if required Conflicting activities Environmental issues Contingency plans PPE

All personnel involved in the lift shall sign the record of Toolbox Talk Form prior to the lift being conducted. The signature of persons is confirmation of understanding of the lift to be conducted, and their required involvement. The Toolbox Talk Form in appendix 3, generated by the ISSOW system, is to be adopted by all SEIC sites, unless a suitable alternative is in use. The toolbox talk, held prior to the execution of a lifting operation shall consider all risks that will be present during the lifting operation. The site toolbox talk / risk assessment form in appendix 3 is not a substitute for an engineered risk assessment, however site conditions may realize further risks which need to be contained which the engineered assessment has not identified. The PIC shall verify that the answers to the following 10 Questions For A Safe Lift are all addressed by the toolbox talk.

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10 Questions for a Safe Lift 1. Is everyone in the working party aware of and do they fully understand the lifting and hoisting procedures applicable to the lift? 2. Has everyone in the working party attended the toolbox talk? 3. Has a pre-use inspection of the Lifting Equipment been carried out and are the Lifting Accessories tagged or marked with: Safe Working Load A valid certification date or colour code

4. Are all safety devices working? 5. Does everyone in the working party know the Person-in-Charge of the lift and is everyone in the working party competent and aware of his or her tasks? 6. Is the load safe to lift, e.g. not frozen to the ground or held by any means, free of potential dropped objects including ice & snow? 7. If required, is there a current Lift Plan and JSA and does everybody in the working party understand the job and precautions? 8. Does everyone in the working party know the environmental limits (e.g. maximum permissible wind speed) for the lift? 9. Is the lift area controlled and is everyone in the working party clear if the load falls or swings? 10. Are signalling methods and communication agreed and clear to you?

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7.5 Emergency Recovery Procedures Sufficiently detailed emergency recovery procedures shall be available onsite for each lifting appliance and to ensure safe recovery in the event that a lift has to be aborted for any reason. All personnel involved with the lifting operation will be briefed on the emergency procedures prior to commencing operations. The equipment manufacturer should provide adequate emergency recovery procedures however if these are not available then suitable procedures should be written and reviewed by competent persons. Emergency recovery procedures are subject to review and approval by SEIC designated review personnel prior to implementation.

7.6 ISSOW And Lifting Operations Wherever possible, lifting operations should be planned and assessed using the SEIC ISSOW system. The use of this system has a number of benefits including the automatic generation of a Toolbox Talk Form and Work Control Certificate for the task. The ISSOW system also creates a Lifting Operations Certificate when a Lifting Operations Risk Assessment is performed. This certificate describes the details of the task and ensures the Risk Assessment has identified the appropriate hazards & controls for the planned operation. The LOC is reviewed and approved by the appropriate ISSOW defined roles depending upon the category of lift. An example of an ISSOW generated LOC is contained in appendix 4.

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8.0 8.1

Execution of Lifts Crane Operations (Onshore)

Daily / Pre-Use Inspections These inspections should be performed and documented by the competent operator prior to first use each day or shift the crane is used in accordance with the manufacturers recommendations. The details and documenting of the inspection will be recorded in the equipment logbook in accordance with RF regulations. A sufficient handover between operators that work double shifts shall ensure that the operator coming on shift is aware of any irregularities relevant to crane in addition to maintenance work carried out. Operations Prior to conducting a lifting operation, a lift plan and risk assessment will be available. The lift shall be communicated by means of a toolbox talk and using the risk assessment and plan, all procedural and safety issues shall be addressed.

Before use, the crane operator shall: Have read and understood the manufacturers operating instructions and safety rules, have been trained and licensed as appropriate by RosTekhNadzor authorities and have read and understood all decals and warnings on the device. Inspect the crane as per the daily/pre-use inspection requirements and record the inspection in the equipment logbook. For mobile cranes check outrigger drift switches if applicable for the crane design. Ensure that lifting equipment is within inspection and testing intervals by examination of the periodic re-certification tags and documentation. Perform a pre-operational check to demonstrate operational readiness. If controls do not operate properly, the operator is responsible for notifying the supervisor. Repairs and adjustments should be made before operations begin and recorded in the crane logbook. Check all over-hoist and over-lower limit switches for correct operation. Test the agreed communication system. Operation should stop immediately upon communication loss and should not continue until communication is restored. For Mobile & Crawler cranes the following additional checks will be conducted: o The crane will be uniformly level to 1% (unless manufacturer operating manual states different limit). The crane will be of firm footing under tracks, or outriggers with wheels clear of the ground. Only the manufacturers recommended out-rigger pads will be used. The outriggers will be fully extended as per manufacturers instructions.

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Before operations commence the job supervisor (PIC) shall ensure the following checks have been conducted: Assess the prevailing environmental conditions (e.g. wind, rain, lightning, snow, etc), as well as aspects of the load (e.g. sail area) before commencing operations. No lifting should take place in poor visibility. A minimum ambient light level of 20 Lux is required under RF legislation. Ensure that lifting accessories are within inspection and testing intervals by examination of the periodic re-certification tags and documentation. Ensure the crane will not be loaded beyond the lifting capacity during operation. Survey the area for applicable hazards such as: o o Overhead obstructions and high-voltage conductors, Electrocution Hazards

Ensure all necessary barriers and warning signs are erected to cordon off the work area as identified in the work plan. Ensure that operators of other overhead and floor level machines are aware of the cranes presence and intended operations. Ensure sufficient areas, free of obstacles and other hazards, have been designated as the lifting & landing zones. Ensure the personnel involved in the lifting operation are equipped with the correct Personnel Protective Equipment (PPE) in accordance with the lift plan and risk assessment. For mobile crane operations the PIC should ensure the following additional checks have been conducted: o o The crane is suitably situated. All pre-checks on the crane have been completed and documented.

Nominate a suitably qualified and certified banksman for the operation. Hold a toolbox talk with all personnel involved in the lifting operation to ensure everyone is aware of their task. Ensure the load has sufficient tag lines to control the load. The rigging use to lift a load will be suitable for that purpose. It is prohibited to hook additional legs of multi-leg slings into each other. This is a major snagging hazard. Check the load in case there are loose objects that could be at risk from falling. Check also that the load is not secured or frozen to the ground. Ensure all persons maintain a safe distance from the load. In cases where a load is being lifted to a maximum of 1000mm, it is permissible for the slinger to walk with the load.

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During Operations The crane operator shall work under instruction from the banksman at all times unless the crane operator deems it unsafe to do so, in which case all operations will cease until the situation has been resolved. The Crane Operator shall always be at the controls when the equipment prime mover of the Lifting Appliance is running, with exception where a suitable risk assessment has been carried out and it is deemed safe for the operator to leave the controls. The operator shall never leave the crane controls whilst a load is suspended. The crane operator shall ensure that the hook is directly over the load before raising on the hoist. It is not permitted to raise a load from the ground using the boom motion. The crane operator shall raise the load no higher than 300mm and return the controls to neutral. This is to test brakes on the crane. It is prohibited to lift a load that cannot be controlled by the crane. The Crane Operator shall also have full control over the movement of the load. If there is presence of lightning, lifting operations shall cease immediately. The crane boom can act as a lightning conductor. Loads that are termed as hazardous shall be marked in accordance with Russian Federation rules, and shall be segregated from other cargo. The crane operator shall pay close attention to the RCI during blind lifts. Any change in load conditions will indicate a problem with the load being lifted. Lifts that shall be conducted under the direct control of the PIC include: o o o Lifting Operation near overhead power lines Tandem Lifts Lifting over live plant or offices (Where lifting is to be conducted over offices, a risk assessment must be carried out to determine whether the persons must be evacuated first.)

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8.2

Crane Operations (Offshore)

Offshore crane operations bring additional risks and hazards due to space limitations and other rig activities. The type of operations conducted can be categorized as follows: Platform Lifts the load is handled and controlled solely by the platform equipment form one location to another on the platform. Sea or boat lifts the load is moved to or from the platform from a boat or other platform, or the lift is being conducted by using lifting accessories not directly located on the platform, e.g. lifting barge or DSV lifting operations. Wave motions applicable to the sea state during sea or boats lifts create additional Dynamic Amplification Factors on the load and therefore cranes used for sea or boats lifts must have suitable systems fitted to allow for the additional dynamic amplification factors.

Daily / Pre-Use Inspections These inspections should be performed and documented by the Qualified Operator prior to first use, each day or shift the crane is used in accordance with the platform procedures / crane manufacturers recommendations. The details and documenting of the inspection will be recorded in the equipment logbook in accordance with RF regulations. A sufficient handover between operators that work double shifts shall ensure that the operator coming on shift is aware of any irregularities relevant to crane, in addition to maintenance work carried out. Operations Prior to conducting a lifting operation, a lift plan and risk assessment will be available. The lift shall be communicated by means of a toolbox talk and using the risk assessment and plan, all procedural and safety issues shall be addressed.

Before use, the crane operator shall: Have read and understood the manufacturers operating instructions and safety rules, have been trained and licensed and have read and understood all decals and warnings on the device. Inspect the crane as per the daily/pre-use inspection requirements and record the inspection in the equipment logbook. Check with PIC that lifting equipment is within inspection and testing intervals by examination of the periodic re-certification tags and documentation. Perform a pre-operational check to demonstrate operational readiness. If controls do not operate properly, the operator is responsible for notifying the supervisor. Repairs and adjustments should be made before operations begin and recorded in the crane logbook. Check all over-hoist and over-lower limit switches for correct operation. Test the agreed communication system. Operation should stop immediately upon communication loss and should not continue until communication is restored. Prior to commencing a sea or boat lift the crane operator will set the crane Rated Capacity Indicator for the appropriate sea state conditions.

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Before operations commence the job supervisor (PIC) should ensure the following checks have been conducted: All necessary permits to work have been raised. Assess the prevailing environmental conditions (e.g. wind, rain, lightning, snow, etc), as well as aspects of the device (e.g. sail area) before commencing operations. Crane shall not be operated in wind conditions above that permissible by either the crane manufacturer or the local controlling documents, whichever is stricter. Ensure that lifting accessories are within inspection and testing intervals by examination of the periodic re-certification tags and documentation. Ensure the crane will not be loaded beyond the lifting capacity during operation. For supply boat operations all load manifests have been supplied, analysed and verified. Survey the area for applicable hazards such as: o o o Drilling or other rig operations. Electrocution Hazards. Other Vessels in vicinity of supply boat.

Ensure all necessary barriers and warning signs are erected to cordon off the work area as identified in the lift plan to ensure all persons maintain a safe distance from the load. If necessary, announce operation over platform tannoy. Ensure that operators of other cranes and worksites are aware of the cranes presence and intended operations. Ensure sufficient areas, free of obstacles and other hazards, have been designated as the lifting & landing zones. Ensure the personnel involved in the lifting operation are equipped with the correct Personnel Protective Equipment (PPE) in accordance with platform police and additionally by the lift plan and risk assessment. Nominate a suitably qualified and certified banksman for the operation. Hold a toolbox talk with all personnel involved in the lifting operation to ensure everyone is aware of their task. Ensure the load has sufficient tag lines to control the load and these tag lines are free of knots. The rigging and slinging of the load will be suitable for that purpose. Check the load for potential loose objects that could be at risk from falling. Check also that the load is not secured by sea fastening or frozen to the deck. Helicopter operations shall not coincide with the lift to be conducted. When there are impending helicopter flights to the platform, the boom will be returned to rest. Only after the helicopter has safely left the platform may the crane operation resume. Ensure that allowable deck loadings are sufficient for the load being transferred.

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During Operations The crane operator will work under instruction from the banksman at all times unless the crane operator deems it unsafe to do so, in which case all operations will cease until the situation has been resolved. The Crane Operator shall always be at the controls when the equipment prime mover of the Lifting Appliance is running, with exception where a suitable risk assessment has been carried out and it is deemed safe for the operator to leave the controls. . The operator shall never leave the crane controls whilst a load is suspended. The crane operator shall ensure that the hook is directly over the load before raising on the hoist. It is not permitted to raise a load from the ground using the boom motion. A pennant shall always be used to attach the load to the hook block. Only after careful lift planning and risk assessment shall it be acceptable to connect the load directly to the hook block. All personnel must be clear of the load and must ensure safe egress from the load prior to the lifting operation. The crane operator shall raise the load no higher than 300mm and return the controls to neutral. This is to test brakes on the crane. It is prohibited to lift a load that cannot be controlled by the crane. The Crane Operator shall also have full control over the movement of the load. For lifts to supply vessels, the load should travel over water for as long as possible before slewing over the vessel deck. The hook shall be in the vertical at all times. It is not permissible to introduce side load in the boom. For cargo transfers, the crane operator will maintain a clear communication link to the vessel master / vessel crew. If there is presence of lightning, lifting operations should cease immediately. The crane boom will act as a lightning conductor. In case of boat lifts, only start the operation when the vessel is on location. Loads that are termed as hazardous shall be marked in accordance with Russian Federation rules, and shall be segregated from other cargo. The crane operator shall pay close attention to the RCI during blind lifts. Any change in load conditions will indicate a problem with the load being lifted. If the load becomes immersed in water for any reason, the crane operator must be aware that the load may be significantly heavier than expected. Lifts that shall be conducted under the direct control of the PIC include o o Tandem Lifts Lifting over live plant or offices/accommodation.

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8.3

Execution of Lifts - Sideboom Cranes

Daily / Pre-Use Inspections These inspections should be performed and documented by the competent operator prior to first use, each day or shift the sideboom crane is used in accordance with the manufacturers recommendations. The details and documenting of the inspection will be recorded in the crane logbook in accordance with RF regulations. Operations Prior to conducting a lifting operation, or tubular handling operation, a lift plan and risk assessment will be available. The lift shall be communicated by means of a toolbox talk and using the risk assessment and plan, all procedural and safety issues shall be addressed. Before use, the operator shall: Have read and understood the manufacturers operating instructions and safety rules, have been trained and licensed to operate the crane model and have read and understood all decals and warnings on the device. Ensure that the crane is within inspection and testing intervals by examination of the periodic re-certification tags and documentation. Inspect the sideboom crane as per the daily/pre-use inspection requirements and record the inspection in the equipment logbook. Check all limit switches and drift switches, if applicable. Perform a pre-operational check to demonstrate operational readiness. If controls do not operate properly, the operator is responsible for notifying the supervisor. Repairs and adjustments should be made before operations begin. The operator should adhere to all tags placed on the controls. Test the agreed communication system. Operation should stop immediately upon communication loss and should not continue until communication is restored. Be familiar with any surfaces before driving.

Before operations commence the job supervisor (PIC) should ensure the following safety checks have been conducted: Assess the prevailing environmental conditions (e.g. wind, rain, lightning, snow, etc), as well as aspects of the load (e.g. sail area) before commencing operations. Ensure the Sideboom will not be loaded beyond its rated load (capacity) during operation. Ensure all lifting accessories are certified and in good visual condition without defects. Check the area for applicable hazards such as: o o Overhead obstructions and high-voltage conductors, Debris, bumps and loose obstructions, drop-offs, holes, ditches, open earth fills, obstructed path of travel, unstable footing, and other possible hazardous conditions. Electrocution Hazards

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Where lifting operations shall be conducted in the vicinity of overhead powerlines or other electrical hazards, advice should be sought by a competent electrical engineer. Ensure the sideboom crane is not sited on a slope of greater inclination than permitted in the operators manual. Also to ensure that the ground conditions are acceptable for the lift to be conducted. Ensure all necessary barriers and warning signs are erected to cordon off the work area. Communicate the lift plan and risk assessment to all personnel involved in the lifting operation by means of a toolbox talk. Obtain the signatures of all persons involved in the lift to confirm their understanding of their duties.

During operations: Do not exceed the allowable side slope and grade while conducting a lift. Maintain a minimum safe distance of 30m from electrical lines, apparatus, or any energized (exposed or insulated) parts unless pre-approved as part of the work specification. The operator will remain at the controls during the period of operations. Keep the chassis of the machine a safe distance from holes, bumps, drop-offs, obstructions, debris, concealed holes, and other potential hazards on the ground/surface. Do not push or pull any object with the boom. Never attempt to release jammed slings with the crane. No part of the machine shall be any closer than 1m to any building or other structure. Ensure good communication is maintained with the PIC and other operators as necessary. Crane operator shall ensure that the load on the hook is always within the safe operational limits of the crane. Lifts will be conducted under the direct control of the PIC include o o Lifting Operation near overhead power lines Tandem Lifts

Visibility of the load shall be maintained at all times by PIC or authorized banksman. No persons shall be allowed to walk under the load, or close to the load. If a change in weather conditions (Weather such as snow, rain or lightning) develops during the lifting operation, it is the responsibility of the PIC to determine at what point the lift should be suspended.

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8.4

Execution of Lifts Loose Lifting Equipment

This section covers the use of loose lifting equipment for lifting, lowering, traversing or suspending a load in all SEIC work locations. Personnel using loose lifting equipment shall be suitably trained in the inspection and safe operating procedures of all loose lifting equipment. As a minimum: Persons shall be trained and certified as a competent Rigger by RosTekhNadzor authorities Persons shall have adequate knowledge of the safe use of all loose lifting equipment Persons shall understand the principles of tension in slings for rigging of loads. Persons shall have adequate knowledge of inspecting loose lifting equipment to detect defects where the rigging would be deemed unsafe for use.

Daily / Pre-Use Inspections Inspection of loose lifting equipment shall be performed by a qualified rigger / inspector, each time prior to use, each day or shift it is used, in accordance with the manufacturers recommendations. The details and documenting of the inspection will be recorded in the equipment logbook in accordance with RF regulations. The competent person carrying out examination must have the appropriate practical and theoretical knowledge and experience of the lifting equipment to be examined. His knowledge must enable him to detect defects or weaknesses and to assess their importance in relation to the safety and continued use of the lifting equipment.
CAUTION: THE PRESENCE OF A CORRECT EXAMINATION COLOUR INDICATES ONLY THAT THE ITEM WAS THOROUGHLY EXAMINED AT ITS LAST PERIODIC EXAMINATION. A PRE-USE INSPECTION MUST STILL BE CARRIED OUT. THE EQUIPMENT MAY HAVE SUFFERED MISUSE OR A MECHANICAL FAILURE SINCE ITS LAST THOROUGH EXAMINATION.

Before use, the Rigger should: Have read and understood the manufacturers operating instructions and safety rules, have been trained and licensed by RosTekhNadzor authorities. Check that the lifting equipment is in certification, and that it is suitable for the intended task. Check the colour code for the lifting equipment is current, otherwise return to the rigging store to be quarantined until receiving inspection. Inspect the lifting equipment as per the daily/pre-use inspection requirements and record the inspection in the equipment logbook. Perform a pre-operational check to demonstrate operational readiness. A function check of the equipment will be conducted in all directions of travel. Ensure that the loose lifting equipment is as per the lift plan. The job must be stopped in event any equipment is not in compliance with the plan. The lifting supervisor must be consulted and agreement given to use such equipment.

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Before operations commence, the job supervisor (PIC) should ensure the following safety checks have been conducted: Assess the prevailing environmental conditions (e.g. wind, rain, lightning, snow, etc), before commencing operations. Ensure the equipment will not be loaded beyond the line-pull limit during operation. Survey the area for applicable hazards. Ensure all necessary barriers and warning signs are erected to cordon off the work area. If necessary, adequate personnel will be posted to maintain work area security. Ensure that operators of other equipment are aware of the intended operations and ensure no conflict of works are ongoing in the area Ensure personnel are equipped with the correct Personnel Protective Equipment (PPE) in accordance with the lift plan and risk assessment. Ensure operator will have constant line of site with the load being moved, or has a banksman directing the load. Where slings are choking a load, there will be sufficient packing to prevent the sling being damaged by sharp edges.

During Operations

The operator shall adhere to the lift plan, unless it becomes apparent that safety will be
compromised. In such an event, the lift will be stopped and the lifting plan re-assessed. If high resistance is felt on the load the job shall stop and be re-evaluated in order to identify the reason for such. The operator shall use the lifting equipment only for manufacturers intended purposes. It is forbidden for anyone to stand under the suspended load. Communication either by radio, voice or hand signals will be maintained to ensure full cooperation of the crew involved in the lift. Anyone may stop the job if there is a safety concern noted. Sling angles for multi leg slings will be a maximum of 90.

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8.5

Execution of Lifts Tubular Handling Operations

Key elements and practices for the safe operation of slinging tubulars or tubular bundles are described in this section. Note: for the purposes of these standard the term tubular is deem as a rigid section pipe or similar such as: o Drill pipe o Pipeline sections o Scaffolding poles The following items are excluded and subject to the appropriate slinging & lifting procedures for the load: o Flexible pipe & tubing such as HVAC ducting o Hoses The following points should be observed when handling tubulars: Only tubulars of the same diameter or size and the same length should be bundled together. The number of tubes in each bundle should be such that the middle tubes are gripped and will not slip out of the bundle. Whenever practicable tubulars over 140mm (5.5) in diameter should be bundled in odd numbers. Tubulars should always be slung with two slings, each of the same length and of the same SWL. Where a tubular is being lifted or positioned with only one sling, the pipe shall be double wrap choked by the sling. In the case of bundles of tubulars, a means of preventing the bundle from coming slack when it is landed should be considered, such as a wire clamp or a wire rope grip above the reeved eye that forms the choke and a tie wrap of robust design on the reeved eye of the sling to prevent the eye from slipping over the rope grip. Slings should be placed positioned at equal distance (approximately 25% of total length) from the ends of the load. They should be double wrapped and choked around the tubular either when using steel slings or webbing slings. In order to prevent damage to the sling it shall not cross under the load. The sling should be of sufficient length to ensure that the choke is on the sling body, never on the sling splice, fittings, tag, eye or at the base of the sling eye or fitting. Tag lines shall be fitted for all lifts. The tag line shall be free of knots and other potential snagging hazards. Care should be taken on removing slings due to stowage movement. Whilst loading, consideration should be given to the installation discharging sequence. Ensure thread protectors and end caps are securely fastened. Due care and attention should be taken when loading tubulars to avoid damage to slings. Prior to making any lifts, the release of rigging should be considered. Precautions are required to prevent personnel from being trapped between tubulars during release of rigging. All drill pipe for offshore installations shall be pre-slung prior to leaving supply base or platform.

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8.6

Execution of Lifts Cargo Carrying Units

Key elements and practices for the safe operation of lifting CCUs are described in this section. The following checks must be carried out prior to the lift:

Check condition of the CCU, including doors, seals and locks and ensure that generally there are no signs of excessive corrosion or deformation.
Check that the CCU is not overloaded. Check the sling set is appropriate for the CCU and that the SWL is adequate and the leg angles will not exceed 90. Check the sling set is correctly fitted with all shackles pinned or locked, no twists in legs or shackles and no snagging present. When suspended, lift must be level in both axes within <3% of length/breadth (equivalent to 6 in 20, 18 in 50). Check all certification is fully in date at the time of use, and has sufficient test period remaining so as to prevent the CCU certification expiring when at the SEIC site or installation. Containers with less than one month of currency of certification will not be shipped to any offshore installation, except by written agreement with the shipper. Affix any relevant hazard placards and labels when hazardous goods are carried. Remove old hazard placards and labels when the unit does not contain hazardous goods. Always load heavier cargo first, with lighter goods on top. Ensure CCU contents are lashed or wedged securely, to avoid movement in transit. If necessary, use packing between items in CCU. With open top CCUs, ensure drainage holes are clear.

WARNING: The larger open top containers with drainage holes blocked can hold up to18 TONNES OF WATER. Use restraining door nets in closed CCUs. Check CCU roof, forklift pockets and any external ledges for loose items such as tools, dunnage, stones, etc. Always check lifting sets and fixed lifting points. Check the container door(s) are closed, dogs top and bottom are fully engaged and the closing mechanism secured so that it cannot inadvertently come open during handling and transport. Ensure that no equipment is loaded above the height of an open CCU without a Risk Assessment. This is to prevent snagging, damage to contents and potential dropped objects. Tape must never be used to secure loose items which could constitute a potential dropped object hazard. Loose items should be containerised and protective packaging should be secured using a certified lashing product.

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9.0 Working near Overhead Power Lines Under RF legislation, no work may be carried out using a crane or other appliance closer than 30m to an energised overhead power line with a voltage of more than 42V without extraordinary safety measures put in place. On occasions when it is necessary to work near overhead power lines the following safety criteria must be met: Wherever possible the power to the overhead line should be isolated. Special permission must be obtained from the operating company of the power line if operating with a vehicle over 4m in height. A special work permit must be issued with a validity period clearly stated. Work may only commence when the line voltage is known, and the permit is issued as above. A Work Order in accordance with PB 10-611-03 must be raised. A safety briefing will be conducted with all personnel involved in the lift. It is the responsibility of the Crane owner and site engineer to perform this brief. Safety precautions identified in the work permit shall meet requirements of GOST 12.1.013. Personnel not directly involved in the lift must be cleared from the area. Illumination levels must not be less than 20 lx during lifting operations. Maximum wind speed for operation of the hoists / cranes near power lines shall be 10 m/sec at the height of 10 m. Operations will not commence, or shall be halted during thunderstorm, heavy rain, fog and snowfall, when visibility is poor, and also when the ambient temperature is lower than that indicated in the manufacturers certificate of the hoist;

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9.1

Lifting Operations in Vicinity of Overhead Power Lines

The following table specifies the minimum distance permissible for personnel working close to power transmission lines using lifting equipment. No part of the machinery or personnel shall be permitted within the distances stated in the table below. Voltage of Overhead Line, kV Up to 50 From 50 to 200 From 200 to 350 From 350 to 500 From 500 to 750 From 750 to 1150 Minimum Distance, m 3 5 6 8 11 14

The table above is an excerpt for EP2005-0264-G01, as the operating distances are deemed safer than those advised in Russian legislative requirements. Crane operation near power transmission lines shall be conducted under the direct supervision of the Person responsible for Safety of Lifting Operations. He will be responsible for ensuring compliance with all safety precautions required by the lift planning, risk assessment and permit to work issued by the local power transmission company. It is not permissible for the crane operator to independently setup the crane in vicinity of power lines. This instruction will be written into the lifting plan. Jib cranes shall be equipped with limit switches for working motions to automatically switch off mechanisms of hoisting, slewing and extension of jib at a safe distance between crane and power transmission line wires.

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10.0 Marking of Lifting Equipment All lifting appliances and accessories shall be marked in accordance with Russian Federation rules and the requirements of this standard. 10.1 Marking of Lifting Appliances The marking of lifting appliances shall be as follows: Cranes All cranes shall be fitted with a manufacturers plate detailing the following: Unique Serial number Safe Working Load Date of Initial Test / Manufacture Manufacturers Name & Address

All cranes shall also display the following RF applicable data: Registration Number Safe Working Load Date of next Partial Inspection Date of next Full Technical Inspection

This data may be presented in the form of a plate or stencil. The following additional marks shall also be clearly displayed on the crane: Safe Working Load on boom. Warning signs and instructions as defined by the manufacturer.

All hooks and hook-blocks integral to the crane shall be marked as follows: Unique Serial number Safe Working Load Last Test Date Last visual examination date Site Colour Code

Mobile Elevating Work Platforms All Mobile Elevating Work Platforms shall be fitted with a manufacturers plate detailing the following: Unique Serial number.
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Safe Working Load. Date of Initial Test / Manufacture. Manufacturers Name & Address. Warning signs and instructions as defined by the manufacturer.

The maximum number of occupants shall be clearly displayed. Winches All winches shall be fitted with a manufacturers plate detailing the following: Unique Serial number Safe Working Load Date of Initial Test / Manufacture Manufacturers Name & Address

Winches shall be suitably marked to indicate the intended use of the winch with regards to personnel lifting, i.e. For Personnel Lifting Only or Not Suitable For Personnel Lifting or similar as appropriate. The current site Colour Code shall also be displayed. Portable lifting appliances All portable lifting appliance such as chain hoists, lever hoists, wire rope hoists etc shall be fitted with a manufacturers plate that details the following: Unique Serial number Safe Working Load Date of Initial Test Manufacturers Name & Address

The current site Colour Code shall also be marked on the equipment if applicable.

10.2 Marking of Lifting Accessories All lifting accessories such as slings, shackles, eye-bolts etc shall be marked with the following information: Unique Serial number Safe Working Load Date of last test Date of last examination

Wire rope slings shall have the above listed information and, in addition, the manufacturers name. The information shall be displayed in the form of a suitable metal tag designed to last the lifetime of the item.
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Fibre slings shall have the above listed information and, in addition, the following information: Manufacturers name. Length SWL for all configurations. RF type or symbolic notation of the sling. Specification or standard the sling has been manufactured to.

The information shall be displayed by means of a suitable durable fabric tag attached to the fibre sling. 10.3 Marking of Cargo Carrying Units Cargo Carrying Units shall be marked with the following information: Manufacturer Details CCU serial number Tare Weight Maximum Payload Maximum Gross Mass (MGM) Date and type of last test / examination

The following suffix scheme shall be used to identify the type of test or examination carried out: T Test and non-destructive examination. V Visual examination only. VN Visual examination and non-destructive examination.

10.4 Colour Code A colour code system is used by SEIC to indicate to the equipment user that that item of lifting equipment has undergone a 6 monthly examination and that the certification is valid for the operating period. The colour code shall be changed at predefined 6-monthly intervals. Only lifting equipment displaying the current SEIC colour code shall be used on SEIC operating sites with the exception of equipment supplied and exclusively used by 3rd parties who have been deemed by SEIC to be operating a suitable alternative scheme. The colour code shall follow the sequence: Black, Yellow, Green, Blue.

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11.0 Testing And Examination The following sub-sections define the testing and examination requirements for lifting equipment. Refer also to appendix 6 for the tabulated data. 11.1 Testing & Examination Lifting Appliances Mobile, crawler and fixed cranes shall undergo the following inspections: Prior to every use in accordance with manufacturers instructions. Partial Examination. This is an annual thorough examination and assessment of the crane condition and includes a test of all safety related functions and equipment. The minimum requirements for examination are crane structure, ropes and safety devices. Details of the Partial Examination shall be recorded in the crane passport. Full Technical Examination. The requirements are as per the Partial Examination with the addition of static & dynamic load testing. Unscheduled Technical Examination. The technical requirements are as per the Full Technical Examination. An unscheduled Technical Examination shall be undertaken when the crane has undergone either: o o o o o Modifications Repair or replacement of load bearing components or structures. Replacement of boom or replaceable boom equipment. Overhaul or replacement of load or boom winches. Replacement of hooks or hook assemblies.

RosTekhNadzor must be informed in writing of the intention to perform a Partial or Full Technical examination on cranes or mobile elevating work platforms no later than 10 days before the planned test date with the exception of side boom cranes when the notice period is 5 days. Mobile, crawler and fixed cranes shall be load tested as follows unless a RF approved alternative is in place, i.e. manufacturers instructions: Static Test to 125% SWL at maximum load /minimum radius. Lift test load to 200mm off ground. Hold for 10 minutes. If the load does not touch the ground then the test is deemed as passed. Dynamic test to 110% SWL. Raise and lower the test load at maximum radius 3 times. If the crane can perform this task satisfactorily then it is deemed to have passed the dynamic test.

Sideboom cranes shall be subject to the same testing and inspection regime as other cranes with the following exceptions: Static test shall be to 140% SWL unless otherwise specified in manufacturers operating procedures. Dynamic test shall be to 110% SWL and cover all hoisting and booming functions unless otherwise specified in manufacturers operating procedures. All test and examination details shall be entered into the technical passport for the crane.
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Mobile Elevating Work Platforms shall be subject to the following test and inspection regime: Prior to every use in accordance with manufacturers instructions. 6 monthly load limiter checks. Partial Examination. As maximum, to be conducted every 12 months. A thorough examination and assessment of the equipment condition, and includes a test of all safety related functions and devices. Full Technical Examination. As a maximum, to be conducted every 36 months. The requirements are as per the Partial Examination with the addition of static & dynamic load testing. Unscheduled Technical Examination. The technical requirements are as per the Full Technical Examination. An unscheduled Technical Examination shall be undertaken when the equipment has undergone either: o o o Modifications Repair or replacement of load bearing components or structures. Replacement of boom or replaceable boom equipment.

Mobile Elevating Work Platforms shall be load tested as follows unless a RF approved alternative is in place, i.e. manufacturers instructions: Static Test to 150% SWL at maximum radius. Distribution of the test loads shall be 110% SWL located in platform and 40% suspended from platform. Lift test load to 200mm off ground. Hold for 10 minutes. If the load does not touch the ground then the test is deemed as passed. It is allowable for 1 outrigger only to raise off the ground during the static test. Remove suspended 40% SWL load and dynamic test to 110% SWL. Conduct all allowed motions 3 times. If the crane can perform this task satisfactorily then it is deemed to have passed the dynamic test.

All test and examination details shall be entered into the technical passport for the mobile elevating work platform. Loose lifting appliances (Chain-blocks, Pull-lifts, wire rope hoists etc) shall be subject to the following test & inspection regime: Prior to every use visual examination by competent person. Every 6 months full visual examination by competent person in accordance with manufacturers guidelines. Annual inspection in accordance with manufacturers instructions. In cases manufacturer recommendations for recertification is greater than 12 months, the maximum interval between testing shall be 12 months. If recertification and test is required more regularly, then the stated interval will be adhered.

All test and examination details shall be entered into the technical passport for the equipment.

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11.2 Testing & Examination Lifting Accessories The following inspection schedules shall be followed for all loose lifting equipment: Wire Rope And Webbing Slings Prior to every use visual examination by competent person. Every 6 months full visual examination by competent person.

Load bearing attachments such as shackles, hooks, master-links Prior to every use visual examination by competent person. Every 6 months full thorough visual examination by competent person and certification issued to support the examination.

All test and examination details shall be entered into the technical records for the equipment. 11.3 Testing & Examination Cargo Carrying Units Cargo Carrying Units (CCU) shall be subject to the following test and inspection regime: Test / Examination Interval Prior to first use Every 6 months Annually Bi-annually After significant repair or alteration (1) Load Test 2 x MGM 2 x MGM 2 x MGM NDE Of Lifting Points Yes Yes Yes Yes Thorough Visual Examination Yes Yes Yes Yes Yes Plate Marking T V VN T T

(1) A substantial repair or alteration is defined as any work which affects the load bearing elements of the CCU and associated rigging. All inspection and test details shall be recorded in the technical records for the CCU.

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Appendices 1 Risk Severity Matrix 2 3 4 5 6 7 8 Lift Plan Toolbox Talk Form Lifting Operations Certificate Lifting Operations Personnel Competency Matrix Test & Certification Matrix Relevant Standards and Legal References User Feedback Report Form

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APPENDIX 1: RISK ASSESSMENT MATRIX The Sakhalin Energy Risk Assessment Matrix shall be used for all qualitative risk assessments performed for the company.

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APPENDIX 2: LIFT PLAN

Sakhalin Energy Investment Company


LOCATION: PERMIT TO WORK #: GENERIC LIFTING PLAN #: DIAGRAM/SKETCH OF OPERATION ATTACHED? DESCRIPTION OF LIFTING OPERATION: Yes / No AREA:

Lift Plan
JSA/RISK ASSESSMENT #: METHOD STATEMENT #: WEIGHT OF LOAD: ACTUAL/ASSESSED

LIFTING EQUIPMENT & ACCESSORIES TO BE USED (SPECIFY TYPE, SWL & COLOR CODE)

ALL LIFTING OPERATIONS REQUIRE THE FOLLOWING TO BE CONSIDERED BUT THIS LIST IS NOT EXHAUSTIVE
Pre-use equipment checks by operator Weight, size, shape and center of gravity of load Overturning /load integrity/ need for tag lines Method of slinging /attaching/detaching the load Availability of approved lifting points on load Availability of certified lifting points Environmental conditions including weather - Working under suspended loads - Lifting of personnel - Conflicting tasks in area/adjacent worksites - Proximity hazards, obstructions, path of load, laydown area - Experience, competence and training of personnel - Number of personnel required for task - Responsibilities clearly defined e.g. slinger/banksman - Communication requirements

TASK DETAILS (STEP BY STEP)

Method(s) of communication to be used

Radio

Verbal

Hand Signals

Steps taken to eliminate danger to personnel involved and others, including barriers where appropriate:

COMPETENT PERSON: REVIEWED BY:

NAME: NAME:

SIGNATURE: SIGNATURE:

DATE: DATE:

The review of the Lifting Plan must be carried out by the designated competent person(s) on the site/location. When the lifting operation is classified as non-routine and complicated, the competent person must discuss the Lifting Plan with the Responsible Person. When the lifting operation is non-routine and complex, the Lifting Plan must be assessed by another competent and/or a Technical Authority.

DE-BRIEF and LEARNING POINTS

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APPENDIX 3: TOOLBOX TALK FORM

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APPENDIX 4: LIFTING OPERATIONS CERTIFICATE

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APPENDIX 5 : LIFTING OPERATIONS PERSONNEL COMPETANCY MATRIX


Discipline All Roles Role / Responsibilities Qualification / Competency Skills A designated individual that conforms to a minimum physical condition, level of competency, and has a documented trail issued by an accepted and recognised authority, satisfying legal and SEIC requirements and demonstrating the aforementioned and is deemed qualified to perform safe lifting/rigging operations. Qualified personnel must have successfully attended a specific training course that meets the requirement of RF standards and must be trained on the specific Lifting Equipment type. RD-10107-96 Slinger A designated individual who: Has successfully completed training programme(s) that are Coordinates the lifting movements and maintains radio- appropriate to the lifts they are involved with that incorporates and/or visual communication with crane operator and familiarisation with rigging hardware, slings, communication (including hand signals and radio) and safety issues associated with persons close to the load; rigging and lifting loads, and planning of lifting operations Participates in JSA/risk assessment for the lift; Should not get involved as Rigger when also performing Has a minimum experience level of at least 3 years continuous the role of a Banksman. employment in a Slinger or Rigger. The individual should be competent in the planning of lifting operations and conducting risk assessments. A designated individual who: RD-10107-96 Slinger Has successfully completed training programme(s) that are appropriate to the lifts they are involved with that incorporates Shall inspect the rigging; familiarisation with rigging hardware, slings, communication May contribute to selecting rigging to suit the load; Connects/disconnects the load and participates in (including hand signals and radio) and safety issues associated with rigging and lifting loads, and planning of lifting operations. JSA/risk assessment for the lift. A designated individual is deemed competent to provide Has successfully completed training programme(s) that are RD-10107-96 Slinger direct supervision of Riggers of portable Lifting Equipment: appropriate to the lifts they are involved with that incorporates familiarisation with rigging hardware, slings, communication (including hand signals and radio) and safety issues associated with rigging and lifting loads, and planning of lifting operations. Has a minimum experience level of at least 3 years continuous employment in a portable lifting equipment role. The individual should be competent in the planning of lifting
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Banksman (Signaller / Flagman)

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RF Legislation Requirements

Discipline

Role / Responsibilities

Qualification / Competency Skills operations and conducting risk assessments.

Rigger

Crane Operator - Onshore

Crane Operator Offshore Stage 2 Crane Operator Offshore Stage 3 Sideboom Crane Operator

Mobile Elevating Work Platform

RD-10107-96 Slinger A designated individual who for portable Lifting Equipment: Has successfully completed training programme(s) that are Inspects the rigging, selects rigging to suit the load, appropriate to the lifts they are involved with that incorporates familiarisation with rigging hardware, slings, communication installs the equipment; (including hand signals and radio) and safety issues associated with Connects/disconnects the load and participates in rigging and lifting loads, and planning of lifting operations JSA/risk assessment for the lift. RD-1074-94 Boom To be responsible for the crane operations under their Has successfully completed training programme(s) that Crane Operator control; Are appropriate to the lifts involved To perform crane inspections with the exception of the Incorporate(s) familiarisation with equipment and: initial, quarterly and annual inspections; o Crane operating safety; o Crane system knowledge To duly complete all required crane operation logs, Preo Pre-operational checks; Use Inspection procedures and checks. o Operating requirements. o Communication systems (including hand signals and radio) RD-1074-94 Boom As Crane Operator onshore but involved in platform (deck) As Onshore and has completed advanced knowledge training Crane Operator lifts conducted in an offshore environment. Sea lifts are only demonstrated capability to carry out deck lifts unsupervised in an offshore environment. conducted under supervision by an Offshore Stage 3 Competent Crane Operator excluding personnel transfers. RD-1074-94 Boom As Offshore Stage 2 but including unsupervised sea lifts As Offshore Stage 2 and has successfully completed training to and supervision of Stage 2 operators. demonstrate capability to carry out all lifts unsupervised including Crane Operator offloading and backloading activities from supply vessels. RD 10276-99 Pipelayer To be responsible for the sideboom crane operations Has successfully completed training programme(s) that Operator under their control; Are appropriate to the lifts involved To perform crane inspections with the exception of the Incorporate(s) familiarisation with equipment and: initial, quarterly and annual inspections; o Crane operating safety; o Crane system knowledge To duly complete all required crane operation logs, Preo Pre-operational checks; Use Inspection procedures and checks. o Operating requirements. o Communication systems (including hand signals and radio) A designated individual who drives and operates aerial Has successfully completed training programme(s) that RD-10-199-98 Manlift platforms (e.g. cherry pickers, scissor platforms): Operator Are appropriate to the lifts involved To duly complete all required operation logs, pre-use Incorporate(s) familiarisation with equipment and:
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Discipline Operator

Role / Responsibilities

Qualification / Competency Skills

inspection procedures and checks; o Mobile aerial platform safety; o Working at heights; Performs a pre-operational check to demonstrate o Fall protection; operational readiness; o Pre-operational checks; Assesses the stability of the ground and environmental o Operating requirements. conditions are within operating procedures; and tests the communication system; Verifies that the lifted personnel wear the required PPE for the lift. Person-inAppointed by the Site Manager as the designated individual Skilled in the application of the technical, legal and SEIC requirements relevant to the planning and execution of lifts they are Charge (PIC) of who is responsible: involved with. the Lift For coordination and control of the lifting operation, including ensuring that involved people are competent for performing their task, aware of the task, aware of the procedures to be followed, and aware of their responsibilities; Ensuring that the Lifting Equipment is inspected and appropriate for use; That the JSA is followed and the Toolbox Talk is held prior to the lift. Has successfully demonstrated competency in the following: Personnel A designated individual who operates personnel lifting Lifting Winch winches: Carry out a pre-use harness inspection to identify any damage. Operator To duly complete all required operation logs, pre-use Check the Personnel Lifting harness is being worn correctly. inspection procedures and checks; Prepare PPE and clothing to prevent dropped objects and Performs a pre-operational check to demonstrate ensure hand tools are secured for safe use while overhead. operational readiness; Ability to carry out a pre-use inspection of the Personnel Lifting Verifies that the lifted personnel wear the required PPE winch and operate the Personnel Lifting winch as per for the lift. manufacturers instructions. Demonstrate hand signals for RAISE, STOP and LOWER. Demonstrate Radio commands for RAISE, STOP and LOWER Can explain the "line of sight" working principle. Completion all necessary documentation. Lifting A designated individual who is responsible for performing Maintenance of Lifting Equipment shall be carried out by suitable Equipment maintenance of Lifting Equipment to ensure its technical qualified and competent personnel with adequate knowledge in the Maintainer integrity in accordance with legal and EP Company following areas: maintenance requirements. Awareness of the relevant standards and regulations and site specific requirements and procedures;
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RD 1040-93 Safety Supervisor RD 1034-93 Job Supervisor

Not defined in RF legislation.

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Discipline

Role / Responsibilities

Qualification / Competency Skills Maintenance requirements on all types of Lifting Equipment to be maintained; Inspection frequency requirements; Detailed inspection requirements for all Lifting Equipment; Discard criteria and disposal processes for failed equipment.

Rigging Loft Controller

Local Lifting Focal Point

Maintenance of Lifting Equipment shall be carried out by suitable RD-10107-96 Slinger qualified and competent personnel with adequate knowledge in the following areas: Awareness of the relevant standards and regulations and site specific requirements and procedures; Maintenance requirements on all types of Lifting Equipment to be maintained: Inspection frequency requirements; Detailed inspection requirements for all Lifting Equipment; Discard criteria and disposal processes for failed equipment. A designated individual who is responsible for providing Skilled in the application of the legal and SEIC requirements RD 1040-93 Safety advice on lifting issues, RF and SEIC standards compliance relevant to the planning and execution of lifts within their operation Supervisor on a local operations level. area. RD 1030-93 Maintenance Supervisor RD 1034-93 Job Supervisor A designated individual who is responsible for performing control and inspection of Lifting Equipment to ensure its technical integrity in accordance with legal and EP Company maintenance requirements.

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APPENDIX 6 : TEST & CERTIFICATION MATRIX

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APPENDIX 7: RELEVANT STANDARDS AND LEGAL REFERENCES Russian Federation Legislation and Standards Legal and regulatory requirements for safety in relation to cranes and lifting equipment are derived from a number of Russian Federation laws, ministerial decrees, standards and regulations. However, like most workplace health and safety regulation, requirements for the design operation and use of cranes and lifting equipment in the workplace are defined at a federal level in the Russian Federation. The legislation that is the primary source of occupational health and safety requirements within the Russian Federation is as follows: Legislative Fundamentals of the Russian Federation on Public Health Protection approved of by the RF Supreme Soviet of the Russian Federation on 22 July 1992, No. 5487-1. Federal Law No. 181-FZ, 17 July 1999, Legislative Fundamentals of Labor Protection in the Russian Federation. Federal Law No. 197-FZ, 30 December 2001, Labor Code of the Russian Federation. Presidential Degree dated 4 May 1992, No. 850, On the State Supervision and Control over the Observance of Labor and Occupational Safety and Health Legislation of the Russian Federation. Resolution of the Russian Federation Government dated 26 March 1994, No. 238, On the Formation of the Interdepartmental Commission for Occupational Safety and Health. Resolution of the Russian Federation Government dated 12 August 1994, No. 937, On the State Statutory Requirements for Occupational Safety and Health in the Russian Federation. Resolution of the Russian Federation Mintrud dated 12 October 1994, No. 64, On Recommendations to Form and Arrange the Work of Joint Committees (Commissions) for Occupational Safety and Health to be Set-up at the Plants, in Institutions and Organizations with Staff of Above 10 Employees. Resolution of the Russian Federation Mintrud dated 12 October 1994, No. 65, On the Approval of the Standard Regulation on the Procedure for Training and Checking the Managers and Experts of Plants. Institutions and Organizations for Their Proficiency in Occupational Safety and Health.

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Under the legislation listed above, workers are entitled to: A safe workplace protected against harmful and dangerous effects that can result in occupational injuries, occupational diseases or reduced working capacities. The right to refuse to do a job in case of direct danger to the workers life and health. Instruction on safe methods, means and skills, provided at the employers expense. Personal protective equipment provided at the employers expense.

Cranes and lifting equipment are certified for use (and would not be legally allowed to be offered for sale or import) in the Russian Federation by the federal standards organization (Gosstandart). Responsibility for oversight of the safe operation of the equipment is vested in the Ministry of Labor with the Federal Mining and Industrial Supervision Agency of Russia (RozTekhNadzor) having responsibility for addressing technical safety issues related to certification and operation of equipment such as training requirements. The State Committee for Standardization (Gosstandart) publishes relevant standards that are applied by Ministries and State Committees. The Ministries and State Committees (in particular RozTekhNadzor) also publish rules and guidelines in relation to cranes and lifting equipment. A non-exhaustive list of the potentially relevant standards, rules and guidelines relating to cranes and lifting equipment is supplied below for informational purposes only. Users of this standard should consult with the HSE adviser in their area for current information available from the Legal Information System (LIS). No. RD 10-40. Standard Safety Manual for Engineers and Technicians to Supervise Safe Operation of Lifting Machinery (Cranes), 1993 No. RD 10-30-93. Standard Safety Manual for Engineers and Technicians Responsible for Maintaining Lifting Machinery in Good Working Condition, 1993 No. RD 10-34-93. Standard Safety Manual for Persons Responsible for Safe Performance of Work Using Cranes, 1993 No. RD 10-74-94. Standard Safety Manual for Crane Operators (Engineers) Operation of Jib Self-propelled Cranes (Truck-Mounted, Wheeled, Truck ChassisMounted, Crawlers, Tractor-Mounted), 1994 No. RD 10-9-95. Standard Safety Manual for Crane Operators (Engineers) Operation of Column Cranes, 1995 No. RD 10-103-95. Standard Safety Manual for Crane Operators (Engineers) Operation of Bridge and Gantry Cranes, 1995 No. RD 10-107-96. Standard Hoisting Machinery Safety Manual for Slingers, 1996
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Standard Safety Manual for Crane Operators, Operation of Bridge-type Cranes Equipped With Electronic Remote Control, 1996 GOST, No. PB 10-14-92. Crane Operation and Safety Rules, 1992 GOST, No. 33. (PB-10-11-92). Rules for Installation and Safety Operation of Hoists (Masts), 1992 GOST 12.0.004-90. System of Labor Safety Standards. Hazardous and Harmful Industrial Factors. Classification GOST 12.2.044-80. Occupational Safety Standards System. Machines and Equipment for Oil Transportation. Safety Requirements GOST 4.22-79. Nomenclature Quality Ratings System. Lifting Cranes. Quality Characteristics

GOST 12.2.058-81. Occupational Safety Standards System. Hoisting Cranes. General Safety Requirements GOST 22338. Railway Cranes specifications GOST 27551-87. Mobile Cranes. Controls. General requirements GOST 27552-87. Mobile Cranes. Terms and Definitions GOST 12.2.067-81. Occupational Safety Standards System. Hoisting Cranes. Galleries, Platforms and Ladders. General Safety Requirements GOST 26887-86. Platforms and Ladders for Civil Engineering Work. Specifications GOST 12.2.011-75. Occupational Safety Standards System. Roads and Building Machinery. General Safety Requirements GOST 27719-88. Earth-moving Machinery. Falling Object Protective Structures. Laboratory Tests and Performance Requirements GOST 14110-97. Reusable Semi rigid Slings. Specifications GOST 25573-82. Cargo Handling Rope Slings for Building. Specifications PB 10-14-92. Rules for Design and Safety Operation of Lifting Cranes PB 10-382-00 Regulations on Installation and Safe Operation of Cargo Cranes. SniP 12-03-2001 Safety of Labor in Construction. Part 1: General Requirements

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Inspection of workplace conditions may be carried out by a number of regulatory authorities. While the Ministry of Labor has primary responsibility for labor safety, inspections by GosGorTekhNadzor or the Ministry of Fuel and Energy (Mintopenergo) are also possible. Additional International Standards that may be used for guidance include: British Standards Institute (BSI) 5744 on Code of Practice for the Safe use of Cranes BSI 1757 on Specification for Power-driven Mobile Cranes BSI 466 on Specification for Power-driven Overhead Travelling Cranes International Standards Organizations (ISO) 7593 and BSI 1290, 3481/2, 3810/5, 6304. 6668/1, and 6668/2 for Slings BSI 3810/5 and American national Standards Institute (ANSI) B30.20 for Hooks ISO 2415 for Shackles ISO 3266 for Eyebolts BS 302/1 and BSI 3810/5 for Wire Ropes BSI 3724 and BSI 3810/5 for Man-made fibre ropes BSI 3810/5 and BSI 5759 for Webbing BSI 3810/5, 4942/1-6 and 6405 for Chains ISO 668, 830, 1946/1-6 for Containers BSI 6451 and 6756 for Cargo Netting and BSI 3810/5-6 and ISO 8538 for miscellaneous lifting equipment standards. Guidelines for the Safe Packing and Handling of Cargo to and from Offshore Locations, Issue 02, November 2002, UKOOA.

The following references may also be used: Shell UK Ltd Safety Regulations (3135-001). Cranes Shell UK Ltd Safety Regulations (3135-001). Handling Particularly Section 6, Chapter 3 on

Particularly Section 7, on Materials

Shell UK Ltd, Standards Document, Appendix X on Materials Handling Equipment: Vehicles


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Shell UK Ltd, Standards Document, Appendix XI on Materials Handling Equipment: Lifting Accessories Shell Group DEP 37.92.10.30-Gen on Pedestal Cranes (October 1994) Shell Group DEP 37.92.10.31-Gen on Pedestal Cranes (December 1999) Shell Group DEP 31.25.00.10-Gen on Hoisting Facilities and Weather Protection for Rotating Equipment STEP Houston, Document No. H60110G on Crane and Lifting Devices Inspection Guideline (October 2001) and Exploration and Production (EP 95-0260) HSE Manual on Logistics (October 1995).

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APPENDIX 8: USER FEEDBACK FORM From: Date: To: DOCUMENT CUSTODIAN: Or MANAGER HSE CORPORATE SAKHALIN ENERGY INVESTMENT COMPANY 35 DZERZHINSKOGO STR YUZHNO-SAKHALINSK 693000

DOCUMENT NAME: DOCUMENT (ID No.) SECTION of Document COMMENTS ACTION

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