With a focus on maintaining safe and reliable operations, Husky has rigorous safety programs and further strengthens our safety culture by making process safety improvements on an ongoing basis. Our goal is that no one is injured on the job.

Structural Changes to Promote Safety

Husky is implementing several structural changes to backstop our drive for improvements in safety and asset integrity and reliability.

Executive compensation will be more tightly aligned with safety performance throughout the organization, with an explicit link between safety performance and the employee bonus program. This will begin in 2019.

The newly created Senior Vice President, Safety position will report directly to the CEO.

We regularly engage independent experts to assess our existing asset integrity and reliability processes to make recommendations for further improvements.

Critical and Serious Incidents

Husky communicates the risks most associated with potential serious injuries and fatalities to employees and contractors so they can take actions to mitigate those risks. The rate of critical and serious incidents per hours worked in 2017 continued a trend of steady improvement.

We employ the International Oil and Gas Producers‘ Life-Saving Rules to enhance existing training. These 18 rules are based on identified trends, covering personal safety, driving, site safety and control of work. Consistent icons, with descriptive guidance, are used to reinforce simple actions that can mitigate high risk activities.

As we continue to work to reduce the number of incidents, we use more and better data that evaluates and targets areas of potential risk. To ensure best practices are shared and implemented across the organization, we identify issues either occurring or with the potential to occur in more than one business unit and then communicate the risk and mitigation strategy to all areas of the company.

Total Recordable Injury Rate

The total recordable injury rate (TRIR) measures lost time, restricted work and medical aid incidents, and fatalities.

In 2017 we saw an increase in our TRIR, to 0.62 from 0.55 in 2016. It had declined over the previous six years.

Lost Time Injury Frequency

Lost time injuries are those that prevent a worker from performing their job. We maintained a frequency of 0.11 per 200,000 exposure hours in 2017, the same as in 2016 and down from previous years.

Employees and contractors receive ongoing training in safety processes and procedures to continuously drive this downward trend. In 2017, we recorded 16 lost time incidents, down from 17 in 2016.

Incident Tracking

Husky tracks all incidents and uses a company-wide tool to learn from the ongoing monitoring and assessment of reported events. Integrating the reporting and review of events such as injuries, equipment failures and complaints from the public can proactively reduce the probability of repeat events.

Investigation results, action items and lessons are incorporated into safety alerts, statistics reports, risk analysis, management reporting and training development. Our goal is to understand the cause of incidents and prevent a reoccurrence.

3: Good Health and Well-being

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Road Safety

Husky‘s corporate driving standard includes mandatory driver training and vehicle monitoring devices, which provide drivers with reports on their speed, seatbelt use and driving practices, helping to improve performance.

In 2017, there were 15 motor vehicle accidents involving employees, compared to 18 the previous year. There were 24, including contractors. Husky‘s fleet of approximately 1,200 vehicles covered about 31 million kilometres, a decline from 45 million kilometres in 2016, in part due to the disposition of assets in Western Canada.

Ground Disturbance Prevention

Our ground disturbance damage prevention team learns from any incident where contact has been made with underground facilities, such as pipelines. “Line strike” incidents range from a portion of a line being inadvertently uncovered by farm equipment to actual contact with a line. Husky‘s ground disturbance program clearly defines and communicates our procedures to minimize this risk. Integrating the damage prevention process has resulted in no reportable line strikes since 2014. The ground disturbance damage prevention team identifies additional efficiencies by focusing on a risk-based approach to strengthen our approach to damage prevention continually.

Office Safety Program

We have developed a program for our Calgary office to promote an understanding and commitment to safety similar to colleagues in the field.

The Office Safety Program provides a consistent approach to minimizing risk and promoting safety. Based on shared responsibility, the program builds a work space where every individual understands potential office hazards, how to mitigate them and what to do in the event of an incident or emergency.

The level of safety engagement by office personnel has significantly increased, with an external auditor recognizing the program as “very practical and fit for purpose.” We expect to expand the program to our regional offices.

Offshore

Husky‘s well management programs offshore Newfoundland and Labrador and at the Liwan Gas Project offshore China start at the planning stage and continue through construction, commission and operation.

Wellbore monitoring, inspection of subsea trees, testing of subsurface safety equipment, plans for blowout mitigation and an inventory of relief well materials are part of the programs. During operations, at least two independent well barriers are in place.

With other area operators we participate in mutual emergency aid partnerships and a number of international safety initiatives.

In Indonesia, similar programs and activities are in place with our partners who operate those facilities.

The Atlantic region is a harsh environment, with a seasonal risk of sea ice and icebergs. Our comprehensive ice management plan mitigates these risks with multiple layers of surveillance and a range of ice management techniques, which include towing icebergs and using water cannons to direct them away from operational areas.

3: Good Health and Well-being

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Industrial Hygiene

We protect our employees and contractors by identifying, assessing and controlling occupational health hazards. By understanding potential exposures, we are better able to prevent the development of occupational illnesses.

Our industrial hygiene program includes ongoing surveillance, assessment and specific control procedures for a number of recognized hazards. In 2017, we completed 78 quantitative surveys, including samples from more than 1,000 employees or areas, producing 2,500 results, allowing us to assess exposure to potentially hazardous materials or environments. We use this short-term exposure data to identify exposure scenarios and determine the proper application of controls.

We completed comprehensive qualitative exposure assessments at 18 facilities, which are being used to develop ongoing plans and activities.

Husky‘s Transportation of Dangerous Goods program developed a new corporate standard in 2017, along with work instructions and an advanced training program. We align our operations with the Globally Harmonized System of Classification and Labelling of Chemicals (GHS), placing an emphasis on hazard communication and compliance.

We provide employees and contractors at rural facilities with proper water quality through our Water Supply Integrity Program. Water sources at sites, including groundwater wells, tanks and cisterns, undergo regular sampling and maintenance to ensure water quality and quantity. This includes any source for washing or eye wash stations.