OCCUPATIONAL HEALTH AND SAFETY

At Talisman, we strive to create a working environment where accidents do not occur and in which employees, contractors and the public are not exposed to health and safety hazards. Where we have operating control, we have developed and implemented written standards, practices and plans to communicate Talisman’s expectations and guide our operational safety and loss control activities.

We encourage our employees to adopt a healthy lifestyle and offer programs and initiatives to support their efforts in this regard. Our employee wellness programs encompass pre-hire health assessment, long-term health surveillance, global health risk management, workplace health hazard assessment and control, managed rehabilitative care, and employee and family assistance programs. We are proactive on workplace ergonomics issues, and maintain appropriate emergency medical support systems for our personnel.

We employ safe systems of work, conduct regular loss control inspections of our facilities and have well-developed incident reporting and emergency response systems globally. We emphasize training and competency within our workforce and promote communication on safety and loss control through regular safety meetings, work permitting processes and internal reporting. New hires and contract personnel are subject to mandatory safety orientation prior to commencing work. Our safety and loss control programs are audited regularly.

Lost time Injury Frequency

(Global aggregate; number of lost time injuries per 200,000 exposure hours. Includes certain contractors in the UK, Malaysia and Indonesia. Data for 2003 and 2002 are restated to include contractor data from Malaysia.)



North America

In 2004, Talisman redesigned the ‘safe work permit’ process employed across our North American operations to improve hazard assessment and control at our worksites. We also delivered training in hazard assessment and safe work permitting, task observation and incident investigation and reporting within the North American operations.

Talisman continued to promote employee health and wellness through initiatives like blood pressure clinics and periodic employee lunch-and-learn sessions on such topics as nutrition and balanced diet, ergonomics, sun and skin care, sports injury prevention, vision care and health club memberships.

United Kingdom

In the UK, we revised our safety induction program for offshore workers, consistent with the ‘common induction’ process recommended by the North Sea “Step Change in Safety” initiative. The aim of common induction is to achieve a level of industry-wide consistency regarding the scope and effectiveness of safety inductions provided to North Sea workers. The Company completed a Noise Control Study at our Claymore platform to evaluate the feasibility of improvements in high noise areas and completed asbestos surveys across the UK operating sites, consistent with requirements of the Control of Asbestos at Work regulations.

We also implemented quarterly safety campaigns to foster safety awareness and improved performance across the North Sea operating sites. Campaign themes included the prevention of finger and hand injuries, lifting risks and controls and risk awareness related to body positioning in the workplace.

International

In 2004, supervisory personnel at our Indonesian operations completed training in incident investigation and reporting. Further, key personnel from the offshore operations in Malaysia participated in a three-day, internationally recognized training program focusing on the skills and knowledge required to deal effectively with emergency situations offshore. We also delivered safety awareness presentations covering hand injuries, slips, trips and falls to our Malaysian offshore drilling and production operations. Safety performance improvement workshops were also held with all of the Company’s key fabrication, drilling and operations contractors in Malaysia.

Other significant occupational health and safety activity occurred across Talisman's operations in 2004 including:


Talisman (UK) Wins Gold Award for Health

Talisman (UK) was one of 24 Grampian-based businesses to win the prestigious Gold Award from Scotland’s Health at Work program, recognizing Talisman’s commitment to promoting a healthy lifestyle amongst its workers at Talisman House in Aberdeen in 2004.

Scotland’s Health at Work is a national award scheme recognizing employers who demonstrate significant commitment to improving the health and productivity of their workforce. TLM health promotion themes in 2004 included smoking cessation, dental health and hygiene, nutrition and healthy eating, and cancer awareness. The program seeks to improve the health of the Scottish. Over 1,200 employers and half a million employees in Scotland participate in the program, representing over a quarter of the entire Scottish workforce.

Talisman successfully ran a series of theme weeks in the Aberdeen office covering various current health issues over the last two years. Other initiatives included taking part in the Grampian Heart Foundation Cycle Challenge, introducing complementary therapies into the workplace to help eliminate stress and arranging the first of a number of organized visits from the Scottish Blood Transfusion Service to help boost bloodstocks. Talisman (UK) also focused on encouraging everyone to perform some form of physical activity. The “Climb Everest Campaign” promoted taking the stairs rather than the elevator and was hailed a great success.