November 1, 2011

TO:

ALL APACHE CONTRACTORS

RE:

EH&S - APACHE CONTRACTOR SERVICE REQUIREMENTS

Dear Valued Contractor: Apaches Central Region is pleased to announce its new Contractor Safety Management System (CSMS). This new system promises to improve over-all safety performance, lower operating costs and protect human life, company property and the environment. To assist us in this effort, Apache has retained the services of PEC/Premier Safety Management (PEC/Premier). PEC/Premier will collect all data necessary to our cause and will work with our contractors toward achieving our goals. In these regards, your attention to the following is required: 1. Before a contractor can provide services or equipment on an Apache location, their safety records must be reviewed and acceptable. To facilitate this process, you must contact PEC/Premier to complete a Standardized Safety Questionnaire (SSQ). Contractors interested in continuing work for the Apache Central Region should complete the SSQ by not later than November 30, 2011. Contractors who have already completed an SSQ for PEC/Premier can simply release their SSQ to Apache. (Note: Essential contact information is provided in Attachment A.) 2. Once the SSQ is completed, you will be required to update the SSQ quarterly, or at any time significant changes to statistical data or procedural standards have taken or will take place. 3. Contractors must comply with OSHA safety training requirements. Workers who are assigned to perform services on Apache locations (drilling, construction or production) will have their training records reviewed for compliance. 4. The Apache Central Region now requires, at a minimum, SafelandUSA accredited orientation or some equivalent thereof for all personnel arriving on an Apache location. The costs for SafelandUSA orientation of the contractors personnel will be borne by the contractor. PEC/Premier can help you with this

Page 2 of 5 requirement. (Please see Attachments II and III for information about Safeland and CAP subscriptions.) 5. Apache is requiring copies of your companys EMR and OSHA documents. If you have a Contractor Assistance Program (CAP), please upload the documents into the General Incident Safety Statistics of the SSQ. If you do not have a CAP subscription, please forward the documents to documents@pecpremier.com. Your email subject line should reference Apache/(your company name) and name of attached documents. a. Submit OSHA 300 and 300A forms for 2010, 2009, 2008: The information on the OSHA documents must match the General Safety Incident Statistics section in your SSQ. b. Submit EMR forms for 2010, 2009, 2008: This is a form or letter from your Workmens Compensation Insurance Company. This information must also match the General Safety Incident Statistics section in your SSQ. 6. Apache will not require you to participate in the CAP but participation can be very beneficial and is thus highly recommended. To list one benefit, the CAP program can help with the development and management of your safety program. Cost of participation in the program is offset with built in discounts through Office Depot, Hagemeyer, 3E and other participating vendors. (For further details please see the attached document about CAP. ) Your consideration of these new requirements is appreciated. Please respond at your earliest possible convenience. Should you have any questions or require any additional information, please contact John Rosata, Manager EH&S, at (918) 491-4980. Sincerely,

Page 3 of 5

ATTACHMENT I Essential Contact Information

PEC/Premier
CSR Department: 1-800-892-8179 or safety@pecpremier.com Safe Land USA Orientation information Training Tracker information Standardized Safety Questionnaire (SSQ) information CAP (Contractor Assistance Program) Help Department: 1-800-892-8179 or help@pecpremier.com User Account assistance Technical help Training Tracker Training

Apache Corporation Central Region John Rosata, REM Manager EH&S Phone: (918) 491-4980 or Cell (832) 474-7993 Email: John.Rosata@apachecorp.com Address: 6120 S. Yale, Suite 1500, Tulsa, OK 74136 Brad Eubanks Operations Manager Phone: (918) 491-4818 Email: Brad.Eubanks@apachecorp.com Address: 6120 S. Yale, Suite 1500, Tulsa, OK 74136 Sheldon Waeger EH&S Specialist Phone: (918) 491-4980 Email: Sheldon.Waeger@apache.com Address: 6120 S. Yale, Suite 1500, Tulsa, OK 74136 Les Hall EH&S Specialist Phone: (580) 22509490 Email: Les.Hall@apachecorp.com Address: 3900 West 3rd St., Elk City, OK

73644

Chad Houck EH&S Specialist Phone: (580) 256-5541 Ext. 4362 Email: Chad.Houck@apachecorp.com Address: 5101 Williams Ave., Woodward, OK 73801

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ATTACHMENT II SafeLandUSA
A single employee going through multiple company-specific safety orientations is time consuming and expensive; SafeLandUSA is designed to eliminate the need for multiple orientations by bringing together industry leaders to create a single, standardized safety orientation that is accepted by multiple operators. Complying with a new safety orientation can seem like a daunting task. PEC recognizes this and tries to make the process as quick and painless as possible. We offer several options for getting your employees SafeLandUSA compliant including: Train the Trainer Program Become a trainer. Both PEC Basic Orientation and PEC Core Compliance meet the requirements of SafeLandUSA. Having an on staff approved trainer allows you to train on your own schedule or on an asneeded basis. Training Courses Through PECs vast network of SafeLandUSA approved professional trainers you will have no problem finding a class near you. Accreditation Use your own program. PEC is an approved accrediting agency for SafeLandUSA. We can review your companys safety program to ensure it meets SafeLandUSAs requirements.

For more information on becoming SafeLandUSA compliant, please visit www.pecpremier.com/safelandusa or call 1.800.892.8179 and ask about getting set up for SafelandUSA.

Page 5 of 5

ATTACHMENT III Contractor Assistance Program (CAP)

CAP is a collection of tools and benefits designed to get your company from point A to point B in the most efficient and money-saving fashion, while providing you with the tools to properly assess your companys safety record. PEC has divided CAP into a three (3) phase process to help you utilize the program. Phase 1 is the Evaluation Phase Operators are constantly evaluating their contractors to make sure it is a financially sound and safe decision to hire the best company for the job. CAP provides benefits to self-evaluate your company by allowing you to grade your SSQ as the Operators would. Phase 2 is the Solution Phase CAP provides the tools to improve any weaknesses as well as continue to build upon your strengths. Other benefits in the subscription help you meet and exceed Industry and Operator standards and/or requirements. Phase 3 is the Bottom Line CAP is designed to help the Contractors bottom line as well as its overall safety. PEC has created partnerships to provide discounts and savings on the things that you need or already use to run your business. Taking advantage of these designs, your company can pay for your entire CAP subscription while putting money back in your pocket. For more information on the specific benefits and tools of the CAP, please visit www.pecpremier.com/cap to purchase online or call 1.800.892.8179 and ask about signing up for your subscription.