the world of Shell Moerdijk

A SHELL MOERDIJK PUBLICATIONTHE WORLD OFShell MoerdijkWorkingsafelyis paramountMoerdijkShell products in our everyday lives Chopping up molecular chainsPlants with difficult names Land, air and water Did you know...A good neighbourThe World of Shell Moerdijk 1

Shell, a globalenterpriseShell has operations in around 110 countries, a104,000-strong workforce, and activities in the field ofpetroleum, petrochemicals, electrical power and sustainableenergy. The Company’s origins lie in an agreement datingback to 1907 between the Royal Dutch Petroleum Company(N.V. Koninklijke Nederlandsche Petroleum Maatschappij) andThe Shell Transport and Trading Company Limited, a Britishcompany. The organisation operated a dual managementstructure for many years until the Dutch and British companiesmerged to form RDS, Royal Dutch Shell plc, in 2005.2 The World of Shell Moerdijk

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Contents6. Welcome to the world of Shell MoerdijkShell Moerdijk supplies the base chemicals for CDs, bottles, garden furniture etc.8. Chemicals in everyday lifeShell products play a major role in our everyday life.9. Motor for economic growthShell Moerdijk makes a major contribution to the economic growth of the Netherlands.10. Crude oil as the basisCrude oil processed into various base products.Plant diversityDifferent plants producing different base chemicals.11. The cracker: the basic plantA chemical process reduces molecular size.12. Underground rapid transit system for oilProducts are delivered and collected through a comprehensive system of pipelines.Strong links between Moerdijk and PernisShell Pernis supplies feedstocks to Moerdijk plants.Chemicals in everyday life Crude oil as the basis The crackerShell plays a major role in moderneveryday life. It provides thestarting materials for making yourcar tyres, surfboard or gardenfurniture, and much more.Shell is a key player in the petrochemicalsector. It produces thefeedstocks that other companiesuse to make their products.The basic plant at the complexis the cracker. This ethyleneplant uses a chemical processto transform large molecularchains into smaller ones.810 114 The World of Shell Moerdijk

13. Working safely is paramountYou work here safely, or you don’t work here at all.Did you know…14. Portraits of ShellWhat employees have to say.16. Land, air and waterHarmful emissions are monitored very closely.17. What is the point of flaring?Safe, controlled combustion of excess products.Large-scale maintenanceA maintenance shutdown doesn’t go unnoticed by the local community.18. A good neighbourShell takes its corporate social responsibility seriously.19. Animal welfareSand martin welcome at Shell complex.Support for social projectsThe Social Investment department contributes to a sustainable society.Working safely Large-scale maintenance Animal welfare“You work here safely, or youdon’t work here at all,” is themotto for everyone working atShell’s industrial complex.Installations are carefullymaintained. Plants have to shutdown for large-scale maintenance.Animals pay little heed to therules that apply to humans. Toavoid risks, Shell endeavours topromote animal welfare.1317 19The World of Shell Moerdijk 5

6 The World of Shell Moerdijk

Welcome to the world of Shell MoerdijkPlaying on a CD, pouring a glass of coke from a bottle, lounging in a garden chair, drivingto an appointment by car, gluing together your children’s toys ... We use everydayconsumer goods in all these activities. It’s hard to imagine a greater contrast than betweenthe domesticity of these consumer products and the industrial landscape of Shell Moerdijk.But it’s the chemicals manufactured at Shell Moerdijk that enable the production of many consumer articles.What is more: it is very unlikely that society as we know it today would exist if there were no basepetrochemicals for the mass production of consumer goods.Shell Moerdijk is a set of industrial plants where complex processes are used to manufacture base chemicalsoriginating from petroleum. The feedstocks from which they are made are flammable. The productionprocesses operate at high pressures and high temperatures. These conditions demand the greatest possiblecaution to minimise hazards and nuisance for the people working on-site and the local residents.This brochure aims to demonstrate that we take this responsibility very seriously. We also aim to give a briefimpression of our activities so that you will have a better idea of our role in society and the economiclandscape after reading this brochure.The World of Shell Moerdijk 7

Chemicals ineveryday lifeFor most people, the base chemicals produced at ShellMoerdijk don’t strike a chord. These materials neverthelessplay a key role in our modern everyday lives. Othercompanies use the base chemicals to manufacture productswith which we surround ourselves on a daily basis. Thenature of these products is very diverse of course. This couldbe the tyres of your car, the soles of your shoes or carpetbacking. It might also be the mattress on which you sleep,the garden chair on which you sit or the surfboard on whichyou skim across the water. But also the jewel boxes holdingyour CDs, the bottles containing your soft drinks, the painton your walls at home or the packaging material of yournew TV. In short, an incredible number of consumer articlesthat make daily life that much easier.8 The World of Shell Moerdijk

Motor for economic growthThe petrochemical industry has laid the foundation for the large-scale, profitable manufacture of consumer goods. The development ofthis sector started in the US in about 1920. Around sixty years ago, the petrochemical industry became a leading industrial activity in theNetherlands and has been a key contributor to economic growth ever since. The first petrochemical plants at Shell Moerdijk were built in1970. Over time, Shell Moerdijk has developed into a large collection of plants and one of the Netherlands’ largest chemical complexes.The World of Shell Moerdijk 9

Crude oil asthe basisThe word petrochemical combines petroleum (crude oil)and chemical. The petrochemical sector is a branch ofindustry that manufactures base chemicals from petroleum.Shell is a key player in the petrochemical industry, concentratingon the manufacture of feedstocks. Other companiesprocess these base chemicals to make finished products.Plant diversityThe site accommodates various production units (plants). The names of these plants refer to the chemical process that takes place there orto the resulting product, such as hydrogenation, butadiene and benzene extraction, ethylene oxide, styrene monomer and propylene oxide.These are complicated terms that mean little to most people. It’s not important to remember them, but it is important to understand thatthe plants do not manufacture finished products, but chemicals that form the basis for the production of everyday consumer goods.10 The World of Shell Moerdijk

The cracker:the basicplantA large number of industrial plants are situated atthe Shell Moerdijk complex. The basic plant is thecracker (the ethylene plant) of the Moerdijk LowerOlefins (MLO) department. The plant uses naphtha,gas oil or LPG as its feedstock. The cracker uses achemical process to chop larger molecules intosmaller fragments. It produces ethylene, propyleneand butadiene, among other things, includingseveral by products such as raw gasoline, LPG andvarious hydrocarbon streams.The World of Shell Moerdijk 11

Underground rapid transitsystem for oilA large number of oil and petrochemical products are suppliedand transported by pipelines. This is a rapid and efficient means ofmoving these products from one place to another. The extensivenetwork of pipelines between Pernis and Moerdijk means thatfeedstocks, like naphtha, that are produced at Pernis can be transportedto Moerdijk for further processing both rapidly and withoutroad transport delays. Conversely, products can also transported bypipeline to Pernis.Strong linksbetweenMoerdijkand PernisLarge volumes of feedstocks that Shell Moerdijk needs forfurther processing come from Shell Pernis. Naphtha, gas oiland LPG are mainly transported to the site by pipeline. Thereis also a product flow in the direction of Pernis: feedstocksmanufactured at Moerdijk for chemical plants at Pernis,where they are used to make solvents, engine fuelcomponents and other products.12 The World of Shell Moerdijk

Working safelyis paramount“You work here safely, or you don’t work here at all,” is themotto for everyone working at Shell’s industrial complex.This unmistakable message reflects how seriously Shell takeshealth and safety. Top priority is given to safety at thecomplex, as volatile, flammable materials are usedthroughout the site. The policy extends much further thansimply observing statutory health and safety regulations. Thekey objective is to reduce risks even further. This is achievedby means of training and making people aware of theresponsibility of every individual employee on-site. But alsoby means of regular maintenance and improvement to andinvestments in our plants. This is how Shell endeavours tosafeguard the health and safety of everyone on-site in thebest possible way.Did you know…The Moerdijk site is laid out spaciously. Some key figures:•total area: 500 hectares (of which 250 hectares are actually in use)•total capacity: 4.5 million tonnes of product per year• 850 permanent employees and 450 contractor-supplied employees• half the produced volume is transported by pipeline (largely to and from Pernis), 45 per cent by ship and theremaining 5 per cent by rail and road (in tankers).The World of Shell Moerdijk 13

everything went according to plan and that gave us a greatName: Henk JansenPosition: Operational Turnaround Co-ordinatorQualifications: Middle School (Ulo B)Challenge: “We shut down the plants for maintenance andinspection once every two years. It’s my job to co-ordinatethat task for two particular plants. We start preparations eighteenmonths in advance. And the challenge? This is to shutdown the plant at exactly the right time and start it up againwhen the work has finished!”Job satisfaction: “We got it right again in 2007;deal of satisfaction!”Name: Abdelghafour LaarissiQualifications: Intermediate Laboratory TechnologyChallenge: “As an analyst it’s my job here in the lab to check whether ourproducts meet the criteria. I also develop new, time-saving analysis techniquesand project work. You encounter new things every day; you never know forsure how they will proceed. The challenge is to concentrate on the currentproject!”Job satisfaction: “The atmosphere is fantastic here! I also enjoy the contactswith the customer. That’s when you know who you’re doing it all for and itadds another dimension to your work!”14 The World of Shell Moerdijk

Name: Herman van HeterenPosition: Practical instructorQualifications: Technical school, Shell training centre and intermediatevocational education in process technologyChallenge: “I provide instruction to employees about the plant,give guided tours and help to write the operating manuals and workinstructions. My challenge is to provide good training material. Thesimulator, for example; a replica of the plant.”Job satisfaction: “I have a very free-ranging position here and Ihave the scope to do what I think is useful!”Name: John BorremansPosition: Focal pointQualifications: Intermediate vocational education in installationtechnology and machine fitter trainingChallenge: “I’m the focal point for the welding and machinefitting work at two plants. If something breaks down as a resultof which welders are needed, we make sure it is repaired. Thechallenge is to work according to schedule, taking safety and teamspirit into account. It’s important that we all go home safely again atthe end of the day!”Job satisfaction: “I work together with a large number ofdifferent people, but there’s always a pleasant atmosphere. I enjoygoing to work every day!”Name: Marinus SchaapPosition: Assistant Head of DepartmentQualifications: Business Administration,Rotterdam Erasmus UniversityChallenge: “We’re responsible for all the transshipments at Moerdijk, by ship,truck or train. The challenge is to ensure that all transshipments proceed smoothly,safely and according to plan in a very dynamic environment. Both now and in thefuture.”Job satisfaction: “We work together, focusing specifically on our objectives, andthere’s a very strong team spirit!”The World of Shell Moerdijk 15

Land, air and waterFurther to its focus on health and safety, Shell is makingevery effort to improve environmental performance. Oneobjective is to reduce harmful emissions. We address this byinvesting in the environment wherever possible. Shell is alsodoing its best to improve wastewater and process watertreatment. One key focus area of the moment is thereduction of CO 2emissions. Moreover, substantial investmentsare being made to further reduce SO 2and NO xemissions. Another example is our focus on flaring. We aimto reduce flaring and cause less nuisance when flaring isnecessary. Shell Moerdijk publishes an annual report on itsenvironmental performance in the form of an environmentalmemorandum.16 The World of Shell Moerdijk

What is the point of flaring?A flare is the flame at the top of a tall flare stack. The question is: why is flaring necessary? A flare can appear quite ominous and seem anunnecessary waste of energy. The answer is that flaring is a key safety mechanism. Circumstances may mean it is sometimes impossible tofurther process or store products temporarily. Flaring, i.e. controlled, safe combustion, is the best solution in that case. Extra steam is added toimprove combustion and prevent soot formation. But sometimes the supply of materials for flaring is too high, or insufficient steam is available.Sooty flares are inevitable in that case. You will then see a black plume above the flame. Flaring during an incident (insiders sometimesrefer to this as a ‘trip’) may result in high flames and a great deal of soot. There may also be some nuisance due to noise and noxious odours.Shell is working hard to prevent incidents and improve flaring by upgrading its flaring systems.Large-scale maintenanceThe plants at the Shell Moerdijk complex are subject to carefulmaintenance. Maintenance work is preferably carried out whileplants are operating in order to avoid production losses. Plants haveto be shut down to carry out large-scale maintenance. This isreferred to in the industry as a maintenance shutdown or aturnaround. Maintenance shutdowns are large, complex exercisesinvolving a large number of extra workers, some of whom are fromoutside Shell. A maintenance shutdown does not normally gounnoticed by the local community. This is because flaring is essentialas plants shut down and start up again. In that case, flaring is ascheduled activity, unlike flaring in the event of a malfunction.The World of Shell Moerdijk 17

A good neighbourShell takes corporate social responsibility very seriously. Thisexpressly implies that we consider good, honest contact withall stakeholders in the immediate vicinity to be important.That is why Shell Moerdijk participates in the MoerdijkResidential Advisory Board. Set up by the Port Authority, thisis an independent consultative organisation comprising anindependent chairperson and representatives of the localcommunity and various companies, including Shell. The aimsof the Residential Advisory Board are to increase knowledgeamong all stakeholders of the activities that takeplace on the industrial complex and in the port area. Butalso to provide information about how these activities arecarried out and experienced, and to discuss the relevantissues. The Moerdijk Port Authority is responsible for theadministration of the Moerdijk Residential Advisory Board.18 The World of Shell Moerdijk

Animal welfareStrict rules apply for individuals seeking access to the Moerdijkcomplex. Animals pay no heed to these and unsafe situations mayoccur if they are present on the complex. Shell wants to avoidthese risks but at the same time is seeking solutions to promoteanimal welfare and protect nature in general. Two examples: Sandmartins have built their nests on the complex. Shell has modifieda pool especially for nesting purposes. The sides of the poolwere dug away because sand martins prefer to build their nests invertical walls. But the sides of wastewater basins have a slopingconstruction to prevent nest building there. Another example: ShellMoerdijk also plays host to the peregrine falcon. Every year, thesebirds build their nests on a smokestack platform. For safety reasons,they have been provided with a permanent nesting box to enablethem to fledge their young.Support for social projectsShell’s corporate social responsibility is also expressed by the activitiesof the Social Investment department, through which Shell aims tocontribute to a sustainable society. Key areas of focus are voluntarywork, young people and technology, innovation and entrepreneurshipand knowledge transfer. The company addresses problems currentlyaffecting society on a national scale through its Shell Cares programmein partnership with a charitable organisation. Shell Cares projectsgenerally run for three years. They provide support particularly in theform of expertise and commitment available within the company: Shellemployees can volunteer their services, sharing their time and effort androlling up their sleeves to provide practical assistance. In addition, thePernis and Moerdijk Donation Committees provide support to projects inthe neighbourhood of both Shell sites. The Committees provide supportin the form of project-based financial donations.The World of Shell Moerdijk 19

You can find more information about Shell Moerdijk on our website:www.shell.nl/moerdijk. You can also subscribe to the Shell Moerdijk electronicnewsletter via this website.You can also contact us by telephone on +31 (0)168 359111 or toll-free withinthe Netherlands on 0800 0238044 (for local residents). Our fax number is+31 (0)168 355406 and our e-mail address is infopernismoerdijk@shell.com.Our postal address is:Shell Moerdijk, Communications/External Affairs department,PO BOX 6060, 4780 LN Moerdijk.Working on sustainability20 The World of Shell Moerdijk