Phillips 66 Company Rob Yarbrough NW Area Committee Presentation May 30, 2012

About Phillips 66

About Phillips 66 Transportation: Phillips 66 owns or leases various assets to provide strategic, timely and environmentally safe delivery of crude oil, refined products, natural gas and NGL. These assets include pipeline systems; product, crude oil and LPG terminals; a petroleum coke handling facility; a fleet of state-of-the-art marine vessels; and a fleet of railcars. As of Dec. 31, 2011, Phillips 66 R&M managed approximately 15,000 miles of common-carrier crude oil, raw NGL, natural gas and petroleum products pipeline systems in the United States, including those partially owned or operated by affiliates. In addition, the company owned or operated 42 finished-product terminals, eight LPG terminals, five crude oil terminals and one petroleum coke exporting facility.

About Phillips 66 Marine Vessels As of Dec. 31, 2011, the company had 15 double-hulled crude oil tankers under charter. These tankers, with capacities ranging from 713,000 to 2,100,000 barrels, are primarily used to transport feed stocks to certain Phillips 66 U.S. refineries. Additionally under charter were five double-hulled product tankers, with capacities ranging from 315,000 to 332,000 barrels, utilized to transport the company’s heavy and clean products. Truck and Rail Phillips 66 manages truck and rail operations on behalf of its U.S. refinery and specialty operations. Rail movements are provided via a diverse fleet of more than 8,500 owned and leased railcars. Truck movements are through over 150 third-party trucking companies. A joint venture, Sentinel Transportation, LLC, provides dedicated and specialized trucking services for Phillips 66.

Transportation has operations in 18 states About Phillips 66 Transportation has operations in 18 states

Phillips 66 Transportation ER Program EPR&S 47 ER Plans, 500+ first responders 17+ facilitated worst case drills/training annually 25+ self-facilitated table top drills annually Major drills annually with Global IMAT deployment Background P&T – 5 Divisions Truck & Rail Staff Support Staffs in Houston

Phillips 66 Transportation ER Program

Phillips 66 Transportation ER Program Emergency Response Teams Tier 1 Incident initial response (with Contractor & Agency) Safety, isolation, containment, assessment Incident Command established Incident Support Team (IST) - Division & Core IST Support appropriate level of response Support field staff Provide/assist with resources Assist with notifications Prepare for transition support from TPTN Tier 1 Team Prepare for transition of Tier 2 support if required

Phillips 66 Transportation ER Program Incident Support Team - IST Support the Division Teams Provide technical and business related support as requested or required Support staff Eng & Projects (Integrity and Projects Personnel) Logistics HSE Communications etc Transition to Crisis Management Support Team (CMST) roles in the event of CMST activation

Phillips 66 Transportation ER Program IST Members Division Staffing IST Members Houston & Virtual Connection ICP IAP Software Initial IAP (Incident Action Plan) can be printed to network printer at ICP if available IAP Software can be utilized with Outlook “Meeting Place” tool to conduct: IST Briefing 201 Briefing IST Briefing 201 Briefing

Phillips 66 Transportation ER Program CM Plan Crisis Management Team & Crisis Management Support Team Tier 3 Regional Response Teams (IMATs) Tier 2 Transportation Tier One Teams Tier 1 Site Plans & Facility Response Teams Planning & Preparedness

Phillips 66 Transportation ER Program Transportation Tier One Teams Site Plans & Facility Response Teams Transportation Tier 1 Responders* Transportation IST SME’s Transportation Tier 1 Division Support Transportation Tier 1 Team Transportation IST Includes Co-Located or Nearby Phillips 66 Business Unit Team Members

Phillips 66 Global IMAT Team restructured based on Phillips 66 Company Risk Portfolio Smaller, more highly-skilled core team Increased leveraging of Functional Support Plan’s Adoption of NIMS-based accreditation program Increased integration of Security Rob Benefits Smaller, more highly-skilled core team and leveraging of increased use of FSP’s Reduced turnover rate due to nature of team staffing Reduced training and travel burden on business unit and staffs Make-up of specialist roles from FSPs Minimal ICS training required for role Increased use of technology Virtual IAP software training, CBTs, webinar, online NIMS Tier 1 exercises supported by GIMAT credited Combination of training and drills due to increased skill level of persons on team and increased use of technology 13

Global IMAT Structure Refining: 52 Transportation: 17 Staff: 15 Deputy Incident Commander 8 Positions Safety Officer 8 Positions Finance Section Chief 3 Positions Planning Section Chief 8 Positions Operations Section Chief 8 Positions Logistics Section Chief 4 Positions Sit-Stat/Doc/Historian Unit Leader 6 Positions Service/Support Branch 3 Positions Rob Comms. Unit Leader 6 Positions Resource Unit Leader/Staging Area Mgr 7 Positions Operations Branch Directors 12 Positions Environmental Unit Leader 8 Positions Refining: 52 Transportation: 17 Staff: 15 April 2012 14

Spokane 2012 Exercise East Washington (Idaho) Response Zone Plan Includes YPL (MT/ID Border to Moses Lake, WA), Parkwater (Spokane) and Moses Lake Terminals, North Spokane, Fairchild and Gieger Delivery Stations. Worst Case Discharge exercise Washington Department of Ecology (WA DOE) WAC 173 – 182 Worst Case Discharge (WCD) scenario: MP 527.5 Northeast of Spokane, WA on the Spokane River Quantity: 3,260 bbls Product: Diesel

Spokane 2012 Exercise

Spokane 2012 Exercise

Spokane 2012 Exercise Spokane River MP 527.5 ~4.3 Miles Spokane Terminal

Spokane 2012 Exercise Monday, October 1 Tuesday, October 2 08:00 – 17:00 NIMS 300 training All Phillips 66 Transportation (TPTN) and Global IMAT members, Local, State & Federal Agency team members Tuesday, October 2 08:00 – 12:00 NWACP overview, OSRO capabilities, Tier 1 and Tier 2 teams integration, exercise Resource Ordering & Tracking Process 12:00 – 13:00 Lunch 13:00 – 17:00 Overview & Tour of Spokane area Phillips 66 assets and Spokane GRP sites applicable to the scenario

Spokane 2012 Exercise Wednesday, October 3 Thursday, October 4 08:00 – 12:00 NIMS 300 training continues 12:00 – 13:00 Lunch 13:00 – 17:00 Initiate exercise (work to complete 201’s) Local Tier 1 team members Local Agency Partners in Unified Command TPTN IST (Virtual Support) Will include 2 TPTN IST Briefings with Initial Tier 1 Team on site Section Specific training All other exercise participants Thursday, October 4 08:00 - ~16:00 Tier 1 & Tier 2 integration, IAP development (Planning Cycle Process), Local Officials Brief, Press Briefing Exercise Debrief – 16:00 - 17:00 Phillips 66 TPTN Tier 1 and Global IMAT team dinner – 19:00

Exercise Participants Spokane 2012 Exercise Exercise Participants Phillips 66 Company - 86 TPTN Tier 1 (Local) Team – 12 TPTN Tier 1 Team – 29 TPTN Leadership Team – 6 Phillips 66 Global IMAT – 39 (11 are TPTN Members) Contractors - 24 The Response Group – 10 MSRC – 6 Able – 4 NRC – 4 Industry Peers – 7 XOM PL, Tidewater Barge, Shell, BP & Enbridge

Exercise Participants Spokane 2012 Exercise Exercise Participants Spokane City & County - TBD Washington State (WA DOE) SOSC & Deputy - 2 EU & Staff – 2 Liaison - TBD JIC - TBD Webmaster – 1 Evaluators - 4 EPA Region 10 FOSC EU (SCAT) PIO Evaluator

Response Challenges Communication Systems Unified Command Remote locations Unified Command Agency Jurisdiction Communication of current & planned status UC reporting to respective management Security Staging Areas Command Posts

Phillips 66 Transportation ER Program Questions?