1. Vendor Surveillance and Inspection Services – 2015
Houston, TX USA Kristiansand, Norway Singapore
Macae, Brazil Aberdeen, Scotland Gdansk, Poland

2. Confidential
Contents
 Overview
 Clients
 Vendor Surveillance Services
 Project Example
 Summary
“Entrion’s vendor surveillance program for the DSM
I & DSM II drillship projects were key to ensuring an
on schedule delivery of the vessels. Through its
global network of highly skilled multi discipline
engineers located near to the major OEM’s, we were
able to identify early risks to schedule and quality at
the vendor facilities and address these in a timely
manner. Through this approach we secured timely
delivery of the drilling equipment, while maintaining
the highest quality on each product.”
- - Craig Riddell
Technical Director
Odfjell Drilling

3. Confidential
Overview
 Our Vision - Global inspection firm of choice
• Vendor Surveillance and Inspection
• Audit and Verification
 Headquarters – Houston, Texas
• International operations – Kristiansand, Norway, Gdańsk, Poland, Aberdeen, UK, Singapore,
and Macaé, Brazil
 Over 100 experienced professionals located near major manufacturers worldwide
• Upstream and Downstream
 Clients – Drilling Contractors, Producers, Shipyards, and OEMs
 Well established internal systems and processes
• Consistent reporting
• QMS and HSE implemented
• ISO 9001 Certified and Achilles Approved

4. Confidential
Clients
Aban Offshore Limited Atlas Insite Atwood Oceanics
CenterPoint Energy Chevron DCOR
Diamond Offshore Dolphin Drilling Enseada
Enbridge ENSCO Frigstad Offshore
Hyundai Heavy Industries Hyundai Samho Noble Drilling
MacGregor Maersk Drilling Ocean Rig
Odfjell Drilling Odfjell Galvao Opus Offshore Pte Ltd
OtterTail Power Company PAA Natural Gas Storage Petroserv S/A
Queiroz Galvao Oleo e Gas Remontowa Rowan Companies
Sempra Energy Songa Offshore Stena Drilling
Transocean Vallourec Vantage Drilling
Yantai CIMC Raffles

5. Confidential
Improve Reliability and Prevent Delays
Design &
Engineering
• Engineering Support
• Procurement Support
Fabrication &
Construction
• Vendor Surveillance &
Inspection Services
• Audit and Verification
• Project Management
Operations &
After Market
• Vendor Surveillance &
Inspection Services
• Certification Support
• Asset Integrity
Management

6. Confidential
Vendor Surveillance & Inspection Services
 On-time delivery of reliable equipment
 Early detection of delay to expedite/reduce impact
 Identification and resolution quality issues
 “Eyes and Ears” in the field
 Local extension of project team
 Independent insight into EPC Contractor/OEM
 Lessons learned to improve vendor performance
 Compliance to standards, regulations and contracts
 Verification to 3rd party standard
 ENTRION Vendor Surveillance Standard (ENT 006)
Inspection of repair of double body
Cameron Blow Out Preventer (BOP) in
Patterson, LA
Factory Acceptance Test (FAT) of 165t
AHC Knuckle Boom Crane KBC in
Molde, Norway

7. Confidential
Vendor Surveillance Program
Skilled Local Professionals and Process Provide Predictable Results on Time on Budget
1.Risk-based
Planning
2.Project
Execution
3.Feedback &
Resolution
• Scope
• Activities
• Plan
• Schedule
• Contract/PO Review
• QA/ITP Review
• FAT Procedure Review
• Kick-Off Meeting
• Progress Monitoring
• FAT Witnessing
• Final Inspection
• Reporting
• Issue
Management
• Punch
management
• Improvement/
feedback
4.Management
• Organization
• Document
Control
• Resource
Management
• Project Finance

8. Confidential
Vendor Surveillance and Inspection Equipment Scope
Mechanical, Marine, Hydraulic, Refinery, Electrical, and Control Systems
 Topside Equipment
• Cranes & Winches
• Mud handling
• Drill floor Systems
• Drillers Control
• Drawworks
• Elevators
• Tanks & Vessels
• Derrick
 Subsea Equipment
• BOP Control Systems
• BOP Stacks
• Riser Systems
• Connectors
• Valves
 Propulsion & Power
• Engines
• Generators
• UPS
• Transformers
• Switch gear
• Thrusters
 Shipboard Systems
• Lifeboats
• Firewater system
• Helicopter refueling
• SCADA
• Breathing air
• Bilge Water
 Refinery & Processing
• Heat exchanges
• Vessels
• Storage tanks
• Separators
• Columns
• Piping
• Steel Structures
• Emergency Generators
• Control Systems

9. Confidential
Project References
Delivered on a Project or a Call-out Basis
 Rowan, Noble, Dolphin, DODI at HHI (14)
 Odfjell Drilling: Deepsea Metro I and II,
Deepsea Aberdeen, Deepsea Stavanger,
Deepsea Bergen, Deepsea Atlantic, various
fixed platforms (12)
 Chevron Escravos
 DWC, DSM I, DSM II at HHI (3)
 Clear Leader rigs at DSME (5)
 Aker Drilling at DSME (2)
 Transocean at DSME (5) in progress
 KG1, KG2, Petrobras 10K at SHI (3)
 ENSCO 8500 Class at KFELS (4)
 Brazilian Shipyard Enseada (4) in progress
 DDIII, B326, B327, B335 at KFELS (4)
 Frigstad at Yantai (2) in progress

10. Confidential
Project Example – Risk Based Planning
 Introduction and Objectives
 Plan, execute and manage a global surveillance program for a drillship
 On-time delivery and quality equipment based on ENT-006
 “Eyes and ears” in the field to oversee contractor performance
 Budget - $950K (0.12% of total)
 Scope of Work
 Drilling and subsea equip.
 Risk based approach
 Long range plan
 375 Surveys
 Short term dispatch plan
System / Package Criticality Assessment Field Activities
High Med Low Total KOM PM FAT FI Total
BOP Control System 12 1 0 13 3 8 4 5 20
BOP Stack 16 0 0 16 1 84 30 1 116
Bulk and Mud System 0 50 0 50 0 2 27 24 53
Choke & Kill System 0 5 0 5 4 5 9
Cranes and Material Handling 4 27 0 31 1 4 18 17 40
Derrick 1 19 0 20 0 9 15 13 37
Diverter System 4 6 0 10 0 11 3 1 15
Driller's Control System 12 3 0 15 1 1 1 1 4
Drillfloor System & Equipment 0 19 7 26 0 23 20 12 55
Riser System 0 31 0 31 0 26 5 1 32
Total 49 161 7 217 6 168 127 80 375
Criticality Definition DOC KOM PM FAT FI
High (I) Equipment delay will significantly impact the overall project schedule
or poor quality will significantly impact safety or reliability.
R R R R R
Medium (II) Equipment delay may result in a minor overall project delay or poor
quality may impact safety or reliability.
O O O R R
Low (III) Equipment delay does not impact the overall project schedule and
poor quality does not significantly impact safety or reliability.
O O O O R

11. Confidential
Project Example – Program Execution
 Inspection Activities
 Contract, ITP, QP, FAT Procedure review (DOC)
 Fabrication Kick-off-Meeting (KOM)
 Fabrication Progress Monitoring (PM)
 Factory Acceptance Test (FAT)
 Final Inspection (FI)
 Inspections
 Inspection packet
 Inspection
 Reporting
 Quality Assurance

12. Confidential
Project Example – Feedback and Resolution (Quality)
 Quality metrics definition
 Punch item: Satisfy contract
 Action Item: Concern that does
not qualify as a punch item
 Punch items
 Identified 543 punch items, closed
396, transferred 147 to the yard
 Action items
 Identified 78 action items, closed
51, transferred 27 to the yard
Equipment Issue Impact Resolution
HP Mud Pumps Improper preservation causing
water in blowers during
transportation
Delay in installation and
commissioning
Final inspection during loading to assure
proper preservation
Lifting
Equipment
Requirement from Shell for
critical lift equipment NDE
inspection
Delay in commissioning
and additional
inspection after FAT
Attended as many NDE’s as possible. Add
inspections during PO phase and include
in work orders.
BOP Stack BOP Low force shear rams
seals damage after shear
testing
Delay in BOP stack
delivery for shipyard SIT
Perform shear test during BOP body
assembly as performed by OEM 1, or OEM
2 to avoid this issue during BOP SIT
Class certificates Delay from OEM 3 supplying
Class certificates. In some
cases up to a year
Delay in SIT Coordinate with vendor to track Class
certificates in parallel with equipment.
HP Mud pumps
Ship loose items
Incorrect tagging and missing
items for shipping loose items
Delay in HP Mud pumps
installation
Review ship loose items with OEM 3 prior
to crating
Mud Gun &
agitators
OEM 3 Mud Guns and
Agitators actuals dimensional
error (too long) due to
incorrect drawings used by
vendor
Cutting and re-welding
at the shipyard,
delaying installation
and testing
Provide approved drawings to inspectors
from end user, and shipbuilder.

13. Confidential
Project Example – Feedback and Resolution (Schedule)
 Schedule metric definition
 Difference between contractual
and actual delivery date
 Schedule metrics
 43% on time
 50% of within 10 days
 78% within 60 days
 Subsea equipment with major
delays
Equipment Issue Impact Resolution
Diverter
Support
Housing
Schedule delays affected the
installation procedure and
duration.
Delay on moon pool
structure
construction.
Increase inspections for diverter housing prior to
FAT to mitigate or plan around delays from the
vendor.
HPU & Diverter
Skid
i. Testing of unit is not being
done fully by OEM 1, ii
Electronic components not
fully tested, iii System
Connectivity test was not
done
Delay in
commissioning
Increase number of
punch items during
commissioning phase
Assure all areas not tested are fully documented
by the inspector so they may be tested during
commissioning.
Coordinate with Class to make sure unit will
meet class requirements after commissioning.
BOP Stack Low force Shear rams do not
properly seal
Delay in BOP stack
FAT
Perform Shear seal testing at BOP body testing
phase
BOP controls
systems
Incorrect wiring in MUX PODS BOP stack SIT delay Attend FAT at subcontractor facility.
Tensioner Ring New design and NDE
requirements delay
manufacturing.
Delay in RIG SIT Perform inspections at OEM 1 subcontractors to
mitigate or plan around delays from the vendor
Riser Hydraulic
running tool
Delay from OEM 1’s
subcontractors.
Delay in RIG SIT Perform inspections at OEM 1 subcontractors to
mitigate or plan around delays from the vendor
Choke and Kill
manifold
Valves were not properly
tested prior to assembly.
Delay in testing and
delivery
Perform inspection during testing of the choke
and kill valves to assure proper testing.

14. Confidential
Cost Benefit Analysis
$-
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
Two Days Estimated Inspection Costs
Client - Remote Inspector
Entrion - Local Skilled Inspector

15. Confidential
Economics
Direct Savings
59%
 No increase in fixed personnel resources
 Trained professionals to meet client needs
 Availability of technically qualified resources worldwide
 Dedicated individual resources
 Strong past experience with vendors and OEMs
 Reductions in travel and overall expenses
 Standardized reporting formats

16. Confidential
Summary
 Global operations
 Work with drilling contractors, producers,
OEMs and shipyards globally
 100 experienced professionals located near
your equipment vendors
 Well established systems and processes
 Consistent reporting
 QMS and HSE implemented
 ISO 9001 Certified and Achilles Approved
 Vendor surveillance and inspection services
for on-time delivery and operational
readiness
 59% Direct Savings
“Entrion has now been providing support for our
new build drill ship project with HHI for over a
year. During that time they have been coordinating
all the inspectors and project management for the
vendor surveillance for all builder furnished
equipment outside of Korea. Entrion has provided
experienced professionals that have done a good
job documenting, reporting, and ensuring the
equipment is manufactured to a high level of
quality. The systems Entrion uses for
documentation and tracking are efficient, reliable,
and easy to use. Rowan has been very happy with
the level of service and the quality of people
performing monitoring, inspections, and project
management. Additionally Rowan also uses Entrion
for monitoring and inspections of our owner
furnished well control equipment and have been
very satisfied with the work performed.”
- Al Browning, Director Vendor Quality
Management, Rowan Companies

17. Confidential
Global Offices
ENTRION, Inc. ENTRION Norway ENTRION Poland ENTRION Singapore ENTRION do Brasil
10497 Town and Country Way
Suite 550
Houston, TX 77024
+1 832 623 6242
Suldalsveien 23A
4617 Kristiansand
Norway
+ 47 476 55 443
Ul. Cypriana Kamila
Norwida 2
80-280
Gdańsk, Poland
+48 588 813 053
80 Raffles Place #26-01
UOB Plaza 1
Singapore, 048624
+65 3158 3300
Estrada Sào José e
Imboassica
n 1000
Barrio de Imboassica
Macaé – RJ
+55 21404 21210
website: www.entrion.com