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ENGAGING WITH AND RESPONDING TO OUR STAKEHOLDERSEvolving our approach in line with the growth of the organisation to better respond to stakeholder issues.Key engagements in 2011/2012Our growing business sits within an increasingly complex stakeholder landscape, and our stakeholder management initiatives must keep pace. We continued to expand our Introduction to Oil and Gas courses and built on the success of our first multi-stakeholder forum to hold an environment focused event for experts from civil society, policymakers, academics and the SRI community and with members of Tullow's EHS and operations teams.New initiatives included a stakeholder perceptions survey, canvassing the views of key opinion formers in Uganda, Ghana, the UK, Gabon, French Guiana, Mauritania, Brussels (EU) and the USA, to ensure we continue to address the right issues. SRI RoadshowIn November 2011 Tullow held its first roadshow for Socially Responsible Investors in Europe. We provided a focused update on our approach to corporate responsibility, allowing investors to ask questions and challenge us on our progress and plans for the future.Issues discussed included transparency around payments to government, implementation of the UK bribery and corruption legislation and the setting of meaningful emissions reductions targets. Feedback from investors was that they appreciated this honest and clear communication and that they would value an annual meeting of this type.Community engagementNew teams of Community Liaison Officers (CLOs) have been established in Kenya and Ethiopia as our operations begin and expand in these countries. In Ghana our community work in 2011 included targeted engagement activities on the Jubilee Project, TEN Project and oil spill response awareness. CLOs also undertook community visits to deepen engagement with Traditional Authorities, deliver important EHS messages, attend traditional festivals and address emergency response needs in strategic locations. Other initiatives included support to fishing communities, training for community health workers and volunteers, community health screenings and regular information sessions with local NGOs, media briefings and support for community sporting events. STRATEGIC IMPORTANCETrust, reputation and relationships are vital to Tullow. Our stakeholders can influence the direction or outcome of a Tullow project, positively or negatively. We engage at every level of the organisation with a range of stakeholders to help ensure the smooth continuation of our business.HIGHLIGHTS FOR THE YEARGLOBALPERCEPTIONS SURVEYCompletion of a reputation survey across eight countries, canvassing stakeholder perceptions.FIRSTSocially Responsible Investor roadshow in Europe.THREERegional External Affairs Managers recruited.OIL & GASCOURSESFor external stakeholders held in Ghana, Uganda, Kenya, UK, French Guiana and Ethiopia. DETAILED PERFORMANCE INFORMATIONPage 51 provides detailed information on our performance against key objectives and our aims for 2012/2013.60Tullow Oil plc 2011/2012 Corporate Responsibility ReportStakeholder engagement Tullow Uganda, with its new partners Total and CNOOC, held dedicated sessions for stakeholders in key districts of the Albertine Basin. The aim was to provide accurate updates on the oil and gas sector in the region, to introduce the partners and to share plans on how new operatorship in Blocks 1, 2 and 3A will work. The meetings also generated stakeholder feedback on the oil and gas developments generally.Developing our approachIn 2011 we focused on building more robust internal processes and capacity for stakeholder engagement. The External Affairs function completed a full skills audit, including key competencies for effective stakeholder engagement, to drive resourcing and training across the global team. Professional training can be hard to come by in many of our countries of operation and we are identifying appropriate courses and placements to build capacity of External Affairs professionals in line with the changing needs of the business. We have established a set of Stakeholder Engagement Guidelines and tools for the Group to both govern and support stakeholder engagement and stakeholder issues management at all levels.Three regional external affairs managers have been recruited to new roles designed to support each Regional Business Unit team in London and individual Business Units in-country, ensuring that the right resources are in place for the successful execution of external stakeholder engagement programmes and social impact management strategies throughout our regions.Understanding our impacts and opportunitiesWe have commissioned socio-economic baseline studies in Uganda and Kenya to identify both our key impacts and opportunities for development, as well as an independent report aimed at providing an account of the past, current and likely future impact of Tullow's activities on Ghana's economy, society and environment. We are also putting in place more effective methods for identifying, assessing and managing social and political risk - a potential long-term performance risk for Tullow. This includes recruitment of a country risk analyst who will input to work to improve Board reporting on evolving risks.We have continued to run Introduction to Oil and Gas courses for external stakeholders in our countries of operation, taught by Robert Gordon University (RGU). The courses cover the basics of oil and gas exploration and production, some of the key decisions and risks taken by oil companies opening up new basins and challenges faced by national governments in developing a sustainable oil industry. Attendees are also given a presentation by Tullow on our activities in their country followed by a full and frank Q&A session.This year we repeated the courses in Ghana and Uganda and also ran a course in London for UK stakeholders including national government, international NGOs and overseas diplomats from our African countries of operation. We also ran our first French language course in French Guiana, delivered through the Institut français du pétrole. In 2012 we have run one course in Kenya and will hold a second course to be run by RGU, with a view to a local provider being able to take on future teaching requirements. We have also run an introductory course for government stakeholders in Ethiopia.INTRODUCTION TO OIL & GAS COURSESMore information PageGlobal Perceptions Survey 18Uganda community engagement 36Susan Busingye, EHS technical assistant, and Sidney Tindyebwa, Supply Chain planner, attending an Oil & Gas course in Kampala, Uganda.61www.tullowoil.comMEASURING OUR PERFORMANCE3"We are increasingly working in remote onshore areas with large indigenous communities. This has major implications for how we manage the social impacts of our activities and places clear strategic importance on the policies, standards and processes we are putting in place in this area."Rosalind KainyahVice President External Affairs & CSR |