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48Corporate Social Responsibility reviewCorporate Social Responsibility (CSR) is a never-ending journey, not a destination Our greatest assets are our people, the environment and the communities where we operate, which are the keys to our business. We manage our business with due regard to our stakeholders' best interests, and are committed to being recognised as a good corporate citizen and neighbour. We support our people at work as well as in their broader lives and also to minimise our impact on the environment. We are committed to ensure local communities can participate in the benefi ts of our success.Setting good corporate governance procedures in place across all our international operations enhances our reputation and builds integrity, making it more attractive to customers and investors.ISO 90003 Quality Management accreditation Commenced the assessment process for ISO 9000 Quality Management accreditation >p52Russian HSEC approval Final approval of the Health, Safety, Environment and Community (HSEC) Management System at our gas processing plant in Koshekhablskoye, Russia >p52Zero accidents Completion of LPG plant in Ukraine with zero accidents and no harm to people or the environment >p52Employee engagementEmployed an internal communication specialist in Maikop, Russia, to assist with communications throughout our rapidly growing organisation in this region >p56 Maintaining our ISO 140014 Environmental accreditation >p54Maintaining our OHSAS 180015 Health and Safety accreditation >p52Health & Safety accreditationEnvironmental accreditationOur CSR achievements in 2011Notes1. All Injury Frequency Rate represents the health and safety incidents per 200,000 man-hours.2. Lost Time Injuries (LTI) is classified as three or more days lost due to a work related injury or illness.3. ISO 9000 standard relates to quality management systems and is designed to ensure that organisations meet the needs of customers and other stakeholders.4. ISO14001 focuses on accrediting systems that minimise the impact on the environment and to ensure compliance with applicable laws, regulations, and other environmentally oriented requirements in addition to continually improving in these areas.5. OHSAS18001 is an international occupational health and safety management system to control occupational health and safety risks.A decrease in the All Injury Frequency Rate1 (AIFR) to 0.17 (2010: 0.62) >p51No Lost Time Injuries2 (LTI) across the Group in more than 2.3m man-hours worked in safety exposure >p52Zero Lost Time InjuriesDecrease in the AIFR to 0.17

JKX Oil & Gas plc Annual Report 201149At a glance01-17Board statements18-23Operational review24-36Financial review37-47CSR review48-61Directors' reports62-83Financial statements84-136+Our CSR processCSR is led by Paul Davies, the Chief Executive Officer (CEO). Our Health, Safety, Environment and Community (HSEC) manager reports directly to the CEO and has responsibility for creating a framework and maintaining the HSEC Management System for the management of the Group's non-financial impacts. We run our operations at a local level wherever possible. Accordingly, a HSEC Director has executive responsibility within each operating company for implementing HSEC management systems. These representatives are fully trained and experienced as well as being familiar with local culture, regulations and working practices.In Ukraine and Russia we have recruited and trained a full HSEC team locally which is now delivering a high standard of HSEC management. Our operationally-based teams report not only to the General Director of the local operating company but also liaise with the Group HSEC manager.The Board is provided with quarterly updates relating to the major CSR issues. A management review of all HSEC systems is carried out every year: a full Board-level review of progress was completed in December 2011 and our plans for 2012 were agreed.Our CSR objectives . Protect people by providing information and advice; align our CSR strategies with organisational goals and capabilities . Influence stakeholder organisations to embrace high standards on all HSEC matters and to recognise the social and economic benefits. Optimise our resources to enhance our reputation as a good corporate citizen and enjoy successful interaction with key internal and external stakeholders as well as governments and nongovern-mental organizations (NGOs). Develop new ways to maintain an effective HSEC culture in a changing global economy, so that we take our corporate responsibilities seriously, the workforce is fully involved and the risks are properly managed. Exemplify oil and gas sector best practice in managing our resources, enforcing the law and undertaking and encouraging relevant research. Achieve higher levels of recognition and respect for our HSEC as an integral part of managing our business. Continue to work to prevent catastrophic failures in major hazard industriesCSR policies, procedures and standardsWe aim to comply with all local laws and regulations as a minimum and to exceed them where possible. We expect our partners to reach the same standards. Our policies and standards cover:. Safety reporting and incident management. Exposure man hours. Occupational health provision and record keeping. Environmental reporting and incident management including climate change. Behavioural based safety programmes. Continuing Professional Development and implementation. Human resources practices, covering areas such as equal opportunities. Handling of charitable requests. Local community relations. Reporting to local Russian, Ukrainian and UK authorities . Risk management programmesOperational employees at our Koshekhablskoye facility