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Safety Performance

Executive Summary

Core Lab is a leading service provider to oil and gas operations with a global presence and impact; we strive to respect the communities and environments in which we do business. We are committed and strive for a zero accident environment, which makes safety first in all of our locations and those of our clients. Core Laboratories 4,490 employees operate in over 50 countries around the globe and in 2017 these employees worked 9.3 million man-hours. In 2017 Core Lab recorded one of its best year ever having 21 recordable accidents compared to 23 in 2016. Challenging market conditions over the past three years has reduced man-hours by 1.2 million compared to the company high in 2014. During this period Core Lab has risen to the challenge and continued to reduce accidents recording the three best safety results in Company history.

Most importantly Core Laboratories again recorded another year without a fatality or incident resulting in hospitalization. The number one goal of Core Laboratories is to prevent all incidents, but especially those with significant impact to the environment, our employees and their families.

SAFETY PERFORMANCE 2013 2014 2015 2016 2017 2015-2017 Average 2018 Goal

TRIR

Lost time, restricted duty, medical treatment incidents and fatalities per 200,000 hours worked

0.68 0.59 0.45 0.49 0.45 0.463 0.45

LTIR

Lost time incidents per 200,000 hours worked

0.19 0.15 0.06 0.15 0.13 0.113 0.12

Number of recordable incidents

Number of lost time, restricted duty, medical treatment incidents and fatalities

35 31 22 23 21 21.6 21
Core Lab Safety Performance

Goals

Core Lab goals and target are established on 3 year averages. It is our view that sustainability of the safety program must be measured over longer periods of time and that high performance safety cultures display solid downward trends over time.

Tends for both LTIR and TRIR have showed movement towards growing sustainable safety cultures within all business units. Core Lab firmly believes trending of 3 year averages best demonstrates the sustainability of the safety program over time by removing the short term peaks and valleys. We will again set realistic aggressive goals aimed at improving the 3 year averages in 2018.

Core Lab Incident Performance

Core Laboratories 4,490 employees operate in over 50 countries around the globe. In 2017 these employees worked 9.4 million man hours. This is down from our employee high of 5000+ employees in 2014 due to market conditions. Our committed employees achieved arguably one of the best safety performance ever having the fewest total accident and record low TRIR. Safety gains were driven by exceptional results from the largest Companies in our Reservoir Description Segment, representing 77% of our employees, setting record low results of TRIR 0.19/63% improvement and LTIR 0.06/65% improvement.

Three Year Averages

In 2017 Core Laboratories business segments achieved the lowest Three year average in both TRIR and LTIR. Of these incidents there has been some improvement with severity dropping significantly in the number of restricted cases.

Incident Classification

  • FATALITY

    Completed 2017 without a fatality in any Division.

  • LOST TIME

    LTIR cases trended down from 7 cases in 2016 to 6 in 2017. While this is not a significant change year over year 2017 results still represents the second best ever Core Lab LTIR at 0.13, and 99 total lost days is best ever.

  • RESTRICTED TIME

    Restricted time injuries trended up slightly from 6 in 2016 to 8 in 2017. Restricted days also increased by 85 days year over year.

  • MEDICAL TREATMENT

    Medical treatment cases trended down from 10 in 2016 to 7 in 2017. Results are due to increased global awareness of safety reporting and case management.

GOALS 2015 2016 2017 2018
LTIR 0.15 0.12 0.12 0.11
TRIR 0.55 0.50 0.45 0.43

Subcontractor Safety Performance

Core laboratories does not subcontract any task of its technical and proprietary services to the Oil & Gas Sector. In 2015, 2016 and 2017 zero hours were performed in any segment by subcontractors.