Shell World Philippines 2012 Issue 2 by JUN JAY JIMENEZ

ISSUE 2 2012 PEOPLE IN ENERGY

SHELL WORLD PHILIPPINES

Shell Tabangao Refinery celebrates 50 years A historical celebration marked by team spirit, hard work and excellence

How I fell in love with Shell Eco-marathon Shell’s advocacy on smarter mobility through the eyes of a volunteer

Power up your engine with Shell V-Power Nitro+

Keeping up with motorists’ taste for efficiency and performance shell world philippines i

WELCOME

ISSUE 2 2012

Celebrating legacies and partnerships

SHELL WORLD

Dear SWP Readers,

MEET THE TEAM

Let the number speaks for itself is an often quoted cliche of people who want to gloat on successes. Most often, a litany of numbers is deemed enough to define a legacy. For Shell, numbers will not suffice even it can go on and on enumerating the number of people it helped over the years or the number of awards it has gotten as a highly innovative and competitive company.

Editorial Advisor Roberto S. Kanapi

More than quantity, Shell defines its legacy by the quality of its impact to its consumers and the community where it operates. Shell celebrates its legacies through the production of quality products, impactful social investment programmes and mutually beneficial partnerships. In this issue, Shell celebrates its global leadership in developing premium performance fuel through the introduction of V-Power Nitro+ family of fuels. This issue also features Shellâ&#x20AC;&#x2122;s commitment to its community through stories about relief assistance to monsoon flooding victims and a host of sustainable development projects - further highlighted by the grand 30th year celebration of its social arm, Pilipinas Shell Foundation, Inc. One of the biggest celebrations for this quarter is the 50th year anniversary of the world class Tabangao Refinery. Through the years, the Tabangao Refinery has stood the test of time as a major contributor to the success of Shell in the Philippines and as a leader in sustainable development in Batangas. This is the first issue I had the chance to edit and produce. I hope you enjoy reading this the same way I enjoy producing it with a lot of help from the excellent team of SWP.

Ron F. Jabal

Country Internal Communications Manager Shell companies in the Philippines

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cover story

PHILIPPINES

Editor-in-Chief Ron F. Jabal Managing Editor Jun Jay G. Jimenez Copy Editor Maria Fatima Cruz Writers Fatima Cruz Jocelyn Diana-Diga Jun Jay G. Jimenez Contributors Manny CastaĂąeda Genevieve Generoso Dawn de Guzman Danny Kumar Rey Labajo, Jr. TO CONTACT THE SWP TEAM: Mailing Address Shell World Philippines 14/F Shell House 156 Valero St., Salcedo Village Makati City 1227 E-Mail shellworldphilippines@shell.com Website www.shell.com.ph/shellworldphillippines Esxternal Recognition

Shell World Philippines is published quarterly for the employees of Shell companies in the Philippines and for interested readers outside the business. Opinions expressed do not necessarily reflect the official views of any Shell company. The following expressions are inherent to Shell businesses in the Philippines: SciP (Shell companies in the Philippines), which encompasses its companies in the country; and Pilipinas Shell (Pilipinas Shell Petroleum Corporation). The specific names of other Shell companies will be duly mentioned in the article. Shell World Philippines is published by the Communications Department for the Shell companies in the Philippines (SciP).

22 ONLINE VERSION OF SHELL WORLD PHILIPPINES MAGAZINE Read the online version of Shell World Philippines magazine by typing the link into a web browser. Alternatively, use a smartphone with a QR reader app to scan this symbol.

A Matter of Trust

LBC Express Inc. depends on Shell fuel cards for its fleet to deliver service to its millions of customers around the world.

A Winning AD in 15 minutes: Powering the world with cleaner energy

Know more about Shell’s energy solutions and how they are helping to fuel progress and nation-building from the viewpoint of a Shell staff.

News in brief A mix of stories about the various business and corporate social responsibility activities of Shell companies in the Philippines that support the country’s national development goals.

Shell provides relief assistance to torrential monsoon flooding victims

Shell companies in the Philippines and the Malampaya Joint Venture (JV) Partners donated funds for the relief operations for the flood victims.

Keeping the power flowing in the Philippines

The Malampaya project enters its next phase with a new platform and wells to support the country’s goal of energy-self sufficiency.

PSFI@30: A Legacy of best practices in Corporate Social Responsibility

Thirty years of the Pilipinas Shell Foundation, Inc. saw over 6 million lives empowered to become more productive and responsible members of the society.

How I fell in love with Shell Eco-marathon

An interesting tale of how a Shell staff volunteer fell in love with Shell’s initiative for promoting energy efficiency.

Celebrating 50 years of excellence in Shell Tabangao Refinery

The Shell Tabangao Refinery celebrated its rich history of being a trailblazer in the oil refinery business.

ON SPOTLIGHT:

Power up your engine with Shell V-Power Nitro+

www.shell.com.ph/shellworldphilippines

Shell’s more than a century of developing high quality fuels yielded its latest offer of high performance Shell V-Power Nitro+ fuels designed to help improve engine performance and deliver more power and responsiveness for millions of motorists. shell world philippines i 3

A matter of trust Each day, millions of customers rely on LBC Express Inc. to deliver and using Shell fuel cards help the company fulfil its promises. Anyone who has a family member or friend working and living overseas is familiar with LBC Express Inc. In fact, even if everyone you know is still in the Philippines, there’s not much chance they have missed one of LBC’s motorcycles or vans. “You can’t miss them, the LBC van is part of Filipino pop culture,” says Jocel De Guzman, Head of Global Corporate Communications of LBC Express Inc. “Our motorcycles are iconic. We don’t need to pay for billboard advertising anymore. One of our lorries even turned up in the Hollywood film Legally Blonde!,” remarks Jocel. 4 i shell world philippines

“We have to deliver. One of the main reasons we are with Shell is that it has a bigger network than its competitors,” explains Jocel. “We have a thousand branches and our deliveries are timed, so our trucks have to be filled all the time. We can’t have a situation where we are rushing our deliveries and one of our drivers experiences difficulty in gassing up because his fuel card is not valid or recognised in filling station’s system, which is what happens with other fuel companies.” Jocel cites Shell’s centralised computer system as a big draw for LBC, as their drivers feel confident that their fuel cards will always be accepted anywhere they go, in addition to the benefit that it also made assigning cards to new people more efficient. “The Shell system is very flexible. You can assign cards to other people and there’s no added cost. The Shell Card Online is a great tool for a company of our size – imagine if you have nearly 1,000 motorcycles and 400 trucks – trying to track them all manually would be a nightmare. This system allows us to efficiently track our fleet.”

LBC Express Inc.’s bright red bikes, vans, and lorries are a popular sight on the streets all over the country and is widely recognised by the people, given that the company has been providing the global Filipino people at home and abroad with courier, money remittance and logistics services for 61 years. “We are the only global Filipino company that provides all these services,” says Jocel. “Other companies just do one or the other. Providing all these services give us the advantage over our competitors, in addition of course to our global network.” “For the millions of Filipinos around the world, LBC is their link to their families. Many of the Filipinos working or living abroad only have their colleagues around them, so one of the ways they choose to express their love and emotion is by sending hard earned items to their families in the Philippines. For example, they

send money for schooling or even food stuffs or clothing so that they can let their families back home enjoy what they are experiencing abroad.” LBC Express Inc.’s business is “the timed delivery of goods and money”, and this could be from practically anywhere in the world. It has 1,200 branches globally, with 1,000 of those in the Philippines and the rest spread out across the United States, Canada, the United Kingdom, mainland Europe, the Middle East, Asia Pacific and Australia, where significant numbers of global Filipinos call home. “Our mission is to link and bridge global Filipinos to their families living in the Philippines.” To accomplish this mission, LBC Express Inc. has a strong fleet of vehicles in the Philippines that comprises 900 motorcycles, 400 vans and trucks and over a hundred service vehicles. The business spends around seven to eight million pesos a month on gasoline. LBC buys its fuel from Shell using Shell Card.

LBC Express Inc. has been using Shell fuel cards for over 10 years and the relationship between the two companies remains strong. In fact, the wide reach of the Shell network has worked well for one of Jocel’s projects: LBC Express Inc.’s Rondas Philippinas – the biggest bicycle race in the country. “It’s our version of the Tour de France,” says Jocel. “It is completed in 12 stages covering 1,600 kilometres nationwide over 16 days. We have a large entourage of vehicles that accompanies the race to keep everything moving, like setting up starts and finishes among other activities related to the race. Vehicle-wise, carrying out the event successfully requires around 12 vans, 20 motorcycles and 30 cars – Shell arranges for exclusive use of a filling station when we arrive in a town along the route of the race. LBC Express Inc. has a solid reputation at home and abroad. “People trust us,” says Jocel. And it’s good to know that LBC can trust Shell for all its fuel needs. SWP shell world philippines i 5

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A winning ad in 15 minutes: Powering the world with cleaner energy Last year, Ronald “Suiee” Suarez created the winning Let’s Go ad in the “Your Advertising Idea” competition. Suiee shares his insights into Shell’s energy solutions, and how they’re helping to fuel progress and nation-building. BY JOCELYN DIANA-DIGA

Ronald “Suiee” Suarez shares his winning entry with the members of Communications Group

It didn’t take long for Ronald Francis Suarez, known as “Suiee,” to develop his winning entry to the new Let’s Go campaign. In 15 minutes, he made up his mind that the spotlight should be on cleaner energy for a cleaner environment for more people. His inspiration was the Malampaya Deep Water Gas-to-Power Project. For Suiee, the Malampaya Project is one of the keys to a brighter and greener future for Filipinos and would help to build a more beautiful and progressive Philippines. Spontaneous “When I saw the call for entries, I immediately felt that I had to join. My winning idea took me around 15 minutes to complete. It was spontaneous. Malampaya and all the good that the Filipinos derive from the project was the first thing that came to my mind. I didn’t feel like I was putting together a winning entry – I just felt like placing my immediate thoughts and ideas into words and straight into the entry form,” Suiee, Pilipinas Shell NGO & Stakeholder Relations Manager, said. The call for the Best Advertising called for ideas from Shell employees worldwide on better energy solutions that Shell is providing customers, which could be developed as a

corporate advertisement. Suiee’s idea was to highlight the benefits of the Shell-operated Malampaya Deep Water Gas-to-Power Project, which recovers natural gas from deep water and provides local, cleaner-burning natural gas for power generation in the Philippines’ growing cities. Suiee’s advertising idea wins Out of nearly 1,000 suggestions submitted by Shell employees, Suiee’s proposal was one of 20 to reach CEO Peter Voser and the Executive Committee. One of the comments in support of Suiee’s suggestion to use Malampaya was: “The idea shows a really clear example of how an innovative project can be such an integral part of a country’s progress – bringing longlasting benefits of cleaner energy to many, many people.” After winning the competition, Suiee’s advert went into production. “In my opinion, making it to the top 20 was already a great achievement. Topping all entries from around the world was a fantastic surprise!,” said Suiee. Powering our world with cleaner energy In October, the new Shell Corporate Let’s Go advertisement entitled “Let’s

Shell companies in the Philippines Country Chairman Edgar Chua (right) congratulates Suiee for his winning entry.

power our growing world with cleaner energy,” featuring Suiee’s winning idea, was published in Time Magazine, Newsweek and on Facebook. The final advert shows architects and builders applying the finishing touches to a new development in a Filipino city. Expressing pride and enthusiasm on Shell’s energy portfolio in the Philippines, Suiee said, “As a Filipino Shell staff, I feel proud about how Shell contributes to our nation’s development and to a bright future. The Philippines is a developing nation, with a growing population whose living conditions continue to improve, which will eventually lead to more consumption. If the world continues on its current rate of consumption, experts estimate that by 2050 the energy demand will double – and this is how Shell’s better energy solutions are at work to power a better future for all.” SWP shell world philippines i 7

news in brief Shell Specialities honours Platinum customers - the Bitumen Idols

Shell Specialities Team with the Bitumen Idols

Shell Specialities recognised the valuable contributions of its key customers in delivering growth for the business in a celebration dubbed as the Shell Specialities Platinum Appreciation Night. With the theme, Bitumen Idol, the stage was set for a night of outstanding vocal performance by the Wine Gums band and the American Idol impersonators. Shell companies in the Philippines Country Chairman Edgar Chua welcomed the Specialities key customers and their families to the affair. “We’d like to thank you, our most valuable, most important partners in our Specialities business. We have been through some hard times, but tonight we want to celebrate the good times. Thank you for all your loyalty and support. I hope that we can further grow this business and become a dominant player in the market, ” said Chua. Shell Specialities Regional General Manager Raman Ojha and 8 i shell world philippines

Operations and HSSE ManagerPhilippines Rowena Gonzales awarded the Platinum Awardees, which were Mabuhay Conglomerate Asphalt, Inc., Lubritech Specialist Philippines, Inc., Formost Asphalt Corporation, Marcbilt Construction, Inc., Readycon Trading & Construction Corporation, HL Trading Company Inc., TQM Construction Corporation, Phil Asia Resources & Development Corporation, and LCG Marketing Philippines Corporation. The awards were presented by Shell Specialities’ Chow Pong Leong (Marketing Implementer for Malaysia, Singapore, & PH), Order-to-Delivery Manager Joanna Balgan, Business Development Manager for PH & HK Brian Caparas, Jovi Hernandez (Key Account Manager for Luzon), Janet Marcellana (Applications Adviser), Darwin Astraquillo (Account Manager for VisMin), Allan Canedo (Sales Development Manager), and Chiro Yap (Emulsions & Sulfur Account Manager). Each Shell Specialities

Platinum awardee received a specially crafted Seb Chua Jr. sculpture called ‘Synergy’, a cast marble in bronze finish trophy. One of the Platinum Awardees,TQM Construction Corporation President Irman Ita-as, expressed gratitude for being recognised as one of the Bitumen Idols. He has been in the business of distributing bitumen since 1998 in the Panay and Negros Islands. A second-generation entrepreneur, they have been partners with Shell since 1978. Their business was started by his father Irineo Ita-as, who was also a Shell retiree. “We’re delighted that Shell has recognised our hard work and perseverance.” He shared that despite some difficulties in the business, Shell is always there to lend a helping hand. “I am happy as a business partner because Shell attends to our needs.” Irman is not only in the Shell Specialities business, but also owns and operates four Shell retail stations in the Visayas Region. [Jo Diana-Diga]

DPWH-CAR Engineers visit Shell Bitumen Solution Centre in Batangas A team of materials engineers from the Department of Public Works and Highways (DPWH) Cordillera Autonomous Region (CAR) District Engineering Office and Planning Engineers from the regional office, together with the Shell Bitumen Philippines Team and accredited Shell Instapave Applicator and Roadex Construction President Rommel Valencia, recently visited the Shell Bitumen Solution Centre in Tabangao, Batangas. The tour at the state-of-the art bitumen facility was an avenue for the DPWH-CAR team to understand the different testing protocols for Shell Instapave Technology.

Shell Bitumen Technical Team conducted the training and addressed queries on materials quality. By visiting the centre, engineers from CAR district engineering offices that will implement Instapave technology for the first time became aware of the difference between regular hot mix asphalt and Instapave technology. They were pleased with the performance test demonstrations and the mix design

The Shell Bitumen Team with the DPWH-CAR Engineers at the façade of the Shell Bitumen Solution Centre, located at the Bitumen Import Facility in Shell Tabangao Refinery. It is fully equipped to develop bitumen emulsion products and applications solutions required for road construction and maintenance. The centre in Tabangao is one of the four Solution Centres in the Specialities business; the others are located in Bangkok, Thailand; Beijing, China; and Strasbourg, France.

development process that Shell Bitumen Team has put in place to support the applicators. This year, Roadex Construction will implement an approved six kilometre maintenance project in the Cordillera Autonomous Region that will require 200 metric tonnes of Instapave emulsion. Instapave is a road technology solution

developed by Shell which makes use of on-site cold mix applications. It is a cost-efficient alternative for preventive maintenance which prevents water intrusion, increases the level of road safety and corrects minor distresses on the road. This technology has been used in various CAR district projects for the past three years as pavement solution for road maintenance.

Commercial Fuels Philippines seals deal with power giant PSALM

Commercial Fuels Philippines wins a major power sector deal with Power Sector Assets & Liabilities Management Corporation (PSALM), one of the most important players in the power industry in the Philippines, a sector which represents one of Commercial Fuels Philippines’ most significant growth areas given the ongoing power shortage crisis.

Despite the tight competition to win the account, Account Manager Carmelo Lauengco successfully sealed one of the most promising Shell Fuel Oil deals of the year, which increased Shell’s market share in the Philippines by another 11% and helped position Commercial Fuels as the leading fuels provider in the industry.

The deal, totaling to 194 million litres of Shell Fuel Oil annually, covers two of PSALM’s plants, renewal of Commercial Fuel’s existing contract to supply the Naga plant, plus a new agreement to supply the WMPC plant in Sangali, Zamboanga City. Shell Commercial Fuels was able to secure a strong deal with a major customer, which is financially rewarding and will strengthen Shell’s foothold in the region. The deal puts Shell in the driver’s seat for future opportunities in the power industry in the coming years. shell world philippines i 9

news in brief

Pandacan scholars finish welding course

After seven months of rigorous training on welding at Keppel Shipyard, Bauan, Batangas, 13 scholars of Shell Pandacan graduated from the Structural Welding course on May 22, 2012 at the Caritas Multi-purpose Hall in Pandacan, Manila. “It’s very sad to note that despite Philippine’s archipelagic topography, there are very few shipyards owned by Filipinos. I’d like to be pleasantly surprised someday in knowing that the biggest ship welding facility in our country is owned by graduates of our Structural Welding scholars” wishfully declared by Janot Barretto of Shell during their Graduation Ceremony. Structural Welding is one of the courses offered under the Sanayan sa Kakayahang Industriyal (SKIL) programme. SKIL is Shell companies in the Philippines’ scholarship programme run by the Pilipinas Shell Foundation, Inc. (PSFI) that gives opportunity to high school graduates to acquire technical

Pilipinas Shell Social Performance Adviser Janot Barretto (middle) joins Pilipinas Shell Foundation, Inc. officers and Shell partners during the graduation ceremony held at the Shell Pandacan Installation.

skills to help them eventually improve their lives. Among the other courses offered in Pandacan are Consumer Electronics and Basic Cosmetology course. The scholarship also includes linkages to industries to give graduates opportunities for better employment. During the ceremony, good news delighted the graduates. Applause filled the room when Ronald Arroza, Assistant HR Manager of Keppel Batangas Shipyard Philippines, announced that all graduates of the SKIL welding course from all batches

will have immediate employment at Keppel Shipyard in Batangas starting May 25, 2012. The ceremony was also graced by Allan Peñera, a former Shell scholar (Batch of 1983) who is now an expert mechanical technician at Shell Pandacan Lubricants plant. Allan encouraged the graduates to always do better. “Don’t stop dreaming. Apart from being smart and diligent, you also need dedication. You must love your work,” he said. [Genevieve Generoso, PSFI Programme Officer]

UP-IC Teaching Building inaugurated The new Teaching and Research Building of the University of the Philippines Institute of Chemistry (UP-IC) was inaugurated on May 14, 2012 at UP National Science Complex, in Diliman, Quezon City. The Malampaya Foundation, Inc. (MFI), along with the project’s other corporate donors, was honoured with a marker at the site. MFI adopted five Laboratory Rooms in the said location, donating a taxdeductible amount of Php 5 million through the fundraiser’s Adopt-A-Room Donation Scheme. The donation was formalised last March 2011 with the signing of a Memorandum of Agreement. The inauguration ceremonies were held in the Chemrez Room and was 10 i shell world philippines

The Malampaya Hall at the new wing of the UP-IC

attended by UP President Alfredo E. Pascual, UP Diliman Chancellor Caesar A. Saloma, Dean Jose Maria P. Balmaceda, and UP-IC Director Dr. Florian R. Del Mundo. Video messages were given by the corporate donors, while MFI Chairman Rufino Bomansang spoke in behalf of Malampaya.

MFI’s donation will be its permanent legacy to the Philippines’ scientific endeavours in the field of Chemistry. The UP-IC for its part shall actively assist MFI should the foundation need the institute’s expertise in analytical and technical services, as well as in research.

Shell meets energy demands through Smarter and Cleaner Energy Tabangao, Batangas. “This LNG facility will complement the Malampaya Deep Water Gas-to-Power Project’s capability. This is very important in diversifying our energy mix and coming up with cleaner energy to meet growing energy demands and fuelling the country’s future,” he said.

Shell Amlan Terminal joins GK Bayani Challenge 2012

Shell companies in the Philippines Country Chairman Edgar Chua joined business leaders and decision makers from the energy, commercial and industrial sectors in the 3rd Philippine Energy Efficiency Forum (PEEF) 2012 held on July 10, 2012 in SMX Convention Center in Pasay City, Manila. Themed “Driving Efficiency and Competitiveness across the Power Sector Value Chain”, PEEF 2012 aims to address the challenges of energy security and climate change through energy savings across the power sector value chain. The business leaders, energy experts and policymaker’s shared their insights in identifying key drivers for energy efficiency within the power sector value chain. Speaking at the 3rd PEEF Forum 2012, Chua cited that rapid urbanisation and population boom are world’s challenges that trigger the demand for more food, water and energy. “Unfortunately, along with the increase in energy demands is the increase in carbon dioxide (CO2) levels. The challenge therefore is to meet the energy demand but cut CO2 by half to avoid serious climate change,” he said. Shell helps address this challenge by providing smarter and cleaner energy. “We believe that smarter products, smarter infrastructure, and smarter use – the Shell Group’s Smarter Mobility

programme, are key campaign in addressing this global challenge,” said Chua. “Fuel efficiency is key and Shell is at the forefront of this campaign. We have smarter products that don’t just lower CO2 emissions, lower fuel consumptions but also lower operating costs which lead to a more sustainable business growth for the transport sector,” Chua said. Chua also cited Shell’s cleaner energy projects that will help address energy demands. He specifically cited the Malampaya Deep Water Gas-to-Power Project which meets 40-45% of Luzon’s power generation requirements (total of 2,700 megawatts). The Project has helped reduce the country’s dependence on imported fuel by about 30%. Moreover, he emphasised that the use of natural gas in power generation is the cleanest and most efficient fossil fuel with least amounts of CO2. He also disclosed during his speech that the Shell energy portfolio will soon include a Floating Liquefied Natural Gas (FLNG). He said Shell recently signed a Memorandum of Agreement with the Philippine government calling for a technical feasibility study to determine the viability of the development, construction and operation of an import and regasification terminal adjacent to Shell’s refinery facility located in

Shell Amlan Terminal staffs, together with around 1,200-strong Amlanganons (local residents of Amlan) and other volunteers from other parts of the country and abroad, have answered the local government’s call to take part in this year’s Bayani Challenge, a week-long event aimed at helping re-build the lives of Amlanganons who have lost their homes to tropical storm Sendong. The Bayani Challenge 2012, themed “Pilipinas Ngayon Na!” was spearheaded by Gawad Kalinga, in cooperation with Pilipinas Natin of the Presidential Communication Operations Office (PCOO). The event aims to build 120 houses in a threehectare lot in Tambuhangin Village of Amlan, Negros Oriental. Shell Amlan Team was composed of 15 determined individuals who volunteered in shifts and provided their time and energy to participate in the Bayani Challenge. The team completed the construction of a house - doing everything from laying the foundation, placing the roof, and even painting the walls. Terminal participants worked alongside other volunteers who toiled to complete the targeted 50 houses during the said period. The remaining 70 houses were constructed last July. Each housing unit measured 22 square metres in floor area and was made of pre-cast panel with solid posts, C parlances, long span roofing and concrete flooring. [Rey G. Labajo Jr., Terminal Operations Admin, ShellAmlan Terminal, Negros Oriental] shell world philippines i 11

news in brief

Shell Commercial Fuels Philippines focuses on indirect channel excellence

Shell Commercial Fuels Philippines launched a new team that promises to grow its Indirect Channel business in the Philippines during its first Reseller’s Engagement on June 27, 2012 at the Shell Pandacan Terminal. A total of 35 representatives from 18 Resellers and members of the Commercial Fuels Leadership Team attended the engagement. Shell Country HSSE Manager Arsenio Isidro presented Shell’s life saving rules as well as the value of safe operations in the Shell community. He also encouraged the Resellers to uphold safety at all times and implement similar safety regulations in their own storage and distribution facilities. Shell Indirect Excellence Lead for East Asia Marvin Calingo presented the new Indirect Channel organisation

The Shell Commercial Fuels indirect business channel partners together with Shell officials and staff.

and its significance to Commercial Fuels business while Shell’s Touchless Business Specialist Rina Chavez discussed updates in the E-serve system. Shell companies in the Philippines (SciP) Country Chairman & Commercial Fuels General Manager Edgar Chua thanked the Resellers for their valuable contributions to the Shell business and gave a reassuring message on Shell’s commitment to long-term and sustainable business relationship.

Shell Pandacan Terminal Manager Sherwin Yap and former Tabangao Terminal Manager Dino Macaraig explained the current process related to Reseller product lifting and addressed queries on supply and distribution challenges in our depots. The engagement achieved the objective of directly addressing Resellers’ concerns and manifested Shell’s commitment in growing the Indirect Channel business. [Danny Kumar, Mktg Implementor / Business Developer & Manny Castañeda, Account Manager – Indirect]

An honest Shell Contractor Shaila Cecilia Bautista is no ordinary Shell contractor. Since April 2011, Shaila works as a laundry and quality control personnel of Integrated Service Solutions (ISS), one of Shell’s contractors, assigned in the Tabangao Refinery. Normally, she finds money while checking Fire Retardant Clothing (FRCs) of Shell personnel assigned at the Shell Tabangao Refinery in Batangas. Honest and dedicated As she went about her daily routine, Shaila found a significant amount of money and credit cards in the FRC of Shell Tabangao Process Operator Tony Garcia. Without having second thoughts, she did what she has always done -- return the valuable items along with the laundered FRC to the owner. “It is not my money. I believe that God is only testing me whenever I am in a situation like that,” said Shaila. 12 i shell world philippines

Being a good role model Management accorded Shaila Life is not easy for this 41-year-old with a Certificate of Recognition woman from Tacloban, Leyte, who has and a token of appreciation for been providing for her four children her honesty during their toolbox after her husband passed away 12 years ago. Despite her situation, Shaila remains firm on returning items and money that she finds in the clothing that she handles. “I want my children to look Shaila at the laundry section of Shell Tabangao up to me as a good Refinery in Batangas role model. We are not rich, but I am proud of what I do meeting. Her certificate, which she and who I am today,” said Shaila hanged on the wall of their living who strives to instil honesty among her room, is a constant reminder of kids. being a good role model not only to her co-workers but especially to By her good example, Shaila her kids. [Dawn de Guzman] successfully imbibes the value of honesty among her children. The ISS

Shell provides relief assistance to torrential monsoon flooding victims Shell companies in the Philippines (SciP) and the Malampaya Joint Venture (JV) Partners donated a total of over Php 8.5 million in the form of cheque donations to media foundations and relevant government agencies, and cash and in-kind donations from Shell employees and customers. Malampaya Deep Water Gas-to-Power Project Joint Venture (JV) Partners is composed of Shell Philippines Exploration B.V., Chevron Malampaya and the Philippine National Oil Company - Exploration Corporation (PNOC-EC). SciP gave Php 1 million each to DZMM TLC (Teaching, Learning, Caring), GMA Kapuso Foundation, and Alagang Kapatid Foundation, Inc. (AKFI) (TV5) through Pilipinas Shell Foundation, Inc. (PSFI), while Malampaya Joint Venture Partners through Malampaya Foundation, Inc. (MFI) gave Php 1 million each to ABSCBN Sagip Kapamilya Foundation and GMA Kapuso Foundation. Aside from monetary assistance, MFI also donated relief goods to 3,200 families affected by the recent flooding in Subic town barangays. “Shell companies in the Philippines will always lend a helping hand to people in need, especially during disasters. On top of our financial assistance, SciP is also looking at identifying areas of co-operation with a number of non-government organisations to further help our brothers and sisters badly battered by the monsoon rains,” said SciP Country Chairman Edgar O. Chua. Chua also announced the cancellation of Shell Day this year to allot the money for rehabilitation and rebuilding the lives of affected Filipino families. “Given the extent of damage and the tremendous need for assistance by many of our suffering countrymen, we have decided to cancel Shell Day this year and use the money allotted for this on rehabilitation and social development projects. We hope you will all

SciP Country Chairman Edgar Chua (4th from right) and PSFI Executive Director Edgar Veron Cruz (2nd from right) hands over the Php 1 million cheque donation to DZMM TLC received by TLC Consultant Dra Luisa Ticzon-Puyat (4th from left), DZMM Manager for Special Projects May Catherine Ceniza (far right), witnessed by DZMM Aksyon Ngayon host Julius Babao (3rd from right). Also present in the handover ceremony are (from l-r) Pilipinas Shell Petroleum Corporation (PSPC) NGO & Stakeholder Relations Manager Ronald Suarez, Shell Spokesperson-Asia Pacific Mich Villar, PSPC Media Relations Manager Toby Nebrida, Aksyon Ngayon co-host Jing Castañeda, and PSPC Social Investment Manager Jackie Ampil.

understand and agree that in times like this, it would be more fulfilling for each one of us to use money intended for celebration and fun, to alleviating the suffering of the victims of this calamity,” Chua said. Shell Day is the annual Christmas gathering of all staff of Shell companies in the Philippines. In a live broadcast in DZMM on August 14, 2012, through its programme Aksyon Ngayon hosted by Julius Babao, SciP Country Chairman Edgar Chua and PSFI Executive Director Edgar Veron Cruz, announced Shell’s various relief activities and turned over its Php 1 million cheque donation for flood victims. The Php 1 million donation will be used to purchase medicines for residents in different barangays through DZMM TLC’s ‘Clinic on Wheels’ programme. DZMM TLC Programme is a public service project that provides healthcare, educational services and assistance to the public. Services are provided through the use of a roving clinic and classroom (the “TLC Trucks”) and voluntary assistance of medical, dental and healthcare through teaching practitioners. In addition to the relief assistance, Shell has been helping TLC in its operations by providing TLC trucks with its fuel requirements.

“Our partnership with DZMM TLC’s ‘Clinic on Wheels’ will surely help bring back the well-being of our affected brethren,” said Pilipinas Shell Social Investment Manager Jackie Ampil. Recognising Shell’s efforts, GMA Kapuso Foundations Mel Tiangco said, “Isa sila [Shell] sa mga nanguna [sa paghandog ng tulong], nakakataba ng puso yan, parang nakaka-inspire lalo. It goes without saying na naniniwala sila sa ginagawa natin (GMA Kapuso), na nasa tamang patutunguhan ang kanilang donations para sa mga kababayan natin na affected ng habagat. [Shell is one of the private companies who partnered with us to extend a helping hand. It warms our hearts and makes us more inspired. It goes without saying that they believe in us, in our capabilities that their donations will go a long way in helping the affected families of the torrential monsoon rains.] All in all, it still proves one thing - that we can depend on our fellowmen in times of calamity.” The Alagang Kapatid Foundation is currently focused on providing basic necessities to families residing in communities most affected by the recent torrential rains. SWP shell world philippines i 13

cover story

Power up your engine with Shell V-Power Nitro+

Millions of motorists are now enjoying the benefits of using Shell’s latest offering of premium performance fuels formulated to help improve engine performance and deliver more power and responsiveness. A product of Shell’s revolutionary technology, these new formulations build on the company’s more than a century of experience in fuels development. By Jun Jay G. Jimenez

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Keeping up with motorists’ taste for efficiency and performance, Shell is always on the go developing smarter products to provide its customers a different experience whenever they drive their vehicle. An integral part of Shell’s commitment to innovation in fuels development is its technical partnership with Ferrari. For over 60 years, Shell has shared a passion for performance with Ferrari. This longstanding partnership has powered 12 World Championship Driver’s titles and 10 Formula One World

the very first Ferrari drove out of the factory gates at Maranello, Italy, it was powered and protected by Shell fuel, lubricants and motor oils. Shell’s relationship with Enzo Ferrari dates back to 1929, when Shell sponsored Enzo Ferrari as a racing driver. Enzo’s confidence in Shell and its products over many years saw the relationship evolve to become one of the most renowned technical partnerships in motorsport history. The partnership has produced the most-sought road fuels that millions

drivers have already proven the reliability of using these Shell fuels. These latest Shell V-Power Nitro+ fuels are unique premium gasoline and diesel fuels designed to improve performance and act instantly in engines. “At Shell, we recognise that customers’ needs are evolving and they are looking for more from their driving experience. That is why we have developed new Shell V-power Nitro+ fuels which are the latest step in the technological development of Shell’s premium performance fuels. We have made a good product even

Shell’s technical partnership with Ferrari has developed reliable performance fuels that millions of motorists all over the world have been using to power their vehicles.

Constructors’ Championship titles, which are prestigious awards in the world of motorsport racing. Through this partnership, Shell uses the most extreme test bed, which is the race track, to develop Shell road fuels for its customers around the world. To date, the Shell V-Power Nitro+ road fuels are the latest of Shell’s smarter products that came from this robust partnership. From Maranello to the roads Ferrari has been synonymous with high performance cars, both on the race track and on the road. When

of motorists all over the world have relied upon to power their vehicles. On June 1, 2012, Shell companies in the Philippines launched not just one, but three new premium performance fuels, namely Shell V-Power Nitro+ Gasoline, Shell V-Power Nitro+ Racing and Shell V-Power Nitro+ Diesel. Revolutionary fuels for better motoring Since its launch, millions of motorists in the Philippines have already experienced the power of Shell V-Power Nitro+ fuels. In their city driving and out-of-town trips, many

better,” said Pilipinas Shell Petroleum Corporation (PSPC) Vice President for Retail Anthony Lawrence Yam. Shell continuously strives to make better fuels for its customers. Recognising the unceasing technological innovations in motoring, Shell is aware that the needs of motorists evolve with the advancements in car engines. Armed with rich experience in developing fuels paired with its arsenal of technology, Shell developed Shell V-Power Nitro+ Gasoline to replace Shell Super Premium.

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“Shell V-Power Nitro+ Gasoline is our latest technology designed to improve performance and act instantly in your engine. This product contains increased detergents designed to prevent and clean-up deposits that affect engine performance. We have also increased the friction modifier content designed to instantly reduce friction in critical engine areas, thereby helping the engine deliver more power,” said Shell V-Power Brand Manager Pia Que-Ang. The new formulation also contains a higher level of Friction Modifier technology. This technology has been tested with Ferrari as part of Shell’s long-standing technical partnership, and is designed to instantly reduce friction in critical engine areas and thereby help the engine to deliver more power to the wheels. “Our close working relationship with Ferrari provides us with an environment to test new fuels in extreme conditions. This gives us a better understanding of what will deliver improved power and performance. For example, in the Shell V-Power Nitro+ Gasoline available at the pump, we use the same friction modifiers as in the race fuels we develop for Ferrari Formula One cars,” said Shell Fuels Scientist Mae Ascan. For motorists whose passion for driving is beyond ordinary, Shell offers the top performing Shell V-Power Nitro+ Racing which is specifically designed to give even more power and responsiveness, compared to Shell V-Power Nitro+ Gasoline. Shell also introduced Shell V-Power Nitro+ Diesel, which is an improved formulation of the former Shell V-Power Diesel. The new formulation contains a new, more powerful detergent technology for faster and more effective clean-up of diesel fuel injection systems for the latest generation of diesel engines in addition to anti-corrosion agents designed to protect the fuel system from corrosion. Designed for both old and new diesel engines, Shell V-Power Nitro+ Diesel 16 i shell world philippines

has the ability to restore and maintain engine power through active engine protection. With its power-packed features, Shell is offering its next generation premium performance diesel fuel which was made even better for its diesel customers. Innovations breeder What sets Shell apart from its competitors is its expert use of technology in developing fuels. Shell is a prime believer of research and development, investing an average of over one billion dollars annually over the last five years. With its strong force of approximately 200 fuels scientists and specialist engineers across the globe, Shell delivers fuels innovation, development and product implementation to meet the evolving needs of customers and their cars. Developing fuel technology is a long-term, on-going undertaking for Shell. Its expert scientists continuously engage in research to develop fuels that help customers get more from their vehicles. As it takes several years to develop fuels, a range of candidate technologies undergo thorough evaluation. Once ready, Shell introduces new formulations to deliver its promise of better motoring experience for its customers.

All over the world, Shell is one of the leaders in fuel innovation technology. It is passionate in creating some of the most advanced fuels in the world. Over the last 100 years, Shell is at the forefront of developing high quality fuels to enable more customers to get more miles out of their tanks and better performance out of their engines. Packed with power and performance, the technology in Shell V-Power Nitro+ road fuels is the latest manifestation of Shell’s commitment to deliver better fuels for its customers. Backed by over a century of expertise in fuels development, aren’t Shell V-Power Nitro+ fuels just the right choice to help power up your car’s engine? SWP

Filipino Shell Fuels scientist Mae Ascan demonstrates the cleaning power of Shell V-Power Nitro+ fuels.

We have developed new Shell V-power Nitro+ fuels which are the latest step in the technological development of Shell’s premium performance fuels Pilipinas Shell Petroleum Corporation Vice President for Retail Anthony Lawrence Yam

Shell’s Technical Partnership With Ferrari in Numbers Pia Que-Ang answers queries of media people.

Michael Schumacher

• Scuderia Ferrari has won 12 Formula One World Drivers’ and 10 World Constructors’ Championship crowns with the support of Shell. • Shell and Scuderia Ferrari have won over 155 of almost 500 Formula One races. • Michael Schumacher consumed over 181,000 litres of Shell racing fuels during his career with Ferrari. • The partnership has scored more than 2,000 Formula One World Championships points. • In 2010, Shell signed an agreement that takes the longstanding fuels and lubricants technical partnership with Ferrari through to at least 2015. • 99% of compounds in Shell V-Power race fuel are identical to those used in Shell V-Power Nitro+ Gasoline road fuel that can be bought at Shell service stations. The remaining 1% allows enough experimentation to help give Ferrari the edge on the track.

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Keeping the power

flowing in the Philippines Providing 45% of Luzon island’s electricity needs from deep water gas, the Malampaya Deep Water Gas-to-Power project is entering the next phase of its life to keep gas flowing with a new platform and wells. A Decade of Powering a Nation The story of the Malampaya Project is one of resilience, perseverance, and innovation. It is a story intertwined with the rich and at times tumultuous history of a nation. It is a tale of men and women, whose courage and ingenuity are a testament to the triumph of the human spirit, over seemingly insurmountable odds. The discovery in 1992 of the rich Malampaya gas field off the coast of Palawan presented, in equal measure, a chance and a challenge. Spearheaded by the Department of Energy (DOE) and developed and operated by Shell Philippines Exploration, B.V. (SPEX) and its Joint Venture partners Chevron Malampaya LLC and the Philippine National Oil Company- Exploration Corporation (PNOC-EC), the project’s daunting logistical, social, environmental and financial challenges required the unified efforts of all involved. Yet the story remains simple and true— there was an opportunity, it was extraordinary, and they seized it. Today, the Malampaya Deep Water Gas-to-Power Project is still the single, largest, most significant industrial endeavour in Philippine history. The state-of-the-art technology to harness indigenous natural gas from one of the deepest subsea wells in the world, and then to convey it through the longest underwater pipeline in Asia to an onshore gas plant in Batangas, is a complex engineering feat that unfolds every day. Three combined-cycle gas turbine plants – the 1,000-megawatt Sta. Rita power station, the 500-megawatt San Lorenzo power station, and the 1,200-megawatt Iligan power station–are supplied with this 18 i shell world philippines

Operated by Shell, Malampaya is a joint venture between the Department of Energy, Shell Philippines Exploration, B.V. (SPEX), Chevron Malampaya LLC, and the Philippine National Oil Company-Exploration Corporation (PNOC-EC).

processed natural gas to generate a combined 2,700 megawatts of electricity for the country’s main island of Luzon—meeting as much as 45% of its power needs. On December of 2011, Malampaya marked its 10th Anniversary, with a renewed commitment to taking its corporate responsibility beyond its operations via sustainable development projects that have transformed the lives of thousands of Filipinos through the years, and to continue delivering its numerous tangible benefits for the country. Keeping the gas flowing The Malampaya journey is one towards energy self-sufficiency, and it has been marked by challenges and milestones along the way. Malampaya is now at that crucial bend, where it must forge ahead towards delivering its promises safely, reliably, responsibly, and with the same vigilance, dedication and singleness of purpose that have made all of it possible.

Malampaya Phase 2 entails the drilling and installation of two new subsea wells that will tap more natural gas from Malampaya. The new wells will be installed in 2013.

Malampaya now enters Phases 2 and 3 (MP2, MP3) of its development. This will entail the drilling of two additional wells by 2014 and the installation of a new depletion compression platform by 2015. These upgrades are crucial to maximise the recovery of gas from the reservoir and to continue to benefit the Philippines in terms of power, revenues, jobs, and a cleaner environment. As always, the tasks seem daunting, the stakes are high, but progress is steadily being made.

Malampaya Phase 3 involves the design, fabrication and installation of a new depletion compression platform to be placed next to the existing Shallow Water Platform. A 50-metre bridge will link both structures.

The front-end engineering design (FEED) for the depletion compression platform has been completed by partners Fluor Philippines and Arup. The concept selected for the MP3 substructure is a unique self-installing platform. This significantly reduces offshore risks related to installation. MP3 also obtained an amendment of its Environmental Compliance Certificate (ECC) from the Department of Environment and Natural ResourcesEnvironmental Management Bureau (DENR-EMB), yet another crucial milestone for the project in moving forward. The permit is given after it is established that the project will have no significant negative environmental impact. Obtaining the amendment signifies Malampaya’s unwavering commitment towards protecting the environment and championing environmentally sound practices in all its facilities and operations. Malampaya Phase 2 and 3 Project Manager Antoine Bliek said, “We conduct our work with razor focus on safety and environment; always relentlessly striving for excellence with every task.” After a number of successful joint venture (JV) reviews, the JV final investment decision has been made. Malampaya’s JV partners Chevron and PNOC-EC cemented their commitment for the projects, effectively launching them to Execute Phase. Markus Droll, Shell Vice-President Technical and MP 2&3 Decision Executive, said, “This marks the culmination of great work over the last three years, and a very

significant milestone achieved. MP3 is seen as a poster-child of how projects should be executed in the rest of the Shell group.”

contained campus that delivers a wide range of standards-based vocational trade training, HSSE and specialist skills training, among others.

Delivery is next In line with the JV final investment decision, major contracts have also been awarded to companies such as Fluor Philippines and Arup for Detailed Design and Keppel Subic Shipyard for fabrication.

According to MP2 and 3 Principal HSSE Lead Neil Burton, “Apart from the immediate training needs of the project, our long-term objective is to make the Malampaya HSE Training Centre and the HSE programmes a project legacy that’s unique, world-class, and sustainable -- one that is not only linked to Shell’s core HSE values but meets the requirements of the global Construction and Oil & Gas industry. It will raise HSSE standards in the local workforce and help provide employment pathways into those industries. We are also looking at sponsoring trainees from Palawan in the HSSE programme as part of Malampaya’s commitment of raising employment opportunities for Palaweños.”

Located in Subic, on the west coast of Luzon, the yard is where fabrication, installation and integration of the substructure and top-side modules of the DCP will take place, supporting the completion of MP3. The project will generate local jobs and bring technical expertise into the country. MP2&3 supports Shell’s thrust for local content and the nation’s aspiration to develop a local capability in the oil and gas industry, generate employment and contribute to the local economy. MP2&3 also partnered with Australian firm Site Group International Limited to provide Health, Safety, Security and Environment (HSSE) skills training and competency assessment services to employees and contractors of the project. Its main objective is to achieve ‘Goal Zero’ in the Fabrication Yard and offshore executions by significantly raising the HSSE standards and competencies of all workers. The training is currently being delivered at Site’s Philippine training facility based at the Clark Freeport Zone in Pampanga. The 300,000 square-metre campus is one of Asia’s premiere training facilities, and is a fully

For everyone at Malampaya, powering the future is a shared ambition. A future of nurtured and empowered communities, and a nation assured of a more stable supply of energy and a cleaner source of power for millions of Filipinos. In big and small ways, the Malampaya Deepwater Gas-to-Power Project is helping to move the country towards that future. Says Malampaya Managing Director and Asset Manager Sebastian Quiniones, “Ours is beyond just work, it’s so much bigger than that. We know what Malampaya means to the country and how all of this impact future generations. At this point in the journey, we know what needs to be done, and together we will deliver.” SWP

Powering progress together, from left to right: Chevron Malampaya LLC Asset Manager Sabino Santos; Malampaya Phase 2 & 3 Project Manager Antoine Bliek; Chevron Non-Operated Joint Ventures Manager Kevin Lyo; Philippine National Oil Company-Exploration Corporation VP for Business Operations Jomar Castillo; Department of Energy Undersecretary Jose Layug; SPEX Asset Manager and Managing Director Sebastian Quiniones, SPEX Finance Director Jeng Pascual and UI Asia EVP Michiel Kool. shell world philippines i 19

PSFI@30: A Legacy of best practices in corporate social responsibility

PSFI leads beneficiaries and communities to productivity through various innovative empowerment programmes.

Pilipinas Shell Foundation, Inc. (PSFI) has touched over 6 million lives in over 30 years and is continuously enabling the disadvantaged Filipinos become more productive and responsible members of the society in pursuit of its sustainable development goals. By Maria Fatima Cruz & Jun jay Jimenez

Sustainable Development underpins Shell’s business decisions. Pilipinas Shell Foundation, Inc. (PSFI), Shell companies in the Philippines (SciP)’s social investment arm, has succeeded in establishing innovative programmes that made a difference in the lives of over 6 million Filipinos in its 30 years of existence. Established on August 19, 1982, PSFI is a pioneer in pursuing best practice projects that respond to the needs of Shell worksites and host communities. Celebrating three decades of meaningful journey PSFI was the recipient of the World Summit Business Award for 20 i shell world philippines

Sustainable Development Partnerships for the Malampaya Sustainable Development Programme in 2002; Anvil Award and Gold Quill Awards for Excellence for Kilusan Ligtas Malaria (KLM) in 2003; Gold Quill Awards of Merit for Impok pangKalusugan (IpK) in 2004, and for the Pandacan Expanded Assistance for Community Empowerment (PEACE) in 2007; Governor’s Award in Education for PSFI’s Sanayan sa Kakayahang Agrikultura (SAKA) in Palawan in 2009; and was named by the United Nations Development Programme (UNDP) in 2011 as one of the country’s Millenium Development Goals (MDG) Warriors for significantly reducing the number of malaria cases in the country.

PSFI celebrated its 30th anniversary in a night of revelry and nostalgia on August 22, 2012 at the Mandarin Hotel in Makati City. PSFI paid tribute to its partner organisations in helping fuel innovative empowerment programmes that build and transform communities—upholding three decades of solidarity and influencing the lives of more than six million Filipinos. PSFI Executive Director Edgar Veron Cruz thanked the various institutions that have generously supported PSFI’s numerous social development programmes. “We would not be where we are now—reaching and touching more than six million Filipinos—without our implementing

partners and benefactors,” he said. These partners, he added, have helped PSFI build bridges between economic and social spheres, allowing communities to mobilise themselves and take ownership of these programmes. “The success of the foundation is not because of what we do but because of what the community does to help themselves. We engage the community members and show them that we would like to be part of their community. It adds value to what we do,” said Veron Cruz. Among the institutions represented during the event were TESDA, Western Philippines University, Department of Health (DoH), and The Global Fund to Fight Aids, Tuberculosis and Malaria. Bringing together the experience and organisational skills of PSFI and the expertise and resources provided by these institutions, the Foundation’s innovative programmes have reached many communities around the country, successfully creating community champions. TESDA, for instance, is a primary partner of PSFI in Sanayan sa Kakayahang Industrial (SKIL). In her speech, Irene Isaac, TVET Deputy Director General for Sectoral TVET– TESDA, lauded PSFI for this “visionary programme” that has helped thousands of youth better their lives in 30 years. Partner organisation Western Philippines University, represented by its president Dr Elsa Palao-Manarpaac was also credited for the success of Sanayan sa Kakayahang Agrikultural (SAKA). SAKA, said PalaoManarpaac, is one of the strengths of the university. “In Palawan, SAKA is Shell,” she said, receiving applause from the audience. At the forefront of PSFI’s programmes for healthcare and services are its implementing partners DOH and the Global Fund. “We at DOH have always been lucky to find partners but our

SAKA scholar inspects his farm

collaboration with PSFI ranked among the more significant partnerships we have had over the years,” said DOH Undersecretary Teodoro Herbosa. PSFI, he added, is one organisation that has shown how social responsibility can be properly conducted. The sentiment is echoed by Ms Qi Cui, Fund Portfolio Manager - The Global Fund to Fight AIDS, TB and Malaria. The success of PSFI, she said, is rooted in the foundation’s strong ethics of professionalism and humility. SciP Country Chairman Edgar Chua shared his insights on PSFI’s 30 fruitful years of operations during PSFI’s 30th Anniversary kick-off celebration held last August 15, 2012 at Shell House, Makati City. “There are many things that make me proud working in Shell. One of them is PSFI, our foundation which not only dispenses money, but does real and sincere work in making a significant contribution to nation-building,” said Chua. He lauded the high-calibre and dedicated workforce of PSFI for their excellence in implementing programmes that have been empowering people and communities to be more productive. Chua highlighted the values formation component that PSFI incorporated in all of its programmes. “Our foundation not only gives its beneficiaries tools, but also teaches them the right values. I have always

MAM microscopist at work

been proud of that. Values formation is a key element in the success of PSFI in helping beneficiaries improve their lives. I would like to congratulate PSFI for its 30 glorious years of successful operations which touched over 6 million lives,” he said. A partner for nation-building As a corporate foundation, PSFI aims to identify and implement strategic social investments that benefit the people and the communities as well as provide value to the Shell business in the country. Continuing its fruitful journey, PSFI shall relentlessly pursue its mission to go beyond philanthropy and implement innovative programs that empower millions of lives to see the road to productivity and contribute to fuelling growth towards national development. SWP shell world philippines i 21

“That’s cool!” was my first reaction when I learned about Shell Ecomarathon. That day was the start of my Shell Eco-marathon Asia craze. Pictures and stories about it were not enough. I had to be in Sepang International Racing Circuit, where all the action unfolded. Last year was not my time to witness Shell Eco-marathon Asia live. So when the 2012 recruitment for Shell staff volunteers opened, I immediately applied. Month’s worth of waiting exploded in a fit of excitement when I got the email confirmation from the Shell Eco-marathon Asia core team, saying, something like, “Your application is successful. Welcome to the Media team.” The times were hectic and leaving work for a week seemed unaffordable. But it didn’t seem to matter so much, as I was all hyped to see futuristic cars blaze the world-class Formula One Circuit! So I was agog with ten parts excitement, a dash of anxiety, and a couple of bags when I flew to 22 i shell world philippines

How I fell in love with

Shell Eco-marathon A glimpse into the ingenuity and creativity of engineering students from Asia in building energy-efficient cars for a better energy future weaved into the exciting and meaningful experience of a Shell volunteer during the recent Shell Eco-marathon Asia held in Malaysia. By Maria Fatima Cruz Malaysia on July 2, 2012 —two days before the official start of Shell Ecomarathon Asia 2012 competition. DAY 1: July 5, 2012 Before D-Day, some of the Shell staff volunteers were already busy accommodating the droves of students arriving in Sepang International Racing Circuit. The quick hi’s and hello’s and the occasional hug and kisses from people I didn’t know were dizzying but exhilarating at the same time. Getting to know each other better, sharing stories during meal times, and surveying with wideeyed fascination the grandeur of the

famous Sepang Formula One Circuit —adorned with Shell’s trademark red and yellow colours. In many occasions, we could hear the shrieks and shouts of excitement as studentteams settled their cars in the garages. A chorus of “hoorays” filled the air every time a car passed the Technical Inspection as this only meant that the car surpassed Shell’s rigorous safety standards and is ready to hit the tracks for practice runs. While student-teams busied themselves hurdling the inspection, the Social Media team, which I was part of, had a different wisp of enthusiasm to

it. Our job was, for the most part, to capture small but memorable moments as they unfolded. We then uploaded our posts to Shell Eco-marathon Asia Facebook group to bring in viewers from around the world as if they were live spectators of the event. As part of the Social Media team, I had an exclusive pit access that gave me licence to roam around the vast grounds of Sepang—including the off-limits (but safe) areas of the track. I and my partner, Rachel Chow—a very nice lady from Shell Malaysia, had the time of our lives spotting cars of different colours, shapes and designs and talking to the teams that built them. We were at awe and amazed by the creative product of young minds’ ingenuity, that, before we knew it, we’ve already seen all energy efficient cars built by 119 student-teams from 18 countries across Asia and Middle East!

an overall design concept to reduce drag and maximise efficiency. In the UrbanConcept category, teams designed and built four-wheel, fueleconomy vehicles that look similar to the passenger cars we see on the road today. For both vehicle categories, teams used either Internal Combustion Engines that run on either diesel, gasoline, ethanol, fatty acid methyl ester (FAME) or Shell Gas to Liquids; or e-mobility energy sources including solar, fuel cells and battery electric technologies.

can bind us all together. But I was especially inspired by the fact that we were gathered together in Sepang for a common reason —a grander purpose which was to ensure an energy efficient future for generations to come. Day 2 : July 6, 2012 On day 2, Mark Gainsborough, Shell’s Executive Vice President for Global Commercial, inspired me during his Special Session on Smarter

On this day, I was no longer just a proud Filipina. I was a proud Filipina with deep appreciation for Asia. I realised that, despite our different cultures and creeds, a universal kindness and humour

For 2012, 81 cars competed in the Prototype Category and 38 in the UrbanConcept Category. Prototype vehicles were typically smaller in size and more futuristic-looking, with

Chief Executive Officer Simon Henry, with Yang Berhormat Dato’ Sri Idris Jala, Chief Executive Officer of Malaysia’s Performance Management and Delivery Unit (PEMANDU), leads the flag-off shell ceremony. world philippines

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Mobility when he said, “There is no single solution to the energy challenge. However, with commitment from the energy industry, transport companies, governments, and policymakers alike to work together and with customers, we have taken the important first steps toward finding a truly sustainable and viable solution.” I realised how important communitybuilding and stakeholder cooperation were to fulfill the goal of smarter mobility. With this thought lingering in my head, I was doubly agile in my steps as I went through my Day 2. It was a special day because I had the chance to carry the Bunga Manggar with some friends who also volunteered to be part of a traditional Malaysian entourage. While carrying the Bunga Manggar, I couldn’t help but be star-strucked with Mr Gainsborough, Chief Financial Officer Simon Henry and all other important people from Shell who walked beside us during the parade going to the Sepang track for the flag-off ceremony. I kept telling myself I was indeed a lucky girl who was not just enjoying her work, but parading side by side with the bigwigs of Shell. Mr Henry led the flag-off ceremony, joined by Mr Yang Berhormat Dato’ Sri Idris Jala, Chief Executive Officer of Malaysia’s Performance Management and Delivery Unit (PEMANDU). Mr Henry made me feel proud to be part of Shell Eco-marathon Asia, when he said, “It’s amazing to see how much effort and passion goes into building these vehicles. The ingenuity and creativity of our young scientists and engineers are an inspiration to us all, and shows what we might expect from cars of the future.” After the Flag-Off Ceremony, Mr Henry opened the Future Energy, Smarter Mobility Forum which saw 150 policymakers and stakeholders from around the region in a panel discussion on present and future energy issues and solutions. In this seminar, I took special note of his message, “At Shell, we’re working to accelerate innovation and make mobility smarter – from more efficient 24 i shell world philippines

Philippine Ambassador to Malaysia J. Eduardo Malaya (3rd from left) with Shell Companies in the Philippines Country Chairman Edgar Chua (2nd from right), NGO and Stakeholder Relations Manager Ronald “Suiee” Suarez and George Operario (2nd and 3rd from left). Also in the photo are members of the UP Team.

vehicle fuels to liquid fuels made from cleaner natural gas. But it will take more than just technical innovation to satisfy the demands of a growing global population. We need to invest time and money in developing new partnerships to match commercial expertise from the private sector with the regulatory expertise of the public sector for a more sustainable future.” This sense of pride I felt that day enveloped me and energised me further. Mr Henry’s message made me feel more proud to be part of Shell proud to be part of a company that will help define the future of energy. The Last Day : July 7, 2012 On day 3, the final day, I woke up early. I didn’t mind my tired muscles and aching limbs when I boarded the shuttle to Sepang. I was fired up to see action at another must-be present and must-attend day. And indeed, it was a fantastic day! I was part of the human barricade that led 119 teams with their cars to the right way out of the Sepang track. I joined the close to 2,000 studentteams, participants and volunteers for a group photo that commemorated Shell Eco-marathon Asia 2012. The

day whizzed before my eyes. I didn’t even notice the time as I was in a fit of revelry – working while having fun. The experience was really something for the books. But time really flies when one is having fun. Before I knew it, the day was over. With mixed feelings, I sat with the Philippine delegation at the Grand Marquee to witness the awarding. Shell Malaysia Country Chair Iain Lo started the event by acknowledging the outstanding performance of this year’s student-teams. I couldn’t agree with him more, when he said, “The level of energy and team spirit exuded in the pit and on the track has been truly amazing. It has shown that with team work, impressive results can be achieved. One can’t help but be optimistic that achieving smarter mobility is not too distant a dream, when our future is already thinking of solutions today.” When the awarding commenced, I never expected to be dancing for joy with the Philippine delegation very early in the night. The Philippines’ De La Salle University

(DLSU) Eco-marathon Team Proto bagged the night’s first award! They won the Off-track “Technical Innovation Award” for their car’s innovative battery management system and smart cruise control function that electronically ensured the best energy efficiency possible. We broke out in a tumultuous jubilation with this announcement. The sense of pride was palpable in each member of the Philippine delegation. Not yet fully recovered from DLSU’s triumph, we again cheered at the din of our voices when the Technological Institute of the Philippines (TIP) Manila’s Team Mileage clinched the third Off-track award! They bagged the “Best in Team Spirit Award” for their collaborative spirit, positive dynamics and highly-energised attitudes. Team Philippines was on a roll!

1) DLSU Team Proto after receiving the “Technical Innovation Award”. 2) The Shell Ecomarathon Asia 2012 core team in a jubilant mood after the awarding. 3) Mark Gainsborough in his Special Session on Smarter Mobility. 4) UP’s Kidlat arrives at the slalom test area.

Ethanol E100 improved on its own 2011 mileage record of 2,213.4 km/l by more than 30 percent. This year, the team recorded 2,903 km/l – the equivalent of driving from Kuala Lumpur to Hanoi. I also stood and cheered for Team Cikal Cakrasvarna from Indonesia for achieving the highest mileage of 196.3 km/l, running on gasoline in the UrbanConcept Category.

I may sound cliché, but everybody who participated in the Shell Ecomarathon Asia 2012 was a winner. All students deserved accolades for demonstrating ingenuity and teamwork. With great minds and For the On-track award winners, I gave hearts, these student-teams could spell a standing ovation for Team Luk Jao the difference at the quest for smarter Mae Khlong Prapa of Dhurakij Pubdit mobility. The day was capped with University Thailand, for achieving the burst of cheers and laughter as the best mileage at Shell Eco-marathon closing ceremonies ended. It was a Asia 2012. I was simply floored night of festivities, but it was also, when its Prototype car running on sadly, a night of goodbyes.

Looking back Looking back, I realised there were a lot of things I missed doing in Malaysia. I wasn’t able to see the famous Petronas Tower for one, nor was I able to “shop till I drop” at KLCC. But I never regretted not leaving Sepang International Racing Circuit even for just an hour. The prospect of going to those places pale in comparison to the memories I took home from the racetrack. Even now, I still keep in touch with the friends I met in Malaysia. Most of us would say that we dearly miss Shell Eco-marathon Asia 2012. Well, there’s always next year’s competition and, in 2014, it wouldn’t be so hard for me to volunteer because Shell Eco-marathon Asia will be staged in the Philippines! I’m definitely looking forward to future Shell-Eco Marathon Asia competitions! SWP shell world philippines i 25

The Shell Tabangao History Wall showcases the milestones of the Refinery through the years.

Workforce observes safety at the workplace

Celebrating 50 years of excellence in Shell Tabangao Refinery By Jo Diana-Diga & Dawn De Guzman

July 19, 2012 marked the historical celebration of five decades of hard work, team spirit and excellence of Shell Tabangao Refinery. Shell is a global leader in power and energy and plays an active role in meeting energy demands of the future. Shell has become a symbol of excellence in the oil and gas industries and has always been looked upon as a trailblazer in the oil refinery business.

(bpd). The subsequent revamping of the facility in 1988 contributed to better energy efficiency and raised total primary distilling capacity to around 70,000 bpd.

Through the Years Shell started its refining operations in the Philippines in 1962 with only a single 30,000 barrels per day (bpd) process train (distiller and platformer). In 1967, a second process train added to the facility boosted its capacity to 60,000 barrels per day

With the application of a state-ofthe-art integrated process approach in the design of the new refinery, both the company and its consumers benefitted in many ways. There was a considerable improvement in product yield from crude oil and better product quality for the general public.

The growing demand for the company’s refined products in the 1990s, however, exceeded Shell Such is the case in the Philippines. The Tabangao’s refining capacity. To Shell Tabangao Refinery is considered meet the expanding fuel requirements top provider of quality oil and fuel of the Philippine market, Pilipinas products in the Philippines and around Shell Petroleum Corporation (PSPC) commenced the construction of a the world. 110,000 bpd refinery in 1992 in Batangas. The newly constructed and This year, Shell Tabangao Refinery celebrates yet another milestone – its modern refinery did not just meet 50th year of operational excellence – the existing demand but was also a mark that has always been etched designed to produce cleaner fuel products such as unleaded gasoline in its corporate history since it started operations in 1962. and low sulphur diesel.

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Celebrating 50 years The celebration of the 50th year anniversary of Shell Tabangao Refinery was a night of pomp, glamour and nostalgia. The Tabangao start-up team, community members, staff and Shell Executives, retirees, and external stakeholders, graced the Filipino-inspired and fiesta-like celebration. Clad in their Filipinianas and Barongs (Filipino formal wear), the guests and staff were welcomed by a marching band and a rondalla group. Shell Tabangao Refinery General Manager Ton Wielers opened the celebration with his welcome message while Shell Manufacturing Executive Vice President Tom Botts honoured the staff and contractors that made Tabangao one of the most awarded refineries across Shell. For their unwavering support and dedication to the company since its first operation, Shell Tabangao Refinery’s partners and stakeholders were recognised. Among the awardees were local government organisations (LGUs), academes,

Shell people work with safety in mind

medical and dental organisations, contractors, employees and retirees associations.

The Tabangao Start-Up Team with Shell Chairman J Churchill taken in 1960 before the team’s departure.

People at the heart of Tabangao After five decades, Shell Tabangao Refinery has achieved this remarkable milestone because of its people. The world-class human resources of the refinery made it a huge success. Since its initial commercial operations in the 60s, the men and women of Shell Tabangao Refinery continue to be at the forefront of innovation, technology expertise, and refining and manufacturing excellence. It is the people that have put their best effort to keep the refinery operating for five decades, continuously improving process technologies, constantly collaborating to deliver operational excellence, and ensure asset reliability and product quality. And it will be the people’s unified determination and dedication that will keep the Shell Tabangao Refinery operating for the next 50 years. The Tabangao Start-up Team In 1960, 15 engineers trained abroad to study and familiarise themselves with procedures and systems operation in the refinery. After two (2) years of training abroad, the team came back in 1962. Equipped with the experience and knowledge they had gained, they were the very first to operate the Shell Tabangao Refinery.

The Shell refinery’s integrated utilities complex – then & now.

The pioneering team were (in group

photo, seated, l-r) Pablo Gilles, Amando Mirasol Jr., Johnny Bonot, Pres. J. H. Churchill, Jose Gochoco, Rosendo Ignacio and Juanito Cruz. In the row are (l-r) Bert Muyot, Apolonario Moredo, Horacio Aycardo, Anastacio Yap, Honorato Santos, Rosalino Reyes, Jr., Julio lalic, Eusebio Cabrera and Rizal Caguiat. The 50th year gathered the Shell “family” once again. During the celebration, five original members graced the 50th year celebration together with five other members represented by the wives of the Tabangao Start-up team. “Thank you for honouring us. This is one treasure I’ll keep close to my heart. Congratulations for the successful event. This truly is Tabangao, and you’ve done the event the Tabangao way,” said Mr Honorato ‘Atong’ Santos. Meanwhile, Mr Sergio Leyva said, “I have never felt so honoured in my life. Thank you, Shell.” Mr Rudy Coronel said, “This is the essence of a true Shell Family. Thank you for putting us together again.” To mark its legacy and heritage, the Shell Tabangao History Wall was unveiled during the celebration. The wall showcased Tabangao Refinery’s important milestones and summarised the significant dates and developments that contributed to the 50 year existence of the refinery. SWP shell world philippines i 27

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