Coral Bay Nickel Corporation Rio Tuba, Bataraza, Palawan

BASIC SAFETY ORIENTATION

General Information
Project Proponent Principal Office : Hydrometallurgical Processing Plant : Coral Bay Nickel Corporation : Rio Tuba Export Processing Zone Brgy. Rio Tuba, Bataraza 5306 Palawan, Philippines Tel.: (632) 750-2289 to 90 Fax : (632) 750-2291 : 24 Floor, Pacific Star Building Makati Avenue corner Gil Puyat Avenue 1200 Makati City, Phillippines Tel : (632) 750-1536 to 39 Fax : (632) 750-1530

Manila Office

Company Officials : Mr. Takanori Fujimura, President Mr. Arturo Manto, V-President for External Affairs Mr. Masahiro Kamiya, Tresurer

Project Location

The CBNC Plant is located within the industrial facility of Rio Tuba Nickel Mining Corporation (RTNMC) in Brgy. Rio Tuba, Bataraza, Palawan.
Barangay Rio Tuba -Population : 15,000 -Company Town: 5,000 -Others: 10,000

Statement of Company Safety Policy

It is the companys policy of Coral Bay Nickel Corporation to conduct its operation with due regard to the health and safety of its workers, its contractors, and the community while taking into considerations the protection of the environment. Specifically to: Comply with applicable laws, regulations and standards that minimize any adverse environmental impacts resulting from its operations and products.

Statement of Company Safety Policy

Communicate openly with government and community on environmental issues Conduct research and establish programs to conserve resources, minimize waste, improve its process to protect the environment. Ensure that its employees and contractors are informed about this policy and aware of the respective environmental responsibilities in relation to CBNCs business

Objectives
To promote a culture of safety and health by providing an effective monitoring system and investigation. To promote the strict implementation of the Safety and Health Rules. To promote Safety and Health training, thereby attaining its objective of total employee development. To comply with the various government legislations regarding Safety and Health.

THE PROJECT PROPONENT

In 2002, the HPP Project of Coral Bay Nickel Corporation (CBNC) was established with the combined efforts of its Japanese partners Sumitomo Metal Mining Corp. (SMM), Mitsui & Co., Ltd. (MBK), Sojitz Corporation (SC), and its Filipino Partner, Rio Tuba Nickel Corporation (RTNMC).

Sumitomo Metal Mining Corp. Ltd. Share 54% Mixed Sulfide

Technology Information
Mitsui & Co Share 18%

Coral Bay Nickel Corporation Ore and Limestone

Rio Tuba Nickel Mining Corporation

Share 10%

Sojitz Corp. Share 18%

THE PROCESS
The plant adopts the High Pressure Acid Leach (HPAL) process to produce nickel/cobalt Mixed Sulfide (MS) from low grade nickel lateritic ores at high recovery rate and at low cost.

The process consist of solubilizing nickel and cobalt by high pressure leaching Using sulfuric acid. This followed by neutralization of excess acid using ground limestone. Nickel and cobalt are recovered as sulfides by precipitation with hydrogen sulfides (H2S) gas.

ORE PREPARATION AREA Nickel Ore - 1.2 1.3 % NI

Oversize Ore
Requirement less than 1.4 mm

Pressure Leach

H2SO4

98% Purity

Steam 240 C KPAG

Counter Current Decantation

Impurity Neutralization 3.5~3.8 Ni /0.09 % Co Limestone Slurry H2S Gas

Zinc Removal

EFFLUENT GYPSUM

Final Neutralization

Tailings Pond

Sulfurization

PH 7 ~ 8

Mixed Sulfide 55~57 % NI 4.3% Cobalt 10% H2O

Nickel Ore 1.2 ~1.3 % NI

Ore Preparation
Pressure Leach

Oversize Ore

H2SO4 98 % Purity

Steam 240 C 4800 KPAG

Counter Current Decantation

Limestone Slurry H2S Gas

Leached Residue

Impurity Neutralization
3.5~3.8 Ni /0.09 % Co

Gas Scrubber

Zinc Removal

Final Neutralization
Effluent Gypsum

Sulfurization
Mixed Sulfide 55~57 % NI 4.3% Cobalt 10% H2O

Tailings Dam

PH 7~8

Sea

THE PRODUCT

The main product of CBNC is Mixed Sulfide (MS) of nickel and cobalt, analyzing 57% NI and 4% Co. it is designed to produce 10,000 tons of nickel and 750 tons of cobalt per year. Through the process of HPP, low grade ore, which was considered as mine wastes of the earlier RTNMC operations is utilized to produced Nickel/Cobalt Mixed Sulfide. This is subsequently refined in Japan and the nickel and cobalt metals are metals are then used in the production of stainless steel and other applications.

WHY?
Because the company has moral and legal obligations towards you. Because, you, too, have moral and legal obligations towards the company once you are in its premises.

Rules on CBNC Plant Site Visitors

Undertake safety and health orientation. At all times, shall wear personal protective equipment provided by CBNC. Shall wear Visitors ID at all times while in Company premises. Refrain from entering Restricted Areas. Taking of pictures is strictly prohibited. If pictures are required, CBNC personnel will take pictures using company authorized cameras only. Prohibited drugs & Alcohol consumption is strictly prohibited within plant premises. Individuals believed to be intoxicated and/or drugged will not be allowed entry into plant premises.

Rules on CBNC Plant Site Visitors

Everyone is required to participate during Emergency Drills. Listen and take note of the announcements through paging system.

PROHIBITED ITEMS Deadly Weapons such as: Firearms Explosives Ammunition Sharp Objects

Firearms, other types of deadly weapons, and unauthorized explosives are prohibited on Company Property.

CONSEQUENCE FOR BREACH OF COMPANY POLICY Any person breaking company policy as stated in this Visitor Orientation program will be subjected to being asked to Leave the Plant Site

PPEs Requirement for Different Areas

All Visitors must wear the proper PPEs provided while inside the Plant Site Complex All areas in the Plant Site Complex are designated as Hard Hat, Safety Glass, Safety Shoes, Respirator and Protective Clothing Areas. In some areas, wearing of safety goggles, gas indicators, and respirator are strictly required Restricted Areas should be properly observed

Designated safety equipments such as eye wash / shower stations, fire extinguishers, emergency evacuation areas should be properly noted

Incident , Accident, and Injury Reporting

All incidents (real or potential safety, security or environmental) regardless of harm, damage or injury being caused (near miss incidents) must be reported to your CBNC Representative; All injuries regardless how minor they are, must be reported to your CBNC Representative; All injured persons that require first aid or greater must report to the CBNC Representative / Safety personnel for immediate medical attention

Raising an Emergency Alarm

The Coral Bay Nickel Corporation High Pressure Acid Leach Project maintains a state-of-the-art system to alert the employees and other people concerned in an emergency situation. An example is in case of Fire: The fire alarm system will be activated. The sound will immediately warn people of the fire and signal the start of evacuation procedures. Notification procedures vary depending on the magnitude of the situation. Bigger events will call for more people involvement. In case of a serious or facility-wide emergency situation, the appropriate means of notification is through the paging system and the activation of the siren. Reporting of any type of emergency shall be done using telephones which are strategically located within the plant site complex area. Telephone directories shall likewise be placed in strategic areas accessible to all employees.

CBNC EMERGENCY FLOW CHART

Accident DCS Operator Production Manager Paging System Safety Head Plant Manager Emergency Response Team

DCS Alarm

Maintenance Manager

Utility Manager

GAD Manager

PLD Manager

EMO Head

PSSI Guards

Public Relation Team

Contractors

Hospital

Emergency Evacuation Areas

You are here

Evacuation Area A

Evacuation Area C

Evacuation Area B

Interaction with Local Community

For CBNC Visitors - although interaction with the local community maybe unavoidable, the following rules must be obeyed:
As the traditional owners of these lands, treat the IPs with the respect they deserve they were here first;

The customs and beliefs of the Indigenous Peoples (IPs) of the region must be respected; Respect the religious beliefs of the local population; Not to enter areas of ancestral domains unless authorized by IP representatives; Not to damage their property, harm the environment, hunt or fish unless authorization is given by IP representatives; Always act in a manner that meets the policies and Standards of CBNC.

SAFETY ACHIEVEMENTS
4 Million Man hours Without Lost Time Accident March 2009 to November 2009 2008 PMSEA Platinum Achievement Award 2008 PMSEA Safest Mineral Processing Award (Extraction Plant Category) 2009 PMSEA Platinum Achievement Award 2009 PMSEA Safest Mineral Processing Award (Extraction Plant Category) 2009 PMSEA Most Improved Safety Record Award

THANK YOU / SALAMAT PO