References: Manual Chapt. 9 ISO 9001 par.7 ISO par. 4 ISM Code par. 7; 8

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1 SQEMS OPERATING PROCEDURE OP-SAF-03 1 of 5 References: Manual Chapt. 9 ISO 9001 par.7 ISO par. 4 ISM Code par. 7; 8 1. SCOPE This Procedure establishes criteria for the control and management of hazardous situations on board, following the procedures detailed in the Company SQEMS and in the recommended practices. 2. RESPONSIBILITY SQE Dept. To establish the procedures and necessary documents in line with authorized codes and practices. Safety Superintendent To verify the procedures and documentation are correctly followed on board; To make reviews and additions to improve the management of hazardous situations; To file appropriate documentation in office. Master To enforce the established and recommended procedures for the control and management of hazardous situations; To report to office any practices which can give rise to a hazardous situation and seek advice; To file the necessary documentations on board. Crew To familiarize and observe the safe procedures and practices; To control, reduce and manage hazardous situations on board To report to the concerned authority on board any unsafe practices or situations. 3. PROCEDURE The recommended procedures of the SQEMS. established to control and manage hazardous situations through various means including, but not limited to permits, check lists and safe working practices must, at all times, be observed. This is aimed at reducing the hazardous situations to the minimum and enhancing the safety and health of the personnel on board. 3.1 General Hazardous situations on board are often handled and crew must be aware of danger. All known hazardous situations must be handled with caution following all the safety procedures. Measures to prevent any hazardous risk for the crew, environment, ship and her cargo have to be taken. 3.2 Implication of commercial decisions in terms of safety Consideration is to be given to the implications of commercial decisions in terms of safe ship operation and pollution prevention. When the characteristics of the cargo to be transported are not known or the usual one, the Ops. Department shall communicate all the necessary information concerning the cargo which is intended to be transported and the name of the ship concerned to the Head of the Technical Department. Prepared by: Reviewed by: Approved by: Safety Superintendent Fleet Director General Manager Distribution: to all managed vessels

2 2 of 5 On time chartered ships, when the cargo is supplied by the Charterer, the Master, when the hazardous characteristics of the cargo to be transported are not available on board, shall request such information from the Company's Technical Department. In both cases, the Technical Department shall give the Master of the concerned ship any instructions regarding the safe cargo handling, storage and transportation in order to maintain the crew and ship, and environmental protection. Neither the Company nor the Master shall accept cargoes whose transportation is not allowed by the ship's certificates. 4. CONTENT The Company has assessed all identified risks to its ships, personnel and the environment and has established instructions and procedures to overcome them as well as appropriate measures to respond at any time to emergency situations involving vessels. Company also utilize dedicate software to facilitate this process of assessing risks and is guided by best management practice of the industry in accordance with the information included in the UK MCA Code of Safe Working Practices for Merchant Seamen and for tanker vessels in ISGOTT ( International Safety Guide for Oil Tankers & Terminals ) The below given list is not inclusive of all possible hazardous situations that can be encountered, but considered significant. Therefore from time to time, additions can be made to the following list from the feed back, experience and reviews. Description 4.1 Ship's speed and course in hazardous situations 4.2 Precautions when the ship is at anchorage 4.3 Cold weather precaution and prevention of thermal shock 4.4 Maintenance work on the main propulsion machinery when the ship is at anchor 4.5 Mooring operations 4.6 Working with tugs 4.7 Working aloft 4.8 Storage, autonomy and treatment of fuel oil 4.9 Welding gases: precautions, handling and storage of bottles 4.1 Ship's speed and course in hazardous situations a) In the event of hazardous situations such as: 1. risk of collision 2. bad weather 3. restricted visibility 4. high traffic density 5. restricted maneuvering area the vessel's speed is to be adjusted to allow a safe maneuvering margin also in case of failure of the main engine and steering gear. In particular, the following precautions are to be taken: where the automatic pilot is used, it must be possible to immediately take over the ship's steering manually. The changeover from automatic to manual steering and vice versa is to be made by or under the supervision of the Officer in charge; a continuous watch of the radar and ARPA is to be made; a qualified helmsman shall be ready at all times to take over steering control; where applicable, both steering gear pumps are to be put into service; the main engine shall be always ready for immediate maneuvering; a standby generator is to be started and connected to the main switchboard.

3 3 of 5 b) When restricted visibility is encountered, the first responsibility of the Officer on watch is to comply with the regulations for preventing collisions at sea. Requirements concerning the sounding of fog signals and switching on of navigation lights, are in particular to be complied with. c) When ice is reported on or near the ship's course, the Master is bound to proceed at a moderate speed or to alter his course so as keep the vessel be well clear of the danger zone. Means of communication may be telephone, mobile telephone and portable VHF/UHF radiotelephones with appropriate safety characteristics. The system of communication selected, together with the necessary information on telephone numbers and/or channels to be used are to be recorded in an appropriate form. 4.2 Precaution when the Ship is at anchor When the ship is at anchor the Master shall take such precautions as to avoid danger to the ship and personnel. These precautions shall take into account the following: area used for anchoring (open sea or protected area); main engines readiness for maneuvering; precautions against acts of piracy; weather forecast time intervals; bridge and or deck/gangway attendance; harbor watches and patrols; type of seabed. 4.3 Cold weather precautions and prevention of thermal shock When the ship is engaged in voyages where cold weather and ice formation is likely to be encountered, the Master has the responsibility to take the necessary precautions to avoid danger to persons, damages to the ship, her systems and equipment and consequences on the cargo. A checklist has been provided where the routine precautions are listed. This checklist is not to be considered as exhaustive: it is the responsibility of the Master and Chief Engineer to consider additional precautions to avoid further dangers or damages. If vessel is engaged for a voyage with heated cargo to load in a zone of low temperature care must be done during the cargo operation. Vessel commands should take care that the maneuvering performance of the ship may differ from that shown on the posters due to environmental, hull and loading conditions. 4.4 Maintenance work on the main propulsion machinery when the ship is at anchor Unless it is considered essential, maintenance work should not be carried out on the main propulsion machinery or machineries that can affect the maneuverability of the ship, when the ship is at anchor. Oil tankers and bulk-carriers may perform maintenance work while the ship is at anchor only if permitted by the local Authority regulations. Masters shall request the necessary information from the shore Authorities, or local Agent, before commencing maintenance work. When the local Authorities allow maintenance works to be carried out and the same is deemed necessary and not to be delayed by the Ship Superintendent and Chief Engineer, the following procedure is to be followed: 1. the "Designated Person Ashore" is to be informed and gives his approval; 2. the Master shall give his approval based on the evaluation of: - availability of both anchors - suitability of the seabed for anchoring - anchored position: whether in open sea or sheltered waters - weather forecasts for the time required for the maintenance work 3. all the weather forecasts available for that area should be checked during maintenance operations; 4. the expected duration of the maintenance work shall not exceed the interval between two consecutive weather forecasts unless, in case of need, the work may be interrupted and the propulsion plant made operative in a short period of time. 4.5 Mooring operations During mooring and unmooring operations a sufficient number of ship personnel should always be available at each end of the vessel to ensure a safe operation.

4 4 of 5 A responsible Officer should be in charge of each mooring parties with means of communication with bridge and between teams. All personnel involved should wear protective clothing and safety gear. Make sure specified recommended procedures for securing moorings on board, ensuring all mooring gear and equipments are checked in advance and are in good condition and ready for the intended mooring operation. Following are some of the precautions to be exercised for a safe mooring operation on board. personnel never to stand in the bight of a rope; when moorings are under strain stay clear at positions of safety; be aware that synthetic ropes give little or no warning when about to break; do not surge synthetic ropes on the drum, always walk back the winch to ease the weight; do not stand too close to a winch drum or bitt when holding and tensioning a line; keep the line handling area clear of oil/grease, objects or obstructions; ensure the winch/windlass operator understands the controls & signals well; do not leave winches/windlass running unattended; give clear instructions while communicating, to avoid doubts or misunderstanding; ensure all necessary ancillary equipments, like messengers, heaving lines, stoppers, fenders etc., are sufficient and ready in advance at mooring stations. 4.6 Working with tugs While working with tugs, all personnel should be adequately briefed in their duties and should be equipped with personal protective equipment. The Master/Officer in charge should agree with the tug s Master, the area where the heaving line to be thrown, to allow them to move clear. Once the tug s line is connected, non essential personnel should keep clear of the operational area. During operations: communications must be maintained between the tug and the bridge and between the bridge and the towing station, always monitor the towing line/tug s line and personnel on station to keep a safe clearance; personnel on towing station to monitor for any unusual or dangerous movements or manoeuvres by the tug and inform the bridge accordingly; when letting go a tug s line, personnel should keep well clear of the eye, which should be lowered under the control of a messenger to reduce the risk of injury to those involved in the towing operation. 4.7 Working aloft Personnel working at a height more than 2 meters may not be able to give their full attention to the job and at the same time guard themselves against falling. Therefore proper precautions should always be taken to ensure personal safety when work has to be done aloft. All personnel working aloft, where there is a risk of falling more than two meters, should wear a safety harness (or belt with shock absorber) attached to a life line and the appropriate protective equipment; Personnel under 18 years of age or with less than 12 months experience at sea, should not work aloft unless accompanied by an experienced person or otherwise adequately supervised; The dedicated permit should be obtained with verifying the specified check list, prior commencement of work; Check all equipments and securing arrangements carefully. 4.8 Storage, autonomy and treatment of Fuel Oil Bunker (fuel oil and gasoil) is loaded and stored in appropriate tanks and double bottoms and is periodically transferred by means of specific piping and pumps to settling tanks where, if requested, after heating, it is left to settle for a sufficient period of time. In the settling tanks, if required, the fuel is mechanically separated from water and sediment by purifiers, and delivered to daily tanks where it is used for supplying engines (refer to the dedicated WIN-TEC and WIN- SAF). Fuel for the intended voyage may be supplied by the Owners/Operators or Charterers in such quantity necessary to cover the voyage plus a safe margin as per dedicated WIN-OPS.

5 5 of Welding gases: precautions, handling and storage of bottles Publications from the suppliers relevant to the precautions to be taken during the handling and use of welding gases and cylinders are available on board. References WIN-SAF-21 Storage and Heating of Fuel Oil Storage of Lube Oils/Grease WIN-TEC-11 Bunker Sampling (Fuel Oil) WIN-OPS-11 Requisition of Fuel Oil/MDO/MGO