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Ovintiv 2022 Sustainability Report

Ovintiv emphasizes its commitment to sustainability by producing safe and reliable energy while achieving significant reductions in greenhouse gas emissions and promoting an inclusive workplace culture. In 2022, the company reported over a 30% reduction in Scope 1 and 2 emissions intensity and introduced new safety metrics tied to employee compensation. The document outlines Ovintiv's dedication to driving innovation in energy production while balancing profitability and environmental responsibilities.

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0% found this document useful (0 votes)
35 views205 pages

Ovintiv 2022 Sustainability Report

Ovintiv emphasizes its commitment to sustainability by producing safe and reliable energy while achieving significant reductions in greenhouse gas emissions and promoting an inclusive workplace culture. In 2022, the company reported over a 30% reduction in Scope 1 and 2 emissions intensity and introduced new safety metrics tied to employee compensation. The document outlines Ovintiv's dedication to driving innovation in energy production while balancing profitability and environmental responsibilities.

Uploaded by

nad.smartrenov
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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MAKING

MODERN LIFE
POSSIBLE
2022
Our Approach To
Sustainability

sustainability.ovintiv.com
SUSTAINABILITY
OVERVIEW
Sustainability is rooted in our foundational values. At Ovintiv,
we are proud to make modern life possible by producing
safe, affordable, secure and reliable energy in North America.
We are at the forefront of producing oil and natural gas both profitably and sustainably, which
means maintaining our focus on the balance sheet while continuing to drive real and measurable
environmental, social and governance progress.

05042023
HIGHLIGHTS
• Achieved a >30% reduction in our Scope 1 &
2 greenhouse gas (GHG) emissions intensity
since 2019, making progress towards our
goal of 50% reduction by 2030

• Fully aligned with the World Bank Zero


Routine Flaring Initiative in our year-end
2022 operations

• Bolstered our inclusive workplace culture


with an updated benefits package that
includes an industry-leading family leave
policy

• Continued to progress our Board renewal


efforts

• Introduced a second safety metric to our


compensation program

Overview
12212023
FROM THE CHAIR & CEO
Producing safe, affordable, secure
and reliable energy both profitably
and sustainably is a powerful purpose
– one that we take seriously. Our
products fuel the world and make
modern life possible.
Access to safe, affordable, secure, and reliable energy
has never been more crucial, as demonstrated by the
volatility that characterized 2022. Record inflation, geo-
political disruption and continued supply chain disruptions
culminated in rising costs across the globe.

Despite the unpredictable macro-environment, our company celebrated many remarkable


achievements in 2022. From record free cash flow to increasing our premium inventory locations, we
strengthened our resilience and reinforced our ability to deliver durable returns. Our world-class team,
combined with our top-tier, multi-basin, multi-product portfolio continued to drive shareholder value.

In addition to these successes, we recently announced a transaction to further progress our durable
returns strategy that will see us roughly double both our oil production and premium inventory in the
Permian Basin. This transaction checks all the boxes for our shareholders. The deal is accretive to cash
flow per share, cash returns to shareholders, net asset value, and inventory life while maintaining our
investment grade-rated balance sheet. While we expect a brief period of integration of the new assets,
we remain committed to our Scope 1 & 2 emissions target.

Our team is united by a commitment to drive progress and improve lives. This drive, coupled with our
values, pushes us to continually enhance our performance. This commitment is a reflection of our history,
our high standards, and our vision for the future.

Our 2022 Sustainability Accomplishments:


Delivering on Greenhouse Gas (GHG) Emissions Reductions – We continued our commitment to reduce
GHG emissions by achieving a >30% reduction in Scope 1 & 2 GHG intensity at year-end 2022, benchmarked
against our 2019 results. We are well on our way to achieving our target of reducing our Scope 1 & 2 GHG
emissions intensity by 50% by 2030. Compensation for all our employees is directly tied to our progress in
meeting this commitment.

Bolstering our Culture of Inclusion – In alignment with our renewed social commitment, we have
continued to look for new ways to promote and enhance our workplace to create an industry and a
company where everyone is welcome and valued. In 2022, we made significant progress in this space,
updating our benefits package to include an industry-leading family leave policy and committing to
disclose extensive gender equality information. We are also updating our recruiting practices to enhance
engagement with communities and educational institutions to broaden the diversity of our talent. Our
efforts in this space have led to our inaugural inclusion in the Bloomberg Gender-Equality Index.

Overview
05042023
Ongoing Board Renewal Process – We have been intentional about our Board renewal process. In
2022, we welcomed Board member Ralph Izzo, who marks our sixth new independent director since
2019. Through this process we have added expertise and diversity to our Board.

Strengthening our Safety Culture:


While we are proud of our achievements, we also must acknowledge where we were challenged. Over
the course of 2022, the number of safety incidents grew across our industry. Ovintiv was not immune to
these challenges; we saw the frequency of serious safety incidents increase across our operations.

Safety is a foundational value at Ovintiv, and as such, we were compelled to respond with urgency.
We conducted an extensive company-wide safety review through both an internal task force and an
independent third party, Krause Bell Group. Both groups reported directly to the executive leadership
team and to our Board, recommending four key initiatives. Our team has immediately begun to put
these into action across the organization. Starting in 2023, we incorporated an additional safety metric
in our compensation program to directly address serious safety incidents. We are resolute in our
commitment to ensuring our employees and partners go home safely every day. This starts by having
the right policies and practices in place, incentivizing the right behaviors and reinforcing a culture that
prioritizes safe work always. You can read more about our go-forward plan and our approach to safety
across our organization in our Safety section.

As we continue to strengthen our commitments and make progress toward achieving our goals, we
want to recognize the unwavering efforts of our employees, service providers and partners who are
undertaking the day-to-day work to provide the safe, affordable, secure and reliable energy to make
modern life possible. At Ovintiv, we are committed to developing our resources safely, efficiently and
sustainably, while also generating durable returns for our shareholders.

Thank you for your interest in our company. We trust that you will find this website transparent and
helpful in understanding our strategy, performance and ongoing progress.

Peter Dea Brendan McCracken


Chairman of the Board President & Chief Executive Officer

Overview
OUR VALUES
Our values are the set of common principles that connect us. They serve as our
inner compass, defining our behavior and driving our culture. They impact how we
execute our strategy, deliver on our objectives, and achieve our purpose of making
modern life possible. We are proud of our results and how we achieve them.

Our core values differentiate our


performance and guide our actions.

One Agile
We achieve greater results We proactively identify
working together to advance opportunities and take action
common goals. to capture value.

Innovative Driven
We differentiate through We are motivated by purpose,
innovation, applying novel set high standards and are
solutions to meaningful accountable in delivering
opportunities. results.

Our foundational values underpin our behavior and define what we expect of
ourselves and others in the workplace.

Safety: We care Sustainability: We Integrity: We Trust: We deliver Respect: We value


about the health, are committed to act ethically and on our promises individual differences,
wellbeing and improving quality honestly, honoring and uphold our diverse perspectives
safety of people of life without our commitments commitments. and unique talents.
above all. compromising the and responsibilities.
future.

Overview
01222024
OUR PURPOSE
Our products fuel the world – we make modern life possible.
We are united in achieving our purpose and providing safe, affordable, secure and reliable energy to the world. At Ovintiv, we
will continue to pioneer innovative ways to provide energy while driving down global emissions both today and into the future.
e are at the forefront of driving innovation to both profitably and sustainably produce oil and natural gas from shale

Oil, natural gas, and natural gas liquids are essential to every aspect of life; from healthcare and education to the clothes we
wear, the food we eat, the mobility we cherish, and the electronic technologies we rely on every day. It is evident, now more
than ever, that energy security, reliability and affordability are critical to combating poverty, enhancing quality of life, driving
our economies and supporting geo-political stability.

We understand that we have a responsibility to enable energy security both at home and abroad while reducing our impact.

Powering Daily Life


Our products drive our economy and are critical to nearly every industry that impacts our quality of life.

Healthcare
Petroleum products underpin almost all the critical inputs
used to care for patients in hospitals, from the ambulance that
transports patients to the emergency room, to the reliable
energy that powers our hospitals and critical care units, to the
protective equipment that keeps people safe.

Petroleum products are also used to manufacture all critical


life-saving medical equipment, from imaging, diagnostic,
monitoring and life-sustaining equipment to protective wear
such as face shields and hazmat suits designed to keep our
families alive, safe and healthy.

Overview
05042023
Powering Daily Life Continued

Education
Our products are crucial to providing quality education. Access
to education is one of the pillars of our children’s development
and the training that prepares them for meaningful careers.
Petroleum products heat, cool and power our schools and
post-secondary facilities, provide materials for our desks,
computers, phones, crayons, running shoes and bikes, and
are the building blocks in infrastructure from playgrounds to
research labs.

Education paves the way for our children’s future. Access to


quality education is underpinned by petroleum products. All
the classroom technology and equipment our children need
to thrive at home and at school is made using petroleum
products.

Mobility
n an integrated world we all rely on exibility and mobility il
and natural gas provide the ability to reliably, economically
and swiftly move people, equipment and products around
the globe. Our integrated supply chains require secure,
reliable, accessible and affordable energy. People enjoy the
convenience of travel, appreciate the ease of online shopping
and depend on the many other benefits of our modern
transportation network.

Petroleum products are at the core of making mobility possible,


allowing people the exibility to travel and reconnect with
loved ones, enabling the ability for home delivery, and moving
equipment and products across town or around the world.

Overview
Driving Progress
Access to oil and natural gas resources directly improves quality of life and enables energy security at home and abroad. It
supports geo-political stability ob creation economic benefit and is foundational to modern life

Energy Security
Recent events have unfortunately underscored how energy
can be misused as a foreign policy and national security
weapon to threaten global security and stability.

North American energy is a safe, reliable and low-emitting


source of the energy the world needs orth merican exports
support both our national security and the security of our allies,
providing secure and stable energy while helping lower global
emissions.

Our products fuel our defenses and make possible the


equipment that keeps our military services prepared, effective
and safe.

Economy
he oil and natural gas industry is a significant direct and
indirect contributor to the North American economy, especially
in rural areas he tax and royalty revenue paid to local
governments fund the social programs, education, healthcare,
infrastructure and conservation critical to building a strong and
prosperous society.

he petroleum industry is a significant source of obs that drive


our local regional and national economies alaries taxes
and royalties all contribute to building strong, progressive
communities.

Overview
Driving Progress Continued

Quality of Life
Safe, affordable, secure and reliable energy is foundational
to increasing quality of life. Energy costs matter – high energy
costs directly jeopardize the most vulnerable people in our
society. Whether it’s higher home heating and power bills or
skyrocketing prices at the pump, increasing energy costs put
undue pressure on people and families who can least afford it,
making it more difficult to access the important building blocks
of society like healthcare, education and mobility.

Energy poverty is a challenge around the world; it is a barrier to


quality healthcare, education and a better standard of living.
Access to energy is the stepping stone to improving quality of
life at home and around the globe.

enefits o at ral as
Natural gas is essential to making modern life possible. At Ovintiv, we are proud to produce this valuable resource and support the
world’s energy needs into the future.

Abundant
North America is a leader in producing natural gas, which is
a naturally occurring energy source found underground in
sedimentary basins. We use natural gas in a variety of ways
in our daily lives, as raw materials for most of our everyday
products, in our furnaces and air conditioners to heat and cool
our homes and generating electricity to keep the lights on and
refrigerators running.

With abundant, low-cost natural gas reserves, North America


has a reliable and secure source of energy for many years to
come. In fact, between Canada and the United States, there is
enough natural gas to power both countries for over 100 years.
(EIA FAQ 2022 and CAPP Natural Gas Factbook)

Overview
enefits o at ral as Contin e

Low Carbon
Natural gas is the cleanest burning of all fossil fuels. It produces
roughly half the carbon dioxide of coal and one-tenth of the
air pollutants when used in electricity generation. In the U.S., the
shift from coal to natural gas has enabled both cleaner air and
the lowest level of per capita GHG emissions in over 50 years
(EIA Report, Sept. 2020).

As the world looks to decarbonize, natural gas will be an


essential complement to renewable energy sources such as
wind and solar. It is quick to start and stop and can provide the
necessary baseload power to cover the naturally occurring
gaps in renewable power production when the wind doesn’t
blow, or the sun doesn’t shine.

Reliable and Secure


Natural gas enables energy security both at home and abroad.
In North America, we have a large underground pipeline system
that safely transports natural gas to provide reliable energy to
homes, businesses, power plants and storage facilities. Natural
gas pipelines transport more than a quarter of the energy
consumed in the United States and roughly 40% in Canada
through almost 3 million miles of pipeline infrastructure.
(American and Canadian Gas Associations)

In addition to being sent through pipelines, natural gas can


be cooled into liquid form and transported by refrigerated
truck to remote areas or by ship to Europe and Asia. The U.S.
recently became the world s largest exporter and work
is underway to enable li uified natural gas exports in
anada export capacity enables orth merican natural
gas – which is produced in a highly regulated and politically
stable environment to displace coal-fired power generation
in places like India and China and offers supply optionality to
European nations.

This tremendous emissions reduction in the United States (in


2020, emissions were the lowest per capita in 50 years) can
be repeated globally by using North American natural gas to
replace coal around the world.

Overview
Learning Resources

Switch Energy Alliance (SEA)


Energy fuels the engine of the modern world and has the power
to bring billions more out of poverty. Because energy touches
every facet of our lives, it is highly political. Biases and emotions
run deep, and facts and data are often distorted, or worse.

SEA’s global video and web-based approach engages


students and general viewers in a positive conversation to work
collaboratively on energy challenges. SEA reaches millions of
people of all ages around the world where they live and learn:
online, in classrooms, in professional training and in museums.

Visit Switch Energy Alliance (switchon.org) for an objective, non-


partisan view of the world’s energy future.

Positive Energy
Positive Energy is an initiative of the University of Ottawa
that seeks to harness the in uence of the university to bring
together academic researchers and senior decision-makers
from industry, government, Indigenous organizations, local
communities and environmental organizations to help
strengthen public confidence in energy decision-making

ormed in ositive nergy has undertaken significant


public opinion research as well as released research papers
that focus on fact-based analysis of topics such as Public
onfidence in nergy ecision- aking and anada s nergy
Future in an Age of Climate Change.

For an academic, research-based perspective on the


challenges facing energy development, please visit Positive
Energy (uottawa.ca).

Overview
OUR APPROACH
Sustainability underpins our vision of being a leading North American producer
of oil and gas t represents our focus on efficiency disciplined capital
allocation and financial strength and our commitment to environment social
and governance progress operating safely lowering emissions reducing our
environmental footprint and supporting our social commitment.

We have a long track record of transparency – this marks


our 18th year of sustainability reporting. We are committed to
driving progress and have integrated environmental social and
governance considerations throughout our business.

o enable that integration our oard of irectors and


executive leadership team shape our environment social and
governance strategy and are focused on ensuring our business
remains sustainable. This means continuing to take action to
deliver returns and strengthen our balance sheet while making
progress on environment social and governance matters
ur company scorecard highlights this commitment y
linking employee and executive compensation to operational
financial safety and emissions reduction results we ensure thatt
every team member is invested in continuous improvement
across our organization.

t vintiv every day presents an opportunity to innovate


do things differently and make improvements. We have
established high standards for environment social and
governance performance through our policies and programs
and our employees have embraced this approach. Our
performance is the result of a world-class team united in
pursuit of driving innovation to produce oil and gas profitably
and sustainably.

Overview
05042023
HISTORY OF TRANSPARENT
DISCLOSURE
Since 2005, Ovintiv has published a sustainability report that provides
transparency into our environment, social and governance approach,
performance and related issues that could impact our business.
To determine which topics to highlight in our reporting, we conduct an environment, social and governance materiality
assessment, track input and guidance from key stakeholders, and reference multiple third-party reporting standards and
frameworks.

Reporting and We reference the Ipieca Sustainability Reporting Guidance


for the Oil and Gas Industry and the Sustainable Accounting
Standards Standards Board (SASB) Oil and Gas Standard to inform our
Alignment reporting. Our memberships with Ipieca and the SASB Alliance
provide us with an opportunity to engage with key stakeholders
while aligning with reporting standards. We report climate-
related disclosures through the Task Force on Climate-related
Financial Disclosures (TCFD)’s framework. Reviewing Ipieca,
SASB and TCFD standards, and engaging with investors and
environment, social and governance research and ratings
agencies, helps us enhance our disclosures and report them in
a way that is relevant and useful to stakeholders.

Collaborating We actively participated in the efforts of the American


Exploration & Production Council (AXPC) — a national trade
for Reporting association representing the largest independent producers
Consistency of oil and natural gas in the United States — to develop the
AXPC Environment Social Governance Metrics Framework and
Template. This framework is intended to supplement each
member company’s individual reporting efforts and voluntarily
standardize several key upstream environmental, emissions
and safety metrics.

The framework currently suggests consistent and transparent


reporting around five focus areas: GHG emissions, flaring, spills,
water use and safety. By creating a common set of metrics,
AXPC member companies now have relevant, consistent
and comparable data for greater stakeholder transparency.
Interested stakeholders can find guidance on the framework by
visiting the AXPC Website and Ovintiv’s AXPC Environment Social
Governance metrics are available here.

Overview
05042023
SUSTAINABILITY MATERIALITY
ASSESSMENT
To ensure the relevance of our
reporting, we actively engage with
key internal and external stakeholders
through environment, social and
governance materiality assessments.
During these assessments, we evaluate
issues against two criteria: impact
to our business and importance to
stakeholders.
To develop a list of environment, social and governance issues
relevant to Ovintiv and our shareholders, we utilize international
sustainability reporting standards, perform gap analysis based
on disclosure benchmarking and include feedback from
stakeholder interaction throughout the year. Next, we meet
with stakeholder groups through a formal, strategic process
that incorporates both qualitative research and quantitative
analysis to effectively evaluate the most relevant issues.

We share the results of these assessments with our executive


leadership team and the Corporate Responsibility and
Governance (CRG) and Environmental, Health and Safety (EH&S)
ommittees of our oard in addition to integrating our findings
with Ovintiv’s enterprise risk management program.

Sustainability Environment Social Governance


Materiality • Emissions Reductions • Occupational Health and • Climate Transition Risk

Assessment • Spill Prevention


Safety
• Critical Incident Risk

Priorities • Water and Waste


• Human Rights and Management
Indigenous Peoples’ Rights
• Board Leadership and
• Biodiversity
• Diversity, Equity and Renewal
• Induced Seismicity Inclusion
• Business Ethics
• Legacy Assets • Community Engagement
• Sustainability-based
compensation metrics

Overview
05042023
UNITED NATIONS SUSTAINABLE
DEVELOPMENT GOALS
Ipieca, the global oil and gas association
for advancing environmental and
social performance, partnered with the
World Business Council for Sustainable
Development to develop a shared
understanding of how the oil and natural
gas industry impacts the United Nations
(UN) Sustainable Development Goals
(SDGs). This partnership created a
roadmap for how our sector can support
these goals and contribute to a healthier
and more prosperous world.
This guidance, along with the context outlined in the SDGs, helps
direct and in uence sustainability decision-making at vintiv

The United The UN SDGs are a blueprint


for global partnership.
Nations lthough the s include
Sustainable goals ranging from ending

Development poverty to preserving oceans,

Goals
pieca identified that are
most impacted by the oil and
natural gas industry.

nergy is a key driver of sustainable development and is often described as the


golden thread that links most of the s and the genda pledge to leave
no one behind’.”
– Ipieca “Supporting the SDGs”

Overview
05042023
ENVIRONMENT
At Ovintiv, we produce the safe, affordable, secure and
reliable energy our world needs. However, we recognize
that energy production comes with impacts and – as a
leading operator – we have a responsibility to reduce our
footprint and lead by example within our industry.
Innovating in pursuit of efficiency and continuous improvement is what we do best, and our results
prove it. Our Scope 1 & 2 GHG emissions target is just one example of our commitment to reducing
our impact in an actionable and meaningful way.

05042023
HIGHLIGHTS

• Achieved a >30% reduction in our Scope 1 &


2 greenhouse gas (GHG) emissions intensity
since 2019, making progress towards our
goal of 50% reduction by 2030

• Fully aligned with the World Bank Zero


Routine Flaring Initiative in our year-end
2022 operations

• Published an emissions reduction roadmap


to showcase our pathway to meeting our
Scope 1 & 2 GHG emissions reduction target

• Implemented Scope 1 & 2 emissions


dashboards to enable real-time internal
monitoring of emissions performance

Environment
10212023
EMISSIONS MEASUREMENT
AND MANAGEMENT
We are committed to reducing our air impact through strategic design,
innovation and efficiency for the lifecycle of our operations.

We have achieved measurable results on this commitment,


Ovintiv’s Approach to Climate Change
delivering on our 2025 methane intensity reduction target
• Drive meaningful GHG emissions reductions
four years ahead of schedule. Building on that success, we set
a goal of reducing our Scope 1 & 2 GHG emission intensity by • Promote innovation and actionable solutions
50% from 2019 levels by 2030. • Foster transparent partnerships among key stakeholders
• Align economic, environmental and energy security needs

Measuring Ovintiv recognizes climate change as a global concern and understands our role in
reducing emissions. Tracking emissions allows us to set measurable and achievable
and Managing goals and identify solutions to decrease emissions intensity. We have tracked GHG
Emissions emissions for more than 18 years and have significantly decreased our emissions
intensity during this time.

We report gross operated emissions according to federal, state or provincial


requirements, and we use intensity metrics for benchmarking and goal setting. Intensity
metrics provide a more contextual measure of our impact with greater opportunity
for consistency and comparability. Ovintiv is the operator for >95% of our production
volumes.

Gross emissions data sources:

Environment
05042023
Emissions To better harness our information and support operational decision making, we have created
emissions dashboards that allow us to monitor our emissions performance data and drive
Dashboards further improvements.

We can access monthly results for Scope 1 & 2 GHG emissions, methane emissions, as well as
flaring and venting volumes across our organization. Previously this data was only available on
an annual basis. The dashboards display total emissions and intensity by operating area and
includes emission sources.

This level of detail allows us to quickly identify opportunities for reduction as well as easily extract
data for peer benchmarking. It is a critical component to meeting our Scope 1 & 2 GHG emissions
reduction target.

Leading the industry in emissions tracking and


transparency: Scope 2 GHG Emissions Dashboard
Ovintiv continues to be at the forefront of innovation in emissions performance tracking. In
2022, we undertook an initiative to digitize and automate the processing of over 1,000 monthly
electricity usage invoices through Ovintiv’s data pipeline.

This cutting-edge solution enabled us to develop a comprehensive dashboard that tracks


Scope 2 GHG emissions and electricity consumption. To our knowledge, Ovintiv is the first
operator to achieve this level of granularity and data for the tracking of all Scope 2 emissions.
Key highlights from this initiative include:

• Integration of the latest U.S. EPA eGRID subregion and Canadian provincial electricity
consumption GHG intensity values

• Streamlined, automated tracking of Scope 2 emissions across each basin

• Increased transparency and insights into facility-level Scope 2 emission performance and
electricity consumption trends

• Robust support for data quality efforts through monthly team energy consumption reviews

Ovintiv will consistently review our monthly usage trends to detect any data anomalies. Our
advanced dashboard is designed to help operations teams effectively pinpoint opportunities
for cost-savings and reducing emissions. With customizable filters, users are granted full data
transparency and utility tailored to their specific needs, ensuring Ovintiv remains a leader in
emissions measurement and management.

Emissions Our company has a long history of emissions monitoring and measurement and we understand
both the importance and the business value of good data. We employ several methodologies
Calculations to measure our emissions, depending on the emission type and source including estimations,
calculations and measurements. Our formulas are aligned with the Environmental Protection
Agency (EPA) and the GHG Emissions Protocol and consider manufacturers’ specifications,
equipment run-time, fuel, flare and vent gas compositions, and production levels, among other
data inputs.

Environment
Methane We currently employ source-level estimations, calculations, and measurement to
determine our methane emissions. In 2022, just over half of our methane emissions were
Emissions estimations, however as technologies improve and we continue to track and monitor
Measurement more equipment we anticipate that the percentage of estimated versus measured/
calculated methane emissions will continue to decline.

Estimated Emissions:
Utilizes emission factors multiplied by an
equipment count or manufacturer data

Calculated Emissions:
Utilizes parametric measurement such as fuel
usage, engineering calculations, or flow rate

Measured Emissions:
Utilizes the direct measurement of methane

The Oil & Gas The Oil & Gas Methane Partnership 2.0
(OGMP 2.0) is the United Nations Environment
Methane Programme’s measurement-based oil and Ovintiv’s Approach
Partnership 2.0 gas reporting and mitigation framework. It has to Site-Level Direct
five levels of compliance, with increasing direct Measurement
measurement requirements and timelines
Through our involvement with the
associated to each level.
Environmental Partnership, flyover
Currently, Ovintiv is fully aligned with OGMP emissions monitoring is occurring
2.0 for levels 1 – 3 and partially aligns with in our Permian operations. While we
level 4. We anticipate that we will achieve are not currently utilizing site-level
company-wide compliance equivalent with direct measurement technology to
level 4 by 2026. Although we are piloting direct measure or quantify our emissions,
measurement in select operations (at the we are evaluating three different
site level), we currently do not widely employ continuous monitoring systems
direct measurement technology across our in our Permian and Canadian
operations. As noted by OGMP 2.0, the wide operations to understand the
use of methane sensing technologies to reach future potential for applicability in
their stated level 4 or 5 compliance may prove our emissions measurement and
unviable until technologies advance, despite monitoring program.
companies acting in good faith to identify and
commercialize these technologies.

Environment
Ovintiv Alignment to OGMP 2.0
Recommended Disclosures OGMP 2.0 Description OVV Description

Company Performance Target Achieved 60% reduction by 2022


Methane
(one of the following):
Emission • 45% reduction by 2025
Reduction • 60-75% reduction by 2030
Target • Near zero emissions intensity

Level 1 Venture/Asset Reporting: Report emissions by detailed source


• Single, consolidated emissions number type utilizing engineering calculation,
Reporting
• Only applicable where company has activity factors, measurement, and
very limited information emission factors

Emissions Category Report emissions by detailed source


Level 2 • Emissions reported based on IOGP and type utilizing engineering calculation,
Reporting Marcogaz emissions categories activity factors, measurement, and
• Based on generic emission factors emission factors

Generic Emission Source Level: Report emissions by detailed source


Level 3 • Emissions reported by detailed source type utilizing engineering calculation,
Reporting type activity factors, measurement, and
• Based on generic emission factors emission factors

Specific Emission Source Level: Report emissions by detailed source type


Level 4 • Emissions reported by detailed source type utilizing engineering calculation, activity
Reporting using specific emissions and activity factors factors, measurement, and emission
• Based on direct measurement or other factors. OVV reports Level 4 at ~45% of
methodologies sources (70% needed for full Level 4).
• Achieved within 3 years Anticipate OVV will be at full Level 4
over the next 3 years.

Level 4 + Site Level Measurement Reconciliation: OVV has utilized site-level


Level 5 • Integrating bottom-up source-level reporting measurements but does not
Reporting with independent site-level measurements incorporate into emissions reporting or
• Site-level measurements: direct measurement go through reconicilation process.
technologies at a site or facility level on a
representative sample of facilities
• Achieved within 5 years

Non-operated Commitment to work with non-operated OVV reports for operated assets
Assets ventures demonstrating reasonable endeavours
to help them reach progressively L4/5 reporting
in 5 years

Environment
Leak Detection Tracking and reporting methane emissions and intensity
allows us to consistently benchmark our methane reduction
and Repair efforts throughout our operations. LDAR has been part of In 2022, we
(LDAR) Ovintiv’s emissions management practice for nearly 18 years. conducted 3112
We comply with local and federal LDAR regulations and LDAR surveys
implement a voluntary LDAR program to complete surveys
using OGI
at certain non-regulated facilities. Surveys typically occur on
a bi-monthly, quarterly or semi-annual basis depending on
cameras.
requirements, inspections and directed maintenance.

Using optical gas imaging (OGI) cameras, we can identify leaks


and initiate repairs to reduce methane emissions on-site. We
supplement our OGI monitoring with on-site audio, visual and
olfactory (AVO) surveys.

Optical Gas Imaging: OGI surveyors can scan


thousands of connection points from a safe
distance, using the camera’s technology to see
invisible methane gases.

When we Repair Data Analysis and Directed


Maintenance
detect a leak, Our OGI surveyors are trained in

our program leak repair and service leaks upon


detection.
By analyzing LDAR survey data, we identify trends
and specific facilities, components and equipment
includes three with greater potential for leaks. We proactively
components direct inspection and maintenance activities for
Documentation
for continuous these sites to mitigate potential leaks. To facilitate
clear communication of LDAR data trends, we
improvement: We use a digital logging system,
which automatically integrates with created an LDAR analytics dashboard. This
innovative tool enables the generation of facility
our compliance system, to track
improvement strategies and identifies the root
inspection dates, findings and repairs.
causes of leaks in a more efficient manner, saving
valuable time and resources.

Environment
EMISSIONS REDUCTION INITIATIVES
A focus on innovation and cross-company
collaboration enabled us to chart a clear and
defined path towards achieving our goal of
reducing our Scope 1 & 2 emissions intensity by
50% from 2019 levels by 2030. We are committed
to making real and meaningful emissions
reductions in our operations by doing what we
do best – innovating to drive efficiencies and
unlock future opportunities.

OUR ROADMAP
Our Roadmap to meeting our Scope 1 & 2 GHG emissions
reduction target is comprised of three phases:
Realized Initiatives | In Motion Initiatives | Future Considerations

Environment
04102023
Realized Leak detection and repair (LDAR)

Initiatives Continuing our comprehensive leak detection and repair (LDAR) program including detection ,
repair, documentation, and data analysis and directed maintenance.
Technology and
processes that are being
deployed at scale in our High-pressure flare reductions
operations
We are committed to providing safe, affordable, secure and reliable energy while driving down
global emissions both today and in the future. Through our relentless pursuit of efficiency and
continuous improvement, we have eliminated routine flaring in our year-end 2022 operations
and have been fully aligned with the World Bank Zero Routine Flaring Initiative since September 1,
2021. Routine flaring occurs during normal oil production operations in the absence of facilities or
geology needed to re-inject the produced gas or the ability to use it on-site or send it to market.

Non-routine flaring of natural gas may occur for safety reasons and is temporary by nature.
The World Bank initiative does not include non-routine flaring events, such as: exploration and
appraisal; initial well flow-back; well servicing; process upset; safety or emergency situations;
equipment or gas-handling infrastructure malfunction; or de-pressuring equipment for
maintenance. Also excluded is purge and pilot flaring necessary for safe flare operation and
combustion of hazardous or polluting emissions, such as volatile organic compounds and
hydrogen sulfide.

To better understand where and when flaring occurs in our operations, we created an internal
dashboard to examine flaring volumes in real time.

Gaining efficiencies by tracking fired-burner runtime

Natural gas-fired burners are used in the surface facility process to ensure our oil meets sales
specifications before it flows into the sales pipe. In 2022, we made a focused effort to gather
operational data on the burners in our Anadarko and Permian operations. In addition to
increasing the accuracy of our GHG reporting, this data has enabled operational synergies such
as optimizing burner fuel usage and increasing production reliability.

Environment
Low-emitting facility design

Ovintiv has developed new, low-emitting wellsite designs that are being routinely implemented
across our operations and are a result of numerous technologies being deployed across our
operating areas, including::

• Eliminating high-emitting equipment such as line heaters

• Reducing our pneumatic chemical injection pumps by 75%

• Replacing all our high-bleed pneumatic devices

• Finding alternatives for natural gas pneumatics (i.e. electric actuation, instrument air or liquid
nitrogen systems)

In Canada, the design involves a closed system that captures and combusts methane from gas-
driven pneumatic controllers and pumps that would otherwise vent to atmosphere. Rigorously
field tested in 2020, the non-venting wellsite design has subsequently been deployed at new
wellsites in British Columbia and Alberta. We are also installing nitrogen systems which replace
natural gas as the drive gas, avoiding potential methane emissions. Nitrogen is a non-polluting
gas that makes up most of the air we• breathe. These units have been installed on over 40 sites in
Alberta.

In the U.S., our new well-pad facilities use instrument air skids in place of natural gas-powered
pneumatics. We employ a fit-for-purpose design that allows for alignment and synergies
between asset areas. In Texas, we have also developed a low-emitting vent design on our
Permian wellsites, which includes zero-bleed pneumatic devices and electrically operated control
valves and chemical pumps.

Ovintiv developed these robust designs in advance of regulatory compliance requirements


taking effect, and we continue to evaluate alternative designs and technologies that could
further improve emissions performance across our operations.

Powering Production with Hydroelectricity

In British Columbia, Canada, the electrical grid is powered by hydroelectricity rather than
natural gas or coal. The majority of Ovintiv’s processing plants in the Montney field, including
the Saturn, Sunrise and Tower gas plants, are tied into the clean electrical grid in British
Columbia. These plants avoid up to 860,000 tons of carbon dioxide equivalent emissions
annually, comparable to the emissions from 184,000 vehicles per year. Electrification has
the added benefit of reducing operational noise compared to non-electric facilities. We
continue to leverage electric power on new equipment and are evaluating converting existing
infrastructure where appropriate.

Environment
In Motion Measuring engine load

Initiatives In our Permian and Anadarko operating areas, we are testing instrumentation to measure engine
load and calculate fuel consumption by incorporating engine data and manufacturer-published
Technology and analytical tools. This will increase the accuracy of our reported GHG emissions from gas lift
processes that are compressor engines and provide optimization data that will increase utilization and lead to a
in the early phase of more efficient use of horsepower per well.
development and
currently being evaluated
for use on a larger scale
Utilizing natural gas technology in our completions operations

As part of our focus on driving efficiency across our business, we are integrating a natural gas-
powered frac fleet in our Canadian operations in place of the traditional diesel-powered fleet. This
innovative technology represents a significant opportunity to drive down emissions on-site with
an expected 15% reduction in completions emissions. It also has a much smaller physical footprint;
on a pad that would normally require 18 diesel pumps, we are using only eight high-powered
natural gas pumps. This decrease in equipment and activity should also result in positive safety
outcomes, a top priority in all of our operations. We are also exploring options to utilize similar
technology in our U.S. operations and will expand upon those opportunities in 2023 and 2024.

Powering drilling operations with electricity

We are testing electrified drilling rigs in place of traditional diesel–powered generators, which will
result in an estimated 50% reduction in drilling emissions per well and significantly reduced job-
site noise levels. There are existing synergies in place as our pad sites already use electrical power
once the wells start producing. This effort required cross-team collaboration between electrical
engineering, construction, production operations and our drilling team. We also worked closely
with our supplier to create diesel redundancies to ensure seamless operations during utility-
power upsets. We successfully drilled 10 wells using electric drilling rigs in 2022 and are evaluating
opportunities to expand this program into 2024.

Expanding our electric-drive portfolio

In operating areas with available electricity, we are evaluating the opportunity to expand our
electric-drive portfolio to include:

• Artificial lift technology (gas lift, pump jacks and jet pumps)
• Water and disposal well facilities
• Process controllers (e.g., liquid-level controllers)
• Chemical and fluid transfer pumps
• Lease automatic custody transfer units
• Vapor recovery units

We are introducing this equipment across our operating areas and will continue to evaluate
opportunities for growth as electricity becomes available.

Environment
Capturing and selling tank vapor

To reach sales specifications at our well pad facilities, oil must be stabilized at low pressures
(close to atmospheric levels) and is stored in tanks. In the past, it has been difficult to capture the
vapors from the last stage of pressure drop, therefore the typical protocol is to burn the vapors
in a low-pressure flare. To further minimize our venting and flaring, we are now capturing those
emissions using vapor recovery units (VRUs). The VRUs capture the emissions and compress them
into the sales line, which also generates revenue. This technology will result in an 80% reduction
in GHG emissions associated with low-pressure flaring per facility. When combined with other
emissions reduction pilots, the overall result is a reliable design that reduces the GHG intensity of
the facility.

Upgrading engines for lower methane emissions

Ovintiv has begun upgrading our fleet of natural gas-driven compressor engines to a lower
emissions alternative in our Canadian operations. These new engines minimize methane exhaust
slip and are expected to result in methane emissions reductions in excess of 70% at subject sites.
The upgrades are also expected to increase reliability, lower operating and maintenance costs,
and have an option to increase horsepower for incremental production throughput. We have
upgraded four engines to date and are working to expand this opportunity to additional units
within the fleet in 2023.

Future Evaluate energy adjacent opportunities

Considerations We are committed to understanding potential business opportunities that complement our
vision of being at the forefront of driving innovation to produce oil and natural gas – both
profitably and sustainably.
Opportunity assessments
underway for future
applicability in our
operations Pursue emissions reduction research and development (R&D) partnership opportunities

We are continuously pursuing opportunities to collaborate on new emissions reduction


technology. This can take shape with a variety of partners, from universities to service
providers to peer companies to start-ups – we are focused on uncovering and supporting
innovative, scalable solutions to these complex challenges.

Environment
OPERATIONAL INNOVATION
We believe that innovation, efficiency and technology are the most
effective methods for minimizing our environmental footprint. As part of our
operational strategy, we challenge our teams to identify and implement
new ways to enhance our processes. The examples below highlight ways we
drive continuous improvement across the lifecycle of our operations.

Innovation Reducing frac hits by using less fluid

Infill wells – new wells drilled near legacy or “parent” wells – have become common in shale
in Action plays, enabling access to more resources while limiting operational footprint. However, during
completion activities, hydraulic fracturing fluids from a new well can affect pre-existing
Our teams drive parent wells, causing a “frac hit.” This “hit” creates pressure loss in parent wells, leading to lower
continuous improvement production and the potential to damage production tubing, casing and even wellheads.
across our operations,
finding the intersection To mitigate frac hits, we changed our completions design to use less fluid in the hydraulic
between efficiency and fracturing process. In addition to preserving production, this technique typically uses less water,
environmental benefits. can mitigate induced seismicity during hydraulic fracturing operations and reduces flaring and
associated emissions upon flowback.

Transforming completions with simul-fracs

Simul-frac, an innovative completions technique, is now used extensively across all our operating
areas. The process involves hydraulically fracturing two wells at once. By pumping down two wells,
we can do more with the same amount of horsepower, leading to reduced fuel use and wear on
equipment. Unlike a zipper frac, where one well is completed with 100 barrels of fluid per minute, simul-
fracs use 160 to 180 barrels of fluid per minute between two wells. In the Uinta Basin, simul-fracs have
delivered a 300% efficiency gain. With significant energy, emissions and cost efficiencies already
achieved, we continue to explore opportunities to further optimize simul-fracs in our operations.

Using wet sand to lower environmental impacts and operating costs

Hydraulic fracturing uses large volumes of specialty sand that keeps rock fractures open so
oil and natural gas can flow through the wellbore. Historically, this sand was dried at a mine
using heated air before being transported to the wellsite – a process that is emissions, fuel
and cost intensive. Our Operations and Supply Chain Management teams have developed an
innovative way to use locally sourced wet sand instead and have worked with service providers
to implement it in the field.

By using wet sand, we lower the environmental footprint of the mining process. Not only do we
avoid the energy-intensive drying process, but there is no need for routing gas or electric lines to
the dryer equipment or obtaining regulatory air permits. Storage is also more efficient because
wet sand can be stocked in large, low-cost decanting piles. In addition to lowering costs, using
wet sand reduces the amount of hazardous airborne dust that can occur with dry sand.

Locally sourcing wet sand has the added benefit of reducing transportation from traditional
mines that are typically located long distances from the wellhead.

Environment
05042023
Chief Our unique Chief Engineering organization exemplifies Ovintiv’s Ovintiv has established an
commitment to innovation and teamwork. This small group emissions reduction task force
Engineers of highly experienced, proven experts from key parts of our within the Chief Engineering

Organization operations facilitate a multi-basin approach to reducing organization. It has been

costs, solving complex challenges, developing new products charged with identifying
and evaluating operational
and sharing emerging technology across disciplines. The
emissions reduction
organization was developed internally to drive continuous
opportunities among other
improvement through collaboration and the pursuit of
environmental improvements.
innovative ideas. Knowledge sharing is enhanced through
technical exchanges and advisors embedded within the
operating teams.

Shale Ovintiv’s STE Conference is our longest-running technical forum. It brings together hundreds
of participants in highly technical roles to share learnings, success stories and build a strong
Technology network of colleagues across the organization. It is a three-day event that has grown to include
Exchange external keynote speakers, in addition to our internal showcase of top technical talent. Each

(STE) year has a specific theme that reflects our corporate strategy and highlights our key areas of
focus. Keynote addresses are also live–streamed for employees unable to attend in person to
participate virtually from their desks.

Environment
Key Collaborations
We believe collaboration solves problems and improves outcomes. We participate in trade associations and partner with
government and other organizations to investigate challenges that impact our industry and increase scientific knowledge of the
attributes and behaviors of the rocks and reservoirs where we operate. The results of this research often inform best management
practices relating to production efficiencies, the environment and the health and safety of our employees.

The Environmental Partnership


Ovintiv was a founding member of The Environmental Partnership, a group of 90 oil and natural
gas companies of all sizes, committed to reducing the industry’s environmental impact. By
learning from each other and taking action, we identify emissions reduction solutions that are
technically feasible and commercially proven. A key focus area of the Partnership has been
developing basin–level action plans aimed at reducing emissions.

Darcy Partners
Ovintiv is an active member of Darcy Partners, an innovation hub that brings energy industry
members together to collaborate to find solutions to technology challenges. Darcy members
collectively represent over 60% of North America oil and gas production and over 35% of the
global production.

Member companies participate in regular technology and innovation forums, have access to
the latest innovation research, and engage in weekly knowledge sharing presentations to share
learnings and collaborate on complex, technical challenges. Forum topics range from highly
technical engineering discussions to forward looking, future opportunity outlooks.

Darcy partners serves as a valuable crowd-sourcing tool to disseminate new ideas and spread
new technology across the industry, fostering relationships and encouraging collaboration.

Colorado Oil & Gas Cleantech Challenge


Ovintiv is a proud sponsor of the Colorado Cleantech Industries Association Foundation’s (CCIAF)
Oil & Gas Cleantech Challenge, a product innovation showcase and competition that connects
clean technology solutions to the oil and natural gas industry including technologies that address
methane mitigation, resource usage, water quality and operational risks.

The innovative solutions providers go through a robust vetting process, where the top 12
companies are identified and invited to present their technologies to the partners and sponsors
at the live event.

We have leveraged the winning technology from the 2021 Challenge from Calgary-based
cleantech startup, Kathairos Solutions. We are utilizing their Simple Methane Elimination project
which uses liquid nitrogen – a non-toxic, non-polluting gas – to power remote oil and natural gas
wellsites. These units have been installed on over 40 multi-well pad sites in our Alberta Pipestone
operations and are a significant factor in our Alberta low-emitting facility design.
Petroleum Technology Alliance Canada (PTAC)
PTAC serves as a third-party, non-profit facilitator of research and technology development
and manages the industry-sponsored Alberta Upstream Petroleum Research Fund (AUPRF). This
fund supports independent peer-reviewed research performed by consultants and scientists
(government and academia) to increase knowledge, assist in decision-making and develop
solutions to industry environment, social and governance matters.

The work has been focused on evaluating emissions reduction technologies via the PTAC
Methane Consortia including various electric and instrument air-powered actuation pilots,
demonstration of engine improvements to tackle methane slip, and optimization of pneumatic
pumps via component retrofits

BC Oil & Gas Methane Emissions Research Collaborative (MERC)


Created in 2020, MERC is a joint initiative between industry, the British Columbia government and
environmental non-governmental organizations to advance research on methane emissions
from oil and natural gas activity. The initiative’s goals include broadening scientific understanding
of methane emissions sources, detection and measurement methods, and identifying emissions
reduction and control technologies that can be implemented by operators.

Since its inception, MERC has implemented a collaborative research plan to improve
understanding of fugitive emissions (both site-level emissions and potential impacts on
emissions inventories) and LDAR program design, including the use of alternative or emerging
technologies. Initial projects focus on the following: methane venting from storage tanks and
compressor seals; an assessment of fugitive emissions management comparing pre- and post-
methane regulation enactment data; evaluation and comparison of alternative LDAR programs;
and comparison of top-down and bottom-up emissions inventory quantification methodologies.

BC Oil and Gas Research and Innovation Society (BC OGRIS)


BC OGRIS focuses on addressing knowledge gaps to inform environmental, operational
and health and safety policy, as well as industry practices related to oil and natural gas
exploration and development in British Columbia. BC OGRIS manages industry-sponsored
funding for independent peer-reviewed research that seeks to improve industry environmental
performance.

It has supported several initiatives including:

• MERC fugitive emissions research projects

• the advancement of First Nations-led restoration projects on legacy petroleum and natural
gas sites

• a multi-year Aboriginal Liaison Program that trains liaisons from Indigenous communities to
monitor oil and natural gas-related impacts

Environment
Northern Alberta Institute of Technology (NAIT)
Ovintiv has established an Applied Research Chair in Energy, led by Dr. Paolo Mussone, who heads
the Clean Technologies Team and is focused on multi-disciplinary and multi-stakeholder projects
in the emerging circular economy. Dr. Mussone will also lead projects in the development and
field validation of low-carbon emissions technologies for the remediation of hydrocarbon and
salt-impacted sites.

A key focus area has been research into transforming natural resources and industrial by-
products and residual materials into high–value chemicals.
WATER STEWARDSHIP
e manage water efficiently taking responsibility for the use of this valuable
resource lthough access to water and water scarcity are global issues we
tailor our water management approach to address local and regional concerns

vintiv s water management program considers location resources regulations water stress cost and operational need
when planning water solutions by site and operating area e recogni e that water sources vary by region and no single water
management approach works for all areas

Using the World Resources Institute (WRI)


Aqueduct Water Risk Atlas, we determined
that ~75% of the counties where we operate
have medium to low water stress levels.

Alternative e are committed to finding and using alternative non-fresh water sources when feasible
for our completions activities n our ermian and ontney operations we have water hubs
Water Use facilities that efficiently collect treat and reuse produced and owback water eusing water
reduces our reliance on surface and freshwater sources and improves the efficiency of our
water handling perating recycled water infrastructure is often less expensive than freshwater
and avoids the need for wastewater in ection n we used recycled water for our
completions operations in idland and artin counties in exas

Permian Water
Recycling Successes
(since 2017)

Environment
05042023
Montney Water ur water resource hubs in the utbank idge of our
ontney operating area are closed-loop systems that run on
Hub Offers hydropower ince the hubs have opened they have conserved
Environmental approximately billion gallons of freshwater e uivalent to the

enefits in average annual water use of approximately households

Cutbank Ridge n addition to the positive community impact through water


conservation the hydroelectricity-powered facilities have
reduced emissions and noise dditionally recycled water
is transported via pipelines eliminating nearly water
hauling truck trips since the hubs started operations

Protecting uch of vintiv s water use occurs during our completions


activities he goal of hydraulic fracturing is to enhance
Groundwater hydrocarbon recovery by creating pathways for the oil and
natural gas trapped in the rock to ow through the wellbore to
production e uipment at the surface his controlled operation
pumps a mixture of primarily water and sand through the
wellbore to the targeted formation at a high pressure in
multiple intervals or stages ur wells are designed with
advanced planning and engineering to protect groundwater
and fresh water ones

In all Ovintiv operations, rigorous water


management and groundwater protection are vital
parts of this process.
• n impermeable steel casing system prevents uids from
migrating from the wellbore

• onitoring the integrity of the casing and cement system


through field inspection and wellbore logging ensures real-
time response

• ressure testing the wellbore ensures integrity e pressure


test before we begin completions and during each
fracturing stage

ny ow of uids into non-targeted areas would be detected


immediately by a sudden loss in pressure and operations would
be halted

Environment
Responsible e continue to build upon our detailed understanding of the vintiv prohibits
chemicals used in the completions process to ensure we use the use of hydraulic
Products the most responsible hydraulic fracturing uid formulations fracturing uid
and uid management practices available products containing
ydraulic fracturing processes are strictly regulated by various • rsenic
state or provincial government agencies hese regulations
• en ene
include keeping afety ata heets that detail the ingredients
used in hydraulic fracturing uid at each location and • admium
anadian regulatory bodies establish standards for the
• hromium
disclosure of this information including the protection of trade
secrets and confidential business information e report the • iesel
ingredients we are legally permitted to share through the • ead
rac ocus chemical disclosure registry
• ercury
vintiv s esponsible roducts rogram provides guidance on
• - utoxyethanol -
managing additive and chemical use in hydraulic fracturing to
comply with regulations and mitigate potential environmental • ther heavy metals
and health impacts ll hydraulic fracturing uid products we
use are assessed for potential impact to the environment and
human health using generally accepted toxicological criteria

e also encourage our suppliers to improve their public


disclosure of uid formulations and to advance the
development of more responsible uid additives and test new
technologies that reduce environmental exposure and risk

Spill ffective spill management re uires routine maintenance


situational preparedness continuous improvement and Preventing spills is
Prevention adherence to regulatory reporting re uirements ur pill essential to minimizing
revention rinciples focus on four areas transferring uid environmental impacts,
following operational procedures ensuring e uipment integrity maintaining our social
and considering spill prevention in our site design e use and regulatory license to
these principles to incorporate field-based practices into our operate and ensuring a
operations to prevent spills and to minimi e manage and safe workplace.
report them accurately if they do occur

Environment
Spill Prevention Principles

luid ransfer uipment ntegrity


hecks are in place to reduce spills e ensure e uipment performs and is
maintained correctly
ever leave uid transfers unattended
erify tanks pipes valves and hoses are
onduct regular tank truck inspections
properly installed inspected tested and
nsure valves are in the correct position maintained

alidate high-level alarms are fully


functioning

rocedures ite esign


eviating from procedures can compromise ite design is critical to preventing spills
spill prevention nsure loading and unloading facilities
incorporate spill prevention principles
ollow procedures and do not take
shortcuts to prevent spills nclude workplace efficiencies in site design
considerations
ay attention during start up and shut down
of e uipment ertify e uipment specifications meet the
system re uirements to prevent spills
top the ob if you observe a situation that
could lead to a spill

Water Stress e recogni e that water sources vary by region and no single
water management approach works for all areas sing the
Assessment orld esources nstitute ueduct ater isk tlas
we determined that of the counties where we operate
have medium to low water stress levels n operating areas
that are considered to have high or extremely high levels of
water stress we incorporate that knowledge into our water
management plans

Environment
DECOMMISSIONING AND
RECLAMATION
When an asset reaches its end of life, we begin our decommission and
reclamation process according to our standard procedures. Decommissioning
begins by abandoning the wellbore and removing facilities and other
equipment on the site. Site closure includes reviewing the site’s operational
history, identifying and addressing any potential concerns, wastes or hazardous
materials, and reclaiming disturbed land to productive and sustainable uses.

We take a collaborative approach to remediate and reclaim the land disturbed by our operations to make sure our remediation
plan aligns with landowner/stakeholder expectations for future use. Where possible in our operating areas, we have developed
joint venture and Indigenous partnerships in our site closures.

Decommissioning* (also known as abandonment): The process Reclamation*: The process of restoring the surface area of a
of changing a once active well (one that will no longer produce wellsite, access road or related facility.
oil or natural gas), to a state where it can be left indefinitely. All
equipment that was used to produce oil and gas is removed *definitions provided by Canadian Association of Petroleum

and work is completed on the well to ensure that it will not cause Producers

harm to any environmental or human surroundings.

In 2022, Ovintiv reclaimed 309 acres of


land across our operating areas, which is
equivalent to 282 football fields.

05042023

Environment
04102023
From In October 2022, Ovintiv received a reclamation certificate
validating the remediation of the former Morley Gas
Reclamation Plant evaporation pond in Alberta. It has been redeveloped as
to Recreation a baseball diamond for the Stoney Nakoda Nation. A long-term,
legacy project, the former gas plant site and buildings will be
used as a field administration location by the Stoney Tribal
Administration and the reclaimed evaporation pond area
will be a place for family and friends to gather and play ball, as
envisioned by Nation leadership in partnership with our Ovintiv
field team.

Utilizing A critical part of oil and gas development is remediating and


reclaiming the temporary disturbances such as pipeline right-
Ecological of-ways, pad sites and other ancillary sites that occur in the
Practices normal course of drilling, completing and producing wells. On
provincial land in British Columbia, we are shifting away from
agriculture-based restoration to ecological-based restoration
in ecologically sensitive areas. This means maintaining coarse
woody debris, active reforestation and limited seeding of crop
species in order to encourage the return of native species
and forest-like conditions. These practices better align the
restoration with Indigenous community needs and interests
as well as stakeholder and community expectations of wildlife
and habitat restoration and the protection of sensitive areas.

Environment
05042023
BIODIVERSITY
We follow a rigorous site assessment program to help ensure protection
of land and water resources, wildlife and habitats during our operational
lifecycle. Developed by biology and environmental experts, our process aligns
development plans with a thoughtful approach to ecosystem protection.

Identification Assessment Management


During site planning and We host assessment sessions Our goal is to avoid impacts, particularly to wildlife, habitats
development, we identify with internal experts to and habitat features such as wetlands and old growth forests.
wildlife, habitats and areas evaluate our development Avoidance, minimization, and mitigation are the strategies we
with high biodiversity or plans, determine risk apply to manage risk for biodiversity at a site-specific level.
conservation value. levels and, when needed, Avoidance is the preferred strategy, but where we cannot avoid,
recommend mitigation we aim to minimize or mitigate our potential impact to achieve
strategies. the most beneficial outcome possible for biodiversity given site-
specific factors.

Taking time for During a routine wellsite reclamation project, our Canadian
Regulatory team identified hundreds of Western Toad tadpoles,
tadpoles a federal species of special concern, in a shallow waterbody
onsite. To ensure these tadpoles were not disturbed during the
reclamation activities, our team paused the project to allow
the tadpoles to develop into terrestrial toadlets. While waiting
for this natural transformation to occur, the team installed a silt
fence at the waterbody boundary to guide the future toadlets
into the offsite forest area away from the reclamation footprint
where heavy equipment would be active. The tadpoles were
monitored for several weeks during the summer and when all
had transformed into toadlets and exited the waterbody safely,
the reclamation project resumed.

Environment
05042023
Building habitat Beginning in 2019, Ovintiv has
partnered with the National
for wild turkeys Wild Turkey Federation to
restore approximately 25
acres of previously disturbed
land to native grasslands,
which would create habitat
for wild turkeys, pollinators,
and other wildlife. A seed
mix of native grasses, forbs June 2020 October 2022
and legumes was planted
and has started to take
root. A management plan
to maintain the habitat
has been established to
enable ongoing growth and
revegetation.

Assessing After an internal biodiversity


assessment of our operating
• Ramsar Wetlands of
International Importance
Biodiversity areas, we concluded that
in our we do not have proved
• UNESCO World Heritage Sites

Operations or probable reserves in or


• Biosphere reserves
near the following sites with
recognized within the
protected conservation
framework of UNESCO’s Man
status or endangered species
and the Biosphere Program
habitat:
• Natura 2000

Environment
WASTE MANAGEMENT
The effective management of our waste materials helps to reduce our
environmental impact. We promote recycling or reusing materials in our
operations.

For those materials that can’t be recycled, we have processes for transportation, treatment and disposal in compliance with
regulatory requirements. Our service providers must also abide by our standards and comply with all regulations.

Our waste
management
program
includes:

The majority of waste from the oil and natural gas industry is from drilling residuals and produced water. We also handle sensitive
materials that require specialized disposal for the health and safety of our employees, service providers and the community.

Environment
05042023
NATURALLY OCCURRING
RADIOACTIVE MATERIALS
Naturally Occurring Radioactive
Materials (NORM) are substances
that contain radioactive elements
and are most commonly associated
with produced water treatment and
handling operations.
ur management process identifies and controls
in our facilities to protect the health of our employees and
service providers. We have established roles, responsibilities
and training requirements related to potential NORM exposures,
and only specially-trained employees and service providers
are permitted to work with impacted equipment. Any NORM-
impacted waste is disposed of in strict compliance with
jurisdictional regulations.

Environment
05042023
INDUCED SEISMICITY
Some areas of North America are experiencing increasing seismicity near
certain oil and natural gas operations. Although the occurrence and risk of
seismicity is generally very low, Ovintiv has occasionally observed induced
seismicity in our operations.

Our top priority is the safety of our operations and the surrounding communities. Ovintiv employs a multi-disciplinary team that has
developed a robust induced seismicity hazard assessment and risk management framework. This framework has been successful
in managing induced seismicity in and around our operating areas in both Canada and the United States.

Ovintiv also supports research efforts to inform the understanding and management of induced seismicity. We are proactively
addressing seismic activity through partnerships with independent research institutions and regulatory agencies to minimize any
associated or perceived risks.

Ovintiv Induced Seismicity Risk Management Framework


Planning Mitigation Monitoring Portfolio Evaluation
Identify, assess and plan Based on the identified Utilize adequate seismic Adhere to prescribed
for geohazards that could geohazards, manage and monitoring to manage regulatory requirements
increase the risk of seismicity mitigate the associated risk of atypical seismicity according associated with produced
seismicity to area-specific regulatory water disposal and hydraulic
thresholds (traffic light fracturing operations
protocol)

Environment
05042023
SOCIAL
We believe we must use our position to improve lives and
drive progress. With oversight from our Board of Directors, we
engage with our external stakeholders and workforce to ensure
we are both proud of our results and how they are achieved.
Our commitment to social responsibility ensures our business practices support the safety, sustainability
and quality of life for our stakeholders, including our team and the communities where we operate.

We drive social progress by protecting and valuing our workforce, strengthening the communities we
call home and respecting the rights of all. Not only are these the right things to do, but they drive better
business outcomes. Our aim is to work in partnership to build a sustainable future together. We are
focused on making tomorrow better than today.

05042023
HIGHLIGHTS

pdated our benefits package to include


extensive family leave benefits to support our
employees and their families

ommitted to disclose extensive gender


e uality information leading to our inaugural

inclusion in the loomberg ender uality
Index

pdated our recruiting practices to enhance


engagement with communities and
educational institutions to broaden the diversity
of our talent

ffered nclusive eadership training to increase


diversity awareness for all employees

ontinued to invest in our communities


including providing scholarships to students
from underrepresented groups who are
pursuing careers in energy

Social
05042023
SAFETY
At Ovintiv, we lead with safety. It is a foundational value and drives decision-
making across the organization. We want every person who steps foot on our
site to leave in the same condition they arrived. We take a “safe work always”
approach that is rooted in the belief that all injuries and incidents are preventable..
We work to improve our safety performance every day. Ensuring the safety of our staff, suppliers, the public and surrounding
communities is core to how we manage our operations. If something can’t be done safely, then it shouldn’t be done on an
Ovintiv site. Each year, the Board of Directors, led by the EH&S Committee and members of the senior operational team,
participates in a field tour of our operations to see first-hand advances in safety and emissions improvements.

WE LEAD WITH SAFETY

We take a “safe work always”


approach that is rooted in
the belief that all injuries and
incidents are preventable.

2022 was a challenging year for safety in our industry and we were not immune. We saw the
Acting with frequency of serious safety incidents increase across our operations. Tragically, two service
Urgency providers were fatally injured on our worksites.

In response to these incidents, we took decisive action to further challenge ourselves and
our approach with the goal of making a sustained improvement in our safety performance.
Company-wide safety standdowns were held in both field offices and corporate offices. We
also undertook an extensive, company-wide review of our safety practices by an internal Safety
Advisory Task Force and commissioned an independent review conducted by a third party,
both of which reported directly to our executive leadership team and Board of Directors.

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12202023
Through these reviews, immediate steps were taken, and four strategic actions emerged:

Start Work Safely Integrate Safety


Authorization into Commercial
Processes
Our worksites are complex and
dynamic. The start work safe We want to partner with service
authorization process is designed to providers whose safety culture
help ensure everyone involved in a job aligns with ours. We are continually
understands their scope of work, the working to build clear systems
hazards associated with that scope and processes that ensure safety
and the procedures in place to make considerations are integrated into
sure the job is executed safely. service provider selection, onboarding
and performance management.
Our service providers are critical to
our operations, and we prioritize their
safety.

Safety Leadership Embed One Safety


Development Culture
Everyone is a safety leader, We have a deep-rooted safety
no matter their role. We have culture at Ovintiv. Our executive
developed a comprehensive safety leadership remains committed
competency development program to reaffirming, reinvigorating, and
tailored to employees’ roles and reinforcing this culture, driving
custom-built to the type of safe consistency through all of our
decision making that is necessary areas of operation and teams. Our
for their work. Safety leadership is people are united in upholding one
learned and we are committed company-wide safety standard.
to providing safety leadership
competency development to all
staff.
Lifesaving We continue to reinforce the importance of adhering to the International Association of Oil
& Gas Producers (IOGP)’s lifesaving rules in our operations. They provide clear guidelines for
Rules making safe decisions in a variety of operational situations. The underlying foundation of our
life saving rules is “stop work,” which gives every employee or contractor the authority to stop
operations if a lifesaving rule is compromised. There is no retaliation for exercising Stop Work
Authority.

Ways to speak-up:
Creating a Increasing employee, contractor and suppliers’ safety
awareness is only part of the solution for maintaining a • Identify a problem
Speak Up safe workplace; we are also committed to enhancing • Share new ideas
Culture psychological safety. This means continuing to build a • Recognize hazards with co-workers
trusting and open environment where our people feel • Stop the job when it’s unsafe to
able to proactively identify and elevate safety risks, free continue working
from judgement or negative consequences. • Ask for help

We are working to build a culture that puts safety above


all else – where our people feel empowered to ask
questions, reach out for help, check in with colleagues
and stop work when necessary.

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Prioritizing We are responsible for creating sites where our employees can perform their work without health
hazards. Our occupational health and industrial hygiene initiative is a specialized component of
Process Safety our overall operational management system, focused on eliminating potential health hazards
found in the workplace. This initiative predicts and monitors potential workplace chemical
exposure, evaluates exposure risk and suggests control of environmental factors that may cause
sickness. Through this program, our employees may adopt different procedures or increase their
personal protective equipment for their safety when needed.

Incidents associated with the failure of process equipment or mechanical integrity can result
in critical impacts to worker safety and the environment. To mitigate these risks, we have
implemented a set of comprehensive process safety practices.

Our process safety standard focuses on the appropriate design, construction, operation and
maintenance of facilities and equipment to prevent the release of hazardous materials. In
addition to maintaining proper containment, we integrate process safety tools and techniques
into our management system, continue to enhance our process safety practices and
expectations and train our teams on preventing hazard exposure throughout our operational
lifecycle.

Each year, we set a company goal tied to compensation to minimize our process safety event
frequency. We reduce our number of process safety events—unexpected releases of hazardous
materials or energy—through site assessments, employee training, integrity management
programs and data tracking and analysis.

In 2022, Ovintiv achieved a process safety event frequency rate of 0.

Measuring Strong safety performance reflects our commitment to In 2021, Ovintiv’s Canadian
protecting our employees, contractors, suppliers and the Operations Facilities Engineering
Safety communities where we operate. Together, we strive for safe and Construction (FEC) team
Performance work always and look for new and innovative solutions to drive reached a significant three-year
safety progress. milestone of zero recordable
safety incidents. Over the three-
By setting environment, health and safety (EH&S) goals, we year period, the team executed a
work toward continuous improvement. These goals are construction program that erected
included in our annual company scorecard, which guides our facilities for 338 wells, installed 239
compensation, rewarding strong company performance. miles of pipeline and constructed
a large sour gas processing plant,
If an incident does occur, we immediately work to correct the
the Pipestone Processing Facility.
situation. We use an incident management system to capture
These projects totaled over six
data, including injuries and illness, motor vehicle incidents,
million exposure hours without a
spills and near misses, which helps us gain knowledge from
recordable injury. This is equivalent
these events. This data is analyzed by our safety specialists
to 1,000 people, working full time, for
and operations teams to identify root causes and improve
three years.
our practices. It is also used to manage EH&S audits and
inspections.

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Safety Total Recordable Process Safety Motor Vehicle
Injury Frequency Event Frequency Incident Frequency
Scorecard
and 2022
Performance
*Definition of process safety
was broadened in 2021 to
include additional events

EH&S We believe all injuries and incidents are preventable, which


is why we focus every day on making our workplace free of
Ethos Guides Our:
Strategy and recognized hazards.
• Companywide policies and
metrics
Performance Managing EH&S performance includes our commitment to • Standards, practices and
Management a safety culture, environmental stewardship, protected and team training program
secure work sites and reliable regulatory performance. Critical • Operational implementation
to our success is employee development and integration with of EH&S practices
our area operating teams.
• Day-to-day field procedures
We support our commitments with programs and policies • Individual knowledge of
that set expectations and clearly identify governance. From and active engagement
our Board of Directors to employees on the frontlines of our with EH&S programs and
operations, everyone plays an important role in our EH&S procedures
performance.

Improvement stems from measuring the effectiveness of Governed by:


our systems and standards. We utilize Ethos — an operations • Board and executive
management system — to measure, track and understand leadership team
our performance. Safety metrics are included in our • Operational EH&S team
annual company scorecard, which rewards strong safety
• Operating area leadership
performance.
• Corporate and field
employees

By integrating Ethos standards and practices into our


daily activities, we promote an injury-free workplace,
minimize our environmental impact and treat our
communities with respect.

Ethos is a documented set of standards that outline how we


work. Within each of Ethos’ 12 standards are practices that
define roles and responsibilities, performance measurements
and necessary training for employees and service providers.

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Employee Setting clear expectations for EH&S performance and
educating our employees on potential hazards are key
Training goals for our EH&S training program. Each year, our EH&S and
operations teams work in partnership to develop individualized
training plans so that employees receive EH&S training specific
to their roles. Through this approach, we offer more than
120 courses to our workforce, guiding our team on the best
methods for managing EH&S risks and the procedures they
must follow to complete work safely.

We are proud of our Safety Essentials for Leaders program that


emphasizes the importance of strong leadership around the
protection and safety of our employees.

More than 3,000 employees, contractors and service providers have completed
our Safety Essentials for Leaders program since its inception in 2009.

Driver Safety Motor vehicle incidents are the leading cause of injury and Driver Safety Program
death in the oil and natural gas industry. Our comprehensive
• Driving Distraction
driver safety program includes training, tools and standards to
• Safe Vehicle Operations
encourage safe driving habits.
• In-Vehicle Monitoring System
We require both driver awareness and hands-on driver training
• Drive Safe Team
for all company fleet drivers and have established safe driving
• Driver Safety Training
practices, including prohibiting the use of cell phones while
driving. Additionally, we assign an in-vehicle monitoring system • Fleet Management
to all Ovintiv fleet vehicles. These devices provide data on • Commercial Motor Vehicle
driver behavior, including the frequency of hard braking, rapid Regulatory
acceleration and speed. • Compliance Requirements

This data is gathered for risk analysis and to monitor our • Motor Vehicle Incident
employees’ driving performance. If an employee shows Reporting
consistent unsafe driving practices, he or she may have to • Driver Fitness and Alertness
participate in additional training or use additional tools to • Road Journey Management
improve performance.
• Driver Qualification and
Authorization
• Driver Commitment

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Pandemic From the onset of the COVID-19 pandemic, we prioritized the physical and mental health
of our employees and moved quickly to protect our team while continuing to provide safe,
Response affordable, secure and reliable energy.

A successful pandemic response was a priority at every level, starting at the top of our
organization. Our executive leadership team met regularly with our Pandemic Response
Team (PRT) to discuss employee safety and business continuity. For the past three years, our
Board has been actively engaged with our executives in providing oversight through this
unprecedented situation.

The PRT officially stood down on October 1, 2022 after approximately 33 months of service to
the organization, leaving in place a legacy of protocols aligned with local regulations and
health agency recommendations.

While most of our operations and processes have returned to normal, pre-COVID-19
conditions, it is important that we continue to follow safe, health and wellness guidelines.
Ovintiv will continue to use our employee guidance documents to assess and report illness,
positive cases, and close contacts.

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OUR SOCIAL COMMITMENT
Together with our employees, our social commitment is our positive
contribution to the communities where we operate by respecting our
stakeholders and Indigenous partners, strengthening our communities
and fostering a culture of inclusion.

Our foundational values of safety, sustainability, integrity, trust


and respect guide our approach and define what we expect of
ourselves and our strategic partnerships.

We know we must consider the impact of our operations and


engage with our people and community partners to explore how
we can play a role. Our commitment to driving environment, social
and governance progress is fueled by our people and a desire to
work in partnership with host communities to create a better, more
sustainable future together.

Respecting Stakeholders & Indigenous Partners


We respect our community partners and foster relationships built on honesty,
open communication and responsible operations.

Strengthening Communities
We support the communities where we operate and are an active partner in
building a strong, healthy social fabric.

Fostering Inclusion
We embrace diversity of thought, background and experience. We want to
create an industry and a company where everyone is welcome and valued.

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12152023
COMMUNITY ENGAGEMENT
We understand the necessity of having strong relationships with the
communities where we operate. We have dedicated local team members
engaging directly with residents, governments and other stakeholders to
answer questions and discuss our operational processes and plans. They
are focused on listening and responding to community concerns.
We are committed to reducing the impacts of our operations through education, innovation and proactive
planning. Across our operating areas, we expect our employees and suppliers to maintain courteous and respectful
behavior throughout all stages of our operations. This includes responding to community concerns regarding noise,
light, traffic and dust in a prompt and respectful manner.

Responding Early Engagement and Noise Mitigation

to Concerns We take great care to proactively engage with communities in advance of new activity,
particularly when our sites are in close proximity to residents.

For example, in Oklahoma, this included re-occupying an existing location that now has a
subdivision close to the original wells. In advance of activity, we engaged the city government
and chamber of commerce to inform them of our development plans and sent notifications to
impacted residents within one-quarter mile of the location, including contact details for questions
or concerns. When dialogue with residents raised concerns over noise levels, our team responded
by installing permanent sound walls around the compressors. We also proactively engaged
multiple internal teams to develop a risk-mitigation strategy for sound issues and determined
that the best course of action was temporary sound walls during drilling and completions as well
as for the first 30 days of production.

Site Lighting Minimization


In response to concerns raised by our neighbors, we have invested considerable resources to
minimize our site lighting disturbance in Canadian operating areas, with the goal of keeping
the illumination within leased boundaries. On permanent facilities, we continue to explore
ways to reduce lighting impacts on-site, starting with facility design.

For our temporary sites, we are working to use fewer generator and light tower combinations
to reduce the cumulative impact of light and noise. Addressing lighting concerns must never
outweigh the safety and security of our employees, so solutions are assessed carefully on a
site-by-site basis.

Truck Traffic Reduction


Pipeline transport allows liquids and natural gas to flow through underground pipes instead
of being trucked to different destinations. By reducing our truck traffic, we also decrease our
potential for spills, tailpipe emissions, driving accidents, traffic congestion, dust and noise on area
rural roads. Where trucking is necessary, we identify preferred routes to support the safety of
our employees, contractors and local residents as well as minimize disturbance to surrounding
landowners.

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12152023
Our Team Community Outreach
In Action The community engagement team in our Canadian operations
hit the streets in early 2022 to re-connect in person with
stakeholders across the region. COVID-19 made it difficult to
have a physical presence over the past couple of years, but
as communities started to reopen, Ovintiv staff were out in
the spirit of continuous improvement to do a pulse check with
landowners and neighbors. As a team, we were eager to have
open conversations about our operations and get feedback
from the people where we work and live.

Regulatory Tours
We are committed to ensuring regulators and government
officials have a clear and transparent understanding of
our operations. We regularly host tours for regulators, policy
staff, elected officials and Indigenous partners to facilitate a
broader understanding of our industry and showcase Ovintiv’s
approach to development. We are proud of the work we do,
the way we do it and we understand the value of engaging
with a variety of diverse perspectives.

Texas Railroad Commissioner Tour,


Midland operations (October 2022)

Dawson Creek Stakeholder BBQ


Ovintiv sponsored the annual stakeholder BBQ at the
Dawson Creek exhibition and Rodeo, which celebrated its
100th year in 2022. The Doig River First Nation Drummers
kicked off this year‘s event, which was hosted by our
Surface Land, Community Relations and Canadian
Operations teams. Approximately 170 people attended,
with representation from local First Nations, landowners,
government, regulators and first responders.

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COMMUNITY INVESTMENT
We recognize that our responsibility begins in the communities where we live
and work.
We are committed to giving back and actively focus on building safer and more resilient communities. We partner with
charitable organizations and initiatives in our operating areas across North America. Our Community Investment Program is
guided by the principles outlined in our Social Commitment and supports organizations that align with our three priority areas:
Safety, Education and Community Wellness.

Investing
in Local
Communities

Safety Education Community


We support programs and We support programs and
Wellness
initiatives that advance safety initiatives that enhance the We support programs and
and emergency response in skillset of the future workforce initiatives that address basic
the communities where we and provide access to needs and improve the status
operate. educational and training of healthcare and mental
opportunities, with an increased health outcomes.
focus on marginalized groups.
We also support initiatives
that promote energy literacy
and deliver objective, multi-
dimensional energy education
programs.

Our social commitment is about Our collaboration will directly support


SPOTLIGHT making a lasting positive impact. key programs and initiatives aimed at
This has led to new partnerships with promoting health equity in pediatric
the children’s hospitals in Denver, medicine, enabling community-based
Ovintiv Commits The Woodlands, and Calgary— approaches to enhance mental

$10.2 Million to Local investing $10.2 million dollars over


the next three years. We intentionally
health and well-being, and fostering
innovation.
Children’s Hospitals sought partners and programs that
These partnerships also highlight
embody our purpose, as well as our
the importance our products play in
commitment to making a positive
Driven by our purpose of making modern healthcare and daily medical
difference in our communities. We
modern life possible, we’re proud of services. From the building of the
are also committing additional funds
the role our energy products play in hospitals themselves to MRI machines,
to Ronald McDonald Houses and
fueling the world. x-ray equipment, pill coatings and
Inspiration Ranch to further support
Band-Aids – our energy products are
families going through difficult health
imperative to the healthcare industry.
care journeys.

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12202023
Meeting Essential $150,000 in Sibley Nature Future Farmers
Needs Scholarships Center of America
In 2023, Ovintiv actively In 2022, Ovintiv awarded ~ Ovintiv sponsored the Sibley Ovintiv is a proud supporter of
engaged in projects that $150,000 in scholarships across Nature Centre’s outdoor Future Farmers of America.
address essential needs within our operating areas, with education classes for
our communities through the a focus on Indigenous and elementary school children in
Habitat for Humanity Industry under-represented youth. Midland and Odessa.
Build in Calgary as well as build
days in Denver and Houston.

Northern BC Oklahoma Youth Expo Innovative Supporting First


Science Fair Nursing Responders
We are focused on supporting
Since 2004, Ovintiv has youth in agriculture with our Supported innovative In 2022, Ovintiv provided
supported the Northern BC sponsorship of the Oklahoma nursing program at $120,000 in financial support to
Regional Science Fair. Youth Expo. University of North British local first responders across
Columbia in Fort St. John. our operations.

Permian Strategic Partnership


Ovintiv is a member of the Permian Strategic Partnership (PSP), a collaborative public/private
partnership which aims to strengthen and improve the quality of life for Permian Basin residents by
supporting initiatives to improve public education, create safer roads, increase access to quality
healthcare, develop the workforce of the future and increase housing availability.

In alignment with our social investment funding priorities, in 2023 Ovintiv directly supported PSP
initiatives focused on education and healthcare including the Holdsworth Center for education
leadership training, local school districts to ensure a sustained source of education leaders, and
the launch of a parent-led movement for educational equity, as well as the Permian Basin Medical
Center and University of Texas Permian Basin Behavioral Health Licensed Counselor Programs to meet
demands for healthcare and mental health providers in the area.
Supporting Ovintiv Gives, our workplace giving program, matches employee charitable
contributions dollar-for-dollar up to $25,000 per employee per year. We
our People proudly increased our corporate match by 150% from 2021 to amplify the
impact of our employees’ donations at a time when communities need it
most. At Ovintiv, we believe there is a human connection between the energy
we produce and the energy of our people.

As a company, our commitment to social responsibility includes empowering


our people to make impactful change. Whether it is rolling up our sleeves to
volunteer in local neighborhoods or rallying for a cause, our employees look
for ways to make life better in our communities. We know that supporting the causes that matter
most to our employees is integral to Ovintiv’s culture of giving back. We want to be recognized as a
force of good in the communities where we operate—improving lives and driving progress.

Adopt a Family Dawson Creek Race Food Drive


Adopt a Family – For the past
Against Hunger Our company-wide summer
15 years, colleagues new Dawson Creek Race Against food bank drive raised $85,000
and old work together to sort Hunger - Including Ovintiv’s for food banks in Calgary,
toys, wrap gifts and spread corporate match, $13,700 and Denver and the Woodlands.
holiday cheer. more than 1,543 pounds of
food were donated to local
food banks through the Race
Against Hunger event.

In 2022, our employees leveraged Ovintiv’s charitable donation


match program to give $2.6 million to over 800 charities across
North America, providing a positive, far-reaching impact in the
communities where we live and work.   

Community Leadership Rewards


To recognize our employees’ commitment to the communities and support their passions, we have
introduced the Ovintiv Gives Community Leadership Rewards program. It is a multi-dimensional
volunteer program that rewards employees who volunteer with a grant of up to $500 for the charity or
not-for-profit of their choice. Additionally, to encourage their development, employees who volunteer
their time on the board of directors for a not-for-profit receive a $500 charitable grant for that
organization each calendar year.

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INDIGENOUS RELATIONS
We recognize the unique rights of Indigenous Peoples consistent with the
principles set out in the UN Declaration on the Rights of Indigenous Peoples.
As some of our operations occur on traditional or ancestral land, it is important that we foster a respectful and mutually beneficial
relationship with these communities through actively addressing concerns and considering potential operational impacts. By
investing in, and working closely with, our Indigenous partners, we will build a strong reputation, while also mitigating planning and
operational risks.

Our Indigenous Commitment


Our Indigenous Commitment outlines four key principles -
Community, Connect, Partner and Action – that guide our efforts
to support Indigenous inclusion and opportunity. This principle-
based approach is grounded in the traditional Indigenous Medicine
Wheel. The traditional wheel represents the interconnectedness
of the natural world and how all things grow and work together.
The Medicine Wheel reminds us that we need to balance all four
principles of being–the spiritual, emotional, physical, and mental.
Similar to the Medicine Wheel, our Indigenous Commitment reflects
a holistic and ongoing approach rather than a linear process,
striking a balance between each of the four principles.

SPOTLIGHT

Supporting the Preservation


of Indigenous Cultures
In summer 2023, Ovintiv announced $400,000
in funding to support the preservation of
Indigenous culture through the development
of a museum and interpretive center at the
Tse’k’wa National Historic Site in Charlie Lake.
The site is the result of a unique collaboration
between the Doig River First Nation, Prophet
River First Nation and West Moberly First
Nations.

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12182023
Community We are committed to building strong and respectful
relationships with our Indigenous partners. At Ovintiv, fostering
trusted and transparent dialogue with the Indigenous
communities across our operating areas is part of our culture
and how we operate.

Land and Water Stewardship Tours


Field tours provide a unique opportunity for Ovintiv staff to offer
a boots-on-the-ground overview of how we do our business
and foster meaningful dialogue with our Indigenous partners.
We learn about their interests, knowledge and concerns while
providing our own insights and awareness of the areas where
we operate. Tours also provide a local perspective of oil and
natural gas operations and bring to life the reality of resource
development, including our efforts to minimize our impacts on
the air, land and water.

Connect
We recognize the importance of preserving Indigenous culture. We encourage staff across our
organization to participate in and gain new perspectives on Indigenous ways of thinking and
doing. This includes partnering with local organizations, engaging leaders and participating in
community programs.

Listening and learning are essential to being a good partner, which is why we also provide
cultural awareness training to employees. In Canada, we are committed to doing our part toward
reconciliation with Indigenous Peoples as outlined in the Truth and Reconciliation Commission of
Canada (TRC) recommendations.

Doig River Days Aboriginal Pemmican Days


A team of Ovintiv staff spent the
Awareness Week 2022 Pemmican Days, Saulteau
day at Doig River First Nations
Calgary First Nation.
learning first hand about OVV team members
Indigenous ways of being. participated in an Indigenous
Handgames tournament as
part of the AAWC Pow Wow.

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Indigenous Awareness Training
We are committed to providing all staff with opportunities
to engage with and learn about the cultural significance
and contributions of Indigenous Peoples to promote greater
understanding of our shared history. In addition to internal
Indigenous awareness training, we also provide opportunities
for employees to engage directly with Indigenous communities
and their members to enable further dialogue and deepen
employees’ understanding of Indigenous history, cultural
distinctions and nekaneew meeskanas (forward path).

Partner Our relationships with American Indian Tribes and First Nations in the areas where we
operate have been built over the course of months and years and are defined by our mutual
commitment to building resilient Indigenous communities.

Capacity Building and Education


We support Indigenous inclusion through employment and procurement strategies,
opportunities for training and capacity building.

Supporting education is a cornerstone of our Indigenous strategy that provides long-term


benefits for the community. Ovintiv is proud to continue providing bursaries as well as books
and supplies for Indigenous students enrolled in post-secondary education in Canada and
the United States.

We also work closely with Indigenous and Tribal leaders to identify education programs that
help to build strong and healthy communities.

Elton Blackhair Indigenous Tribe Member


Scholarship – Wasatch Academy
Ovintiv and the Wasatch Academy established a $10,000
scholarship for an Indigenous Ute Tribe member attending the
Wasatch Academy. The scholarship is named in memory of
Elton Blackhair. Elton was an Ovintiv employee, a member of the
Ute Indian Tribe, an Academy graduate and was committed to
improving relations between various tribes across the United
States.

The Wasatch Academy’s mission is to educate students from diverse socioeconomic and cultural
backgrounds and equip graduates with the educational foundation, personal maturity, and
confidence to succeed in life.

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The Ovintiv Native American Scholarship –
The University of Utah
The Ovintiv Native American Scholarship is offered annually to
students from a federally recognized tribe, with a preference for
students from the Ute Indian Tribe.

This scholarship will help advance the University of Utah


American Indian Resource Center’s (AIRC) mission of
recruiting and retaining Native American students through
their graduation. The Ovintiv Native American Scholarship
provides financial aid to offset the cost of tuition and/or any other education-related expenses
to promising students as selected by the AIRC Scholarship Selection Committee. The one-time
award of $5,000 is offered to five students for a total annual scholarship commitment of $25,000.

Canadian Post-Secondary Indigenous Scholarships


Ovintiv’s support for Indigenous learning in Canada has been established for several years,
however we recently created a new award at the University of Alberta and increased award
amounts for our UBC Sauder School of Business and Northwestern Polytechnic scholarships.

• University of Alberta – Five awards at $5,000 each


• UBC Sauder School of Business – Five awards at $5,000 each
• Northwestern Polytechnic – Five awards at $2,000 each
• Northern Lights College – Six awards at $1,000 each

These scholarships reflect a total annual commitment of $66,000. Our scholarships are open to
students who are Indigenous (First Nations, Métis and Inuit) to Canada, with a preference given to
local students.

Action We are committed to creating economic benefit through action and employment. From
enhancing inclusive supply chain and hiring practices to making meaningful, strategic
investments, we are working to ensure Indigenous-led companies have access to economic
opportunities within our operations.

Healing the Land


Amid the global COVID-19 pandemic, the Canadian government developed a program to
encourage wellsite reclamation activities beyond compliance obligations, prioritizing sites that
were nominated by landowners and Indigenous communities.

Ovintiv responded by assembling a multi-disciplinary team to support our contractors,


Indigenous community partners and landowners in identifying and accelerating upwards
of $4 million in site reclamation in our operating areas. We facilitated Indigenous-affiliated
procurement on these projects through joint venture and other contracting partnerships
to safely execute this program and heal the land, by way of well abandonment, equipment
decommissioning, environmental site assessments, remediation, and reclamation. Without these
partnerships, this work would not have been executed for many years.

These mutually beneficial relationships have not only accelerated reclamation efforts, but have
enabled Indigenous reconciliation, self-determination, and capacity building in a growing part of
our sector.

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FUNDING PROCESS
Requests for funding are accepted year-round through our online
application system and are guided by our Social Commitment. Ovintiv
awards contributions in our operating areas based on opportunities are
aligned with our four priority areas:

Safety Education Community Indigenous


We support programs and We support programs and
Wellness Reconciliation
initiatives that advance safety initiatives that enhance the We support programs and We support programs and
and emergency response in skillset of the future workforce initiatives that address basic initiatives that focus on
the communities where we and provide access to needs and improve the status Indigenous inclusion and
operate. educational and training of healthcare and mental opportunity to help support
opportunities, with increased health outcomes. resilient and self-determined
focus on marginalized groups. Indigenous communities.
We also support initiatives
that promote energy literacy
and deliver objective,
multi-dimensional energy
education programs.

Apply For Funding

Guidelines and Limitations How to Submit


Eligibility and Exclusions a Request
Those requesting funds must be an Our Community Investment donation We accept funding requests only
established nonprofit or 501(c)(3) guidelines prohibit us from giving to: through our online application process.
organization, located in or serving a Upon submitting your application, you will
• Individuals
community where we have established receive an email confirmation. Proposals
• Religious organizations (except non-
offices or operations. The organization are reviewed on an ongoing basis, and
faith-based associations)
should be a registered charity eligible to could take up to six weeks for review.
• Third-party fundraisers
issue official tax receipts for donations.
• Professional conventions, conferences,
seminars or galas --unless industry
related
• Travel for individuals or groups
• Programs located outside of the regions
or communities where Ovintiv operates
• Political events
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SUPPLY CHAIN MANAGEMENT
At Ovintiv, we take an integrated multi-basin approach to supply chain
management. Our supply management team is woven into all levels of our
organi ation, ro corporate operations to our field tea s

We work hard to build transparent, long-term relationships


with our suppliers to create a competitive environment that
drives innovation. We want to know who we are working with
and how they run their organization. This often means being
on t e ground in t e field, touring t eir s ops and looking
for opportunities to spur innovation. We also recognize the
importance of supporting the communities and businesses in
our operating areas to ensure there is a local presence and, in
some cases, to foster new investment.

From an operational perspective, we are committed to ensuring


our suppliers share our high safety standards. We maintain a
Supplier Code of Conduct as well as a Service Provider EH&S
Expectations Manual that aligns with our Business Code of
Conduct and sets forth our expectations both from a business
perspective as well as on important social issues, such as
human rights. Suppliers must maintain integrity, transparency
and compliance in all that they do.

Ovintiv’s Supply Chain Management team is committed to furthering environment, social and governance
progress. We have developed an internal dashboard that helps track new technology being piloted by suppliers,
identify ways we can minimize our environmental footprint and integrate social considerations into our sourcing
selection process. For example, Ovintiv utilizes production casing sourced from Vallourec’s manufacturing facilities
in Ohio that are powered by 100% low carbon electricity. By selectively sourcing tubular products from this supplier,
Ovintiv was able to avoid more than 16,000 metric tons of CO2 emissions in 2021.

Understanding In the face of post-pandemic supply chain disruptions and increasing geo-political uncertainties
across the world, our Supply Management team has embraced our value of agility by proactively
our Supply identifying and mitigating risks to our procurement of necessary goods and services. This
Chain includes engaging with category managers and key suppliers to capture their insights about
current and potential disruptions to Ovintiv’s supply chain as well as gathering and integrating
known trade barriers or restrictions on tariffs into our analysis and decision-making.

In the spirit of innovation, we created our Global Supply Dashboard. It provides a high-level
snapshot of the location of our main suppliers and any associated risks or barriers to trade. This
enables us to identify and mitigate potential supply disruptions, decreasing exposure for both
Ovintiv and our suppliers to the ever-changing global supply chain.

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DIVERSITY, EQUITY AND INCLUSION
Our commitment to an inclusive culture that embraces diversity of thought,
background and experience was reinforced by our Board and executive leadership
team through our renewed social commitment framework. We want to create an
industry and a company where everyone is welcome and has the same opportunities.
Creating a culture of inclusion is consistent with our long-standing foundational values and we are committed to making progress so that
everyone has an equitable opportunity for success at Ovintiv. To that end, we have assembled an internal Diversity, Equity & Inclusion Working
Group representing a cross section of our workforce, acting as a sounding board for initiatives, testing communications and acting as an
incubator of ideas.

Diversity, Equity &


Inclusion Guiding
Principles

We engage in this work not Above all, we believe Ovintiv’s values and
only because it leads to better listening and learning is leadership capabilities
business outcomes, but most the priority. We will take our underpin our commitment
importantly because it is the time to get it right and be to an inclusive workplace.
right thing to do. authentic along the way.

Learning From A critical part of building a culture of inclusion is listening to and


learning from our employees. In the fall of 2021, we launched two
“From this exercise, we
recognize the importance
Our Employees inclusion initiatives – a pulse-check survey and employee inclusion of feedback loops, and
listening sessions. The survey asked employees to anonymously
we will work with all levels
assess four statements regarding their experience and perception
of leadership to continue
of inclusion at Ovintiv. The Inclusion@Work listening sessions went
to design mechanisms to
a step further and allowed for deeper dialogue where employees
listen and learn from our
shared details of their personal experiences and perceptions of
employees. I am committed
inclusion in a smaller, more intimate forum. Both quantitative data
to continuing this dialogue
from the surveys and qualitative data from the listening sessions
and developing the
were shared with the executive leadership team. Feedback from
programs, processes
the circles informed updates and changes to practices, programs
and training initiatives.
and initiatives required to
support diverse talent and
In total, approximately 700 employees completed the pulse- an inclusive workplace.”
check survey and approximately 170 individuals participated in
the Inclusion@Work sessions. Through the inclusion initiatives, – Brendan McCracken, CEO
we learned that participating employees have a high sense of
inclusion, although it was clear that not all employees experience
inclusion in the same way. In 2022, Inclusion@Work training was
offered to all employees.

This feedback, along with our company’s demographic data,


helped us understand how the experience of inclusion differed
across demographic groups within our company.
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Understanding One of our goals is ensuring we have diverse talent at all levels within our organization. We
are continuing to deepen our understanding of the age, gender and ethnic make-up of our
our Workforce company, through voluntary employee surveys as well as formal gender equality surveys.

As we build awareness, we have been able to tailor our recruiting practices to broaden the
diversity of our talent, increase our transparency around gender equality and better support
our employees with resources to build an inclusive workplace.

Attracting, developing and retaining diverse talent while fostering an engaged culture of
inclusion is both a challenge and an opportunity. We will continue to lean into our values as
we strive to create a work environment where everyone can feel accepted and be successful.

Workforce Of the 98% of US employees and 63% of Canadian employees that responded to our survey,

Ethnicity our ethnic breakdown is as follows:

United States Canada


84.3% White 78.1% White
7.9% Hispanic / Latino 5.2% Chinese
2.8% Asian 4.1% Indigenous / Aboriginal
2.2% Two or More 3.6% South Asian
1.3% Black / African American 2.5% Black
1.1% American Indian / 1.3% Filipino
Alaskan Native
1.3% Other
0.2% Native Hawaiian /
1.1% Latin American
Other Pacific Islander
0.9% Arab
0.6% Korean
0.6% West Asian
0.5% Southeast Asian
0.1% Japanese
Building Our Diversity and inclusion are critical to building an empowered
culture and strengthening company performance. By
Culture of embracing our diverse perspectives, we can continue to
Inclusion innovate and evolve our business to adapt to an ever-
changing world. Creating a space for trust and support to
ensure that all great ideas are heard is a priority and an area
we will continue to strive to improve.

In support of that objective, Ovintiv partners with organizations


whose primary goals are to promote diversity, equity and
inclusion. These organizations offer various resources, and as
a member company, all staff can access these resources.

Considering Equality in Employee Benefits


Building and strengthening our culture of inclusion has been an important focus for our
organization over the past two years. We continue to look for new ways to promote and improve
our inclusive culture, including taking deliberate action to ensure diversity, equity and inclusion
(DEI) are considered in our employee benefit plans.

In 2021, as part of our yearly benefits assessment, we conducted an Inclusion & Diversity
Discovery Assessment. This is an innovative way to evaluate benefit plans and programs using
our workforce demographics, diversity of family roles (caregiving, disability, life stage), and broad
societal views across ethnicity, race, religion, socioeconomic factors, and other “lenses.”  This
gave us a wholistic view of our benefits programs, which helped highlight areas of opportunity.
While we received exceptional results across most areas, the assessment pointed out
opportunities for program improvement in two areas: Family Leave and Family Forming. In 2022,
we took action.

Family Leave
We recognize the necessity of extending eligibility of the benefit beyond the birth parent to
include adoptive parents and secondary caregivers. This exciting enhancement reinforces our
commitment to a diverse and inclusive workplace, ensures the well-being of our employees, and
maximizes flexibility for unique return-to-work needs.
We recognize the necessity of extending eligibility of the benefit beyond the birth parent to
include adoptive parents and secondary caregivers. This exciting enhancement reinforces our
commitment to a diverse and inclusive workplace, ensures the well-being of our employees, and
maximizes the flexibility for unique return-to-work needs.

“Great policy change and great to see ‘primary and secondary caregiver’. As an
adoptive parent and a member of the LGBTQIA community, this makes me proud of
Ovintiv and the steps we are taking as a company to be more inclusive.”

– Michelle, Production Analyst

Family Forming Benefits


Ovintiv recognizes that forming a family can take many
different paths. We provide enhanced coverage for fertility
treatment, adoption assistance and surrogacy assistance to
support our employees through their journeys to growing their
families. The addition and enhancement of these benefits
provides employees with market-leading benefits that are
inclusive of everyone.  

SPOTLIGHT

ALLY Energy’s Best


LINK was recently awarded an ALLY Energy GRIT
Award for The Best Affinity Group for its efforts
to embrace inclusion and collaboration. The
award recognizes the group’s accomplishments
as well as impacts on recruiting practices and
employee experience.
Employee LINK
Resource We formed an employee resource group (ERG), Leveraging Inclusion, Networking and Knowledge (LINK),

Groups to foster an environment where diverse perspectives are celebrated. LINK focuses on enhancing our
culture, creating development opportunities, sharing knowledge and strengthening relationships.

LINK provides employees with grassroots opportunities to engage with each other as well as external
organizations. This means providing volunteer and networking opportunities, supporting diversity and
inclusion efforts, and providing training/mentoring opportunities for interested employees.

LINK was recently awarded an ALLY Energy GRIT Award for The Best Affinity Group for its efforts to
embrace inclusion and collaboration. The award recognizes the group’s accomplishments as well as
impacts on recruiting practices and employee experience.

Intl. Women’s Day Pride Parades Field Volunteering


Ovintiv employees #Embrance LINK provided opportunities Staff in our Dawson Creek office
Equity- LINK Coordinated for employees to participate assembled care packages
the participation of leaders in Pride events across our for the BC Northern Health’s
across the company to show corporate locations Intensive Case Management
their support of International Team
Women’s Day

Pop-up Networking Random


Volunteering Events Coffee
Nearly 600 bags were LINK brought together An innovative networking
assembled in our corporate employees in each of our concept that regularly
offices to support three corporate centers for an matches interested OVV
local charities: Urban Peak in afternoon of networking and employees with a new
Denver, Boys and Girls Club having some fun along the colleague for an informal
of Greater Houston and the way. conversation, promoting
Calgary Immigrant Women’s information sharing and
Association (CIWA). integration across the
company.
Ovintiv Young The Ovintiv Young Leaders organization (OYL) was formed to provide opportunities for emerging
leaders in our organization to foster growth and development, provide a forum for knowledge sharing
Leaders and teamwork, and promote community engagement across our corporate office locations.

OYL hosts lunch and learns throughout the year on a variety of topics, ranging from technical
presentations to personal development training. They also sponsor regular networking events and
coordinate multiple volunteer events throughout the year.

Calgary Corporate Brunch with Community Service


Challenge Brendan in the Woodlands

DE&I Inclusion in Winner Included in


Bloomberg Gender Best Affinity Globe and Mail’s
Recognition Equity Index (GEI) Group (2023) Women Lead Here
(2023) The ALLY Energy GRIT Award for
benchmark (2023)
The companies reflected in the Best Affinity Group recognizes A ranking of 500 of the largest
2023 Index have scored above groups that embrace inclusion (over $50M in revenue) publicly
the GEI Score threshold for and collaboration. The award traded companies in Canada
inclusion and are committed represents ALLY’s highest honor in terms of the percentage of
to making strides towards for internal employee groups, female-identifying individuals in
equality in the workplace. The companies, start-ups, and the top three tiers of executive
2023 Index comprises 484 schools. management.
companies with a combined
market capitalization of $16
trillion (USD) headquartered
in 45 countries and
regions across 11 sectors.
CAREERS AND EMPLOYEE WELLNESS
Our success is a direct result of the talent of our team and our ability to work together
to achieve company goals. We work hard to put our best ideas into action—making
energy development more advanced, efficient and safer than ever before.
Every person on our team is expected to share ideas and make a meaningful contribution to our company’s success. Our workforce is
the reason we have built a reputation for delivering industry-changing advancements, technologies and results. We have a history of
hiring proven industry leaders and are committed to retaining our hardworking and dedicated people. We seek talent from within and
outside our industry, recruiting prospective employees who will excel in our unique culture.

Compensation Our compensation philosophy is anchored by two key objectives: delivering market-competitive

and Benefits pay and benefits and rewarding short and long-term performance. Our compensation program is
designed to attract and retain the talent necessary to achieve our business strategy by rewarding
individual and company performance. All employees can earn a discretionary bonus based on
company performance as measured by our corporate scorecard. Ovintiv reviews compensation
annually to assess gender and race pay gaps. Every other year, Ovintiv contracts with an external
firm to independently assess gaps. Any identified gaps are addressed either immediately, or
through our annual compensation review process.

Key Employee Benefits


• Competitive medical and dental benefits, • Market-leading family leave practice that
plus additional insurance coverage includes 16 weeks paid leave for primary
caregivers and 10 business days of paid
• Long-term incentive program
parental time off for secondary caregivers
• Annual allowance
• New Family Forming benefits that include
• Employee and family assistance program enhanced support for fertility treatment
• Company-funded pension plan – company and reimbursement for adoption and/or
contribution is 8% of base salary surrogacy assistance

• Investment plan (Canada) or 401(k) plan (U.S.), • Highly competitive vacation policy
with a 100% company match of employee • Flexible work hours that support a healthy
contributions up to 5% of base salary work/life balance, including the first and third
• Employee charitable donation match up to Friday of every month off (eligibility varies on
$25,000 and volunteer rewards program location and position)

• Financial education tools and assistance • Employee student scholarship program for
dependent children
• Post-retirement benefits

The average tenure of our employees is more than nine years,


and our voluntary turnover rate was 5.9% in 2022.

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Empowering Recruiting, developing and retaining our workforce is vital to
our success today and in the future. We believe in providing
the Next opportunities for our employees to grow with us, including
Generation professional development and training programs.
of Talent
New Graduate Program
The experience Ovintiv provides through our new graduate
program and career development is not only meaningful to
participants but adds significant value to the company. Ovintiv’s
new graduates develop skills, knowledge, and a professional
network through on-the-job technical training and social opportunities. Our program is home to
graduating students in Engineering, Geosciences, Land Management and Accounting, among
others. While every program differs slightly, the focus is on building a breadth of knowledge and
gaining exposure through rotations or project work. One program offered each year is our New
Grad Boot-Camp, an immersive, multi-day experience that includes technical presentations as
well as sessions with senior leaders, the executive leadership team and Board members. With
regular networking opportunities throughout the year, the new graduates are encouraged to get
to know each other and build connections within the company.

New Grads Meet Our Board


In early 2023, Ovintiv new graduates gathered in Denver for a significant career and culture-
building opportunity to share their experiences as a group with our leadership team and Board
of Directors. Our Board, who was interested in our recruiting practices and talent development,
joined the event to better understand our programs and appreciate how Ovintiv is differentiating
itself from industry peers. Our New Grads were able to share their experiences with the Board, who
in turn provided professional feedback and career advice to the graduates. It was a significant
and mutually beneficial opportunity for our new grads to engage with and receive guidance from
this level of company leadership, while also imparting their own generational insights into the
program, company and industry.

Partnering with CareerWise


We recently announced a new partnership with CareerWise, a Denver-based organization
dedicated to fostering youth apprenticeship programs. Through this collaboration, we are creating
new opportunities for a unique educational experience and potential career pathways for talented,
young individuals. We have welcomed apprentices to our Denver office, while they continue to
attend high school gaining practical skills, industry knowledge and exposure to real-world business
operations. We aim to make this an enriching experience for both our apprentices and our
organization.

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Building Our culture promotes collaboration as a way for employees
to network, develop, drive innovations and improve outcomes.
Internal We encourage cross-functional sharing by providing
Connections communications tools, processes and events for connection.

Shale Technology Exchange


Ovintiv’s internal collaboration forum, the Shale Technology
Exchange, brings together technical staff to present, debate
and share ideas and solutions that drive our operations
forward. The forum, which includes presentations and
technical talks from employees across the organization, enables staff to build relationships,
share ideas and drive enhancements for both well results and costs.

Peer Networking
We use mentoring circles as our informal peer-to-peer mentoring program. Through this initiative,
we match co-workers interested in connecting and collaborating as a way to develop personally
and professionally. We also provide a voluntary Random Coffee program, which randomly pairs
two interested employees to meet for either an in-person or virtual “coffee session”, where they
can learn about each other’s teams, roles, operating areas and other interests.

Executive Management
We are committed to ensuring employees have regular opportunities to engage informally with
the executive leadership team through casual, hosted breakfasts or lunches in our corporate
locations, social events after in-person town halls and registered Q&A sessions with individual
executive leadership team members.
Fostering Employee growth at Ovintiv is more comparable to a lattice
than a ladder, meaning our employees can grow vertically,
Learning and horizontally or diagonally complementing our agile culture and
Development the evolving demands of our business..

Employee development is reflective of our business strategies,


as well as our culture and values. While technical capabilities
are role specific, business and leadership skills span the
organization.

We support the development of these skills through on-the-job


work experience, networking, mentoring and collaboration, and formal training. We recognize that
our employees are innovators who challenge the status quo to enhance productivity and drive
efficiency. We encourage our employees to take an active role in their professional development
and give them the tools they need to grow their skill set.

Learning Management System


We employ a learning management system, Workday, to offer training content through a single,
easy-to-use platform. Within this system we host more than 130 courses, with both computer-
based and instructor-led options. To date, our employees have completed more than 10,000
courses since the program’s inception in 2019. This system supports both our EH&S training and
our professional development opportunities.

Commercial Rotation Program


We announced a new opportunity for staff seeking to enrich their development by participating
in an 18-24 month rotation program in commercially related roles. The program is designed to
expand participants’ networks and exposure across the organization while reinforcing our culture
of innovation.

Citizen Innovator Program


Our Finance team is piloting an internally sponsored Citizen Innovator program which includes
training, hands-on experience, and mentoring to develop skills in data and analytics, process
engineering, custom app design, automation and project and change management. A
capstone project encourages participants to develop tools that solve challenges within their
team and provide ongoing value to the business.

IT Toolbox
Our IT team unveiled a DIY toolbox designed as a resource-rich hub that equips employees
with the tools needed to translate ideas into reality and showcases digital projects that teams
throughout the company have developed.

Innovation Workshops
We also introduced workshops to encourage leaders throughout the organization to develop
mindsets and skillsets to support and enhance our culture of innovation.

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Employee We are committed to holistic support of our employees’ overall
well-being. We offer competitive medical and dental benefits,
Wellbeing as well as wellness programs to support mental health.
Program Physical – Promoting preventive care with health providers,
offering proactive health assessments, creating a physical
wellbeing incentive program and providing an ergonomics
program (assessments and guidelines for office setups)

Financial – Providing education and resources for retirement


planning and a broad spectrum of other personal financial
matters

Emotional – Ensuring access to quality mental and behavioral


health resources and care

Social – Enhancing connections among our workforce through


employee resource networks (LINK, OYL), giving managers the
tools to create an inclusive workplace culture, and promoting
volunteer opportunities within our communities

Fitness For Work Mental First Aid Therapy Dogs

We require employees to be In 2021, our Canadian As part of Mental Health


in a condition to carry out operations team successfully Month in May, we partnered
their day-to-day job duties piloted Mental First Aid, a with PALS in Calgary, Therapy
safely and effectively without course aimed at teaching Pet Pals of Texas, and Denver
putting themselves, their employees and managers Pet Pals to bring their therapy
co-workers, the public or about common mental dogs onsite to our corporate
the environment at risk. We health conditions and offices. Studies have shown
consider employees unfit for reducing stigma associated that pets are good for your
work if injury, illness, physical with them. Since then, we mental health and can
or psychological health issues, have made the course alleviate depression, reduce
fatigue or the use of alcohol available to teams across our anxiety, and decrease levels
or drugs could result in the organization. of the stress hormone cortisol.
reduced ability to perform
work safely or effectively.

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HUMAN RIGHTS
We recognize the fundamental importance of human rights and the need for all of
us to ensure these rights are upheld. Our respect for human rights is embodied in the
way we operate and conduct ourselves, guided by our foundational values of safety,
sustainability, integrity, trust and respect.
As our governments continue their work to protect human rights Ovintiv’s commitment to human rights
locally and globally, we are doing our part to advance human is guided by international and national

rights. Respect for human rights is defined in our Human Rights standards, including:
Policy and further reflected in our Business Code of Conduct
• UN Guiding Principles on Business and Human Rights
and Supplier Code of Conduct as well as in how we interact with
• UN Universal Declaration of Human Rights
each other and our stakeholders. Our codes and policies apply
to all employees, contractors, service providers and suppliers. • UN’s recognition that access to water is a human right

• International Labor Organization’s Declaration of Fundamental


Our Human Rights Policy provides a method for anyone to report
Principles and Rights at Work
concerns or complaints through an anonymous, third-party
Integrity Hotline. • Organization for Economic Development

• Guidelines for Multinational Enterprises


If issues are identified, Ovintiv will investigate, address and
respond to these concerns. Human rights violations are serious • All applicable federal, state and provincial laws and
offenses that may result in termination, penalties or other legal regulations
remedies.

Human Rights • Prohibit all forms of slavery, compulsory and forced labor, human trafficking and child labor

Commitments • Ensure that anyone working on our sites is legally authorized to do so

• Understand the important role our industry can play in identifying and preventing human
As defined in our trafficking through increased employee awareness while working with our suppliers to engage
Human Rights Policy, our in programs to• prevent human trafficking
commitment to human
• Promote a respectful workplace and do not tolerate any workplace harassment, including
rights means that we…
sexual harassment or bullying.

• Protect and promote women’s rights and gender equality

• Do not tolerate any threats or acts of violence toward any of our employees or contractors at
any of our locations

• Prohibit discrimination or harassment based on race, color, religion, national or ethnic origin,
sex, parenthood, sexual orientation, gender identity or expression, age, disability, veteran status
or other ground protected by law

• Comply with all applicable laws and regulations on freedom of association and collective
bargaining. We recognize our employees’ rights to join organizations for the purposes of
engaging in collective bargaining

• Respect an individual’s right to privacy and commit to ensuring compliance with all applicable
privacy and data security laws

• Will not be complicit in human rights abuses or violations of human rights laws

• Will conduct a risk assessment for human rights related issues and take steps to mitigate when
we enter a new operating area

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GOVERNANCE
Corporate governance is critical to conducting our business
with the highest ethical standards. We prioritize stakeholder
interests by maintaining transparency and integrity and
proactively managing risk. We have woven our commitment
to environment, social and governance progress into our
foundational values and business strategy.
Strong, diverse and engaged leadership guide Ovintiv’s performance with forward-looking vision.
Committee mandates from our Board of Directors assign strategic oversight of sustainability
factors and encourage purposeful decision-making and participation. Our employee
compensation program is tied to sustainability-related targets to further promote accountability
across all levels of our organization.

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HIGHLIGHTS

• Deepened Board engagement with field


tours that focused on emissions reduction
technology used in our operations and
receptions to interact with employees at all
levels involved in key initiatives

• Ensured alignment with our environment,


social and governance objectives by tying our
Scope 1 & 2 GHG emissions reduction target
and new safety metric to compensation for all
employees

• Broadened our Board diversity, adding six new


independent directors since 2019

• Continued to take a leadership role in our trade


organizations to advance ongoing initiatives
to develop common industry environment,
social and governance metrics and reporting
standards

Governance
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GOVERNANCE STRUCTURE
Ovintiv leadership executes our rigorous corporate governance structure,
upholding our values of safety, sustainability, integrity, trust and respect.
Our Board oversees the management of our business, helping to ensure
appropriate governance and internal controls are in place for ethical
corporate conduct.
Our executive leadership team shapes Ovintiv’s strategy, culture and values and reports to our Board. Through effective leadership,
our CEO and executive vice presidents set clear expectations for operational conduct, determine annual corporate goals, drive
innovation and guide our company culture. They have oversight of the teams that implement our sustainability policies and
programs.

Best Practices Our governance practices are reviewed and refreshed regularly to ensure ongoing
transparency and accountability with our stakeholders.

• Declassified Board with all directors elected annually, no slate voting

• Independent Board chair

• Independent committee chairs and members

• Evaluation of Board, committee and director performance periodically conducted


by a third party

• Executive sessions held by independent directors at regular Board and committee


meetings

• Majority voting for directors in uncontested elections

• Separation of Board Chair and CEO roles

• No dual-class shares

• Executive incentive compensation clawback policy to be updated with new SEC


requirements

• Business Code of Conduct and comprehensive ethics and compliance program

• Stock ownership guidelines for executives and directors

• No interlocking directorships with other reporting issuers

• Prohibition on hedging or pledging for directors and executives

• Annual advisory vote on executive compensation

• Proxy access right

• Direct engagement with investors including off-cycle and in-season discussions


between independent directors and shareholders

• Diversity in Board Recruitment policy (ensures inclusion of candidates of gender


and racial/ethnic diversity)

Governance
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BOARD OF DIRECTORS
Our directors apply their significant business experience and judgment to make
decisions in the best interest of Ovintiv stakeholders. We maintain a balanced,
diverse Board committed to Ovintiv’s sustainable future. When identifying Board
candidates, we consider skills, experience and diversity of thought so that many
perspectives are represented in decision making.

Ovintiv’s Board does not have term limits or a mandatory retirement age, but our Corporate Responsibility and Governance (CRG)
Committee reviews all directors annually before deciding on candidate reelection. We believe our strong corporate governance
practices, including annual Board evaluations, create an engaged and dynamic Board.

Our bylaws mandate the separation of the roles of CEO and Board chair. The Board appoints its chair, who must be independent,
based on the recommendation of the CRG Committee. The Board chair is responsible for the effective functioning of the Board as
a whole and serves as the primary liaison between the independent directors and the CEO. In addition, the chair serves as a non-
voting member of all Board committees.

Board In Action Our executive leadership team and Board members engage
directly and regularly with our field team on tours that
showcase new emissions reduction technology. The Board can
see first-hand the full spectrum of approaches we have taken
to drive our emissions lower and interact at a field level with our
employees who are implementing these new processes. Topics
include how we design new pad sites for efficiency to
eliminate routine venting and flaring, new flaring-reduction
technology, leak detection and repair (LDAR) equipment,
continuous methane monitoring and the use of wet sand in our
completions operations.

Governance
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Board The Board is committed to ensuring a strong foundation
for meaningful engagement on environment, social and
• Audit

Committees governance-related risks. The Board works through its


• Corporate Responsibility
and Governance (CRG)
committees to bring additional attention and strategic
oversight to key issues. In 2020, the Board realigned its • Environment, Health and
committee composition to more clearly reflect its focus on Safety (EH&S)
each element of environment, social and governance matters.
• Human Resources and
Essential to the success of the overall governance of Ovintiv are Compensation (HRC)
strong mandates that outline the specific responsibilities of the • Reserves
Board, the Board chair and each of the Board’s five standing
committees:

Ovintiv’s Board committees play a key role in • Reviewing policies and practices relevant to
risk oversight, including the regular monitoring assigned risk management areas
of risk-management programs, control • Working closely with management to ensure
processes and cyber security protocols. Each key controls and processes are in place
committee manages the issues under its • Engaging directly with external stakeholders
purview, reporting regularly to the Board-at- on topics relevant to environmental, social
large. Committee responsibilities include: and governance-related issues
• Making recommendations to the Board
about matters specific to the committee

The CRG Committee is The EH&S Committee targets The HRC Committee’s mandate
actively helping the Board its oversight on occupational now expressly includes strategic
refine and enhance its health, safety, environment oversight of social issues
environment, social and and security of personnel including diversity, equity and
governance framework. and physical assets. It has inclusion. It also oversees the
Key objectives include a overall responsibility to company’s compensation
focus on ongoing board review and report to the program, monitoring for
and committee renewal Board on climate-related alignment with our strategic
and ensuring an integrated issues and information, such and business objectives,
approach among the as greenhouse gas (GHG) shareholder interests and
committees to support the full emissions. compensation governance
Board on environment, social developments. This committee
and governance matters. It is responsible for incorporating
is responsible for ensuring emissions-related targets tied
the company’s continuing to employee compensation.
commitment to good
business conduct and ethics.

Governance
Continuing Shareholders are best served by a
Board comprised of individuals who
• Encourages and provides subscriptions to
leading director education associations
Education are knowledgeable about current and
• Regularly invites subject matter experts to
emerging industry, regulatory and
Board and committee meetings to discuss
governance matters. To ensure continuing
emerging issues relevant to Ovintiv’s business
director education, Ovintiv:
and strategic objectives

• Provides detailed Board materials in advance


of each meeting for pre-read and analysis

• Hosts field visits for the Board to enhance


focus on a key aspect of our business

Below is a highlight of the Board’s Continuing Education in 2022:


• Montney asset EH&S Field Tour

• Multi-industry trade association updates were provided on key business, trade, health,
geo-political and other risks affecting both the oil and gas sector and the broader market

• Interactive session with company’s cyber security counsel on best practices for information
security and Board duties.

• Interactive sessions with company investors

• Interactive session with banking experts on commodity prices and macro considerations

• Interactive session with guest speaker from Sustainable Governance Partners LLC, offering
governance trends among major U.S. institutional investors

• “SEC/U.S. GAAP update” training was provided by PricewaterhouseCoopers LLP (“PwC”) to the
Audit Committee

• Interactive session with safety expert from the Krause Bell Group. Continuing education and
seminars were conducted via the Institute of Corporate Directors (Canada), the National
Association of Corporate Directors (U.S.), Financial Executives International, the Eurasia
Group, the Canadian Public Accountability Board, Deloitte, Women Corporate Directors, and
the Global Risk Institute

• Regular presentation of market fundamentals, including commodity price outlooks, basis


differentials, geopolitical and other macro environment considerations and risks

• Regular analysis and presentations from the HRC Committee’s independent compensation
consultant on key executive compensation matters

• Presentation from external legal counsel on Board duties

Governance
Board Skills
& Expertise

Governance
PAY-FOR-PERFORMANCE COMPENSATION
Our executive compensation program aligns pay with performance. Our
compensation philosophy provides for a competitive base salary to attract
strong talent, an annual bonus to align and motivate all employees around
near-term company targets, plus a long-term incentive plan that focuses
senior management on strategic multi-year delivery and long-term value
creation through share-based rewards.

Our annual bonus metrics are rigorously vetted and reflect The long-term incentive awards tie to both total shareholder
the building blocks that support long-term value creation. We return and specific strategic milestones over a longer horizon.
incorporate sustainability metrics into our corporate score Executive compensation is substantially “at risk,” plus the Board
card as environment, social and governance matters are retains discretion to ensure our pay programs produce outputs
a top priority of the Board. Strong safety and environmental that align closely with changes in shareholder value.
performance are critical to maintaining a well-managed
company. From our ongoing dialog with investors and other The HRC Committee believes that direct feedback from

stakeholders, we know they share the importance we place on shareholders is an important part of the compensation-setting

this topic. Starting in 2023, we have added an additional safety process. We regularly solicit feedback from shareholders as

metric to our Company Scorecard. well as input from independent compensation advisors to
maintain a competitive executive compensation program that
We continue to drive environment, social and governance attracts and retains top talent and encourages sustainable
progress and have committed to reduce our Scope 1 & 2 performance.
GHG intensity by 50% by 2030 from 2019 levels. This goal was
included in Ovintiv’s annual incentive compensation program Our compensation program continues to evolve and the

for all employees beginning in 2022. Due to the strength of our Board remains attuned to shareholder feedback, changing

team and their commitment to innovation and continuous shareholder expectations and evolving market standards.

improvement, we are confident we can achieve these Reflecting that feedback, the HRC Committee made several

milestone reductions by focusing on efficiency and utilizing changes to the compensation program for 2021-22.

new technology. We are well on our way to reaching our target,


having achieved a >30% reduction in Scope 1 & 2 GHG intensity
at year end 2022 (benchmarked against 2019 results).

2022 Compensation Program Changes


The HRC Committee approved the following changes to our 2022 compensation program to strengthen the alignment of executive
compensation with Company performance and shareholder experience and expectations. These changes are a result of Board
engagement with shareholders and reflect the Board’s compensation consultant’s review of pay practices and programs across a
broad range of industries.

Annual Bonus Changes Long-Term Incentive Changes


• Approved more rigorous 2022 payout curves, which make • Added both the S&P 400 and SPDR S&P Oil & Gas Exploration
above target payouts more difficult to obtain & Production ETF (XOP) indices to our Peer Group to measure
our performance against the general industry and a larger
group of E&P peers

• All earned LTI awards were settled in shares of our common


stock, creating stronger alignment to market practice and
increasing employee share ownership

Governance
05042023
CODES OF CONDUCT
Our Business Code of Conduct and Supplier Code of Conduct set clear
expectations for our employees and business partners. Our codes outline how
we do business and engage with each other and the community. They also
affirm our commitment to integrity, ethical business practices, sustainable
operations and regulatory compliance.

We … Pause Think Act


Does a situation make you Is the behavior unethical Speak up! Ask questions and
uneasy? Are your instincts or illegal? Is the approach help make the right decision.
telling you something isn’t consistent with our values Talk it through with leadership,
quite right? Pause and and culture? Would you Human Resources, the
consider how to approach be uncomfortable talking compliance team or contact
the situation before making a about how the situation our Integrity Hotline.
decision. was handled? What are the
consequences?

Our codes apply to Board members, employees, contractors Every employee or individual working with us has a duty to
and suppliers, and each of us has a responsibility to know and report suspected or actual wrongdoing that is illegal or in
abide by the defined expectations outlined in these documents. violation of our code. We have several resources available
We also expect our leaders to lead by example. A violation for guidance or to report a concern – leadership, Human
of our codes or related policies and practices will result in Resources personnel, our ethics and compliance team and
disciplinary action, including termination of employment or our Integrity Hotline. We do not tolerate any form of retaliation
contract if appropriate. including threats, discrimination or discipline against anyone
who reports a concern in good faith or participates in an
As we continue to grow in a complex and ever-changing
investigation.
environment, we all will encounter difficult situations where
the path forward may not be absolutely clear. Our codes and Our Integrity Hotline is managed by an independent third party
related policies help us navigate in the right direction as we and allows for anonymous reporting of potential violations.
make ethical decisions on behalf of our company. Our ethics and compliance team follows up to conduct
investigations for appropriate resolution. Management regularly
Annually, employees formally commit to follow our code,
reports hotline activities and compliance investigations to the
acknowledging their understanding of and compliance with key
Board’s CRG Committee. Specific concerns are also reported
policies. We provide regular in-person code and compliance
to relevant committees, and the full Board is made aware of
training at all levels of our organization.
material items or investigations.

100% of Ovintiv employees recommitted to our Business Code of Conduct in 2022.

Governance
05042023
CYBER SECURITY
Cyber threats are ever evolving,
becoming more sophisticated in their
tactics and techniques. We recognize
the importance of continually improving
our security and effectively managing
the risks associated with using digital
technology across our business.

By implementing cyber security standard requirements across


our organization, we protect Ovintiv’s digital assets from security
breaches that could negatively impact our business, reputation,
team safety, compliance record and the environment.

Our Cyber Security, Audit and Compliance, and Corporate


Risk Management teams work together as a multi-
disciplinary group. This group is tasked with developing and
implementing processes and technologies that assess risk and
recommending new technologies or changes to our existing
assets. We measure our IT infrastructure and information
security management system against the National Institute
for Standards and Technology (NIST) cyber security framework.
Based on a scorecard organized by the categories identify,
protect, detect, respond and recover we determine any areas
that require additional resources to mitigate cyber security risk.

We also conduct an annual digital penetration test with a


third-party specialist and other auditors. This test simulates
an “attack” on our computer system and processes to identify
security weaknesses. We report the results of this test to our
Board Audit Committee and initiate any necessary changes.

Governance
05042023
POLITICAL ADVOCACY AND
INVOLVEMENT
Constructive public policy engagement is important as it enables a dialogue
between individual companies, industries and government, regardless of
political affiliation, to achieve results-based policy outcomes.

Ovintiv actively participates in public policy development at the


federal, provincial, state and local levels in the U.S. and Canada
United States Canada
to support effective policies governing responsible energy • Federal • Federal
development in North America. Ovintiv also engages with
• Oklahoma • Alberta
elected officials, regulatory agencies, legislative staff and the
public to provide perspective on key issues and to advocate for • Texas • British Columbia
reasonable public policy and regulatory frameworks. • Utah

Our federal lobbying filings in the United States can be found • Wyoming
online with the U.S. Senate and the U.S. House of Representatives.
• North Dakotaa
Ovintiv also maintains active lobbying registrations in
Oklahoma and Texas. In Canada, Ovintiv is registered with the
Federal lobbyist registry and provincial lobbyist registries in
Alberta and British Columbia.

Our Approach Meeting growing needs for safe, affordable, secure and reliable Climate Change
to Effective energy while addressing GHG emissions is a complex challenge
for policymakers.
Policy Goals
Climate Change • Drive meaningful GHG

Policy We support a transparent and practical approach to improved emissions reductions


GHG emissions performance, where government policy defines • Promote innovation and
goals but grants industry flexibility to develop effective, efficient actionable solutions
and innovative solutions. Ovintiv partners with key stakeholders
• Foster transparent
and industry peers to help inform regulatory development and
partnership among key
encourage these actionable solutions
stakeholders

• Align economic,
environmental and energy
security needs

Governance
05042023
Trade We support trade associations, public policy organizations and academic research initiatives to
inform public dialogue on issues impacting Ovintiv and the oil and natural gas industry.
Associations
These organizations have multiple functions including direct advocacy, standards development,
industry best practices creation and supporting the communities where we operate. They
typically represent a diverse membership, both within the oil and natural gas sector and the
broader business community.

Ovintiv is a leader in the policy development and advocacy of our trade associations, although
their policy views and the views and strategies of their participating organizations, are not
monolithic. We do not always agree with or support their policy positions but try to influence the
result.

Organizations Supported in 2022


All organizations received more than US $25,000

United States Canada


• American Exploration & Production Council • Business Council of Alberta

• American Petroleum Institute • Canadian Association of Petroleum Producers

• Bipartisan Policy Center • Canadian Gas Association

• Denver Metro Chamber of Commerce • Canadian Chamber of Commerce

• Independent Petroleum Association of • Positive Energy


America

• International Petroleum Industry


Environmental Conservation Association

• National Association of Manufacturers

• National Petroleum Council

• North Dakota Petroleum Council

• Oklahoma Energy Resources Board

• Permian Basin Petroleum Association

• Permian Strategic Partnership

• The Petroleum Alliance of Oklahoma

• Texas Oil & Gas Association

• Utah Petroleum Association

• Western Energy Alliance

Governance
Political Ovintiv supports political organizations in the United States that We commit to the highest
ethical standards in our
support and/or advocate for the election of candidates, the passage
Donations of ballot measures, and public education campaigns that advance
advocacy efforts. We
follow applicable laws and
oil and gas policy. In Canada, corporations are prohibited from regulations as defined by
making political donations. In the U.S., we periodically give directly to jurisdiction and we comply

candidates in jurisdictions where corporate contributions are allowed with our Business Code
of Conduct and Political
by law. Decisions to support political organizations and/or candidates
Activities Policy. Ovintiv
are governed by our political giving policy and are aligned with our discloses our political
corporate strategy and energy policy. contributions and lobbying
activities in accordance with
Ovintiv also utilizes the Ovintiv USA Inc. PAC (OVV PAC) to pool local reporting and disclosure
voluntary contributions from eligible employees to directly give to regulations.

candidates or political committees at the federal and state level in


the United States that support energy initiatives. PAC contributions are
bi-partisan and decisions are governed by a PAC Board of Directors,
which consists of senior leaders from different corporate functions
and office locations. The OVV PAC reports its activities in periodic
public filings with the Federal Election Commission and the Texas
Ethics Commission. Listed below are the contributions by the OVV PAC
to candidate and political committees in 2022.

Candidates Federal Candidates Oklahoma Candidates


and industry • U.S. Senator John Barrasso (R-WY) • Governor Kevin Stitt (R-OK)
PACs supported • Adam Laxalt for U.S. Senate (R-NV) • Commissioner Kim David (R-OK)
by the OVV PAC: • U.S. Senator Cynthia Lummis (R-WY) • State Senator Ally Seifried (R-OK)
• U.S. Senator Markwayne Mullin (R-OK) • State Representative Jon Echols (R-OK)
• Joe O’Dea for U.S. Senate (R-CO) • State Representative Marilyn Stark (R-OK)
• Mehmet Oz for U.S. Senate (R-PA)
• U.S. Senator Krysten Sinema (I-AZ) Texas Candidates
• U.S. Senator JD Vance (R-OH)
• RRC Commissioner Wayne Christian (R-TX)
• U.S. Representative Kelly Armstrong (R-ND)
• State Senator Charles Schwertner (R-TX)
• U.S. Representative Stephanie Bice (R-OK)
• State Representative Craig Goldman (R-TX)
• U.S. Representative Liz Cheney (R-WY)
• State Representative Cody Harris (R-TX)
• U.S. Representative Dan Crenshaw (R-TX)
• State Representative Justin Holland (R-TX)
• U.S. Representative Henry Cuellar (D-TX)
• State Representative Brooks Landgraf (R-TX)
• U.S. Representative John Curtis (R-UT)
• State Representative Eddie Morales (D-TX)
• U.S. Representative Lizzie Fletcher (D-TX)
• State Representative Armando Walle (D-TX)
• U.S. Representative Vicente Gonzalez (D-TX)
• U.S. Representative Kevin Hern (R-OK)
• Barbara Kirkmeyer for Congress (R-CO)
Wyoming Candidates
• Jan Kulmann for Congress (R-CO) • Gov. Mark Gordon (R-WY)
• U.S. Representative Frank Lucas (R-OK)
• U.S. Representative Cathy McMorris Rodgers (R-WA) Industry PACs
• U.S. Representative August Pfluger (R-TX)
• AXPC PAC

Governance
CLIMATE & TCFD
Established by the international Financial Stability Board, the
Task Force on Climate-related Financial Disclosures (TCFD)
identifies and suggests voluntary disclosures that help
investors, lenders and insurance underwriters understand
material risks.
TCFD structures its recommendations in four categories that represent core elements of how
organizations operate: governance, risk management, strategy, and metrics and targets.

Ovintiv has been incrementally adopting the TCFD recommendations since 2018. We continue to
strengthen our disclosures through enhanced climate policy scenario analysis and climate-related
performance targets tied to our compensation program.

05042023
TCFD PROGRESSION
2018
Disclosed how we identify, assess and manage
climate-related risks

2019
Communicated additional governance around
climate-related risks and opportunities

2020
Enhanced our climate scenario disclosure and
potential impacts related to climate risks and
opportunities

2021
Committed to publicly disclose and link climate-
related performance targets to employee
compensation

2022
Established a Scope 1 & 2 GHG intensity target
tied to 2022 compensation while continuing to
focus on improving our methane intensity

CLIMATE & TCFD


04102023
GOVERNANCE
Our corporate governance framework
allows us to effectively manage
climate-related risks. The Ovintiv
Board evaluates sustainability and
environment, social and governance
risks on a quarterly basis. Annually,
the Board reviews and adopts the
company’s strategic plan, which
considers risks and opportunities to
our business, including all elements of
environment, social and governance
matters.
While several Board committees manage environment,
social and governance risks and opportunities, our EH&S
committee is responsible for environmental matters, including
sustainability strategy and policy, risk identification and
management, environmental compliance and climate change.
This committee reviews and reports material environmental
issues to the whole Board. Our Board is actively involved in
company performance goal setting, including evaluating which
environmental, social and governance goals should be tied to
our employee compensation program.

CLIMATE & TCFD


05042023
RISK MANAGEMENT
We integrate climate-related
considerations into key business
planning and risk management
processes throughout the company.

As outlined in our Corporate Risk Management Policy, our Board


is responsible for ensuring an effective risk management
process is in place to identify, monitor and manage significant
risks to our business and reputation.

Our enterprise risk management process and our environment,


social and governance materiality assessment help identify
and monitor any significant risks. Each quarter, we present risk
reports to the Board with corresponding mitigation strategies.

Potential Carbon Tax Commodity Prices and


Climate-Related A carbon tax currently affects our
Capital Management
Impacts to Our Canadian operations, and we recognize To better predict the risks associated

Business that carbon taxes may impact our U.S.


assets in the future. We account for an
with future commodity prices, including
potential GHG reductions, our scenario
escalation of our Canadian carbon tax planning utilizes a range of prices that
costs in our planning and budgeting represent varying levels of supply and
processes. We also run scenarios to demand for our products. This planning
determine how a U.S. implementation considers how our cost structure and
would impact our costs structures. capital efficiency could be impacted by
factors such as the oilfield service market,
carbon mitigation, new technologies, well
Operations design challenges and quality of future
Severe weather events including inventory.
hurricanes, fires and floods can impact
our operations. We continue to identify
and pilot new technology, equipment
and processes to mitigate the physical
risks of a changing climate.

CLIMATE & TCFD


05042023
Opportunities We believe our corporate strategy and our focus on being a low-cost producer enables us to
meet the challenges posed by current and future climate-related risks.

We aim to be the leading North American E&P by generating free cash flow and delivering
superior returns both to our shareholders and on the capital we invest in our multi-basin, multi-
product portfolio. By focusing on execution excellence, disciplined capital allocation, commercial
acumen and risk management, our business can thrive across a variety of scenarios and deliver
results in a socially and environmentally responsible manner.

Flexibility Capital Discipline


Our development portfolio In an evolving commodities
is highly focused on short- market, we have continued
cycle opportunities enabling our track record of
us to maintain operational demonstrating capital
flexibility at both the asset discipline while driving
and portfolio level. This allows efficiency and lowering
for rapid conversion of capital costs in every part of our
into cash flow, and a high business. We will continue to
degree of agility in managing be a leading North American
risk and responding to operator by strategically
opportunities. managing our supply chain
and utilizing technology and
innovation to responsibly
develop our assets.

Proven Experience Innovation


We have experience Our culture of innovation
operating under carbon encourages us to utilize
tax jurisdictions in Canada. technology and operational
Our corporate culture and efficiencies, particularly to
structure promote knowledge drive free cash flow and
sharing, and we expect to emissions reductions. Ovintiv
apply carbon tax learnings to closely follows technology
our U.S. assets in the event of advancements and will
carbon tax regulation. continue to deploy equipment
proven to be effective in
reducing emissions.

CLIMATE & TCFD


05042023
STRATEGY
Ovintiv’s risk-informed business strategy incorporates key environment,
social and governance issues that have the potential to affect our
performance. We conduct our strategic planning and scenario analysis on
an ongoing basis, considering the impacts of commodities pricing, carbon
taxes, regulations and the potential long-term impacts of climate change.

This process incorporates insights from various contributors within the company, as well as external advisors and private
commodity market analysis firms. We follow four interconnected and iterative workflows for our strategic planning.

Ovintiv Strategic Assessment Benchmark


Strategic We incorporate the macro assessment Benchmarking is also incorporated in our

Planning findings in developing a strategic


assessment and analysis to test the
strategic planning. We benchmark our
strategic and competitive positioning
Workflow fitness of the current strategy and discuss against companies both within and
potential pathways to deliver value to outside of the E&P industry. This provides
shareholders over the short and long real-time intelligence and enhances our
term. This assessment is presented to, and understanding of peer strategies, industry
discussed with, the executive leadership on trends and business best practices.
at least an annual basis.

Macro Review Portfolio Evaluation


We conduct a macro analysis of both We conduct an internal assessment
the business and industry environment to evaluate the current state of our
focused on key trends, risks and portfolio while considering potential
opportunities with potential to impact our opportunities to advance or enhance
corporate strategy. value through technological innovation
and efficiencies, reduction of uncertainty
and the optimization of resources. During
this phase, a suite of individual asset
development profiles is constructed or
revised to test various scenarios and
approaches to optimize long-term value
creation.

CLIMATE & TCFD


05042023
Climate- We consider climate-related risks throughout our corporate strategic planning and
scenario analysis process. In conducting our scenario analysis, we utilized internal
Focused modeling supported in part by the International Energy Agency’s (IEA) World Energy Outlook
Scenario (WEO) to better understand the future patterns of a changing global energy system.

Analysis We used two of the scenarios included in the IEA’s 2022 Outlook, each of which contain
assumptions regarding future population, economic growth and hydrocarbon supply and
demand.

Stated Policies Scenario (STEPS): Reflects Announced Pledges Scenario (APS):


current policy settings that are in place and Assumes that all climate commitments
have been announced by governments made by governments around the world
around the world will be met in full and on time

By using scenarios, we can evaluate a range of potential risks related to commodity pricing
and emissions reduction structures. Specific to our portfolio, we test our current assets
against potential future outcomes to determine where challenges and opportunities may
exist. We also assess portfolio resiliency by comparing our assets’ performance under
different IEA price forecasts adjusted to the WTI benchmark against publicly available
breakeven price assumptions per play. For this analysis, we also incorporate an escalating
carbon tax up to $200/T CO2e by 2050 in line with the IEA APS.

For the purposes of this analysis, we have included an Ovintiv Base Case Scenario to
demonstrate the current competitiveness of our portfolio compared to IEA forecasted
prices. The Ovintiv Base Case Scenario assumes holding crude and condensate scale at
maintenance capital levels and is non-GAAP free cash flow positive after base dividend.

It is important to note that our analysis assumes a consistent break-even price. Ovintiv
has a strong track record of knowledge sharing, adopting innovative practice and
driving efficiencies through our business. We expect this performance to continue, further
decreasing our break-even prices and increasing our portfolio resiliency.

In alignment with the SASB reporting recommendations, we tested our year-end 2022
reserves against the conditions outlined in the IEA’s APS. The commodity pricing associated
with the APS compared to the SEC trailing price forecast used for the year-end 2022
evaluation was lower. As a result, under the associated pricing and escalating carbon tax,
the value of Ovintiv’s SEC 1P reserves would be ~30% lower on a NPV10 basis due primarily to
lower commodity pricing. However, the net present value of our future cash flows remains
positive under the APS scenario, and we believe that our multi-basin, diversified product
portfolio is well positioned to be resilient in a low-carbon scenario.

CLIMATE & TCFD


05042023
Third–party Our analysis confirms
the resiliency of our
basin average portfolio under a range
operating of possible future climate
break-even policy scenarios. Under all
scenarios, we expect new
well development to continue
to yield an economic return
as breakeven prices remain
lower than forecast prices.
Even with the implementation
of an escalating carbon tax,
our low-cost, short-cycle
portfolio remains competitive.

Significant Free Cash


Flow Potential Across
both of the IEA Scenarios
METRICS AND TARGETS
Climate-related performance metrics have been included in our disclosures
since we began sustainability reporting in 2005. Measuring our emissions
profile provides visibility into which cost-efficient measures are most effective
in reducing GHG emissions. We continue to improve both the reduction of our
emissions intensity and the transparency of our reporting.

Our executive leadership team, with the support of our Board,


continues to enhance our approach to climate and emissions
disclosure. These enhancements include our Scope 1 & 2
emissions dashboards, which are used to inform our climate-
related performance targets.

As part of our efforts to continue to drive environment, social


and governance progress, we have committed to reduce our
Scope 1 & 2 GHG intensity by 50% from 2019 levels by 2030. This
goal was included in Ovintiv’s annual incentive compensation
program for all employees beginning in 2022. We have a
proven track record of success exemplified by achieving our
methane intensity reduction target in 2021, four years ahead of
schedule.

Our purposeful climate targets drive meaningful improvements


in our emissions performance, are integrated into our business
performance management system and are transparent to our
staff and external stakeholders alike.

CLIMATE & TCFD


05042023
2022 SUSTAINABILITY
PERFORMANCE
Sustainability Performance Metrics Table
At Ovintiv, we recognize the importance of transparency and communicating on our
performance. We have a long history of disclosure, having published sustainability
metrics since 2005 and are proud of our ongoing achievement in environment, social
and governance matters.

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AXPC ESG Metrics Template
Reporting Company: Ovintiv
Reporting Period: 2022

2022 Additional Comments


Greenhouse Gas Emissions
Scope 1 GHG Emissions (Metrics tons CO2e) 1,458,847

Scope 1 GHG Intensity


11.33
Scope 1 GHG Emissions (Metric tons CO2e)/Gross Annual Production as Reported Under Subpart W (MBoe)

Percent of Scope 1 GHG Emissions Attributed to Boosting and Gathering Segment 14%

Scope 2 GHG Emissions (Metrics tons CO2e) 258,998

Scopes 1 & 2 Combined GHG Intensity


(Scope 1 GHG Emissions (Metric tons CO2e) + Scope 2 GHG Emissions (Metric tons CO2e))/Gross Annual 13.34
Production as Reported Under Subpart W (MBoe)

Scope 1 Methane Emissions (Metric tons CH4) 6,191

Scope 1 Methane Intensity


0.05
Scope 1 Methane Emissions (Metric tons CH4)/Gross Annual Production - As Reported Under Subpart W (MBoe)

Percent of Scope 1 Methane Emissions Attributed to Boosting and Gathering Segment 18%

Flaring
Gross Annual Volume of Flared Gas (Mcf) 2,769,005

Percentage of gas flared per Mcf of gas produced


0.78%
Gross Annual Volume of Flared Gas (Mcf)/Gross Annual Gas Production (Mcf)

Volume of gas flared per barrel of oil equivalent produced


0.022
Gross Annual Volume of Flared Gas (Mcf)/Gross Annual Production (Boe)

Spills
Spill Intensity
0.026
Produced Liquids Spilled (Bbl)/Total Produced Liquids (MBbl)

Water Use
Fresh Water Intensity
0.483
Fresh Water Consumed (Bbl)/Gross Annual Production (Boe)

Water Recycle Rate


32.2%
Recycled Water (Bbl)/Total Water Consumed (Bbl)

Does your company use WRI Aqueduct, GEMI, Water Risk Filter, Water Risk Monetizer, or other comparable tool
Yes
or methodology to determine the water stressed areas in your portfolio?

Safety
Employee TRIR
0.09
# of Employee OSHA Recordable Cases x 200,000 / Annual Employee Workhours

Contractor TRIR
0.29
# of Contractor OSHA Recordable Cases x 200,000 / Annual Contractor Workhours

Combined TRIR
0.27
# of Combined OSHA Recordable Cases x 200,000 / Annual Combined Workhours

Supporting Data 2022


Gross Annual Oil Production (Bbl) 69,414,760
Gross Annual Gas Production (Mcf) 355,970,982
Gross Annual Production (Boe) 128,743,257
Gross Annual Production (MBoe) 128,743
Gross Annual Production - As Reported Under Subpart W (MBoe) 128,743
Total Produced Liquids (MBbl) 228,999
Produced Liquids Spilled (Bbl) 6,038
Fresh Water Consumed (Bbl) 62,207,946
Recycled Water (Bbl) 29,311,491
Total Water Consumed (Bbl) 91,024,388
Employee OSHA Recordable Cases 1
Contractor OSHA Recordable Cases 35
Combined OSHA Recordable Cases 36
Annual Employee Workhours 2,236,025
Annual Contractor Workhours 24,318,353
Methodology Actuals
Annual Combined Workhours 26,554,378
2022 Disclosures Index
Section Website Location SASB METRIC IPIECA METRIC

Highlights CCE-4, CCE-5, CCE-7, SHS-3

From the Chair and CEO EM-EP-320a.1, EM-EP-320a.2 SOC-5, CCE-1, CCE-2, CCE-4, CCE-5, CCE-7, SHS-3

Overview Our Approach EM-EP-320a.2 CCE-1, CCE-2

History of Transparent Disclosure CCE-1, CCE-2

Sustainability Materiality Assessment CCE-1, CCE-3

UN Sustainabile Development Goals CCE-1, CCE-2, ENV-3, SOC-15

Highlights CCE-2, CCE-4, CCE-5, CCE-7


EM-EP-110a.3, EM-EP-320a.2, EM- GOV-2, GOV-05, CCE-1, CCE-2, CCE-4, CCE-5, CCE-7,
Emissions Measurement & Management
EP-530a.1 ENV-5
EM-EP-110a.3, EM-EP-530a.1, EM- GOV-2, CCE-1, CCE-2, CCE-3, CCE-4, CCE-5, CCE-7, ENV-
Emissions Reduction Initiatives
EP-540A.2 5
EM-EP-110a.3, EM-EP-530a.1, EM-
Operational Innovation GOV-2, ENV-5, CCE-2, CCE-3, CCE-4, CCE-5, CCE-6
Environment EP-540A.2

Water Stewardship EM-EP-140a.1, EM-EP-160a.1 ENV-1, ENV-2, ENV-6, ENV-7, SHS-5

Decommissioning & Reclamation EM-EP-160a.1 ENV-8, SOC-10

Biodiversity EM-EP-160a.1, EM-EP-160a.3 GOV-2, ENV-3, ENV-4

Waste Management EM-EP-160a.1 GOV-2, ENV-7

Naturally Occurring Radioactive Materials EM-EP-160a.1 GOV-2, ENV-7

Induced Seismicity EM-EP-160a.1 GOV-2, ENV-7

Highlights EM-EP-320a.2 SHS-3, SOC_5


GOV-2, ENV-6, SOC-4, SOC-7, SOC-9, SHS-1, SHS-2, SHS-
Safety EM-EP-320a.2, EM-EP-540a.2
3, SHS-4, SHS-5, SHS-6
Our Social Commitment SOC-5, SOC-9, SOC-13

Community Engagement EM-EP-210b.1 SOC-9, SOC-12, SOC-13, SHS-1

Social Community Investment EM-EP-210b.1 SOC-9, SOC-13, SOC-15, SHS-2

Indigenous Relations EM-EP-210a.3 ENV-1, SOC-1, SOC-4, SOC-9, SOC-10

Diversity, Equity and Inclusion SOC-4, SOC-5, SOC-6

Supply Chain Management EM-EP-320a.2, EM-EP-510a.2 GOV-3, SOC-2, SOC-14, SHS-1, SHS-2, SHS-6

Careers and Employee Wellness EM-EP-320a.2 SOC-4, SHS-2, SOC-7

Human Rights EM-EP-210a.3 GOV-2, GOV-3, SOC-1, SOC-2, SOC-3, SOC-4, SOC-8,

Highlights GOV-1, CCE-1

Governance Structure EM-EP-510a.2 GOV-1, GOV-2, GOV-3

Board of Directors EM-EP-320a.2, EM-EP-540a.2 GOV-1, GOV-2, GOV-3, CCE-1


Governance Pay-for-Performance Compensation GOV-1

Codes of Conduct EM-EP-510a.2 GOV-3, SOC-2, SOC-3, SOC-7, SOC-8, SOC-12

Cyber Security EM-EP-540a.2 GOV-2, SHS-7

Political Advocacy and Involvement GOV-4, GOV-5, CCE-1

Governance EM-EP-110a.3 GOV-1, CCE-1, CCE-2


EM-EP-420a.4, EM-EP-530a.1, EM-
Risk Management GOV-1, CCE-1, CCE-2, CCE-3, CCE-4
Climate & TCFD EP-540a.2

Strategy EM-EP-530a.1, EM-EP-420a.4 CCE-1, CCE-2

Metrics and Targets EM-EP-110a.3 CCE-1, CCE-2, CCE-4


EM-EP-110a.1, EM-EP-110a.2, EM-
EP-120a.1, EM-EP-140a.1, EM-EP-
140a.2, EM-EP-140a.3, EM-EP- CCE-4, CCE-5, CCE-7, ENV-1, ENV-2, ENV-5, ENV-6, ENV-
Performance 2022 Performance Data Table
160a.2, EM-EP-210a.1, EM-EP- 7, SOC-4, SOC-5, SOC-6, SOC-7, SOC-9
210b.2, EM-EP-320a.1, EM-EP-
510a.1, EM-EP-540a.1
POLICIES

05062022
Alcohol & Drug Policy
Ovintiv is committed to protecting the health and safety of all individuals affected by our activities
and the communities in which we live and operate. The use of alcohol and drugs can adversely
affect job performance, the work environment, as well as the safety of our workers and the
general public.

This policy and its related practices apply to all employees engaged in company business
whether working on or off our premises, or driving company-owned, leased or rented vehicles.
Contractors and service providers are expected to develop and enforce alcohol and drug policies
and practices that are consistent with, and in any case, meet or exceed the requirement of this
policy and its related practices and agreements while conducting business for, or on behalf of,
Ovintiv. Specific requirements for service providers are set out in the Service Provider
Expectations Manual (SPEM).

To minimize the risk of unsafe or unsatisfactory performance due to alcohol or drugs, everyone
must report fit for work and remain fit for work throughout their workday or shift and when on
scheduled call.

The following are expressly prohibited while on company business or premises:

 Use, possession, distribution and/or offering for sale of any drug (i.e., any substance, whether
legal or illegal, with potential to change or adversely affect how a person thinks, feels or acts).
 Unauthorized use, possession, distribution, and/or the offering for sale of beverage alcohol.
 Reporting for work under the influence of alcohol or drugs contrary to the company Alcohol &
Drug Practices.
 The use and/or possession of prescribed medications not authorized for personal use.

However, the use of prescription or over-the-counter (OTC) medications is permitted in


accordance with the terms of the company Alcohol & Drug Practices. This includes but is not
limited to the use of prescription or OTC medications in circumstances where: (i) the medication
is being used for its intended purpose and in accordance with physician/pharmacist/manufacturer
directions; (ii) the use of the medication does not adversely affect an employee’s ability to safely
work as per Ovintiv’s Fitness for Work Practice; and (iii) the other requirements of the company
Alcohol & Drug Practices are followed.

Investigation and testing procedures as set out in Ovintiv’s Alcohol & Drug Practices may be
used in support of this policy in appropriate circumstances. All company-wide testing procedures
and limits will be in accordance with the U.S. Department of Transportation and the U.S.
Department of Health and Human Services standards.

Ovintiv provides assistance by way of assessment, treatment, aftercare support, and resources
for employees who have substance dependency issues. Employees who have concerns or are
experiencing negative consequences associated with alcohol and drug use are required to
disclose such problems to Ovintiv and are encouraged to seek assistance through Ovintiv’s
Employee and Family Assistance Program (EFAP), human resources, their personal physician or

1 | Alcohol & Drug Policy


appropriate community services before job performance is impacted or violations of this policy or
its related practices occur.

Employees who disclose or seek assistance from Ovintiv regarding an alcohol or drug problem in
accordance with this policy and related practices will not be subject to discipline, provided
appropriate disclosure has been made or assistance sought before being identified for an alcohol
or drug test. However, an employee’s involvement in a rehabilitative program or seeking of
assistance after an incident has occurred or after a demand for the employee to undergo testing
under this policy and related practices will not prevent an employee from being disciplined or
terminated. An employee’s participation in EFAP or other assistance does not eliminate the
obligation to meet satisfactory levels of job performance or to comply with this policy and its
related practices.

Disciplinary action, up to and including termination of employment or services, will be taken


where Ovintiv determines violations of this policy and/or its related practices have occurred,
having regard to the circumstances. This policy and all related practices are subject to ongoing
review and may be modified from time to time by Ovintiv in its sole discretion.

Last revised: October 2018

2 | Alcohol & Drug Policy


Anti-Fraud Policy
Ovintiv is committed to protecting its reputation, information and assets from fraud. Fraud refers
to any intentional act or omission designed to deceive Ovintiv or others to secure a benefit, and
also includes fraud as defined by law.

This Policy applies to all individuals engaged in Ovintiv’s business including all employees,
contractors and directors. Contractors are expected to develop and enforce with their staff their
own anti-fraud policies and practices that are consistent with this Policy.

Any individual who has knowledge of an occurrence of fraud, or suspects that a fraud has
occurred, must immediately notify their leader, Human Resources Advisor or the Integrity Hotline.
Leaders must immediately report such information to Legal - Ethics & Compliance. Retaliation
will not be tolerated against any individual who reports a suspected fraud.

Ovintiv will investigate all fraud and suspected acts of fraud. Ovintiv is entitled to recover losses
by any legal means, including court-ordered restitution, to recover losses from the offender or
other sources.

Violations of this Policy may result in disciplinary action up to and including termination of
employment or contract, as applicable. Violations of this Policy may also be a violation of the law
and could result in civil or criminal penalties.

1 | Anti-Fraud Policy
Business
Code of
Conduct
TABLE OF CONTENTS

LIVING BY THE CODE 3

1
SAFETY 5
Environment & Social Responsibility 5
Health & Safety 5

2
INTEGRITY 6
Conflict of Interest 6
Prevention of Corruption 7
Securities Trading & Insider Reporting 7
Disclosure 8
Fair Dealing 8
Competition & Antitrust 8
Political Activities & Lobbying 9

3
RESPECT 10
Our Workplace 10
Privacy 10

4
TRUST 11
Anti-Fraud 11
Confidentiality 11
Acceptable Use of Information Systems & Company Assets 12
Maintaining Books & Records 13

About this Code


This Code provides highlights from our policies, practices and protocols. Please refer to Ovintiv’s external and
internal websites for these important documents and related resources.
LIVING BY THE CODE
SAFETY. INTEGRITY. RESPECT. TRUST.
To excel in executing our strategy and achieving our vision of “making modern life possible for all,” we must strive to
share, uphold and embody ethical and business principles that clearly set out how we do business, engage with each
other and the community. Despite our differences—in geography, culture, language and business—we are united by the
common principles in this Business Code of Conduct and a shared commitment to the highest standards of conduct.

We comply with and uphold all laws, rules and regulations which apply to our business in the countries in which we
operate, including the requirements of applicable securities commissions, regulatory authorities and stock exchanges.
But, for us, compliance with the law is not enough—we strive for more than that. Together, we are laying the foundation
for a culture based on our values—of building a workplace we can all take pride in. Making ethical decisions builds our
reputation and strengthens trust between each of us and our stakeholders.

As we continue to grow in a complex and ever-changing environment, we will all encounter difficult situations
where the path forward may not be as clear. This Code and related policies and practices will navigate us in the
right direction as we make ethical decisions and take accountability for maintaining integrity, transparency and
compliance in every aspect of our work.

This Code applies to directors, employees and contractors. Each of us has a responsibility to know the Code and
always abide by it. Our leaders are expected to lead by example and reflect what it means to “live by the Code.”
A violation of the Code or related policies and practices will result in disciplinary action as appropriate, up to and
including termination of employment or contract.

WE ALWAYS

Pause Think Act

Is the behavior unethical Speak Up! Ask questions


Does a situation make you
or illegal? Is the approach and seek help to make
uneasy? Are your instincts
consistent with our values the right decision. Talk it
telling you something
and culture? Would you through with leadership,
isn’t quite right? Pause
be uncomfortable talking human resources, the
and consider how to
about how the situation compliance team or
approach the situation
was handled? What might contact our Integrity
before making a decision.
the consequences be? Hotline.

Business Code of Conduct TRANSPARENT / ACCOUNTABLE / DISCIPLINE 3


SPEAKING UP
We all have a duty to report violations or potential violations of the law, regulations or the Code. We strive to create an
open environment where everyone is empowered to raise any concern or question about the law, ethics or the Code.
We expect all concerns to be raised in good faith.

If you observe or are made aware of something that may be unethical or illegal—Speak Up! We have several
resources available for guidance or to report a concern—leadership, human resources, the compliance team or our
Integrity Hotline.

NO RETALIATION
We do not tolerate any form of retaliation including threats, discrimination or discipline against anyone who reports a
concern in good faith or participates in an investigation. Retaliation is a violation of our Code and the law. Any act of
retaliation will result in discipline as appropriate, up to and including termination of employment or contract.

RESPONDING TO CONCERNS
We listen to all concerns and take all reports seriously. We are committed to investigating all good faith concerns.
Everyone is required to cooperate with investigations. Upon completion of an investigation, we will take all steps
necessary to correct the situation, including disciplinary action up to and including termination of employment or
contract, and will integrate proactive measures to prevent future issues.

Speak Up: Integrity Hotline:


We encourage you to speak to leadership, human This 24-7 confidential reporting service is operated by
resources or the compliance team an independent third-party. It allows you to remain
([email protected]). They are excellent resources anonymous upon request. To reach our Integrity
for talking through any concern. Hotline visit www.ovintiv.ethicspoint.com or call
toll-free in North America at 1.877.445.3222.

4 Business Code of Conduct TRANSPARENT / ACCOUNTABLE / DISCIPLINE


1. SAFETY
WE PROTECT OUR ENVIRONMENT, OUR COMMUNITY
AND THE HEALTH & SAFETY OF ALL AFFECTED BY OUR
ACTIVITIES

Environment & Social Responsibility


Our approach to sustainability and social responsibility is a vital component of our engagement with our stakeholders.
How we relate to our employees, our investors, the communities in which we operate and the public helps drive a
thoughtful balance between economic growth, the welfare of society and the environment.
We are committed to achieving environmentally conscious performance throughout the entire lifecycle of our
operations. Our approach to resource development continually focuses on innovation and efforts to minimize the
impact on the environment. As stewards of the environment, we integrate environmental and social concerns into our
planning and decision-making.

Health & Safety WE ALWAYS


We are all accountable for keeping ourselves, each other,
→ Comply with all applicable environmental,
our community and the environment safe from harm. We
health and safety laws, regulations, codes
believe that all workplace injuries, illnesses and incidents
and standards.
are preventable—if we can’t do it safely, we won’t do it at all.
→ Seek ways to minimize the impact of our
From the office to the field, we strive to proactively activities on people, communities and the
identify and effectively control the risks in our operations environment.
and ensure our expectations are clearly communicated
→ Integrate environment, health and safety
and observed by our employees, contractors, service considerations in our planning and
providers and vendors. decision-making.
We expect that everyone who works with us is fit for work. → Take Action—we do not ignore any
We provide a wide range of support and resources for perceived or actual safety issues.
our people to maintain their health and well-being. → Focus on prevention and early
identification of hazards.
→ Show up fit to do our work.

Remember: → Maintain a workplace that is free of alcohol


or drugs.
A component of our Life Saving Rules program
is a Stop Work program. Stop Work enables → Promote a culture of trust and open
everyone involved in an operation the authority communication about safety issues.
and responsibility to stop a task without retaliation
if they observe a situation that could impact
people’s safety or damage equipment. If at any
time a life saving rule is compromised, employees Learn More:
are trained to immediately engage the Stop Work
• Corporate Responsibility Policy
program to prevent an incident.
• Environment Policy
• Health & Safety Policy
• Alcohol & Drug Policy and Practices
• Weapons Practice
• Fitness for Work Practice
• Driver Distraction Practice

Business Code of Conduct INNOVATION / BIAS FOR ACTION / RELENTLESSLY IMPROVE 5


2. INTEGRITY
WE ACT ETHICALLY AND HONESTLY, HOLDING
OURSELVES TO HIGH STANDARDS AND TAKING
ACCOUNTABILITY FOR ALL THAT WE DO

Conflict of Interest GIFTS & ENTERTAINMENT


Business gifts or entertainment are intended to create
Conflicts of interest arise when our financial interests goodwill and sound working relationships, but they can
or personal relationships conflict or appear to conflict also impair or be seen to impair your objectivity, create
with our professional responsibilities or Ovintiv’s business an actual or perceived conflict of interest and negatively
interests. We must avoid these actual or perceived affect our reputation for fair dealing. Acceptance of a
conflicts as they can erode trust within the company gift or entertainment must be associated with a business
and harm Ovintiv’s reputation. A conflict of interest exists purpose, be of nominal value and infrequent. We must
when a relationship or activity may affect your judgment never allow these courtesies to influence our business
or ability to make decisions in the best interest of the decisions, create a sense of obligation or give the
company. appearance of bias.

The key is transparency. We must disclose all potential,


perceived and actual conflicts of interest as set out in
our Conflict of Interest policy. Some situations that must WE ALWAYS ASK
be declared are: if a family member works for Ovintiv
→ Is there a business purpose associated to the
or a company we do business with; if we (or our family
gift or entertainment?
or friends) hold ownership or financial interest in a
→ Is it of nominal value?
competitor, supplier, service provider or vendor company
that may influence our objective decision-making (other → Is it infrequent?
than as a less than 1% shareholder of a publicly-traded → Is it transparent?
company); if we own surface or mineral rights; or if we → Is this something to be discussed with, or
have outside employment. approved by, my leader?

WE DO NOT
→ Use our position or company resources to
influence or provide personal benefit or Remember:
monetary gain for ourselves, family or friends. Check the Acceptance of Gifts practice for specific
details on value and frequency.
→ Pressure co-workers into hiring vendors or
suppliers with whom we have a personal
relationship.

→ Take oppportunities that we discover through


our position to benefit ourselves, family or CORPORATE OPPORTUNITIES
friends. Consistent with our Conflict of Interest policy and
→ Accept gifts or take part in activities with Securities Trading & Insider Reporting policy, we do not
external stakeholders which may appear to take advantage of business or investment opportunities
influence our business decisions. discovered through the use of company assets,
information or our position for personal gain or to
→ Seek or continue outside employment (including compete with the company. We must bring forward all
a personal business) that conflicts with our such opportunities that could advance Ovintiv’s business.
position at Ovintiv.

6 Business Code of Conduct TRUST / ACCOUNTABLE / TRANSPARENT


Prevention of Corruption Information is considered “undisclosed material
information” when it could impact the market price or
value of a company’s securities if disclosed. You are
Soliciting, offering, accepting or paying bribes to obtain
considered an insider of a company when you receive or
or retain business for a competitive advantage or
have access to undisclosed material information.
for any other purpose is unethical, often illegal and is
prohibited when conducting our business. Bribes are not If you are aware of undisclosed material information
just cash—they can be anything of value. We must also about Ovintiv or another company, it would be unethical
avoid situations where our judgment might appear to and illegal to buy or sell securities, including financial
be influenced by such unlawful or unethical behavior. instruments, of that company. Similarly, you cannot
Giving or receiving gifts or entertainment of greater advise anyone else to make an investment decision
than nominal value can trigger serious reputational based on undisclosed material information. No one
and compliance issues for us as individuals and for the should have an unfair market advantage based on
company. information you possess.

We must be especially careful when interacting with Trading of securities can only occur once the material
public officials and representatives of state-owned information has been fully-disclosed to the public and
enterprises directly or through anyone acting on our at least one full trading day has passed following the
behalf. We also must keep an accurate record of our disclosure of such information.
interactions with foreign officials or representatives.
Certain individuals also are required to follow specific
insider reporting rules due to their position or role within
the company. These individuals are notified by the
What You Should Know: corporate secretary and receive additional training. In
addition, our policies do not allow you to purchase any
• Anything of value includes things such as cash,
financial instrument which would potentially provide you
gift cards, kick-backs, gifts, entertainment,
with a profit if Ovintiv’s share price should go down. If
loans, employment for friends and family, travel,
unsure about the application of our Securities Trading &
facilitation payments, sponsorships, charitable
Insider Reporting policy, please check with our corporate
donations, personal benefits or favors.
secretary.
• Public officials include government officials and
their immediate family, officers and employees
of government departments, government-
owned or controlled entities, candidates for WE DO NOT
political office, employees and officials of
→ Trade directly or indirectly in securities of Ovintiv
political parties or international organizations
if we have knowledge of undisclosed material
such as the United Nations.
information about Ovintiv.
• We must immediately report any requests for
payment, bribes, facilitation payments or other → Make transactions in which you could make a
improper incentives to the compliance team or profit if Ovintiv’s share price goes down (selling
through the Integrity Hotline. short, selling a “call option” or buying a “put
option”).

→ Tell or “tip” friends and relatives about any

Securities Trading & Insider undisclosed material information.

Reporting → Take any of the actions above related


to another company’s securities whose
undisclosed material information you learned
There are rules and restrictions that apply to all of us
about in the course of your work with Ovintiv.
when it comes to trading securities. Securities and insider
reporting laws are complex and violations can result in
severe penalties. Prior to engaging in any transaction of
Ovintiv’s or another company’s securities, please refer to
our Securities Trading & Insider Reporting policy.

Business Code of Conduct TRUST / ACCOUNTABLE / TRANSPARENT 7


Disclosure
WE DO NOT
We must ensure the consistent, transparent, balanced,
regular and timely public disclosure and distribution of → Discuss or agree with a competitor to divide
material and non-material information relating to Ovintiv territories, markets or customers.
and its subsidiaries. → Discuss or agree with a competitor to boycott a
certain service provider or vendor.
We also are required to provide full, fair, accurate,
timely and understandable disclosure in reports and → Share specifics of price, market share or other
documents that are filed with securities commissions, information with competitors, service providers
stock exchanges, financial regulatory authorities or business partners.
and in other public communications. Only those who → Abuse our position in the market to discourage
are designated as authorized spokespersons of the competition.
company may speak on behalf of Ovintiv. This includes
→ Make misleading or untrue statements about
any form of communication, including social media
platforms. our business.

Fair Dealing
We always deal fairly with our customers, suppliers,
contractors, industry and business partners, What You Should Know:
employees and all other stakeholders. We do not take
Agreements that violate antitrust laws do not
unfair advantage of anyone through manipulation,
need to be in writing—they can be informal—such
concealment, abuse of privileged information,
as texts or verbal agreements.
misrepresentation of material facts or any other unfair
dealing practice.

Competition & Antitrust


We comply with all applicable competition and antitrust
Learn More:
laws which are in place to prevent activities among
competitors that could unfairly control the market and • Conflict of Interest Policy
harm the consumer. We do not engage in activities that • Acceptance of Gifts Practice
would reasonably appear to be an unfair trade practice, • Prevention of Corruption Policy
unreasonable restraint of trade or an attempt to use a • Securities Trading & Insider Reporting Policy
dominant position to discourage competition.
• Disclosure Policy
• Competition & Antitrust Policy & Practice
Examples of Anti-Competitive Activity:
• Confidentiality Policy
• Bid-rigging
• Price-fixing
• Agreeing to divide up customers, territories or
markets
• Misleading or false claims about competitors
• Giving unfair advantage to a bidder in a sealed bid
process

Competition and antitrust laws are complex and


vary from country to country. If you are unsure of the
applicable laws or have questions about a situation that
may give rise to competition and antitrust issues, contact
the compliance team.

8 Business Code of Conduct TRUST / ACCOUNTABLE / TRANSPARENT


It is important to understand and follow our policies
Political Activities & Lobbying and practices regarding political and lobbying efforts,
including who may participate in political activities on
We support employees participating in political activities
behalf of Ovintiv, who is authorized to lobby on behalf
such as getting involved with political parties, candidates
of Ovintiv and restrictions on political funding. Other
or issues. When participating in such activities, it must
than routine and ordinary business interactions with
be made clear that the engagement is in a personal
regulators, everyone is required to consult with our
capacity and not on behalf of Ovintiv. We must avoid 1)
government relations team before engaging in any
attributing personal political statements, views or
activities or communications with the government.
affiliations to Ovintiv; 2) seeking reimbursement of
political donations through Ovintiv; or 3) using a position
with, or resources of, Ovintiv to serve personal political
purposes.
Learn More:
Similar restrictions apply to lobbying activities. Lobbying • Political Activities Policy
involves communicating with public officeholders
• Lobbying Practice
regarding legislative, regulatory or government
processes and outcomes. Ovintiv complies with all • Social Media Practice
applicable lobbying legislation and we are required to
report specified lobbying communications with officers
and employees of various levels of government or other
public officeholders.

Business Code of Conduct TRUST / ACCOUNTABLE / TRANSPARENT 9


3. RESPECT
WE TREAT EVERYONE WITH DIGNITY,
FAIRNESS AND RESPECT, AND SPEAK
UP TO UPHOLD THESE VALUES

Our Workplace
We embrace diversity, value unique perspectives of Learn More:
individuals and treat everyone with dignity and respect. • Respectful Workplace Practice
Consistent with that, we are committed to making fair
• Corporate Responsibility Policy
employment decisions. We strive to provide a work
environment that is aligned with our focus on respect, • Social Media Practice
innovation, teamwork and excellence.

We believe in maintaining a workplace that is free Privacy


from discrimination, harassment and violence. Any
behavior that interferes with work or creates an unsafe, We respect everyone’s privacy and are committed to
offensive, intimidating or hostile work environment will protecting all personal information that we collect, use and
not be tolerated whether it occurs on or off our premises, disclose in the course of conducting our business. Personal
including informal settings and online. Any form of information refers to information about an identifiable
discrimination whether based on race, ancestry, color, individual (except business contact information used for
ethnic origin, citizenship, religion, gender, sexual orientation, business purposes). We comply with all applicable privacy
age, family status, disability, or any additional ground laws and ensure appropriate safeguards are in place
protected by law is strictly prohibited. We do not engage in to maintain accuracy and confidentiality of personal
or condone discrimination, harassment or violence. information that the company holds or has control over,
including any personal information of stakeholders or
third parties entrusted to us.
Examples of Inappropriate Behavior:
• Jokes about someone’s race, gender, sexual
orientation or cultural background—including Our Responsibility
where there may not have been an intent to belittle. Immediately report any concerns about privacy. If
• Repeatedly shouting, yelling or using profanity at you become aware of or suspect a violation of our
work. privacy policies or practices, contact our privacy
• Unwanted physical contact or attention. office, the compliance team or information security.
• Threatened or actual violence whether or not
directed at an individual.
• Any behavior that could reasonably be interpreted
by others as violent, offensive, intimidating or Learn More:
insulting. • Privacy Policy
• Privacy Breach Practice

Our Responsibility
Speak up! We have an ethical and legal obligation
to report instances of inappropriate behavior
such as harassment or violence in the workplace. Remember:
All reports will be investigated promptly. Report to To protect confidentiality of personal information—
leadership, human resources, the compliance team it should not be shared with anyone, including
or through our Integrity Hotline. colleagues or business partners, unless they have
a clear business reason to know and you have
authority to share it.

10 Business Code of Conduct TRUST / ACCOUNTABLE / BIAS FOR ACTION


4. TRUST
WE BUILD AND MAINTAIN THE TRUST THAT
OTHERS PLACE IN US—AND THAT WE HAVE
FOR ONE ANOTHER

EARNING TRUST Confidentiality


Trust is the most important quality to Ovintiv in its
relationships with its stakeholders. Building and In the course of our work, we are regularly entrusted
maintaining the trust that others place in us—and with information that should be treated as confidential.
that we have for one another—is fundamental to our Confidential information may include information about
success. We earn trust by being truthful, delivering on our Ovintiv’s business, business partners, individual employees
promises and upholding our commitments. or other stakeholders. We treat all internal knowledge and
information about our business as confidential, unless
it has been previously shared through public disclosure.
Anti-Fraud Confidential information also includes all non-public
information that might be of use to competitors or
We must all ensure that Ovintiv’s reputation, revenue, harmful if shared.
property, information and other assets are protected
from fraud. Fraud is any intentional act or omission We must take care communicating and handling
designed to deceive the company or others to secure a confidential information. We always limit access to
personal benefit. Speak up immediately if you are aware confidential information on a need-to-know basis to
of or suspect fraud—no matter the size or value of the those who require it to do their job and are authorized to
fraud. We will fully investigate any suspected acts of receive it. We do not disclose any confidential information
fraud and pursue every reasonable means to recover unless specific authorization is given to do so or such
Ovintiv’s losses. disclosure is required by law.

Examples of Fraud: Examples of Confidential Information:


• Padding or falsifying expense statements. • Acquisition or divestiture activity
• Approving inflated or inaccurate invoices for a • Technical data
service provider or vendor, with the expectation
• Operational plans
of receiving a personal benefit from the them in
return. • Employee information

• Creating a fictitious company, then invoicing and • Vendor rate sheets


approving invoices from that company in your role
at Ovintiv.
• Manipulating financial results or operating data to
misrepresent actual performance.
Learn More:
• Confidentiality Policy
• Privacy Policy

Learn More:
• Anti-Fraud Policy
• Employee Expense Practice

Business Code of Conduct DISCIPLINE / ACCOUNTABLE / EXCELLENCE 11


Acceptable Use of Information
Systems & Company Assets Remember:

To protect our business, business partners and • Information is a valuable corporate asset. Do
stakeholders, we must ensure that we use corporate not discuss business in public places.
assets only for legitimate business purposes and • Do not share your Ovintiv network account
safeguard them from misuse, theft, waste, loss, damage, password with anyone or allow others to use
abuse or fraud. We also must protect intangible assets your account.
such as proprietary and confidential information. • Use care in drafting and sending all
communications, including texts. Think first
about how it may be interpreted and the
Examples of Company Assets:
possibility for redistribution beyond your
• Physical—such as office equipment, records, intended audience.
materials, equipment, vehicles and tools.
• Immediately report any cyber risks or incidents,
• Electronic—including information system assets such as improper access or theft, to information
such as PCs, laptops, phones, printers, applications, security or the compliance team.
servers and external storage devices. They also
include digital communications assets, such as
data, transmission systems, email, texts, instant
messaging systems, internet connections,
telephones and mobile phones.
• Intellectual property—such as patents, trademarks, Learn More:
trade secrets and copyrights. • Acceptable Use of Information Systems Practice
• Information Management Policy
• Ovintiv’s Information Security intranet site
Proper use of our assets includes responsible and
respectful use of our information systems as set out • Information Security Classification Practice
in our polices and practices . While some reasonable • Cybersecurity Practice
personal use of company information systems may • Mobile Device Acceptable Use Practice
be allowed, there is no expectation of privacy on such
• Social Media Practice
systems and Ovintiv reserves its right to monitor its
systems and networks. To protect our information • Facility Access Practice
systems, we must take precaution to prevent potential • Travel Practice
cyber risks. We always use approved networks and tools • Employee Expense Practice
for communication and data management and follow
• Fleet Practice and Procedures
all information security safeguards.

Q: Can I use my laptop to send personal emails?


A: Reasonable incidental personal use of company
information systems is acceptable. Use must not
violate company policies or practices or reduce
productivity. Never install unapproved software
or store any personal data on Ovintiv’s network.

12 Business Code of Conduct DISCIPLINE / ACCOUNTABLE / EXCELLENCE


Maintaining Books & Records
We must record and report information about our Remember:
business honestly and accurately. This information is • Follow controls and internal processes.
used to communicate transparently about our financial
• Review documents and invoices for accuracy
results and our operations. These reports fulfill our legal
prior to approving.
requirements and are used by stakeholders—including
our business partners, employees, shareholders and the • Do not create or relay documents which are
general public—to make important personal, business or false or misleading.
financial decisions.

To ensure the accuracy of this information, we


regularly review our business records and make and
report corrections when needed. The reliability of this
information also depends on each of us to report all
Learn More:
good faith concerns about any accounting, auditing,
• Records Management Practice
disclosure matters or controls. If you suspect that a
violation of the law or Ovintiv’s policies and practices • Records Retention Schedule
has occurred, report it confidentially using the Integrity • Disclosure Policy
Hotline. • Information Security Classification Practice
• Data Lifecycle Management Practice

Waivers and Amendments


Waivers of any provisions of the Code or its associated policies, practices and protocols will only be granted in
exceptional circumstances. No waiver can contravene applicable law, rule, regulation or SEC requirement. In the case
of executive officers and members of the Board of Directors, waivers can only be granted by the Board of Directors,
or designated Board committee, and will be publicly disclosed as required by law or regulation. Waivers for other
employees can only be granted by the General Counsel and must be fully-documented and filed with the assistant
corporate secretary.

Effective Date: March 1, 2020

Business Code of Conduct DISCIPLINE / ACCOUNTABLE / EXCELLENCE 13


Designed by labrador-company.com

Business Code of Conduct


SERVICE PROVIDER

EH&S Expectations Manual


v.5 January 2022
Service Provider Expectations Manual

Table of Contents

Safety Message................................................................................................................................................................ vi
1 Overview and Introduction ......................................................................................................................... 7
1.1 Purpose ................................................................................................................. 7
1.2 Prequalification and Performance Management ................................................... 7
1.3 Ovintiv Core EH&S Programs ............................................................................... 9
1.4 Written Program Exemptions............................................................................... 10
1.5 Regulatory Disclaimer and Industry Standards ................................................... 10
1.6 Ovintiv Policies and Acknowledgements ............................................................. 10
1.7 Management Commitment (Core) ....................................................................... 11
1.8 Subcontractor Management ................................................................................ 12
1.9 EH&S Verification and Audit (Core)..................................................................... 12
Internal Audits ..................................................................................................... 13
Ovintiv Audits and Inspections ............................................................................ 13
ISN RAVS Plus .................................................................................................... 13
Certificate of Recognition and Small Employer Certificate of Recognition (Canada Only)
............................................................................................................................14
1.10 Firearms and Weapons ....................................................................................... 14
1.11 Courtesy Matters ................................................................................................. 14
1.12 Life Saving Rules ................................................................................................ 14
1.13 Security and Security Investigations.................................................................... 16

2 Safety Training and Competency Management..................................................... 17


2.1 Safety Training (Core) ......................................................................................... 17
2.2 Safety Orientation ................................................................................................ 19
2.3 Supplemental Training Information (Canada)...................................................... 19
2.4 Site-Specific Orientation ...................................................................................... 19

3 Occupational Health and Industrial Hygiene Programs................................19


3.1 Alcohol and Drugs (Core) .................................................................................... 20
USA-Specific Alcohol and Drug Requirements ................................................... 21
3.2 First Aid and Emergency Medical Services (Core) .............................................. 21
3.3 Fit for Duty; Fitness for Work (Core).................................................................... 21
3.4 Health Hazard Assessment and Control (Core) .................................................. 22
3.5 Personal Protective Equipment (Core) ................................................................ 22
Fire Retardant Clothing ....................................................................................... 23

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Service Provider Expectations Manual

Hard Hats ............................................................................................................ 23


Safety Footwear .................................................................................................. 23
Eye and Face Protection ..................................................................................... 24
Hand Protection ................................................................................................... 24
Chemical Suits and Aprons ................................................................................. 24
Hearing Protection ............................................................................................... 24
Respiratory Protection ......................................................................................... 24
Other ................................................................................................................... 25
3.6 Personal Gas Monitors ........................................................................................ 25

4 Safety Program Requirements ..........................................................................................................26


4.1 Bear Management (Canada only) ....................................................................... 26
4.2 Confined Space and Permit-Required Confined Space ...................................... 26
Confined Space Permits ...................................................................................... 27
4.3 Dropped Objects Prevention ............................................................................... 27
4.4 Electrical Hazards ............................................................................................... 28
4.5 Emergency Preparedness (Core) ........................................................................ 29
4.6 Emergency Response and Incident Management (Core) ................................... 29
Case Management .............................................................................................. 30
STARS Registration (Canada only) ..................................................................... 30
4.7 Fire and Explosion Hazard Management (Core) ................................................. 30
Frac Fire Mitigation .............................................................................................. 31
Bonding and Grounding ...................................................................................... 31
4.8 Forklift, Powered Industrial Truck and Heavy Equipment Operations ................. 32
4.9 Ground Disturbance ............................................................................................ 32
4.10 Hazard Assessment and Risk Management (Core) ............................................ 33
4.11 Hot Work ............................................................................................................. 33
4.12 Hydrate Handling ................................................................................................. 34
4.13 Energy Isolation, i.e., Lockout/Tagout ................................................................. 34
4.14 Off-Highway Vehicles .......................................................................................... 35
4.15 Pipe Restraints and Iron Integrity Management .................................................. 35
Restraints ............................................................................................................ 35
Installation of Restraints ...................................................................................... 36
Iron Integrity Management .................................................................................. 36
4.16 Pre-Job Safety Meetings (Core) .......................................................................... 37
4.17 Purging ................................................................................................................ 37
4.18 Rental Lease Equipment ..................................................................................... 38

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Service Provider Expectations Manual

4.19 Rigging and Lifting ............................................................................................... 38


Equipment Inspection and Maintenance ............................................................. 38
Rigging ................................................................................................................ 39
Lifting ................................................................................................................... 39
4.20 Safe Vehicle Operations (Core)........................................................................... 40
4.21 Hazard Assessment and Safe Work Permit (Core) ............................................. 41
4.22 Short Service Employees (Core) ......................................................................... 41
4.23 Site Access .......................................................................................................... 42
4.24 Trenching, Excavation and Shoring .................................................................... 42
4.25 Walking Working Surfaces and Working at Heights ............................................ 42
4.26 Welding ............................................................................................................... 43
4.27 Working Alone ..................................................................................................... 44
4.28 Working at Night (Canada) .................................................................................. 44
4.29 High Pressure Exclusion Zone ............................................................................ 44
Red Zone/Exclusion Zone ................................................................................... 45
Iron Integrity and Inspection ................................................................................ 45
Iron Restraint ....................................................................................................... 45

5 Process Safety .......................................................................................................................................................... 45


5.1 Mechanical Integrity ............................................................................................ 46
Process Hazard Analysis .................................................................................... 46
5.2 Well Control Equipment and Well Control Barrier Systems................................. 46
5.3 Well Design ......................................................................................................... 47
5.4 Management of Change (MOC) .......................................................................... 47

6 Environmental Stewardship................................................................................................................... 47
6.1 Materials and Waste Management (Core)........................................................... 47
6.2 Spill Prevention, Reporting and Management (Core) .......................................... 48
6.3 Water Quality and Quantity ................................................................................. 48
6.4 Wildlife and Habitat ............................................................................................. 49

7 Business and Ethics ........................................................................................................................................... 49


List of Tables
Table 1: Ovintiv’s Life Saving Rules ...........................................................................................15
Table 2: Minimum Safety Training Requirements .......................................................................18
Table 3: Conditions Requiring Fall Protection Equipment ...........................................................43

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Service Provider Expectations Manual

Revision Summary

Revision History

Rev Description Date

4.2 Company name and template updated. Minor content updates throughout 29-Apr-2020

5 Added High Pressure Exclusion Zone. Minor content updates throughout. 31-Jan-2022

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Service Provider Expectations Manual

Safety Message
Safety is paramount at Ovintiv. It’s a foundational value, built into every job.

We believe that we are all responsible for our own safety as well as the safety of those around us. If we
can’t do it safely, we will not do it at all. It’s a commitment and passion reflected in the decisions we
make every day.

As a partner in our success, we expect our service providers to have the same level of commitment to
safety and ensure your company’s work is performed in a safe, responsible manner consistent with
Ovintiv’s standards and practices.

Ovintiv’s Stop Work Program is in place to enable anyone at any time the opportunity, and right, to stop
any job where there is a recognized unsafe condition. We view the ability to Stop Work as a
responsibility each of us have.

We strive very hard to provide a workplace free of recognized hazards. Our safety culture embraces the
belief that all injuries are preventable and that we want all employees to return home to their families at
the end of the day. Your commitment to these values is essential to each of us accomplishing these
goals.

Best regards,

Greg Givens Kim Williams


Chief Operating Officer Vice President, EH&S/Reg Affairs/Security

Page vi ©2022 Ovintiv Inc. All rights reserved. January 2022

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Service Provider Expectations Manual

1 Overview and Introduction

1.1 Purpose

This Service Provider Expectations Manual (SPEM) is intended to provide guidance to


Ovintiv’s service providers (and their subcontractors) regarding the mandatory
environmental, health, and safety (EH&S) program requirements necessary to work at
Ovintiv field locations. Service providers are expected to incorporate Ovintiv’s
requirements into their EH&S management system prior to commencing work under an
Ovintiv agreement. Ovintiv’s EH&S requirements are referenced in our service
agreements and contracts and are binding.
This document replaces all previous versions of the Service Provider Expectations
Manual and/or the Contractor Expectations Manual and is uncontrolled when printed.
Service providers are subject to the SPEM requirements, and are required to subscribe
to ISNetworld (ISN), if any of the following apply:
• The company performs services onsite in the field (including one-person companies).
• The company hires subcontractors or third parties to perform work onsite in the field.
• The company is a subcontractor, consultant, or third party (anyone) hired by an
Ovintiv service provider to perform work onsite in the field.
• The company trucks/transports to field locations and/or loads or unloads
deliverables.
• The company is an air charter carrier performing field-based services (e.g., aerial
photography).
• The company installs tagged equipment (e.g., pumps, compressors, vessels).
• The company installs bulk materials (e.g., pipe supply and install, concrete supply
and placement).
• The company is an Ovintiv designated vendor managed contractor (VMC).
The term “service provider” includes, but is not limited to, a company’s employees,
consultants, contractors, and subcontractors. In addition, the term “workers, staff, or
employees” is inclusive of subcontractors.
This document does not apply to offshore activities and operations.

1.2 Prequalification and Performance Management

One of the methods Ovintiv uses to strengthen its overall EH&S performance and
reduce EH&S risk is through consistent service provider prequalification and
performance management. To assist, Ovintiv uses a tool called ISNetworld (ISN). ISN is
used to prequalify service providers and to collect and review the service providers’
written EH&S programs, and other data, to ensure they meet Ovintiv and regulatory
requirements.

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Service Provider Expectations Manual

Ovintiv has specific criteria for service providers required to have an ISN account.
Ovintiv refers to these service providers as “ISN-Required”. To be qualified for work, all
service providers must maintain a PASS grade in ISN. Conducting work with a FAIL
grade may jeopardize the service provider’s ability to work for Ovintiv. Accountability for
maintaining an Ovintiv acceptable grade within ISN lies solely with the service provider.
Ovintiv uses the ISN bulletin board and email distribution system to communicate health
and safety program and training requirements, as well as EH&S alerts, advisories and
bulletins. Service providers are expected to view the Messages section of ISN and
activate all email alerts from Ovintiv.
Service providers subject to Ovintiv’s ISN prequalification (ISN-Required) shall:
• Maintain a current ISN subscription.
• Maintain current ISN contact information.
• Maintain a PASS grade; otherwise not be cleared to work on Ovintiv locations.
• Subscribe to applicable ISN notifications to ensure there are no lapses of scorecard
requirements.
• Maintain yearly Total Recordable Incident Frequency (TRIF) for the USA, maintain
quarterly Total Recordable Frequency rate (TRF) for Canada, and other related
statistics as required on Ovintiv’s ISN scorecard.
• Upload applicable certificates of insurance.
• Upload applicable Workers Compensation Board (WCB) (Canada) or Experience
Modification Rate (EMR) (USA) ratings.
• Read, acknowledge, and understand the Ovintiv’s SPEM. Service provider will
upload a signed acknowledgement form into the client specific section of ISN.
• Ensure that the key points of Ovintiv’s expectations are reflected in their EH&S
management system, which is communicated and adhered to by applicable workers
and subcontractors, and that documentation of this communication is maintained.
• Upload and maintain required written EH&S programs. Service providers’ EH&S
programs must be submitted through ISN RAVS for evaluation and scoring, which
will then be verified by Ovintiv throughout the supplier lifecycle, with the intent of
continuous improvement and consistent service provider EH&S performance
management.
• Complete the Ovintiv Safety Culture Questionnaire.
• Complete any additional Ovintiv ISN scorecard requirements.
Site visitors are not required to be subscribed in ISN. Visitor status may be granted to
non-operating personnel requiring access to Ovintiv field sites to attend meetings,
classroom training, planning work, or participating in tours. Visitors must obtain approval
before arriving on an Ovintiv field work site. Ovintiv site supervisors retain final authority
over the presence of visitors on field work sites even if other parties have approved the
visit. Site visitors always require an Ovintiv escort while at the work site to ensure their
safety.

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Service Provider Expectations Manual

1.3 Ovintiv Core EH&S Programs

At a minimum, service providers and their subcontractors are expected to develop,


implement and maintain all relevant EH&S programs and components listed in this
document.

OVINTIV CORE: The following programs are considered “core” programs and must be
included in the EH&S management system/safety program of all service providers and
their subcontractors regardless of the type of work performed:
• Management Commitment (Core)
• EH&S Verification and Audit (Core)
• Safety Training (Core)
• Alcohol and Drugs (Core)
• First Aid and Emergency Medical Services (Core)
• Fit for Duty; Fitness for Work (Core)
• Health Hazard Assessment and Control (Core)
• Personal Protective Equipment (Core) and Personal Gas Monitors
• Emergency Preparedness (Core)
• Emergency Response and Incident Management (Core)
• Fire and Explosion Hazard Management (Core)
• Hazard Assessment and Risk Management (Core)
• Pre-Job Safety Meetings (Core)
• Safe Vehicle Operations (Core)
• Hazard Assessment and Safe Work Permit (Core)
• Short Service Employees (Core)
• Materials and Waste Management (Core)
• Spill Prevention, Reporting and Management (CORE)
These programs are based on general safety practices and principles, as opposed to
being directly related to the type of work performed by service providers.
These programs will be populated in ISN under RAVS Requirements. Where ISN does
not have a RAVS requirement for the above listed programs, service providers must still
include them in their management systems. Ovintiv’s specific expectations for each of
these programs are addressed in this document. Further program expectations may be
included in ISN or within relevant regulations.

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Service Provider Expectations Manual

1.4 Written Program Exemptions

Service providers are asked to select their work type(s) when completing an ISN profile.
Work types are based on the work that the company is qualified or licensed to perform,
not on the specific scope of work that may be performed for Ovintiv (and shall include
the work type(s) of subcontractors).
The work type(s) selected in ISN determine the work-related safety programs that are
required, in addition to the core programs above. Ovintiv-specific expectations for work-
related safety programs are included in this document.
Ovintiv will not provide exemptions from written program requirements. It is each service
provider’s responsibility to make this determination and to provide adequate
documentation as to why a written program does not apply, and to make this
documentation available upon request.

1.5 Regulatory Disclaimer and Industry Standards

The information in this manual is intended for general use and may not apply to every
circumstance. It is not a definitive guide to all government regulations across the
jurisdictions in which Ovintiv operates, and it does not exempt the service provider from
its responsibilities under applicable regulations. Regulatory requirements supersede
those of this document, except in the case where Ovintiv’s requirements are more
stringent.
Service providers shall know and comply with all applicable laws, regulations, codes,
statutes, and any other regulatory requirements, as well as industry standard practices in
the jurisdiction in which they work. Service providers shall define a process for
identifying and complying with all applicable environmental, health and safety
regulations, as well as communicating and making this process available to workers and
subcontractors.
Ovintiv expects service providers to inform the Ovintiv site supervisor immediately if a
service provider or one or more of its workers are approached or contacted by a
regulatory agency or any member of the public, at any time regarding any aspect of work
on an Ovintiv location.

1.6 Ovintiv Policies and Acknowledgements

Ovintiv work sites and disciplines may have additional site- or scope-specific EH&S
requirements that the service provider is expected to follow. These will be identified to
the service provider during the contracting and planning phases of the work. Additional
policies and practices service providers are expected to follow are located on the
Current Suppliers page on Ovintiv’s website (www.ovintiv.com), in the Expectations and
Practices section.
If any doubt arises as to the meaning or interpretation of these requirements, or if any
conflict is identified between service provider policies or practices and those of Ovintiv,
service providers must consult with their Ovintiv site supervisor.

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Service Provider Expectations Manual

Ovintiv’s SPEM is incorporated by reference into all master service agreements (MSAs).
“Master service agreement” is a generic term that includes, but is not limited to master
service agreement, master service and supply agreement, master transportation
agreement, etc. Additional requirements may exist in service orders, blanket orders,
purchase orders and other agreements and contracts.

Appropriate disciplinary action, up to and including termination of


agreements, will be taken based on the severity of the violation and
individual circumstances for not following Ovintiv’s policies.

1.7 Management Commitment (Core)

OVINTIV CORE PROGRAM: Safety is a foundational value at Ovintiv and applies to


everyone involved directly and indirectly in our activities. As such, it is expected that our
service providers management is equally committed to safety.

The service providers EH&S management system/safety program must have an EH&S
management commitment component that meets industry best practices and applicable
regulations.

Service providers shall:


• Ensure adequate resources allocated to drive health and safety performance and
excellence.
• Ensure clear direction and expectations through health and safety policies.
• Establish, monitor compliance with, and enforce EH&S responsibilities for every level
of their organization including themselves.
• Engage and communicate with workers regarding EH&S performance standards and
expectations by:
o Being knowledgeable of the company EH&S management system and programs.
o Demonstrating leadership by setting and achieving personal and companywide
EH&S performance objectives.
o Visiting field operations and participating in safety tours, inspections, safety
meetings and campaigns.
o Monitoring completion of the EH&S related corrective actions and continuous
improvement objectives.
• Develop and implement such policies, practices, procedures, guidelines, training and
other programs to effectively meet or exceed Ovintiv’s EH&S requirements and
ensure their subcontractors are held accountable for Ovintiv’s policies, practices,
procedures, guidelines, training and other programs.

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Service Provider Expectations Manual

1.8 Subcontractor Management

Service providers are responsible for the subcontractors they bring onto Ovintiv
locations, including transportation companies. This section applies to those service
providers that employ subcontractors to work on Ovintiv work sites.
Service providers who have Ovintiv MSAs, contracts, purchase orders, etc. are
contractually responsible for prequalifying and managing any subcontractor that they
choose to engage. The named recipient of a contract to provide services to Ovintiv will
be held accountable to manage their subcontractors as per their own staff.
Service providers who utilize subcontractors must have a subcontractor management
component in their EH&S management system/safety program that meets industry best
practices and applicable regulations.
Service providers shall:
• Maintain and validate a list of selection criteria for subcontractors, which at a
minimum must include:
o WCB status and premium rate statements (Canada only).
o EMR (USA only).
o 3-year rolling Total Recordable Incident Frequency (TRIF) and other applicable
injury/incident statistics.
o Evaluation of subcontractor’s workers training and competency requirements and
records.
• Communicate Ovintiv’s health and safety program requirements and evaluation of
their capability to comply with the service provider’s safety program.
• Include subcontractor’s workers in orientations, hazard assessments, safety
meetings, and pre-job meetings.
• Have a process for conducting subcontractor health and safety assurance on Ovintiv
job sites.
• Have methods for taking responsibility for all subcontractor incidents, inspections,
leading/lagging indicators, and all resulting corrective actions.
• Identify a list of all subcontractors in Ovintiv Safety Culture Questionnaire.
• Maintain all prequalification documentation and provide to Ovintiv for review upon
request.
• Complete ISN’s RAVS protocol for subcontractor management (if assigned).

1.9 EH&S Verification and Audit (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a verification and audit component that meets industry best
practices and applicable regulations.

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Service Provider Expectations Manual

Internal Audits

Service providers shall:


• Conduct periodic internal audits and inspections of its work sites, equipment, tools,
and subcontractors, consistent with their own programs.
• Maintain records of these audits and inspections, making them available to Ovintiv
upon request.

Ovintiv Audits and Inspections

Service provider EH&S programs are initially evaluated by Ovintiv during the
prequalification process by evaluating and scoring ISN entries, as well as other
prequalification requirements.
EH&S performance of service providers is also verified in the field on a continual basis
by Ovintiv operational and EH&S workers, in the form of spot checks and inspections.
Ovintiv also conducts formal EH&S audits on service providers to ensure the
expectations communicated in this document are being adhered to through management
system and associated written program implementation. Ovintiv may require service
providers to submit their (and their subcontractor’s) EH&S program and performance
information to support Ovintiv’s evaluation & verification activities (prequalification,
audits, inspections, RAVS Plus, etc.).
Service providers are to provide full and diligent support for Ovintiv’s auditing activities
including site access, requested documentation, and availability of personnel for
interviews to Ovintiv personnel or third parties operating on Ovintiv’s behalf to conduct
any health and safety evaluation or verification activity.
If selected to take part in an EH&S audit, the service provider is responsible for the
following:
• Being readily available prior to, during and after the audit.
• Administration and logistics for the audit team including workspace, meeting space
and access to field locations, operations and workers.
• Providing relevant EH&S documents and records to demonstrate conformance to the
requirements listed in this manual.
• Addressing all corrective actions identified in the audit report.

ISN RAVS Plus

Ovintiv participates in ISN’s RAVS Plus program. ISN RAVS Plus is a records review of
assigned RAVS-required written programs by trained ISN auditors. While service
providers are not required to participate, Ovintiv encourages participation as a means of
supporting continuous improvement. Ovintiv may award points to the ISN scorecards of
service providers that take part in a RAVS Plus audit.

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Certificate of Recognition and Small Employer Certificate of Recognition


(Canada Only)

The Certificate of Recognition and Small Employer Certificate of Recognition program is


strongly encouraged for all service providers in Canada and is recognized within
Ovintiv’s ISN performance grading. Specific work groups or types within Ovintiv may
require a certificate of recognition (COR) or small employer certificate of recognition
(SECOR) to work for Ovintiv.

1.10 Firearms and Weapons

Dangerous weapons include but are not limited to firearms of any type (i.e., shoulder
weapons and handguns), archery bows, explosives, knives with a blade greater than
10 cm (4 in.), batons, electroshock devices (e.g., tasers, stun guns, etc.), martial arts
instruments and chemical agents.
The possession and/or use of dangerous weapons on Ovintiv premises, which include
but are not limited to leased or operated property, field locations, offices, buildings,
parking structures, in vehicles or on aircraft, are prohibited without explicit written
authorization from Ovintiv. This includes individuals licensed by a government authority.
All requests for authorized possession of a dangerous weapon shall be submitted to and
reviewed by Ovintiv corporate security, the operating area vice president, and will be
evaluated in consultation with the EH&S vice president.
Service provider personnel who observe a person in possession of a dangerous
weapon, as described above, on or in Ovintiv premises, shall immediately report the
occurrence to an Ovintiv site supervisor or authority.

1.11 Courtesy Matters

The Courtesy Matters® program is focused on respectful and courteous conduct in the
communities and work sites where Ovintiv operates. The program is designed to
minimize everyday disturbances that may occur in association with work activity. Being a
good neighbor in the communities where Ovintiv personnel live and work requires that
Ovintiv mitigates its impacts related to dust, noise, lighting, garbage and waste, traffic,
gates, and road and lease activities. This program is a shared responsibility of all
workers and demonstrates Ovintiv’s commitment to respectful and responsible
operations in the communities where it operates.
Courteous conduct is a prerequisite for maintaining Ovintiv’s social license to operate.
Courtesy Matters offers a benchmark for courteous behavior and reinforces Ovintiv’s
expectations for appropriate actions.

1.12 Life Saving Rules

Ovintiv has adopted the International Association of Oil & Gas Producers and Energy
Safety Canada’s Life Saving Rules (LSRs). These rules establish a consistent approach
to prevent serious injuries and fatalities. The opportunity to standardize LSRs across
industry reduces rule confusion and increases Ovintiv’s ability to deliver better safety
outcomes. See Ovintiv’s LSRs in Table 1 below:

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Table 1: Ovintiv’s Life Saving Rules

Confined Space Working at Height Work Authorization Energy Isolation Line of Fire
Obtain Protect yourself Work with a valid Verify isolation Keep yourself
authorization against a fall permit when required and zero energy and others out of
before entering a when working at • Confirm whether a permit is before work the line of fire
required.
confined space height begins • Position yourself to
• This HA/SWP is required for avoid:
• Confirm energy sources • Inspect fall protection hot work and confined space • Identify all energy
− Moving objects
are isolated. equipment before use. entry (CSE). sources.
− Vehicles
• Confirm the atmosphere • Secure tools and work • In addition to this HA/SWP, a • Confirm that
has been tested and is materials to prevent hazardous energy − Pressure releases
separate CSE-specific hazard
monitored. dropped objects. assessment is required for sources have been − Dropped objects
CSE. isolated, locked and
• Check and use breathing • Tie off 100% of the time tagged. • Establish and obey
apparatus when to approved anchor • Ensure you are authorized to barriers and exclusion
required. points while outside a perform the work. • Check that there is zones.
protected area. zero energy and test
• Confirm there is an • Understand the permit. for residual or stored • Take action to secure
attendant standing by. • Ensure guard rails are in energy. loose objects and
place. • Confirm that hazards are report potential
• Confirm a rescue plan is controlled, and it is safe to • Ensure isolation dropped objects.
in place. start. checklist is complete.
• Obtain authorization to • Stop and reassess if
enter (CSHA). conditions change.

Bypassing Safety Driving Hot Work Safe Mechanical Fit for Duty
Controls Lifting
Obtain Follow safe driving Control flammables Plan lifting Be in a state to
authorization rules and ignition sources operations and perform work
before overriding • Always wear a seatbelt. • Identify and control ignition control the area safely
sources.
or disabling • Do not exceed the speed • Confirm the equipment • Ensure you are in an
safety controls limit and reduce speed • Before starting any hot work: and load have been appropriate physical
for road conditions. − Confirm flammable inspected and are fit for and mental state to
• Understand and use • Do not use phones or material has been purpose. perform assigned
safety-critical equipment duties.
and procedures that
operate devices while removed or isolated. • Only operate
apply to the task.
driving. − Obtain authorization. equipment that you are • Commit to not being
qualified to use. under the influence of
• Obtain authorization • Ensure you are fit, rested • Before starting hot work in a alcohol or drugs.
before:
and fully alert while hazardous area: • Establish and obey
driving.
− Confirm a gas test has
barriers and exclusion • Inform a supervisor
− Disabling or overriding zones. immediately if you or a
safety equipment. • Follow journey been completed.
co-worker may be unfit
− Deviating from
management − Confirm gas will be • Never walk under a for work.
requirements. monitored continually. suspended load.
procedures.
− Crossing a barrier.

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Service Provider Expectations Manual

The Life Saving Rules apply at all times when carrying out work for Ovintiv or at Ovintiv
locations. Ovintiv encourages all service providers to integrate these Life Saving Rules
into their day-to-day tasks in the following ways:
• Pre-job planning.
• Safety meetings.
• Risk assessments.
• Observations and walkabouts.
• In the event of a stop work situation.

Service Provider personnel who observe a Life Saving Rule being


broken or compromised should Stop the Job if it is safe to do so.

This intervention may be the last chance to


prevent a serious injury or fatality from occurring.

It is crucial that service provider workers know and follow the Life Saving Rules when
performing work for Ovintiv or when working on an Ovintiv site. Ovintiv understands that
service providers may already have their own versions of Life Saving Rules. Ovintiv fully
supports service providers’ adherence to their safety standards, as long as these
standards align with Ovintiv’s.
Failure to comply with the Life Saving Rules when performing work for Ovintiv or when
working on an Ovintiv site will be fully investigated and work activity will be suspended
until corrective actions are developed and implemented. A service provider found to
have knowingly violated the Life Saving Rules will potentially be the subject of a review
disciplinary action, up to and including termination of the MSA.

1.13 Security and Security Investigations

Service providers are responsible for immediately reporting any security incidents (e.g.,
theft, trespassing, vandalism or destruction of property, illegal dumping, fraud, conflicts
of interest, disobeying the dangerous weapons policy, threats, etc.) to an Ovintiv site
supervisor. Ovintiv reserves the right to conduct reasonable suspicion searches or
inspections of people or property at any time, at its discretion, and with or without notice.
Such searches may include personal effects and vehicles if they are on or in Ovintiv
premises.

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Service Provider Expectations Manual

2 Safety Training and Competency Management


Service providers must fulfill minimum training and orientation requirements prior to
beginning work on Ovintiv locations. Service providers have the responsibility to provide
appropriate instruction and training to ensure that their employees and subcontractors
are competent to perform their jobs safely. The service provider is responsible for
providing safety and job specific training for its workers, unless otherwise stated in their
Ovintiv contract or agreement.
The cost of training delivered by third parties is the responsibility of the service provider.
Service providers whose business is based in one country but provides services in
another country are required to meet the training, orientation and competency
management requirements for the country in which the work will be performed.

2.1 Safety Training (Core)

OVINTIV CORE PROGRAM: All service provider’s EH&S management system/safety


programs must have a safety training and competency component that meets industry
best practices and applicable regulations.

Service providers shall also:


• Develop a matrix or table that meets Ovintiv requirements for basic health and safety
training.
• Establish and maintain a training matrix, which reflects the health and safety
orientations and training programs required to be completed by service provider
workers and subcontractor workers.
• Document certification, training and on-the-job training required and received by their
workers and subcontracted workers.
• Provide proof of individual training records upon request.
The minimum safety training requirements for Canada/USA are identified in Table 2
below:

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Table 2: Minimum Safety Training Requirements


Required in
Topic Comments
Canada USA
See Safety Orientation (Section 2.2) for
Safety Orientation yes yes
details.
General Safety Awareness: Satisfied through one of the following:
• Minimum of 10 hours training • OSHA 10
• One-time training no yes • OSHA 5810
• OSHA 10 – can use OSHA 510 • PEC SafeLand USA
(Construction) or OSHA 511 (General
Industry) depending on services provided • IADC Rig Pass

H2S
• H2S Alive® (Canada) yes yes
• H2S Certification (USA)
See Transport Canada’s Guidelines for
WHMIS yes no
Training Criteria for more information.

• Minimum of one crew member per work


location
First aid, CPR, AED yes yes
• Renewal varies depending on
accrediting organization
Required for service providers working in
Bear Awareness yes no
areas where bears may be present.
All workers utilizing a personal gas monitor
Detection and Control of Flammable or who will be using gas detection
yes no
Substances equipment must have basic level training
indicated within the Energy Safety Canada.

Fire and Explosion Hazard Management


(FEHM) Program Development Guide
To be completed by the service provider’s
electrical supervisor, manager and/or
director to acknowledge their understanding
Ovintiv Electrical Safety Orientation yes yes of the Ovintiv employer requirements for
electrical related work.
• Delivered via ISN
To be completed by workers performing
Ovintiv Ground Disturbance Orientation yes yes ground disturbance activities.
• Delivered via ISN
• Contact an Ovintiv site supervisor to
schedule. See Site-Specific Orientation
Ovintiv site-specific safety orientation yes yes • Must retake orientation if conditions
change or new hazards are identified at
the work site
Workers that coordinate the shipping,
Transportation of Dangerous Goods (TDG) yes no handling, and/or transportation of dangerous
goods.

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2.2 Safety Orientation

Workers are required to complete a safety orientation prior to performing work at any
Ovintiv operations site, and must show proof of completion when asked.
• In Canada, the Energy Safety Canada’s common safety orientation (CSO) is
required.
• In the USA, Ovintiv’s general safety orientation for service providers (GSOSP) is
required.
The CSO is available through third-party providers, while the GSOSP is delivered
through ISN.
To access GSOSP, service providers must create a user account in ISN for each person
who will be working on Ovintiv field sites, including all subcontractors. The orientation
may then be assigned to each worker through their individual profiles.

2.3 Supplemental Training Information (Canada)

Workers with certification in one jurisdiction may be considered to meet the minimum
provincial requirements (i.e., provincial equivalency) of another jurisdiction in the
following cases:
• Alberta (AB): If the worker has current first aid certification from an agency that is
appropriate in another Canadian jurisdiction, it is automatically recognized in Alberta,
provided the workplace first aider is competent in applying the legal requirements for
first aid in Alberta.
• British Columbia (BC): If the worker’s Alberta training certificate contains either the
word “industrial” or “workplace”, it is accepted as equivalent.

2.4 Site-Specific Orientation

Service providers entering an Ovintiv work site for the first time must receive a site-
specific orientation from the Ovintiv site supervisor. If work site conditions change or new
hazards are identified, individuals must have the site-specific orientation updated before
entering the work site.

3 Occupational Health and Industrial Hygiene Programs


The service provider’s EH&S management system/safety program must have an
occupational health and industrial hygiene component that meets industry best practices
and applicable regulations.
The service provider’s program must also address requirements identified in the
following sections.

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3.1 Alcohol and Drugs (Core)

OVINTIV CORE PROGRAM: Ovintiv prohibits the use, possession, distribution and sale
of illegal drugs, drug paraphernalia and alcoholic beverages as well as the misuse of
prescription and over-the-counter medications on or at its work locations. This includes
substances which may be legal in some states or provinces but is still prohibited by
federal law or Ovintiv policy.

Service providers are expected to:


• Develop and enforce alcohol and drug policies and practices that are consistent with
Ovintiv’s own policy and its related practices and agreements while conducting
business or providing services for, or on behalf of, Ovintiv.
• Provide proof of their applicable alcohol and drug policies and practices upon
request by Ovintiv.
• Cooperate with audits of those policies and practices as required to ensure
consistency with Ovintiv’s policies and practices.
Service providers are responsible for enforcing the requirements of their alcohol and
drug programs among their employees, subcontractors and workers who do business or
who work on Ovintiv premises.
Failure to have an acceptable policy and practice, or failure to take actions in
accordance with applicable policies and practices, may result in termination of the
service provider’s agreement for services with Ovintiv. For further details on service
provider responsibilities and specific USA and Canada requirements, see the Current
Suppliers page on Ovintiv’s website (www.ovintiv.com).
Ovintiv expects service providers to prohibit any worker from entering or remaining on an
Ovintiv work site while his or her ability to work is affected by alcohol or drugs, including
prescription and over-the-counter medications. Any service provider worker found in
violation of this requirement, or who refuses to cooperate with searches and tests
included in this program or the service provider’s policy, shall be removed by the service
provider from Ovintiv property, and barred from performing work for Ovintiv at any time
in the future. See Fit for Duty; Fitness for Work (Core) for additional information.
On property owned or leased by Ovintiv, Ovintiv reserves the right to search or inspect
service providers’ workers and property at any time, at Ovintiv’s discretion and with or
without notice. Such searches may include personal effects and vehicles. Ovintiv
routinely conducts canine drug and alcohol detection scans at its work sites.
Service provider workers directly involved in an EH&S incident or near hit may be
subject to a drug and alcohol test for determining whether the worker was fit for duty at
the time of the incident or near hit.

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USA-Specific Alcohol and Drug Requirements

Service providers must be enrolled in an Ovintiv-approved drug and alcohol consortium.


Service providers can choose to have their current consortium audited by TPS Alert or
utilize DISA Global to fulfill the consortium requirements. It is the service provider’s
responsibility to keep its worker rosters updated and to ensure employees are current on
random tests. New service provider workers will not be allowed to perform work on
Ovintiv work sites until their initial pre-employment drug test has cleared as negative.
Any service providers found to be in violation of this policy will be required to leave the
location. At all times, service providers’ testing forms shall be kept on location or at a
nearby collection site or clinic in sufficient quantities to test their site crews.

3.2 First Aid and Emergency Medical Services (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a first aid and emergency medical services component that meets
industry best practices and applicable regulations.

The service provider’s first aid and emergency medical services program must:
• Ensure at least one crew member per crew per shift is first aid and CPR certified.
• Ensure first aid supplies are readily available.
• Ensure first aid kits are adequate for the job and are inspected periodically to ensure
they are adequately stocked.
• Include preparations for transportation to the nearest health care facility in the event
of an incident.
• Ensure emergency eye wash equipment is readily available if chemical hazards are
present.
Medical service providers must be aware of any controlled products on the work site
(i.e., as identified on safety data sheets) and ensure appropriate first aid treatment and
facilities for the controlled products are in place.

3.3 Fit for Duty; Fitness for Work (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a fit for duty component that meets industry best practices and
applicable regulations.

Fitness for work applies to workers on schedule or on call for Ovintiv, on Ovintiv
premises, and during all business activities undertaken during Ovintiv’s operations,
whether conducted on or off company premises.
Ovintiv considers workers unfit for duty if injury, illness, physical or psychological health
issues, fatigue or the use of drugs or alcohol could result in a reduced ability to perform
work safely or effectively.
The service provider’s fit for duty program must:

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• Ensure employees are physically capable of performing their job functions.


• Require drug and alcohol screening for pre-employment, post-incident or reasonable
suspicion, as prescribed by the host facility.
• Include monitoring employee activities and behaviors to determine if employees
should be removed from the work site.
• Require workers to notify their supervisors if their ability to perform their duties safely
may be impacted due to a health issue; examples include, but are not limited to,
while taking medication (either prescription or over the counter), fatigue, use of drugs
or alcohol or when suffering from physical or psychological conditions.
• Develop, enforce and comply with fitness for work practices that are consistent with
Ovintiv’s Fitness for Work Practice on the Current Suppliers page on Ovintiv’s
website (www.ovintiv.com) in the Expectations and Practices section.

3.4 Health Hazard Assessment and Control (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a health hazard assessment and control component that meets
industry best practice and applicable regulations.

Service providers must also:


• Communicate chemical, physical, ergonomic, indoor air quality, and biological
hazard control procedures to affected workers.
• Create and implement exposure control plans for the following hazards if
encountered on site:
o Benzene
o Heat and cold exposure
o Noise
o Naturally occurring radioactive materials (NORMs)
o Silica
o Bloodborne pathogens
o Hydrogen sulfide (H2S)
• Not bring a hazardous chemical to, or utilize a hazardous chemical on, an Ovintiv
work location unless that material was expressly approved for use by Ovintiv.
• Submit an accurate inventory of all chemical, physical, and biological hazards on site
to the Ovintiv site supervisor, whenever necessary.

3.5 Personal Protective Equipment (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a personal protective equipment (PPE) component that meets
industry best practice and applicable regulations.

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Service providers must also:


• Wear, inspect, adjust, store and care for PPE and personal gas monitors in
accordance with manufacturers’ recommendations.
• Replace existing PPE with new and/or like-kind PPE, when the condition of existing
PPE renders it no longer effective.
• Provide appropriate training for their workers and subcontractors for the selection,
use, inspection, care and maintenance of PPE.
At a minimum, Ovintiv requires the following PPE to be worn on site, that meets or
exceeds regulatory minimum requirements.

Fire Retardant Clothing

Fire retardant clothing (FRC) must provide full-body coverage with reflective strips.
In Canada, FRC must meet or exceed the requirements in:
• NFPA 2112, Standard on Flame-Resistant Clothing for Protection of Industrial
Personnel Against Short-Duration Thermal Exposures from Fire.
• CGSB 155.20, workwear for protection against hydrocarbon flash fire and optionally
steam and hot fluids.
In the USA, FRC shall meet or exceed the requirements in NFPA 2112.

Hard Hats

Hard hats shall comply with ISEA Z89.1-2014, American National Standards for
Industrial Head Protection.
Ovintiv’s minimum requirement is a Type I, Class E hard hat. Metal, fiberglass and
Stetson-style hard hats may not be worn at Ovintiv locations or on Ovintiv work sites.
Head protection must be chosen to mitigate or control identified hazards, in the same
manner as helmets for off-road vehicle use.

Safety Footwear

In Canada, safety footwear must comply with CSA Z195, guideline for selection, care,
and use of protective footwear. It must also:
• Have either of these visible designs:
o Green triangle.
o Omega symbol.
o Be oil and acid resistant.
o Extend up the leg a minimum of 6 in.
In the USA, foot protection must comply with:
• ASTM F2412, Standard Test Methods for Foot Protection.

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• ASTM F2413, Standard Specification for Performance Requirements for Protective


(Safety) Toe Cap Footwear.
Protective footwear must extend above the ankle when worn according to manufacturer
recommendations. It is also recommended that footwear have an electrical hazard (EH)
rating.

Eye and Face Protection

Safety eyewear must be worn by service provider workers while at Ovintiv locations or
on Ovintiv job sites. All safety eyewear must be applicable to the task undertaken and
hazards encountered.
• In Canada, safety eyewear must meet CSA Z94.3, eye and face protectors.
• In the USA, safety eyewear must comply with ISEA Z87.1, American National
Standard Occupational and Educational Personal Eye and Face Protection Devices,
and be marked as such.
Service provider workers who wear prescription eyewear may either wear safety
eyewear over top of their prescriptive glasses, if the safety eyewear is designed to fit in
that manner, or may wear prescription eyewear with side shields.

Hand Protection

Hand protection is required where there is a likelihood that hazards may lead to hand
injury. Workers are responsible to assess, identify and control hand hazards prior to
completing the task. Service provider must evaluate and assign gloves specific to the
hazards of the task.

Chemical Suits and Aprons

Body protection from chemical and biological hazards is required when there is a
reasonable likelihood that the hazardous agent will encounter the body of the worker.
Refer to the safety data sheets of the chemicals in use for the appropriate PPE.

Hearing Protection

Appropriate hearing protection devices are required in areas in accordance with:


• Signage at Ovintiv locations.
• Measured noise levels between 85 dBA and 104 dBA.
• Hazard Assessment and Safe Work Permit (HA/SWP) requirements.
• Applicable regulations and standards.
Double hearing protection and signage is required at or over 105 dBA.

Respiratory Protection

All respirators must conform to standards set forth by the National Institute of
Occupational Safety and Health (NIOSH) and be NIOSH-certified.

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The use of SCBA/SABA is required under the following conditions:


• Atmospheres with less than 19.5% oxygen (deficient).
• Atmospheres with greater than 23% oxygen (enriched).
• Atmospheres with immediately dangerous to life or health (IDLH) levels; IDLH
conditions may require additional controls.
• Unacceptable atmospheres where air purifying respirators (APRs) cannot be used
such as for methanol or H2S.
• Atmospheres above the maximum use concentration (MUC) of APR.
• Unknown atmospheres.
Air purifying respirators (APRs) can only be used under the following conditions:
• Atmospheres with oxygen levels between 19.5% and 23%.
• Atmospheres containing contaminant concentrations above exposure limits but
below the IDLH or MUC.
Compressed breathing air must be of good quality and conform to the following
standards:
• In Canada: CSA Z180.1, compressed breathing air and systems.
• In the USA: CGA G-7.1, Commodity Specification for Air.
Compressed breathing air shall be recharged and tested every six months.

Other

Additional PPE may be required, based on the nature of the work to be performed, as
identified in the HA/SWP or risk assessment. Service provider workers must utilize PPE
that meets or exceeds regulatory or Ovintiv’s PPE requirements based on contract, task
needs, PPE assessment and/or safety data sheet requirements.
During the HA/SWP process, hair, jewelry and loose clothing that could potentially cause
an incident during operations shall be identified, and removed or controlled. The service
provider shall enforce a policy requiring workers to tie back, contain or cover excess hair
when working around moving equipment. Jewelry, including rings and watches, shall be
removed if wearing them interferes with the protection offered by PPE, or if they have
the potential to cause an incident during the work or job task.

3.6 Personal Gas Monitors

At Ovintiv work sites that can have a risk of exposure to an explosive or hazardous
atmosphere, the minimum gas sensor requirements are:
• Hydrogen sulfide (H2S)
• Carbon monoxide (CO)
• Lower explosive limit (LEL)
• Oxygen (O2)

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Personal gas monitors shall be:


• Worn unless an Ovintiv-approved risk assessment determines that they are not
necessary.
• Worn in the personal breathing zone (i.e., within 30 cm (1 ft.) of the face).
• Intrinsically safe.
• Set to meet or exceed regulatory guidelines.
• Bump tested and calibrated, at a minimum per manufacturer recommendations.

Service providers are expected to immediately evacuate a work site should their
personal monitor alarm, or the facility’s alarm, sound.

4 Safety Program Requirements

4.1 Bear Management (Canada only)

Service providers working in areas where bears may be present must undergo bear
awareness training as described in Safety Training (Core).
All bear activity on or near active Ovintiv work sites and any use of bear prevention tools
(e.g., bear spray, bear bangers, air horns, etc.) must be reported to the Ovintiv site
supervisor.

4.2 Confined Space and Permit-Required Confined Space

All CSE work at Ovintiv sites, whether in Canada or the USA, will be authorized using
the safe work permitting system. Service providers must comply with the provisions of
Ovintiv’s confined space permit. Entering a confined space associated with a work
activity is considered a high-risk task.
If the service provider’s work includes confined spaces or permit-required confined
spaces, then the service provider’s EH&S management system/safety program must
include a confined space or permit-required confined space component that meets
industry best practice and applicable regulations.
Authorization for entry to confined spaces can only be given by individuals who have
received proper training as required by their employer’s practice. Under no
circumstances will any service provider worker be allowed to enter a permit-required
confined space (PRCS) without proper authorization from a trained Ovintiv site
supervisor.
Service providers shall perform the following on work sites in either Canada or the USA:
• Define confined and restricted space and instruct their workers on identifying these
spaces and restricting entry.
• Ensure an Ovintiv HA/SWP and a CSE permit are both completed prior to entry; new
permits must be issued when work scope or work conditions change.

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• Conduct atmospheric testing no more than 20 minutes prior to any entry into a
confined space; documentation of testing must be posted at the entry point.
• Provide continuous mechanical ventilation during work in a confined space.
• Work is not permitted in spaces where the explosive limit exceeds 20% LEL.
Work sites in Canada must also perform the following:
• Document the hazard assessment of the work area that identifies hazards to which a
worker is likely to be exposed while in the confined space, and the controls required
to eliminate or mitigate the identified hazards prior to a worker entering a confined
space.
• Ensure service provider workers performing CSE work have completed CSE training
(Level II) and possess a valid training certificate.
Work sites in the USA must also perform the following:
• Ensure a CSE plan is created prior to entering a PRCS.

Confined Space Permits

A permit is always required for entry into a confined space. This may be an Ovintiv
permit or a service provider permit, depending on the confined space circumstances. If
there is any doubt, consult the Ovintiv site supervisor.
A permit alone is not adequate to satisfy regulatory requirements, and may need to be
accompanied by additional documentation (e.g., hazard assessments, staff logs,
atmospheric monitoring sheets, energy isolation checklists, CSE checklists, etc.).
Service providers are required to use these additional documents.
Any permit used for confined space must include at a minimum:
• Name of the confined space.
• Activities to be performed.
• Names of service provider workers allowed entry.
• Required precautions for the space.
• Time and expiration of the permit.
• A record of atmospheric testing with any specific numerical atmospheric finding.

4.3 Dropped Objects Prevention

If dropped objects hazards may exist, the service provider’s EH&S management
system/safety program must have a dropped objects prevention program that meets the
applicable expectations/requirements listed in the Dropped Object Prevention Scheme
Global Resource Center Recommended Practice.
This is required if the service provider’s work:
• Incorporates drilling, completions servicing, workover rigs, masts or derricks.
• Involves the use of portable tools and equipment at height.

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• Involves the handling or movement of oil country tubular goods (OCTG) or line pipe.
• Involves equipment that requires installing, removing or repositioning working
platforms, walkways, stairs, step ladders or guard-rails.
Service providers shall:
• Report all dropped objects to the Ovintiv site supervisor.
• Provide a dropped object risk awareness level orientation to their workers and
subcontractors that includes, at a minimum:
o Basic terms and definitions.
o Common causes of dropped object incidents.
o Identification of dropped object risk.
o The various controls that can be applied to mitigate dropped object risk.

4.4 Electrical Hazards

Service providers involved in work on Ovintiv-owned AC/DC systems operating at more


than 50 volts must have an electrical hazards component within their EH&S
management system/safety program that meets these industry best practices and
applicable regulations:
• CSA Z462, Workplace Electrical Safety.
• NFPA 70E, Electrical Safety in the Workplace.
Service providers shall:
• Design electrical systems in conjunction with industry standards and engineering
best practices.
• Ensure the electrical supervisor, manager and/or director has taken the Ovintiv
electrical safety orientation (via ISN) as outlined in Section 2.1.
• Assure worker competency in electrical safety.
• De-energize electrical equipment prior to working on the equipment; the only
exception is where complete disconnection is not feasible, which may include work
involving diagnostics or testing, or circumstances where disconnection could create a
greater hazard. Inconvenience or additional costs shall not be considered acceptable
grounds for not de-energizing electrical equipment prior to working on it.
• If work must be performed on energized electrical equipment, ensure that:
o Only qualified persons (as defined in CSA Z462 and NFPA 70E) interact with
electrical equipment while it is energized, including work on or operation of
electrical equipment while exposed to energized components. If acting as a
qualified person, a service provider worker shall provide credentials of qualified
status if requested by Ovintiv.
o Complete an electrical work pre-job hazard assessment, job briefing and
planning when working and/or interacting with energized electrical equipment per
CSA Z462 and NFPA 70E.

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o Complete an Energized Electrical Work Permit (EEWP) as needed when working


while exposed to energized electrical equipment per CSA Z462 and NFPA 70E.

4.5 Emergency Preparedness (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have an emergency preparedness component that meets industry best
practice and applicable regulations.

Service providers shall:


• Have a written emergency preparedness and response plan (ERP) available at the
work site, with appropriate contact information and emergency procedures; although
development and communication of the Ovintiv location-specific site safety plan is
the responsibility of the Ovintiv site supervisor, the service provider is required to
ensure that the contents of Ovintiv’s location-specific emergency response field plan
and its ERP are effectively communicated to its workers.
• Direct any media inquiries related to an incident to the Ovintiv incident commander.
• Follow Ovintiv emergency response field plans and/or ERPs when conditions dictate.
• Participate in any tabletop exercises or drills held on Ovintiv work sites when
requested.

OVINTIV
Operations Control Center (OCC): 1-866-244-0062
24-HOUR
EMERGENCY
Ovintiv Emergency Line (Canada only): 403-645-5911
NUMBERS

4.6 Emergency Response and Incident Management (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have an emergency response and incident management component that
meets industry best practice and applicable regulations.

Service providers shall:


• Report all incidents that occur on Ovintiv work sites or while engaged in Ovintiv-
authorized work to an Ovintiv site supervisor immediately.
• Provide all pertinent information post-incident as needed for the investigation.
• Participate in TapRoot® or other formal root cause analyses, as requested by Ovintiv.
• Perform root cause analysis of contractor’s or subcontractor’s incidents per company
processes, and provide these analyses to Ovintiv, as requested.
Service providers are expected to provide workers to perform Ovintiv work who are fit for
duty and are in a condition to carry out their day-to-day job duties safely. Workers who
are unfit for work due to injury or illness are expected to be managed in accordance with
the service provider’s disability management program.

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The service provider’s EH&S management system/safety program must have the
capability and appropriate policies, procedures and practices to initiate and support
injury case management issues, with the goal of returning an injured worker to a
meaningful level and type of work, as soon as can be achieved without causing harm to
the recovering worker or endangering other workers.
Service providers must extend the principles of injury case management to their
subcontractor workers on Ovintiv work sites.

Case Management

When an incident occurs and a service provider is injured or becomes ill in the
workplace, it is expected that case management services are provided to the injured or
ill party, to ensure the best possible outcome for that injured or ill party.
The onsite Ovintiv representative (i.e., supervisor, EH&S advisor or onsite medic) will
provide specific guidance on when case management is appropriate. Ovintiv also
provides access to case management, a 24/7 service, at no charge to any service
provider that does not currently engage a case management company.
In the event a service provider has its own medical case management services:
• In Canada: Ovintiv’s case management service will be contacted as determined by
an Ovintiv representative (supervisor, EH&S advisor or onsite medic) in accordance
with Ovintiv’s process.
• In the USA: The service provider must ensure that appropriate communication
occurs between the case management service and Ovintiv regarding the injured
worker’s status.

STARS Registration (Canada only)

In Canada, Ovintiv field work sites and activities are typically registered with the STARS
Emergency Link Centre (ELC). For work sites where no Ovintiv site supervisor is
assigned, prior to operations the service provider must register the site as an Ovintiv
work site with the STARS ELC, at 1-888-888-4567.
The STARS site registration number and the STARS ELC number must be posted at the
work site.
Upon completion of work, Ovintiv work sites are deregistered with STARS by Ovintiv.
For work sites where no Ovintiv site supervisor is assigned, service providers must
deregister the work site with the STARS ELC at 1-888-888-4567.

4.7 Fire and Explosion Hazard Management (Core)

OVINTIV CORE PROGRAM: Ovintiv sites are considered to contain combustible,


flammable, and explosion hazards. The service provider’s EH&S management
system/safety program must have a fire and explosion hazard management component
that meets industry best practice and applicable regulations.

Service providers shall:

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• Identify and control fire and explosion hazards specific to their work.
• Maintain all firefighting and fire suppression equipment in accordance with applicable
regulations.
• Comply with Ovintiv site-specific requirements for frac fire prevention and mitigation.
Additionally, in Canada service providers shall:
• Supply equipment and services that comply with Energy Safety Canada’s Fire and
Explosion Hazard Management Guideline (formerly IRP 18).
• Only allow personnel on Ovintiv work sites who have been trained under the above
Fire and Explosion Hazard Management Guideline, and who are able to provide their
company’s documentation, understand its content, and confirm that they have been
trained appropriately.

Frac Fire Mitigation

If the service provider’s work includes well completions and/or stimulation services, then
the service provider must follow Ovintiv’s minimum requirements in preventing and
mitigating frac equipment fires as listed below. Alternative methods may be used in
place of these requirements if they materially reduce risk to a similar level and are
approved by the Ovintiv senior manager accountable for the work.
Processes and controls to prevent fires:
• Effective implementation of an inspection and preventive maintenance program for
hydraulically driven equipment.
• Engineering controls (e.g., guards and/or barriers), to prevent loss of flammable or
combustible fluids from hoses, or limit the dispersion of these fluids should hose or
coupling failure occur.
• Processes and/or controls to mitigate impact if a fire occurs.
• Fire suppression system (permanent or portable) mounted on or stationed in direct
proximity of blending equipment.
• Pre-work site layout plan and staging that isolates flammable chemicals or
combustible materials, preventing fire from spreading and/or intensifying.
• Ability to remotely shut down frac equipment.
• Multiple means of personnel egress mounted on blending equipment, at locations as
far away as possible from ignition sources and flammable liquid hoses, and
positioned to allow safe evacuation in the event of a fire.

Bonding and Grounding

If the service provider’s work includes the potential for static electricity, then the service
provider’s EH&S management system must have a bonding and grounding component,
complete with procedures, that meets industry best practice and applicable regulations.

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Service providers must follow and adhere to Ovintiv’s Bonding and Grounding for the
Prevention of Fire and Explosion Hazards protocol, located on the Current Suppliers
page on Ovintiv’s website (www.ovintiv.com), in the Expectations and Practices section.
Ovintiv’s Bonding and Grounding for the Prevention of Fire and Explosion Hazards
protocol contains expectations for the following activities:
• Flammable liquid loading and off-loading procedures, including the requirement for
all diesel-powered equipment within a hazardous location to be equipped with a
positive air shut off (PASO) or manual shut off.
• Transfer of flammable liquids.
• Bonding and grounding of non-electrical equipment.
• Cleaning (i.e., steam or high-pressure wash).
• Bonding and grounding of electrical and non-electrical equipment.
• Other general requirements.

4.8 Forklift, Powered Industrial Truck and Heavy Equipment Operations

If the service provider’s work includes the use of forklifts, powered industrial trucks or
heavy equipment, then the service provider’s EH&S management system/safety
program must have a component for forklifts, powered industrial trucks and heavy
equipment.
Service providers shall:
• Perform pre-use inspections prior to the use of forklifts, powered industrial trucks and
heavy equipment.
• Ensure that only certified, trained service provider operators operate forklifts,
powered industrial trucks and heavy equipment.
• Present proper certifications to Ovintiv upon request.

4.9 Ground Disturbance

If the service provider’s work includes ground disturbance on Ovintiv locations, then the
service provider’s EH&S management system must have a ground disturbance
component that meets industry best practice and applicable regulations.
At a minimum, the service provider performing ground disturbance activities must:
• Ensure internal competency requirements are established and followed for
equipment operators and spotters.
• Ensure all service provider workers involved in ground disturbance activities have
completed the Ovintiv ground disturbance orientation prior to the initiation of ground
disturbance activities (accessible via ISN).
• Submit a One-Call locate request for the proposed ground disturbance activity.

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• Follow Ovintiv’s Ground Disturbance Protocol for Service Providers, located on the
Current Suppliers page on Ovintiv’s website (www.ovintiv.com), in the Expectations
and Practices section.
• Initiate work only after a Ground Disturbance Authorization Form has been
completed and approved by the ground disturbance supervisor.
• Ensure any required hazard assessment and safe work permits are in place prior to
the initiation of ground disturbance activities.

4.10 Hazard Assessment and Risk Management (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must include a hazard assessment and risk management component that
meets industry best practices and applicable regulations.

Service providers shall:


• Perform hazard assessments prior to tasks being performed at Ovintiv locations and
ensure proper protective measures are taken.
• Utilize a hazard identification (HAZID) program.
• Incorporate a structured process for both formal risk assessment (e.g., job hazard
analysis) and site-specific hazard assessment, including directions for when to
conduct formal hazard assessments versus field-level hazard assessments, and
when to repeat them.
• Manage work-related hazards, and to report such hazards to the Ovintiv site
supervisor.
• Maintain a recording and tracking database, as well as provide Ovintiv with records
and counts of hazard identifications, if requested.

4.11 Hot Work

Hot work is any work that could cause enough spark or flame to ignite flammables or
combustibles, that are present or could be present at a work location. Examples of hot
work include, but are not limited to:
• Welding
• Cutting
• Brazing
• Grinding
• Use of non-intrinsically safe power tools
• Sandblasting
• Steam cleaning

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There are some tasks other than those listed above that would also be classified as hot
work. If service providers are unsure, it is expected they engage Ovintiv site supervisor
for more information on whether a specific task is hot work and therefore requires a Hot
Work Permit.
Where there is a potential for fire and explosion, service providers are required to adhere
to all Ovintiv permitting processes for hot work (Hot Work Permit) as well as ensuring
that all non-intrinsically safe equipment such as cameras, cell phones, tablets, and
laptops are left in vehicles, offices or trailers.
In addition, service providers performing hot work shall ensure that:
• Hot work is relocated to a safe area at least 25 m (75 ft.) away from potential
flammable or combustible sources when possible. If relocation is not possible, a Hot
Work Permit shall be used.
• Hot Work Permits are issued, explained and witnessed by an Ovintiv permit
authorized individual.
• Potential combustibles (e.g., weeds and paper) are removed within a 10 m (35 ft.)
radius of the hot work performed.
• Where required, a fire watch trained in atmospheric monitoring and fire extinguisher
use, is appointed and notified of its duties, which include monitoring the hot work
area for the appropriate duration, as per local regulations.
• Permits are displayed during the hot work, and readings are taken and recorded, as
required.
• The Ovintiv site supervisor is notified when hot work has concluded.

4.12 Hydrate Handling

If hydrates are, or could be, expected to be encountered as part of the service provider’s
work, they shall be brought to the attention of the Ovintiv site supervisor and addressed
as part of the HA/SWP process.
Service providers are not to proceed with hydrate removal without:
• Direction from the Ovintiv site supervisor or immediate onsite supervisor.
• Having procedures and competency on hydrate handling.

4.13 Energy Isolation, i.e., Lockout/Tagout

If the service provider’s work includes, or is affected by, the energization or startup of
machinery and equipment, or the release of hazardous energy during service or
maintenance, then the service provider’s EH&S management system/safety program
must have an energy isolation and/or lockout/tagout (LOTO) component that meets
industry best practices and applicable regulations.
Service providers shall:
• Follow Ovintiv site-specific procedures for the safe isolation of energy in production
processes, facilities, and equipment using blanks, blinds, locks and tags.

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• Ensure all service provider workers and subcontractor workers understand and
follow the site work plan and energy isolation or LOTO procedures.
• Provide to Ovintiv workers who are competent with local regulatory requirements and
company’s energy isolation program and provide evidence of training upon request.
• Provide LOTO devices that meet local regulatory requirements.

4.14 Off-Highway Vehicles

Off-highway vehicles include, but are not limited to:


• All-terrain vehicles (ATVs), commonly referred to as quads
• Snowmobiles
• Argos
• Side-by-sides (UTVs)
Service providers must follow manufacturers’ instructions for operation of off-highway
vehicles. Prior to working for Ovintiv, service providers using off-highway vehicles must
be trained in the correct operation of the vehicle and use of appropriate PPE.
Off-highway vehicles must not approach or park within 7.5 m (25 ft.) of any wellhead,
piping, process vessel or tank containing combustible fluid or gases without prior issue
of a Hot Work Permit.
Operators and passengers of off-highway vehicles must wear Canadian Standards
Association (CSA) or Department of Transportation (DOT) approved or higher standard
helmets while vehicles are in motion.

4.15 Pipe Restraints and Iron Integrity Management

Service providers involved in work on temporary installations of pressurized piping and


hoses must have a pipe restraint and iron integrity management component in their
EH&S management system/safety program that meets industry best practice and
applicable regulations.
Service providers shall:
• Use qualified personnel when installing temporary, pressurized piping, hoses and
restraint systems.
• Adequately train their workers on the proper installation of temporary iron and
temporary union’s utilization.
• Incorporate a safety restraint system on all temporary, pressurized joint piping and
hoses.

Restraints

Acceptable restraints include:


• Flow line safety restraint (engineered nylon slings).

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• Wire rope safety lines not less than 11 mm (7⁄16 in.) in diameter.
Restraints shall be engineered to withstand the anticipated force encountered during a
failure. On straight pipe runs, restraints shall be installed across each hammer union or
other connection. On each 90-degree turn, a restraint shall be across each turn and
anchored to the nearest solid anchor point. Slack in restraints shall be minimized as
much as practicable while still allowing for assembly of the hammer union or other
connection covered.
Acceptable restraints must have the following:
• Installation instructions.
• Engineering specifications of the restraint system, including a site-specific plan,
intermediate anchor points, and attachment to the piping system.
• Precautionary information and limitations (e.g., the maximum pressure in the system)
and worker exclusion zones.
• Testing certification.
• Operating instructions for component use, maintenance, inspection and removal
from service.
• Certification by a professional engineer that the restraint system has been
engineered and is adequate for the purpose.

Installation of Restraints

At minimum, restraints shall be installed on all temporary pressurized piping and hoses
including all pressure testing equipment (wellheads, flow lines, pipelines, well control
equipment).
Restraints shall be attached to equipment and/or supports that can withstand the
anticipated forces encountered during a failure. Restraints are permitted to be anchored
to the flanged connection on the frac tree or wellhead.
All sections of temporary piping shall be installed so as not to impinge on fittings and
valves.
Restraints shall be installed in accordance with manufacturer’s and/or site-specific
procedures.

Iron Integrity Management

The service provider’s iron integrity management component shall include provisions for
the following elements and be available at the work site:
• Routine inspection, nondestructive testing and pressure testing all parts of the flow
piping system.
• Inspection testing procedures.
• Frequency of inspection and testing and how the frequency is determined.
• Criteria for rejection of a part and its removal from service.

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• Method of determining the frequency of replacing parts of the piping system including
the basis for replacement.

4.16 Pre-Job Safety Meetings (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a pre-job safety meeting component that meets industry best
practice and applicable regulations.

Service providers shall:


• Conduct pre-job safety meetings:
o At the start of each day.
o Prior to any new work activity and when there has been a change in work
activities for that day.
o At shift change.
o When a new worker joins the work group.
• Standardize pre-job safety meetings to include:
o Assessment of the hazards involved in each task (via the HA/SWP).
o Controls put in place.
o Recent incidents whether related to service providers operations or to similar
operations of other service providers and the corrective actions taken to prevent
similar incidents.
o Work permits required for performance of the work (e.g., hot work, confined
space, LOTO, energized electrical work, ground disturbance).
o PPE required.
o Safety data sheets for hazardous materials brought onsite.
o Emergency response measures, including evacuation routes and muster point.
o Occupational health and environmental hazards.
• Document pre-job safety meetings and make minutes available for review by Ovintiv
upon request.

4.17 Purging

Service providers involved in purging the contents of equipment, pipelines, and vessels
at facilities owned or operated by Ovintiv must have a purging component within their
EH&S management system/safety program that meets industry best practice and
applicable regulations.
Service providers’ programs must contain, at a minimum, the following:
• Measures to ensure a hazard assessment is conducted prior to purging, identifying
necessary controls must be completed and communicated to all workers. The hazard
assessment must consider any ventilation points and potential for fugitive emissions

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as well as the maximum allowable working pressure (MAWP) of the piping or any
fittings on the system.
• Purge procedures that meet all applicable regulatory requirements.
• Procedures to control or remove any harmful substance contained within equipment,
pipes, and pipelines to eliminate any possible hazard during repair or modification
work. Isolation equipment (e.g., blind flanges, double block and bleed, or other
approved methods) used for this purpose must be of sufficient rating to withstand
125% of the highest pressure anticipated.
• Measures to ensure that the Ovintiv lease operator is present and all paperwork
(e.g., HA/SWP, Facility Pipeline Handover Checklist) is completed before
pressurizing the system.

4.18 Rental Lease Equipment

These requirements apply when a service provider is renting or leasing equipment. It is


important to note that if any requirements are not met, Ovintiv may at its sole discretion
refuse entry of rental lease equipment on the work site.
Rental equipment must be:
• Safe for use and meet legislative and any other legal and regulatory requirements.
• Provided with maintenance and operations manuals.
• Operated by competent operators who employ the proper PPE.
Service providers providing rented or leased human occupancy shacks, wellsite trailers
or camps must have the following as part of their safety features:
• Carbon monoxide detectors.
• Propane leak detectors.
• Fire/smoke detectors.
• Any rented or leased equipment that can or does produce electricity or a static
charge must be bonded and grounded as per manufacturer’s specifications.

4.19 Rigging and Lifting

If a service provider’s work includes performing mechanical rigging and lifting for Ovintiv
field activities on behalf of Ovintiv, then the service provider’s EH&S management
system/safety program must have a rigging and lifting component that meets industry
best practice and applicable regulations.
Service providers shall ensure that the following expectations are met for rigging and
lifting on behalf of Ovintiv:

Equipment Inspection and Maintenance


• All lifting equipment utilized in lifting operations shall be inspected and maintained in
accordance with manufacturers’ recommendations and applicable regulatory
requirements; at a minimum, this equipment shall undergo a visual inspection before

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each use and a detailed examination by a competent person at least every 12


months or as prescribed by the equipment manufacturer.
• Legible load certification plates shall be affixed to all lifting equipment such as
cranes.
• All lifting accessories shall be legibly tagged or marked by the manufacturer with the
safe working load, a unique identification number and a valid certification date;
otherwise, they shall be removed from service. Any damaged equipment shall be
destroyed to prevent inadvertent use.
• Any equipment that has been involved in any of the following shall be pulled from
service and thoroughly examined before being placed back into service:
o An incident where rigging equipment has failed, or a load has been dropped or
subject to an unplanned shift.
o Overload.
o Modified, or subject to major repair to components.

Rigging
• Rigging of the load shall be carried out by a qualified/competent rigger.
• Hazards associated with rigging shall be identified on the HA/SWP and mitigated
before beginning work.
• Rigging equipment shall be certified for current use and in good working order based
on pre-use inspections.
• Objects shall be weighted prior to lifting to establish the load’s center of gravity.
• All loads are rigged appropriately and are free of possible restraints.
• Rigging equipment is only removed after the load is securely in place and free of
support from the crane.

Lifting
• Initiate lifting activities only after identifying hazards and associated controls on the
HA/SWP and reviewing site-specific procedures with all persons involved with the
activity.
• A crane lift will not commence without a lift plan for a routine crane lift, or a critical lift
plan for a critical lift.
• Lift plans are reviewed and approved by a qualified professional engineer prior to all
high-hazard lifts. A high-hazard lift is a critical lift where the load fulfills one or more
of the following conditions:
o It includes people.
o It is expensive.
o It involves equipment that would be difficult to replace.
o The load is maneuvered over people or energized equipment, including power
lines.

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• Develop and follow a critical lift plan for all critical lifts. A critical lift is a lift where the
load fulfills one or more of the following conditions:
o The load exceeds 75% of the crane capacity.
o The load is maneuvered over operating process equipment or wellheads.
o Two or more cranes are used for a lift (tandem lift).
o The lift is a blind lift (i.e., out of view of the crane operator).
o The load includes lifting personnel.
• Ensure that workers involved are qualified (BC and USA) or competent (AB) to
perform the duties of equipment operator, signaler or rigger.
NOTE: Lever load binders are prohibited from Ovintiv work sites. Only ratchet binders
are to be used.

4.20 Safe Vehicle Operations (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a safe vehicle operations component that meets industry best
practice and applicable regulations.

Service providers shall:


• Maintain compliance with applicable provincial, state and federal commercial motor
vehicle safety regulations.
• Maintain a driver distraction practice regarding the use of cell phones and other
electronic devices while driving and follow state or provincial regulations, including
not using cell phones or other electronic devices (including hands-free devices) while
a vehicle is in motion.
• Incorporate the use of industry-accepted hand signals for directing vehicles or heavy
equipment.
• Utilize pull-through, drive-through or back-in parking at all locations, where
practicable.
• Use a spotter, if backing a vehicle or heavy equipment on an Ovintiv work site.
• Adhere to established road routes and driving in accordance with Ovintiv’s Courtesy
Matters program.
• Ensure proper placement and securement of all loads.
• Maintain a staff transport procedure that is performed as per local regulations and
industry standards.
• Adhere to protocols for vehicles travelling on radio-controlled roads, ensuring that all
vehicles have a functioning two-way radio where the driver is monitoring appropriate
frequencies and making required calls.

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4.21 Hazard Assessment and Safe Work Permit (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a hazard assessment and safe work permit component that meets
industry best practice and applicable regulations.

Service providers shall:


• Prior to initiating work, prepare or revise, and sign a HA/SWP.
• Conduct work in accordance with their own companies’ HA/SWP programs.
• Follow established practices and procedures.
• Ensure workers onsite have reviewed and acknowledged or signed an HA/SWP
applicable to the work task, prior to initiating work.
• Seek clarification from the Ovintiv site supervisor concerning job hazards related to
the specific job scope of work or procedure.
• Stop work if requirements of the HA/SWP are not met, or if a hazard or condition not
covered in the HA/SWP is identified.
• Communicate HA/SWPs in a manner that enables service provider workers to
comprehend the scope and steps of work (e.g., language barriers shall be addressed
with an interpreter provided by the service provider).

4.22 Short Service Employees (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system must
have a short service employees’ component that meets industry best practice and
applicable regulations.

Ovintiv defines short service employees (SSEs) as workers with less than six months
experience in their assigned role.
Service providers’ programs shall include:
• Definition of new, young and short service worker appropriate to risk and role.
• Appropriate health and safety training, as determined by hazard assessment.
• Mentoring and effective supervision at the work site, including a mentor who is fluent
in the language the SSE understands best.
• Requirements that SSEs are visibly identified on location to distinguish SSEs from
other employees on location (e.g., green hard hat, sticker, etc.).
• A job skill competency assessment for removal of SSE status, that is in place.
• Requirements that SSEs do not make up more than 50% of a single crew at any
time.
Exceptions to these requirements require both a plan to mitigate the risks, and written
approval of the Ovintiv site supervisor.

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4.23 Site Access


Service providers are expected to follow Ovintiv’s site access control for field work sites
and restriction of access onsite when site conditions or activities warrant limiting
personnel in specific areas.
In addition, service providers shall ensure the following:
• The service provider company and workers have the authority to be on Ovintiv work
sites.
• The service provider’s workers have met minimum training requirements (including
orientations).
• The service provider’s workers wear the appropriate PPE
• The service provider’s workers have been provided with a site-specific orientation by
Ovintiv staff.
• The service provider company communicates site and restricted access
requirements as presented on site-specific orientations, including HA/SWP forms, to
their workers on Ovintiv work sites.

4.24 Trenching, Excavation and Shoring


If a service provider’s work includes performing trenching, excavation and/or shoring for
Ovintiv field activities on behalf of Ovintiv, then the service provider’s EH&S
management system/safety program must have a trenching, excavation and/or shoring
component that meets industry best practice and applicable regulations.
Service providers shall:
• Identify and control trenching, excavating, and shoring hazards specific to their work.
• Inform Ovintiv staff regarding potentially hazardous areas or activities.

4.25 Walking Working Surfaces and Working at Heights


If the service provider’s work involves walking working surfaces and/or working at
heights, then the service provider’s EH&S management system/safety program must
have a walking working surfaces and working at heights component that meets industry
best practice and applicable regulations.
Service providers shall:
• Have a fall protection and prevention program and follow it; ensure their workers are
competent.
• Ensure all workers working at height are properly trained in the use of fall protection.
• Ensure fall arrest equipment meets applicable regulatory requirements, shall be
inspected daily or before each use, and shall be used in accordance with
manufacturers’ recommendations.
• Ensure that personal fall arrest systems are supplied by the service provider and
worn as required by applicable regulations.

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• Ensure fall arrest systems used for working at heights meet the conditions stated in
Table 3 below if the potential fall is onto a hazard other than a solid, flat surface.
• Have rescue plans in place.
• Where man baskets are required, ensure that a professional engineer has certified
this equipment; workers in man baskets must be secured in accordance with
applicable regulatory requirements.
• Provide trained personnel with verification of training available on site.
Scaffolding shall be designed by a qualified person and shall be installed per that
design. Scaffolds will be constructed of suitable material for intended service.
Use or wear fall protection equipment at temporary or permanent installations under the
conditions listed below in Table 3:
Table 3: Conditions Requiring Fall Protection Equipment

Country Conditions

• A worker could fall more than 3 m (10 ft.).


• A worker could fall less than 3 m (10 ft.), but when there is a possibility that a
worker could sustain injuries more serious than those likely to result from
Canada landing on a solid, flat surface (i.e., over moving or rotating equipment, open
water tanks or tanks, ice, or heated surfaces).
• A worker could fall more than 1.2 m (4 ft.), but less than 3 m (10 ft.), in the
case of permanent installation where guardrails or other similar means of fall
restraint have not been provided.
• A worker could fall 1.2 m (4 ft.) or more.
USA • A worker could fall less than 1.2 m (4 ft.) onto dangerous equipment.
• A worker will be within 2 m (6 ft.) or less of a fall hazard.

Service providers must remove a fall protection system from service under the following
conditions:
• It is defective.
• It has encountered excessive heat, a chemical or other substance that may corrode
or otherwise damage the fall protection system.
• It has arrested a fall.
If a fall protection system is removed from service, it must not be reused until it has been
inspected and recertified as safe for use by the manufacturer or a professional engineer.

4.26 Welding
Welders and/or service providers shall be trained, certified, tested and competent in the
required welding procedures, and shall adhere to applicable codes, standards and
regulations while performing welding work.

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4.27 Working Alone

If service providers have workers that meet the jurisdictional definition of working alone,
then the service provider’s EH&S management system/safety program must have a
working alone component that meets industry best practice and applicable regulations.
Service providers’ programs shall include:
• A documented working alone hazard assessment.
• Identification of tasks and workers who at times might work alone.
• Strategies and procedures that address working alone scenarios and specific hazard
control methods.
• Records of working alone program implementation and usage.
• A system to monitor the location of its workers and to ensure their well-being in
working alone situations.
• A process to ensure its workers are competent in a service provider’s working alone
procedures and any associated equipment.

4.28 Working at Night (Canada)


A service provider working on an Ovintiv work site at night shall follow the requirements
of Energy Safety Canada’s Lease Lighting Guideline. Beyond this, service providers
shall ensure the following:
• Prior to commencing the first night shift, workers shall be given a minimum of 24-
hour notice to help prevent fatigue.
• If an Ovintiv site supervisor is not on site for non-routine night work, the service
provider must conduct a hazard assessment, including darkness-related issues; this
must include a review of the potential for increased wildlife activity and reduced
emergency response resources during night hours.
• For night work, service providers must wear high-visibility reflective vests or coveralls
with reflective stripes.

4.29 High Pressure Exclusion Zone


Service providers that perform high pressure completion activities on Ovintiv-owned or
operated sites must ensure that practices, risks, and mitigations for high pressure
fracturing are in alignment with the High Pressure Exclusion Zone Practice. The service
provider’s EH&S management system/safety program must have a high-pressure
exclusion zone component that meets industry best practice and applicable regulations.
Service providers shall:
• Understand and adhere to the High Pressure Exclusion Zone Practice.
• Service providers are required to have only qualified personnel engaged in red zone
high pressure operations and restraint installation.
• Provide adequate training on the High Pressure Exclusion Zone Practice.

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• Provide training records for all employee pertaining to the High Pressure Exclusion
Zone Practice upon request.

Red Zone/Exclusion Zone


• Red zone is defined as a distance of 30 feet from the wellhead in any open direction.
• The distance from the missile to the back of fuel tanks on the pumpers.
• Side of the blender closest to the fracturing manifold.
• Red zone boundaries shall be clearly marked with signage and safety barricades.
• Personnel entry or allowable work practice in red zone shall be defined in the
operational practice.
o Entry must be restricted to a time limit of 120 seconds maximum during each
stage treatment interval.
o In addition, the ground foreman must be observed by a spotter in constant radio
communication during the entire duration in the red zone.

Iron Integrity and Inspection


• All high-pressure treating iron (HPTI) shall be level 3 recertified at a minimum or
every six months.
• All reinforced wing unions shall be inspected per level 3 recertification every six
months, and all non-reinforced three inch-1502 wing shall be replaced upon six-
month inspection.
• Prior to starting operation on Ovintiv location service provider shall provide proof of
compliance with Level 3 certification within the last six months.
• All HPTI utilized on Ovintiv high-pressure completions is required to be identified via
banding for Level 3 recertification conformance.

Iron Restraint
• Restraints shall be installed on all temporary pressurized piping and hoses where
fluids are pumped through pipework. While performing fracturing operations, all high-
pressure lines shall be restrained per restraint manufacturers recommendations.
• Service provider shall inspect all restraints prior to placement. Documentation of the
most recent periodic inspection performed shall be maintained.

5 Process Safety
Process safety is a disciplined framework for managing the integrity of hazardous
operating systems and processes by applying good design principles, engineering, and
operating and maintenance practices. Process safety work is an activity tied into
processes that have the potential to release hazardous materials or energy. This section
applies to both regulated and non-regulated processes, equipment and facilities and is
based upon the specific work type of the service provider.

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Process safety applies to production, distribution, storage, utilities, and plant facilities
used in the petroleum industry. This includes process equipment (e.g., reactors, vessels,
piping, furnaces, boilers, pumps, compressors, exchangers, cooling towers, refrigeration
systems, etc.), storage tanks, active warehouses, ancillary support areas (e.g., boiler
houses and wastewater treatment plants), onsite remediation facilities, and onsite and
offsite piping under the control of Ovintiv.
If required based upon work type, the service provider’s EH&S management
system/safety program must have a process safety component that meets industry best
practice and applicable regulations.
Service providers’ process safety programs shall include the components described in
Sections 5.1 through 5.4.

5.1 Mechanical Integrity

If the service provider’s work involves mechanical integrity, service providers shall
ensure the following:
• All safety critical equipment used at Ovintiv locations is designed, installed, operated
and maintained per recognized and generally accepted good engineering practices
(RAGAGEP).
• Equipment, spare parts and maintenance materials are suitable for the application
for which they will be used.
• Management of change (MOC) procedures are followed if identical or like-in-kind
equipment is not available for repair/replacement.

Process Hazard Analysis

If the service provider’s work includes a process hazard analysis (PHA), service
providers shall:
• Participate in Ovintiv PHAs when requested and provide completed PHA reports with
recommendations to Ovintiv operating area leadership.
• Have the appropriate training, knowledge and experience in the specific PHA
methodology being used when acting as the PHA team leader.

5.2 Well Control Equipment and Well Control Barrier Systems

Service providers involved in well operations shall ensure that the appropriate equipment
and competent workers are supplied to meet Ovintiv’s well control equipment and barrier
system expectations. Service providers shall also ensure:
• Ovintiv’s well control equipment requirements and well control standard operating
procedures (SOPs) are communicated to all workers.
• The Ovintiv site supervisor is notified in the event of any potential conflicts between
the service provider’s practices and procedures and Ovintiv’s requirements that have
not been addressed in a bridging document.

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• Their responsibilities for well control incident avoidance are fulfilled (e.g., kick
monitoring), and workers are trained to take appropriate first steps to shut in and
secure a well when warning signs are detected.
• Barrier design and usage shall meet any applicable regulatory requirements.
NOTE: It is required in drilling, completions and production operations that at least
two well control barriers are in place. If a second barrier is not possible for the
operation, then another mitigation measure shall be included in the risk assessment
and work program.

5.3 Well Design

Service providers involved in well operations are responsible for ensuring they have a
copy of the current well program and fully understand their responsibilities prior to
conducting any work at a wellsite.

5.4 Management of Change (MOC)

The service provider’s EH&S management system/safety program must have a


management of change component that meets industry best practice and applicable
regulations.
The management of change component must include:
• Methods for identifying health and safety changes that could impact process and
worker safety.
• Areas requiring re-assessment of hazards and risks.
• Actions required for various risk levels of change.
• Communication techniques required for various risk levels, ensuring changes are
communicated to the service provider’s Ovintiv site supervisor before being
implemented.
• Documentation of MOC activities.
• The practice of recognizing potential changes and stopping work until the change
has been evaluated and approved.

6 Environmental Stewardship

6.1 Materials and Waste Management (Core)

OVINTIV CORE PROGRAM: The service provider’s EH&S management system/safety


program must have a materials and waste management component that meets industry
best practices and applicable regulations.

Service providers shall:

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• Comply with all applicable regulations governing waste, as well as any requirements
set forth in the service provider’s individual MSA.
• Ensure all chemicals and containers brought onto an Ovintiv location are removed at
the completion of the job; costs for the disposal of the materials are charged back to
the service provider if not removed from the invoice.
• Manage all wastes generated and/or disposed of on behalf of Ovintiv, in accordance
with instructions from the Ovintiv site supervisor.
• Segregate and dispose of all waste into the appropriate waste receptacles in a way
that minimizes the need and costs for disposal.
• Ensure wastes generated are transported by licensed transporters to an approved
facility for the specific waste type and that wastes are accompanied with the
appropriate documentation or shipping papers (e.g., Uniform Hazardous Waste
Manifest), if applicable.
Wastes generated solely by the service provider (e.g., used oil from rental equipment)
are the responsibility of the service provider to recover and dispose of properly offsite.

6.2 Spill Prevention, Reporting and Management (Core)

A spill is an unplanned discharge, disposal, leak, seep, pour or dump of any quantity of a
liquid or solid substance that is partially or wholly outside of its primary containment.
The service provider’s EH&S management system/safety program must have a spill
prevention, reporting, and management component that meets industry best practices
and applicable regulations.
Service providers shall:
• Have response procedures and resources for spills that may be generated by their
activities.
• Immediately report all spills on Ovintiv property to the Ovintiv site supervisor.
• Maintain contact information for emergency responders in addition to all pertinent
Ovintiv emergency contact information.
• Be responsible for cleanup of any spills they cause, at their expense; spill cleanup
shall be managed with Ovintiv site supervisor oversight.

6.3 Water Quality and Quantity

Water may not be removed from either a surface water or sub-surface source without
proper regulatory permits and authorization in place. Service providers shall verify with
the Ovintiv site supervisor to ensure withdrawal is permitted.
Service providers shall obtain all necessary approvals, licenses and permits for ground
water or surface use before performing work as directed by Ovintiv. No water will be
discharged without prior approval of the Ovintiv site supervisor, which includes approval
by the surface landowner, obtaining applicable permits, and/or proper tests and
documentation, prior to discharge (e.g., stormwater and hydrotest water).

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6.4 Wildlife and Habitat

Service providers shall respect wildlife and habitat on Ovintiv locations and report
potential wildlife or habitat impacts, identified during field activities, to the Ovintiv site
supervisor (e.g., bird nests and dead/injured wildlife).

7 Business and Ethics


All service providers of Ovintiv and its subsidiaries shall conduct business legally and
ethically.
Ovintiv maintains an integrity hotline to enable internal and external stakeholders to
confidentially and anonymously report any unethical, illegal or otherwise inappropriate
behavior they may observe.
Please contact Ovintiv, by any of the means listed below, to report any unethical, illegal
or otherwise inappropriate behavior:
Phone: 1-877-445-3222

Email: [email protected]

Integrity Hotline, c/o Ovintiv Canada ULC


500 Centre Street SE
Mail: P. O. Box 2850
Calgary, AB, Canada
T2P 2S5

Additional policies and practices that may impact service providers’ work at Ovintiv may
be found on Ovintiv’s website (www.ovintiv.com).

January 2022 ©2022 Ovintiv Inc. All rights reserved. Page 49 of 49


Go to: Table of Contents
Environment Policy
Ovintiv™ Inc. recognizes that responsible environmental practices contribute to growing shareholder
value and that strong environmental performance is both a foundational value and common goal of
Ovintiv’s leadership and workforce. This Environment Policy articulates our commitment to environmental
stewardship where our workforce is empowered and expected to comply with the provisions of this policy.

Ovintiv will:
 comply with environmental laws and regulations, requirements and recognized industry standards
and practices applicable to our activities

 ensure the competency of our workforce is verified and maintained in support of Ovintiv’s
environmental programs, initiatives and culture
 identify and assess environmental risks arising from our activities and adopt technically sound
and economically practicable measures to eliminate or mitigate the potentially negative
environmental impacts associated with such activities
 validate and improve our environmental programs by systematically evaluating our progress and
adjusting our actions consistent with changes in the industry and regulatory bodies
 strive to reduce emissions intensity and increase the energy efficiency of our operations
source, handle and dispose of water responsibly

 minimize habitat disturbance and protect plant and animal populations through effective planning
and responsible resource development
 expect our workforce to comply with our established environmental practices, and provide the
tools and training for them to do so
 communicate to our workforce our expectations regarding environmental performance and the
necessity for adherence to these expectations

 proactively participate as necessary in strategic environmental initiatives and in the development


of guidelines and legislation proposed by federal, state/provincial or local government entities
 communicate our commitment to environmental stewardship openly and effectively with
stakeholders to provide an understanding of our environmental policy, standards and practices
 integrate responsible environmental stewardship into our business planning and decision-making
processes
 monitor, measure and communicate to stakeholders our environmental performance

Ovintiv is committed to implementing this Environment Policy through the active participation of our
leadership and workforce, and through the integration of Ethos, our Operations Management System, into
our day-to-day operations and decision-making processes.

Updated September 15, 2021

1 | Environment Policy
Health & Safety Policy
Ovintiv™ Inc. recognizes that a robust health and safety culture contributes to growing shareholder value
and that strong safety performance is both a foundational value and a common goal of Ovintiv’s
leadership and workforce. We believe occupational injuries and illnesses are preventable, and we strive
for a workplace free of recognized hazards. This Health & Safety Policy articulates our commitment to a
safe and healthy workplace where our workforce is empowered and expected to comply with the
provisions of this policy.

Ovintiv will:
 comply with health and safety laws and regulations, requirements and industry standards applicable
to our activities

 ensure all personnel working on an Ovintiv location have the authority, responsibility and support to
stop work when an unsafe situation is recognized or suspected

 identify and assess health and safety hazards arising from our activities and adopt technically sound
and economically practicable measures to eliminate or mitigate the potentially negative health and
safety impacts associated with such activities

 ensure that our workforce understands that working safely is a condition of employment and that all
workers are responsible for their own health and safety as well as the health and safety of those
around them

 expect our workforce to comply with our established health and safety practices and provide the
tools and training for them to do so

 communicate to our workforce our expectations regarding health and safety performance and the
necessity for adherence to these expectations

 ensure the competency of our workforce is verified and maintained in support of Ovintiv’s health and
safety programs, initiatives, performance and culture

 commit to the continual improvement of our safety programs by setting health and safety objectives
and targets, and measure and monitor our performance through regular inspections, audits and
investigation of incidents. Use these results to develop, communicate and implement appropriate
corrective actions geared toward lasting improvement

 commit to safe and courteous driving by complying with the Driving Safety Program

 integrate health and safety stewardship into our business planning and decision-making processes

 commit to protect the health and safety of our workforce and the public

 commit to always doing what is right when it comes to the health and safety of our workforce and the

1 | Health & Safety Policy


public; if it cannot be done safely it should not be done at all.

Ovintiv is committed to implementing this Health & Safety Policy through the active participation of our
leadership and workforce, and through the integration of Ethos, our Operations Management System, into
our day-to-day operations and decision-making processes.

Updated September 15, 2021

2 | Health & Safety Policy


Environment, Sustainability and Governance

Human Rights Policy


Safety. Integrity. Respect. Trust.
Our Commitment to Human Rights
At Ovintiv TM, we recognize the fundamental importance of human rights and the need for all of
us to ensure these rights are upheld. Our respect for human rights is embodied in the ways we
operate and conduct ourselves—which are always guided by our foundational values of safety,
integrity, respect and trust. Respect for human rights is reflected in our Business Code of
Conduct, policies and practices, Supplier Code of Conduct and in how we interact with each
other and our stakeholders. Our Human Rights Policy applies at all of our locations and to all
employees as well as all contractors, service providers, business partners and suppliers who
also must meet our ethical standards.

As our governments continue their work to protect human rights locally and globally, we can all
do our part to advance human rights. Our commitment to human rights is guided by
international and national standards, including the following:

• United Nations Guiding Principles on Business and Human Rights.


• United Nations Universal Declaration of Human Rights.
• United Nations’ recognition that access to water is a human right.
• International Labor Organization’s Declaration of Fundamental Principles and Rights at
Work.
• Principles set out in the Organization for Economic Development Guidelines for
Multinational Enterprises.
• All applicable Federal, State and Provincial laws and regulations.

Labor Practices
Ovintiv is committed to providing a respectful, inclusive, healthy and safe workplace free from
discrimination, violence, intimidation and all forms of harassment, including sexual harassment.
We do not discriminate based on gender, race, color, age, national origin, religion, disability,
sexual orientation, marital status or any other grounds protected by law. We comply with fair
labor practices throughout our operations and all applicable workplace, employment, privacy
and human rights laws and standards.

1
Environment, Sustainability and Governance

Human Rights Policy


Our commitment to human rights means that we:

• Prohibit all forms of slavery, compulsory and forced labor, human trafficking, and child
labor.
• Ensure that anyone working on our sites is legally authorized to do so.
• Understand the important role our industry can play in identifying and preventing human
trafficking through increased employee awareness and working with our suppliers to
engage in programs to prevent human trafficking.
• Promote a respectful workplace.
• Do not tolerate any workplace harassment, including sexual harassment or bullying.
• Protect and promote women’s rights and gender equality.
• Do not tolerate any threats or acts of violence toward any of our employees or
contractors at any of our locations.
• Prohibit discrimination or harassment based on race, color, religion, national or ethnic
origin, sex, parenthood, sexual orientation, gender identity or expression, age, disability,
veteran status or other grounds protected by law.
• Comply with all applicable laws and regulations on freedom of association and
collective bargaining. We recognize our employees’ rights to join organizations for the
purposes of engaging in collective bargaining.
• Respect individual’s right to privacy and commit to ensuring compliance with all
applicable privacy and data security laws.
• Will not be complicit in human rights abuses or violations of human rights laws.
• Will perform human rights assessments as required within our operations.

Anyone who violates our policies and practices, including this policy, will be subject to
disciplinary action up to and including termination of employment, contract or supplier
contract.

Recognizing the Rights of Indigenous Peoples


Ovintiv recognizes the unique rights of Indigenous peoples and we are committed to working
with them to address concerns and any potential impacts of our operations on their rights. We
foster relationships with Indigenous communities in the areas in which we operate and partner

2
Environment, Sustainability and Governance

Human Rights Policy


with multiple organizations and participate in programs to enhance our relationship with
Indigenous groups. Our Indigenous Relations Guidelines set out our commitment to working with
Indigenous communities on economic development and community investment focused on
wellness, education and cultural preservation.

We are informed by the principles set out in the United Nations Declaration on the Rights of
Indigenous Peoples. Indigenous cultural awareness training is made available to all staff.
Support for Indigenous programs is an integral part of our community investment program.

Stakeholder Engagement
We engage with our stakeholders, including our employees, contractors, suppliers, service
providers, shareholders and community members to work together to have a positive impact
wherever we operate and to uphold our corporate responsibility. We listen to the concerns of
our stakeholders and integrate mitigating strategies into our operational plans, including those
that affect human rights. We strive to make meaningful contributions to the communities, our
industry, and to our society.

Safety & Security


Safety is of the utmost importance to us. We are committed to providing a workplace that is free
of violence, harassment, threats or intimidation. We strive to protect our people, our assets, and
our reputation wherever we operate. Our security group is a vital part of our EH&S team and
works to ensure a safe and secure workplace. Our security team is educated and trained
regularly to identify, prevent and mitigate any security issues, including security risks that may
impact human rights.

Accountability & Reporting


We are accountable to ourselves and our stakeholders in ensuring we uphold this Policy; we
proactively identify and remediate areas of potential concern and risk. We provide in-person
and virtual training regularly on our Business Code of Conduct and various policies and
practices that include education on human rights and respectful workplace issues. All staff must
complete annual training and acknowledgement of our Business Code of Conduct.

3
Environment, Sustainability and Governance

Human Rights Policy


Additionally, our suppliers must acknowledge and commit to our expectations and ethical
standards set out in our Supplier Code of Conduct and Business Code of Conduct, which
includes requirements of this Policy and our Respectful Workplace Policy.

Speak Up!
We all have a duty to report violations or potential violations of the law, regulations or our policies
and practices. We strive to create an open environment where everyone is empowered to raise
any concern or question about ethics or compliance with our policies and practices or the law.
We expect all concerns to be raised in good faith. If you observe or are made aware of
something that may be unethical or illegal—Speak Up! We have several resources available for
reporting a concern—to leadership, human resources, the compliance team or our Integrity
Hotline. The Integrity Hotline is an anonymous call line that is available to anyone 24/7 to report
concerns. We listen to all concerns and take all reports seriously. We are committed to
investigating all good faith concerns in a timely manner. We will take all actions necessary to
remediate and prevent further issues from arising.

We do not tolerate any form of retaliation including threats, discrimination or discipline against
anyone who reports a concern in good faith or participates in an investigation. Retaliation is a
violation of our Business Code of Conduct and the law. Any act of retaliation will result in
discipline as appropriate, up to and including termination of employment or contract.

Policy Date: November 2020

4
2021

Indigenous Relations Guidelines

Ovintiv Inc. Economic Development


Ovintiv™ Inc. is one of the largest producers of oil, Ovintiv’s supply management services objective is
condensate and natural gas in North America. to achieve best value in goods and services. We are
The Company is committed to preserving its committed to working with Indigenous communities
financial strength, maximizing profitability through to develop their capacity to participate and benefit
disciplined capital investments and operational from business opportunities associated with
efficiencies and returning capital to shareholders. Ovintiv’s operations.
A talented team, in combination with a culture of • Providing timely information about potential
innovation and efficiency, fuels Ovintiv's economic contracting and employment opportunities to
performance, increases shareholder value and Indigenous communities.
strengthens its commitment to sustainability in the • Encouraging service providers to draw upon the
communities where its employees live and work. local labour force in the Indigenous communities for
Ovintiv strives to develop and maintain strong employment opportunities.
relationships within our key operating areas— • Working with communities, businesses and individuals,
creating value by facilitating sustainable operations to ensure they are given fair opportunity for contracts
and enhancing the Company’s public reputation. and services—based on competitiveness and the
ability to meet Ovintiv standards.
Our foundational values guide our day-to-day
relations with Indigenous communities. These • Maintaining vendor lists of local Indigenous businesses.
principles include safety, trust, respect and integrity. • Considering ways to approach new business
opportunities at the community level.
Indigenous Relations
Our Commitment
Ovintiv’s Indigenous relations team focuses on
building, enhancing and maintaining positive To promote understanding and effective
relationships in the community through several communication, Ovintiv employees will have access
approaches. to Indigenous awareness training. The Company
• Respectfully engaging with local Indigenous will continue to progress its business needs by
community representatives when our activities supporting the development and sustainability of
may impact their communities. strong and healthy communities. Through a multi-
• Seeking input on proposed development to encourage disciplinary approach, our employees will collaborate
meaningful inclusion for those who may be affected to succeed in following these guidelines.
by our operations.
• Conducting our business in an environmentally Contact Us
responsible manner—meeting or exceeding policies
Tyson Pylypiw, manager
and regulations.
Indigenous and Tribal Relations
• Supporting community wellness goals through 403.645.5116
appropriately identified educational and training
opportunities.
• Supporting cultural initiatives to enhance pride within
Indigenous communities.
Lobbying Practice
Ovintiv actively participates in the political process, with the goal of informing policymakers and
regulators about our business and advocating for policy solutions that mutually benefit the
communities in which we operate, our industry, our company and our shareholders. Ovintiv is
committed to the highest ethical standards in all our relationships with government and
participates in public policy advocacy by communicating in a legal and appropriate manner on
issues that impact Ovintiv’s business. At all times Ovintiv’s advocacy and lobbying activities will
be conducted in conformance with the Company’s Political Activities Policy, this Lobbying
Practice and in strict conformance with the laws and regulations for Lobbying in the jurisdiction in
which the lobbying activity is being conducted.

What is lobbying?
Lobbying is communication in any form with elected officials and certain civil servants of the
federal, provincial, state or municipal governments (“designated public office holders”) f or the
purpose(s) of :

 Developing or amending laws, regulations, policies, guidelines, etc.; or


 Obtaining a financial benefit, such as a grant or contribution.

Lobbying does not include:

 Stakeholder consultations on policy proposals in an open forum that are a matter of public record;
 Inquiries to gain publicly available information;
 Communications relating to enforcement, interpretation, or application of any current law,
regulation, directive, guideline, policy, or program; or
 Submissions (either oral or written) to parliamentary or legislative committees or bodies that are a
matter of public record.

Who is a lobbyist?
For the purposes of this Practice, lobbyists are:

 Employees and directors whose federal lobbying activities make up 20 percent or more of their
duties; and
 Employees and directors who undertake any federal, state, provincial or municipal lobbying
activities.

For the purposes of this Practice, communications between Ovintiv staff that lead advocacy
efforts on behalf of an industry association, such as the American Petroleum Institute or the
Canadian Association of Petroleum Producers) or and designated public office holders, in the
manner described above, also constitutes “lobbying”.

1 | Lobbying Practice
Ovintiv also contracts Consultant Lobbyists to engage in lobbying activities on behalf of Ovintiv.
Government Relations is responsible for engaging such Consultant Lobbyists and monitoring
these relationships. Ovintiv employees, contractors and directors shall not engage Consultant
Lobbyists without the prior written consent of Government Relations.

How must lobbying be reported?


To ensure that Ovintiv is compliant with its obligations under the applicable lobbying laws, it is the
responsibility of managers and other senior employees with direct reports that are engaged in
lobbying to ensure that lobbying activities are reported to Government Relations.

Government Relations is accountable for Ovintiv’s lobbyist registrations and associated reporting
and will steward them accordingly.

Consultant Lobbyists will steward their own registrations and reporting accordingly.

*Terms bolded and italicized in a policy or practice are defined in the Policies & Practices Glossary and such definitions are
incorporated by reference into such policy or practice to the extent used therein.

2 | Lobbying Practice
Policies and Practices glossary
A

access only: sometimes referred to as “Administrative Access”; these are individuals who
require access to Ovintiv’s buildings, systems or worksites, but are not performing work that is
part of our business. They are typically workforce members of Service Provider companies or
partner organizations. Examples include Auditors, cleaning services, movers, etc.

alcohol: the intoxicating agent in beverage alcohol, ethyl alcohol or other low molecular weight
alcohols including methyl or isopropyl alcohol.

base salary: monetary compensation, excluding benefits or any savings plans, premiums,
allowances or bonuses of any sort.

beverage alcohol: beer, wine and distilled spirits.

blood alcohol concentration (BAC): the amount of alcohol in the bloodstream or on one’s
breath. BAC is expressed as the weight of ethanol, measured in grams, in 100 milliliters of blood,
or 210 liters of breath. BAC can be measured by breath, blood, or urine tests.

broad dissemination wire service: an approved news wire service that provides simultaneous
national and/or international distribution.

cash flow at risk (CFaR): a measure of the variability of cash flow for the company that will be
realized over a given time interval (e.g. one year) at a given level of confidence.

company/corporation: Ovintiv Corporation and/or its subsidiaries, as may be applicable.

company business: all business activities undertaken in the course of the company’s
operations, whether conducted on or off company premises. It includes those situations when an
employee is representing, or could reasonably be perceived as representing the company in the
performance of their duties.

company premises: includes, but is not necessarily restricted to, all land, property, structures,
installations, vehicles, and equipment owned, leased, rented, operated or otherwise directly
controlled by the Company for the purpose of conducting company business.

company testing administrator: the person responsible for overseeing the Alcohol and
Drug Practice.

1 | Policies and Practices Glossary


company testing administrator (Occupational Health Advisory): employed by Ovintiv with
responsibilities for such areas as:

 Helping supervisors arrange reasonable-grounds and post-incident testing


 Receiving test results and managing test records
 Providing guidance to service providers engaged to conduct testing
 Evaluating and modifying testing programs as needed
 In Canada, assisting teams in establishing and implementing testing programs

confidential information: includes all non-public information relating to the business and affairs
of Ovintiv or another party (where the context demands, whether publicly-traded or not) that
might be of use to competitors, or harmful to Ovintiv or the other party, if disclosed. Confidential
information includes undisclosed material information.

confirmation test (alcohol): a second test conducted 15 minutes after the initial (screening) test
that provides quantitative data of alcohol concentration.

confirmation test (drug): a second analytical procedure to identify the presence of a specific
drug or metabolite which is independent of the initial (screening) test.

contingent workforce: refers to all individuals deemed non-employees, including Contractors,


Service Providers and Access Only.

contractors: an individual retained or engaged by Ovintiv to perform a variety of services that


may or may not be core to the business and supplement the Workforce for a specified unique
skill, project and/or period of time. Individuals performing the services may be selected by Ovintiv
but are employed by a third-party entity, which provides the business infrastructure to
independently employ and manage Contractors. Third-party entities may also supply one or more
specific individuals to perform a service from their own existing deployable Workforce (e.g.
professional or technical specialists, temporary staffing agencies). Given the temporary nature of
the services, individual Contractors should not be engaged for activities with a duration greater
than one year.

corporate information: any information relating to the business and affairs of Ovintiv, whether
owned by Ovintiv or another party.

corporate responsibility: encompasses the corporate response to the governance, ethical,


financial, economic, environmental and social performance issues facing today’s corporations.
Ovintiv’s commitment to corporate responsibility is outlined in the Corporate Responsibility
Policy.

Department of Transportation (DOT): these terms encompass all DOT agencies, including, but
not limited to, the United States Coast Guard (USCG), the Federal Aviation Administration (FAA),
the Federal Railroad Administration (FRA), the Federal Motor Carrier Safety Administration
(FMCSA), the Federal Transit Administration (FTA), the National Highway Traffic Safety

2 | Policies and Practices Glossary


Administration (NHTSA), the Pipeline Hazardous Materials and Safety Administration (PHMSA),
and the Office of the Secretary (OST). These terms include any designee of a DOT agency.

Designated Employer Representative (DER): an employee authorized by the company to take


immediate action(s) to remove employees from safety-sensitive duties, or cause employees to be
removed from these duties, and to make required decisions in the testing and evaluation
processes. The DER also receives test results and other communications for the company,
manages test records, and provides guidance to service providers engaged to conduct testing.

drug: includes any drug, substance, chemical or agent the use or possession of which is
unlawful in Canada (or the U.S.) or requires a personal prescription from a licensed treating
physician, any non-prescription medication lawfully sold in Canada (or the U.S.) and drug
paraphernalia.

drug paraphernalia: includes any personal property which is associated with the use of any
drug, substance, chemical or agent the possession of which is unlawful in Canada or the U.S.

EDGAR: the United States Securities and Exchange Commission’s Electronic Data Gathering
Analysis and Retrieval System for public securities filings and information.

employees: perform activities that are core to, and integrated with, Ovintiv’s activities, and
includes recognized individuals who are either on a temporary leave of absence approved by
Ovintiv or who have been temporarily seconded by Ovintiv to a third-party under terms which
expressly continue to recognize such person as an Ovintiv Employee.

Ovintiv: Ovintiv Corporation and/or its subsidiaries, as may be applicable.

Ovintiv Risk Matrix: a tool that assesses the impact and probability of an event or scenario to
determine the severity of a risk, according to corporate standards and defined required actions.

equity monetization transactions/EMT: derivative-based transactions that allow an investor to


transfer part or all economic risk and/or return associated with the securities of an issuer, without
formally transferring the legal and beneficial ownership of such securities. This can include an
offer to allow an investor to borrow a cash amount similar to the proceeds of a disposition without
actually transferring the legal and beneficial ownership of the securities.

exigent circumstances: circumstances where an individual reasonably believes that there is


risk to life, safety or health. Exigent circumstances, as it pertains to Ovintiv, are specified in
Prevention of Corruption Policy.

3 | Policies and Practices Glossary


F

facilities: includes, but is not necessarily restricted to, all land, property, structures, installations,
vehicles, and equipment owned, leased, rented, operated or otherwise directly controlled by the
company for the purpose of conducting Company business.

fit for work/fitness for work: being able to safely and acceptably perform assigned duties and
responsibilities without any limitations due to the consumption of alcohol or use of drugs.

governance: a term used to describe the exercise of authority. Corporate governance is


concerned with the relationship between the corporation and wider society. With respect to our
Constitution and policies, it is the duty of all employees to ensure that we demonstrate good
governance by performing to the standards which we have set for ourselves in key areas.

human rights: a term used to define the concept that individuals and groups in society are
entitled to certain minimum standards with respect to: activities (such as natural resource
extraction) which may have an impact upon them; the conditions of the environment in which
they live; their security; the standard of living which they enjoy; their health and education; and
the degree to which they have a say in events and developments which affect them.

illicit drug: any drug or substance which is not legally obtainable and whose use, sale,
possession, purchase or transfer is restricted or prohibited by law (e.g. street drugs such as
marijuana and cocaine).

immediate disclosure: corporate decisions and financial results cannot be instantly


disseminated through a news wire service the moment decisions are made. It may take time to
revise the documents and prepare their disclosure methods. The underlying principle is that all
financial results should be released to a news wire service and filed on SEDAR and EDGAR
immediately following the approval by Ovintiv’s Board of Directors or Audit Committee.

immediately: means as soon as is practically possible and, as it relates to disclosing corporate


decisions and/or financial results within one trading day.

information system assets: includes any equipment or service provided by Ovintiv that can be
used to create, reproduce, or distribute information. Examples include, but are not limited to,
desktop computers, laptops, shared drives, document management systems, e-mail systems,
instant messaging systems, internet connections, ‘blackberries’ (or other PDA’s), printers,
plotters, fax machines, letterhead, and cell phones.

4 | Policies and Practices Glossary


insider: defined in applicable securities legislation and corporate statutes (including the Canada
Business Corporations Act) and includes reporting insiders and non-reporting insiders. The term
includes, for Ovintiv Corporation and each of its subsidiaries, directors and officers including the
Chief Executive Officer, President, Chief Financial Officer, any Executive Vice-President, Vice-
President, Corporate Secretary, Assistant Corporate Secretary, Treasurer, Assistant Treasurer,
Comptroller and Assistant Comptroller. Employees and contractors are also considered insiders
when they receive or have access to undisclosed material information.

issuer: refers to Ovintiv Corporation, Ovintiv Holdings Finance Corp. or any other reporting
issuer as defined in applicable securities legislation.

license to operate: a term used to describe both the regulatory approval and the informal
community approval required for a corporation to access land and resources. Informal community
approval stems from the goodwill of communities in which we work. Such goodwill provides a
“social” licence to operate, which requires the development of positive relationships with
stakeholders based on our policies, practices, and actions. A licence to operate is the outcome of
the trust of broader society that Ovintiv will operate to high standards of economic, social and
consultation to understand the issues and concerns of those who live in the regions where we
work.

mark-to-market (MtM): measures unrealized gains and losses, prior to contract settlement, by
calculating the difference between the original transaction price and the current forward dated
market price.

material information: any information relating to the business and affairs of Ovintiv or another
party (where the context demands, whether publicly-traded or not) that results in, or would
reasonably be expected to result in, a significant change in the market price or value of Ovintiv’s
securities or securities of such other party (where the context demands). Examples of material
information and the treatment and disclosure of material information is specified in the Disclosure
Policy.

material news release: a news release announcing material information.

Minimum Share Ownership Guidelines: as specified in “Ovintiv Corporation Share Ownership


Guidelines,” requires designated participants to maintain minimum share ownership levels.
Shares to be included in the share ownership calculation under the Guidelines include Ovintiv
common shares beneficially owned (directly, indirectly and/or controlled) by such individual,
deferred share units granted to the individual, unvested restricted share units granted to such
individual and such other eligible units as may be approved by the Board of Directors. Stock
options that have not been exercised and held as common shares, performance share units, and
other similar instruments which have not been settled in common shares, are excluded from the
share ownership calculation.

5 | Policies and Practices Glossary


Medical Review Officer (MRO): a licensed physician certified as a MRO who is independent of
the Company and who is responsible for receiving the laboratory report and reviewing any
nonnegative results with the employee to determine any alternative medical reasons for the result
before reporting to the employer. The MRO makes the final decision on whether it is a verified
positive, a verified refusal (adulterated or substituted) or a negative result.

medication: a drug obtained legally, either over-the-counter or through a doctor’s prescription.

non-reporting insider: an insider of Ovintiv that is not a reporting insider. The Corporate
Secretary (or their delegate) maintains a list of all Ovintiv reporting insiders and non-reporting
insiders, and the Disclosure Committee reviews this list from time to time (and at a minimum on
an annual basis following the filing of Ovintiv’s most recent audited financial statements).

on call: circumstance in which an employee is designated to be on call and available for work.

performance management: the process of job performance monitoring and coaching.

personal information: information about an identifiable individual, except business title and
business contact information, and includes information about prospective, present or former
employees and external parties such as landowners and other individuals.

policy: a clear and concise statement by the organization’s executive leadership indicating the
Corporation’s intentions, principles and performance expectations relative to the Constitution and
to its legal, regulatory, legislative, social and/or governance responsibilities which is approved by
Ovintiv’s Board of Directors and/or chief executive officer.

position-taking: position-taking is an activity predicated on a forward market view. A position


creates a volumetric imbalance of commodity transactions and results in a net market exposure.

practice: a universally applied standard defining the Corporation’s execution expectations


relative to one or more corporate policies and/or Ovintiv’s Constitution which is approved by one
or more members of Ovintiv’s Executive Team.

prohibited substances: (1) illicit or unprescribed drugs, controlled substances and mood or
mind-altering substances (e.g. any synthetic derivative/product that produces a marijuana-type
high and any herbal products not intended for human consumption), (2) prescribed drugs used in
a manner inconsistent with the prescription.

6 | Policies and Practices Glossary


R

record: information recorded in any physical or electronic media which is created or received in
the course of Ovintiv’s business activities and provides legal evidence of those activities.

reporting insiders: as defined under National Instrument 55-104 Insider Reporting


Requirements and Exemptions and Companion Policy 55-104CP Insider Reporting
Requirements and Exemptions, are:

a) The chief executive officer or any other individual who acts as chief executive officer or in a similar
capacity (“CEO”), chief financial officer or any other individual who acts as chief financial officer or in
a similar capacity (“CFO”) or chief operating officer or any other individual who acts as chief operating
officer or in a similar capacity (“COO”) of a reporting issuer, of a significant shareholder of a reporting
issuer (that being a person or company that has beneficial ownership of, or control or direction over,
securities of an issuer carrying more than 10 percent of the voting rights attached to all the issuer’s
outstanding voting securities) (a “Significant Shareholder”) or of a major subsidiary of a reporting
issuer (that being a subsidiary with 30 percent or more of the consolidated assets or consolidated
revenues of the issuer) (a “Major Subsidiary”)

b) A director of the reporting issuer, of a Significant Shareholder or of a Major Subsidiary

c) A person or company responsible for a principal business unit, division or function of the
reporting issuer

d) A Significant Shareholder

e) A Significant Shareholder (based on post-conversion beneficial ownership of the reporting issuer’s


securities) and the CEO, CFO, COO and every director of the Significant Shareholder based on post-
conversion beneficial ownership

f) A management company that provides significant management or administrative services to the


reporting issuer or a Major Subsidiary, every director of the management company, every CEO, CFO
and COO of the management company, and every Significant Shareholder of the management
company

g) An individual performing functions similar to the functions performed by any of the insiders described
in paragraphs (a) to (f)

h) The reporting issuer itself, if it has purchased, redeemed or otherwise acquired a security of its own
issue, for so long as it continues to hold that security

i) Any other insider that


 in the ordinary course receives or has access to information as to material facts or material
changes concerning the reporting issuer before the material facts or material changes are
generally disclosed
 directly or indirectly, exercises, or has the ability to exercise, significant power or influence over
the business, operations, capital or development of the reporting issuer

7 | Policies and Practices Glossary


j) Reporting insiders of Ovintiv include every director and the CEO, CFO and COO of Ovintiv
Corporation and Ovintiv Holdings Finance Corp. and the Executive Vice-President responsible for
each of their Operating Divisions and Corporate Groups and the directors and the CEO, CFO and
COO of each of their Major Subsidiaries. It also includes any other individual who performs functions
similar to those normally performed by an individual occupying such offices and any insider that
satisfies paragraph (i) above.

risk: the chance of something happening, measured in terms of probability and impact, that will
affect the achievement of business objectives. This definition includes both the opportunity and
the undesirable consequence.

safety-sensitive position: all DOT positions (in the U.S.) as well as positions in which an
individual has a key and direct role in an operation where impaired performance could result in:

 An accident or incident affecting the health or safety of themselves, other employees, contractors,
customers, the public or the environment

 An inadequate response to an emergency or operational situation. In a key and direct role, the
primary job function of the position, including non-routine or emergency duties, involves
responsibility for actions or decisions which, if not performed correctly, could directly cause or
contribute to:

 A serious incident
 An improper or inadequate response to a potentially serious incident.

scheduled call: circumstance in which an individual is designated to be on call and available for
work.

security/securities: all forms of shares and debt obligations issued including, but not limited to,
common shares, preferred shares, bonds, notes, debentures, convertibles, options, rights,
warrants, issuer derivatives (such as share appreciation rights, common shares granted under a
deferred share unit program or restricted share units), and other forms of securities as defined in
applicable securities legislation.

SEDAR: the System for Electronic Document Analysis and Retrieval developed for the Canadian
Securities Administrators for public securities filings and information.

sensitive information: sensitive information is any information classified confidential or


restricted within Ovintiv’s Information Classification Guidelines.

service providers: an individual employed by a separate company which Ovintiv has selected to
perform a service without specifying the individuals who will provide the service (e.g. such as
document reproduction services; services for drilling and completions). These individuals perform

8 | Policies and Practices Glossary


ancillary services to Ovintiv’s core activities, utilizing knowledge, skills, processes, tools and/or
equipment not generally available among Ovintiv’s core business.

social media: all forms of online publishing and discussion, including blogs, wikis, file-sharing,
user-generated video and audio, virtual worlds and social networks.

staff: the combination of Employees and Contractors who are included for Ovintiv’s headcount
reporting purposes.

stakeholders: those individuals or organizations that have an impact upon or are impacted by
the activities of a corporation.

students/interns: individuals who join Ovintiv’s Workforce temporarily while still enrolled in a
post-secondary program. Student/Interns may be retained through third-party entities or may be
directly retained on a short term basis.

subsidiary/subsidiaries: include any corporation, partnership, limited liability company or other


business entity of which at least a majority of the voting rights attached to all outstanding shares
issued or outstanding interests of such entity are directly, indirectly or beneficially owned or
controlled by Ovintiv Corporation.

Substance Abuse Expert: an individual with clinical knowledge and experience in the diagnosis
and treatment of alcohol and drug-related disorders and certified as a Substance Abuse Expert.

Substance Abuse Professional (SAP): an individual with knowledge of and clinical experience
in the diagnosis and treatment of alcohol and drug related disorders. Employees who have
violated a Company policy and are entering a continuing employment agreement will be referred
to a SAP who will assess if the individual has a problem, make recommendations regarding
education and treatment, and recommend a return-to-work monitoring program including
unannounced testing.

supervisor: any staff member who has one or more people reporting to them and provides
guidance in the undertaking of day-to-day work.

sustainable value creation: Ovintiv strives to maximize value for our shareholders.

Testing Program Administrator (external): a service provider engaged to:

 Manage sample collection


 Provide Medical Review Officer services
 Liaise with the Company Testing Administrator
 Administer the selection process for unannounced testing in accordance with the Alcohol & Drug
Policy and Practices
 Select test days for those on a follow-up testing program.

9 | Policies and Practices Glossary


Third Party Administrator (TPA): the vendor who manages all aspects of the testing program
on behalf of the company, interfaces with the Company Testing Administrator (or Designated
Employer Representative, in the U.S.), conducts the selection of test days for those on a followup
testing program (and the unannounced selection if the Company program requires it) and, in the
U.S., provides Medical Review Officer services.

undisclosed material information: any material information that has not been previously
disclosed or published to the general public in accordance with the Disclosure Policy.

value: both present and future value, arising from our pillars of value creation: high-quality
assets, including solid credible reserves; strong financial management; and sound corporate
governance.

value-at-risk (VaR): value-at-risk (VaR) is a metric used to determine the probable maximum
loss of a portfolio in ‘normal’ market conditions over a defined forward period (e.g. one day) and
confidence interval (e.g. 95 percent).

visitors: non-Ovintiv individuals on-site to visit/meet with Ovintiv staff.

waiver: a document executed by an authorized person under the applicable Business Code of
Conduct, policy, practice or guideline approving on behalf of Ovintiv a material departure from a
provision of such Business Code of Conduct, policy, practice or guideline.

workforce: the collective groups of individuals who perform work for Ovintiv or on Ovintiv
premises. This includes the categories of Employees, Contractors, Service Providers,
Students/Interns and Access Only.

*Terms bolded and italicized in a policy or practice are defined in the Policies & Practices Glossary and such definitions are
incorporated by reference into such policy or practice to the extent used therein.

10 | Policies and Practices Glossary


Political Activities Policy
Ovintiv believes that active and constructive engagement in consultations on public policy is an
important part of responsible corporate citizenship and is in the interest of our stakeholders
including our shareholders. Ovintiv supports involvement in activities that advance Ovintiv’s goals
and improve the communities where we work and live. Ovintiv considers making political
contributions to the extent permitted by law and as may be consistent with this Policy as a
constructive way to encourage and support the democratic system.

Ovintiv is committed to the highest ethical standards in all our relationships with government and
participates in public policy advocacy by communicating in a legal and appropriate manner on
issues that impact Ovintiv’s business. At all times Ovintiv will comply with the Company’s
Lobbying Practice and will act in a manner that demonstrates respect for the democratic process.

Federal, provincial, state and municipal laws relating to election financing exist in Canada and
the United States governing corporate involvement in activities of a political nature. This Policy
has been approved by the Board of Directors and is intended to help ensure corporate
compliance with these laws.

Consistent with Ovintiv’s Business Code of Conduct, Ovintiv employees, contractors and
directors may choose to become involved in political activities as long as they undertake these
activities on their own behalf and may, on a personal level, give to any political party or
candidate; reimbursement by Ovintiv is prohibited.

In no circumstances shall any Ovintiv employee, contractor or director be permitted to use or


associate their position or office with Ovintiv with any personal political activity or donation or in
any circumstances in which any such association could be reasonably inferred.

In Canada, corporations are prohibited from making financial or in-kind contributions to a


Canadian federal political party, Canadian federal political party candidate or Canadian federal
electoral district association nor are they permitted to make financial or in-kind contributions to an
Alberta or British Columbia provincial political party, provincial political party candidate or
provincial constituency association.

In the United States, corporations may sponsor political action committees and may support or
oppose federal, state, and local candidates and parties under certain circumstances, provided
that any decision to make donations, contributions, disbursements or expenditures in connection
with any federal or non-federal election is made by a citizen of the United States.

Ovintiv prohibits the following types of political contributions in the United States unless approved
in advance by both the President & Chief Executive Officer and the Executive Vice-President
Legal Services & General Counsel: (a) direct advertising in support of or opposition to a
candidate; (b) direct issue advertising directly or overtly supporting or opposing a particular
candidate for election or a political party; (c) contributions to 527 organizations as defined in Title
26 of the United States Code which support or oppose candidates for office but do not coordinate

1 | Political Activities Policy


with candidates or political parties; and (d) contributions 501(c)(4) social welfare organizations
that may engage in political activities as defined in Title 26 of the United States Code.

In the event that the President & Chief Executive Officer and/or the Executive Vice-President
Legal Services & General Counsel are not United States citizens, the most senior United States
citizen Executive Officer and/or the most senior United States citizen legal executive, as
applicable, will assume the approval authority referenced above. Given the complexity of the
laws and regulations governing political giving in the United States, Ovintiv engages with legal
counsel to ensure compliance with federal, state and local rules.

Ovintiv or any of its subsidiaries or affiliates will make only those financial or in-kind contributions
permitted by law to a recognized political party, candidate or campaign. All requirements for
public disclosure of such contributions shall be fully complied with by Ovintiv, its subsidiaries and
affiliates. A report detailing the amount and recipient of all contributions made by Ovintiv and its
subsidiaries and affiliates shall be prepared and presented to the Board by Ovintiv’s Executive
Vice-President & General Counsel annually. The report will include details of corporate
contributions to issue campaigns or referenda, payments to 527 organizations, 501(c)(4) groups
and other tax-exempt organizations and dues paid to trade associations.

The President & Chief Executive Officer, any one of Ovintiv’s Executive Vice-Presidents or any
one of Ovintiv’s Vice-Presidents, in consultation with Ovintiv’s Government Relations Teams,
shall have authority to review and to approve requests for political contributions proposed to be
made by Ovintiv or any of its subsidiaries or affiliates as permitted above, subject to any limits or
restrictions imposed by the President & Chief Executive Officer from time to time. Coordination of
political activities, including political contributions, will be done by the Vice-President(s)
responsible for Government Relations and will be reviewed by the Ovintiv Executive team on a
quarterly basis.

*Terms bolded and italicized in a policy or practice are defined in the Policies & Practices Glossary and such definitions are
incorporated by reference into such policy or practice to the extent used therein.

2 | Political Activities Policy


Prevention of Corruption Policy

Ovintiv’s Business Code of Conduct and Corporate Responsibility Policy establish our commitment to
conducting our business ethically and legally. This Prevention of Corruption Policy will be used in
identifying and managing corporate and individual risk relating to corrupt practices or improper payments.

Corruption poses a serious legal, commercial and reputational risk to Ovintiv. The purpose of this Policy is
to support Ovintiv’s commitment to ethical business practices and commits Ovintiv and its employees,
contractors and directors to full compliance with the Corruption of Foreign Public Officials Act (Canada),
the Foreign and Corrupt Practices Act (United States of America) and any other equivalent national, state
or local anti-bribery or anti-corruption laws.

Bribery
Unlawful or unethical behavior in Ovintiv’s workforce, including soliciting, accepting or paying bribes or
other illicit payments for any purpose, is not tolerated. Situations where judgment might be influenced by,
or appear to be influenced by, such unlawful or unethical behavior must be avoided. To ensure
compliance with anti-corruption laws in all applicable jurisdictions, no Ovintiv employee, contractor or
director shall directly or indirectly undertake any improper payment activity with respect to foreign or
domestic officials, employees of state-owned enterprises or any individual conducting business in the
private sector.

Acceptance of gifts and political contributions must be made and accepted according to Ovintiv’s
Acceptance of Gifts Practice and Political Activities Policy respectively.

Community Investment
Ovintiv’s community investment program provides cash donations, sponsorships and gifts-in-kind to
charitable and non-profit community organizations located in and/or serving our operating communities.
Where a community investment is proposed, it must be transparent, documented in reasonable detail and
made in accordance with applicable laws, Ovintiv’s community investment guidelines and this Policy.

Facilitation Payments
Ovintiv, its employees, contractors, directors, or anyone acting on the Company’s behalf shall not make
facilitation payments. A facilitation payment is an occasional payment of minimal value (typically less than
C$100) made solely to expedite or secure performance of a routine, non-discretionary, government
action.

Exigent Circumstances
Nothing in this Policy prohibits the making of payments to government officials when life, safety or health
is at risk. Such payments should be as modest as reasonably possible in the circumstances. Protection of
property is generally not an exigent circumstance. The making of such a payment should be reported to
the appropriate division or corporate group Vice-President and the Corporate Secretary (or their
respective delegate), as soon as possible. Such payments must be recorded in reasonable detail,
including the amount provided and the purpose of the payment, and may be disclosed in accordance with
applicable securities laws.

1 | Prevention of Corruption Policy


Mergers, Acquisitions, Joint Ventures and Partnerships
Ovintiv is committed to undertaking appropriate due diligence in evaluating the reputation and integrity of
any business which it invests in or enters into a joint venture or partnership agreement with.

Ovintiv will use commercially reasonable efforts to ensure that the principles established in all Ovintiv
policies, practices and guidelines are materially complied with in joint venture or partnership agreements
to which Ovintiv is a party.

Accounting and Transparency


Ovintiv’s books and records must reflect in reasonable detail its transactions in a timely, fair and accurate
manner in order to permit the preparation of accurate financial statements in accordance with generally
accepted accounting principles and maintain recorded accountability for assets and liabilities.

All business transactions that employees, contractors and directors have participated in must be properly
authorized, properly recorded and supported by accurate documentation in reasonable detail. Audit
programs must be established and maintained to ensure conformance with the requirements of this Policy
and the associated legislative and regulatory requirements.

Violations of the Prevention of Corruption Policy


Violation of this Policy may result in disciplinary action up to and including termination of employment or
contract, as applicable.

Actions that violate or appear to violate this Policy must be reported to your leader, HR advisor, the Ethics
& Compliance team or through the Integrity Hotline.

Any questions regarding this Policy should be directed to the Vice-President, Government Relations &
Sustainability.

2 | Prevention of Corruption Policy


Privacy Policy
Ovintiv is committed to protecting personal information collected, used and disclosed in the
conduct of its business. Personal information generally refers to information about an identifiable
individual, including information about prospective, present or former employees or other
individuals. It does not include business contact information used to contact an individual for
business purposes or information such as anonymous or aggregated data from which the identity
of an individual cannot be determined.

This Policy applies to all individuals engaged in Company business including all employees.
Contractors and other service providers are required to develop and enforce privacy policies and
practices that are consistent with this Policy. Where required by law, Ovintiv will obtain the
appropriate consent of individuals to collect, use and disclose personal information.

Ovintiv requires personal information to meet a variety of business-related purposes, including


the following examples:

 Determining eligibility for employment (or to provide services to Ovintiv), including educational,
qualification, reference and, where applicable, other background checks.
 Administering and managing employment relationships or service arrangements with Ovintiv.
 Administering employee compensation, benefits and related perquisites.
 Ensuring the safety and security of staff, external parties, our premises, property and/or assets.
 Meeting contractual, legal or other commitments (including payment obligations) to external
parties, including landowners.
 Ensuring compliance with Ovintiv’s various policies and practices.

Ovintiv protects personal information by using reasonable security safeguards which are
appropriate to the sensitivity level of the information.
Ovintiv retains personal information to which for the period of time necessary to fulfill the
purposes for which it was collected, or to meet statutory requirements or other legal purposes.
Upon request, individuals will be granted reasonable access and review of their personal
information as required by applicable law.

All staff are required to protect personal information they may have access, be privy, or handle
by virtue of their employment or service arrangements with Ovintiv. This includes an obligation
to speak up and report any concerns or any actual or suspected violations of this Policy, related
practices and/or applicable law. Reports may be made to our Privacy Officer at
[email protected]. Reports may also be made anonymously using our Integrity Hotline at
1.877.445.3222 or online through the Integrity Hotline link found at Ovintiv.com.

Violations of this Policy and its related practices may result in disciplinary action up to and
including termination of employment or contractual relationships.

*Terms bolded and italicized in a policy or practice are defined in the Policies & Practices Glossary and such definitions are
incorporated by reference into such policy or practice to the extent used therein.

1 | Privacy Policy
Respectful Workplace Practice
Ovintiv is committed to maintaining a safe and respectful workplace. Treating others with dignity
and respect ensures a professional, healthy, and productive work environment. We respect each
other as colleagues, and the stakeholders with whom we interact. Ovintiv is also committed to
equal opportunity by hiring, compensating, training, promoting, and providing consistent
treatment to all employees on the basis of performance.

Harassment, discrimination, bullying, violence, intimidation, and any other disrespectful or


inappropriate or offensive behaviour (collectively referred to as “Offensive Conduct”) are not
tolerated at Ovintiv. Ovintiv also adheres to applicable employment laws regarding non-
discrimination and human rights legislation in the jurisdictions in which we operate.

This Practice applies to all employees, contractors, and directors. This Practice applies to
interactions which occur on or off Company premises, including formal and informal Company
social functions, conferences, stakeholder-related events, as well as interactions over the
Internet, via other remote communications, or on social media sites.

Contractors are expected to develop and enforce policies or practices consistent with this
Practice that will apply to their personnel in providing services to or on behalf of Ovintiv.

Any allegation of Unacceptable Conduct will be taken seriously and dealt with promptly by
Ovintiv. Disciplinary action, up to and including termination of employment or services, will be
taken where violations of this Practice are determined by Ovintiv to have occurred.

Definitions
Discrimination: Any act, comment, or omission that results in unjust or prejudicial treatment of
different categories of people. Ovintiv does not discriminate on the basis of gender, race, color,
age, national origin, religion, disability, sexual orientation, marital status or any other
characteristic protected by applicable law.

Harassment: Derogatory (i.e. condescending, insulting, belittling) or vexatious (i.e. aggressive,


angry, antagonistic) conduct or comments that are known or ought reasonably to be known to be
offensive or unwelcome, including without limitation, actions or comments directed at no person
in particular but which create an intimidating, demeaning, or offensive work environment.
Bullying is a form of harassment. Harassment interferes with ensuring a workplace of mutual
respect for the dignity of each individual.

Sexual Harassment: Unwelcome sexual advances, requests for sexual favors, and other verbal
or physical conduct of a sexual nature, where:

 Submission to such conduct is made explicitly or implicitly a term or condition of employment


 Submission to or rejection of such conduct is used as the basis for decisions affecting an
individual’s employment
 Such conduct has the purpose or effect of substantially interfering with an individual’s work
performance or creating an intimidating or hostile work environment

1 | Respectful Workplace Practice


Forms of Offensive Conduct
Examples of Offensive Conduct include, but are not limited to the following:

 Abusive, lewd, profane, or demeaning language


 Threatening, bullying, intimidation, or yelling in respect of another person
 Fighting or explicit or implicit threats of physical violence
 Jokes which demean or belittle others, even where no offence is intended, such as racist, sexist,
or sexual orientation jokes

Such conduct may take the form of implicit or explicit communications including the following:

 Written or electronic form (cartoons, posters, photos, calendars, notes, letters, email)
 Verbal (comments or derogatory remarks, jokes, foul or obscene language, repeated unwanted
relationship advances)
 Physical gestures and other nonverbal behavior (unwelcome touching, violent altercations, hand
gestures, stalking, leering)

Resolution Process
We all have a duty to report actual or suspected misconduct, including Offensive Conduct. If you
believe you or another individual have experienced or have witnessed Unacceptable Conduct at
Ovintiv, you are required to promptly communicate your complaint to Ovintiv to enable timely
investigation and necessary corrective action to be taken by the Company as soon as possible.

Staff members who have experienced or believe another individual has experienced a violation of
this Practice are therefore expected to take one of the following actions:

 Where possible, speak directly with the person(s) who is demonstrating Offensive Conduct and
inform them that their behavior is unwelcome and must stop. This may be a reasonable solution
in some situations, but not recommended if you are not comfortable or safe approaching the
person or if the behaviors are more serious or reoccurring.
 Immediately report the Offensive Conduct to your leader, your HR Advisor, or any other leader in
Ovintiv
 Make an anonymous complaint under the Investigations Practice, using the Integrity Hotline

Complaints reported under this Practice are taken seriously by Ovintiv. Ovintiv maintains such
complaints as confidential, and a report of misconduct or information is only disclosed to the
extent necessary to investigate or address the situation.

Filing of false or vexatious complaints is not tolerated and will be subject to disciplinary action.
Ovintiv prohibits all forms of retaliation or other similar acts against any individual for filing a bona
fide complaint, or assisting in the investigation or resolution of a complaint under this Practice, or
exercising their rights under applicable law.

2 | Respectful Workplace Practice


Roles & Responsibilities
All employees are expected to:

 Understand and comply with the expectations in this Practice and related Ovintiv policies and
practices (Business Code of Conduct, Investigations Practice, Corporate Responsibility Policy)
 Maintain and contribute to a safe and respectful workplace, free from Offensive Conduct
 Promptly report any personal, observed, or suspected incidents of Offensive Conduct or any
actual or suspected violation of this Practice, in accordance with the process outlined in this
Practice

Leaders are expected to:

 Act promptly on any complaints made under this Practice, by referring complaints to your HR
Advisor or directly to the Investigations Committee for handling
 Promote and assist to maintain a respectful workplace
 Lead by example in your own behavior
 Be aware of potentially offensive workplace behaviour and act in a timely and appropriate manner
in accordance with this practice
 Handle reported or observed incidents promptly, and with objectivity, sensitivity, and
confidentiality
 Manage performance of employees and take appropriate disciplinary or corrective action when
necessary to maintain a respectful workplace

HR Advisors and the Investigations Committee are expected to:

 Promptly act upon any complaints


 Ensure investigations are concluded and reported as required to the appropriate leaders to
ensure any disciplinary or corrective actions are taken to re-establish a respectful workplace

Complainants are expected to:

 Maintain records of the incident(s) (date, location, behavior, witnesses, and effects), although a
failure to keep records will not invalidate a complaint
 Maintain confidentiality throughout the process, including post investigation and resolution
 Participate in good faith in any agreed upon resolution process
 Abide by resolution matters as determined by the appropriate level of leadership

Individuals who are the subject of a complaint are expected to:

 Listen and participate in the investigation process professionally and honestly, and take any
complaint seriously
 Maintain confidentiality throughout the process, including post investigation and resolution
 Participate, cooperate, and comply in good faith during the investigation and any resolution
process
 Abide by all resolution decisions as determined by the appropriate level of leadership

3 | Respectful Workplace Practice


Environment, Sustainability and Governance

Supplier Code of Conduct


Safety. Integrity. Respect. Trust.
At OvintivTM, we are committed to operating our business ethically and in compliance with all
laws and regulations. We expect all of our business suppliers, vendors, contractors, and service
providers, including their staff, agents and sub-contractors (“Suppliers”), to embody our values,
abide by our policies and practices and comply with all applicable laws and regulations.

Suppliers are responsible for staying up to date on Ovintiv’s expectations in addition to any
legal and regulatory requirements for proper compliance and governance. Failure to comply
with this Supplier Code of Conduct will impact a Supplier’s ability to continue working with
Ovintiv.

SAFETY
Environment, Health & Safety
Ovintiv is committed to protecting our environment, community and the health and safety of
all affected by our activities.

Safety is a fundamental value at Ovintiv – and we require the same from our Suppliers. We
expect our Suppliers to proactively identify and effectively control risks in all operations. We
believe that all workplace injuries, illnesses and incidents are preventable. All individuals
performing work for Ovintiv must be fit for work.

Ovintiv is committed to achieving environmentally-conscious performance throughout the


entire lifecycle of our operations. Suppliers must operate in an environmentally responsible
manner, strive to minimize adverse impact on the environment and adhere to all
environmental laws everywhere they operate.

Suppliers must:
• operate in a manner that is consistent with Ovintiv’s commitment to safety and do their
part to achieve best-in-class safety performance;
• provide all employees and contractors with a safe workplace, free of all forms of
harassment or violence;
• have proper procedures to detect, prevent and handle potential risks to the health,
safety and security of employees and the environment;
• comply with all applicable laws and regulations related to health and safety in the
workplace and all environmental laws and regulations;
• ensure that they are adhering to Ovintiv’s EH&S requirements outlined in the Ovintiv
Service Provider EH&S Expectations Manual prior to starting, and at all times while
providing work for Ovintiv.

11
Environment, Sustainability and Governance

Supplier Code of Conduct


Audit & Systems
Suppliers must maintain accurate business and operational records as required by law and
industry standards and provide access to Ovintiv as required.

Suppliers must:
• conduct internal financial audits to ensure reliability and accuracy of business and
operational records;
• have a verification and audit program to evaluate their EH&S management system;
• abide by and support all pre-qualification processes, audits, inspections, spot checks
and adhere to rigorous continual verification practices including at the field level; and
• submit their EH&S program and performance information for evaluation and
verification by Ovintiv which may include site access, documentation, interviews and
subcontractor information.

INTEGRITY
Anti-Corruption & Bribery
Suppliers must comply with all anti-corruption laws and regulations related to their work with
Ovintiv. This includes, but is not limited to, compliance with Acts such as the US Foreign Corrupt
Practices Act and the Canadian Corruption of Foreign Public Officials Act.

Suppliers must not tolerate or engage in any form of corruption. Suppliers must not make, offer,
or authorize (directly or indirectly) any unlawful payment, gift, promise or benefit to anyone on
behalf of Ovintiv. Suppliers must transact business with transparency and record transactions
appropriately.

Antitrust & Competition


Suppliers must compete fairly in the industry market and uphold all antitrust and competition
laws. Suppliers must not influence a market or take unfair advantage through manipulation,
concealment, abuse of proprietary information, fair dealing or any other “act” that may unfairly
impact competition, such as price fixing or market allocation or bid rigging.

Trade Laws
Suppliers must uphold all international and national trade laws – including economic
sanctions, embargoes and trade restrictions related to their business with Ovintiv. These trade
laws include, but are not limited to, trade restrictions administered or enforced by the various
applicable international bodies and government authorities.

2
Environment, Sustainability and Governance

Supplier Code of Conduct


Business Practices
We expect everyone to commit to the principles in this Code and the highest standards of
conduct. Suppliers must maintain integrity, transparency and compliance in all that they do.

Acceptance of Gifts: Do not offer or provide any gift, meal, beverages, entertainment or
benefit to an Ovintiv employee or contractor (or family member of the same) which may not
be in compliance with Ovintiv’s Acceptance of Gifts Practice or which may improperly
influence, or appear to influence, business decisions.

Conflict of Interest: Declare any potential, perceived or actual Conflict of Interest in relation to
Ovintiv staff or other Suppliers (i.e. sub-contractors). Suppliers must not unduly influence
Ovintiv business decisions.

Fraud: Implement appropriate procedures to detect and prevent bribery, corruption, kickbacks
and embezzlement.

Intellectual Property: Respect and uphold intellectual property rights and software and data
licensing obligations. Only use technology in a manner that protects, and is in compliance with,
the owner’s intellectual property rights.

Policies & Practices: Actively support Ovintiv’s policies, practices, and protocols. Suppliers
should provide mechanisms for reporting concerns or potential violations. Suppliers and their
staff are encouraged to use Ovintiv’s Integrity Hotline to report concerns or potential violations
related to Ovintiv employees or business. Suppliers must prohibit any form of retaliation
against an individual for reporting a concern.

Privacy & Confidentiality: Abide by all applicable privacy and information security laws and best
practices for private, confidential, proprietary or material non-public information. Suppliers must
safeguard the privacy of the personal information of customers, employees and stakeholders. In
addition, Suppliers must protect against the unauthorized use or misuse of any Ovintiv
information or data. This obligation continues even after the working relationship with Ovintiv
ceases.

Proper Use of Ovintiv Assets: Protect and ensure proper legitimate use of all Ovintiv assets.
Protecting against the theft, loss and misuse of assets is the responsibility of all Suppliers, and
Ovintiv employees and contractors. If a Supplier becomes aware of any misuse, theft or loss of
Ovintiv assets, raise the issue with Ovintiv personnel or report it to Ovintiv’s Integrity Hotline.

Public Disclosure: Do not speak on behalf of Ovintiv in any form unless formally approved by
authorized Ovintiv personnel.

3
Environment, Sustainability and Governance

Supplier Code of Conduct


RESPECT
Human Rights & Labor Law
Suppliers must protect, respect, and support human rights measures and comply with all
relevant human rights laws and regulations. Suppliers must adhere to all labor laws and
regulations. Suppliers must ensure that all legal and statutory requirements are met with
respect to their workers.

Suppliers must uphold Ovintiv’s Respectful Workplace practice, ensuring a safe and respectful
workplace. This includes the promotion of inclusion and diversity and a commitment to
providing a healthy, professional and productive work environment. Processes to mitigate,
review and remediate unacceptable conduct must be in place and applied as required.

Suppliers must operate in compliance with:


• United Nations Universal Declaration of Human Rights
• International Labour Organization Declaration of Fundamental Principles and Rights at Work
• Canadian Human Rights Act
• Federal, state and provincial Human Rights Acts and Labor Laws

Suppliers must:

• exercise fair hiring practices and provide a safe, secure and respectful work
environment, free of harassment, discrimination, bullying, violence, intimidation and any
other disrespectful or offensive behavior;
• comply with applicable labor laws governing work hours and compensation including
minimum wage, overtime and legally mandated benefits;
• employ only workers who are legally authorized to work in the location of Ovintiv
operations. Suppliers are responsible for validating employee’s work eligibility status;
• comply with all applicable laws and regulations on freedom of association and
collective bargaining;
• not use or tolerate the use of forced, coerced or child labor; and
• understand the important role our industry plays in identifying and preventing human
trafficking through increased employee awareness.

4
Environment, Sustainability and Governance

Supplier Code of Conduct


TRUST
Building and maintaining the trust that others place in us—and that we have for one another—
is fundamental to our success. We earn trust by being truthful, delivering on our promises and
upholding our commitments. Suppliers are expected to establish and maintain a trusted
relationship with Ovintiv and its stakeholders.

The health of the local economy and the social fabric of the communities in which we operate
are important to us. We always consider locality of a Supplier to enhance local economies and
we encourage all of our Suppliers to do the same through local employment, providing
support to the communities and engaging with them to create long-lasting relationships with
the communities wherever possible.

Suppliers must establish a way for employees and stakeholders to report concerns or
potential violations of the law, regulations or this Supplier Code of Conduct. Suppliers and their
staff are encouraged to use Ovintiv’s Integrity Hotline to report concerns or potential violations
related to Ovintiv employees or business. Ovintiv does not tolerate any form of retaliation
including threats, discrimination, or discipline against anyone who reports a concern in good
faith or participates in an investigation. Retaliation is a violation of Ovintiv’s Business Code of
Conduct and the law. Any act of retaliation will result in discipline as appropriate, up to and
including termination of employment or contract.

Learn More
• Ovintiv Business Code of Conduct • Fitness for Work Practice

• Service Provider EH&S Expectations Manual • Respectful Workplace Practice


• Environment, Health and Safety Policy

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