Spring 2014

Noble Drilling Services Inc.13135 South Dairy Ashford, Suite 800

Sugar Land, Texas 77478 NOBLELinkNOBLELink

The Noble LINK is published by and for the employees of Noble Corporation and its subsidiaries and for our clients and friends.

Comments regarding the Noble LINK should be directed to:

John Breed, Noble Drilling Services Inc.13135 South Dairy Ashford, Suite 800

Sugar Land, Texas 77478Email: jbreed@noblecorp.com

Editor: John Breed Design: Scott McFarlane

Planning and preparation are keys to a safe outcome in all that we do. Noble crews worldwide know this firsthand and are practiced at analyzing the tools, training and techniques needed do their jobs well. We salute the crews of those rigs who have distinguished themselves with outstanding safety performance for a job well done.

Years without an Lost-Time Incident

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121826Columns

TAILOR MADEStatoil VP discusses

the opportunites ahead for the

Noble CJ-70

NOBLE NEWSSafety in Seas Award, charity efforts & Noble

Sam Croft departs

19 yrs Noble Johnnie Hoffman17 yrs Noble Sam Noble

Noble Ed NobleNoble Ed HoltNoble Gene Rosser

15 yrs Noble John SandiferNoble Max Smith

Noble Percy Johns

14 yrs Noble Ton van LangeveldNoble Bill Jennings

Noble Carl Norberg

13 yrs Noble Lynda BosslerNoble Julie RobertsonNoble Homer Ferrington

Noble George McLeodNoble Roy Butler

12 yrs Noble Ronald HoopeNoble David Tinsley

Noble Earl Frederickson

11 yrs Noble Dick Favor9 yrs Noble Jimmy Puckett

Noble Byron WelliverNoble Jim Thompson

8 yrs Noble Charlie Yester Dhabi II7 yrs Noble Gus Androes

Noble Danny AdkinsNoble Roger Lewis

6 yrs Noble Jim DayNoble Eddie PaulNoble Roy RhodesNoble Roger Eason

Noble Leonard JonesHibernia M-71 M-72Noble Paul Romano

5 yrs Noble Hans DeulNoble Kenneth Delaney

Noble Chuck Syring

4 yrs Noble Harvey Duhaney3 yrs Noble Joe Beall

Noble Discoverer Noble Therald Martin

Noble Leo SegeriusNoble PhoenixNoble Duchess

2 yrs Noble Charles CopelandNoble Dave BeardNoble Amos Runner

Noble Piet van EdeNoble Scott Marks

1 yr Noble Tom JobeNoble Bully I Noble Globetrotter IINoble Bully IINoble George SauvageauNoble Globetrotter I

Noble Al WhiteNoble Tommy CraigheadNoble Gene HouseNoble Paul WolffNoble Don Taylor

How You Practice is How You Play…

THE DOCTORwill see you now,

advances in remote medical

care offshore

WORK SAFELIVE SAFE

Stroke awareness can

save lives

WHAT’S NEXT?Noble takes

in-house training to a new level

28 Technology Desk Computer Security on the Road

30 Ethics Azimuth Social Media Websites

32 Noble Recognition Employee Promotions

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FLEETDistribution

Noble is a leading offshore drilling contractor for the oil and gas industry. As a part of its on-going fleet renewal strategy, Noble is building several of the world’s most

advanced drilling units. These units will offer our customers a new standard in drilling capabilities. Noble’s fleet includes rigs located in the U.S. Gulf of Mexico, Mexico, Brazil, Argentina, the North Sea, the Mediterranean, West Africa, the Middle East, India, Malaysia and Australia. Noble’s shares are traded on the New York Stock Exchange under the symbol “NE.”

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Times were tough for drillers in the spring of 1995. At that time, only 64 percent of the rigs in the Gulf of Mexico were on the

payroll, with the remaining 36 percent “stacked” or waiting for work. As we head toward the 20 year anniversary of that point in time, it’s easy to believe that memories begin to fade and it’s possible to con-vince ourselves that drilling is a steady state sort of business with ever higher dayrates coming with each new fixture. Such thinking does not fit with reality—and denies the basic nature of our industry. This is a cyclical business!

During that time, a typical jackup rig received about $17,000/day. However, with costs of $15,000/day, most drilling contractors were not able to make a profit. Companies suffered, struggled and did their best to adjust. Some grew stronger while others dis-appeared completely.

Strong oil and gas prices and advances in exploita-tion technology continued to boost the demand for drilling rigs, and as time progressed, almost every rig in the Gulf of Mexico held contracts by late 1996. The strength in this demand allowed contractors to raise dayrates by 50 percent to about $30,000/day. As the market continued to heat up in 1997, operators began searching for ways to ensure rig availability. For example, instead of typical contract arrangements involving one or two wells, lasting about 30 days each, some customers signed term contracts for 6-12 months.

Sounds good, right? But the economic tide was set to turn again. With the arrival of the Asian finan-cial crisis in late 1997, oil prices began a slow-and-steady decline from over $20 per barrel to about $13 per barrel.

As well-respected industry analyst Dan Pickering noted at the time, “During the second quarter of 1998, oil companies began reducing their exploration and production (E&P) budgets. Consequently, after several months of 100 percent utilization, rig supply became greater than the demand for drilling.”

This is the anatomy of a drilling cycle and on the surface, it may appear to have a lot in common with what we are seeing in 2014. There are a few funda-mental differences, however, and those differences are important.

Back to the WellThe market for crude oil is global. To varying

degrees, every continent on Earth except Antarctica is both a producer and a consumer of crude oil. Worldwide consumption of petroleum and other liquid fuels is forecast to increase from 87 million barrels per day in 2010 to 97 million barrels per day in 2020 and 115 million barrels per day in 2040. Shale drilling in the U.S. and elsewhere will no doubt satisfy some of that demand—but not all of it.

Offshore drilling, both in the shallow waters and deepwater, is an equally important part of the world’s energy equation. As we see it, operators may retrench for a time—evaluating next steps, firming up economics, sharpening their understanding of a region’s potential—but sooner rather than later, they will ramp up interest in offshore prospects. Just as history shows that pauses in the cycle happen, it also shows a steady march to explore and produce energy found offshore.

A second consideration in thinking about the current state of the industry is found in the rel-ative strength of crude oil prices. Brent crude oil spot prices, for example averaged $107 per barrel

History Lessons

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CHAIRMAN’SLetter

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in March. This was the ninth consecutive month Brent crude oil spot prices averaged between $107 per barrel and $112 per barrel. According to the U.S. Energy Information Administration (EIA), an agency that collects, analyzes, and disseminates indepen-dent energy information, the Brent crude oil price is projected to average over $101/barrel in both 2014 and 2015. The out-year pricing is even higher.

This stability in pricing is good news for drillers and for operators alike. Our anticipation is that over time, this stability will enhance the attractiveness of off-shore prospects, and inspire the confidence needed to bolster E&P spending. Unlike some prior cycles, declining demand, due in part to economic declines, and retreating crude oil prices marked rapid declines in offshore activity. Projected increases in consump-tion and favorable prices for crude are hopeful signs of a recovery sooner, rather than later, for offshore drilling.

Stay Calm and Manage On Clearly, 2014 has started out as a challenging

period for the industry, especially for the floating rig segment, relative to the offshore activity we have enjoyed over the past four years. It is easy to become focused on near-term events and data and miss what remains a very fundamentally sound and opportunity-rich business as we move forward through 2014 and 2015.

Although the market presents its own set of challenges today, we are positioning Noble for success in the approaching cyclical upturn. The addition of 15 premium ultra-deepwater drillships and high-specification jackups continues to go exceptionally well and at few points in Noble’s history have we had the levels of backlog we enjoy today.

An advantage that comes with Noble’s nine-decade-long history is in understanding and managing the cyclical behavior of our industry. In other words, we have been here before. In my view, controlling costs and making smart busi-ness decisions isn’t just a feature of a contracting market. To the contrary, it’s the mark of a successful driller and a part of the Noble mindset.

There’s something else we can learn from history, Noble’s history that is. As the Company navigated its way through the challenges of the late 1990s, it was also preparing for the eventual revival of the industry. The EVA program, which launched Noble squarely into the deepwater drilling market was begun and completed during that time. These bold actions had lasting strategic benefits for the Company that are still yielding value today. In much the same way, we will not be content to simply wait for better times. Instead, we will remain focused on shaping our own destiny, and I believe the Noble team has what it takes to succeed.

David W. Williams Chairman, President and Chief Executive Officer

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The National Ocean Industries Association (NOIA) has named Noble Corporation as the recipient of the 2014 Safety-in-Seas (SIS)

Safety Practice Award. Noble was recognized for innovative safety leadership in offshore drilling and its commitment to employee training and develop-ment. The award was presented at the NOIA Annual Meeting in Washington, DC.

David W. Williams, Noble Corporation President and Chief Executive Officer, said, “Receiving this award is a tribute to all Noble employees who every day focus on ensuring safe and environmentally responsible operations in the Gulf of Mexico and around the world. In a larger sense, it also is a reflec-tion of the safety culture that is the cornerstone of our global operations.”

Noble was recognized for the Company’s efforts to deliver consistent operational excellence, bridging

the “experience gap” with a robust set of crew devel-opment and knowledge management processes. Noble is achieving this through enhanced new hire training, crew familiarization protocols, accelerated training programs, and an integrated simulation training environment.

Noble’s award-winning nomination was selected by a blue-ribbon panel of judges from the U.S. Coast Guard, the Bureau of Safety and Environmental Enforcement, the National Academy of Sciences Transportation Review Board, and an independent industry safety consultant. The judges noted Noble’s continued outstanding safety and environmental performance while hiring hundreds of new employ-ees and their enhanced crew development and knowledge management practices supporting strin-gent safety standards in its operations throughout the world.

NOIA President Randall Luthi said, “The offshore industry serves a vital role in meeting the nation’s energy needs. Noble’s approach demonstrates the Company’s continued commitment to performing essential services while delivering an unparalleled record of safety and operational competency.

I congratulate Noble for their valuable contribu-tion to the safety enhancement of the offshore drill-ing industry.”

Since 1978, NOIA has held the SIS awards com-petition to recognize those who have contributed to improving the safety of life in the offshore energy

Noble Corporation plc Wins NOIA Safety in Seas Safety Practice Award

Bob Newhouse, Vice President of Learning & Development accepts Noble’s award from

NOIA President Randall Luthi.

NOBLENews

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industry. Beginning this year, NOIA conferred two distinct safety awards. The Safety Practice Award recognizes specific technologies, approaches, methods or projects with direct and demonstrable impacts on improving safety. The Culture of Safety Award was added to the competition this year to

honor overall organizational immersion in and com-mitment to safety, which has resulted in remarkable, measurable, and sustained safety performance over a prolonged period of time.

Noble’s MS150 team raises $178,000 plus

A team of 57 Noble employees, families and friends rode together in the 30th annual BP MS150 on April 13-14, raising more than

$89,000 to combat multiple sclerosis with the gen-erous dollar-for-dollar Noble match to come.

The team was organized and captained by Chris Ryan and Dina Canlas with assistance from Maddie Drilling and Mayra Nunez Canepa and dozens of other employees who gave time, energy and dona-tions came together from across the Company to make the event a resounding success. A spirited group of volunteers also played an integral role in team completing its 150-mile, two-day bike ride from Houston to Austin. From a successful bake sale and raffle to various other fundraisers, Noble’s team came together to create new and creative ways to raise awareness and funds for Multiple Sclerosis research.

MS 150 riders started the race from three loca-tions in the Houston area, cycled to Bellville where they stopped for lunch, then to the Fayette County Fairground in La Grange. They spent the night there before finishing the race on Sunday at the Bob Bullock Texas State History Museum next to the Texas State Capitol in Austin.

Altogether, the team biked 10,000 miles and burned over 656,000 calories, all in the name of the worthy cause of supporting human health, medical research and support services.

In total, about 13,000 cyclists braved the long trip, raising nearly $16 million in the 2014 BP MS150 ride. While the gru-eling, two-day ride is over, fundrais-ing to benefit the National MS Society continues until August with a goal of hitting $18.5 million to beat the record $18.1 million raised last year. More i n f o r m a t i o n can be found at www.bpms150.net.

Three Additional Noble NewbuildsHeaded for Gulf of Mexico

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Joining the Noble Don Taylor and Noble Bob Douglas, which is scheduled to arrive in May, will be the Noble Sam Croft and

the Noble Tom Madden, giving Noble one of the industries newest and most able fleets in the U.S. Gulf of Mexico. Both the Croft and Madden are contracted to Plains Exploration & Production, which was acquired in 2013 by Freeport-McMoRan, a leading international natural resources company.

All four drillships are based on a Hyundai Gusto P10000 hull design, capable of operations in water depths of up to 12,000 feet and offering a variable deck load of 20,000 metric tons. The Noble Sam Croft and Noble Tom Madden will be fully equipped to operate in up to 10,000 feet of water while offering DP-3 station keeping, two complete six-ram BOP systems, multiple par-allel activity features that improve overall well construction efficiencies and accommodations for up to 210 personnel.

These rigs also are equipped with a 165-ton heave compensated construction cranes to facilitate deployment of subsea production equipment, providing another level of efficiency during field development programs.

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TAILORM A D E

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Listen closely and you can hear a hint of excitement and enthusiasm in the voice of Geir Ove Eikill as he describes the CJ-70 jackup—

an impressive unit to be sure—that’s bound for Statoil’s Mariner project in 2016. That’s when the rig, an enhanced version of Statoil’s Category J high-specification jackup, will begin a four-year drilling contract in the North Sea near the East Shetland Platform, approximately 420km (150 miles) east of the Shetland Isles.

“This is a very important project for Statoil,” Geir says. “It’s one of the largest new offshore field developments in the UK sector in over a decade. To achieve the results and efficiencies we required, we needed to take a differ-ent approach to rig contracting. That led us to a process where we came up with what we believe will be the optimum configuration for drilling in waters and envi-ronments such as we have here in the North Sea.”

Statoil’s Geir Ove Eikill, Vice President, Mobile New Builds, talks about the challenges and

opportunities ahead for one of the biggest, best equipped jackups ever built - the Noble CJ-70.

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“The rig we selected needed to be ‘tailor made’ – yet flexible enough to be deployed in a variety of challenging drilling operations,” notes Geir. “While the water conditions are in a way similar to what you could address with a floating rig, the type of drilling we had planned needed to be executed by a jackup.”

That answer came in the form of a newbuild jackup based on the Gusto MSC CJ-70-150 design. “It’s uniquely suited to operate over a very large platform or in a subsea configuration in the Norwegian sector,” says Geir, adding, “It will be capable of operating in up to 150 meters (492 feet) of water in harsh envi-ronments, with total drilling depth capacity of 10,000 meters (33,000 feet). The rig also will be capable of deploying either a surface or subsea blowout preventer when drilling wells in these challenging environments. Few other rigs ever built would deliver these features.”

Delivering this sort of unit requires a significant investment, with the jackup costing more than $600 million to construct, including project management, spares and start-up costs, but excluding capitalized interest. The multi-year contract was viewed as a way to position Noble strategically with a key North Sea operator in Statoil, and continues its recent trend toward greater uses of technology in both jackups and ultra-deepwater floaters. Moreover, Statoil was seen as a solid addition to Noble’s customer base, with drilling ranging from Norway to Brazil to Canada.

That’s a view shared by Geir, who notes Noble’s strong reputation for operations in the North Sea as being a positive factor in selecting the Company for the CJ-70 construction and operation.

The CJ-70 is slated to enter service on Statoil’s Mariner Area Development project, located in the northern North Sea. According to Statoil, the

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development of Mariner and Mariner East ultra-heavy oil fields will require an estimated investment of $7 billion.

Technically DemandingThe project lies at water depths of approximately

100m (330 ft) and is located off the British coast 40km (25 miles) north-west from the UK / Norway international boundary. Statoil expects to start pro-duction from Mariner in 2017, with average produc-tion estimated at around 55,000 barrels of oil per day and they estimate recoverable oil volumes of more than 250 million barrels.

Steady progress is being made on the construc-tion of the CJ-70, says Peter Richardson, Noble’s Director - Newbuild Jackups and a member of Noble’s engineering team working in Singapore.

“The Mariner CJ-70 Project is in the process of moving into the latter stages of engineering and early stages of construction,” notes Peter. “The project is supported by a team from Noble’s engineering

department and North Sea operations group working together with Jurong Shipyard. Our team is enhanced by a select group from Statoil, who are providing technical assistance and support whenever needed.

“The engineering phase has proved challeng-ing in meeting the requirements of the technically advanced Category J specification and at the same time conforming to and in many instances exceeding the stringent NORSOK Norwegian rules and regula-tions,” adds Peter. “To ensure this project is a success for all involved, the Jurong Shipyard appointed key personnel from their previous high-spec newbuild projects. We have taken the same approach and are benefitting from many of the ‘lessons learned’ by including Noble personnel who were involved through the engineering, construction, commis-sioning and acceptance phases of the successful JU3000N projects.

“For the past several months a strong emphasis has been on identifying opportunities to save weight through efficient design and use of lightweight materials. Optimizing the standard CJ70 design is an investment that will pay dividends throughout the life of the rig operating on the Mariner field and beyond,” Peter said. “The early stages of construc-tion are progressing well with the three spud cans ahead of schedule and steel cutting for the lower hull blocks starting ahead of time.”

Geir confirms the good progress being made so far and complimented the Noble team’s performance.

“I visit the shipyard every few weeks and can say that I am impressed with how things are going,” Geir adds. “This is a very demanding project, both in terms of the unit being built and the performance standards we have set. Noble’s team is truly com-mitted to the project and I look forward to seeing this important new asset at work for Statoil.”

As seen in the illustrations at left and above, the CJ-70 is uniquely suited to operate over the very large platforms located in the North Sea.

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The Doctor will see you now...offshore.

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Telemedicine has arrived offshore Benin through an innovative medical suite

aboard the Noble Globetrotter II.

Imagine a crew member walks into a clinic complaining of abdominal pain and drowsiness. This could be symp-toms of the onset of a mild stomach flu that typically passes in a day or two. They can also be the warning signs for something much more serious, such as diabetic ketoacidosis (DKA), an emer-gency condition caused by untreated hyperglycemia. Unaddressed, ketoaci-dosis can be a life-threatening situation for those with diabetes.

Quick action by a trained medical team can, in a word, save the patient’s life. Onshore, that usually translates into a trip to the emergency room. But what if the nearest hospital is two hours or more away by helicopter? Clearly, time is of the essence and delay in getting a diagnosis is the enemy.

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“The issue we face is that while we have made great progress in occupational and process safety, there will always be personal health and wellness issues facing our crew members,” says Jarrett Marsh, HSE & Q Manager with Noble’s Engineering depart-ment. “Just like in the general population, our crews will from time to time face health concerns requiring attention. How to address those concerns, some-times in remote settings, is the challenge.”

Since the earliest days of offshore drilling, rigs have been equipped with a full array of first aid supplies and, in more modern times, a highly-trained medical support person to address immediate care needs. As rigs grew more self-reliant, the position of “ship’s medic” became more formalized and qualifications more stringent.

Today, the typical rig in Noble’s fleet is well equipped to deal with the day-to-day medical needs of the crew. Should more intense treatment be needed, “medevac’ing” a crew member to shore may still the best option—provided onshore treatment is readily available. For operations in more remote or distant locations that can prove to be a problem.

Finding a Better WayFrom the outset, Noble’s Globetrotter-class

vessels were always envisioned as being highly-capa-ble units that could be deployed globally. The Noble Globetrotter I, launched in late 2011, is today working in the U.S. Gulf of Mexico, where helicopter service and hospital facilities are easily accessed. Its sister rig, the Noble Globetrotter II, a newbuild drillship launched in 2013, is located more than 3,000 miles away offshore Benin, a country where support ser-vices are less well developed.

In considering onboard medical and first aid ser-vices for the Noble Globetrotter II, Noble and its cus-tomer, Shell, have taken those services to a whole new level. On that drillship an onboard professional team and ready access to “telemedicine” are helping crew members address both routine and many non-routine medical concerns—without the need to leave the rig.

Long before the Noble Globetrotter II completed construction in the port city of Schiedam, The Netherlands, a joint effort between Noble, Shell and Louisiana-based XstremeMD began collaborat-ing on enhancing diagnosis and medical treatment capabilities to be housed aboard the rig.

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Taking Shipboard Care to the Next Level“This all started as a requirement from Shell for

the Globetrotter II working in West Africa,” says Diego Arana, who served as Noble’s Drilling Superintendent for the rig. “While that was where we started, I believe we have achieved something that’s a step-change for the industry.”

The origins of the Globetrotter II’s medical program grew out of a somewhat casual conversation on the sidelines of the Institute of Remote Health Care

Conference, held in Bergen, Norway, where Dr. Joseph Pearson, President of XstremeMD, and 79 other remote health care experts came together to discuss advances in remote health care.

The Remote Health Care experts were assigned the task of developing a set of on-site health rec-ommendations for all companies and organizations deploying their workforce into more and more remote environments.

“While participating in the conference, I met Christian Gorgas, Shell Regional Health Manager, Nordics and Hans Berg, Shell Global Health Lead Projects & Technology,” recalls Dr. Pearson. “They were responsible for ensuring quality health care on board the Globetrotter II and approached XstremeMD for our assistance.”

Using the recently published guidance document from the Bergen conference, and in collabora-tion with Jarret Marsh, Noble; Dr. Joseph Pearson, XstremeMD and Ketil Vindenes, Viju, we began the process of planning the services that could be needed on board the rig. This process included plan-ning and prevention, on-site personnel, equipment and supplies and remote/topside support.

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“Said simply, the Globetrotter II as one of the most technically advanced infirmaries among drillships in service today,” says Dr. Pearson. “It is staffed with a phy-sician and nurse 24/7/365. We are able to perform on site X-Ray, Ultrasound, and blood draws. When needed, the on-site health professionals have additional topside medical expertise within seconds of a push of a button. With these advancements, the emergency response plan now allows the on-site and topside medical support to treat and stabilize patients on board the drillship for extended periods of time without having to rely on risky and sometimes logistically impossible emergency

medical evacuations to substandard health care facili-ties on the beach.”

“In the first year of operations, I believe we have clearly shown how valuable this program is and how it can work particularly well in remote locations. What we have put in place here is a great example of collaboration that is literally rewriting the book on remote health care aboard offshore drilling rigs,” says Marsh. “I believe you will find that all parties who are involved with this project are extremely proud of what has been accomplished.”

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As a recent example, a crew member presented to the infirmary with nausea and vomiting. Laboratory data revealed the patient to have a life threatening blood sugar level of greater than 600. To com-plicate matters, the patient had no history of diabetes and additional laboratory data indicated he was in diabetic ketoacidosis. Emergency medevac was not an option. On-site health professionals, Dr. Abril Capistrano M.D. and Marco Bonto R.N., immediately began life saving treatment with fluid resuscitation.

Within minutes, via telemedicine, they consulted Dr. Pearson, a board certified emergency medicine physician located in South Louisiana, for additional guidance with regards to electrolyte management, insulin doses and drips, fluid replacement, urinary output etc.

Over the next 12 hours, the patient received better and more immediate health care on board the rig than he could have received in any available local health care facility on the beach. Ultimately, the patient was transported in the next day via the next available helicopter. From there he was transported and admitted into to a local health care facility nearby his home-town for continuation of treatment.

CASE STUDY

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What’s

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It’s a bit like sitting on the flight deck of the Starship Enterprise. Two men sit side-by-side in futuristic

chairs equipped with joysticks and lots of touchscreen buttons. In front of them is a cockpit window but instead of the Final Frontier, they’re looking out over a drilling floor on an offshore rig.

When they push buttons in the proper sequence, the HydraRacker™ pulls a 30-foot section of pipe off the rack and stabs it into place. Push more buttons and the iron roughneck reaches over, grabs the pipe and screws it in. Push more buttons and the top drive drops into place and starts drilling.

The Noble Excellence through Technology Center takes in-house training, development and teamwork to a whole new level.

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It looks real. But it’s a simulation driven by com-puters projecting images on a big screen. The the-ater-like classroom is at Noble’s new training facility, dubbed Noble Excellence Through Technology (NEXT) Center.

“This is just about like being there,” says Lance Mills, an Assistant Rig Manager on the Noble Don Taylor. He is working in the simulator as part of a four-day course on how to operate Noble’s newest cyber-based drilling rig systems.

Being there—or at least, feeling like it—is the point. But simulators reminiscent of NASA astronaut training are just part of the program put together by Noble’s Learning & Development (L&D) group, which in April received a Safety Practice Award (see article on page four) from the National Ocean Industries Association. Developing leaders and teams that operate cohesively and understand how to work together to safely operate the rigs is critical. The goal is to build a robust learning and develop-ment culture that reaches the employee in many ways: from on-the-job lessons, to classroom courses and full-immersion simulation.

“The simulations are cool, so it’s easy to get laser focused on that, but there’s a bigger element to it,” says Bob Newhouse, Vice President of Learning and Development, who runs the NEXT Center.

Adds Tony Willis, Director of Leadership and Talent Management: “We’ve got the technical envi-ronment, but we also have the human side, the communication skills, leadership skills and ability to influence and motivate and empower others. Those are all pieces we need to build into our training classes as well.”

As of early April, more than 100 courses and other events, attended by over 1,200 people, have been held at the NEXT Center since the August 1 opening of the 30,000-square-foot facility near Noble’s Sugar Land office. The NEXT Center’s catalog lists 24 courses, which vary from two to five days each and cover almost every aspect of rig operation.

Beyond regular classes, the 25-member team running the Sugar Land facility hosts workshops to focus on specific issues, such as the industry’s per-sistent need to prevent hand injuries. The NEXT Center holds planning meetings with customers. There are team-building social events supported by a kitchen and dining facilities.

There are specialty classes for crane operation, ballast control, dynamic positioning, driller develop-ment, well control, electricity and electronics (both AC and DC), hydraulics trouble-shooting, subsea

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systems and top drive maintenance. Simulator classes are intentionally small, two to eight per course to give every student plenty of seat time in the simulator. Classroom sessions can be larger, up to 21. Technical skill classes aren’t just for the rig workers. Managers and executives take them. And courses on leadership aren’t just for the top brass.

“We want every employee to feel like they lead their business, lead themselves and help lead the team,” Willis says.

Influencer training and crucial conversations are classroom courses that teach effective communi-cation for all levels of staff, and participants like the camaraderie that develops.

“I enjoy the diverse group of people you find at the NEXT Center. Onshore and offshore employ-ees get a chance to spend time together which they otherwise wouldn’t,” says Kent Caldwell, who is taking driller classes and is working rotating shifts on rigs and in the office as he participates in Noble’s Operations Management Development Program.

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Noble, which employees more than 8,400 team members, 80 percent of whom are rig-based, created the NEXT Center in part as a response to Chairman and CEO David Williams’ strategy to move the fleet into high technology. Another driver is the industry-wide challenge of the “great crew change,” a generational surge in retirements triggering an accelerated need to hire and train replacements.

Beyond retirement-driven turnover, Noble is growing. The Company has added 14 state-of-the-art, cyber-based rigs to its fleet since 2010, each requiring a crew of up to 200 employees. The advanced technology on those rigs requires more than just on-the-job training, which the industry has relied on for decades.

“We knew that traditional ways of training our crews had to change to keep up with the new tech-nology,” says Fritz Golding, Director of Simulations and Technical Training. “The learning curve is steeper and there is more to know and understand.”

To overcome that challenge, Noble’s L&D team, in cooperation with vendors Drilling Systems, GE

ConverTeam and Kongsberg, has built simulations for every one of its cyber-based rigs--including newer rigs yet to be delivered, necessitating frequent visits to the shipyards doing the rig construction.

Spanky McGehee, Manager of Drilling and Well Control Training, runs the driller development, Cyberchair, well control and stuck-pipe courses for Noble. Combined, these courses address opera-tional efficiency and core issues drilling crews face every day. The Noble Stuck Pipe Course features a hands-on simulated exercises in which the driller works to free a pipe string stuck in a well bore. He uses a conventional drilling simulator, the old

“squeaky brake” system, to add an old-fashioned tactile element to the experience.

Recently, McGehee’s team had a driller on the hot seat and watched him struggle with a difficult down-hole challenge. “What he has to do is slack off, screw the top drive in, put on his pumps and start rotating, and he’s going to have to keep working it to resolve the issue. But we don’t tell him what to do. He has to figure it out himself,” McGehee says.

In addition to the theater-size simu-lator, the NEXT Center has two smaller simulators for driller training. There’s a

full-motion simulator to sharpen ballast control and jackup stabilization skills. The

simulator, at right, sits on pistons and heaves and rolls to mimic the motions of

drilling vessels at sea.

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To create simulations, L&D simulator training specialists videotape actual offshore rig operations they want simulated, and they show those videos to the vendors who develop the software. Simulation versions come back to the Noble team for testing and tweaking to ensure accuracy.

Simulation maintenance is constantly underway, governed by a change-man-agement process that keeps simulations current as rig systems evolve. Instructor Chris Jass has a network of assistants on the rigs who send him video and other feedback to assimilate.

“You go to my desk right now. I have two computer screens up with pictures I’ve taken plus video I can keep going, frame by frame, making sure that we’re writing our procedures like they’re running it out there,” Jass says.

Other simulators support courses on dynamic posi-tioning, power management, crane operations and well control.

Making it Real

24

Most dramatic simulation, perhaps, is the course on management of major emergencies, which puts rig teams in a simulated control room to experience various scenarios including a blowout, an explosion and fire, a vessel collision or structural collapse due to wave damage.

After each exercise, trainees decompress and discuss their performance with instructors in a seminar room next door.

A recent scenario involved a helicopter crashing on a rig helideck and catching fire. Instructors clos-eted behind one-way glass, communicating by radio,

played various role in the dramas: the helicopter pilot about to crash, fire teams fighting the blaze and res-cuing casualties and vessels in the vicinity trying to help.

All the while, an alarm sounded loudly in the room, adding stress to an already chaotic simulation.

“It was a great experience,” says Drilling Superinten-dent Johnny Whitstine, who has 35 years in the industry, 33 with Noble. “I have experienced evac-uations and other crisis situations during my career. I feel I would have been better prepared to manage those events had I previously taken this course.”

In the Hot Seat

“It was a great experience.”

25

Simulations Close the GapOne of the challenges in keeping offshore rig crew

trained-up is that drillers, derrickmen, technicians, man-agers and everyone else work rotating shifts. They are off duty and away from their rig half the time. So, even if trouble occurs, they may not be present and on duty when it does. Simulations help close those gaps in rig teams’ experience.

“We say here’s your scenario. We’re going to play it real time. We want your heart rate to go up. We want the ice cold sweat, because if we can create an experience in the training center, that drives your belief system, it changes your actions and produces different results in an actual event,” Willis says.

The Noble L&D team is always planning something new. On the development agenda is a full-rig exercise involving a whole rig operating team, an exercise that is possible because the various simulator suites are right next to each other in the NEXT Center.

The idea goes like this: A driller trainee would be in the theater-style drilling simulator. Next door, a dynamic positioning operator would be in the DP simulator. Next to the DPO, power management and ballast control workers would be in their simulators. “Everybody’s

working ahead at their specific tasks, and then in a remote room you can have the ‘evil scientist’ instructor push a button and, for example, drop two generators. They all have to react because it affects all of them in different ways,” Newhouse says.

“We’d load 15 or 20 guys in here and say, for three days, we’re going to run the rig team through scenarios such as collision, fire, well control, loss of power or bad weather” Newhouse says.

“Then we’d pull everybody out, go sit in a big training room around a table and say, ‘What happened? Did that work? Does the procedure match? Was communication good?’ That’s really where the investment in all this sim-ulation pays off. That’s its true value. There’s never been the ability to do that before.

“The bottom line is that the philosophy at Noble is to create the richest learning and development environ-ment and culture. The NEXT Center, simulators, PATH, etc. are each individual elements in that environment. Our goal is to create systems that help maxi-mize the potential of our team members, enhance safety and drive efficiency across the enterprise. By definition, that means that we will always be asking ourselves, “What’s next?”

26

In the U.S. and many other countries, May is National Stroke Awareness Month. It’s a good time to make sure you know how to avoid a stroke,

how to recognize when it happens, and what to do. A recent survey found that only 38 percent of people correctly identified all five symptoms of stroke and knew to contact emergency aid if they thought that someone was having a stroke. Why should you know the signs of stroke? Because patients who get emer-gency treatment within three hours of showing their first symptoms tend to be healthier three months after a stroke than those whose care was delayed.

What Is Stroke?A stroke is a disruption in the blood supply to the

brain. Most strokes are caused by blockages (usually blood clots) disrupting the brain’s blood supply. Stroke is a leading cause of death in the United States, killing nearly 130,000 Americans each year. Although stroke risk increases with age, strokes can—and do—occur at any age. In 2009, one-third of people hospi-talized for stroke were younger than age 65. If you or someone you know shows any symptoms of a stroke, get to a hospital quickly to begin treatment.

Symptoms of StrokeThe five most common

signs and symptoms of stroke are:

• Sudden numbness or weakness of the face, arm, or leg.

• Sudden confusion or trouble speaking or understanding others.

• Sudden trouble seeing in one or both eyes.

• Sudden dizziness, trouble walking, or loss of balance or coordination.

• Sudden severe headache with no known cause.

Stroke Awareness Can Save Lives

WorkSafe...LiveSafe

27

Tips for Preventing Stroke

Eat a healthy diet.  Be sure to include plenty of fresh fruits and vegetables. Eating foods low in saturated

fat and cholesterol and high in fiber can help prevent high blood cholesterol. Limiting sodium in your diet also can lower your blood pressure.

Maintain a healthy weight.  Being overweight or obese can increase your risk for stroke. To deter-mine whether your weight is in a healthy range, doctors often calculate a number called the body mass index (BMI).

Be physically active. Physical activity can help you maintain a healthy weight and lower cholesterol and blood pressure. The Surgeon General recom-mends that adults engage in moderate intensity exercise for at least 30 minutes on most days of the week.

Don’t smoke. Cigarette smoking greatly increases your risk for stroke. If you don’t smoke, don’t start. If you do smoke, quitting will lower your risk of having

a stroke. Your doctor can suggest ways to help you quit.

Limit alcohol use.  Avoid drinking too much alcohol, which causes high blood pressure. For women, that means no more than one drink per day; for men, no more than two drinks per day.

Have your cholesterol checked.  Your health care provider should test your cholesterol levels at least once every 5 years. Talk with your doctor about this simple blood test.

Monitor and control your blood pres-sure.  High blood pressure often has no symptoms, so be sure to have it checked on a regular basis.

Manage your diabetes.  If you have diabetes, closely monitor your blood sugar levels. Talk with your health care team about treatment options.

Talk with your health care team.  You and your doctor, nurse, pharmacist, or other health care professional can work together to prevent or treat the medical conditions that lead to heart disease and stroke. Discuss your treatment plan regularly and bring a list of questions to your appointments.

You can greatly reduce your risk for stroke by

leading a healthy lifestyle and working with your

doctor to treat and control your medical conditions.

28

Road Warriors

For Noble employees, staying connected to work and family is a must, but hitting the road with technology opens the doors to

a world of potential security problems.

“Often, the weakest link in a computer or smart phone’s security can sometimes be you the owner and user,” notes Muni Chatarpal, IT Manager - Enterprise Security. “At the same time, as long as you don’t put yourself, your computer, or its data at unnecessary risk, you can have both security and ease of access even at an airport, coffee shop or local Wi-Fi hot spot.”

Here’s what you can do to protect yourself. Security starts with doing the basics well – includ-

ing know where your digital devices are at all times. While global numbers are even more staggering, crimes involving cell phones now comprise 40 percent of thefts in major American cities, accord-ing to the Federal Communications Commission’s analysis of statistics provided by police departments. Thefts of laptops and tablet computers are also on the rise.

“This should go without saying,” says Chatarpal “But if you’re going to be working in a public

29

environment, your best bet is to always take your phone and/or laptop with you when you have to move anywhere. Even if you get up from a table at a coffee shop to buy a refill or pastry, that’s all the opportunity a thief needs to pocket your device.”

The next step is to make sure the data on it is protected as well. Untrusted networks and insecure connections can make this difficult, but not impossi-ble to achieve.

“Make sure that you have the latest security soft-ware installed, even if you just updated it a week or so before,” says Chatarpal. “Hackers are always developing new ways to exploit weaknesses in digital devices—so a security patch that’s even a month old may have holes in it big enough for someone to access your data.”

“You should also make sure your system is pro-tected by a strong password, you’re not using an administrator account, that your computer is set to lock when idle or asleep, and that you lock it every time you have to leave it unattended.”

Disguised InvitationsMany threats to computer security are actually

“invited” in – such as in the case of phishing emails sent to home, work and mobile devices. Almost anyone who uses email as seen plenty of emails offering to transfer funds from some unexpected windfall or asking for account information—all with at least the pretense of authenticity.

Phishing emails can be a problem to both desktop and mobile devices, as they often used by cyber criminals to install malicious software on your com-puter with the intent of stealing sensitive informa-tion or even your identity.

Over the last 12 months, Noble’s IT security team sent phishing emails to Noble business users as a

means of providing instruction on how to recognize phishing messages.

“We saw a dramatic improvement in user aware-ness as the exercise resulted in a near 60 percent drop in the number of phishing email detected and ignored by employees,” says Chatarpal. “This proves the point that one of the best defenses against cyber crime knowledgeable and security aware user.”

When it comes to email security, remember:

• Don’t divulge personal or company sensitive information in emails or web pages.

• If you notice spelling or grammatical errors in emails containing links or attachments, it is probably a scam.

• Use caution when opening emails from unknown sources.

• If the email imparts a sense of urgency in the body or subject of the message, it is probably a scam.

• The best phishing emails are designed to look official – particularly with hot linked logos and official looking addresses.

These methods range from the simple to the effort-intensive, so take them as you see fit, and judge them against the actual risk you think you and your data will face while you’re away from home.

30

Social media websites and blogs are Internet sensations that have exploded onto the online scene. You may have personal blogs and/or Facebook, LinkedIn, and Twitter accounts that

you feel must be checked and updated every day. The question is, do you have any business updating your profile, tweeting, or adding new blog entries at work? There may be a few exceptions, such as certain Noble employees authorized to use LinkedIn for authorized work-related purposes, such as corporate recruiting activities, but the majority of employees are restricted to limited use.

Risky BusinessHere’s what you should know about the risks of posting material

online during working hours or related to Company information.

Employees who post information about projects they’re working on, company developments or other company related activities can open the door to the unauthorized release of con-fidential information.  Likewise, an employee who posts content that harms another person or company, such as our customers or investors, can put our Company, as well as themselves, at risk

for litigation.

Because social media is an online tool, it leaves users open to risks such as viruses, malware, phishing scams, and identity theft.  Hackers may use social networks to spread malicious code, compromise users’ computers, or access personal information about a user’s

identity, location, contact infor-mation,  and personal or profes-sional relationships.

There’s plenty to about Social Media –

Except When it Compromises Job Performance

ETHICSAzimuth

31

In addition, one inappropriate or inflamma-tory  post from an employee can generate sig-nificant  backlash which can then go viral. Most companies agree that inappropriate social media use can pose a serious reputational risk. Additionally, an employee who belittles the products or services of a competitor could make a business liable for damages relating to defamation.

Inappropriate use of social media can also raise compliance concerns regarding disclosure of company financial information—with implications for the Company’s investors. For instance, informa-tion regarding when a rig will move to a new location or require shipyard work could be considered insider information.

Policy Implications for Noble EmployeesReleasing sensitive information over the internet

(or in other forms of communications) is prohibited by Noble’s Code of Conduct. All Noble employ-ees are expected to use good judgment in deciding what to post—but of particular concern are legally restricted records, data or operational information regarding the Company’s rigs, crews and customers. Posting such information to social media is strictly prohibited.

There are also other materials the Company is required to maintain as confidential or has agreed to do so with our customers or suppliers—such as pricing information and future plans—which must never be disclosed without explicit prior approval.

The key principle is that the communication of information, whether facts, speculations, rumors or criticisms of Noble, even on personal social net-working sites, could harm our reputation and impair our business. In addition, Noble employees should

never post a comment, picture or anything else that could call their professionalism into question. Actions that are unacceptable in other settings are also unacceptable online. Noble’s expectations of its employees apply even when accessing the internet by personal means, for personal use. It is also import-ant to note that although limited use of Noble IT and telecommunication facilities for personal use is cur-rently generally acceptable, the use of these facilities, including your personal use, is logged and monitored.

In addition, it is important to remember that there is limited authorization to speak on behalf of the Company.

A Question of BalanceOne need look no further than the success

Facebook and LinkedIn to know that social media and networking sites fill an important role in modern communications—with millions of visitors to those sites every day. Understandably, Noble employees may see those sites as a viable way to keep in touch with family and friends, which it can be. At the same time, there’s a real difference between posting pic-tures of a family picnic versus detailed information about rig activities or posting the announcement of the graduation of a family member versus your thoughts on what you may really think about your boss or co-workers.

“At the heart of this discussion is that we encour-age our employees to exercise caution in what they choose to post,” says James Sanislow, Noble’s Vice President & Chief Compliance Officer. “This is for their own protection, as well as for the benefit of Noble. Once something is disclosed through social media, the information may be accessed indefinitely and in many contexts that may not have been con-templated at the time.”

EMPLOYEERecognition

32

BrazilFelippe de Souza Financial AssistantJeffrey Miller Rig Manager

EuropeSebastiaan Bouwers Assistant Rig Manager - NightsEdward Debono Assistant Rig Manager - JuniorRutger Goeting Rig ManagerMaarten Kruiten Assistant Rig Manager - JuniorArmands Snepsts Assistant Rig Manager - Junior

Middle East & India Herschel Aultman Drilling SuperintendentRex Fiala Rig ManagerTed Gillard Drilling SuperintendentWilliam Glover Assistant Rig ManagerJeremy Mills Rig ManagerJudson Wise Assistant Rig ManagerGary Wright Assistant Rig Manager

United StatesRaymond Allen Rig ManagerDerek Beatty Drilling Superintendent - JuniorKaroline Bowen Operations Management Development Program TraineeJeremy Carver Assistant Rig Manager - JuniorKevin Colclasure Assistant Rig ManagerNathaniel Coleman Assistant Rig ManagerJonathan Gay HSE & Q SupervisorCollin Gee Captain/MasterElizabeth Gonzales Business AnalystCharles Grant Assistant Rig Manager - JuniorLester Guin Assistant Rig ManagerYoung Jeong CAD Worldwide ManagerMegan Mollaei Executive AssistantChristie Sade Marketing & Contracts DirectorMichael Simon Rig ManagerHenry Smith Systems AnalystKenneth Stephens Rig ManagerAlexander Travis Assistant Rig Manager

West AfricaDavid Williams Rig Manager

Promotions and AdvancementNovember 2013 - April 2014

Planning and preparation are keys to a safe outcome in all that we do. Noble crews worldwide know this firsthand and are practiced at analyzing the tools, training and techniques needed do their jobs well. We salute the crews of those rigs who have distinguished themselves with outstanding safety performance for a job well done.

Years without an Lost-Time Incident

84

121826Columns

TAILOR MADEStatoil VP discusses

the opportunites ahead for the

Noble CJ-70

NOBLE NEWSSafety in Seas Award, charity efforts & Noble

Sam Croft departs

19 yrs Noble Johnnie Hoffman17 yrs Noble Sam Noble

Noble Ed NobleNoble Ed HoltNoble Gene Rosser

15 yrs Noble John SandiferNoble Max Smith

Noble Percy Johns

14 yrs Noble Ton van LangeveldNoble Bill Jennings

Noble Carl Norberg

13 yrs Noble Lynda BosslerNoble Julie RobertsonNoble Homer Ferrington

Noble George McLeodNoble Roy Butler

12 yrs Noble Ronald HoopeNoble David Tinsley

Noble Earl Frederickson

11 yrs Noble Dick Favor9 yrs Noble Jimmy Puckett

Noble Byron WelliverNoble Jim Thompson

8 yrs Noble Charlie Yester Dhabi II7 yrs Noble Gus Androes

Noble Danny AdkinsNoble Roger Lewis

6 yrs Noble Jim DayNoble Eddie PaulNoble Roy RhodesNoble Roger Eason

Noble Leonard JonesHibernia M-71 M-72Noble Paul Romano

5 yrs Noble Hans DeulNoble Kenneth Delaney

Noble Chuck Syring

4 yrs Noble Harvey Duhaney3 yrs Noble Joe Beall

Noble Discoverer Noble Therald Martin

Noble Leo SegeriusNoble PhoenixNoble Duchess

2 yrs Noble Charles CopelandNoble Dave BeardNoble Amos Runner

Noble Piet van EdeNoble Scott Marks

1 yr Noble Tom JobeNoble Bully I Noble Globetrotter IINoble Bully IINoble George SauvageauNoble Globetrotter I

Noble Al WhiteNoble Tommy CraigheadNoble Gene HouseNoble Paul WolffNoble Don Taylor

How You Practice is How You Play…

THE DOCTORwill see you now,

advances in remote medical

care offshore

WORK SAFELIVE SAFE

Stroke awareness can

save lives

WHAT’S NEXT?Noble takes

in-house training to a new level

28 Technology Desk Computer Security on the Road

30 Ethics Azimuth Social Media Websites

32 Noble Recognition Employee Promotions

Spring 2014

Noble Drilling Services Inc.13135 South Dairy Ashford, Suite 800

Sugar Land, Texas 77478 NOBLELinkNOBLELink

The Noble LINK is published by and for the employees of Noble Corporation and its subsidiaries and for our clients and friends.

Comments regarding the Noble LINK should be directed to:

John Breed, Noble Drilling Services Inc.13135 South Dairy Ashford, Suite 800

Sugar Land, Texas 77478Email: jbreed@noblecorp.com

Editor: John Breed Design: Scott McFarlane