Allowances

The Company pays allowances in addition to the basic salary for special conditions as recognized by Management. Allowances are designed to reimburse employees for incurred expenses or assist them in offsetting certain expenses under specified conditions, or to compensate eligible employees for the demands of certain work assignments or to comply with statutory requirements. Allowances are indicated separately from the monthly basic salary and are clearly identified for the purpose for which they are granted. Allowances are subject to modifications or withdrawal according to prevailing circumstances as determined by Management Current allowances are as follows:

Cost of living allowance
(10% of basic salary) Allowance is paid monthly to all direct hire national employees and SDP Secondees of Section Head and below.

Field allowance
(20% of basic salary for field based employees). Allowance is paid monthly to national direct hire employees and SDP Secondees of Section Head and below based in the field in recognition to hardship in the fields and inconvenience of working irregular hours.

Shift Allowance
paid monthly to' employees who are required to work on a rotating shift pattern and in recognition of the inconvenience of working irregular hours and those are: Production Operators, Pipeline Operators and Security Personnel working on 24 hours shift schedule. Amount of allowance is per quantum.

Commuting Allowance
paid monthly to eligible field national employees to compensate them for the travel time between the camps (Heglig base camp and Unity base camp) and the work location in the remote field production facilities.