Metalex Oil & Gas Corporate Profile

Corporate Profile
of
Metalex Construction Industry Trading Co. Inc.
December, 2006
Your
Dependable
Business
Solution
Partner
TABLE OF CONTENTS
 Company Details
Our Mission and Vision

Metalex in Brief
Company Information
Scope of Capabilities
 HSE & Quality Management System
Environmental Management System Policy

HSE Policy
Quality Management System Manual
Health safety Environment Manual
 Certificates
Chamber of Commerce Registration Certificate

Turkish Energy Market Board Registration Certificate
DIN EN ISO 9001:2000 Certificates
 Company Experience
Completed Projects
Refinery & Plant Projects
Acoustic Emission References
 Human Resources
Management Bios
Organization Chart
 Machinery & Equipment
List of Machinery & Equipment Owned by the Company

Head Office Computer Network
 Metalex Engineering & Design Group
Engineering – Piping / Mechanical

Engineering – Civil / Structural
3-D Plant Design
Power Plants
Natural Gas
Refineries
Petro-Chemical Plants
Team
Software Technology
COMPANY
DETAILS
OUR MISSION
We exist to;
materialize projects requiring advanced technology and specialization,
create benefits for our employees, our company and end users,
provide the satisfaction of our customers in maximum level,
in design, engineering, procurement & supply, construction, testing and

commissioning jobs of pipeline, oil & gas facility and infrastructure
construction projects in energy sector and various industries.
OUR VISION
Metalex is a company, which
produces its own technical specifications and technology in world energy

sector,
is accepted by all over the world with its success in design and application
processes,
contains the most advanced techniques and technologies in working
areas,
aims continuous development,
is dynamic and provides integrity with its employees.
Metalex holds ISO 9001-2000, ISO 14001 & OHSAS 18001 certificates and
operates as per requirements in these certifications.
Metalex in Brief
Metalex has been established in 1996 as a limited liability company. In the year
2000 it has turned into an incorporation. It is registered as an authorized
engineering company and EPC contractor in the short-lists of many international
Clients in its area of activity both for high pressure cross-country pipelines and
low pressure distribution pipelines together with refineries and oil & gas
facilities.
The core of Metalex is formed by a group of highly experienced specialists who

worked together as a team in most of the biggest energy and infrastructure
projects in the middle east and FSU countries, majority in Turkey, built over the
last four decades. These people who are the most valuable asset of the
company have worked in the top posts of these projects as project managers,
construction managers, site managers, QA/QC managers, spread bosses, lead-
engineers, specialists, supervisors and foremen covering all phases including
engineering, design, material and equipment procurement, construction, quality
control, testing, commissioning and operation.
The company has the necessary computer infrastructure in its head-office for in-
house engineering and design capacity and obtains specialist service from a
group of local engineering sub-contractors for more detailed projects.
The capabilities of Metalex as a general contractor covers nearly all phases of

oil & gas pipeline, refinery and facility construction and industrial plants design
and construction. The market target is the Middle East, North African and
Eastern European countries. The capabilities and strength of Metalex is detailed
in the following sections of this company profile. For more information, latest
news and upcoming events please visit our site www.metaleks.com.tr.
Metalex, as a turn-key contractor, aims to become your dependable business

solution partner for all projects covering our scope from project development to
all phases of execution.
Company Information
Head Office
Address : Kırkpınar Sk. No:10/13-15 06550
ÇANKAYA – Ankara -TURKEY
Telephone : + 90 (312) 440 45 80 (10 lines pbx)
Telefax : + 90 (312) 440 46 61
+ 90 (312) 446 66 63
http : www.metaleks.com.tr
e-mail : metaleks@metaleks.com.tr
Tax office : Hitit V.D. - 619 019 5486
Canada Branch Office

Contact : Mr. Halil BULUBAY, M.Sc. Electrical Engineer
Address : 5214 Manor Street, Burnaby BC V5G 1B7, Canada
Telephone : + 1 (604) 435 21 13
Telefax: : + 1 (604) 205 74 69
e-mail : sira@silkyroad.net
Metalex Romania s.r.l.
Contact : Mr. Gabriel POPESCU, Civil Engineer

Address : Boulevard Unirii No:20 Building 5/C sc.1 et.7 ap.51
Sectör 4 Bucharest / ROMANIA
Telephone : + 40 (21) 335 69 35
Telefax : + 40 (21) 335 70 94
http : www.metaleks.com.tr
e-mail : rometalex@metaleks.com.tr
Metalex International Trading S.A.L., Lebanon
Contact : Mr. Aziz Olcay, M.Sc. Civil Engineer, C.E.O.

Address : Central Beirut District, Marfaa 157, 1st Floor
Beirut, Lebanon
Telephone : + 961 1 99 90 89
Telefax: : + 961 1 99 92 89
Mobile : + 961 718 03 778
http : www.metalextrading.com
e-mail : azizolcay@metalextrading.com
Company Information
Head Office
Contact: Aydın YURDAYAR, B. Sc. Mechanical Engineer
Address: Kırkpınar Sk. No:10/13-15 06550
ÇANKAYA – Ankara -TURKEY
Telephone: + 90 (312) 440 45 80 (10 lines pbx)
Telefax: + 90 (312) 440 46 61
WEB: www.metaleks.com.tr
e-mail: metaleks@metaleks.com.tr
Tax office: Hitit V.D. - 619 019 5486
Metalex Kuwait
Address: P.O. Box 7178 South Tank Farm Area,
Ahmadi, KUWAIT
Telephone: +(965) 238 666 42
Telefax: +(965) 238 666 45 / 122
WEB: www.metalexconstruction.com
e-mail: infokw@metalexconstruction.com
Metalex Saudi Arabia

Address: Dhahran Str. Al Ghutmi Building 2nd Fl. No 1/2
Alkhobar, SAUDI ARABIA
Telephone: + (966) 38641717
Telefax: + (966) 38891977
e-mail: infosa@metalexconstruction.com
Metalex Oman
Address: PO Box 993, Postal Code 310, Bawshar,
Muscat, Sultanate Of Oman
Telephone: + (968) 24607581
Telefax: + (968) 24607580
e-mail: infoom@metalexconstruction.com
Metalex Yemen
Address: PO Box 19897, Diplomatic Area,
Sanaa, Republic Of Yemen
Telephone: + (967) 1443662
Telefax: + (968) 1443663
e-mail: infoye@metalexconstruction.com
Metalex Scope of Capabilities
• Third Party Inspection

• Engineering
• Design
• Survey
• Procurement
• Construction
• Testing
• Commissioning
• Operating
• natural gas, crude oil, water and product pipelines of diameters ranging
from 1/2" to 60"
• pressure reduction, metering, block valve, take-off valve, compressor

stations for natural gas
• oil refinery units, central processing facilities (CPFs) for crude oil
• LPG storage and filling plants
• oil product storage and filling facilities, cylindirical, floating roof,

atmospheric and spherical tanks
• flowlines and gathering lines
• pump stations for liquefied products water and crude oil

Metalex Scope of Capabilities (continued)
Services for oil & gas and various industries
• Mobilization, camp construction, steel construction design and installation
• Survey works using GPS techniques, preparation of cadastre maps,

alignment sheets, as-built drawings, P&ID's, isometric drawings
• Pipeline field cold bending, bending engineering
• Welding services both manuel and automatic welding with CRC, Serimer
Dasa and Passo Welding System Equipment
• NDT services with gamma and X-ray radiography, ultrasonic, magnetic

particle testing, eddy current, dye-penetrant techniques
• Destructive testing for welding procedure tests
• Cathodic protection system design and installation for all facilities and
pipelines
• Hydrostatic testing of pipelines and facilities
• Air drying and vacuum drying
• Commissioning services with and without nitrogen
• Telecommunications installation works and fibre optic cable laying
• SCADA and telecommunication system design, construction and

commissioning
• Electrical, instrumentation and automatic control works
• Design, engineering and application for the industrial establishments
• Pipeline and facility security
• Inspection of high pressure spherical tanks, reactors, drums with Acoustic

Emission technique
• Inspection for bottom and shell plates of cylindirical storage tanks with
Magnetic Flux Leakage technique
HSE & Quality
Management
System
Environmental Management System Policy
We obey all laws and arrangements related with environment and

we seek continuous improvement, not only in our country also in
countries where we work.
While we execute our activities, we determine our effects to the

environment and if the negative effects exist, we do our best to
minimize them.
While we execute our activities, we use the energy and other

resources effectively and we take precautions for continuous
saving.
We take our wastes under control, we minimize the pollution of the

soil, water and air with the convenient techniques.
We make necessary announcements and apply training program to

make our employees aware of the environment consciousness.
We announce the effects of our services to the environment to

public opinion and we share our knowledge with them.
Aydın YURDAYAR
_________________
Chairman & CEO
April 18, 2001
METALEX POLICY STATEMENT FOR
HEALTH AND SAFETY
Safety is as important as other business activities of Metalex.
Accidents and injuries are unacceptable.
The main objective of Safety Regulations is to avoid human suffering from injuries
and damage to properties and all these regulations are to be compiled with in a strict
manner.
Where necessary third party certificates will be obtained from the competent bodies
declared in that field.
Safety is the line management responsibility in broad sense but

principally, the responsibility for Safety lies with each individual
employee, from management down to assistant of each employee.
We shall give the necessary care for both safety and work procedures in order to
achieve our target of ZERO LOST TIME INCIDENTS by promoting personnel
safety awareness, safety training and mitigation of unsafe work practices through our
Safety and Line Management personnel.
We shall conduct our activities in a manner that ensures the health and safety of our
staff, our sub-contractor employees and other persons whom our activities effect.
We shall ensure the protection and the safe operation of all plant and equipment.
We shall protect the environment and wherever possible return the surroundings to
their natural state.
We shall comply fully with all laws and statues of the Country of Operations and in
areas specific to oil and gas operations, impose more stringent standards and
procedures where applicable.
We shall similarly comply with the regulations of our clients.
In Overall Management we shall comply with OHSAS 18001 Occupational Health and
Safety System.
It is our ultimate objective that all Metalex staff does everything possible to prevent
accidents before it happens thereby creating a safe environment in which to work.
This H.S.E. Policy also applies to all sub-contract personnel of Metalex.
Aydın YURDAYAR
___________________
Chairman & CEO
April 18, 2001
Document No MTLX 05-148-6622
Revision No 1
Page No 1 of 32
QUALITY MANAGEMENT SYSTEM MANUAL
QA Managing
C.E.O.
Manager Director
1 15/05/2003 Issue for Implementation M. ULUS A. YURDAYAR
0 18/05/2001 Issue for Implementation B. BAŞKAYA A. YURDAYAR
Prepared Checked Approved

Rev Date Description By By By
NOTE: This document is CONTROLLED and shall be considered Company Confidential.
Reproduction or copy in any form is prohibited without prior written consent from Originator’s APPROVAL STATUS
Document Coordinator of METALEX Construction Industry Trading Co. Inc.
MTLX 05-148-6622 Manual Document Coordinator: Quality Assurance Manager

Revision No 1
Page No 2 of 32
INDEX OF CONTENTS
SECTION TITLE PAGE
0.0 INTRODUCTION 4
0.1 INTRODUCTION 4
0.2 DEFINITIONS 4
0.3 DISTRIBUTION 5
0.4 RESPONSIBILITY OF MANUAL HOLDERS 5
0.5 REVISION 5
1.0 QUALITY POLICY 6
1.1 QUALITY POLICY 6
2.0 QUALITY MANAGEMENT SYSTEM 7
2.1 INTRODUCTION 7
2.2 QUALITY MANAGEMENT SYSTEM 7
2.3 PRCESS INTERACTION 8
2.4 SYSTEM LIMITATION AND EXCLUSION 8
2.5 CRITERIA AND METHODOLOGY OF PROCESSES 9
3.0 ORGANIZATION 10
3.1 MANAGEMENT COMMITMENT 10
3.2 RESPONSIBILITY AND AUTHORITY 10
3.3 MANAGEMENT REPRESENTATIVE 10
3.4 INTERNAL COMMUNICATION 10
4.0 QUALITY MANAGEMENT PLANNING 12
4.1 QUALITY PLANNING GENERAL 12
4.2 QUALITY MANAGEMENT PLANNIN PHASE 12
4.3 PROCESS EXECUTION PLANNIN PHASE 12
4.4 MANAGEMENT REVIEW 14
5.0 RESOURCES MANAGEMENT 15
5.1 PROVISION OF RESOURCES 15
5.2 RESOURCES MANAGEMENT PLANING 15
5.3 HUMAN RESOURCES 15
5.4 INFRASTRUCTURE 16
5.5 OTHERS 16
6.0 DOCUMENT CONTROL 17
6.1 INTRODUCTION 17
6.2 DOCUMENT REGISTERS 17
6.3 PREPARATION, REVIEW APPROVAL, ISSUE, REVISION AND 17
DISTRIBUTION CONTROL
7.0 PRODUCT REALIZATION PLANNING 18
7.1 INTRODUCTION 18
7.2 TENDER INQUIRY REVIEW, TENDER PREPARATION 18
7.3 CONTRACT AWARD STAGE 18
7.4 PROJECT EXECUTION STAGE 19
7.5 FABRICATION AND CONSTRUCTION VERIFICATION STAGE 19
7.6 COMMISSIONING AND DELİVERY STAGE 19
8.0 ENGINEERING CONTROL 20
8. 1 INTRODUCTION 20
8.2 ENGINEERING PLANNING 20
8.3 REVIEW, APPROVAL VERFICATION AND VALIDATION 20
8.4 ENGINEERING CHANGES 20
9.0 PURCHASING AND SUB-CONTRACTION 21
9.1 INTRODUCTION 21
9.2 PURCHASING PLANNING AND CONTROL 21
9.3 SUB-CONTRACTION PLANNING AND CONTROL 21

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9.4 VERIFICATION OF PURCHASED AND SUB-CONTRACT PRODUCT 22

9.5 SUPPLIERS AND SUB-CONTRACTORS EVALUATION 22
9.6 CLIENT APPROVED SUPPLIERS AND SUB-CONTRACTORS 22
10. 0 PRODUCTION AND SERVICE PROVISION 23
10.1 INTRODUCTION 23
10.2 PLANINING AND CONTROL OF PRODUTION AND 23
SERVICE PROVISION
10.3 VALIDATION OF PROCESSES 23
10.4 IDENTIFICATION AND TRACEABILITY 23
10.5 CUSTOMER PROPERTY HANDLING 24
10.6 PRESERVATION OF PRODUCT 24
11.0 CONTROL OF MONITORING AND MEASURING DEVICES 25
11.1 MONITORING AND MEASURING PLAN 25
11.2 MONITORING AND MEASURING DEVICES REQUIREMENT 25
12. 0 MONITORING AND MEASUREMENT OF PERFORMANCE 26
12.1. INTRODUCTION 26
12.2 CUSTOMER SATISFACTION 26
12.3 INTERNAL AUDIT 27
12.4 MONITORING AND MESAUREMENT OF PROCESS 27
12.5 MONITORING AND MEASUREMENT OF PRODUCT 27
13.0 CONTROL OF NON CONFORMANCE PRODUCT 29
13.2 RESPONSIBILITY 29
13.3 NON-CONFORMANCES CONTROL 29
14.0 CORRECTIVE AND PREVENTIVE ACTION 30
14.2 CORRECTIVE ACTION 30
14.3 PREVENTIVE ACTION 30
15.0 DATA ANALYSIS AND CONTINUAL IMPROVEMENT PROGRAM 31
15. 1 INTRODUCTION 31
15.2 ANALYSIS OF DATA 31
15.3 CONTINUAL IMPROVEMENT PROGRAM 31
16.0 RECORDS MANAGEMENT 32
16.2 TABLE OF QUALITY RECORDS 32
ATTACHMENT 1 QMS Document Register MTLX-Q-GL-0001

ATTAHCMENT 2 Corporate Organization Chart MTLX-A-OC-0001
ATTACHMENT 3 Key Personnel Responsibility and Authority MTLX-A-GD-0001

Revision No 1
Page No 4 of 32
0.0 INTRODUCTION
0.1 Introduction
Metaleks Construction Industry Trading (METALEX) henceforth referred to as 'the Company' is an active and
progressive construction company engaged in engineering, procurement, construction, commissioning and
project management of Oil & Gas facilities, Petrochemical, Industrial, Power, Irrigation and related process
plants, pipelines for oil, gas and water, all henceforth referred to as ‘Product’. This Quality Management
System Manual hereinafter referred to, as 'the Manual' is the property of the Company and shall not be
reproduced and distributed to third parties without the authorization of the Quality Assurance (QA) Manager
and/or the Managing Director of the Company.
This Manual describes the Company quality management system and provides references to the Quality
Procedures that have been implemented to meet the requirements of ISO9001-2000 'the Standard'.
More comprehensive details of how quality is managed by the Company can be obtained by referring to the
relevant quality procedures referenced as listed in Attachment 1.
The Manual provides a summary of the quality management system i.e. the policy, organizational
structure, responsibilities, processes, resources, procedures, documents and records for the
implementation and maintenance of the quality management system.
All the above are intended to provide an overall view on how the Company operates and implements an
effective and efficient quality management system that meets the ISO-9001 Standard. The Company's quality
management system is constructed based on the following structure:
Quality Management System Manual
The Standard & Operating Procedures
Project Specific Operating Procedure
Work Instruction/Method Statement and Forms
0.2 Definitions
Quality related definitions used in this Manual are according to the ISO 9000: 2000. Other definitions
are as follows:
Client: Any company requesting the Company to carry out work according to an
agreement/contract.
The Company: Metaleks Construction Industry Trading
Review: The systematic examination of a document or system and its supporting and
descriptive data, conducted by qualified personnel who are independent of the originator of
the document.
Supplier: Any person, firm or organization, with whom the Company enters into purchasing
of materials, equipment and services with the issuance of a Purchase Order.
Sub-contractor: Any firm or organization, with whom the Company enters into a sub-
contract of processes with the issuance of a Work Order.
Purchase Order: A formal document specifying the precise details of materials, equipment
or services being purchased and providing specific purchasing conditions.
Work Order: A formal document specifying the precise details of processes being sub-contracted
and providing specific sub-contract conditions.

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0.0 INTRODUCTION
0.3 Distribution
The Quality Assurance Manager is responsible for the issue and distribution of the Manual.
The Company will keep a record of the distributed manual (Controlled Copy). The QA Manager shall approve
any changes to the distribution list.
Controlled copies of the Quality Management System Manual and revisions thereto are distributed
together with a confirmation of receipt note, which is signed by the recipient as confirmation and returned to
the QA Department.
Uncontrolled copies of the Manual are marked "UNCONTROLLED COPY", and will not be updated.
0.4 Responsibility of Manual Holders

The holders of controlled copies of the Manual are:
• Responsible for that copy and for the implementation of its contents where applicable;
• Required to update the Manual as revisions are received and to sign and return the confirmation of
receipt note to the QA Department;
• Required to study the revision changes, and to inform any subordinate staff regarding them.
Controlled copies of Manual are returned to the QA department when the registered holders leave the
Company or at the completion of the project.
0.5 Revision
The Manual is reviewed periodically and revise as necessary. Any party within the Company may initiate
revisions and proposals for the Manual. The proposal should be made in writing and be submitted to the QA
Manager.
Changes to the content of the Manual are made in accordance with Document Control Procedure.

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1.0 QUALITY POLICY
1.1 Quality Policy
The Company's policy for Quality is defined in the Quality Policy Statement and advised to all employees at induction and/or
during planned training programs. The wording below is an extract from the policy statement that is displayed in all the
Company's and Site's Offices.
QUALITY MANAGEMENT POLICY STATEMENT
POLICY
Metaleks Constraction Industry Trading (METALEKS) is an active and progressive construction company
engaged in Engineering, Procurement, Construction, Commissioning and Project Management of Oil & Gas
facilities, Petrochemical, Industrial, Power, Irrigation and related process plants, pipelines for oil, gas and
water.
It is quality management policy to satisfy Clients as well as statutory and regulatory requirements. METALEKS
is committed to maintain and continually improve the effectiveness of the quality management system.
METALEKS is committed to provide Clients with the satisfaction in quality products and services in
compliance with the contractual requirement within the time frame and budget.
METALEKS'S PHILOSOPHIES WITH REGARD TO QUALITY
It is the philosophy of METALEKS that quality is the result of the systematic implementation of all METALEKS
business processes including that of her suppliers and sub-contractors according to the quality management system. Quality
is achieved by understanding and satisfying the requirements of internal organization; statutes and regulations; and of the
Clients. Quality can be improved continually with commitment by all staff.
METALEKS'S PHILOSOPHIES WITH REGARD TO QUALITY

It is the philosophy of METALEKS that quality is the result of the systematic implementation of all
METALEKS business processes including that of her suppliers and sub-contractors according to the
quality management system. Quality is achieved by understanding and satisfying the requirements of
internal organization; statutes and regulations; and of the Clients. Quality can be improved continually
with commitment by all staff.
TO ACHIEVE THE ABOVE, THE TOP MANAGEMENT IS COMMITTED TO:

• Establish, implement and maintain a Quality Management System that meets the
requirements of ISO 9001-2000;
• Ensure that the Quality Management System is communicated, understood, adopted and
practiced by all staff in the organization;
• Set practical and achievable objectives in all process areas;
• Provide adequate and competent resources;
• Conduct regular audits;
• Identify and correct non-conforming product and services;
• Conduct management review and monitor corrective and preventive actions and their
implementation;
• Ensure set objectives and policy are reviewed periodically; and
• Promote continual improvement of the Quality Management System.
QUALITY IS THE RESPONSIBILITY OF ALL STAFF IN METALEKS
Aydın Yurdayar, Chairman of Board

Date: May 15, 2003

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Page No 7 of 32
2.0 QUALITY MANAGEMENT STSTEM
2.1 Introduction
A quality management system is an essential and important part that contributes to all the Company's business
activities. Management and staffs commitment is essentials to the successful planning, implementation,
maintenance, review and improvement, provides the means to assure that policy, objectives, internal organization
and customer's requirements for all activities are achieved.
The focus of a quality management system is 'Management' and as such, applies to all activities, whether internal or
external organization. It involves every person and area within the Company in striving for and achieving a quality
result for all tasks. The system developed for the Company is based on the requirements of ISO 9001:2000
'Quality Management System - Requirement'.
The QA Manager is responsible for the development of the quality management system and for its successful
operation, maintenance and review.
2.2 Quality Management System
In order to ensure the developed quality management system in compliance with the Standard requirement
and consistent with the Company processes the following main functions in the Company are used as a basis for
the quality system implementation. The processes are arranged in sequence as follows:
• Contract Services (Bidding, Tendering and Contract Agreement Process);

• Project Management Process;
• Engineering Process;
• Procurement Process;
• Sub-contracting Process;
• Fabrication and Construction Process;
• Commissioning Process;
• Quality Assurance and Control Process; and
• Health, Safety and Environment Control Process.
As defined in Section 0.1, the Company's quality management system structure has been developed in 4 Tiers
named Quality Management System Manual, The Standard and Operating Procedures (hereinafter referred to as
'Procedures'), Project Operating Procedures and Work Instruction/Method Statement/Forms (if any).
Tier 1) Quality Assurance Manual: Define the overview of overall quality management system of the Company.
Tier 2) The Standard and System Operating Procedures: Tier 2 is divided into two areas namely The Standard
Procedures and System Operating Procedures. The Standard Procedures outline procedures that required by the
Standard for monitoring and control the overall quality management system whereas Quality System Operating
Procedures outline routine procedures that required by the organization to control system processes.
Tier 3) Project Operating Procedures: Project specific procedures are developed in accordance with the needs of
each project. This type of procedure is applicable up to the project level only and shall be developed specifically for
each project to ensure compliance to the project requirement. This procedure may include Tier 1 and 2 types of
documents.

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2.0 QUALITY MANAGEMENT STSTEM
Tier 4) Work Instruction /Method Statement /Form (if any): In case a short definition instruction is
required for any task this work instruction will be developed to ease Tier 2 or Tier 3 as application as
well as for processes not specified in Tier 2 and 3. Where required, specific “Work Instructions/Method
Statement/Form”, will provide detailed information on “HOW” an activity is to be performed.
2.3. Process Interaction
The following diagram demonstrates the interaction between processes in METALEKS’s Quality
Management System.
MANAGEMENT RESPONSIBILITY
(Policy, Objectives, Management Commitment, Responsibility,
Authority, Management Representative and Management Review
RESOURCE MANAGEMENT MANAGEMENT ANALYSIS AND IMPROVEMENT

Human Resource, Infrastructure, Customer Satisfaction, Process Monitoring, Inspection and
Financing, Competence, Testing Procedures, Internal Audit Procedure, Non-
Awareness and Procedure for conformance Procedure, Data Analysis, Corrective Action
Training Procedure and Preventive Action Procedure
PRODUCT (CONSTRUCTION) REALIZATION
Fabricating
Constructing
Purchasing
Tender Project Engineering Product
Contract Management HSE Control (Construction)
Analysis CLIENT
CLIENT Subcontracting
Quality
Control
Purchasing
Tender Procedure &
Preparation & Project Engineering Subcontractor Construction, Inspection, Testing &
Contract Management Procedure Assessment Commissioning Procedure
Review Procedure Procedure
QUALITY MANAGEMENT SYSTEM MANUEL

DOCUMENT CONTROL PROCEDURE
RECORDS MANAGEMENT PROCEDURE
2.4. System Limitation and Exclusion
The company quality management system is subjected to the specific product realization’s
processes exclusion when the process is not part of the contract requirement or when the
responsibility for each processes are clearly defined in the joint venture contract. In the event of
joint venture, the Company will apply the requirement of the Company’s Quality Management

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2.0 QUALITY MANAGEMENT SYSTEM
System only on the applicable processes as defined in the joint venture contract unless the
Consortium decided to use a specific Project Quality Management System.
2.5. Criteria and Methodology of Processes
The Company defines criteria and methodology for all processes in the relevant section of this
Manual, procedures or method statement.

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3.0 ORGANISATION
__________________________________________________________________________________
3.1 Management Commitment
The top management of the Company is committed to provide adequate resources in the development and
implementation of the established Quality Management System. In order to satisfy the said commitment the
top management shall carry out the following task in order to monitor effectiveness and ensure continual
improvement of its quality management system:
• Quality policy is established and reviewed periodically for its adequacy;
• Quality Objectives are established at the Company and process levels;
• The importance of Customer’s requirement is communicated to the organization;
• The importance of legal requirement is communicated to the organization.
3.2. Responsibility and Authority
The responsibility, authority and the inter relation of all personnel who mange, perform, and verify work
affecting quality of the Company’s product are defined in:
• The corporate and the project organization charts
• Job Descriptions
• Procedures
Corporate organization chart is attached in Attachment 2 whereas key personnel responsibility and authority
is described in Attachment 3 of this Manual.
3.3. Management Representative
The Managing Director has appointed the QA Manager as the Company’s Management Representative with
responsibility and authority for the development, implementation and maintenance of the Company’s
quality management system.
As part of this role, the QA Manager advises the Managing Director on:
• Ensuring that processes needed for the quality management system are established, implemented
and maintained;
• Reports to the top management on the performance of the quality management system and any
needs for improvement;
• Ensuring the promotion of awareness of quality management system and customer requirements
throughout the organization;
• Liaison with the external auditors (e.g Certification Body, Client etc.) for the matters relating to
quality management system.
3.4. Internal Communication
An internal communication throughout the Company operations is established through the following
channel in order to ensure that all information in its operations as well as client, legal and internal quality
management system requirements are smoothly and appropriately communicated throughout the
organization:
• Management Review Meeting;
• Management, Process and Project Meeting;
• Daily, Weekly and Monthly Project Reporting;

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3.0 ORGANISATION
__________________________________________________________________________________
Records in the form of minutes of meeting or report may be prepared and maintained for all meetings and
training/briefing that conducted.
Telephone and verbal communication shall not be used as a tool to demonstrate the flow of information and data in
the quality management system unless it is recorded in the form of one of the above.

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4.0 QUALITY MANAGEMENT PLANNING
4.1 Quality Planning General
Planning for quality is relevant in all areas of work in which the Company is involved. The planning phase in the
Company can be divided into two main areas namely Quality Management Planning Phase and Process
Execution Planning Phase. Quality management planning phase involves planning to satisfy the needs of the
quality management system and the requirement in the Standard whereas process execution planning phase
is the plan to ensure that all Client requirements are met throughout the execution of the work from the tender
enquiry stage until the delivery of the products or processes.
The objective setting in both phases shall be consistent with Company's primary quality management
policy and objective as outlined in the Company Quality Management Policy.
4.2 Quality Management Planning Phase
Planning in this phase involves the determination of the Quality Objectives at the Management and
Process functional level. The top management of the Company shall ensure that measurable quality
objectives shall be established at the management and process level within the organization. The top
management of the Company shall ensure that the objectives are communicated through the
organization.
The objectives shall be established at the beginning of the year and shall be reviewed periodically for its
achievement, effectiveness and performance by the top management. The elements to be considered when
setting the objectives are:
• Company Quality Management Policy;
• Top Management Strategy and Plan;
• Potential Improvement Opportunities;
• Previous Performance Records; and
• Resources to execute to meet the objectives.
4.3 Process Execution Planning Phase
Process execution planning phase involves planning in all relevant business areas as specified in Section 2.2.
This planning phase is important in order to ensure that all the requirements for product and services by the
client are properly identified, understood, established, and communicated throughout the relevant processes or
functions.
4.3.1 Planning at Bid/Tender Preparation Stage
Upon receipt of an approved for tender document from the Managing Director office, the Senior
Manager (Contract Services) appoints a Proposal Coordinator (PC), and arranges for Bid/Tender
Execution Meeting. Prior to the meeting, The PC shall review the content of the Invitation to Bid
(ITB) document and determine the scope of supply, technical, specification, commercial and
delivery requirements of the bid and prepare a Tender Execution Plan. The meeting shall be used
to determine the bidding strategy and resources for the bid. All bids shall be reviewed and approved
prior to submission to the client.
4.3.2 Planning at Contract Award Stage
All contracts received shall be reviewed against the ITB document and the submitted tender
document. Any exception and variation in the contract shall be highlighted and communicated
with the client. All deficiencies shall be resolved prior to the acceptance of the contract.

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4.3.3 Planning of Project Start-up Activities
The PC is responsible to arrange for internal Kick-off Meeting with the related departments
(Projects, Quality, Health & Safety, Finance, Construction, Contract Services as well as the top
management) in order to officially execute the project. The meeting shall be used to
communicate the requirement of the project such as:
• Content of the contract document;

• Project execution strategies;
• Project Resources (Personnel and other resources);
• Project Scope of Supply;
• Project Specifications and Specific requirements;
• Regulatory and Legal requirements;
• Any outstanding issues in the contract documents;
• Project Execution and Implementation Strategy; and
• Contract documents (c/w specification, variations etc.) handover to Projects department.
4.3.4 Planning in Project Management
Depending on the size and nature of the project the Company develops and provides the client with
the following primary project control documents (depending to the contract requirements):
• Project Execution Plan;

• Project Manpower Plan;
• Project Quality Assurance Plan;
• Project Document Schedule;
• Project Inspection and Test Plan;
• Project Sub-contracting Plan;
• Project Procurement Plan;
• Project Schedule; and
• Project HSE Plan;
4.3.5 Planning at Fabrication and Construction Stage
The designated Project Manager shall update the above plans and established the following document:
• Project specific fabrication and construction procedures;

• Project specific inspection and testing procedures;
• Methods of Statement
4.3.6 Planning of the Standard's Requirement Processes
The planning for all processes that specify in the ISO 9001:2000 Standard is illustrated in
following section of this Manual:
• Resources Management Planning - Section 5.0

• Document Management Planning - Section 6.0
• Product Realization - Section 7.0 to Section 11.0
• Measurement, Analysis and Improvement - Section 12 to 15
• Records Management Planning - Section 16

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4.4 Management Review
The suitability, adequacy, and effectiveness of the Company's quality management system is reviewed periodically
(but not less than once a year) by the Managing Director and QA Manager and, as appropriate, other
relevant personnel during Management Review Meetings. The QA Manager maintains records of reviews and
follows up actions within the time frame agreed. Management Review is a formal, systematic review of the
effectiveness of the overall quality management system of the Company.
This review shall be used to assess any opportunities for improvement and the need for changes to the quality
management system, including the Company policy and its objectives.
The review result shall be a primary input to the continual improvement program for the Company quality
management system.

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5.0 RESOURCES MANAGEMENT
5.1 Provision of Resources
The top management of the Company is committed to determine, plan and provide adequate resources that
needed by the internal organization and the client in providing assurance that the quality targets are met and
quality management system of the company is implemented and maintained. Resources required to
continually improve the effectiveness of the quality management system will be adequately provided. The
resources are:
• People;
• Infrastructures;
• Safe and Healthy Working Environment;
• Suppliers (Sub-Suppliers & Sub-Contractors);
• Business Partners/Ventures;
• Communication Technology;
• Processes, Products and Services Technology;
• Processes, Products and Services Information;
• Financial Resources.
Periodic assessment on the adequacy of the resources will be continually made.
5.2 Resources Management Planning
Planning for resources management shall be based on the following main criteria:
• Organizational needs
• Contractual needs
5.3 Human Resources
5.3.1 Competence
The management of the Company shall ensure that the employees involve in managing the
effectiveness of quality management system and those performing work effecting product
qualities are competent.
This competency requirement shall be based on the right combination of the following:
• Educational background;
• Skills;
• Experience; and
• Training.
In line with the Quality Management Policy for continual improvement philosophy, the
management of the Company shall encourage the involvement and development of its
employees. Competency needs shall be assessed during the Staff Appraisal to ensure the
employees are able to satisfy the needs of the current and/or future organization and contract.

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5.0 RESOURCES MANAGEMNT
5.3.2 Awareness and Training
The result from annual staff appraisal shall be evaluated and the management of the Company shall
prepare a necessary awareness and training plan to satisfy the needs of the new competency
requirement. The awareness and training plan shall include the objectives, training programs, methods
and resources needed. The result from the training programs shall be evaluated to measure it
effectiveness, efficiency and impact to the organization as well as to the prepared training plan.
The management of the Company shall ensure that all employees are aware of the relevance and
importance of their activities and how they contribute to the achievement of the quality objectives
through continuous awareness program either in Organization or Projects.
5.4 Infrastructure
The management of Company is committed to determine, provide and maintain the infrastructure needed to
achieve the conformity of the system and product realization. Periodical infrastructure evaluation may be
carried out depending to the expectations and needs of the organization, product or any interested parties.
The following issues shall be considered when developing building, workplace, tools, and process equipment,
supporting services and all other associated utilities and facilities assessment:
• Objectives;
• Function and Performance;
• Technology and Availability;
• Health, Safety and Security;
• Maintenance;
• Organization, Client and Legal expectation and needs;
• Environmental Issue; and
• Cost.
Project's infrastructure study shall be assessed at the tendering and bidding stage.
5.5 Others
The management shall adequately provide the following support facilities in order to aid and increase the
ability and potential in providing quality product and services to the organization and the client and the
same time meeting the outlined organizational and project policy and objective:
• Safe and Healthy Work Environment;

• Adequate information and technology;
• Qualified and competent suppliers and potential partners;
• Project potential natural resources; and
• Adequate Financial backup.

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6.0 DOCUMENT CONTROL
6.1 Introduction
Procedures have been established to handle, control and store all types of documents and data relevant to the
Company's activities. The documents are divided into five main categories:
• QMS Documents (QMS Manual, QMS Standard Procedures and QMS Operating Procedures);
• Project Documents (Project Specific QA Plan, ITP, Specific QMS and Operating Procedures,
Fabrication and Construction Procedures, Method of Statement, Quality Control Procedures,
Engineering Documents and Drawings.);
• Suppliers Supplied Documents (Project Specific QA Plan, ITP, Specific QMS and Operating
Procedures, Fabrication and Construction Procedures, Quality Control Procedures, Engineering
Documents and Drawings); and
• Client Supplied Documents (Project Technical Specifications, Engineering Documents and
Drawings).
• Regulations, Acts, Codes and Standards
6.2 Document Registers
A QMS document register is maintained by the QA Manager to provide control of corporate manuals and
procedures.
Project Document Schedule (PDS) is developed for each project, and is used to control project specific
documents as well as suppliers supplied documents.
Client supplied document list as specified in the contract document shall be used to monitor and control all
Client Supplied Documents. In the event this list is not available in the contract document, the Project
Manager/Engineer in charge is responsible to obtain the list from the client.
Applicable Regulations, Acts, Codes and Standards will be registered and controlled for revision status only
and is not mandatory to make it available unless required by the contract. All necessary information shall be
positively identified in the register.
6.3 Preparation, Review Approval, Issue, Revision and Distribution Control
Document preparation, review, approval, issuance, revision, obsolescence control, and distribution control is
explained in the Document Control Procedure established by the Company.

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7.0 PRODUCT (CONSTRUCTION) REALIZATION PLAN
7.1 Introduction
This Section describes the process and procedures established by the Company for the product realization
processes. Planning for product realization in the Company is divided into four stages namely:
• Tender Enquiry Review, Preparation;

• Contract Review Stage;
• Project Execution Stage;
• Fabrication and Construction Verification Stage; and
• Commissioning and Handover Stage.
7.2 Tender Inquiry Review, Tender Preparation
Prior to commencing development of the tender proposal, the tender inquiry document is reviewed to
ensure the Company clearly understands the technical and contractual requirements. Inquiries are
recorded and analyzed/evaluated with respect to:
• All necessary requirements specified are understood;
• The requirements of the inquiry can be met;
• Specifications are complete;
• Deviations to be resolved;
• Technology is available;
• Resources are available;
• Capacity is available;
• Co-operation with others.
Any specific product risks, penalties, guarantees and milestones are highlighted, clarified, and discussed with
the Client.
Upon completion of tender document, it shall be reviewed to ensure the proposal is in compliance to the
required product requirement and all exception and addition are clearly identified.
7.3 Contract Award Stage

At contract award, a review of the proposed contract agreement is carried out by the PC. This review looks
for completeness, accuracy, ambiguity or insufficient detail in the document, i.e. that:
• All product requirements are defined and are unambiguous;
• Any product requirements differing from those in the bid are resolved;
• Schedules of submissions of data to the Client and/or regulatory authority can be met;
• The roles, formal lines of communication and interfaces are clearly defined;
• The Company is capable of meeting the contractual product requirements.
The result from this process should be a defined and understood product objectives and requirements
(Client, Product, Statutory, Regulation, Code, Standard and any additional requirements), and this
information shall be communicated through the project organization.

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7.0 PRODUCT (CONSTRUCTION) REALIZATION PLAN
7.4 Project Execution Stage
The responsible Project Manager shall ensure all resources needed are identified, obtained, prepared and
provided in order to satisfy the requirement that outlined in the contract for the product. The planning at this
stage includes:
• Identify the necessary processes;
• Identify, prepare/obtain and provide documents (i.e. process procedures, design documents and
drawings, catalogues etc.);
• Identify, prepare/obtain and provide specific resources for the product (i.e. equipment, materials,
personnel, information, facilities, etc.); and
• Communication channel with client to handle product enquiries, amendments and changes.
Engineering planning is described in Section 8.0 whereas Purchasing and Sub-contracting planning is
described in Section 9.0 of this Manual.
The result from this planning stage shall be in the form of Project Execution and/or Quality Plan, Project
Schedule, Inspection and Test Plan, Procurement Plan, Project Document Schedule, Engineering
Document and Drawings, Operating Procedures, Method of Statement, Inspection and Testing Procedures,
Communication Channel with the client, and reporting method.
7.5 Fabrication and Construction Verification Stage
Primary planning document for this stage is the Project Schedule and Inspection and Test Plan.
Engineering documents, drawings, production process procedures, inspection and testing procedures shall
be the aid to the verification process of the plan that identified in the schedule, inspection and testing
plan. Activities involved or related to this stage are explained in the following respective sections:
• Production and Service Control - Section 10.0

• Control of Monitoring and Measuring Devices - Section 11.0
• Monitoring and Measurement of Processes and Product - Section 12.0
7.6 Commissioning and Delivery Stage
This stage shall be used as a final verification and validation processes to confirm product satisfaction
with regards to the product objectives, requirement, contract, regulation and legal. This process
commonly plans in stages depending to the complexity of the product. Acceptance from the client at this stage
shall note compliance to the all requirements.

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8.0 ENGINEERING CONTROL
8.1 Introduction
Design and Development, which is known as 'Engineering' by the Company, is controlled and planned as per
the following requirement. The Company performs formal design and verification activities during the design
process. Qualified personnel are nominated for the various design responsibilities and allocated sufficient
resources to fulfill commitments. Engineering process in the Company is described in this section and
detailed in the Engineering Procedure.
In the event that design and development is sub-contracted to an engineering company, their design and
development quality system shall comply with the requirement in the Standard and the Company's
contract with the client.
8.2 Engineering Planning
Engineering planning involves the following activities;
• Determine of scope;
• Determine of tools;
• Determination of responsibility and authorities;
• Determine interface between a different group in the process;
• Determine output requirements (Drawings, datasheets, calculations, materials, etc.);
• Review and verified input data;
• Verification Process (Single Discipline Check, Inter Discipline Check, Third Party Review and Client
Review);
• Validation Process (Third Party Approval, Client Approval, Engineering Tools Validation and Client
Acceptance upon completion of commissioning activity)
8.3 Review, Approval, Verification and Validation
The Engineering Manager is responsible to coordinate at suitable stages, systematic reviews, approval,
verification and validation of design and development program to ensure the process is capable of
providing information/data:
• Ability of the process result to meets requirement;

• Ability to identify problems and propose alternative solutions;
• Inputs are determined and understood;
• Outputs have met the input requirements;
• Products that developed/fabricated/constructed/installed are capable to operate as desired in the
operation requirements.
Review, approval, verification and validation processes are detailed in Engineering Procedure established (See
Attachment 1).
8.4 Engineering Changes
Any changes to the design and development data shall be reviewed, verified and validated, as
appropriate, and approved prior to implementation. The effects and risks due to the changes shall be
evaluated, reviewed and approved by the authorized authority prior to implementation. Detail process of change
control for design and development is described in the Engineering Procedure.

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9.0 PURCHASING AND SUBCONTRACTING
9.1 Introduction
The management of the Company is committed to ensure that all purchasing and sub-contracting
processes are planned, controlled and maintained as per the requirement in the Standard and comply to the
contractual needs in the contract with the client. This section together with the developed procedures for this
activity shall be used in controlling these activities in the Company.
Process sub-contracting is a responsibility of Sub-contract department whereas Purchasing Department controls

the material, services and equipment purchasing activity.
9.2 Purchasing Planning and Control
Purchasing department is responsible for all Company's and projects related materials, services and
equipment purchasing.
Planning for purchasing involves the following processes:
• Determination of purchasing scope (in associate with Projects department);

• Determination of purchasing requirements (in associate with Projects department);
• Determination of sub-suppliers;
• Preparation of quotation based on the approved material requisitions;
• Evaluation of participated sub-suppliers;
• Preparation of Purchase Orders;
• Receiving or Acceptance of purchased services, equipment and materials;
It is a responsibility of Project department to determine purchasing scope and requirements. Material,

services and equipment requirements shall be obtained from the approved for construction documents.
Determination of suppliers involves selection, evaluation, and re-assessment of them, and the
preparation and maintaining of Approved Sub-suppliers register.
Purchasing department is responsible to carry out sub-suppliers evaluation and issue a purchase order to those
who are successfully complying to all requirement of purchased.
In both cases the purchasing document (requisition and purchase order) shall contain where appropriate the
quality standard of the purchased item, qualification requirement of personnel executing the task and the
approval/verification requirement.
9.3 Sub-contracting Planning and Control
Sub-contract department is responsible for all projects related processes sub-contract such as
engineering, fabrication, construction, inspection and testing.
Planning for sub-contracting involves the following processes:
• Determination of sub-contract scope (in associate with Contract Services and Projects department);
• Determination of sub-contract requirements (in associate with Contract Services and Projects
department);
• Capability evaluation of the sub-contractors;
• Preparation of quotation based on the process sub-contract requisitions;
• Evaluation of participated sub-contractors;
• Preparation of Work Orders;
• Site monitoring the performance of the sub-contractors;
• Evaluate and accept/reject the output produced by the sub-contractors;

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9.0 PURCHASING AND SUBCONTRACTING
It is a responsibility of Contract Services and Project departments to determine process sub-contract scope
and requirements.
Determination of sub-contractors involves selection, capability evaluation (technical and commercial), and re-
assessment of them, and the preparation and maintaining of Approved Sub-contractors register.
Sub-contract, Contract Services and Projects department is responsible to evaluate the sub-contractors that
involve in the bidding and issue a work order to those who are successfully complying to all requirement.
The work order and the requisition submitted to the sub-contractors shall contain enough information
about the sub-contracted processes and comply with all client requirements. In general the sub-contract process
requirement shall be the same (back to back) with the requirement that imposed by the client to the Company.
Approval and verification requirement for the product; procedures used for processes, procedures used for
inspection and testing; design and development data; and equipment used shall be clearly identified in the
purchasing document.
9.4 Verification of Purchased and Sub-contract Product
The requirement for this verification process shall be clearly identified in the purchase order or sub-
contract agreement between the Company and the sub-suppliers or sub-contractors respectively. In the
Company this process in general can be in the form of simple instruction inspection or testing request to a
detailed inspection and test plan development.
Client involvement in this process shall also be made known to the suppliers and sub-contractors and shall
be captured in the inspection and testing plan that prepared.
This process can be carried out in the Company, Company's sites, suppliers or sub-contractors premises
depending to the requirement in the contract between the Company and the client and the nature of the
purchased or sub-contracted process, product or services.
9.5 Suppliers and Sub-contractors Evaluation
All suppliers and sub-contractors in the Company shall be initially evaluated based on their previous
experiences, its quality management system and potential capability to provide the required processes,
products, materials or services. Quality management system shall not be a sole factor in the suppliers or sub-
contractors selection but the Company shall always encourage its suppliers and sub-contractors to developed
or maintained suitable quality management system in supplying product or services to the Company.
As part of the improvement program in suppliers and sub-contractors performance, selected suppliers and
sub-contractors shall be re-evaluated based on the evaluation factors set by the Company. Suppliers and sub-
contractors selection and evaluation program is described in the Suppliers Evaluation and Sub-contactors
Evaluation procedures respectively.
9.6 Client Approved Suppliers and Sub-contractors
Client approved suppliers and sub-contractors shall be used if this requirement is appeared in the
contract document. No additional evaluation is required except for the commercial issues. The Company may
propose another sub-suppliers or contractors if they are unable to comply to the needs of the Company
technically and commercially.

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10.0 PRODUCTION (CONSTRUCTION) AND SERVICE PROVISION
10.1 Introduction
Production and service in the company cover the process of fabrication, construction, pre-commissioning,
commissioning and handover or delivery of the product. The Company acknowledges its responsibility to provide
adequate resources needed to ensure that production and service process has the ability to provide the client
with a quality product
10.2 Planning and Control of Production and Service Provision
As part of the planning program for the control of this process, the Company shall ensure the following documents
or information is available at the point of production and service:
• Project Production Schedule;

• Project Inspection and Test Plans;
• Information that describes the characteristic of the product in the form of
and documents; product catalogues etc.;
• Engineering drawings;
• Necessary production process procedures and work instructions;
• Necessary client specification;
• Necessary inspection and testing procedures;
• Suitable tools, equipments and personnel;
• Suitable monitoring and measuring devices;
In ensuring the above information is properly carried out, the following verification processes are used to ensure
compliance of the product against its specification and requirement as described in the contract document:
• The implementation of the monitoring and measurement processes as agreed in the Inspection and
Test Plan;
• The implementation and use of correct monitoring and measuring devices;
• Inspection release note or Pre-Commissioning or Commissioning acceptance note is used to verify
the completeness of any product or sub-product throughout the production process. This release note
can be in the form of acceptance on the reports by the quality control and/or the client and third party
inspection agency.
10.3 Validation of Processes
Any production processes result that cannot be verified by subsequent monitoring or measurement as well as
those that deficiencies become apparent only after the product is used or in service shall be validate prior to use
and the records for this validation process shall be kept for review and approval.
10.4 Identification and Traceability
Process of identification and traceability in the Company is in practice in order to ease monitoring, evaluation,
controlling and data collecting in the related activities. In respect to this fundamental the following items,
processes, parts and products are identified in order to ease its traceability:
• Tender and bid - Identified by Tender/Bid number;

• Project - Identified by unique Project number as well as name;
• Processes - Identified by relevant processes name or description;

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10.0 PRODUCTION (CONSTRUCTION) AND SERVICE PROVISION
• Documents/Reports - Identified by unique document number or make use of the identification that
already provided above;
• Product and Sub-product - Identified by a unique products or parts number or by a relevant drawings
number. This identification normally specified in the engineering document or drawings by any
means. In most cases the client provides this number.
• Parts or sub-parts - The Company utilize the information in the engineering document or drawings or
may be the drawing itself in providing unique identification number for this items.
All work carried out by the Company and the Company's Suppliers (as appropriate) is identified and made
traceable to the requirements stated in specified Codes, Standards and industry recommended practices. The extent
of identification and traceability is related to the item being designed and/or fabricated and is generally identified
in relevant Codes, Standards and industry recommended practices
10.5 Customer Property Handling
Customer property in the Company is divided into three categories namely:
• Customer Intellectual Properties - Drawings, Specification & Proprietary information.
• Equipment/Parts - Any equipment or parts for the project that supplied by the client.
• Site Services - Site facilities such as storage, infrastructures and even the site itself.
All the above shall be controlled in a systematic manner by the Project and/or Construction Manager. Any suitable
means of identification as described in section 10.4 may be used to control and monitor the above. The
Company shall ensure proper safety, security, value and deterioration control measures are in place for the
above. This is to ensure recall process can be implemented and at the same time safeguard the Company
interest on the above items.
Any change from the original state of the above items shall be communicated with the client.
10.6 Preservation of Product
The Company is shall preserve and maintain product conformity during internal processing and delivery to the
client.
Product preservation in the Company is divided into three categories:
• Category 1: In progress sub-product (Includes parts and pre-completed product)

• Category 2: In progress completed product - Completed sub-product, equipment, etc. prior to final
assembly
• Category 3: Final product: Completed final product as per the contract
The management shall provide proper and adequate resources to control and maintain handling, packaging,
storage and preservation, and delivery mode of the above in order to prevent damage, deterioration or
misuse.
Suitable preservation work instruction or procedure for Category 1 and 2 will be established if required by the
contract. Category 3 Preservation commonly executed as per the client specific specification in the contract.

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11.0 CONTROL OF MONITORING AND MEASURING DEVICES
11.1 Monitoring and Measuring Plan
The Company shall use Inspection and Test Plan to identify and monitor inspection and testing activity. This
plan shall provide detail for the monitoring and measuring needs of all activities in relation to client requirement
and specification.
Suitable monitoring and measurement devices shall be used and posses necessary valid calibration records.
11.2 Monitoring and Measuring Devices Requirement
All monitoring and measuring devices shall have the fitness and accuracy requirement as specified by the
following requirement;
• Client Specification;
• International Codes and Standards;
• Industrial Practice;
• Or the combination of the above.
All required test equipment is calibrated at regular intervals and the results are documented. The
Company shall keep and maintain a register with information of Identification Number, Calibration Date,
Calibration Due, Accuracy Requirement and Origin of Calibration to ease monitoring and review by all the
interested parties.
If an independent body is used to calibrate Company test equipment, the Company specifies calibration
requirements and requests valid calibration certificates from the independent body. The independent body or
in-house equipment use to calibrate the devices shall be made traceable to international or national
measuring standards. In the event that this is not possible then the party that agreed by the contract shall verify
the calibration process.
Sub-Suppliers or Contractors are responsible to keep a valid calibration certification of their devices and
ensure its accessibility by a Company representative for review and approval prior to use.
Detail monitoring and measuring devices control process is explained in the Monitoring and Measuring
Devices Control Procedure developed for the project.

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12.0 MONITORING AND MEASURMENT PERFORMANCE
12.1 Introduction
It is a policy of the Company to adequately monitor, measure, analyse and continually improve the
processes that implemented in the Company to ensure product conformity, quality management system
conformity and continually improve the effectiveness of the quality management system.
This performance review shall include the process of measuring customer satisfaction in processes and ,
products provided, the analysis from the internal quality audit, processes and products monitoring and
measurement assessment.
Method for the above measurement can be one or a combination of satisfaction survey, audits,
inspection, testing, financial base study, circle time study, self or third party assessment.
12.2 Customer Satisfaction
The Company shall monitor and measure client satisfaction based on the data collected from the
following sources:
1. Business Development & Tendering Stage
• Company-Customer Relations
• Client's approved suppliers/bidders list
• Client's Supplier audit report and Company's profile review
• Tender document feedback
2. Project Execution Stage
• Project Management Feedback/Complaints (Project Control, Document Control, Engineering Control,

Procurement Control etc.)
• Fabrication and Construction Feedback/Complaints (Non-compliances, Arrangement of works etc.)
• Inspection and Testing Feedback/Complaints (Non-compliances in processes and products)
• Customer Survey/Inspection and Audit reports
3. Project Completion Stage
• Products feedback
• Services feedback
• Overall Project Completion Survey report
• Final documentation submission
• Customer awards
4. Other Sources
• Third Party reports

• Media reports
• Industry study
Almost all the sources are customer base except for the Overall Project Completion Survey report, which
shall be issued to the client at the completion of each project to measure client satisfaction. Relevant
department is responsible to capture and maintain the records of the above for project closeout analysis.

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12.3 Internal Audit
Internal quality audits of the Company's quality management system are independent examinations of
evidence performed by trained personnel to determine whether the quality management system is
effective and that the requirements of the system are being met.
In the Company internal audit is divided into two categories namely:
• Quality Management System Audit; and

• Project Audit
Quality management system audit will focus on the established quality system that outline in the
Company's Quality Management Manual whereas project audit shall cover the relevant associated QMS
processes and specific project QMS and client requirement.
The detail planning, responsibility and management of the internal audit shall be as per the Internal Audit
Procedure.
The result from the audit shall be used to measure quality management system for it:
• Effectiveness of processes;
• Efficiency of processes;
• Opportunities for continual improvement;
• Capability of processes; and
• Capability of resources
12.4 Monitoring and Measurement of Process
Company processes can be categorized in two areas namely processes that described in the quality
management system and processes utilized during project execution (fabrication, construction, inspection and
testing). All processes shall be monitored for its capability to increase quality, safety, ease methodology
but reduce cost and other resources used. Quality management processes shall be monitored through
internal and third party audits programs. Project Schedule, Inspection and Test Plan shall be used to monitor
the effectiveness of the fabrication, construction, inspection and testing processes. The internal audit
output, users and client feedback shall be used as a basis for the needs of processes measurement review.
12.5 Monitoring and Measurement of Product
Engineering, procurement, Inspection and test plan and all associated inspection and testing procedures
development shall be used as a basis for product monitoring and measurement planning. Engineering data
and client specification shall be used to determined methods and criteria for product monitoring and
measurement. Inspection and test plan shall be used for the detail inspection and testing planning of the
specific parts or products. All inspection and testing as well construction or fabrication procedures shall be
used for the correct execution of the monitoring and measuring activities.
Monitoring and measurement stages in practice by the Company consist of:
• Material receiving stage - to verify correctness of the purchased materials or equipment

• Material Identification stage - to verify the correctness of the materials or equipment to be used
• Material traceability stage - to ensure traceability of the used materials or equipments
• In progress Inspection and testing stage — to ensure all the necessary inspection and testing required
for the product by the codes, standards, regulations, client's specification are properly executed and
recorded.

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• Final Inspection and testing stage - to verify all inspection and testing verification and validation for
the parts or products are accepted and comply with the requirement specified in codes, standards,
regulations and client's specification.
• Commissioning stage - this is the final stage of the measurement and monitoring process to ensure
the product is comply with the function needed by the client.
Monitoring and measurement stages described above shall also consider the involvement of the client and
any other interested party as per the contract. All monitoring and measurement devices shall posses' valid
calibration certification as per the client's requirement. When required by the codes, standards and/or
client specification all personnel involved in the monitoring and measuring processes shall have valid
competency and qualification certificates.
All measuring and monitoring reports and records shall be kept for verification per the contract.

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13.0 CONTROL OF NONPERFORMANCE PRODUT
13.1 Introduction
Non Conformance Report (NCR) shall be used to monitor and control any product, which does not conform to
product requirement. NCRs shall be managed and controlled in accordance with the requirements in 'Non-
conformance Report Procedure'.
NCRs are used by the Company to safeguard against work that has not been accepted being used or incorporated into
the Company's final product. Typical non-conformances (NCs) with regard to work produced by the Company
include:
• Errors or inconsistencies in drawings and documents issued to Clients, Certification Authorities,

Fabrication Facilities, Sub-suppliers;
• Difficulties experienced with interfacing, resulting in designed-in deficiencies;
• Construction feedback on deficiencies resulting in project change requests;
• Deficiencies in Work Orders and/or Purchase Order documents;
• Deficiencies resulting from tests, inspections, verification or audit;
• Deficiencies in inspection, test and verification procedures.
NCs are identified during inspection, via complaints from Clients or observations made by any Company personnel
who recognizes them. NCRs can be raised in three main areas as described below:
Internal NCRs raised by the Company on Sub-suppliers, Sub-contractors and the Client;
Client Legitimate complaints made by the Company's Clients;
External NCRs raised by Certifying Authorities, Parent Company or their agents on the
Company.
13.2 Responsibility
The QA Manager responsible for all non-conformances and corrective action within the Company but has
delegated responsibility for the implementation and maintenance of effective prevention and resolution
systems to the Site's QA/QC Representative.
Project Managers are responsible for ensuring that action is taken to correct the non-conformances in the
projects. The action taken will depend on the type of nonconformity and at what stage it is discovered.
The Site's QA/QC Representative is responsible for monitoring all projects NCs and actions to prevent
recurrence and for analyzing and reporting trends or concerns for management's review.
The Company's personnel are encouraged to report NCs no matter how small or apparently trivial. This
philosophy assists in detecting NCs at the earliest stage, allows timely evaluation and resolution of the
problem and facilitates (if required) early modification of the quality control system to prevent recurrence.
13.3 Non-conformances Control
All non-conformances shall be managed and controlled as per Non-conformance Report Procedure that
developed integral with the Company Management System.

Revision No 1
Page No 30 of 32
14.0 CORRECTIVE AND PROVENTIVE ACTION
14.1 Introduction
'Corrective Action Request' (CARs) and 'Quality Improvement Request' shall be used as a methodology of
the respective corrective and preventive actions to eliminate the causes and potential causes of nonconformities,
or services by initiating appropriate corrective and preventive actions designed to remove the root and
potential root cause of each problem. Lead Auditors from within the Company or from Clients and
Certification Authorities; produce CARs or QIRs during the audit process. The Company maintains
'Corrective Action Status Log' and 'Quality Improvement Request Log' to record all issued CARs and QIRs.
14.2 Corrective Action
The Company shall ensure adequate corrective action is taken to eliminate the cause of the conformities in
order to prevent recurrence.
'Corrective Action Procedure' is designed to ensure that:
• Conditions adverse to quality are identified;
• The causes of these conditions are determined;
• Evaluating the needs for action to prevent occurrence;
• Determining the implementing action needed;
• Records of results of action taken; and
• Reviewing preventive action taken.
14.3 Preventive Action
The Company shall ensure adequate preventive action is taken to eliminate the potential cause of the
conformities in order to prevent occurrence.
'Preventive Action Procedure' is designed to ensure that:
• Conditions adverse to quality are identified;

• The causes of these conditions are determined;
• Evaluating the needs for action to prevent occurrence;
• Determining the implementing action needed;
• Records of results of action taken; and
• Reviewing preventive action taken.

Revision No 1
Page No 31 of 32
15.0 DATA ANALYSISI AND CONTINUAL IMPROVEMENT PROGRAM
15.1 Introduction
The Company shall monitor and review the effectiveness of the implemented processes toward the
achievement of its client satisfaction, product conformity, and the Quality Management System
compliance. This process shall include the analysis of gathered data and provide a necessary continual
improvement to the processes, product, Quality Management System and organization.
15.2 Analysis of Data
All data should be obtained from measurements and information collected as described in the ISO 9001
Standard and not limited to the following sources:
• Quality Policy Statement;

• Objectives;
• Audit results (Internal, External, Certification, etc.);
• Non-conformities reports;
• Corrective Action record;
• Preventive Action record;
• Users feedback;
• Suppliers and sub-contractors performance record;
• Resources;
• Management feedback;
• Management review;
• Clients feedback;
• Suppliers and sub-contractors feedback;
• Future Client Expectation and needs;
• International Codes and Standards revision and change;
• Technology;
• Market Trends;
Data that gathered internally shall be used as primary information and shall always be considered for this
analysis process (Quality Policy to the Management review - from the above list).
15.3 Continual Improvement Program
The Company shall continually seek for improvement opportunities in its Quality Management System as
well as its processes, products, and organization. Improvement program in the Company is divided into three
categories namely:
• Immediate Improvement - Improvement required due to process or product non-conformity that

required urgent change in process or product.
• Analytical Improvement- Improvement required from the result of data analysis (15.2)
• Strategic Improvement - Improvement required based on specific improvement project or case study.
Any improvement program to be implemented shall always consider the fundamental of the quality
management policy to:
• Satisfy the client;

• Satisfy the statutory requirement; and
• Satisfy the Quality Management System.

Revision No 1
Page No 32 of 32
16.0 RECORDS MANAGEMENT
16.1 Introduction
Quality records are those documents generated within the Company (or by Sub-suppliers) that demonstrate the
achievement of Company requirements and policies. The Company's quality records affirm and verify the operation
of the quality management system.
The Company's records are verified, dated and stored in a manner to prevent loss or damage and are maintained
for prescribed periods dependent on type of record.
The Document Controllers are responsible for indexing, storing and archiving records in accordance with the
'Records Management Procedure'.
16.2 Table of Quality Records
No. Document Description

CONTRACTS SERVICES
1 Tender preparation and Contract review records
SUB-CONTRACTS DEPARTMENT
1 Sub-contract Work Orders
2 Approved Sub-contractor Register & Assessment records
3 Sub-contract Change / Variation Order records
PROJECTS DEPARTMENT (SITES)

1 Project Communication Records
2 Project Status Reports
3 Project Change / Variation Order Records
4 Authority Approval Records
5 Client Approval Records
PROJECT DEPARTMENT (QUALITY CONTROL) (SITES)

1 Process Validation records
2 Project Competency records (Inspectors/Welders etc.)
3 Calibration Records
4 Traceability and Identification records
S Product Conformity (Materials. Inspection and Testing ) records
6 Customer property feedback records
7 NCRs records
PURCHASING DEPARTMENT
1 Approved Suppliers Assessment records
2 Purchasing Records (MR. RFO and P.O)
ENGINEERING DEPARTMENT
1 Engineering input records
2 Design Reviews records
3 Design Verification and Validation records
4 Engineering and Drafting Review records
5 Design Change records
QUALITY ASSURANCE DEPARTMENT

1 Audit Reports (Internal. Client. External & Third Party)
2 Corrective and Preventive Actions records
3 Management Review reports
4 Customer Satisfaction records
ADMINISTRATION AND HUMAN RESOURCES DEPARTMENT

1 Employment Records
2 Training and Competency Records

HEALTH SAFETY ENVIRONMENT
MANUAL
SAFETY, HEALTH & ENVIRONMENT DEPARTMENT
Page 1 of 22
Table of Contents
1.0 INTRODUCTION...............................................................................................................................4
1.1 HEALTH SAFETY AND ENVIRONMENTAL PLAN ...........................................................................4
2.0 SAFETY ASSURANCE POLICY............................................................................................................5
2.1 MANAGEMENT RESPONSIBILITIES ..............................................................................................5
2.2 MANAGEMENT POLICY ...............................................................................................................5
2.3 MANAGEMENT PHILOSOPHY......................................................................................................5
2.4 SAFE WORKING PRACTICES.........................................................................................................6
3.0 RESPONSIBILITIES OF SAFETY MANAGER........................................................................................7
3.1 DESIGN/ENGINEERING PHASE ....................................................................................................7
3.2 FABRICATION / INSTALLATION PHASE ........................................................................................7
4.0 SAFETY RESPONSIBILITIES ON SITE ORGANIZATION.......................................................................8
4.1 GENERAL STATEMENT.................................................................................................................8
4.2 RESPONSIBILITIES........................................................................................................................9
4.2.1 PROJECT MANAGER ............................................................................................................9
4.2.2 CONSTRUCTION MANAGER ..............................................................................................10
4.2.3 SITE SAFETY SUPERVISOR..................................................................................................11
4.2.4 ENGINEERS & SUPERVISORS .............................................................................................11
4.2.5 FOREMAN..........................................................................................................................12
4.2.6 OTHER EMPLOYEES ...........................................................................................................13
5.0 CONTROL OF SUB-CONTRACTORS ................................................................................................13
5.1 SUB-CONTRACTORS REQUIREMENTS .......................................................................................13
5.2 PROTECTIVE CLOTHING & SAFETY EQUIPMENT .......................................................................14
5.3 STANDARDS AND PROCEDURES................................................................................................14
5.3.1 GENERAL ...........................................................................................................................14
5.3.2 SAFE WORKING PROCEDURES ..........................................................................................15
5.3.3 LIFTING OPERATIONS........................................................................................................15
5.3.4 EXCAVATIONS ...................................................................................................................15
5.3.5 SITE TIDINESS ....................................................................................................................15
5.4 SAFETY INSTRUCTION / MEMOS...............................................................................................16
5.5 SAFETY TRAINING......................................................................................................................16
5.6 ATTENDANCE AT SAFETY MEETINGS ........................................................................................16
5.7 FIRE PRECAUTIONS ...................................................................................................................16
5.8 ELECTRICAL WORKS ..................................................................................................................17
5.9 REPORTING OF ACCIDENTS / INCIDENTS ..................................................................................17
6.0 CLIENT ISSUED WORK PERMITS ....................................................................................................17
6.1 PERMITS TO WORK ...................................................................................................................17
7.0 SITE SAFETY COMMITTEE..............................................................................................................19
7.1 PURPOSE ...................................................................................................................................19
7.2 RESPONSIBILITIES......................................................................................................................19
7.3 SAFETY COMMITTEE MEETINGS ...............................................................................................19
7.4 PROMOTION OF SAFETY AWARENESS......................................................................................20
7.5 SAFETY INSPECTIONS ................................................................................................................20
7.6 ACCIDENT / INCIDENT INVESTIGATION.....................................................................................20
8.0 SAFETY MEETINGS.........................................................................................................................20
8.1 REGULAR ( MONTHLY ) MEETINGS ...........................................................................................20
8.2 TOOL BOX MEETINGS................................................................................................................21
9.0 SAFETY TRAINING..........................................................................................................................22
9.1 TRAINING GENERALLY...............................................................................................................22
9.2 INDUCTION COURSE .................................................................................................................22
9.3 KICK OFF MEETING FOR NEW SUB-CONTRACTORS ..................................................................22
9.4 SAFETY PROMOTION.................................................................................................................22
1.0 INTRODUCTION
1.1 HEALTH SAFETY AND ENVIRONMENTAL PLAN
It is the prime concern of METALEX CONSTRUCTION INDUSTRY TRADING that the works to be
carried out at the Project Construction site in the sub-contractors' fabrication yard are of the
highest safety standard. The management of METALEX CONSTRUCTION INDUSTRY TRADING at
all levels shall be responsible for ensuring that safety is given the top priority which it deserves
and that the safety aims which are identified are, so far as is reasonably practicable, fulfilled.
METALEX CONSTRUCTION INDUSTRY TRADING will constantly and closely monitor the safety
performance of the project and will take all practical steps to maintain safe and tidy
workplace.
METALEX CONSTRUCTION INDUSTRY TRADING will cooperate with the client in solving safety
problems arising from their sphere of works and will coordinate with any other contractors on
the project site in order to achieve the safe performance of any interface work areas.
In order to strengthen its efforts in respect of safety, METALEX CONSTRUCTION INDUSTRY

TRADING propose to appoint a Safety Manager who will be required to actively participate in
pursuing the safety performance of METALEX CONSTRUCTION INDUSTRY TRADING and its sub-
contractors both on the site and its the fabrication yard, and he shall also be required to
actively participate in the supervision of the overall safety activities for the duration of the
works.
METALEX CONSTRUCTION INDUSTRY TRADING also proposes to nominate a Site Safety Officer
from within its own organization who will be required to assist the Safety Manager in carrying
out his duties on the site.
METALEX CONSTRUCTION INDUSTRY TRADING management shall resolve and promulgate all
directives on works safety, and the procedures set out within the following sections of this
document will highlight responsibilities and accountability within METALEX CONSTRUCTION
INDUSTRY TRADING organization, together with the requirements for safe working practices.
The policies from the basis for the project specification safety requirements and shall, if
necessary be further developed after the award of the contract to meet the client
requirements. Furthermore, such policies shall be reviewed, added to or modified from time
to time in order to suit the organization of the work and may be supplemented in appropriate
areas by further safety procedures relating to particular type of work.
These policies shall be read as being supplementary to all local government rules and
regulations and the client relevant project specification and Safety Rules and Regulation.
2.0SAFETY ASSURANCE POLICY
2.1 MANAGEMENT RESPONSIBILITIES
METALEX CONSTRUCTION INDUSTRY TRADING management considers that the safety of its
operation is a major part of its responsibilities and to properly discharge these responsibilities
the various policies within this document have been established.
Operational success shall be achieved in conjunction with a good and effective accident
prevention practice based on internationally accepted codes and practices. All local
government legislation shall be considered as establishing the absolute minimum
requirements for these policies
The management shall take all reasonable steps within its power to meet its responsibilities
and shall pay particular attention to the provision of:
 Plant, equipment and system of work that are safe and suitable for the purpose
intended.
 Safe arrangements for the handling, transportation and storage of equipment and
materials; and
 A safe place of work.
 The management shall provide leadership to all employees in following safe
operational procedures and in developing safe working attitudes and habits.
2.2 MANAGEMENT POLICY
It shall be the policy of METALEX CONSTRUCTION INDUSTRY TRADING management accept

and implemented the policies, safety regulations and standards, and codes of practice of the
local Government and the Client in addition to such internal policies as may be in existence
within METALEX CONSTRUCTION INDUSTRY TRADING organization.
These requirements shall be made known to all persons involved on the Project and shall be
met as a priority.
2.3 MANAGEMENT PHILOSOPHY
METALEX CONSTRUCTION INDUSTRY TRADING philosophy towards safety is “SAFETY FIRST”

and METALEX CONSTRUCTION INDUSTRY TRADING believes that work progress must not be
achieved at the expense of safety. Safety must be accountable in the same way as the work
schedule and quality. All workers, staff and management must act responsibly and do
everything possible to prevent injury to personnel and / or damage to property.
To achieve this philosophy, the following matters shall be properly considered and
appropriately developed and implemented for the project:
 Identify the common and serious hazards and resolve them,
 Conduct safety audits to evaluate the safety program;
 Compliance with METALEX CONSTRUCTION INDUSTRY TRADING 's policy at all levels of
management;
 Plan and implement accident prevention program and measures;
 Plan and implement fire safety and emergency control measures and procedures;
 Monitor the safety activities program;
 Acquaint management with the legal aspects of the safety rules and regulations of the
country in which the work is to be executed;
 Equip managers with the necessary tools for the successful execution of safety
activities in order to prevent injury to personnel and/or damage to property;
 Keep records in compliance with the requirements of all local safety rules and
regulations;
 Provide all workmen with, and ensure the correct usage of, all necessary protective
clothing and safety equipment whilst carrying out the work;
 Conduct in-house training through
- on the job training,
- on the job correction, and
- tool-box meeting;
 Promote safety at all levels through safety talks, safety promotion activities and
campaign, and safety competitions with incentives awards;
 Provide safety banners, safety signboards, posters, etc. and display them at
conspicuous points as constant reminders;
 Establish a Site Safety Committee which will meet regularly to review all existing safety
measures; and
 Appoint a Safety Manager to assist the management team to identify and solve
problems and to work out methods of establishing and maintaining a safe and healthy
working environment
2.4 SAFE WORKING PRACTICES
In addition to the above, suitable safe working practices shall be developing taking into
account the following outline requirements;
 The use of lifting machines/appliances, air receivers, etc, the registration of same with
the local regulating authority, and test examinations by a third party;
 The preparation of checklist for the work site inspections;
 Information exchanges on how the work can be done safely and what is expected of
the worker under different working conditions (any instructions must be clearly
understandable and capable of being followed by the workmen);
 The creation of a team work attitude with good working habits in order to prevent
accidents, injury to personnel and damage to property.
 The maintenance of good housekeeping, sufficient lighting, handrails, barricades,
barriers, warning lights and machine guarding to ensure safe working procedures,
 The requirement for the issue of permits for hot work, etc. and practices in the safe
use of gasses and other flammable consumable / products.
 The provision of safe electrical installations with current protection
 devices such as ELCB. Fuses
 The control of fire incidents caused by excessive sparks, fire droplets, poor and
excessive storage of flammable and combustible materials etc.
 The regular inspection and safe usage of hoisting equipment such as wire ropes, slings,
hooks etc.
 The provision of working platforms with guard rails, hand-holds and toe boards for
works at height.
 The preparation of standing instructions for everyone to follow in respect of major
accidents and outbreak of fire.
3.0 RESPONSIBILITIES OF SAFETY MANAGER
3.1 DESIGN/ENGINEERING PHASE
The Safety Manager shall be responsible for the development of the safety documentation
after the award of the contract.
This development exercise shall be interdependent with the safety aspects involved in the
design / engineering phase of the project.
With regard to the design / engineering of the project, the Safety Manager shall be
responsible for looking at the necessity to allow for all load cases (whether operational or
extreme) arising from the aspects of the design of both the permanent and temporary works
and the need for suitable safety factors in the design calculations.
He shall also check the drawings for the location (s) of dangerous and hazardous areas and
their proximity to areas of heavy usage. Lifting activities shall be particularly scrutinized by the
Safety Manager
The use of auditing shall be the main method employed to check the safety of the design, and
particular emphasis shall be placed on checking the effects of design changes on safety.
3.2 FABRICATION / INSTALLATION PHASE
The Safety Manager shall be responsible for advising the management team on the following
matters in respect of the safety requirements both in sub¬contractors fabrication yards and
on the construction site:
 the prevention of injury to personnel and damage to equipment and materials,
including the application of safety procedures
 further improvements to existing safe / sound working methods, including those
arising from new developments
 the legal requirements affecting safety, healthy and welfare
 the provision, use, suitability and required standards of protective clothing's and safety
equipment
 The suitability of new and hired plant and equipment and the validity of all appropriate
test certificates.
 any changes in legislation relative to safety, health and welfare,
 the potential hazards in new sections of work before such work commences, and
 the site/work area safety organization and the fire precautions required
 The Safety Manager shall also be required to :
 carry out site safety surveys and inspections, in conjunction with the Project Manager
or other supervisory staff, the client and the sub contractor's, Safety Representatives
to check and ensure that only safe methods of working are in operation and that all
regulations are being observed,
 determine the cause of any accident/incident or dangerous occurrence and
recommends means of preventing recurrence
 supervise the recording and analysis of information on injuries, damage and loss and
assess accident trends and review the overall safety performance
 assist in the training of all levels of employee to promote awareness of injury
prevention and damage and loss control
 take part in site management/operative discussions on injury, damage and wastage
control,
 foster, within the site, and understanding that injury prevention and damage control
are an integral part of operational efficiency,
 Arrange safety lectures and film shows from time to time for all levels of management,
supervisory staff and other employees,
 Arrange for safety posters, signs and bulletin boards to be erected and review up-date
and change such material at regular intervals.
 keep up-to-date with recommended codes of practice and new safety literature, and
 Maintain contact, where appropriate, with government officials and
 Professional bodies.
4.0 SAFETY RESPONSIBILITIES ON SITE ORGANIZATION
4.1 GENERAL STATEMENT
METALEX CONSTRUCTION INDUSTRY TRADING believes that site safety is everyone's concern
and that each individual member of the work team must accept responsibility for safety at the
workplace.
The Safety Manager shall assist the Project Manager in coordinating safety administrative
procedures and in supervising and monitoring site safety performance in the execution of the
works.
The Project Manager, or his nominated representative, the Safety Manager and the
nominated Site Safety Supervisor shall form an integral safety committee and meetings will be
held regularly to ensure strict compliance with the statutory safety requirements and the
adoption of all necessary and appropriate safety procedures and practices.
The internal safety committee shall be represented at any safety meetings or joint site safety
patrols organized by the client and shall actively participate in promoting site safety
consciousness and awareness.
4.2 RESPONSIBILITIES
As in any other aspect of work, a clear definition of responsibilities is required so that each
person knows what he is required to do. Safety similarly requires the same delegation and
demarcation of responsibility and the success of any organization depends on the individuals
awareness.
The following are the responsibilities in respect of safety for individual designations within the
overall construction site organization.
4.2.1 PROJECT MANAGER
The Project Manager shall:

 Accept overall responsibility for safety on the Project irrespective of any duties which
may be delegated to others within the Home Office or construction site organization.
 Ensure that the policy is understood and fully appreciate the responsibilities allocated
to each level of management, supervisory staff and other employees.
 Ensure that sub-contractors tenders are sufficient to provide for sound methods of
working and reasonable welfare facilities.
 Determine at the planning stage the most appropriate order and method of working
and the allocation of responsibilities to sub-contractors.
 Control and co-ordinate the sub-contractors safety organizations and activities.
 Initiate arrangements with sub-contractors and other contractors on the Project site to
avoid any confusion about areas of responsibilities.
 Ensure that safe working practices are adopted and are carried out as planned.
 Ensure that all operations carried out at each place of work and all plant, machinery's
and equipment therein conform to the prevailing statutory requirements.
 Make certain that all plant operators are only employed on equipment for which they
have been thoroughly trained
 Ensure that all plant sent to the work locations is safe and efficient, and is maintained
to a standard which fully complies with the requirements of all relevant construction
sites safety regulations
 Check that periodic statutory tests, examinations, inspections and maintenance are
carried out
 Ensure that all repair and maintenance work carried out at the Project site or any other
place of work is done in a proper manner, and that all emergency repair are properly
dealt with and effectively repaired as soon as possible thereafter,
 Check that hired plant is safe and that, where appropriate copies of valid test
certificates are readily available for inspection.
 Investigate and report all accidents / incidents and dangerous occurrences to the client
and ensure that appropriate remedial measures are taken to prevent and recurrence.
 Co-operate with the client safety department and ensure that any defects or faults
notified by them are rectified immediately, and
 Appraise the effectiveness of all levels of supervisory staff under his control.
4.2.2 CONSTRUCTION MANAGER
The Construction Manager shall

 determine at the planning stage, in conjunction with the Project Manager, the most
appropriate order and method of working, and the allocation of responsibilities to sub-
contractors,
 control and co-ordinate the sub-contractors safety organization and activities,
 initiate, in conjunction with the Project Manager arrangements with sub-contractors
and other contractors on the Project site to avoid any confusion about areas of
responsibilities
 know the board requirements of all construction regulations and other relevant
legislation and the client specific requirements
 see that all construction regulations and other legal requirements are complied with
on the construction site, that all registers, records, and reports are in order, and that
any "competent person "appointed has sufficient knowledge of plant and/or
machinery to evaluate all aspect of its safe operation
 ensure that safe working practices are adopted and are carried out as planned,
 ensure that all operations carried out at each place of work and all plant, machinery
and equipment therein conform to the prevailing statutory requirements.,
 make certain that all plant operators are only employed on equipment for which they
have been thoroughly trained
 ensure that all plant equipment sent to the work locations is safe and efficient, and is
maintained to a standard which fully complies with the requirements of all relevant
construction sites regulation
 check that periodically statutory test, examinations, inspection and maintenance are
carried out.
 ensure that all repair and maintenance work carried out at the Project site or any other
place of work is done in a proper manner, and that all emergency repair works are
properly dealt with and effectively repaired as soon as possible thereafter:
 check that hired plant is safe and that, where appropriate copies of valid test
certificates are readily available for inspection and
 appraise the effectiveness of the supervisory staff under his control.
4.2.3 SITE SAFETY SUPERVISOR
The site Safety Supervisor shall:

 give top priority to the prevention of accidents
 Assist the Safety Manager in the execution of the safety program
 co-ordinate with the Client's Safety Department in every aspect of safety work;
 if suitably trained and qualified,
- ensure that the provisions of all relevant statutory regulations are
complied with,
- promote the safe conduct of the work generally within the construction
site,
- check sub-contractors' work to ensure compliance with all statutory
regulations, and
- liaise with the sub-contractors' Safety Representatives with respect to the
safety of all work undertaken by the sub-contractors;
 inspect the area of the construction site daily and as often as possible and take the
appropriate corrective action;
 prepare inspection reports for the Safety Manager for action ;
 carry out in-house basic safety orientation for new workmen in accordance with the
induction procedure;
 participate whenever possible in tool box meetings;
 attend the regular safety meetings;
 work in close co-ordination with the Safety Manager who will assist and advise him and
be consulted on safety matters ; and
 attend to all other safety related matters.
4.2.4 ENGINEERS & SUPERVISORS
The Engineers & Supervisors shall;

 Organize the Project site and other places of work so that all operations are carried out
to the required standards with the minimum of risk to men, equipment and materials
 plan and maintain a tidy construction site
 know the broad requirements of all construction regulations and other relevant
legislation and the client specific requirements
 see that all construction regulations and other legal requirements are compiled with
on the construction site, that all registers, records and reports are in order, and that
any "competent person " appointed has sufficient knowledge of plant and / or
machinery to evaluate all aspects of its safe operation
 ensure that all personnel employed are suitable for the jobs for which they have been
recruited
 make sure that suitable protective clothing and safety equipment is available where
appropriate and that it is used
 ensure that all items of first aid equipment as required by the relevant regulations are
made available and that the locations of such are made known to all employees.
 see that proper care is taken of casualties and know where to obtain further medical
help if so required
 in consultation with the relevant supervisor, complete all accident report forms and
submit same to the Project Manager
 arrange the delivery and stacking of materials in such a manner as to avoid increasing
the risks involved by double handling;
 position plant effectively and ensure that the electricity supply is installed and
maintained without endangering men and equipment;
 implement arrangements with sub-contractors and other contractors on the Project
site to avoid any confusion about areas of responsibility;
 check that all machinery, plant and equipment, including power and hand tools, are
maintained in good condition and that all guards and other appropriate safety devices
are properly fitted and functioning;
 ensure that periodic tests, inspections and maintenance work are being carried out;
 ensure that all repair and maintenance work carried out on the Project site or at any
other location is done in a proper manner;
 attend promptly to all notified plant defects or bring to the attention of the relevant
General Foreman the need for dangerous plant to be put out of service;
 ensure that correct procedures and systems of work are being developed and
maintained;
 appraise the effectiveness of all levels of supervisory staff under their control;
 upon request of the Client, accompany any Factory Inspector or similar authority on
site visits and act on his recommendations; and
 co-operate with the Safety Manager and act on his recommendations.
4.2.5 FOREMAN
The foreman shall:

 be familiar with the statutory regulations applicable to the work on which their gangs
are engaged ensure that the regulations are observed and report all accident
immediately
 incorporate safety instructions into routine orders, daily tool box meetings and weekly
on-the-job safety talks and ensure that they are obeyed
 prevent men from taking unnecessary risks
 ensure that all new employees understand the safety regulations and the standards of
work required and implement same,
 discourage horseplay and reprimand those who fail to consider their own well-being
and that of others around them
 ensure that protective clothing and safety equipment is used wherever appropriate or
required by the local regulations and / or the client
 ensure that plant and equipment is operated by competent persons only and that
unsafe plant and equipment is not used
 report defects in plant and equipment promptly to their immediate supervisor
 ensure that plant and equipment is in a safe and secure state when left unattended.
 set a good personal example, and
 Instigate and lead a daily tool box meeting at the start work each day
4.2.6 OTHER EMPLOYEES
All other employees shall;

 use the correct tools, equipment, materials and methods for the work they are carrying
out.
 ensure that all protective clothing's and safety equipment provided to them is used
and is maintained in good conditions
 immediately report all defects in plant and equipment to their supervisor
 develop a personal concern for themselves and other around them
 avoid improvisation since may entail unnecessary risk
 refrain from horseplay and the abuse of facilities , and
 observe all safety rules and regulations at all times
5.0 CONTROL OF SUB-CONTRACTORS
5.1 SUB-CONTRACTORS REQUIREMENTS
All sub-contractors shall be made aware of the stringent safety requirements which shall be,
imposed on the project site, and the terms and conditions of any sub-contract shall
incorporate the relevant safety requirements of the contract between the client and METALEX
CONSTRUCTION INDUSTRY TRADING
Sub-contractors shall make themselves familiar with, and follow, any site health and safety
regulations specified by the client or METALEX CONSTRUCTION INDUSTRY TRADING
Sub-contractors will adhere strictly to the local statutory construction regulations and will
keep all statutory inspection registers available for inspection by the statutory body's
inspector, the client and METALEX CONSTRUCTION INDUSTRY TRADING Particular attention
will be paid to the strength and stability of both mobile and fixed scaffoldings, provision of
guard rails and toe boards, quality and proper support of timber. All ladders provided by the
sub-contractor must be in sound condition, placed at the correct angle and firmly secured
when in use.
During the performance of any sub-contract works, the sub-contractor shall maintain safe
practices in accordance with the requirements of the sub¬contract.
The safety requirement of the sub-contract shall be deemed to be the minimum acceptable
requirements. Any modification or waiver of any of such requirements must be approved in
writing by METALEX CONSTRUCTION INDUSTRY TRADING and if applicable, the client prior to
such modification or waiver being put into effect.
The sub-contractor shall also take, or cause to be taken any additional measures which may be
determined to be reasonably necessary during the sub-contractor's performance of the sub-
contract work to protect against injury to or the death of any person or damage to or loss of
any property or equipment.
5.2 PROTECTIVE CLOTHING & SAFETY EQUIPMENT
All sub-contractors shall make protective clothing and safety equipment available to their
employees and the use and application of same shall be vigorously pursued.
Disciplinary action shall be taken against sub-contractors for any non-compliance with the
required safety standard
5.3 STANDARDS AND PROCEDURES
5.3.1 GENERAL
All work and equipment shall conform to the required standards and procedures. Where
standards and / or procedures are available to cover any particular item of work, the sub-
contractor shall request clarification of the standards and / or procedures which are to be
applied and METALEX CONSTRUCTION INDUSTRY TRADING shall provide such clarification as is
necessary to ensure compliance with the overall requirements of the contract.
The sub-contractor shall provide METALEX CONSTRUCTION INDUSTRY TRADING with a copy of
his safety policy and shall detail the measures he shall take to prevent injuries to personnel
and / or damage to property during the performance of the sub-contract.
The sub-contractor shall designate a safety representative who will act on behalf of the sub-
contractor on all safety matters and such safety representative shall liaise with METALEX
CONSTRUCTION INDUSTRY TRADING Safety Manager and Site Safety Supervisor
The sub-contractor may request assistance with regards to safety practices and this shall be
arranged by METALEX CONSTRUCTION INDUSTRY TRADING as necessary.
5.3.2 SAFE WORKING PROCEDURES
Where the operations of a sub-contractor are likely to put any person at risk, the sub-
contractor must advise METALEX CONSTRUCTION INDUSTRY TRADING management and agree
safe working procedures, if necessary, involving permit to work, and any specific warning
notices.
5.3.3 LIFTING OPERATIONS
Before a sub-contractor caries out any lifting operation for or on behalf of METALEX
CONSTRUCTION INDUSTRY TRADING, he shall produce for inspection by the management
 The appropriate statutory inspection reports/ certificates,
 evidence that the operator of any crane or lifting machine is trained and competent,
and
 detailed information as to the way in which lifting operations are to be carried out and
in respect of the equipment to be used.
Sub-contractors shall also consult with METALEX CONSTRUCTION INDUSTRY TRADING

management before carrying out any lifting operation with a crane or lifting machine to
ensure :
 That the ground or place where the crane or lifting machine is standing is suitable and
will withstand the weight imposed on it and
 That no part of the crane or lifting machine is likely to foul overhead gantries,
pipelines, electric lines or adjacent electrical conductors. Careful attention must also
be given to the proximity of overhead electrical lines.
5.3.4 EXCAVATIONS
Before any excavation is commenced, METALEX CONSTRUCTION INDUSTRY TRADING

management must be consulted and the presence of electrical cables, drains, sewers, pipes,
gas and water mains checked.
The requirements of all local statutory regulations will be observed in relation to shoring, etc
and where there is danger of personnel falling into excavations the latter will be securely
fenced around or along the edge.
5.3.5 SITE TIDINESS
All sub-contractors shall carry out their work in a clean and orderly manner, and to maintain
their site accommodation accordingly.
5.4 SAFETY INSTRUCTION / MEMOS
In order to exercise close monitoring and control over safety performances, site safety
instructions / memos will be issued to sub-contractors for action.
METALEX CONSTRUCTION INDUSTRY TRADING shall notify the sub-contractor in writing of any
non -compliance with the safety requirements of the sub¬contract and the sub-contractor
shall, after receipt of such notice, immediately take all necessary corrective actions.
If the sub-contractor fails to take the necessary correction actions promptly, an order stopping
all or part of the work shall be issued by METALEX CONSTRUCTION INDUSTRY TRADING and
the necessary satisfactory corrective action shall thereupon be effected.
The work, or any part thereof, shall not be permitted to recommence until such time as the
necessary corrective actions have been effected and been approved by METALEX
CONSTRUCTION INDUSTRY TRADING in writing
No part of the time lost due to any such order to cease work shall be made the subject of a
claim by the sub-contractor for an extension of time or for additional costs or for damages.
5.5 SAFETY TRAINING
The sub-contractor employees will be required to attend safety courses at which internal
safety training will be arranged.
5.6 ATTENDANCE AT SAFETY MEETINGS
Regular safety meetings will be held with the sub-contractors at which time general safety
performance standards will be reviewed and discussed.
5.7 FIRE PRECAUTIONS
Before welding, flame or arc cutting of metals, burning of paint or other processes involving
heat or naked lights are carried out, fire precautions must be agreed with METALEX
CONSTRUCTION INDUSTRY TRADING. management who will, where necessary, issue a Permit
to Work.
Sub-contractors shall familiarize both themselves and their employees with METALEX
CONSTRUCTION INDUSTRY TRADING fire precautions, fire alarms, means of escape and
emergency evacuation procedures.
Before leaving the project site, sub-contractors shall ensure that naked lights and other
ignition sources have been extinguished and electrical apparatus, when practicable, is
switched off.
5.8 ELECTRICAL WORKS
Sub-contractors shall comply with all local statutory rules and regulations in relation to the
performance of electrical works. Safety procedures and , if necessary, Permits to work must be
agreed with METALEX CONSTRUCTION INDUSTRY TRADING management before electrical
work commences.
Hand held portable electrical apparatus and electrical lighting will be supplied at 110 volts by
means of main isolating transformers with the secondary winding center tapped to earth. If
for any reason this is not practicable safe working procedures must be agreed with METALEX
CONSTRACTION INDUSTRY TRADING management. Where work is to be carried out in tanks
and confined spaces, temporary lighting shall be supplied at 25 volts or less.
5.9 REPORTING OF ACCIDENTS / INCIDENTS
In addition to their own procedures in the above regards, subcontractors shall report to
METALEX CONSTRUCTION INDUSTRY TRADING any accidents to any employee.
In circumstances under their control, sub-contractors shall also report to METALEX

CONSTRUCTION INDUSTRY TRADING any dangerous occurrences, fire or noticeable
occupational illness. Copy of the report to the enforcing authority should be attached
Sub-contractors shall also report any significant case of property loss or damage to METALEX
CONSTRUCTION INDUSTRY TRADING
6.0 CLIENT ISSUED WORK PERMITS
6.1 PERMITS TO WORK
METALEX CONSTRUCTION INDUSTRY TRADING and its sub-contractors shall comply with all
local rules and regulations and any specific client requirements in respect of obtaining permits
for particular types of work which are to be carried out on the construction site.
Any such permits to work which are issued by the client shall not relieve METALEX
CONSTRUCTION INDUSTRY TRADING nor any of its sub-contractors from their obligations in
respect of full compliance with all safety rules and regulations.
Typical items of work, particularly within the refinery or process industries, which would
normally require specific permits prior to the commencement of such work are :
 excavation works
 scaffolding works
 works on existing high voltage electrical equipment and medium voltage busbar
systems.
 works requiring entry into vessels and confined space.
 hot works
 cold works, and
 Radiographic works. '
(ELECTRICAL EQUIPMENT)
In respect of Permits to Work for use in connection with operations on existing high voltage
electrical equipment which is normally LIVE, such shall only be issued to competent authorized
personnel unless such equipment can be physically removed from contact with LIVE burbars or
systems.
Similarly, Permits to Work shall only be issued to competent authorized personnel for all
works on medium voltage busbar systems.
The authorized personnel to whom Permits to Work have been issued shall retain the permits
in their possession until such time as the work is either completed or suspended.
Any equipment or apparatus which has been isolated an earthen as part of the conditions
under which the Permit to Work was issued shall remain in such condition until such time as
the Permit to Work has been cleared, returned to the issuing party and canceled.
The authorized personnel to whom the Permit to Work was issued shall also reenergize the
equipment or apparatus if necessary, however, before being reenergized, all high and medium
voltage electrical circuits which have had work carried out on their normally LIVE portions
shall be tested to ensure that they are safe.
A record of the issued Permit to Work shall be kept in the log provided for such purposes in
the sub-station or switchroom.
Permits for work shall become necessary for all work on high voltage equipment after it has
been energized for the first time and commissioned.
7.0 SITE SAFETY COMMITTEE
7.1 PURPOSE
The main purpose of the Site Safety Committee shall be to plan, implement and maintain the
overall safety controls within the Project site.
The site safety committee shall be composed of the following members of METALEX
CONSTRUCTION INDUSTRY TRADING organization at the construction site
 the Project Manager, or his nominated representatives
 the Safety Manager
 the Site Safety Supervisor and
 such other members of the company's supervisory team who may, from time to time,
be nominated to the committee.
The chairman of the site safety committee shall be the Project Manager or, in his absence, the
safety Manager.
The site safety committee shall advise and assist the site management organization in the
development and subsequent implementation of the site safety procedures and controls
7.2 RESPONSIBILITIES
Among the duties and responsibilities of the site safety committee shall be:
 advise and assistance in the development of the safety procedures for the project.
 the promotion of safety awareness among the work force
 safety training
 safety inspection / audits of the works in progress on the project.
 accident/ incident investigation and reporting , and
 attendance, as and when required, at the general site safety meeting
7.3 SAFETY COMMITTEE MEETINGS
The safety committee shall also initiate monthly safety committee meetings at which time a
full review of the site safety performance shall be carried out. Such review shall be
complemented by the formulation of recommendations relative to the improvement of the
site safety performance.
The site safety committee shall also be represented at the regular (monthly) general site
safety meetings in order to comment and make recommendations on the site safety
performance, and shall also endeavor to be regularly represented at the daily tool box
meetings.
7.4 PROMOTION OF SAFETY AWARENESS
In order to achieve the required safety target, the site safety committee shall be responsible
for the promotion of safety awareness within METALEX CONSTRUCTION INDUSTRY TRADING
Project Management team and workplace and this shall include, but not limited to, the
provision of the followings:
 Safety notices, posters, etc. in prominent locations around the Project site. Such
materials shall be multi-lingual to ensure the understanding by all nationalities within
METALEX CONSTRUCTION INDUSTRY TRADING site management team and work force,
and
 safety training which shall include induction procedures for new employees, regular
safety talks and videos or similar, training courses on specific themes or topics, and on-
the-job training /correction.
7.5 SAFETY INSPECTIONS
The site safety committee shall regularly carry out safety inspections / audits of the works in
progress on the project site, prepare and submit reports of their findings to the site
management team, and shall make any necessary recommendations arising from such findings
in order to improve the site safety performance.
7.6 ACCIDENT / INCIDENT INVESTIGATION
The safety committee shall be responsible for investigating all major accidents / incidents and
dangerous occurrences, reporting back in respect of same to the site management team and
the client, and making such recommendations with regard to the existing safety procedures as
may be necessary to prevent a recurrence of such accidents / incidents or dangerous
occurrences.
8.0 SAFETY MEETINGS
8.1 REGULAR ( MONTHLY ) MEETINGS
Safety meetings shall be held at regular intervals on the construction site, and these meetings
shall be in addition to any regular meetings which may be required by the client.
The frequency of such meetings shall be at least once in every month. Formal minutes shall be
kept at the meetings and a copy shall be distributed to all concerned, including the client.
The agenda for the meetings will be flexible but a monthly accident / loss report shall be
standard inclusion together with the acceptance of the minutes of the previous meeting.
The objectives of such meetings shall be to develop an awareness of the requirements for an
effective safety program and to ensure that a system of implementation is maintained.
Safety and hazard control programs shall also be developed at these meetings, alongside the
regular meeting function such as accident / incident investigations, safety inspections / audits,
etc.
The meetings shall be chaired by the Project Manager, and Engineers and supervisors from
each discipline shall attend such meetings. The Safety Manager or, in his absence, the site
safety supervisor shall be present as an ex-official member of the meeting.
Where a sub-contractor may be affected by the decisions of the meeting, the sub-contractor's
safety representatives shall be instructed to attend.
8.2 TOOL BOX MEETINGS
At the start of work each day, a safety meeting instigated and led by each foreman shall be
held with the workers in his gang
Every worker on the construction site shall be included in a gang, and no worker shall be
allowed to carry out work on his own and without supervision.
The tool box meetings shall be conducted continually on a daily basis, and the prime purpose
of such meetings shall be to highlight the potential safety problems which may arise during
the day's work
The following points, which shall be discussed each day, are considered to be the minimum:
 What kind of dangers exist in the day's work
 Where are such dangers, and
 What actions are to be taken to avoid such dangers
During the course of the meeting, the foreman shall also make sure that all workers under his
supervision / controls:
 have safety belts / life jackets as necessary, and
 have safety shoes and helmets and any other appropriate protective clothing which
may be necessary.
The tool box meeting shall also be used to highlight the safety performance of the work /
operations to date and to discuss areas where, if possible, further improvement can be
obtained.
9.0 SAFETY TRAINING
9.1 TRAINING GENERALLY
The Safety Manager and the site safety supervisor shall be responsible for he training and
indoctrination and safety procedures to the site personnel. The followings subject shall be
covered as a minimum:
 induction procedure for new personnel
 personnel safety requirements
 use of inert and inflammable gases
 equipment checks
 entry into enclosed / confined spaces
 temporary electrical installations
 safety nets
 temporary platforms
 Handling of gas cylinders
 Precautions to be taken during welding and cutting operations to prevent fires.
 Procedure for lifting, and
 use of fire extinguishers.
9.2 INDUCTION COURSE
Every worker, whether directly employed by METALEX CONSTRUCTION INDUSTRY TRADING or

by its sub-contractors, shall attend an induction procedure on the first day of his arrival to
commence work at the construction site.
9.3 KICK OFF MEETING FOR NEW SUB-CONTRACTORS
All sub-contractors shall be required to attend a kick-off meeting relative to their particular
specialist trades when they first arrive at the project site.
The safety training and kick-off meeting shall be arranged by the Safety Manager for all
workers and , in principle, such shall be in line with the current safety themes.
9.4 SAFETY PROMOTION
METALEX CONSTRUCTION INDUSTRY TRADING shall actively participate in any safety

promotion program organized by the client.
An adequate supply of safety posters shall be made available for display at prominent
positions within the project site, and such shall be regularly reviewed, up-dated and changed
to suit the safety themes applicable to the work being executed at any given time.
HSE PERFORMANCE AND STATISTICS FOR THE YEAR OF 2002
SUMMARY Jan-02 Feb-02 Mar-02 Apr-02 May-02 Jun-02 Jul-02 Aug-02 Sep-02 Oct-02 Nov-02 Dec-02 TOTAL
Medical checks (pre-employement including food handlers) 10 10 10 10 24 10 10 0 0 12 10 10 116
Inductions (number of inducted persons - i.e. HSE awareness) 10 10 10 10 24 10 10 0 0 12 10 10 116
Training (number of persons) 0 0 0 48 0 0 0 44 0 0 32 124
Project Manager meetings 0 1 2 2 3 2 2 2 3 2 2 1 22
HSE Commitee meetings 0 0 1 1 1 1 1 1 1 1 0 0 8
Sectional meetings 0 2 3 3 4 4 3 3 6 6 3 5 42
Tool box meetings 30 30 20 20 20 30 30 20 20 30 30 34 314
Inspections 0 1 1 2 2 1 1 2 3 0 1 1 15
Cross-inspections 0 0 0 0 1 1 0 0 1 1 1 0 5
General management inspections (check lists) 0 1 1 0 2 2 2 3 7 3 2 2 25
Audits (full report) 0 0 1 1 1 1 0 0 1 1 1 1 8
Drills and Exercises 0 0 1 1 1 0 0 0 1 1 1 0 6
Number of Action points created 15 15 10 12 8 9 9 10 16 16 18 9 147
Number of Action points completed 12 12 16 10 0 19 9 10 16 16 18 9 147
Unsafe Acts / Unsafe conditions 2 4 6 4 7 4 8 2 5 6 8 4 60
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
Lost Time Injuries LTI + days lost 0 0 0 0 0 1 0 0 0 0 0 0 1
Restricted Workday cases RWC + restricted days 0 0 0 0 0 0 1 1 1 0 0 0 3
Medical Treatment Cases 0 0 0 1 0 1 0 0 2 2 3 0 9
First Aid Cases 0 2 1 2 3 0 1 0 2 1 1 1 14
Material Accidents 0 0 0 0 0 0 0 0 1 0 0 0 1
Near Misses 0 0 0 0 0 0 0 0 0 0 0 0 0
Illness Cases 8 9 9 7 9 10 15 10 4 4 4 1 90
Lost time Medical Cases LTMC + days lost 0 10 10 2 7 14 26 25 43 31 12 28 208
Average personnel present 820 867 854 836 802 827 812 823 880 842 894 954 10.211
Enviromental Damages 0 0 0 0 0
Working hours TOTAL (based on 12 hrs / day employee) 253.637 283.922 292.933 393.021 223.911 10.293 273.828 283.892 316.800 313.224 321.600 354.888 3.321.949
Working hours Metalex senior Staff 19.289 20.392 19.203 21.920 19.201 12.239 19.201 19.203 21.600 22.320 21.600 23.064 239.232
Working hours Metalex Junior 293.849 293.929 223.923 223.930 239.232 293.934 293.042 29.392 227.200 276.024 292.800 324.384 3.011.639
Working hours Subcontracted personnel 7.383 8.493 10.293 10.293 10.293 13.920 12.922 14.949 18.000 14.800 7.200 7.440 135.986
Number of kilometers driven 78.494 58.964 59.695 49.958 97.080 97.608 97.064 790.897 119.878 122.000 121.099 111.000 1.803.737
Number of hours flown 0 0 0 0 0 0 0 0 0 0 0 0 0
Costs HSE expences (USD) 10.203 9.384 7.382 9.394 5.632 10.000 12.000 10.000 10.120 10.130 10.000 12.000 116.245
A combined Fatality, Lost Time Injuries (LTI) and Medical Treatment Cases (MTC) frequency rate below 0,60
Training (number of persons) 30 29 31 30 36 33 31 21 22 21 12 14 310
Inspections 4 2 4 4 4 4 3 4 2 1 6 6 44
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
First Aid Cases 3 3 1 2 2 2 1 3 5 6 7 3 38
Near Misses 0 0 0 0 0 0 0 0 1 0 0 0 1
Illness Cases 24 26 27 21 28 32 45 30 23 12 11 3 282

Average personnel present 960 980 978 998 976 1.000 1.004 860 890 844 894 899 11.283
Enviromental Damages 0 0 0 0 0 0 0 0 0 0 0 0 0
Training (number of persons) 55 89 95 73 55 83 59 73 89 81 45 6 803
Inspections 2 4 4 4 4 4 3 4 1 4 2 2 38
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
First Aid Cases 1 3 1 2 1 1 1 3 4 3 2 4 26
Near Misses 2 0 0 0 0 0 1 0 0 1 1 0 5
Illness Cases 11 20 27 21 28 32 45 30 32 23 23 12 304

Average personnel present 830 831 878 998 976 1.000 1.004 860 998 1.000 890 844 11.109
Training (number of persons) 150 120 68 170 34 23 90 225 78 98 85 180 1.321
Inspections 2 4 4 5 4 4 4 4 1 4 2 2 40
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
First Aid Cases 2 3 3 2 3 4 4 2 4 27
Near Misses 0 0 1 2 0 2 1 0 1 1 0 0 8
Illness Cases 11 3 15 32 20 27 19 25 17 15 12 22 218

Average personnel present 1.386 1.397 1.630 1.560 1.650 1.621 1.627 1.689 1.687 1.691 1.713 1.790 19.441
Inspections 1 2 4 5 4 4 4 4 2 4 2 2 38
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
First Aid Cases 3 0 1 2 3 3 2 3 4 4 2 4 31
Near Misses 3 0 1 2 0 2 1 0 1 1 0 1 12
Illness Cases 5 9 15 19 13 16 15 14 12 13 12 4 147

Working hours TOTAL (based on 12 hrs / day employee) 1.388.258 1.402.910 1.391.040 1.443.158 1.236.171 1.389.031 1.391.040 1.238.026 1.213.172 604.909 522.567 1.301.457 14.521.739
Inspections 1 2 4 5 4 4 4 4 3 4 3 2 40
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
First Aid Cases 2 2 2 1 4 3 2 4 4 4 2 4 34
Near Misses 0 1 1 2 4 2 1 1 1 1 0 1 15
Illness Cases 5 9 11 12 11 11 12 12 9 11 9 4 116

Environmental Damages 0 0 0 0 0 0 0 0 0 0 0 0 0
Working hours TOTAL (based on 12 hrs / day employee) 1.890.245 1.863.782 1.873.694 1.849.490 1.890.293 1.874.630 1.836.554 1.789.929 1.678.293 1.092.938 600.939 903.094 19.143.881
Inspections 1 2 4 5 4 4 4 4 3 4 3 3 41
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
First Aid Cases 2 2 2 2 4 3 2 4 4 4 2 4 35
Near Misses 0 1 1 2 4 2 1 1 1 1 1 1 16
Illness Cases 5 9 9 9 8 7 7 9 11 10 9 4 97
Environmental Damages 0 0 0 0 0 0 0 0 0 0 0 0 0
Working hours TOTAL (based on 12 hrs / day employee) 2.348.852 2.400.672 2.380.780 2.332.424 2.273.210 2.131.432 1.388.031 763.193 1.146.929 2.400.611 2.367.003 2.379.591 24.312.729
Working hours Metalex Junior 1.029.029 913.257 945.271 898.461 816.630 944.421 945.014 861.303 932.342 933.042 1.026.468 1.026.468 11.271.706
HSE PERFORMANCE AND STATISTICS FOR THE YEAR OF 2009 (9 months Period January to end September 2009)
Inspections 1 2 5 6 4 5 5 5 3 0 0 0 35
Fatalities 0 0 0 0 0 0 0 0 0 0 0 0 0
First Aid Cases 2 2 2 2 4 3 2 5 4 0 0 0 28
Near Misses 0 1 1 2 4 2 1 1 1 0 0 0 15
Illness Cases 6 10 10 10 9 8 8 10 12 0 0 0 84
Average personnel present 4.008 4.014 2.265 2.110 3.560 3.498 3.668 3.572 3.490 0 0 0 30.185
Working hours TOTAL (based on 12 hrs / day employee) 2.818.623 2.760.773 2.737.897 2.612.314 2.545.995 2.451.147 1.582.356 862.408 1.261.622 0 0 0 19.633.135
Working hours Metalex senior Staff 33.600 28.750 28.750 5.600 28.000 28.750 28.500 28.250 28.600 0 0 0 238.800
Working hours Metalex Junior 1.234.835 1.050.246 1.087.062 1.006.277 914.625 1.086.084 1.077.316 973.272 1.025.576 0 0 0 9.455.293
Working hours Subcontracted personnel 29.806 15.980 23.191 20.940 20.672 19.302 15.746 15.607 223.170 0 0 0 384.415
Number of kilometers driven 706.313 471.596 445.917 511.054 523.080 542.121 455.838 505.217 491.790 0 0 0 4.652.928
Costs HSE expences (USD) 12.000 270.787 105.596 56.717 51.113 56.789 74.524 52.837 51.461 0 0 0 731.825
A combined Fatality, Lost Time Injuries (LTI) and Medical Treatment Cases (MTC) frequency rate below 0.28
Certificates
COMPANY
EXPERIENCE
SELECTED REFERENCES OF PIPELINE PROJECTS
Type of Date of Date of Final Value of

No Name of Project Client/Owner Scope of Work Initial Value of Contract
Contract Commencement Completion Contract
Construction of a 200 km long 20” diameter EGO pipeline from MAA

refinery ending at Subiyah Power Plant and a 22 km branch line ending at
New 20” EGO Pipeline
Doha Power Plant. Client provides the bulk materials and detailed
from MAA Refinery to
Kuwait Oil Company engineering. Project also comprises 16 ea. Sectionalizing Valve Stations, 6
New
1 LSTK Contract (K.O.C), Ahmadi, ea. pig launcher/receivers, facilities inside MAA Refinery such as pump 30.04.2011 11.08.2014 $201.478.126,00 $341.956.256,00
Turbines at Subiyah
Kuwait house, metering station, control room, 11 kVA substation and a consumer
Power Station, Kuwait
network building. There are 7 live tie-in’s in the scope with hot tapping.
Contractor supplies only some electrical & instrument materials and
cables.
Infield Tie-in Pipelines, Daleel Petroleum Turn-key construction of 6 pigging stations and 131 km of various
2 Flowlines and Facilities LSTK Contract Company, Muscat, diameter crude oil flowlines and pipelines from 4" to 18" diameter, 11.02.2011 22.03.2013 $ 267,883,000.00 $ 267,883,000.00
Construction, Oman Oman pumping systems, relevant electrical & instrument works
Sussa-Shahat-Al Beida
Water Pipeline System Al Jabal Al Akhdar Turn-key engineering, design, geotechnical studies, right of way survey,
3 and LSTK Contract Municipality, Peoples procurement, construction and commissioning works of 3 pump stations 05.07.2006 25.09.2010 $ 166,756,250.00 $ 166,756,250.00
Pump Stations Republic of Libya and 65 km of 16" water pipeline.
Project, Libya
Installation of Sales Pipeline Network to serve the facilities of 17 oil

trading companies at the Vicinity of 4 Refineries. The scope of work
includes the above ground piping between the storage tanks, pumps and
Installation of Refinery
Unit Rate Re- TÜPRAŞ Turkish metering skids within the refinery, underground pipeline to the facilities
Sales Pipeline Network
4 measurable Refinery Corporation, outside the refinery boundary limits and SCADA System modifications. 18.08.2008 22.06.2011 $115.742.114,00 $128.308.022,00
Phase IV Project,
Contract Ankara, Turkey The scope of work includes 208 km underground pipeline and 16 km
Kırıkkale, Turkey
above ground piping, diameters ranging between 12" to 28". Materials
have been supplied by the refinery and scope of work includes only
workmaship.
Page 1 of 3

Engineering, design, procurement, construction, testing, commissioning

Abqaiq to Al Manserna of a natural gas pipeline system in the same corridor with 3 other
LSTK EPC Saudi ARAMCO, Al
5 Pipeline Project Phase pipelines consisting of 118 km 56", 127 km 48" and 91 km 40" diameter 12.03.2008 04.07.2010 $1.134.062.500,00 $1.129.663.550,00
Contract Khobar, Saudi Arabia
II pipeline of total 336 km in length, 3 ea. launching and receiving pigging
stations, 3 ea. metering stations and 11 ea. block valve stations.
Engineering, design, procurement, construction and commissioning of

Biga-Karabiga Natural 27,614 meters of 16" and 41,990 meters of 18" natural gas pipeline, line
LSTK EPC İÇDAŞ Steel Mills
6 Gas Pipeline Project, valves (5 ea.) and A-Type (75 to 19 Bars) Pressure Reduction and 30.10.2007 05.12.2008 $157.500.000,00 $161.655.000,00
Contract Incorporated
Çanakkale, Turkey Metering Station to feed new steel mill owned and operated by İÇDAŞ
Steel Mill Inc., the biggest producer of reinforcement steel in Turkey.
Natural Gas Engineering, design, procurement, construction, testing, commissioning

LSTK EPC BOTAS State Pipeline
7 Transmission Pipelines of a 40" diameter pipeline of 263 km in length for crude oil, launching 28.10.2005 16.05.2006 $166.350.000,00 $166.350.000,00
Contract Corporation of Turkey
Phase 3, NGTL Phase 3 and receiving pigging stations and 8 ea. block valve stations.
Engineering, design, geotechnical studies, right of way survey,

environmental impact study, easement works, procurement, construction
Malatya-Gaziantep
LSTK EPC BOTAS State Pipeline and commissioning works of 184 km 40”, 42 km 24”, 16 km 16” natural
8 Natural Gas Pipeline 12.01.2004 25.08.2006 $177.873.440,00 $178.105.280,00
Contract Corporation of Turkey gas pipeline, 6 ea. pigging stations, 9 ea. line valves in the Southeast area
Project, Turkey
of Turkey. The client only provided the line pipes and contractor supplied
all remaining materials.
West Atyrau Kranchaz

Various Surface Facilities to accomodate 30,000 bpd production, flow
Oilfield Development LSTK EPC
9 The Sahara Group lines and oil transport pipelines of 4", 6", 8", 12", 16", 18" and 24" 25.01.2003 16.11.2005 $73.125.000,00 $100.368.750,00
Project, Atyrau, Contract
diameters, 605 km in total.
Kazakhstan
West Tigris and Silvan

Totally 82 kms of 2", 2 7/8", 3", 4", 6", 8", 9 5/8", 10", 12" production and
Field Pipelines and LSTK EPC Turkish Petroleum
10 water injection lines and various crude oil tanks engineering, material 25.02.2002 25.08.2004 $44.825.000,00 $44.825.000,00
Surface Facilities Contract Company TPAO
procurement, construction, installation and testing
Construction, Turkey
Page 2 of 3

Engineering, design, procurement, testing, commissioning of two parallel

Petroleum
Trans Salala Product LSTK EPC 24" diameter pipelines of 387 km length for oil products, launching and
11 Development Oman, 12.08.2003 31.03.2005 $395.875.000,00 $442.076.687,00
Pipelines Project Contract receiving pigging stations and one fiscal and one custody transfer
Muscat, Oman
metering station.
Engineerineg, design, procurement and commissioning of 264 km of 56"

JP 11 to DL 28 NGP LSTK EPC Saudi ARAMCO, Al
12 natural gas pipeline, main line valves (9 each) one compressor station 15.07.2002 31.10.2004 $418.000.000,00 $483.420.000,00
Project Contract Khobar, Saudi Arabia
and one custody transfer metering station.
Page 3 of 3
SELECTED REFERENCES OF FACILITY PROJECTS

The scope of work includes engineering, procurement and construction of

Ras Issa Oil Terminal a 3,3 million barrel capacity oil terminal for loading VLCC’s at the Red
On-shore and Off-shore Yemen Oil & Gas Sea Coast. The facility, when completed, will accommodate 9 ea. floating Stand-by due to
LSTK EPC
1 Parts Corporation, Sana’a, roof atmospheric storage tanks of 300,000 to 450,000 barrels capacity, 19.01.2014 clashes in $612.500.000,00 $612.500.000,00
Contract
Construction Project, Republic of Yemen loading and shipping pumps, jetty, single point mooring (SPM) system, Yemen
Hodeidah, Yemen all utility systems such as reverse osmosis plant, power generation plant,
fire fighting systems, metering systems and all interconnecting piping.
Al Rumaisiya Power
Plant and Power Unit Rate SEC, Saudi Electricity The scope of work includes works for the construction of a simple cycle
2 Transmission/Distributi Remeasurable Company, Riyadh, 754 MW power plant. Turbine License, Engineering and Supply by 22.04.2008 18.04.2010 $429.880.000,00 $537.195.700,00
on Project (TAPP), Contract Saudi Arabia General Electric.
Saudi Arabia
Doha CCGT Power

Ministry of Electricity
3 Plant Extension Project, LSTK Contract 6 sets GE Frame 6 Gas Turbine with Mechanical and Electrical BOP 15.04.2007 26.10.2008 $232.385.750,00 $241.218.423,00
and Water of Kuwait
Kuwait
Trans Salala Pipeline Petroleum Engineering, design, procurement, testing, commissioning of two natural
LSTK EPC
4 Project Compressor Development Oman, gas compressor stations capacities 50 Barg /75 Barg with 785,000 12.08.2005 31.03.2007 $195.875.000,00 $242.076.687,00
Contract
Stations, Oman Muscat, Oman Sm3/hr and 49 Barg / 74 Barg with 860,000 Sm3/hr.
Al Haramiyah Natural Engineerineg, design, procurement and commissioning of gas custody

LSTK EPC Melittah Petroleum,
5 Gas Stations Project, transfer metering station with 90,000 Sm3/hr minimum and 900,000 15.07.2004 31.10.2005 $206.000.000,00 $229.275.000,00
Contract Tripoli, Libya
Libya Sm3/hr maximum capacity and 54 Barg inlet pressure
Page 1 of 2
SELECTED REFERENCES OF FACILITY PROJECTS

The scope of works includes structural steel, pipe supports, pipe racks
Nabi Oglegor Refinery, Unit Rate and interconnecting piping for the construction of Delayed Coker Unit
Sonatrach, Oran,
6 DCU & SDA Project Remeasurable (DCU) with Naphta Stabilizer and Gas Threatment and Solvent De- 15.01.2003 30.05.2005 $322.500.000,00 $324.248.320,00
Algeria
(TDSP) Contract Asphalting Unit (SDA). DCU : License and Engineering By Foster
Wheeler Italy. SDA : License and Engineering By Foster Wheeler US.
Subiyah CCGT Power

Ministry of Electricity
7 Plant Extension Project, LSTK Contract 2 sets GE Frame 6 Gas Turbine with Mechanical and Electrical BOP 28.06.2002 05.12.2008 $338.114.800,00 $345.780.193,00
and Water of Kuwait
Kuwait
18.5 MW Mersin Soda

The scope of work includes structural steel, pipe supports, pipe racks,
factory Co-Generation General Directorate of
8 LSTK Contract storage tanks, all equipment installations, HP Steam Collector, steam 31.05.2001 18.11.2002 $69.180.000,00 $70.740.300,00
Plant Project, Mersin, Mersin Soda Company
condensate piping and all interconnecting piping works for the facility
Turkey
Page 2 of 2
SELECTED LIST OF OTHER MAJOR COMPLETED PROJECTS
(M) Main
(I) Interim
Date of Percent Contract
Name of Project Scope and Description of Work Client / Owner (F) Final
Contract Completion (S) Sub-
Acceptance
contract
Survey, Detailed Engineering, Construction, Testing
& Commissioning Works of an 14''x9 km gas
BOTAŞ State
Silivri Natural Gas pipeline (82 Barg operating pressure) including
1 05.07.1996 100% Pipeline Corporation, (M) F
Pipeline Project cathodic protection, t/w 2 ea 36''x24'' hot tapping
Ankara, Turkey
operations and two valve stations. Materials supplied
by the Client
ANSAD JV
Various surface facilities to accomodate 21,000 bpd (Azerbaijan State Oil
Neftchala Oilfield
2 production, oil transport pipelines of 4", 6", 8", 12" 03.04.1998 100% Company SOCAR, (M) F
Development Project
and 16" diameter, 85 km in total Malaysian L&G
Berhad and ADPC)
TPAO Turkish State

West Raman and
Totally 52 kms of 2", 2 7/8", 3", 4", 6", 8", 9 5/8", 10", Petroleum
Garzan Field Pipelines
3 12" production and water injection lines and various 18.09.1998 100% Exploration (M) F
and Surface Facilities
crude oil tanks construction, installation and testing Company, Ankara,
Construction
Turkey
Erzincan-İmranlı BOTAŞ State

Construction Works of a 48''x 167km gas pipeline
4 Natural Gas Pipeline 22.09.1999 100% Pipeline Corporation, (M) F
(75 Barg operating pressure)
Project Ankara, Turkey
Inspection and reconstruction of tanks and piping

Modernization of TK- within the TK-9054 Group, construction of two new TÜPRAŞ Turkish
9054 Diesel Storage cylindirical atmospheric storage tanks of 2,000 and Refinery Corporation,
5 13.03.2000 100% (M) F
Tank Farm and 5,000 m 3 capacity respectively, refurbishment of the Aliağa Refinery,
Pumping Group pumps and pump shelters, materials supplied by the İzmir, Turkey
refinery
TPAO Turkish State
Garzan Water
34 kms of 2", 4", 6", 6 5/8" water injection and Petroleum
Injection and Stream
6 production lines construction and 4 river crossings 28.04.2000 100% Exploration (M) F
Crossing Pipeline
with open cut free stress elastic bend method Company, Ankara,
Construction
Turkey
Page 1 / 3
(M) Main
(I) Interim
Acceptance
contract
Procurement and Procurement and Installationof 40 Microwave Links
Installationof 40 in telephone exchange buildings at various locations State Post and
7 Microwave Links at in Iraq. The contract has been awarded with the 20.06.2001 100% Telephone Company, (M) F
Various Locations in permissionof the United Nations under the Turkish - Baghdad, Iraq
Iraq Iraqi Protocol
Engineering, design, feasibility study and
PRD (Pacific Roller ÇALIK Energy
procurement services of a 100,000 tonnes per
Die) Pipe Plant Incorporated,
8 annum capacity 6" to 80" diameter spiral pipe mill 04.07.2001 100% (M) F
Complex Project, Asghabad,
and extruded polyethylene coating plant in
Turkmenistan Turkmenistan
Turkmenistan
Engineering, procurement, construction and
commissioning works including additional tanks,
Helvacı Oil Products piping and pumps to increase the capacity of Helvacı
GS Oil Products
9 Storage Facility oil products storage facility nearby TÜPRAŞ 17.12.2001 100% (M) F
Trading Ltd. İzmir
Expansion Project Western Anatolian Refinery at Aliağa owned by GS
Oil Products Trading Ltd. İzmir from 5,000 tonnes to
12,000 tonnes.
Engineering, design, procurement, construction and
Turkmenbashi ÇALIK Energy
commissioning of 4,000 meters of 16" and 700
Refinery Power Plant Incorporated,
10 meters of 12" natural gas pipeline and valves in the 19.04.2002 100% (M) F
Off-site Pipeline Asghabad,
vicinity of power plant feeding Turkmenbashi
Project Turkmenistan
Refinery in Turkmenistan.
Procurement and
Procurement and installation of the necessary
Installation of Internal
infrastructure to convert the production, support and İçdaş Çelik Tersane
Natural Gas
11 social facilities of İÇDAŞ Çelik Tersane Ulaşım 18.10.2002 100% Ulaşım Sanayi A.Ş., (M) F
Distribution System at
Sanayi A.Ş.located at Biga, Çanakkale to consume İstanbul
İÇDAŞ Facilities in
natural gas
Biga
Inspection and ESKI Municipality of
Inspection, handling and transport of 5,500 tonnes of
Transport of Hot Erzurum City Water
Hot Rolled Steel Coils (X-52 material for pipe
12 Rolled Coils from 31.12.2002 100% & Sewage Works (M) F
production) from ERDEMİR Steel Mill to Hilal Pipe
ERDEMİR Steel Mill to Administration,
Mill owned by the Municipality of Erzurum
Hilal Pipe Mill Erzurum, Turkey
Page 2 / 3
(M) Main
(I) Interim
Acceptance
contract
Periodical Inspection
The inspection of the tanks TK-3041, TK-3042, TK- TÜPRAŞ Turkish
of the weld seams and
3043, TK-3047, TK-3048, TK-3049/1 located at Refinery Corporation,
13 material using 05.02.2003 100% (M) F
Aliağa Refinery, İzmir owned by TÜPRAŞ using Aliağa Refinery,
acoustic emmission
acoustic emmission method İzmir, Turkey
method
Survey, Detailed Engineering, Design and Feasibility
Engineering and YAVUZLAR Energy
Study of a domestic natural gas distribution network
Design of Konya City and Distribution
14 (medium and low pressure grids) in the city of Konya 01.03.2003 100% (M) F
Domestic Gas Corporation, Ankara,
which owns 65,000 household and 273 industrial
Distribution Network Turkey
customers
Installation of Sales Pipeline Network to serve the
facilities of three oil trading companies at the Vicinity
Installation of Sales of TÜPRAŞ Kırıkkale Refinery. The scope of work
TÜPRAŞ Turkish
Pipeline Network at the includes the above ground piping between the
Refinery Corporation,
15 Vicinity of TÜPRAŞ storage tanks, pumps and metering skids within the 13.08.2003 100% (M) F
Kırıkkale Refinery,
Kırıkkale Refinery refinery, underground pipeline to the facilities and
Kırıkkale, Turkey
(Phase 2) SCADA System modifications. Materials have been
supplied by the refinery and scope of work includes
only workmaship.
Page 3 / 3
CONSTRUCTION, MAINTENANCE AND REPAIR PROJECTS IN
REFINERIES, OIL & GAS FACILITIES AND INDUSTRIAL PLANTS
Skillful, experienced management is vital for the success of

any project. METALEX understanding of the concept provides total
capability resources for projects of any size. Bringing together
experts from many fields, including contract administration,
conceptual and detailed engineering, procurement, manufacturing,
construction, quality assurance and budget control. All team
members have knowledge of advanced software and
communications capabilities for collecting and analyzing
information about the progress of projects and the use of
computerized systems for project planning and management.
METALEX has exceptional experience in supplying

personnel for refining chemicals, petrochemicals, minerals
extraction, fine chemicals and pharmaceuticals, pulp and
paper, power generation, iron & steel industries.
METALEX success is based on a total commitment to
excellence. The continued pursuit of quality in all disciplines
and aspects of our business gives us a quantifiable
competitive edge. We strive to ensure that all resources are
identified right, first time.
Central to our philosophy is our ability to form an effective
partnership with clients. Whatever the project or problem, we
aim to become an integral component of the solution for
clients needs.
We establish a clear understanding of clients' needs right

from the start to provide precisely what is required. Our
clients enjoy significant cost, security, and quality benefits
that result in a more efficient use of the resources supplied.
Our part is to make sure that the right people are in the
right place doing the right thing at the right time. As
evidence of the service provided by METALEX, we are
proud to have many repeat clients. The entire METALEX
organization seeks not only to satisfy our clients, but to
surpass their expectations. Our aim is to provide
professional, cost effective services of uncompromising
quality & integrity.
We seek to be the "preferred choice" of our clients based

on proven performance.
INSPECTION OF PRESSURIZED VESSELS & PIPELINES WITH ACOUSTIC
EMISSION TECHNOLOGY
METALEX-ELTEST is engaged in technical diagnosing of different

facilities in petroleum, gas, chemical, petrochemical, oil refining
industry some of them working with explosive, toxic and harsh
environments. Russian Company ELTEST is a leader in the field of
study and practical application of acoustic emission (AE) technologies.
They possess the perfect AE equipment, testing ground, training center,
the well-proven control techniques, a significant databank of various
equipment defects and qualified experts. AE technology bases on result
of the long-term fundamental researches including study of acoustic
emission processes at deformation and destroying of materials. It is a
practical method of non-destructive testing based on the phenomenon
of ACOUSTIC EMISSION and allows prevention and localization of a
phase of possible breakdown. The method allows detecting defects such
as cracks, zones of significant corrosion damages, plastic deformations
and leaks.
The acoustic emission diagnostics provides

the non-destructive control of the state of
pipelines, petrochemical industry equipment,
reservoirs, high-pressure vessels, bridges and
cranes. Russian Company ELTEST owns all
necessary licenses of the state municipal
technical supervision committee of Russia for
the performance of the diagnostics works
relevant to pipelines and petroleum chemistry
constructions. This brings the rights for the
durability resource estimation and giving out
the conclusion.
METALEX-ELTEST partnership has evolved from the

idea to provide AE diagnostics services to the Clients
based in Middle East, Gulf and North African countries
while ELTEST is handling the Former Soviet Union on
its own. Depending on the demand from the customer,
diagnostics can be performed without stopping the
operation or product transfer. Our pricing for the cited
geographical area depend on the services required and it
is much lower than the pricing of the same services
provided by the western origin companies. Only in 1998-
2006 period METALEX-ELTEST executed diagnostics
of pipelines and high-pressure vessels at 57 plants.
Under a preliminary agreement with the Clients,
METALEX-ELTEST experts mobilize to the location of
the facilities to perform the necessary works. We
permanently employ minimum 5 teams with a full
hardware and software.
ACOUSTIC EMISSION METHOD
The method is based on the registration of the elastic

compression waves emitted by the defects developing in
the stressed constructions. The compression waves
propagating through the metal reach the sensors and
then they are transformed into electric signals. These
signals are thereafter filtered, amplified and registered
by a computer and special software. The subsequent
analysis of the registered signals determines the
existence of the defect, their coordinates and the level of
risk and danger they create. Acoustic emission method
provides the possibility to determine and localize the
locations of possible damage in advance. Types of the
detected defects are cracks, corrosion damages, zones of
significant plastic deformation and leaks.
The diagnostics can be performed without any shut-

down requirement and interruption of the product
pumping. Among the existent non-destructive control
methods, the acoustic emission method is the only one
that provides to eliminate completely the sudden
probable damages on pipelines and vessels. In year
2005 only, AE Tests conducted for 9 customers by
METALEX-ELTEST on various facilities in the
geographical area revealed more than 33,200 defects
of 4th and 5th levels (less dangerous) and 517 defects of
1st, 2nd and 3rd levels of danger which demand
immediate liquidation or follow-up with repeated
control in 6 months.
Another direction of joint activity of METALEX-

ELTEST is the development and manufacturing of the
multi-channel acoustic emission equipment of LOCUS
series. This device has successfully passed the state tests
in GOST Standard of Russia. The acoustic-emission
devices of the Locus series are recommended for the
non-destructive diagnostics of the equipment used in the
petroleum, gas, and petrochemicals industry, as well as
in the power engineering, shipbuilding, and other
domains. It is also possible to install these devices
permanently for continuous monitoring of the plant
structures. In case we provide the devices’ handling
teaching, guarantee and post-guarantee service, free of
charge software renovation and consultations are also
provided.
HUMAN
RESOURCES
MANAGEMENT BIOGRAPHIES
NOTE: Please find here below listed the short biographies of only the key personnel
of Metalex Incorporation. The Curriculum Vitae of the listed key personnel and
other personnel already under employment and/or employed in the previous
projects and available for future projects are listed in the Staff Data Base of the
company and can be submitted for further prequalification requirements. The
Biographies of the Members of the Board of Directors are available separately.
AYDIN YURDAYAR
CHAIRMAN & CEO
Aydı n Yurdayar has a B. Sc on Mechanical Engineering from Middle East Technical

University (M.E.T.U.), Ankara, Turkey. He conducted post graduate studies on
industrial applications of Robotics and trajectory optimization of industrial robot
manipulators in a joint program of M.E.T.U. with the University of Tokyo. After the
university he has spent whole of his professional career exceeding 21 years in oil &
gas industry. In international environment he got involved in various disciplines of
oil & gas industry such as construction of pipelines, oil & gas facilities, refineries,
oilfield development, hi-tech applications in construction & testing of pipelines,
storage facilities, terminals and refinery units. Starting back in 1986 as a field
engineer he worked in all phases of chain of command in oil & gas construction
mainly on site and also in engineering & design teams. He worked as a professional
Construction Manager & Project Manager in construction of more than 4,000 km of
cross country pipelines to carry various hydrocarbons. His last outstanding post as a
professional manager was in the 3.4 Billion US$ Blue Stream Project. He was the
Project Coordinator and a member of the Executive Committee of the international
Joint Venture which constructed on turn-key basis the Turkish on-shore part of the
Blue Stream Project. He founded Metalex Construction as a limited liability company
in 1996 and converted it to incorporation in year 2000. The core of Metalex is formed
by a group of highly experienced specialists who worked together with him as team
members in most of the biggest energy and infrastructure projects in the Middle East
and FSU countries, majority in Turkey, built over the last four decades. They have
worked in the top posts of these projects as project managers, construction managers,
site managers, QA/QC managers, spread-bosses, lead-engineers, specialists,
supervisors and foremen covering all phases including engineering, design, material
and equipment manufacturing & procurement, construction, quality control, testing,
commissioning and operation. Dedication, trust and support of his team, the most
valuable asset of the company, has turned Metalex Construction Industry Trading Co.
Inc. into an international EPC contractor qualified by most of the major clients all
over the world and competing with the biggest players of the industry within a
decade.
HALDUN TUNA
ENGINEERING & DESIGN MANAGER
Haldun Tuna has an M. Sc. Degree from Middle East Technical University, Turkey on
Electrical & Electronics Engineering. He has more than 20 years successful
background in many key posts in engineering, construction and investment projects
management. The first 10 years covers Turkish State establishment’s contracts
management of Power Plants, Infrastructure studies of Energy network including
Turkish State Electricity Authority (T.E.K.). He worked for the Major projects of
Turkey in the energy, iron & steel, oil & gas industries. His posts in the private sector
covers Turkish and international engineering, construction & industry companies
such as Guris, ERDEMIR State Iron & Steel Mills, ICDAS Steel Mill, TUPRAS Turkish
State Refinery Corporation and Eaton Westinghouse Industries.
SEBNEM KUMRAL
BUSINESS DEVELOPMENT & GOVERNMENT RELATIONS MANAGER
Sebnem Kumral has a B.A. Degree in Political Science and Public Administration,
from the Faculty of Economics and Administrative Sciences of Middle East Technical
University, Turkey and she has a second Diploma from the Institute of Vocational
Studies, Turkey. She has more than 20 years experience in various international
governmental organizations worldwide. She worked as a Logistics Planner in the
Production Program of F16 fighters by Turkish Aerospace Industries, Service
Supervisor for OSCE Mission in Kosovo and Supervisory Staff for various
international projects of UNHCR of United Nations and NGO’s supported by
UNHCR. Her duties included but not limited to project formulation, fund-raising;
financial accounts, publicity and advocacy of human rights for migrants. She also
worked as Special Adviser to some NGO’s and Turkish Members of Parliament
advising them on all political, social and economic trends. She was the Public and
Community Relations Chief for Botas International Limited (BIL) within the scope of
BP-Amoco led Baku-Tbilisi-Ceyhan Crude Oil Pipeline Project. She joined various
training programs on different aspects of Health Safety and Environment (HSE)
Management conducted by major oil companies.
NAZIVER TURAL
PLANNING & SCHEDULING MANAGER
Naziver Tural has an M. Sc. Degree from Middle East Technical University, Turkey on
Industrial Engineering. She has more than 21 years successful background in many
key posts solely on planning, scheduling and cost estimating. Her first 18 years covers
various posts with Turkish Aerospace Industries (TAI) on various aircraft
manufacturing programs. These include F16 fighter aircraft manufacturing program
with General Dynamics, Cougar Helicopter manufacturing program, programs with
Spanish CASA Industries on cargo aircraft manufacturing and passenger aircraft
parts manufacturing for Boeing and Airbus Industries. She was responsible for the
development of master plans, steering schedules, master production schedules,
assignment of resources and control of budgets and reporting to top level
management. She has seen a series of advanced training programs on program
management, risk management, MRP II, parametric estimating, etc with Boeing in
the U.S. and Airbus Industries in Europe. She joined Metalex in 2003 to lead Metalex
Planning & Estimating Team and adopted her deep resource planning experience to
oil & gas facility construction projects.
KERIM INCE
PROCUREMENT MANAGER
Kerim Ince has completed his Level A Chemistry, Biology, Physics and Law Training
in U.K. and holds a B.A. (Hons) Degree on Politics from the University of Warwick,
U.K. He holds both British and Turkish passport. He worked for 10 years in various
organizations in the U.K. for procurement of materials, services and sub-contractors
on project basis. These include the projects of London Transport Authority and
various oil & gas companies. He joined Metalex team in 2004 and he is responsible
for procurement of project materials & services from international markets. He also
keeps and maintains the company data bases for vendors and sepcailist sub-
contractors.
HIKMET YILDIRIM
ACCOUNTING & FINANCE MANAGER
Hikmet Yildirim has B. Sc. Degree in Advanced Computer Programming from the
University of Caucasus in Nalchik, Russian Federation. In addition to this, he has
PGS in accounting and economics in the University of Moscow. He has three years
experience working as a commercial financial analyst as well as hands on experience
in all levels of accounting. He has worked as a controller and CFO in commercial
construction for over 15 years. He has general contracting experience, which includes
large nationwide projects, as well as several years' experience in electrical
contracting. His experience has allowed him to participate as an officer and on the
Board of Directors of various organizations. He is a renowned expert on writing and
developing construction accounting and estimating software.
Document No MTLX-A-OC-0001
Revision No 0
Page No 1 of 4
ORGANIZATION CHART Validity Date: 01.01.2003

HEADQUARTERS Rev. No: 0
Approved by: AYDIN YURDAYAR
General
Manager
Business Development
Secretary
Manager
Quality Management Environment, Work Health

Representative and Safety Representative
Financial Technical Administrative/Commercial

Vice General Manager Vice General Manager Vice General Manager
Quality Assurance
Projects
Quality Control
Coordinator
Accountancy, Administrator
Procurement and
Financial
Manager Project Human Resources Administration Commercial
Managers Engineering Manager Manager Manager
Department
Manager
Accountancy & Finance &

Procurement Personnel Affairs Work Process Bureau
Specialist Specialist Official Official
Mechanical Projects
Survey Engineer
Specialist
Service Official
Project Engineers
Technical Drafter
Group
MTLX-A-OC-0001 Document Coordinator: Quality Assurance Manager

Revision No 0
Page No 2 of 4
ORGANIZATION CHART
WORKSITE INDUSTRIAL PROJECTS
Project Manager
Technical Office Procurement

Finance Manager Design Manager Contract Manager
Manager Manager
Accountant(s)
Logistics,
Planning & Control Engineers Responsible Procurement and Design Team
Transportation,
Engineer from Sub-Contractors Supplying Department
Customs Works
HSE Senior Manager QA/QC Manager Secretary Documentation
Technical Safety, Environment

and Work Health, Safety
Responsible
Quality Organization For EPC
Technicians
HSE Organization
Administrative Works Supplying & Maintenance Construction Manager Construction Manager Construction Manager
Manager Chief Civil Mechanical Electrical
Site Manager Steel Site Engineer(s)

Camp/Office Camp Warehouse and
Kitchen Drivers Machine Piping Chief Construction
Order and Safety Stock Control Maintenance Chief
Maintenance Team
Site Engineer(s) Foremen
Electricians Site Engineer(s) Site Engineer(s)
Foremen
Installers Foremen Foremen

Revision No 0
Page No 3 of 4
ORGANIZATION CHART
WORKSITE PIPELINE CONSTRUCTION
Project Manager
Technical Office Procurement

Finance Manager Design Manager Contract Manager
Manager Manager
Accountant(s)
Logistics,
Planning & Control Engineers Responsible Procurement and Design Team
Transportation,
Engineer from Sub-Contractors Supplying Department
Customs Works
HSE Senior Manager QA/QC Manager Secretary Documentation
Technical Safety, Environment

and Work Health, Safety
Responsible
Quality Organization For EPC
Technicians
HSE Organization
Administrative Works Supplying & Maintenance
Construction Manager
Manager Chief
Site Manager
Camp/Office Camp Warehouse and
Kitchen Drivers Machine
Order and Safety Stock Control Maintenance
Maintenance Team
Electricians
Installers

Revision No 0
Page No 4 of 4
ORGANIZATION CHART PIPELINE CONSTRUCTION

WORKSITE
Site Manager
Pipeline Construction Pipeline Mechanical Pipeline Electrical

Survey Engineer Station Construction Engineer Hydrostatic Test Team
Engineer Engineer Engineer
Clearing and
Det. of Grading BVS and Pig General Foreman
Operation Team
ROW Station
Construction
Team
Stringing Team
Trenching
Pipe Bending
Topography
Bending Team
Line Marks, Welding Team

Bedding-Padding Telecom
As-Built
Manholes
Tie-In Team
Costruction
Team
Pipe Landing Team
Canal Filling
Special Transition
Team
Cleaning Up of ROW BVS and Pig

Mechanical
Manufacturing and
Assembly Team
Joint Sanding and

Bandaging

Page 1 of 1
LIST OF METALEX PERSONNEL BY CATEGORY AND NATIONALITY IN GULF AREA
NATIONALITY
CATEGORY EUROPEAN, NORTH TOTAL
INDIAN, PAKISTANI,
TURKISH AMERICAN AND
EGYPTIAN
RUSSIAN
MANAGEMENT 4 1 4 9
ENG & DESIGN 7 9 1 17
SITE MANAGEMENT 5 2 3 10
HSE 2 9 1 12
QA/QC 3 7 2 12
SITE ADMINISTRATIVE 6 2 0 8
OPERATORS 7 37 0 44
WELDERS 27 103 0 130
OTHER SKILLED SITE STAFF 21 78 0 99
SEMISKILLED WORKERS AND LABOR 5 285 0 290
TOTALS 87 533 11 631
PER-L04 Rev:3 date:11.12.2005

Machinery
&
Equıpment
LIST OF MACHINERY & EQUIPMENT owned by
MFG.
MAKE MODEL SIZE/CAPACITY SERIAL NR.
YEAR
PIPELAYERS / SIDEBOOMS
CATERPILLAR 578 1994 305 HP 8HB00431
CATERPILLAR 578 1994 305 HP 8HB00432
CATERPILLAR 589 1996 330 HP 31Z00379
CATERPILLAR 589 1996 330 HP 31Z00373
CATERPILLAR 589 1996 330 HP 31Z00381
CATERPILLAR 589 1996 330 HP 31Z00376
CATERPILLAR 594H 1995 370 HP 96V00282
CATERPILLAR 594-CPX 1997 370 HP 62H241
CATERPILLAR 594G 1996 370 HP 62H726
CATERPILLAR 594H-PL 1995 370 HP 96V00740
LIEBHERR RL 42B 1997 234 HP 3014
LIEBHERR RL 422 B 1997 132 HP 3018
PAY WELDERS / WELDING TRACTORS

LIEBHERR SR 712 B 1997 132 HP 3024
LIEBHERR SR 712 B 1997 132 HP 3021
LIEBHERR SR 712 B 1997 132 HP 3034
LIEBHERR SR 712 B 1997 132 HP 3025
WELDING GENERATORS / RECTIFIERS

MILLER BB 500 DX 2000 500 AMP KK 248 414
MILLER BB 500 DX 2000 500 AMP KK 248 415
MILLER BB 500 DX 2000 500 AMP LA 021 151
MILLER BB 500 DX 2000 500 AMP LA 021 150
LINCOLN ELECTRIC SAE 400 1999 400 A U1980302624
PAGE 1 of 3
MFG.
YEAR
BENDING MACHINES c/w MANDRELS

BENDING MACHINE 16"-42" CRC 1980 16"-42"
BENDING MACHINE 32-42" ÖZKANLAR 2004 32"-42"
BENDING MACHINE 16-30" MAATS 1971 16"-30"
BENDING MACHINE 4"-24" GD ENGINEER 1993 4"-24"
BORING MACHINES / AUGERS

BORING MACHINE ÖYS-1060 2004 10"-40"
BORING MACHINE ÖYS-1600 2004 20"-60"
EXCAVATORS (TRACK TYPE)

HITACHI EX160 WD 1993 0.7 m3 bucket 139-1342
FIAT-HITACHI FH300 1992 1.2 m3 bucket 30H0633C
FIAT-HITACHI FH300 1992 1.2 m3 bucket 30H0688C
FIAT-HITACHI FH300 LC 1992 1.2 m3 bucket 30L0120C
FIAT-HITACHI FH300 LC 1992 1.2 m3 bucket 30L0119C
FIAT-HITACHI FH450.3/31 1999 1.5 m3 bucket 454H-0074
KOBELCO SK200 1991 0.9 m3 bucket YN-010341
LIEBHERR R 932 HDSL 2000 1.5 m3 bucket 572-4327
MOTOR GRADERS
KOMATSU GD 505 1982 130 HP 50051
MITSUBISHI MG 400 1984 150 HP 4G000288
CATERPILLAR 140 H 1998 140 HP 6NC03232
BULLDOZERS
CATERPILLAR D5 1979 105 HP 63J17383
CATERPILLAR D8L 1986 335 HP 53Y032939
CATERPILLAR D9R 2000 443 HP 8BL001172
CATERPILLAR D9R 2000 443 HP 8BL001394
KOMATSU D85A-18 1985 220 HP 30384
KOMATSU D85A-18 1985 220 HP 31199
ROLLERS / VIBRATING ROLLERS / COMPACTERS

DYNAPAC CA15 1994 75 HP 50051
WIBROMAX W1801 PD 1985 191 HP 4G000288
WIBROMAX W1801 1985 191 HP 6NC03232
LOADERS (WHEEL TYPE)

KOMATSU WA 420 -1 1997 200 HP / 3,5 M3
PAGE 2 of 3
MFG.
YEAR
BOBCAT 751 2000

CATERPILLAR 966 D 1985 220 HP / 4M3
CATERPILLAR 966 F 1985 220 HP / 4M3
CATERPILLAR 950 F 1985 170 HP / 3,1M3
LOADERS (TRACK TYPE TRACTORS)

CATERPILLAR 963 1985 168 HP / 2,4 M3
CATERPILLAR 963 1985 168 HP / 2,4 M3
CATERPILLAR 955 1981 133 HP / 1,8 M3
MOBILE CRANES
KRUPP KMK 4060-1 1990 60T 090554543WK20454
KRUPP 40-70 AT 1994 70T 090554521WK38196
MERCEDES HIAB 1994 30T 34300315137796
P&H OMEGA E 35 1995 33T 71856
MOBILE COMPRESSORS
ATLAS COPCO XA430 Dd 2001 900 CFM ARP805110
ATLAS COPCO XA430 1985 900 CFM 866589
ATLAS COPCO XA60 1990 125 CFM 45954377
ATLAS COPCO XAMS355MD EC 1986 740 CFM YA3-047168-00324943
INGERSOLL-RAND XP900 2001 900 CFM 410108E84577
GENERATOR SETS
7,5 KvA WFMP70MTRE AKSA 2001 7,5 KVA
8 KvA WFMP70MTRE AKSA 1992 8 KVA
8 KvA WFMP70MTRE AKSA 1992 8 KVA
10 KVA JENERATOR HONDA 1995 10 KVA
30 KVA JENERATOR PERKINS 1997 30 KVA
10 KVA JENERATOR AKSA 1995 10 KVA
250 KVA JENERATOR ÇUKUROVA 1998 250 KVA
149 KVA JENERATOR ÇUKUROVA 1995 149 KVA
VEHICLES (PICKUPS, VANS & AUTOMOBILES)

NISSAN PATHFINDER 3.3 SE 4x4 2000 170 HP JN1BAR07YXYW398546
NISSAN SKYSTAR 4x2 2002 133 HP JN1CCPGD22U0040263
NISSAN COUNTRY 4x4 2003 133 HP JN1CPUD22U0077806
PAGE 3 of 3
List of Machinery in Safwan, Basrah owned by Metalex
GROUP 1
ITEM NO Qty. Description UNIT INFO

Machinery
1 1 100,000 lb. Excavator CAT345BL-II S/N:CAT0345BAFEE00279
2 1 CAT 583 K Pipelayer S/N 78V00869 Newly Serviced
3 1 594 Sidebooms -no winch S/N:PIP0002
4 1 Dozer CAT D8R w/winch Dozer CAT D8R w/ Winch year 2005 (Delivery end June 2005) S/N:001449
5 1 RTB CASE 580SR S/N:N4GH01602
6 1 Fuel Storage, Skid mounted 3000 Gal. Capacity
7 6 Manual Barrel Pumps
8 1 Hydraulic Pulling Unit S/N:006606, (250,000 lb. Pull Capacity) - Draw works w/ controls Ex: Timberland, Skaigit
9 1 Utility Truck Flat Bed Truck Two Ton Capacity, (w/stake side panels) (Topkick)
F250 Crew cab PU (4WD/ diesel) equipped with 100 Gal.
10 1 S/N:4XB05221
fuel tank
Mechanic Truck F550 Fully Equipped (w/tools for cat
11 1 S/N:B77548
equipment / small to large tools)
12 1 40' Sea Container (Pigs) - no Shelves S/N:956927
13 2 40' Sea Container (Misc. Tools) w/ shelving S/N:937121&937122
Ingersoll Rand Light Tower IR L6-4MH Powered by Kobota Diesel Engine, Serial Nos.:
14 3 1-Pole / 4 Light (Light Towers)
349048UHO822; 349039UHO822; 349042UHO822
15 1 4-Wheel ATV (Diesel if Possible)
16 2 Ingersoll Rand 250 cfm Air Compressor Model 4045DF270, Serial Nos.: SCZ751FXX5Y520948; SCZ771FXX5Y521026
17 1 30T Cherry Picker RTC8030 S/N:145612
200 to 250 amp welding mach. Diesel (possible mounted
18 9 500amp-500X MODEL, S/N:207984,86,87,89,193749,207993,95,97,99
on sleds or trailers)
Sandblaster Clemco Model #2452 with accessories
19 1 S/N:027727
Capacity 200 ltrs.
20 1 Hoses (for above item)
21 1 Nozzles (for above item)
22 1 Concrete Vibrator 2" Concrete Vibrator - Dynapac Model# AU55 with Accessories, Serial No. 9099849
23 Accessories (for above item)
Pipe Handling Tools
24 12 Nylon Slings Sized to fit 20" pipe (30,000 lbs. Min. Strength)
26 2 Lower-In Belts w/irons / Size to fit 48" pipe
28 2 40" KC Type Line Up Clamps with eccentric dog
34 1 18" KC Type Line Up Clamps
39 8 12" Long beveling torches with angle heads
40 2 40" Beveling Band
47 2 Crawlers for beveling bands
48 4 18" Beveling Machines
49 2 12" to 20" Beveling Machines (12" to 20")
52 2 4" to 2" Beveling Machines
53 15 Bottles Acetylene (300 cu/ft. Min.) (225cu/ft. Min.)
54 35 Bottles of Oxygen (244 cu/ft. Min) (220cu/ft. Min.)
55 2 36" Pipe Wrench
56 5 24" Pipe Wrenches
57 5 18" Pipe Wrenches
58 2 Hammer Wrenches 1" through 4-1/8" Metric, in sets
59 2 Combination wrenches 1" though 4-1/8" Metric, in sets
60 4 10 Pound Sledge Hammers
63 10 16 oz. ball pein hammers
64 10 32" Plastic Night Caps
73 15 Cans of White Spray Paint Upside down survey type
74 15 Cans of Blue Spray Paint Upside down survey type
75 15 Cans of Red Spray Paint Upside down survey type
76 20 Cans of Orange Spray Paint Upside down survey type
77 20 Cans of Floresent Green Spray Paint Upside down survey type
78 100 Rolls Survey Flag Material (Various Colors)
79 25 30 lb. Propane bottles (Full)
80 15 Propane Torches
Pressure Testing Equipment
AtlasCopco A/C 847CFMW/150 Feet 3"-4" discharge
81 1 S/N:YA3-062656-50506393&YA3-062655-50506417
MODEL XAMS856CD
Page 1 of 6
HP Pump 3000 psi (Pressure Washer) MODEL HKY-202
82 1 S/N: X1825-982
BXRA
83 50 Feet 1/2" 3000 psi high pressure hose
(Lot) Assorted Fittings for High Pressure Testing
84 8 6 inch #600 Series RF/WN Flanges Sch/80
85 12 Sets of Flange Bolts For 6" Flanges
86 40 6" Garlok Flg. Gaskets
87 4 6" High Pressure Valves (Flange by Flange)
88 8 4 inch #600 Series RF/WN Flanges Sch/80
89 12 Sets of Flange Bolts For 4" Flanges
90 40 4" Garlok Flg. Gaskets
91 4 4" High Pressure Valves (Flange by Flange)
92 25 #6000 2" Threaded Couplings
94 20 2" Sch 80 Threaded Nipples 6" long
97 25 2" Threaded Ball Valves (3000 psi)
98 4 2" Threaded Check Valves (3000 psi)
99 20 1/2" Sch 80 Threaded Nipples 6" Long
102 10 1/2" Sch 80 Threaded Close Nippile
103 25 #6000 1/2" Threaded Couplings
104 25 #3000 1/2" Threaded Couplings
107 20 2" Screwed Bull Plugs
108 30 1/2" Screwed Bull Plugs
109 30 1/2" Threaded Ball Valves #3000
110 15 1/2" X 1/4" threaded Adapters (Bushings) #6000
111 2 High Quality Ambient Thermometers
6x6" Trash Water Pump Self Prime (Skid Mounted) 150 lb
112 1 S/N:5069307
Head Pressure
113 1 6 x6" TRASH PUMP HI HEAD W/50 FT HOSES S/N:AFT02071C
FT. 6" Aluminum or thin steel pipe with victraulic end
114 500 Each of the above items require fittings to attach them to welded steel pipe.
couplings…. Or see next line
Ft. of 6" high pressure hose complete with appropriate
115 500 Each of the above items require fittings to attach them to welded steel pipe.
adapters
116 2 6" face diameter high pressure gauge (2000 PSI)
117 4 4" face diameter low pressure gauge (200 PSI)
3" Water Pumps with 20' suction 100' Discharge (Hoses
118 3
to have Cam-Loc Fittings)
119 4 100' Sections of 3" discharge hose with Cam-Loc Fittings
120 6 3" Female Cam-Loc hose fittings (Extra)
121 6 3" Male Cam-Loc hose fittings (Extra)
Set / Dead Weight Tester (Hydrostatic Testing) 100 - 5000
122 1 S/'N:DWT0017
psi Chandler, Imperial
123 1 Temperature Recorder and two boxes of charts
124 1 Pressure Recorder and two boxes of charts
125 4 Plumbers Plugs 40"
130 6 Plumbers Plugs 20" 2 lines
135 5 Weld Caps 40" / Min. .688 wt.
136 5 Weld Caps 32" / Min. .625 wt.
137 5 Weld Caps 30" / Min. .625 wt.
138 5 Weld Caps 26" / Min. .625 wt.
139 5 Weld Caps 24" / Min. .625wt.
140 7 Weld Caps 20" / Min. .500 wt.
141 2 Weld Caps 18" / Min .500 wt.
142 5 Weld Caps 16" / Min .500 wt.
143 5 Weld Caps 14" / Min .500 wt.
144 6 Weld Caps 12" / Min. .500 wt.
145 6 Weld Caps 8" / Min. .500 wt.
Pigs
146 1 40" - 4 cup with sizing plate / Spare Cups
151 1 20" - 4 cup with sizing plate / Spare Cups 2 Lines
156 4 40" Foam Drying Pigs
161 4 20" Foam Drying Pigs 2 lines
167 1 40" Red CrisCross Poly Pigs
172 1 20" Red CrisCross Poly Pigs 2 Lines
Page 2 of 6
178 2 40" cleaning / brush pigs / Spare Cups and Brushes
20" cleaning / brush pigs / Spare Cups and Brushes 2
183 2
Lines
2" Hot Tap Machine / Related equipment, fittings etc.
187 1 TD Williamson
Valves & TOL's (Rigid)
Chill Bands / Rings A-336 Material For 40" Pipe (Rolled at
188 40
19.35" Radius)
189 40
14.50" Radius)
190 40
15.50" Radius)
191 40
12.50" Radius)
192 40
11.50" Radius)
193 60
9.5" Radius)
194 15
8.5" Radius)
195 40
7.5" Radius)
196 20
6.5" Radius)
197 20
5.5" Radius)
198 20
3.99" Radius)
Protol Coating Equipment
199 1 Protol 7200 Coating Material
200 6 Hand Drill, 3/8" Drive
201 200 Hand Rollers / Regular Paint Rollers (Home Depot Type)
202 6 Spy Holiday Detectors (Jeeps) Model #725 3 springs for each size pipe.40, 32, 30, 26, 24, 20, 18, 16, 14, 12, 8
203 25 Empty Buckets
204 75 Pounds FBE Patch Sticks (Fusion bonded epoxy)
205 12 Plumber propane torches for patch sticks.
Concrete Coating Equipment
Carpenter Tools / Hand Tools, Saws, Hammers, Nails,
206 2 (Everything as a Set)
Level
Welding Supplies
207 40 Welding Hoods (Black Fiber Metal or Hobart)
208 30 Welding Jackets
209 3000 Welding Clear lens
210 50 #9 Dark Lens
211 50 #10 Dark Lens
212 30 Torch Strikers
213 20 Tip Cleaners
214 10 Spacing Tools - Tapered
215 6 Boxes of Soapstone
216 1500 1/8" x 9" Grinding Disc
217 1500 Bead Brushes
218 150 4" Cup Brushes
219 90 Pair Welding Gloves (Various Sizes)
220 200 Pair Black Dot Work Gloves
221 50 3" Dia. Grinding Rocks 5/8" arbor STOP
222 12 Pair Tip Cleaners
223 6 Complete Sets of Hand Cutting Torchs c/w torch, gauges and 100' Hose.
224 6 #0 Standard Cutting Tips
229 8 #1 Button Type Cutting Tips for Beveling Band
230 25 #2 Button Type Cutting Tips for Beveling band
231 10 #3 Button Type Cutting Tips for beveling Band
232 30 Dewalt Angle Grinders (Dewalt)
233 50 Pair Dark Safety Glasses
234 50 Pair of Clear Safety Glasses
235 800 Pounds of 1/8" 5P Plus 3.2mm
236 5950 Pounds of 5/32" 5P Plus (6010)
237 15600 Pounds Of 3/16" 70 Plus (7018)
238 150 Pound Of 7018 Low Hydrogen 3/16"
241 1 Transit/Level
242 1 Tripod for Above
243 2 30 foot level rods (English)
244 10 Bundles of Survey Lathes
6' Probe Bars Standard 3/8" bar / 20 Extra tips / 10 ea. 3'
245 12
extensions
246 5 6' Probe Bars 1/2" Bar / extra tips
Line Finder (Metro Tech#850) Converter and Spare
247 1
Batteries
Line Finder (Schonsted 92XP GA-72CD (1800 233 7265)
248 1
and Spare Batteries
Truck /Tractors tamdum axel, Head Units for Flatbeds and
249 2 S/N:2635 907313 & TGA33410 398041
Vacuum Trucks
250 2 45' Flat Bed Floats / Trailers S/N: TK70HT 000123 & TLL060 022699
Page 3 of 6
251 1 Hydraulic (Air) Driven Cold Cutter / w/ machine capabilities S/N:KN8050005851
252 2 120 bbl. Vacuum Trailer 10K GAL KA0395 S/N:0400VT & KA0395 S/N:400VT2
253 6 Cases Duct Tape (60 Rolls)
Safety Gear and Equipment
254 100 Hard Hats (Good Brand)
255 2 LEL Meters with H2S Capibility
256 40 Head Band Type Face Shields
Face Shield Replacement Lens Face Shields for head
257 160
band above
258 30 Pair NoMex Cover Alls (Various Sizes)
259 10 First Aid Kits
260 200 Gallons of Bio Solve (Oil Breakdown Solution)
261 6 Hand Sprayers (2 Gal.) (for above item)
262 24 Life Jackets
263 16 Fire Extinguishers
264 100 Charge Cylinders
265 30 5 Gal Cans ansul powder (Fire Extinguishers) - Refill
266 200 Earplugs, Pair
267 1000 Dust Masks
268 2 Eye Wash (Sets)
Miscellaneous
269 15 20' 3/8" Chains
270 15 Chain Binders
271 3 7 Ton Come-A-Longs
272 10 Hoe Mat Hooks with 1.5" Shakles
273 3 10 Ton Hydraulic Jacks
274 3 10000W Watt Generators - Honda 10000 Watt Perkin GenSet, Serial Nos.: 175342/48; 140952/92; 162007/99
275 400 Pipeline Skids (4" x 6" x 4' Long hardwood)
278 25 Round Point Shovels
279 6 Flat Shovels
280 12 5 gal. Steel Gas Cans
281 25 10 Gal. Drinking Water Cans
282 25 5 Gal. Drinking Water Cans
283 10 Paper Cone Drinking Cups (Few Boxes Only)
284 6 6' Pry Bars
285 6 Port-o-Cans / Chemicals (Porta John)
286 2 Bottle Rack for Oxygen & Acetylene
287 2 12 Volt Fuel Pumps for Barge
288 10 3/4" Shakles
289 10 1" Shakles
290 6 1.5" Shakles
291 10 3/4" Wire Rope Slings1 10' Long
292 10 1" Wire Rope Slings1 18' Long
293 10 5/8" Wire Rope Slings 10' Long
294 30 3/4" cable Clamps
295 20 7/8" cable Clamps
296 15 1" cable Clamps
297 15 1.125" cable Clamps
298 1 Roll 3/4" Wire Cable
299 1 Roll 1" Wire Cable
300 1 Roll 1.125" Wire Cable (Min.700 Feet)
301 3 Cad Weld Kits (Complete) 300 shots
Fuel Additave / Diesel / 10 cases of 12 cans auto trans
302
fluid
303 12 6' to 8' Ladders (Metal)
304 4 20' Alumnium Extension Ladders
305 20 2"x12"x 16' Long Boards
306 30 Pounds of #16 Box Nails
307 20 Pounds of #8 Box Nails
308 100 2" x 4" X 8' Boards
3' x 3' Nomex Blankets to cover coating while welding (Cut
309 100
at Jobsite)
310 20 10" - "C" Clamps (Heavy Duty)
7/8" x 25' Long Wire Rope Slings / With eyes plated in
311 5
ends
Nitrogen Purge tool / Consist of gauge, 50' 3/8" hose with
312 1
couplings to fit gauge
313 10 Bottles of Nitrogen 244 size
Sets Magnetic Jumpers / Consists of 30' #4 welding cable
314 2 Magnetic Jumpers / Consists of 30' #6 welding cable with magnets on each end
with magnets on each end.
315 1000 Feet of "#0" welding cable (35mm2)
316 2000 Feet of "#2" welding cable (50mm2)
317 100 Connector Lugs for weld cable
318 85 T-300 Pipeline holders / Welding
319 1 Sheet of Flat Steel Plate 2" X 4' X 8'
320 2 Sheets of Flat Steel Plate 1.5" X 4' X 8'
321 3 Sheets of Flat Steel Plate 1" X 4' X 8'
322 3 Sheets of Flat Steel Plate 3/4" X 4' X 8'
325 10 Pieces of 2" X 1/4" X 20' Long Angle Iron
326 5 Pieces of 4" X 1/2" X 20' Long Angle Iron
Piece of 10" wide X 2" Thick X 20' Long Flat Plate / Barge
327 1
Anchor
328 10 Pieces 2" x 1/4" Flat bar Steel / 20' Long
329 2 55 Gal Drums Hydraulic Oil
330 3 55 Gal Drums S3 Diesel Motor Oil
331 12 Cases of Chassis Grease (Marfak)
332 20 Hand Type Grease Guns (Good Ones)
333 75 Rolls 1/2" Teflon Tape
334 100 Rolls 3/4" Teflon Tape
335 2 Bull Horn Type Air Movers (Aluminum and 3' to 4' Long)
336 6 50' sections of 3/4" air hose with crow's foot connections.
337 4 40' X 40' Tarps
338 10 20' X 20' Tarps
339 30 16' X 16' Tarps
340 10 12'x12' Welding Shelters/Tents or Material to build
341 30 Welding Umblleras
Page 4 of 6
342 1 930 Series Air Dryer Mfg. S/N:450001 7 Ft. X 7 Ft. Package / Weight 4,200 Lbs.
344 3 Scott Pac Breathing Tanks (Excape Tanks) S/N:901336,915216,913612
345 1 Gallons of Petrolite Bioside / Kenny Green
Concrete Coating Materials for pipe From Allen Edwards
346
Co. (Tulsa OK)
347 1200 Sacks of #3 Blast Sand
348 30 Plastic 5 gal. buckets / ie. Home Depot type
Ft 1.25" wide banding material with tool and buckles -
349 2500
Metal
LEICA GPS SYSTEM W/GEODETIC RTK RECEIVER,
350 1 S/N:LE132893NO
ETC.COMPLETE KIT
Medium Grade Combination Transit/Level (Not Just a
351 1
Level)
352 2 30 Ft. Fiber Glass Level Rod / English (engineering scale)
353 1 TITAN flange alignment tool, (see photo from Website) (Pipe sizes from 4" up to 40")
Welder Wrap Arounds 4" to 6" wide and min. 11' Long,
354 3
Straight Edge made from Gasket material
Welder Wrap Arounds 4" to 6" wide and min. 7' Long,
355 3
Straight Edge made from Gasket material
356 15 25' Measuring Tapes
357 10 100' Measuring Tapes
Assorted Nuts & Bolts From 1/4" up to 1-1/2" / Various
358 150
Lengths-IN LBS
359 4 Welder Pipe Jack Stands
360 3 4' Long - Medium Grade Carpenter Levels
361 8 2' Long - Medium Grade Carpenter Levels
362 8 Torpedo Levels
363 50 Shoe Handle Type Hand Wire Brushes
364 1 3/4 Yard Concrete Bucket, Manual Bottom Dump
365 4 Metal Job Boxes (20 cu/ft), Steel
366 16 Metal Job Boxes (12 cu/ft), Steel
367 1 7-1/4" Circular Saw, w/ Spare Blades
368 20 Trenton Wax Tape No. 2, 4" Pipe Coating
369 2000 3/8" Nylon Rope, 2000ft.
GROUP 2
ITEM NO Qty. Description UNIT INFO

Machinery
100,000 lb. Excavator (Extended Reach) 70' Stick
370 1 R290LC-7LR 110892
(Kebelco 400 Class)
371 1 100,000 lb. Excavator CAT345BL-II S/N:E00280
372 1 Flexifloats
374 1 583 Sidebooms w/winch
375 1 594 Sidebooms (no winch) 583 Sidebooms (no winch)
376 1 Dozer (D-7 Class or larger) w/winch (pit blade or angle) Dozer CAT D8 w/ Winch year 2005 (Delivery end June 2005)
377 1 RTB Case 580SR S/N:H01628 Rubber Tire Backhoe/Loader CAT 424
378 1 3000 Gal. Fuel Storage, Skid mounted 2000 Gal. Fuel Storage
379 3 Manual Barrel Pumps
Two Ton Utility Truck Flat Bed (w/stake side panels)
380 1
(Topkick)
381 1 F250 Crew cab PU (4WD/ diesel) equipped with fuel tank S/N:4XB05223
382 2 40' Sea Container w/ shelving & lights
383 1 40' Sea Container (Pigs Tools) No shelving
Ingresoll Rand Light Tower, IR 6L-4MH Powered by Kobota Diesel Engine, Serial Nos.:
384 2 1-Pole / 4 Light (Light Tower)
349045UHO822; 349085UIO22
385 1 4-Wheel ATV (Diesel if Possible) S/N:550988
Flexifloats 50' x 60' with 20' wing section on each side
386 1
(200,000 lb. Capacity)
387 1200 Feet 1" wire cable for float anchoring
388 30 1" Cable Clamps
389 10 4' x 24' Crane Matts
390 10 8' x 16' Truck Mats
200 to 250 amp welding mach. Diesel (mounted on sleds
391 4 500amp ,500X MODEL, 207985,207994,208000,208001
or trailers)
Sandblaster with Accessories Model 2452 Serial No.
392 1 Sandblaster with Accessories Model 2452 Serial No. 27704 / Capacity 200 ltrs. Serial No. 27727
27704 / Capacity 200 ltrs. Serial No. 27727
393 1 Hoses (for above item)
394 1 Nozzles (for above item)
Pipe Handling Tools
397 2 Lower-In Belts w/irons / Size to fit 48" pipe
Acey. Oxy. Cutting Rigs with Gauges and 100' of Hose and
410 2
Hand torch
411 5 12" Long beveling torches with angle heads
Page 5 of 6
420 4 Crawlers for beveling bands
421 2 20" Beveling Machines S/N:009151&9152
422 2 12" to 10" Beveling Machines (6 to 12 USA)
423 2 8" to 4" Beveling Machines (3 to 8 USA)
424 2 4" to 2" Beveling Machines (1.5 to 4 USA)
425 15 Bottles Acetylene (300 cu/ft. Min.)
426 35 Bottles of Oxygen (244 cu/ft. Min)
427 1 Transit / Level ( will do both )
428 1 Tripod for above
429 10 Survey Lathes and hub stakes ( 20 per bundle)
430 100 Flagging Tape ( Various colors ) 100Total
431 2 Level Rods 30'( English )
6' probe Bars Standard 3/8" bar/20 ea. Extra tips / 10 ea 3'
432 12
extensions
433 5 6' probe Bars 1/2" bar / extra tips
434 1 Line finder (Metro tech #850) Converter and Spare Battery
Line Finder (Schonsted 92XP GA-72CD (1800 233 7265 )
435 1
and Spare Battery
436 15 White Spray paint ( Upside down Survey type)
437 15 Blue Spray paint ( Upside down Survey type)
438 15 Red Spray paint ( Upside down Survey type)
439 20 Orange Spray paint ( Upside down Survey type)
440 20 Floresent Green Spray paint (Upside down Survey type)
442 1 Medium Grade Combination Transit / Level
443 1 30' Fiberglass Level rod/ English (Engineering Scale)
444 13 Sets Cables 100' Lead (#2 or larger) 60' ground
445 1 High Pressure Pump (Challenger) TPD033 S/N:642005
446 2 600lb 14" Wellneck Flanges
447 2 Blind Flanges
448 1 Four Legged Slings W/Hook (25 ft)
Diesel Welding Machines 200-250 Amps - BOBCAT
449 5
250D'S
450 6 Drop Lights w/ Spare Bulbs
451 40 Female Coupling (same as Item#121)
452 40 Male Coupling (same as Item#122)
453 2 Set of Parts & Service Manuals for Item# 1 & 370
973 1 Truck Tractor TGA33410 S/N:398047
977 1 500AMP WELDER 500X MODEL, S/N:207979
755 1 CLUB CAR DIESEL 4X4 XRT1500 4WD, S/N:550978
600D WLDG MACHINE, 400 AMP WELDER, & 500DX
760 3 S/N:LC196971,KJ138345,KG263707
WELDER
721 2 22 to 26" beveling machines S/N:M19708&19658
722 2 8 TO 12" BEVELING MACHINES S/N:M19664,M19658
726 2 2 TO 4" BEVELING MACHINES S/N:M19718MM19719
730 1 CLUB CAR DIESEL 4X4
735 2 6" pump
761 1 Challenger Test Pump
781 2 40' Container
800 2 Farm Tractor
455 1 Mobile Work shop/container
527 1 Air compressor
570 1 Welding Machine
581 1 Hyd Cable Winch
582 2 185 A/C
719 6 Holiday Detectors
720 4 Beveling Machines
729 1 Digital Dewpoint
798 1 CAT 345 W/Hammer
969 1 Transfer Pump
947 1 Hyd. Torque Wrench
955 1 12KW Generator
961 1 Yard Spotter Truck
1031 1 Hyd Single Hoist
1032 1 Hyd Single Hoist
1033 1 Hook block Attachment
1056 1 Hyd Torque Wrench
Page 6 of 6
Page 1 of 2
List of Machinery & Equipment Owned by Metalex

ENGINE
DATE LICENSE
BRAND NAME MODEL SERIAL NO CAPACITY RATED
of MANUCATURE PLATE NO MAKE MODEL SERIAL NO
POWER
BULLDOZERS
CATERPILLAR D9L D9L 14Y02059 1986 56.970 KG CAT 3412 73W04015 425 HP
CATERPILLAR D8L D8L 53Y02453 1986 40.870 KG CAT 3406 53Y02453 335 HP
LOADERS (TRACK TYPE TRACTORS)

CATERPILLAR 955L 955L 13X02872 1990 15.160 KG CAT 3304 78P56608 121 HP
CATERPILLAR 963B 963B 21Z04130 1992 19.295 KG CAT 3166TA 12Z44078 160 HP
LOADERS (WHEEL TYPE)

CAT 438 C BACKHOE LOADER 438 C 01TROR932 2000 7.560 KG CAT 3054 DIT 07B040818 89 HP
BACK-HOE EXCAVATORS
SAMSUNG SE 450 LC-2 SE450 LC KAY0145 1995 43.740 KG VOLVO V72A85 23546164 301 HP
CAT 320 BL 320 BL 07JR01888 2000 21.380 KG CAT 3116T 04TF54213 128 HP
CAT 330 BL 330 BL 13Z39400 1997 34.180 KG CAT 3306TA 3YR00309 222 HP
HITACHI EX300LC EX300LC 30L00872 1993 32200 KG FIAT NT-743 C 10755 220 HP
GENERATORS
BETA W.F.M. P70 P70-MTRE 09738-0022650 2000 5.6 KW ROBIN EH41DS 1022900 13.5 HP
ARG-10L GEN-SET ARG-10L 52520903 2003 4.9 KW LOMBARDINI 4LD 640 305566 12 HP
TIRS
MAN 26.281 26.281 34S84832 MÜH 1983 06 YEU 76 MAN D2566MKF280 35844910323111 280 HP
MAN 26.281 26.281 DFS 7370775 1984 06 LLN 01 MAN D2568MKF280 35847830383111 280 HP
MAN 32.321 (6x6) 32.321 51002030200 1980 06 UL 832 12 TON MAN 35839620872120 320 HP
MAN 32.321 (6x6) 32.321 51001900197 1980 06 UL 635 20 TON MAN 35839640892120 320 HP
FLAT-BED TRAILERS
06 YR 554
06 H 8342
06 YA 554
31 KF 765
FUEL PUMP
MEKSAN 100A 100A 83441 1983 Min:5lt/min. - 2 bar MONO 220V 0.5 HP
MAK-F01 Rev:0 date:03.09.2004

Page 2 of 2
List of Machinery & Equipment Owned by Metalex

ENGINE
DATE LICENSE
BRAND NAME MODEL SERIAL NO CAPACITY RATED
of MANUCATURE PLATE NO MAKE MODEL SERIAL NO
POWER
DIESEL WELDING GENERATORS

VIETZ GDV 400 U CC-D004-1681 2003 400 Amps. DEUTZ F3L912 27.5 kW
HIAB CRANES
HIAB MOUNTED ON 6x6 MAN TRUCK KARDELEN 2003 06 UL 634 35 TONNES
AUTOMOBILE
HYUNDAI ACCENT 1.3 LX ACCENT 1.3 NLHCG41FP1Z011116 2000 34 AS 7663 4 PERSON G4AY843598 85 HP
SW AUTOMOBILES
RENAULT 12.TSW 12 TSW VF1K17905TR314599 1995 06 V 0724 4 PERSON RENAULT CIJ-791 CIJ-791R337810 72 HP
RENAULT 12.TSW 12 TSW VF1K17905TR529607 1998 06 ZTC 38 4 PERSON RENAULT CIJ-791 CIJ-791R386996 72 HP
4 WD VEHICLES
NISSAN PATHFINDER 4X4 PATHFINDER JNBAR07YXYW398546 2000 06 JS 848 4 PERSON NISSAN VG33323029 170 HP
VANS
RENAULT KANGO 1.9 D RN KANGO 1.9 VF1FCOEBF23469038 2001 06 KOB 58 5 PERSON RENAULT F8QC547481 65 HP
PICK-UP'S
SKYSTAR D22 4X4 SKYSTAR JN1CCPGD22U0040263 2002 06 VJG 72 5 PERSON/1145 KG NISSAN YD25065033A 133 HP
COUNTRY 4X4 COUNTRY JN1CPUD22U0077806 2003 06 AB 3867 5 PERSON/680 KG NISSAN YD25060284A 133 HP
COUNTRY D/C 4X4 A/C COUNTRY JN1CPUD22U0078381 2003 06 AB 6447 5 PERSON/680 KG NISSAN YD25062085A 133 HP
MAK-F01 Rev:0 date:03.09.2004

EQUIPMENT MAP OF MAIN OFFICE
MAIN OFFICE NETWORK
Sekretary Celeron 900 – 17” – 256 MB RAM – 18.6 GB HD
Printer - Fax - Scanner HP Officejet d155xi
Server PC P IV 2000 – 15” – 512 MB RAM – 80 GB HD
8 ea. P IV 2000 – 17” – 128 MB RAM – 40 GB

Management
HP Omnibook EX2 – 15” – 64 MB RAM – 5.6 GB HD
5 ea. P IV 2000 – 17” – 256 MB RAM – 40 GB

Accountancy
HP DeskJet R65
Printers OKI Microline 521 Elite
Survey 8 ea. P IV 1700 – 17” – 256 MB RAM – 40 GB HD

2 ea. P III 500 - 15” – 128 MB RAM – 18 GB HD
Group
Plotter 3 ea. HP Designjet 500ps
Technical 17 ea. P IV 1700 – 17” – 256 MB RAM – 40
Office
Printer - Copier 2 ea. MİNOLTA Di 152
2 ea.. HP DeskJet 1220C

Printers 2 ea. HP LazerJet 1010
LCD Projector EPSON LCD Projector EMP-7550

FINANCIAL
STATEMENTS
Metalex Construction Industry Trading Co. Inc. and Its Subsidiaries
Consolidated balance sheet
As at December 31, 2009
(Currency – U.S. Dollars)
Assets
December 31, December 31,

Notes
2009 2008
Current assets
Cash and cash equivalents 74.684.778 63.934.778

Investments available-for-sale 62.109.333 62.431.556
Trade and other receivables 65.334.222 146.251.333
Inventories 29.179.111 39.091.889
Other current assets 14.677.111 21.473.667
Company’s share in current assets of joint ventures 33.090.778 28.921.111
Costs and estimated earnings in excess of billings on .
173.556 10.656.778
uncompleted contracts
279.248.889 372.761.111
Assets held for sale 126.111 30.000
Total current assets 279.375.000 372.791.111
Non-current assets
Investments in associates - 4.333
Financial assets 51.409.667 18.815.889
Property, plant and equipment
Company
Buildings and barracks 29.240.000 31.414.778
Other property, plant and equipment 180.478.333 190.706.667
Company’s share in joint ventures 8.500.333 10.792.444
Intangible assets 284.556 299.222
Goodwill 11.895.222 12.060.111
Investment properties 210.141.222 209.206.222
Other non-current assets 4.463.667 5.115.778
Company’s share in non-current assets of joint ventures 428.556 363.000
Deferred tax asset 2.434.333 7.749.222
Total non-current assets 503.389.667 490.270.111

Total assets 782.764.667 863.061.222
The accompanying policies and explanatory notes starting on page 9 form an integral part of the
consolidated financial statements.
(3)

Liabilities and equity
Notes December 31, 2009 December 31, 2008
Current liabilities
Short-term borrowings 1.818.778 4.994.111

Current portion of long-term borrowings 35.030.444 39.189.000
Trade and other payables 64.611.556 140.864.111
Other current liabilities and accrued expenses 15.322.222 21.576.556
Taxation on income 1.791.111 2.649.667
Company’s share in current liabilities of joint ventures 28.794.889 21.136.000
Billings in excess of costs and estimated earnings on
7.095.667 14.237.333
. uncompleted contracts
Total current liabilities 154.464.667 244.646.778
Non-current liabilities
Long-term borrowings 55.994.333 88.361.889
Trade and other payables 257.111 14.074.667
Employee termination benefit 1.536.778 1.222.222
Deferred tax liability 30.474.889 30.135.111
Other non-current liabilities 96.857.333 87.576.111
Company's share in non-current liabilities of joint ventures 2.444 5.534.000
Total non-current liabilities 185.122.889 226.904.000
Total liabilities 339.587.556 471.550.778
Equity
Equity attributable to equity holders of the parent 415.822.667 364.498.778

Share capital 134.989.667 92.092.333
Revaluation surplus 13.301.111 14.386.667
Currency translation difference (8.959.222) (7.016.667)
Other reserves 3.020.667 (666.556)
Legal reserves and accumulated profit 273.470.444 265.703.000
Minority interest 27.354.444 27.011.667
Total equity 443.177.111 391.510.444

Total equity and liabilities 782.764.667 863.061.222
(4)
Consolidated income statement
For the period ended December 31, 2009

Notes
2009 2008
Revenues 569.388.667 772.918.444
Cost of revenues (462.995.889) (657.793.444)

Gross profit 106.392.778 115.125.000
Selling and administrative expenses (25.311.778) (38.652.778)
Other operating income 5.683.000 38.710.556
Other operating expense (2.863.444) (4.608.000)
Profit from operations 83.900.556 110.574.778
Financial income 9.455.333 17.443.222
Financial expenses (12.452.333) (33.908.333)
Income/(loss) from associates (170.444) (80.444)
Profit from operations before taxes 80.733.111 94.029.222
Taxation charge
Current (12.379.000) (11.848.222)
Deferred (5.799.889) (8.587.444)
Net profit for the year 62.554.222 73.593.556
(5)
Consolidated statement of comprehensive income

Notes
2009 2008
Profit/(loss) for year 62.554.222 73.593.556
Net change in unrealized gain /(loss) on available-for-sale

4.670.000 (3.276.111)
investments
Impairment loss on available -for-sale investments classified
- 2.163.111
income statement
Realised gain / (loss) on available-for-sale investments transferred
(262.444) (157.111)
to income statement
Gain on cash flow hedges 201.444 81.556
Revaluation of buildings (1.595.111) (495.667)
Other comprehensive income / (expense) before tax 403.000 (33.031.333)
Deferred tax ( expense) / income of other comprehensive income (602.778) 336.889
Other comprehensive income / (expense) (199.778) (32.694.444)
Total comprehensive income for the period, net of tax 62.354.444 40.899.111
(6)
Consolidated statement of cash flows

For the year ended December 31, 2009
(Currency - U.S. Dollars)
Notes 2009 2008
Cash flows from operating activities
Profit before taxes 80.733.111 94.029.222
Adjustments to reconcile net profit before tax to net cash provided by operating activities :
Loss from associates 170.444 80.444

Depreciation and amortization 17.524.778 17.690.556
Change in fair value of derivative assets/liabilities, net 204.889 -172.667
Employee termination benefit charge 527.556 357.556
Fair value adjustment on Investment properties -1.085.000 -9.526.333
Provision for inventory obsolescence -31.889 -333.778
Provision for doubtful receivables 822.333 367.778
Revenue levelization adjustment 9.499.556 10.037.333
Negative goodwill - -1.760.667
Goodwill disposed off to the consolidated income statement - 12.209.222
Gain from sales of property, plant and equipment, net -494.444 -3.627.000
Interest income -2.937.444 -5.783.889
Interest expense 5.781.333 10.339.556
Allowance for the change in fair value in asset held for sale 41.000 17.000
Interest accrual 28.444 500.444
Dividend income -174.222 -219.556
Changes in operating assets and liabilities 110.610.444 124.205.222
Trade and other receivables 79.679.000 -65.172.000
Inventories 9.982.444 -8.407.778
Costs and estimated earnings in excess of billings on uncompleted contracts 10.483.333 17.062.667
Company's share in assets of joint ventures -4.235.333 7.451.889
Other assets 7.311.333 8.197.556

Trade and other payables -46.707.333 -1.324.000
Billings in excess of costs and estimated earnings on uncompleted contracts -7.141.667 6.144.444
Company's share in liabilities of joint ventures 2.127.333 -13.258.333
Other liabilities and accrued expenses -50.040.222 4.881.222
Taxes paid -13.237.556 -12.264.333
Employee termination benefit paid -246.444 -87.556
Net cash used in operating activities -12.025.111 -56.776.222

Cash flows from Investing activities
Time deposits with maturities more than 3 months 7.241.444 19.441.444
Investments available for sale -34.875.889 -47.516.556
Investments in associates -166.111 1.032.667
Proceeds from sale of property, plant and equipment, intangible assets and investment properties
3.343.222 11.193.222
Purchases of property, plant and equipment and Intangible assets -12.591.444 -23.862.333
Acquisition of shares of subsIdiariesljoint venture net of cash acquired - -477.667
Proceeds from sales of investment properties - 256.889
Interest received 2.880.556 4.783.000
Dividends received 174.222 219.556
Net cash used in Investing activities -33.994.000 -34.929.778
Cash flows from financing activities
Short-term borrowings, net -3.132.444 -404.556

Addition to long-term borrowings and current portion of long-term borrowings 7.362.444 26.830.111
Payments of long-term borrowings and current portion of long-term borrowings -45.433.222 -65.878.000
Dividends paid to minority interests -2.346.556 -816.222
Dividends paid to equity holders of the parent -8.341.222 -5.528.556
Interest paid -5.753.444 -9.622.000
Net cash used in financing activities -57.644.444 -55.419.222
Net foreign exchange difference on cash and cash equivalents 3.874.222 -4.190.333
Net increase/(decrease)in cash and cash equivalents 10.821.111 -27.110.333
Cash and cash equivalents at beginning of year 60.974.778 88.085.111
Cash and cash equivalents at end of year 71.795.889 60.974.778
The accompanying policies and explanatory notes starting on pages 9 form an integral part of the
(8)
Metalex Construction Industry Trading Co. Inc and Its Subsidiaries
Consolidated statement of changes in equity

Attributable to equity holders of the parent Minority interest Total equity
Currency
Share Revaluation Other Legal reserves and
Notes translation Total
capital surplus reserves accumulated profit
difference
Balances, December 31, 2007 65.314.222 30.149.000 16.622.667 284.222 217.424.111 329.794.222 27.805.000 357.599.222
Total other comprehensive income -2.690.889 -23.639.333 -950.778 -27.281.000 -5.413.444 -32.694.444
Profit for the year - - - 66.030.222 66.030.222 7.563.333 73.593.556
Total comprehensive Income -2.690.889 -23.639.333 -950.778 66.030.222 38.749.222 2.149.889 40.899.111
Transfer of depreciation difference (net of deferred tax) of revaluation effect -340.111 - - 340.111 - -
Share capital Increase from general reserve 26.778.111 - - - -26.778.111 - -
Dividends paid - - - -5.528.556 -5.528.556 -816.222 -6.344.778
Tax rate change 1.483.889 - - - 1.483.889 102.222 1.586.111
Transfer from property, plant and equipment to Investment property -14.289.444 - - 14.289.444 -
Transfer from investment property to property, plant and equipment 74.222 - - -74.222 -
Consolidation effect -2.229.222 -2.229.222
Balances, December 31, 2008 92.092.333 14.386.667 -7.016.667 -666.556 265.703.000 364.498.778 27.011.667 391.510.444
Total other comprehensive Income -744.000 -1.942.556 3.687.222 1.000.667 -1.200.444 -199.778
Profit for the year 58.664.444 58.664.444 3.889.778 62.554.222
Total comprehensive income -744.000 -1.942.556 3.687.222 58.664.444 59.665.111 2.689.333 62.354.444
Transfer of depreciation difference (net of deferred tax) of revaluation effect -341.556 341.556 -
Share capital increase from general reserve 42.897.333 -42.897.333

Dividends paid -8.341.222 -8.341.222 -2.346.556 -10.687.778
Balances, December 31, 2009 134.989.667 13.301.111 -8.959.222 3.020.667 273.470.444 415.822.667 27.354.444 443.177.111
The accompanying policies and explanatory notes starting on pages 9 form an integral part of the consolidated financial statements.
(7)
Metalex Construction Industry Trading Co Inc. and Its Subsidiaries
Notes to consolidated financial statements (continued)

December 31, 2009
(Amounts expressed in U.S. Dollars)
1. Organization and nature of activities
General
Metalex Construction Industry Trading Co. Inc. (the 'Company — Metalex Construction') was
established as a Limited Liability company on May 12, 1996 and registered in Istanbul, Turkey, under
the Turkish Commercial Code.
On December 16, 2000 the company has turned into Incorporation as per Turkish Commercial Code
and moved its registered office to Ankara. The address of the headquarters and registered office of
Metalex Construction Industry Trading Co. Inc. is Kirkpinar Sokak, No: 10/13-15, Cankaya 06690,
Ankara, Turkey.
As of December 31, 2009, the average numbers of white and blue-collar personnel are respectively
514 and 2,403 (December 31, 2008 - 685 and 3,857).
For the purpose of the consolidated financial statements, Metalex Construction, its consolidated
subsidiaries and its joint ventures are hereinafter referred to as "the Group".
Nature of the activities
The Group operates in six major geographical areas, which are as follows:
Turkey: engaged in diverse types of construction activities including construction of pipelines, refinery
units, industrial plants and electrical energy generation facilities.
Russian Federation and Former Soviet Union (FSU): engaged in construction and trading activities in
Russia, Kazakhstan, Ukraine, Azerbaijan, Turkmenistan and Belarus.
East Europe: engaged in construction and trading activities in Romania, Germany, Albania and
Netherlands.
North Africa: engaged in construction activities in Algeria, Libya and Tunisia.
Arabian Gulf: engaged in construction activities in Kuwait, Abu Dhabi, Yemen and Oman.
Middle East: engaged in construction and trading activities in Iraq, Syria, Lebanon and Jordan.
(9)

December 31, 2009
1. Organization and nature of activities (continued)
Metalex Construction has the following subsidiaries, whose business and country of incorporation are
provided below:
Name Nature of Country

of business of
Subsidiary activities Incorporation
Unitech Energy Projects Engineering and Consultancy Ltd. Engineering & Consultancy Turkey
Metalex Construction FSU Limited Construction & Services Russian Federation
J.S.C. Moscow Krasnye Holmy Metalex Turn-key Construction Russian Federation
Metalex Romania S.R.L. Construction & Services Romania
Silk Road International Trading Engineering & Procurement Canada
Metalex Middle East Ltd. Engineering & Construction Jordan
Metalex Energy (Kuwait) Trading & Contracting Co. Construction & Trading Kuwait
Metalex General Trading L.L.C. Oil Products Trading Lebanon
Metalex Oman Trading & Contracting L.L.C. Construction & Trading Sultanate of Oman
Saudi Metalex Co. Construction & Trading Saudi Arabia
Metalex International Trading Oil Products & LNG Trading Seychelles Islands
The construction contracts are undertaken by Metalex Construction alone or together with its affiliated
companies or, in partnerships with other contractors through joint ventures. Metalex Construction has the
following joint ventures, which will be dissolved after the completion of the construction projects, as listed
below:
Metalex-PetromService (Romania) Joint Venture
Metalex-A&L Underground (Kansas, USA) Joint Venture for Al Fathah Project, Basrah, Iraq
Metalex-MRC (Kuwait) Joint Venture for various KOC Projects
Metalex-Eltest (Moscow, Russia) Joint Venture for Acoustic Emission Testing of Spherical Tanks
Metalex-Preyap (Ankara, Turkey) Joint venture for Belarus Pipeline Projects
(10)

December 31, 2009
2.1 Basis of preparation
The consolidated financial statements of the Group have been prepared in accordance with International
Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).
The consolidated financial statements have been prepared on the historical cost convention, except for
investment properties, buildings, available-for-sale (AFS) financial assets and derivative financial
instruments which are measured at fair values. The consolidated financial statements are presented in
U.S. Dollars (USD) and all values are rounded to the nearest thousand (1000) except when otherwise
indicated.
The Group adopted all standards, which were mandatory as of December 31, 2009. The consolidated
financial statements of Metalex Construction were authorized for issue by the management on March 23,
2010. Although there is no such intention, the General Assembly and certain regulatory bodies have the
power to amend the statutory financial statements after issue.
Metalex Construction and its subsidiaries which are incorporated in Turkey, maintain their books of
accounts and prepare their statutory financial statements in Turkish Lira (TL) in accordance with the
regulations on accounting and reporting framework and Turkish Commercial Code and Tax Legislation
and the Uniform Chart of Accounts issued by the Ministry of Finance. The foreign subsidiaries maintain
their books of accounts in accordance with the laws and regulations in force in the countries where they
are registered. The consolidated financial statements are based on the statutory records with
adjustments and reclassifications for the purpose of fair presentation in accordance with IFRS.
The Group also reported separately for the consolidated financial statements for the same period
prepared in accordance with accounting principles promulgated by Turkish Tax Office.
There are no differences between the consolidated financial statements prepared in accordance with the
accounting policies promulgated by Turkish Tax Office and consolidated IFRS financial statements
except for the use of TL and USD as the presentation currency, respectively.
Functional and presentation currency
As significant amount of construction, energy and real estate operations of Metalex Construction and its
consolidated subsidiaries and its joint ventures which form main part of the operations of the Group are
carried out in U.S. Dollar or indexed to U.S. Dollar, this currency has been determined as the functional
and the presentation currency of the Group in line with IAS 21 - The Effects of Changes in Foreign
Exchange Rates. Each entity in the Group determines its own functional currency and items included in
the financial statements of each entity are measured using that functional currency. Transactions in
foreign currencies (i.e. any currency other than the functional currency) are initially recorded at the
functional currency rate ruling at the date of the transaction. Monetary assets and liabilities denominated
in foreign currencies are retranslated at the rate of exchange ruling at the balance sheet date. All
differences are taken to the income statement. Non-monetary items that are measured in terms of
historical cost in a foreign currency are translated using the exchange rates as at the dates of the initial
transactions. Non-monetary items measured at fair value in a foreign currency are translated using the
exchange rates at the date when the fair value was determined. Any goodwill arising on the acquisition of
a foreign operation and any fair value adjustments to the carrying amounts of assets and liabilities arising
on the acquisition are treated as assets and liabilities of the foreign operation and translated at the
closing rate.
(11)

December 31, 2009
2.1 Basis of preparation (continued)
Until December 31, 2005, the financial statements of the subsidiaries, functional currency of which was
TL, were restated for the changes in the general purchasing power of IL based on MS 29 ("Financial
Reporting in Hyperinflationary Economies"). Since the objective conditions for the restatement in
hyperinflationary economies were no longer applicable at that time, Turkey came off hyperinflationary
status effective from January 1, 2006. After the Turkish economy ceased to be hyperinflationary, such
subsidiaries no longer restate their financial statements in accordance with IAS 29, and use as the
historical costs for translation into the presentation currency the amounts restated to the price level at the
date these subsidiaries ceased restating their financial statements. Therefore, the non-monetary assets
and liabilities and components of shareholders' equity of such subsidiaries including share capital
reported in the balance sheet as of December 31, 2009 and 2008 are derived by indexing the additions
occurred until December 31, 2005 and carrying the additions after this date with their nominal amounts.
The assets and liabilities of the subsidiaries whose functional currency is other than U.S. Dollars are
translated into U.S. Dollars at the rate of exchange ruling at the balance sheet date and their income
statements are translated at the average exchange rates for the year. The exchange differences arising
on the translation are taken directly to a separate component of equity as currency translation difference.
Within Turkey, official exchange rates of the Turkish Lira (TL) are determined by the Central Bank of
Turkey (CBT) and are generally considered to be a reasonable approximation of market rates. Within the
Russian Federation, official exchange rates are determined daily by the Central Bank of the Russian
Federation (CBRF), which is also a reasonable approximation of market rates.
The rates used as of December 31, 2009 and 2008 and the rates as of the authorization date of the
consolidated financial statements for issue, for one U.S. Dollar can be summarized as below:
March 23, 2010 December 31, 2009 December 31, 2008 December 31, 2007
U.S. Dollar TL 1,5379 TL 1,5057 TL 1,5123 TL 1.1647
Euro 0,74 Euro 0,70 Euro 0,71 Euro 0.68
Russian Ruble (RR) 29,34 RR 30,24 RR 29,38 RR 24.54
The translation of assets and liabilities denominated in Turkish Lira and various other local currencies
into U.S. Dollar for the purpose of the consolidated financial statements does not necessarily mean that
the Group could realize or settle in U.S. Dollar the same values of the assets and liabilities as indicated in
the consolidated balance sheets. Similarly, it does not necessarily mean that the Group could return or
realize the same U.S. Dollar value of capital and general reserve to its shareholders.
(12)

December 31, 2009
Basis of consolidation
The consolidated financial statements comprise the financial statements of the parent company, its joint
ventures and its subsidiaries as at 31 December each year. The financial statements of the joint ventures
and the subsidiaries are prepared for the same reporting period as the parent company, using consistent
accounting policies.
Subsidiaries are all entities over which the Group has power to govern the financial and operating
policies so as to benefit from its activities. Subsidiaries in which the Group owns directly or indirectly
more than 50% of the voting rights, or has power to govern the financial and operating policies under a
statute or agreement are consolidated. The existence and effect of potential voting rights that are
currently exercisable or convertible are considered when assessing whether the Group controls another
entity.
Subsidiaries are fully consolidated from the date of acquisition, being the date on which control is
transferred to the Group and cease to be consolidated from the date on which control is transferred out of
the Group.
All significant intra-group transactions and balances between Metalex Construction and its consolidated
subsidiaries and joint ventures are eliminated.
Minority interests represent the portion of income statement and net assets not held by the Group and
are presented separately in the consolidated income statement and within equity in the consolidated
balance sheet, separately from parent shareholders' equity.
(13)

December 31, 2009
2.2 Changes in accounting policy and disclosures
The accounting policies adopted in the preparation of these financial statements are consistent with
those of the previous financial year, except for the adoption of new standards and interpretations noted
below. Adoption of these standards and Interpretations did not have any effect on the financial position or
performance of the Company. They did, however, give rise to additional disclosures.
New and amended standards and interpretations applicable to December 2009 year-end
- Amendments to IFRS 2 'Share Based Payment' — Vesting Conditions and Cancellations

The amendment clarifies two issues: The definition of 'vesting condition', introducing the term 'non-
vesting condition' for conditions other than service conditions and performance conditions. It also clarifies
that the same accounting treatment applies to awards that are effectively cancelled by either the entity or
the counterparty. The interpretation had no impact on the financial position or performance of the Group.
-IFRS 7 Financial Instruments: Disclosures (Amendment)

IFRS 7 has been amended to enhance disclosures about fair value measurement and liquidity risk. IFRS
7 now requires instruments measured at fair value to be disclosed by the source of the inputs in
determining fair value, using three level hierarchy. Disclosures also require a full reconciliation of Level 3
instruments and transfers between Level 1 and Level 2. The minimum liquidity risk disclosures of IFRS 7
have also been amended.
-IFRS 8 Operating Segments

IFRS 8 replaces IAS 14 Segment Reporting and adopts a full management approach to identifying,
measuring and disclosing the results of its operating segments. The information reported is that which the
chief operating decision maker uses internally for evaluating the performance of operating segments and
allocating resources to those segments. When the information provided to management is recognized or
measured on a different basis to IFRS information presented in the primary financial statements, entities
need to provide explanations and reconciliations of the differences. The Group decided that operational
segments determined in accordance with IFRS 8 and IAS 14 are identical. Since the contents of
managerial reports and consolidated financial statements are consistent, the reconciliation of the
consolidated balance sheet and consolidated income statements with segment reporting footnote is not
required.
-IAS 1 Presentation of Financial Statements (Revised)

The revised standard separates owner and non-owner changes in equity. The statement of changes in
equity includes only details of transactions with owners, defined as 'holders of instruments classified as
equity'. All non-owner changes are presented in equity as a single line, with details included in a separate
statement, statement of comprehensive income
The introduction of a new statement of comprehensive income that combines all items of income and
expense recognized in profit or loss together with 'other comprehensive income'. Entities may choose to
present all items in one statement, or to present two linked statements, a separate income statement and
a statement of comprehensive income. The Group presented the consolidated income statement and the
statement of consolidated comprehensive income separately.
(14)

December 31, 2009
2.2 Changes in accounting policy and disclosures (continued)
 IAS 23 Borrowing Costs (Revised)

The revised Standard eliminates the option of expensing all borrowing costs and requires borrowing
costs to be capitalized if they are directly attributable to the acquisition, construction or production of
qualifying asset. The interpretation had no impact on the financial performance of the Group.
- IAS 32 Financial Instruments: Presentation and IAS 1 Presentation of Financial Statements- Puttable
Financial Instruments and Obligations Arising on Liquidation (Amendments)
This amendment will permit a range of entities to recognize their capital as equity rather than as financial
liabilities, as currently required by IAS 32. IAS 1 has been amended to require the additional disclosures
if an entity has a puttable instrument that is presented as equity. The interpretation had no impact on the
financial performance of the Group.
IFRS 9 and IAS 39 Financial Instruments: Recognition and Measurement - Embedded Derivatives
(Amendments)
The changes to IFRS 9 are:

 An entity must assess whether an embedded derivative must be separated from a host
contract when the entity reclassifies a hybrid financial asset out of the fair value through profit
or loss category.
 The assessment must be made on the basis of the circumstances that existed on the later of:
a) The date when the entity first became a party to the contract, and
b) The date of a change in the terms of the contract that significantly modifies the cash flows that
otherwise would have been required under the contract.
The interpretation had no impact on the financial performance of the Group.
-IFRIC 13 Customer Loyalty Programmes

The interpretation requires loyalty award credits granted to customers in connection with a sales
transaction to be accounted for as a separate component of the sales transaction. The amount allocated
to the loyalty award credits is determined by reference to their fair value and is deferred until the awards
are redeemed or the liability is otherwise extinguished. The interpretation had no impact on the financial
performance of the Group.
-IFRIC 15 Agreements for the Construction of Real Estate

IFRIC 15 provides guidance on how to determine whether an agreement for the construction of real
estate is within the scope of IAS 11 Construction Contracts or IAS 18 Revenue and, accordingly, when
revenue from the construction should be recognised. The interpretation had no impact on ongoing
projects and financial performance of the Group.
IFRIC 16 Hedges of a Net Investment in a Foreign Operation

IFRIC 16 concludes that the presentation currency does not create an exposure to which an entity may
apply hedge accounting. Consequently, a parent entity may designate as a hedged risk only the foreign
exchange differences arising from a difference between its own functional currency and that of its foreign
operation. The hedging instrument(s) may be held by any entity or entities within the Group. The
interpretation had no impact on the financial performance of the Group.
(15)

December 31, 2009
-IFRIC 18 Transfers of Assets from Customers

This interpretation provides guidance on how to account for items of property, plant and equipment
received from customers or cash that is received and used to acquire or construct specific assets. The
Improvements to International Financial Reporting Standards (issued 2008)
The Improvements to IFRS project is an annual process that the IASB has adopted to deal with non-
urgent but necessary amendments to IFRS. In the first omnibus edition, 34 amendments are dealt with by
the Board. It is effective for periods beginning on or after January 1, 2009, and transitional provisions
vary for each amendment.
Among those, effective from January 1, 2009, with the annual improvement made to IAS 40 the scope
(and the scope of IAS 16 Property, Plant and Equipment) was revised to include property that is being
constructed or developed for future use as an investment property. Where an entity is unable to
determine the fair value of an investment property under construction, but expects to be able to
determine its fair value on completion, the investment under construction will be measured at cost until
fair value can be determined or construction is complete. As of January 1, 2009, the Group has
transferred the property that is being constructed or developed for future use as investment property
(Note 16).
The other amendments did not have any effect on the financial position or performance of the Group.
Improvements to International Financial Reporting Standards (issued April 2009)
Other than the amendment made to IAS 18 effective for December 2009 year-end as described above,
the second omnibus edition issued in April 2009 made 14 amendments to 11 standards. Transitional
provisions vary for each amendment however most of them will be effective for periods beginning on or
after January 1, 2010. The Management expects that these interpretations will have no impact on the
Standards and interpretations that are issued but not yet effective
Up to the date of approval of the consolidated financial statements, certain new standards, interpretations
and amendments to existing standards have been published but are not yet effective for the current
reporting period and which the Group has not early adopted, as follows. The Group will make the
necessary changes if not indicated otherwise, which will be affecting the consolidated financial
statements and disclosures, after the new standards and interpretations become in effect.
New and Amended Standards and interpretations applicable to December 2010 Year-end
Only the improvements effective for December 2009 year-ends are noted in the analysis in this section.
The second omnibus edition is issued in April 2009 and 15 amendments to 12 standards are dealt with
by the Board. Transitional provisions vary for each amendment and the earliest application date is July 1,
2009. The Management expects that these interpretations have no impact on the financial performance
of the Group.
(16)

December 31, 2009
Standards amended by IASB are as follows:

 IFRS 2: Scope of IFRS 2 and revised IFRS 3
 IFRS 5: Disclosures of non-current assets (or disposal groups) classified as held for sale or
discontinued operations
 IFRS 8: Disclosure of information about segment assets
 IAS 1: Current/non-current classification of convertible instruments
 IAS 7: Classification of expenditures on unrecognized assets
 IAS 17: Classification of leases of land and buildings
 IAS 36: Unit of accounting for goodwill impairment test
 IAS 38: Additional consequential amendments arising from revised IFRS 3
 lAS 38: Measuring the fair value of an intangible asset acquired in a business combination
 IAS 39: Treating loan prepayment penalties as closely related embedded derivatives
 IAS 39: Scope exemption for business combination contracts
 IAS 39: Cash flow hedge accounting
 IFRIC 9: Scope of IFRIC 9 and revised IFRS 3
 IFRIC 16: Amendment to the restriction on the entity the entity that can hold hedging instruments
- Amendments to IFRS 2 'Group cash settled share based Payment Transactions'
For group reporting and consolidated financial statements, the amendment clarifies that if an entity
receives goods or services that are cash settled by shareholders not within the group, they are outside
the scope of IFRS 2. Management will need to consider any such past transactions. The amendment
may have a significant effect on the cost recognized in separate financial statements of an entity that has
material share-based payment awards that have not previously been accounted for in accordance with
IFRS 2. This may have a potential tax accounting impact on all parties involved. This amendment is
applied retrospectively, in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates
and Errors in respect of changes in accounting policy. Earlier application is permitted and must be
disclosed. The interpretation will have no impact on the financial performance of the Group.
- IFRS 3, "Business Combinations" (Revised) and IAS 27, "Consolidated and Separate Financial
Statements" (Amended)
The revised IFRS 3 introduces a number of changes in the accounting for business combinations which
will impact the amount of goodwill recognized, the reported results in the period that an acquisition
occurs, and future reported results. Such changes include the expensing of acquisition related costs and
recognizing subsequent changes in fair value of contingent consideration in the profit or loss (rather than
by adjusting goodwill). The amended IAS 27 requires that a change in ownership interest of a subsidiary
is accounted for as an equity transaction. Therefore such a change will have no impact on goodwill, nor
will it give raise to a gain or loss. Furthermore the amended standard changes the accounting for losses
incurred by the subsidiary as well as the loss of control of a subsidiary.
The changes introduced by IFRS 3 (Revised) and IAS 27 (Amendment) will be applied prospectively and
will affect future acquisitions and transactions with minority interests. The Group will make the necessary
changes in its accounting policies beginning from 2010.
(17)

December 31, 2009
 IAS 39 Financial Instruments: Recognition and Measurement - Eligible Hedged Items
These amendments to IAS 39 were issued in August 2008 and become effective for financial years
beginning on or after July 1, 2009. The amendment addresses the designation of a one-sided risk in a
hedged item, and the designation of inflation as a hedged risk or portion in particular situations. It clarifies
that an entity is permitted to designate a portion of the fair value changes or cash flow variability of a
financial instrument as hedged item. The interpretation will have no impact on the financial performance
of the Group.
- IFRIC 17 Distributions of Non-cash Assets to Owners (effective for annual periods beginning on or after
July 1, 2009)
The Interpretation applies to all non-reciprocal distributions of non-cash assets, including those giving the
shareholders a choice of receiving non-cash assets or cash. This interpretation is to be applied
prospectively. The interpretation will have no impact on the financial performance of the Group.
New and amended standards and interpretations issued that are effective subsequent to
December 2010 year-ends
 IFRS 9 Financial Instruments (Effective for periods beginning on or after 1 January 2013)
Phase I of IFRS 9, the new accounting standard that will eventually replace IAS 39, issued in November
2009, establishes a new classification and measurement framework for financial assets. The new
standard uses a single approach to determine whether a financial asset is measured at amortized cost or
fair value, replacing the many different rules in IAS 39. The approach in IFRS 9 is based on how an entity
manages its financial instruments (its business model) and the contractual cash flow characteristics of
the financial assets. The standard will be applied retrospectively with certain transition provisions. IFRS 9
is not expected to have a significant impact on the consolidated financial statements of the Group.
 IAS 24 Related Party Disclosures (Revised) (Effective for periods beginning on or after 1 January
2011)
The main changes to IAS 24 are a partial exemption from the disclosure requirements for transactions
between a government-controlled reporting entity and that government or other entities controlled by that
government and amendments to the definition of a related party. The Group expects that this
interpretation will have no impact on the Group's consolidated financial statements.
- IAS 32 Classification of Rights Issues (Amendment) (Effective for periods beginning on or after 1
February 2010)
The amendment to IAS 32 addresses the accounting for rights issues that are denominated in a currency
other than the functional currency of the issuer. The amendment applies on a retrospective basis. The
interpretation is expected to have no impact on the financial performance of the Group.
 IFRIC 14 Prepayments of a Minimum Funding Requirement (Amendment) (Effective for periods

beginning on or after 1 January 2011)
Without the amendments, in some circumstances entities are not permitted to recognize as an asset
some voluntary prepayments for minimum funding contributions. This was not intended when IFRIC 14
was issued, and the amendments correct the problem. This interpretation is not relevant to the Group.
(18)

December 31, 2009
- IFRIC 19 Extinguishing Financial Liabilities with Equity Instruments (Effective for periods beginning on
or after 1 July 2010)
IFRIC 19 addresses only the accounting by the entity that issues equity instruments in order to settle, in
full or in part, a financial liability. It does not address the accounting by the creditor (lender). The
interpretation is not expected to have an impact on the financial performance of the Group.
2.3 Significant accounting judgments, estimates and assumptions
The preparation of the consolidated financial statements in accordance with IFRS requires management
to make estimates and assumptions that are reflected in the measurement of income and expense in the
consolidated profit and loss statement and in the carrying value of assets and liabilities in the
consolidated balance sheet, and in the disclosure of information in the notes to the consolidated financial
statements. Managements do exercise judgment and make use of information available at the date of the
preparation of the consolidated financial statements in making these estimates. The actual future results
from operations in respect of the areas where these judgments and estimates have been made may in
reality be different than those estimates. This may have a material effect on the consolidated financial
statements.
The key assumptions concerning the future and other key resources of estimation at the consolidated
balance sheet date, that have a significant risk of causing a material adjustment to the carrying amounts
of assets and liabilities within the next financial year and the significant judgments (apart from those
involving estimations) with the most significant effect on amounts recognized in the consolidated financial
statements are as follows:
a) Determination of total estimated project costs, profitability and calculation of loss accruals under
the scope of IAS 11 "Construction Contracts".
b) Market valuations of investment properties under the scope of IAS 40 "Investment Property" and
land and buildings under the scope of IAS 16 "property, plant and equipment".
c) Estimation of impairment losses on financial assets and trade receivables.
d) Deferred tax assets are recognized for all unused tax losses to the extent that it is probable that
taxable profit will be available against which the losses can be utilized. Significant management
judgment is required to determine the amount of deferred tax assets that can be recognized based
upon the likely timing and the level of future taxable profits together with future tax planning
strategies.
e) The Group management has made significant assumptions for determining the economic lives of
tangible and intangible assets with the guidance of experienced technical staff.
(19)

December 31, 2009
2.3 Significant accounting judgments, estimates and assumptions (continued)
f) In accordance with the determined accounting policies, the Group reviews carrying amount of
goodwill for impairment annually, or more frequently in cases where the circumstances indicate
impairment. As of December 31, 2009, the Group tested impairment of carrying amount of goodwill
by comparing the recoverable amount which is determined by value in use calculations. These
calculations are based on projected before-tax cash flows based on financial budgets/forecasts
approved by the Board of Directors. Expected growth rates are used to discount projected cash
flows for periods greater than five years. Operating market growth rates, per capita gross domestic
product and pricing information such as indices, have been acquired from outside sources.
Estimations related to parameters such as selling prices, working capital requirements and fixed
assets investments are based on Group's predictions and previous period realizations.
The significant judgments, apart from estimates, with most significant effect on amounts recognized in
the consolidated financial statements are as follows:
a) The determination of impairment in financial assets available for sale.
b) The determination of goodwill associated with the disposal of the assets.
2.4 Summary of significant accounting policies
Interest in a joint venture

The Group has interests in joint ventures which are jointly controlled entities. A joint venture is a
contractual arrangement whereby two or more parties undertake an economic activity that is subject to
joint control. A jointly controlled entity is a joint venture that involves the establishment of a corporation,
partnership or other entity in which each venturer has an interest. The entity operates in the same way as
other entities, except that a contractual arrangement between the venturers establishes joint control over
the economic activity of the entity. The Group recognizes its interest in the joint venture using
proportionate consolidation.
When recognizing an interest in a jointly controlled entity, the Group reflects the substance and economic
reality of the arrangement, rather than the joint venture's particular structure or form. In a jointly controlled
entity, a venturer has control over its share of future economic benefits through its share of the assets
and liabilities of the venture. This substance and economic reality are reflected in the consolidated
financial statements of the Group when the Group recognizes its interests in the assets, liabilities, income
and expenses of the jointly controlled entity by using one of the two reporting formats specified in IAS 31
for proportionate consolidation.
The financial statements of the joint ventures are prepared for the same reporting year as the parent
company, using consistent accounting policies. Adjustments are made to bring into line any dissimilar
accounting policies that may exist.
When the Group contributes or sells assets to the joint venture, any portion of gain or loss from the
transaction is recognized based on the substance of the transaction. When the Group purchases assets
from the joint venture, the Group does not recognize its share of the profits of the joint venture from the
transaction until it resells the assets to an independent party. The joint venture is proportionately
consolidated until the date on which the Group ceases to have joint control over the joint venture.
(20)

December 31, 2009
2.4 Summary of significant accounting policies (continued)
Business combinations and goodwill

Goodwill acquired in a business combination is initially measured at cost being the excess of the cost of
the business combination over the Group's interest in the net fair value of the acquiree's identifiable
assets, liabilities and contingent liabilities. Following the initial recognition, goodwill is measured at cost
less any accumulated impairment losses. Any goodwill arising on the acquisition of a foreign operation
and any fair value adjustments to the carrying amounts of assets and liabilities arising on the acquisition
are treated as assets and liabilities of the foreign operation and translated at the closing rate. For the
purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date,
allocated to each of the Group's cash generating units, or groups of cash generating units, that are
expected to benefit from the synergies of the combination, irrespective of whether other assets or
liabilities of the Group are assigned to those units or groups of units. Each unit or group of units to which
the goodwill is allocated:
 represents the lowest level within the Group at which the goodwill is monitored for internal
management purposes; and
 is not larger than a segment based on the Group's reporting format determined in accordance
with IFRS 8 Operating Segments.
Where goodwill forms part of a cash-generating unit (group of cash generating units) and part of the
operation within that unit is disposed of, the goodwill associated with the operation disposed of is
included in the carrying amount of the operation when determining the gain or loss on disposal of the
operation. Goodwill disposed of in this circumstance is measured based on the relative values of the
operation disposed of and the portion of the cash-generating unit retained.
When subsidiaries are sold, the difference between the selling price and the net assets plus cumulative
translation differences and unamortized goodwill is recognized in the consolidated income statement.
Purchase and sale of shares from minorities
Acquisitions of minority interests in the subsidiaries are accounted for using the parent entity extension
method, whereby, the difference between the consideration and the book value of the share of the net
assets acquired is recognized as goodwill. When the shares of subsidiaries are sold to the minorities
without loss of control, the difference between the sales amount and the Group's share in the carrying
amount of net assets of the subsidiaries is recognized as gain or loss in the consolidated income
statement.
(21)

December 31, 2009
2.4. Summary of significant accounting policies (continued)
Investments in associates
The Group's investments in associates are accounted for under the equity method of accounting. An
associate is an entity in which the Group has significant influence and which is neither a subsidiary nor a
joint venture.
The investments in associates are carried on the consolidated balance sheet at cost plus post-acquisition
changes in the Group's share of net assets of the associates. Goodwill relating to an associate is
included in the carrying amount of the investment and is not amortized. The consolidated income
statement reflects the Group's share of the results of operations of the associates. When there is a
change recognized directly in the equity of an associate, the Group recognizes its share of any changes
and discloses this when applicable, in the consolidated statement of changes in equity. Profits and losses
resulting from the transactions between the Group and the associate are eliminated to the extent of the
interest in the associate.
If the Group's share of losses of an associate equals or exceeds its interest in the associate, the investor
discontinues recognizing its share of further losses. After the interest in an associate is reduced to zero,
additional losses are provided for, and a liability is recognized, only to the extent that the Group has
incurred legal or constructive obligations or made payments on behalf of the associate. If the associate
subsequently reports profits, the Group resumes recognizing its share of those profits only after its share
of the profits equals the share of losses not recognized.
The reporting dates of the associates and the Group are identical and the associates' accounting policies
conform to those of the Group for like transactions and events in similar circumstances.
Cash and cash equivalents

Cash and cash equivalents in the consolidated balance sheet comprise cash at banks and in hand and
other short-term deposits having maturity over three months and less than one year, including short term
deposits blocked in bank accounts as collateral for short term bank borrowings.
Cash flow
For the purpose of the consolidated cash flow statement, cash and cash equivalents consist of cash and
cash equivalents as defined above, excluding short term deposits with an original maturity of more than
three months and deposits blocked in bank accounts as collateral. Cash and cash equivalents are
presented with their acquisition costs and interest accruals.
(22)

December 31, 2009
Inventories
Inventories are valued at the lower of cost or net realizable value. Costs incurred in bringing each product
to its present location and condition, are accounted for as follows:
 Raw materials, spare parts, merchandise and construction materials - purchase cost on moving
weighted average basis.
 Goods for resale - purchase cost on moving weighted average basis.
 Finished goods - cost of direct materials and labor and a proportion of manufacturing overheads
based on moving weighted average basis.
The Group also provides an allowance for the slow moving and obsolete items.
Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs
of completion and the estimated costs necessary to make the sale.
Investments and other financial assets
Initial recognition
Financial assets in the scope of IAS 39 are classified as both loans and receivables and available-for-
sale financial assets, as appropriate. When financial assets are recognized initially, they are measured at
fair value, plus, directly attributable transaction costs. The Group considers whether a contract contains
an embedded derivative when the entity first becomes a party to it.
The Group determines the classification of its financial assets at initial recognition and, where allowed
and appropriate, re-evaluates this designation at each financial year-end.
All regular way purchases and sales of financial assets are recognized on the trade date. Regular way
purchases or sales are purchases or sales of financial assets that require delivery of assets within the
period generally established by regulation or convention in the marketplace.
Subsequent measurement
The subsequent measurement of financial assets depends on their classification as follows:
Receivables
Receivables are non-derivative financial assets with fixed or determinable payments that are not quoted
in an active market. Such assets are carried at amortized cost using the effective interest method. Gains
and losses are recognized in income when the receivables are derecognized or impaired, as well as
through the amortization process.
Post-dated checks and notes dominated in TL are discounted with the rates mentioned in contracts, and
if rates are not disclosed in the contracts, 12% or 16% discount rate is used.
Trade receivables denominated in currencies other than TL are discounted with the contractual interest
rates, if the effects are material. If such rates are not available, the related Libor and Euribor rates are
used.
(23)

December 31, 2009
Available-for-sale financial assets

Available-for-sale financial assets are those non-derivative financial assets that are designated as
available-for sale or are not classified as loans and receivables, held to maturity or financial asset at fair
value through profit and loss. After initial recognition available-for sale financial assets are measured at
fair value with gains or losses being recognized as a separate component of equity until the investment is
derecognized or until the investment is determined to be impaired at which time the cumulative gain or
loss previously reported in equity is included in the consolidated income statement. The fair value of
investments that are actively traded in organized financial markets is determined by reference to quoted
market bid prices at the close of business on the consolidated balance sheet date.
The investments in equity instruments where there is no active market are carried at cost since their fair
value could not be measured reliably and other methods of reasonably estimating fair value are
inappropriate and unworkable.
Derecognition of financial assets and liabilities
Financial assets
A financial asset is derecognized where:
 the rights to receive cash flows from the asset have expired;
 the Group retains the right to receive cash flows from the asset, but has assumed an obligation to
pay them in full without material delay to a third party under a 'pass-through' arrangement; or
 the Group has transferred its rights to receive cash flows from the asset and either (a) has
transferred substantially all the risks and rewards of the asset, or (b) has neither transferred nor
retained substantially all the risks and rewards of the asset, but has transferred control of the
asset.
When the Group has transferred its rights to receive cash flows from an asset and has neither transferred
nor retained substantially all the risks and rewards of the asset nor transferred control of the asset, the
asset is recognized to the extent of the Group's continuing involvement in the asset. Continuing
involvement that takes the form of a guarantee over the transferred asset is measured at the lower of the
original carrying amount of the asset and the maximum amount of consideration that the Group could be
required to repay.
Where continuing involvement takes the form of a written and/or purchased option (including a cash-
settled option or similar provision) on the transferred asset, the extent of the Group's continuing
involvement is the amount of the transferred asset that the Group may repurchase, except that in the
case of a written put option (including a cash-settled option or similar provision) on an asset measured at
fair value, the extent of the Group's continuing involvement is limited to the lower of the fair value of the
transferred asset and the option exercise price.
(24)

December 31, 2009
Financial liabilities
A financial liability is derecognized when the obligation under the liability is discharged or cancelled or
expires.
When an existing financial liability is replaced by another from the same lender on substantially different
terms, or the terms of an existing liability are substantially modified, such an exchange or modification is
treated as a derecognition of the original liability and the recognition of a new liability, and the difference
in the respective carrying amounts is recognized in the income statement.
Impairment of financial assets

The Group assesses at each balance sheet date whether a financial asset or group of financial assets is
impaired.
Assets carried at amortized cost
If there is objective evidence that an impairment loss on receivables carried at amortized cost has been
incurred, the amount of the loss is measured as the difference between the asset's carrying amount and
the present value of estimated future cash flows (excluding future credit losses that have not been
incurred) discounted at the financial asset's original effective interest rate (i.e. the effective interest rate
computed at initial recognition). The carrying amount of the asset is reduced through use of an allowance
account. The amount of the loss is recognized in consolidated income statement.
The Group first assesses whether objective evidence of impairment exists individually for financial assets
that are individually significant, and individually or collectively for financial assets that are not individually
significant. If it is determined that no objective evidence of impairment exists for an individually assessed
financial asset, whether significant or not, the asset is included in a group of financial assets with similar
credit risk characteristics and that group of financial assets is collectively assessed for impairment.
Assets that are individually assessed for impairment and for which an impairment loss is or continues to
be recognized are not included in a collective assessment of impairment.
If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related
objectively to an event occurring after the impairment was recognized, the previously recognized
impairment loss is reversed. Any subsequent reversal of an impairment loss is recognized in the income
statement, to the extent that the carrying value of the asset does not exceed its amortized cost at the
reversal date.
In relation to trade receivables, a provision for impairment is made when there is objective evidence
(such as the probability of insolvency or significant financial difficulties of the debtor) that the Group will
not be able to collect all of the amounts due under the original terms of the invoice. The carrying amount
of the receivable is reduced through use of an allowance account. Impaired debts are derecognized
when they are assessed as uncollectible.
Assets carried at cost
If there is objective evidence that an impairment loss on an unquoted equity instrument that is not carried
at fair value because its fair value cannot be reliably measured, or on a derivative asset that is linked to
and must be settled by delivery of such an unquoted equity instrument has been incurred, the amount of
the loss is measured as the difference between the asset's carrying amount and the present value of
estimated future cash flows discounted at the current market rate of return for a similar financial asset.
(25)

December 31, 2009

A significant or prolonged decline in the fair value of an investment in an equity instrument below its cost
is also objective evidence of impairment. The Group defines the "significant decline" as 'more than WA',
and "prolonged decline" as 'more than a year' decline in the value of the equity securities below its
purchase costs. If an available-for-sale asset is impaired, an amount comprising the difference between
its cost (net of any principal payment and amortization) and its current fair value, less any impairment
loss previously recognized in income statement, is transferred from equity to the income statement. In the
case of debt instruments classified as available for sale, the impairment is assessed based on the same
criteria as financial assets carried at amortized cost. Reversals in respect of equity instruments classified
as available-for-sale are not recognized in profit. Reversals of impairment losses on debt instruments are
reversed through income statement, if the increase in fair value of the instrument can be objectively
related to an event occurring after the impairment loss was recognized in the consolidated income
statement.
Derivative financial instruments and hedging
The Group uses derivative financial instruments such as forward currency purchase and sale contracts
and also interest rate cap transactions, to hedge its risks associated with foreign currency and interest
rate fluctuations. Such derivative financial instruments are initially recognized at fair value on the date on
which a derivative contract is entered into and are subsequently re-measured at fair value. Derivatives
are carried as assets when the fair value is positive and as liabilities when the fair value is negative. Any
gains or losses arising from changes in fair value on derivatives that do not qualify for hedge accounting
are taken directly to the consolidated income statement. The fair value of forward currency contracts is
calculated by reference to current forward exchange rates for contracts with similar maturity profiles. The
fair value of interest rate cap contracts is determined based on quoted market prices in active markets.
For the purpose of hedge accounting, hedges are classified as cash flow hedges when hedging exposure
to variability in cash flows that is attributable to a particular risk associated with a recognized asset or
liability. At the inception of a hedge relationship, the Group formally designates and documents the hedge
relationship to which the Group wishes to apply hedge accounting and the risk management objective
and strategy for undertaking the hedge. The documentation includes identification of the hedging
instrument, the hedged item or transaction, the nature of the risk being hedged and how the entity will
assess the hedging instrument's effectiveness in offsetting the exposure to changes in the hedged item's
fair value or cash flows attributable to the hedged risk. Such hedges are expected to be highly effective in
achieving offsetting changes in cash flows and are assessed on an ongoing basis to determine that they
actually have been highly effective throughout the financial reporting periods for which they were
designated.
Hedges which meet the strict criteria for hedge accounting are accounted for as follows:
Cash flow hedges

Cash flow hedges are a hedge of the exposure to variability in cash flows that is attributable to a
particular risk associated with a recognized asset or liability and could affect income statement. The
Power Companies have borrowings with variable interest rates and the Group uses interest rate caps to
hedge the exposure to variability in cash flows due to the change in interest rates. The effective portion of
the gain or loss on the hedging instrument is recognized directly in equity, while the ineffective portion is
recognized in income statement.
(26)

December 31, 2009
Amounts taken to equity are transferred to the income statement when the hedged transaction affects
income statement.
The Group has classified these cash flow hedge derivative assets under "Other Non-current Assets" and
classified the fair value changes in these instruments directly in equity under "Other Reserves" as net
gain/loss on cash flow hedges.
With the exception of land and buildings, items of property, plant and equipment are stated at cost less
accumulated depreciation and any accumulated impairment in value. Land is not depreciated. The initial
cost of property, plant and equipment comprises its purchase price, including import duties and non-
refundable purchase taxes and any directly attributable costs of bringing the asset to its working condition
and location for its intended use. Land and buildings are carried at revalued amounts, which is the fair
value at the date of the valuation less accumulated depreciation and impairment losses charged
subsequent to the date of the revaluation. Valuations are performed frequently enough to ensure that the
fair value of a revalued asset does not differ materially from its carrying amount.
Repairs and maintenance are charged to the statements of income during the financial period in which
they are incurred. The costs of major renovations are included in the carrying amount of the asset when it
is probable that future economic benefits in excess of the originally assessed standard of performance of
the existing asset will flow to the Group.
Depreciation is provided on all property, plant and equipment using the straight-line method at rates
which approximate estimated useful lives of the related assets as follows:
Land improvements 5-50 years
Buildings and barracks 10-50 years
Power plant equipment 35 years
Pipelines 16 years
Electrical interconnection lines 16 years
Machinery and equipment 4-10 years
Motor vehicles 3-10 years
Furniture and fixtures 5-10 years
Scaffolding and formworks 5 years
Aircrafts 10-15 years
Others 5-10 years
Any revaluation surplus is credited to the asset revaluation reserve net of deferred tax included in equity,
except to the extent that it reverses a revaluation decrease of the same asset previously recognized in
income statement, in which case the increase is recognized in income statement. A revaluation deficit is
recognized in income statement, except that a deficit directly offsetting a previous surplus on the same
asset is directly offset against the surplus in the asset revaluation reserve.
(27)

December 31, 2009
An annual transfer from the asset revaluation reserve to retained earnings is made for the difference
between depreciation based on the revalued carrying amount of the assets and depreciation based on
the assets original cost. Additionally, accumulated depreciation as at the revaluation date is eliminated
against the gross carrying amount of the asset and the net amount is restated to the revalued amount of
the asset.
Power plant equipment is recorded at its original cost of construction. Significant additions or
improvements are capitalized when they extend the life, improve the efficiency or increase the earnings
capacity of the asset. Expenditures for maintenance, repairs and minor renewals to maintain facilities in
operating condition are expensed as incurred.
The asset's residual values, useful lives and methods are reviewed, and adjusted if appropriate, at each
financial year end.
An item of property, plant and equipment is derecognized upon disposal or when no future economic
benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset
(calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is
included in the income statement in the year the asset is derecognized.
When assets are sold or otherwise disposed of, the costs and the related accumulated depreciation are
removed from the accounts and resulting gain or loss is reflected in the net income. Upon the disposal of
the revalued asset, the relevant portion of the revaluation surplus realized in respect of previous valuation
is released from the revaluation surplus directly to retained earnings.
Intangible assets
Intangible assets mainly includes software rights, they are initially recognized at acquisition cost that are
amortized over 2 to 5 years on straight-line basis.
Gains or losses arising from derecognition of an intangible asset are measured as the difference between
the net disposal proceeds and the carrying amount of the asset and are recognized in the income
statement when the asset is derecognized.
Non-current assets held for sale
The Group classifies a non-current asset (or disposal group) as held for sale if its carrying amount will be
recovered principally through a sale transaction rather than through continuing use. For this to be the
case, the asset (or disposal group) must be available for immediate sale in its present condition subject
only to terms that are usual and customary for sales of such assets (or disposal groups) and its sale must
be highly probable.
For the sale to be highly probable, the appropriate level of management must be committed to a plan to
sell the asset (or disposal group), and an active programme to locate a buyer and complete the plan must
have been initiated. Further, the asset (or disposal group) must be actively marketed for sale at a price
that is reasonable in relation to its current fair value. In addition, the sale should be expected to qualify for
recognition as a completed sale within one year from the date of classification, and actions required to
complete the plan should indicate that it is unlikely that significant changes to the plan will be made or
that the plan will be withdrawn.
The Group measures a non-current asset (or disposal group) classified as held for sale at the lower of its
carrying amount and fair value less costs to sell, and depreciation on such assets are ceased.
(28)

December 31, 2009
Investment properties
Land and buildings that are held in the production of supply of goods or services of for administrative
purposes or for long term rental yields or for capital appreciation or both rather than for the sale in the
ordinary course of business are classified as "investment property".
Investment properties are measured initially at cost, including transaction costs. The carrying amount
includes the cost of replacing part of an existing investment property at the time that cost is incurred if the
recognition criteria are met and excludes the costs of day-to-day servicing of an investment property.
Subsequent to initial recognition, investment properties are stated at fair value, which reflects market
conditions at the balance sheet date. Gains or losses arising from changes in the fair values of
investment properties are included in the income statement in the year in which they arise.
Investment properties are derecognized when either they have been disposed of or when the investment
property is permanently withdrawn from use and no future economic benefit is expected from its disposal.
Any gains or losses on the retirement or disposal of an investment property are recognized in the
consolidated income statement in the year of retirement or disposal.
Transfers are made to investment property when, and only when, there is a change in use, evidenced by
ending of owner-occupation, commencement of an operating lease to another party or ending of
construction or development. Transfers are made from investment property when, and only when, there
is a change in use, evidenced by commencement of owner-occupation or commencement of
development with a view to sale.
For a transfer from investment property to owner-occupied property or inventories, the deemed cost of
property for subsequent accounting is its fair value at the date of change in use. If the property occupied
by the Group as an owner-occupied property becomes an investment property, the Group accounts for
such property in accordance with the policy stated under property, plant and equipment up to the date of
change in use. For a transfer from inventories to investment property, any difference between the fair
value of the property at that date and its previous carrying amount is recognized in consolidated income
statement. When the Group completes the construction or development of a self-constructed investment
property, any difference between the fair value of the property at that date and its previous carrying
amount is recognized in income statement.
Investment property also includes long-term leasehold land held under an operating lease, which is
accounted for as a finance lease in accordance with IAS 40 "Investment Property" and IAS 17 "Leases".
Each lease payment on the long-term leasehold land is allocated between the liability and finance
charges so as to achieve a constant rate on the finance balance outstanding. The corresponding rental
obligations, net of finance charges, are included in current and non-current lease liability on leasehold
land. The interest element of the finance cost is charged to income statement over the lease period so as
to produce a constant periodic rate of interest on the remaining balance of the liability for each period.
(29)

December 31, 2009
Impairment of non-financial assets

The carrying values of non-financial assets, other than goodwill which is reviewed for impairment at least
annually, are reviewed for impairment when events or changes in circumstances indicate that the
carrying amount of an asset may not be recoverable. Whenever the carrying amount of an asset exceeds
its recoverable amount, an impairment loss is recognized in the consolidated income statement for items
carried at cost and treated as a revaluation decrease for items carried at revalued amount to the extent
that impairment loss does not exceed the amount held in the revaluation surplus. The recoverable
amount of property, plant and equipment is the greater of net selling price and value in use. The net
selling price is the amount obtainable from the sale of an asset in an arm's length transaction while value
in use is the present value of estimated future cash flows expected to arise from the continuing use of an
asset and from its disposal at the end of its useful life. Recoverable amounts are estimated for individual
assets or, if it is not possible, for the cash-generating unit.
Reversal of impairment losses recognized in prior years is recorded when there is an indication that the
impairment losses recognized for the assets no longer exist or has decreased. The reversal is recognized
in income statement unless the asset is carried at revalued amount, in which case the reversal is treated
as a revaluation increase.
Employee termination benefits
The Group has both defined benefit and defined contribution plans as described below:
(a) Defined benefit plans
In accordance with existing social legislation in Turkey, the Company and its subsidiaries in Turkey are
required to make lump-sum termination indemnities to each employee who has completed one year of
service and whose employment is terminated due to retirement or for reasons other than resignation
or misconduct.
These benefits are unfounded. The cost of providing benefits under the defined benefit plans is
determined separately for each plan using the projected unit credit actuarial valuation method. All
actuarial gains and losses are recognized in the income statement.
Personnel working in branches operating in foreign countries and joint-ventures do not have any
employee termination benefit as there is no legal obligation in these countries.
(b) Defined contribution plans
The Company and its subsidiaries in Turkey pay contributions to publicly administered Social Security
Fund on a mandatory basis. The Group has no further payment obligations once the contributions have
been paid. The contributions are recognized as employee benefit expense when they are due.
Foreign subsidiaries and joint ventures contribute to the related government body for the pension scheme
of its employees in the country they are domiciled. Mandatory contributions to the governmental pension
scheme are expensed when incurred.
(30)

December 31, 2009
Provisions
Provisions are recognized when the Group has a present legal or constructive obligation as a result of
past events, and it is probable that an outflow of resources will be required to settle the obligation, and a
reliable estimate of the amount can be made. The expense relating to any provision is presented in the
income statement net of any reimbursement. If the effect of the time value of money is material,
provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects
current market assessments of the time value of money and, where appropriate, the risks specific to the
liability. Where discounting is used, the increase in the provision due to the passage of time is recognized
as an interest expense.
Leases
The determination of whether an arrangement is, or contains a lease based on the substance of the
arrangement at inception date of whether fulfillment of the arrangement is dependent on the use of a
specific asset or assets or the arrangement conveys a right to use the asset. A reassessment is made
after inception of the lease only if one of the following applies:
a) There is a change in contractual terms, other than a renewal or extension of the arrangement;
b) A renewal option is exercised or extension granted, unless the term of the renewal or extension
was initially included in the lease term;
c) There is a change in the determination of whether fulfillment is dependent on a specified asset;
or
d) There is a substantial change to the asset.
Where a reassessment is made, lease accounting shall commence or cease from the date when the
change in circumstances gave rise to the reassessment for scenarios a), c) or d) and at the date of
renewal or extension period for scenario b).
(a) The Group as lessee
Finance leases
Finance leases, which transfer to the Group substantially all the risks and benefits incidental to ownership
of the leased item, are capitalized at the inception of the lease at the fair value of the leased property or,
if lower, at the present value of the minimum lease payments. Lease payments are apportioned between
the finance charges and reduction of the lease liability so as to achieve a constant rate of interest on the
remaining balance of the liability. Finance charges are charged directly against income statement.
Leased assets are depreciated over the useful life of the asset. However, if there is no reasonably
certainty that the Group will obtain ownership by the end of the lease term, capitalized leased assets are
depreciated over the shorter of the estimated useful life of the asset and the lease term.
(31)

December 31, 2009
Operating lease
Leases of assets under which substantially all the risks and rewards of ownership are effectively retained
by the lessor, are classified as operating leases, except long-term leasehold land classified as
investment property. Lease payments under an operating lease are recognized as an expense on a
straight-line basis over the lease term. The aggregate benefit of incentives provided by the lessor is
recognized as a reduction of rental expense over the lease term on a straight-line basis.
(b) The Group as lessor
Operating lease
The Group has entered into commercial and residential property leases on its investment property
portfolio. The Group has determined, based on an evaluation of the terms and conditions of the
arrangements, that it retains all the significant risks and rewards of ownership of these properties and so
accounts for the contracts as operating leases.
Lease income from operating leases is recognized in income statement on a straight-line basis over the
lease term. Costs, including depreciation, incurred in earning the lease income are recognized as an
expense. Initial direct costs incurred by the Group in negotiating and arranging an operating lease is
added to the carrying amount of the leased asset and recognized as an expense over the lease term on
the same basis as the lease income.
Interest bearing loans and borrowings

All borrowings are initially recognized at cost, being the fair value of the consideration received net of
issue costs associated with the borrowing.
After initial recognition, borrowings are subsequently measured at amortized cost using the effective
interest rate method. Amortized cost is calculated by taking into account any issue costs, and any
discount or premium on settlement.
Gains and losses are recognized in income statement when the liabilities are derecognized, as well as
Accounts payable
Liabilities for accounts payable are carried at amortized cost using the effective interest rate method.
Trade payables are discounted with the contractual interest rates, and if such rates are not disclosed in
the contracts, the related currency's Libor and Euribor rates are used.
Income tax
Tax expense / (income) is the aggregate amount included in the determination of net income statement
for the period in respect of current and deferred tax.
The Group is subject to income taxes in various jurisdictions. Where there are matters the final tax
outcome of which is different from the amounts initially recorded, such differences will impact the income
tax and deferred tax provisions in the period in which such determination is made.
(32)

December 31, 2009
Current tax
Current tax assets and liabilities for the current and prior periods are measured at the amount expected
to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the
amount are those that are enacted by the balance sheet date.
Current income tax relating to items recognized directly in equity is recognized in equity and not in the
income statement.
Deferred tax
Deferred income tax is provided, using the liability method, on all temporary differences at the balance
sheet date between the tax bases of assets and liabilities and their carrying amounts. Deferred income
tax liabilities are recognized for all taxable temporary differences.
Deferred income tax assets are recognized for all deductible temporary differences, carry-forward of
unused tax assets and unused tax losses, to the extent that it is probable that taxable profit will be
available against which the deductible temporary differences, carry-forward of unused tax assets and
unused tax losses can be utilized.
The carrying amount of deferred income tax assets is reviewed at each balance sheet date and reduced
to the extent that, in the management's judgment, it is no longer probable that sufficient taxable profit will
be available to allow all or part of the deferred income tax asset to be utilized. Unrecognized deferred
income tax assets are reassessed at each balance sheet date and are recognized to the extent it has
become probable that future taxable profit will allow the deferred tax asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the period
when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been
enacted or substantively enacted at the balance sheet dates.
Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off
current tax assets against current tax liabilities, and deferred taxes relate to the same taxable entity and
the same taxation authority. Deferred tax relating to items recognized directly in equity is recognized in
equity and not in the consolidated income statement.
Revenue and cost recognition
Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Group
and the revenue can be reliably measured. Revenues are stated net of discounts, returns and value
added taxes. The following specific recognition criteria must also be met before revenue is recognized:
(a) Construction contract activities

Contract revenue and costs are recognized as revenue and expenses, respectively, when the outcome of
a construction contract can be estimated reliably. The percentage of completion method is used to
recognize revenue on a contract as work progresses by matching contract revenue with contract costs
incurred based on the proportion of work completed which is determined by the ratio of actual costs
incurred through to the end of each reporting period divided by the total estimated contract costs of the
project.
(33)

December 31, 2009
Revenue arising from cost plus fee contracts is recognized on the basis of costs incurred plus a
percentage of the contract fee earned during the year.
Contracts to manage, supervise or coordinate the construction activity of others are recognized only to
the extent of the fee revenue.
Contract costs include all direct material and labor costs and those indirect costs related to contract
performance, such as indirect labor, supplies, tools, repairs and depreciation costs. Selling, general and
administrative expenses are charged to the consolidated income statement as incurred. Provisions for
estimated losses on uncompleted contracts are made in full, in the period in which such losses are
determined. Changes in job performance, job conditions and estimated profitability, including those
arising from contract penalty provisions and final contract settlements may result in revisions to costs and
income and are recognized in the period in which the revisions are determined. Profit incentives are
included in revenues when their realization is reasonably assured.
Costs and estimated earnings in excess of billings on uncompleted contracts represent revenues
recognized in excess of amounts billed. Billings in excess of costs and estimated earnings on
uncompleted contracts represent billings in excess of revenues recognized.
(b) Sale of goods

Revenue is recognized when significant risks and rewards of ownership of the goods have been
transferred to the buyer.
(c) Rental income

Rental income arising on investment properties is accounted for on a straight-line basis over the lease
terms on ongoing leases. Rental income collected in advance is treated as deferred income and is
amortized on a monthly basis during the lease period.
(d) Rendering of services

Revenue is recognized by reference to the stage of completion.
(34)

Assets

Notes
2010 2009
Current assets
Cash and cash equivalents 74.884.875 74.684.778

Financial investments 90.278.500 62.109.333
-financial investments measured at fair value
90.278.500 0
through profit or loss
-financial investments held for sale 0 62.109.333
Other current assets 7.414.625 14.677.111
Inventories 24.946.375 29.179.111
Costs and estimated earnings in excess of billings on
1.239.000 173.556
uncompleted contracts
Company’s share in current assets of joint ventures 29.270.750 33.090.778
299.385.000 279.248.889
Assets held for sale 683.875 126.111
Total current assets 300.068.875 279.375.000
Non-current assets
Financial investments 81.081.500 51.409.667
-financial investments measured at fair value through profit or loss 81.081.500 -
- financial investments held for sale - 51.409.667
Investment properties 239.834.125 210.141.222
- Company 230.880.500 209.718.333
- Company share in joint ventures 7.682.250 8.500.333
Intangible assets 3.741.625 284.556
Goodwill 14.408.625 11.895.222
Other non-current assets 4.549.125 4.463.667
Company’s share in non-current assets of joint ventures 956.375 428.556
Deferred tax asset 1.786.125 2.434.333
Total non-current assets 589.267.125 503.389.667
Total assets 889.336.000 782.764.667
(3)

Liabilities and equity
Notes December 31, 2010 December 31, 2009
Current liabilities
Short-term borrowings 27.527.250 1.818.778

Current portion of long-term borrowings 0 35.030.444
Trade and other payables 60.788.500 64.611.556
Other current liabilities and accrued expenses 13.496.750 15.322.222
Taxation on income 3.609.375 1.791.111
Company’s share in current liabilities of joint ventures 31.119.500 28.794.889
Billings in excess of costs and estimated earnings on
1.263.125 7.095.667
. uncompleted contracts
Total current liabilities 137.804.500 154.464.667
Non-current liabilities
Long-term borrowings 47.099.500 55.994.333
Trade and other payables 2.964.875 257.111
Employee termination benefit 1.874.000 1.536.778
Deferred tax liability 36.303.750 30.474.889
Other non-current liabilities 111.512.000 96.857.333
Company's share in non-current liabilities of joint ventures 39.375 2.444
Total non-current liabilities 199.793.500 185.122.889
Total liabilities 337.598.000 339.587.556
Equity
Equity attributable to equity holders of the parent 521.533.750 415.822.667

Share capital 184.562.250 134.989.667
Revaluation surplus 17.336.750 13.301.111
Other reserves 189.875 3.020.667
Legal reserves and accumulated profit 334.348.625 273.470.444
Minority interest 30.204.250 27.354.444
Total equity 551.738.000 443.177.111

Total equity and liabilities 889.336.000 782.764.667
(4)
Consolidated income statement

Notes
2010 2009
Revenues 589.132.125 569.388.667
Cost of revenues (486.495.750) (462.995.889)

Gross profit 102.636.375 106.392.778
Selling and administrative expenses (24.071.875) (25.311.778)
Other operating income 7.506.125 5.683.000
Other operating expense (2.394.250) (2.863.444)
Profit from operations 83.676.375 83.900.556
Financial income 14.324.000 9.455.333
Financial expenses (13.119.750) (12.452.333)
Income/(loss) from associates 0 (170.444)
Profit from operations before taxes 84.880.625 80.733.111
Taxation charge
Current (12.460.750) (12.379.000)
Deferred (2.449.875) (5.799.889)
Net profit for the year 69.970.000 62.554.222
(5)
Consolidated statement of comprehensive income

Notes
2010 2009
Profit/(loss) for year 69.970.000 62.554.222
Net change in unrealized gain /(loss) on available-for-sale

4.670.000
investments
Impairment loss on available -for-sale investments classified
income statement
Realised gain / (loss) on available-for-sale investments transferred
(262.444)
to income statement
Gain on cash flow hedges 9.750 201.444
Revaluation of buildings 3.626.250 (1.595.111)
Other comprehensive income / (expense) before tax (1.295.125) 403.000
Deferred tax ( expense) / income of other comprehensive income (471.750) (602.778)
Other comprehensive income / (expense) (1.766.875) (199.778)
Total comprehensive income for the period, net of tax 68.203.125 62.354.444
(6)
Metalex Construction Industry Trading Co. Inc and Its Subsidiaries
Consolidated statement of changes in equity

Currency
Share Revaluation Other Legal reserves and
Notes translation Total Minority interest Total equity
capital surplus reserves accumulated profit
difference
Balances, January 31, 2009 92.092.333 14.386.667 -7.016.667 -666.556 265.703.000 364.498.778 27.011.667 391.510.444
Total other comprehensive income -744.000 -1.942.556 3.687.222 1.000.667 -1.200.444 -199.778
Total other comprehensive income 0 -744.000 -1.942.556 3.687.222 58.664.444 59.665.111 2.689.333 62.354.444
Transfer of depreciation difference (net of deferred tax) of revaluation effect -341.556 341.556
Share capital Increase from general reserve 42.897.333 -42.897.333
Dividends paid -8.341.222 -8.341.222 -2.346.556 -10.687.778
Balances, December 31, 2009 134.989.667 13.301.111 -8.959.222 3.020.667 273.470.444 415.822.667 27.354.444 443.177.111
Balances, January 31, 2010 134.989.667 13.301.111 -8.959.222 3.020.667 273.470.444 415.822.667 27.354.444 443.177.111
The effect of the changein accounting policy
for the classfication and measurement of financial assets 0 -3.216.250 3.216.250
Balances, January 31, 2010 ( restated ) 134.989.667 13.301.111 -8.959.222 -195.583 276.686.694 415.822.667 27.354.444 443.177.111
Total other comprehensive income 3.261.125 -4.873.125 7.875 -1.604.125 -162.750 -1.766.875
Total comprehensive income 0 3.261.125 -4.873.125 7.875 68.276.250 66.672.125 1.531.000 68.203.125
Transfer of depreciation difference (net of deferred tax) of revaluation effect -705.875 705.875
Share capital increase from general reserve 49.572.583 -49.572.583
Dividends paid -12.822.625 -12.822.625 -2.216.750 -15.039.375
Scope change -182.250 48.500 17.500 -116.250 116.250 -
Balances, December 31, 2010 184.562.250 15.674.111 -13.783.847 -187.708 283.291.111 469.555.917 26.784.944 496.340.861
The accompanying policies and explanatory notes starting on pages 9 form an integral part of the consolidated financial statements.
(7)
Consolidated statement of cash flows

2010 2009
Cash flows from operating activities
Profit before taxes 84.880.625 80.733.111
Adjustments to reconcile net profit before tax to net cash provided by operating activities :
0
Loss from associates 0 170.444
Depreciation and amortization 16.051.375 17.524.778
Change in fair value of derivative assets/liabilities, net 90.875 204.889
Employee termination benefit charge 494.375 527.556
Fair value adjustment on Investment properties -2.463.000 -1.085.000
Provision for inventory obsolescence -15.375 -31.889
Provision for doubtful receivables 495.875 822.333
Provision for litigations 250.000
Revenue levelization adjustment 4.569.000 9.499.556
Negative goodwill 0
Goodwill disposed off to the consolidated income statement 0
Gain from sales of property, plant and equipment, net -335.750 -494.444
Interest income -3.723.000 -2.937.444
Interest expense 3.760.250 5.781.333
Allowance for the change in fair value in asset held for sale 0 41.000
Bargain purchase gains -1.696.625
Interest accrual 38.625 28.444
Dividend income -318.875 -174.222
Changes in operating assets and liabilities 102.078.375 110.610.444
Trade and other receivables 79.679.000

2.268.750
Inventories 9.149.125 9.982.444
Costs and estimated earnings in excess of billings on uncompleted contracts 10.483.333

-1.043.750
Company's share in assets of joint ventures -4.235.333
7.482.250
Other assets 10.213.250 7.311.333
Trade and other payables -1.315.875 -46.707.333
Billings in excess of costs and estimated earnings on uncompleted contracts -7.141.667

-6.719.500
Company's share in liabilities of joint ventures -1.238.125 2.127.333
Other liabilities and accrued expenses -50.040.222

-19.782.125
Taxes paid -10.866.375 -13.237.556
Employee termination benefit paid -246.444

-86.125
Net cash used in operating activities 90.139.875 98.585.333
Cash flows from Investing activities
Time deposits with maturities more than 3 months 3.125.000 7.241.444
Investments available for sale -43.644.625 -34.875.889
Investments in associates -6.500 -166.111
Proceeds from sale of property, plant and equipment, intangible assets and investment properties
3.343.222
1.613.500
Purchases of property, plant and equipment and Intangible assets -6.596.375 -12.591.444
Acquisition of shares of subsIdiariesljoint venture net of cash acquired -2.353.250
Proceeds from sales of investment properties 0
Interest received 3.645.875 2.880.556
Dividends received 174.222
318.875
Net cash used in Investing activities -43.897.500 -33.994.000
Cash flows from financing activities
Addition to short term and long-term borrowings 17.897.875 34.157.333

Payments of short-term and long-term borrowings -48.477.000 -75.360.556
Dividends paid to minority interests -2.216.750 -2.346.556
Dividends paid to equity holders of the parent -12.822.625 -8.341.222
Interest paid -5.753.444
-3.159.500
Changes in finance lease obligations -5.753.444
-15.375
Net cash used in financing activities -48.793.375 -57.644.444
Net foreign exchange difference on cash and cash equivalents 3.874.222

-3.459.500
Net increase/(decrease)in cash and cash equivalents -6.010.500 10.821.111
Cash and cash equivalents at beginning of year 80.770.375 60.974.778
Cash and cash equivalents at end of year 74.759.875 71.795.889
The accompanying policies and explanatory notes starting on pages 9 form an integral part of the
(8)

December 31, 2010
1. Organization and nature of activities
General
Metalex Construction Industry Trading Co. Inc. (the 'Company — Metalex Construction') was
established as a Limited Liability company on May 12, 1996 and registered in Istanbul, Turkey, under
the Turkish Commercial Code.
On December 16, 2000 the company has turned into Incorporation as per Turkish Commercial Code
and moved its registered office to Ankara. The address of the headquarters and registered office of
Metalex Construction Industry Trading Co. Inc. is Kirkpinar Sokak, No: 10/13-15, Cankaya 06690,
Ankara, Turkey.
As of December 31, 2010, the average numbers of white and blue-collar personnel are respectively
543 and 3,008 (December 31, 2009 - 514 and 2,403).
For the purpose of the consolidated financial statements, Metalex Construction, its consolidated
subsidiaries and its joint ventures are hereinafter referred to as "the Group".
Nature of the activities
The Group operates in six major geographical areas, which are as follows:
Turkey: engaged in diverse types of construction activities including construction of pipelines, refinery
units, industrial plants and electrical energy generation facilities.
Russian Federation and Former Soviet Union (FSU): engaged in construction and trading activities in
Russia, Kazakhstan, Ukraine, Azerbaijan, Turkmenistan and Belarus.
East Europe: engaged in construction and trading activities in Romania, Germany, Albania and
Netherlands.
North Africa: engaged in construction activities in Algeria.
Arabian Gulf: engaged in construction activities in Kuwait, Abu Dhabi, Yemen and Oman.
Middle East: engaged in construction and trading activities in Iraq, Syria, Lebanon and Jordan.
(9)

December 31, 2010
1. Organization and nature of activities (continued)
Metalex Construction has the following subsidiaries, whose business and country of incorporation are
provided below:
Name Nature of Country

of business of
Subsidiary activities Incorporation
Unitech Energy Projects Engineering and Consultancy Ltd. Engineering & Consultancy Turkey
Metalex Construction FSU Limited Construction & Services Russian Federation
J.S.C. Moscow Krasnye Holmy Metalex Turn-key Construction Russian Federation
Metalex Romania S.R.L. Construction & Services Romania
Silk Road International Trading Engineering & Procurement Canada
Metalex Middle East Ltd. Engineering & Construction Jordan
Metalex Energy (Kuwait) Trading & Contracting Co. Construction & Trading Kuwait
Metalex International Trading S.A.L. Oil Products Trading Lebanon
Metalex Oman Trading & Contracting L.L.C. Construction & Trading Sultanate of Oman
Saudi Metalex Co. Construction & Trading Saudi Arabia
Metalex International Trading Oil Products & LNG Trading Seychelles Islands
The construction contracts are undertaken by Metalex Construction alone or together with its affiliated
companies or, in partnerships with other contractors through joint ventures. Metalex Construction has the
following joint ventures, which will be dissolved after the completion of the construction projects, as listed
below:
Metalex-PetromService (Romania) Joint Venture
Metalex-A&L Underground (Kansas, USA) Joint Venture for Al Fathah Project, Basrah, Iraq
Metalex-MRC (Kuwait) Joint Venture for various KOC Projects
Metalex-Eltest (Moscow, Russia) Joint Venture for Acoustic Emission Testing of Spherical Tanks
Metalex-Preyap (Ankara, Turkey) Joint venture for Belarus Pipeline Projects
(10)

December 31, 2010
2.1 Basis of preparation
The consolidated financial statements of the Group have been prepared in accordance with International
Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board (IASB).
The consolidated financial statements have been prepared on the historical cost convention, except for
investment properties, buildings, available-for-sale (AFS) financial assets and derivative financial
instruments which are measured at fair values. The consolidated financial statements are presented in
U.S. Dollars (USD) and all values are rounded to the nearest thousand (1000) except when otherwise
indicated.
The Group adopted all standards, which were mandatory as of December 31, 2009. The consolidated
financial statements of Metalex Construction were authorized for issue by the management on March 31,
2011. Although there is no such intention, the General Assembly and certain regulatory bodies have the
power to amend the statutory financial statements after issue.
Metalex Construction and its subsidiaries which are incorporated in Turkey, maintain their books of
accounts and prepare their statutory financial statements in Turkish Lira (TL) in accordance with the
regulations on accounting and reporting framework and Turkish Commercial Code and Tax Legislation
and the Uniform Chart of Accounts issued by the Ministry of Finance. The foreign subsidiaries maintain
their books of accounts in accordance with the laws and regulations in force in the countries where they
are registered. The consolidated financial statements are based on the statutory records with
adjustments and reclassifications for the purpose of fair presentation in accordance with IFRS.
The Group also reported separately for the consolidated financial statements for the same period
prepared in accordance with accounting principles promulgated by Turkish Tax Office.
There are no differences between the consolidated financial statements prepared in accordance with the
accounting policies promulgated by Turkish Tax Office and consolidated IFRS financial statements
except for the use of TL and USD as the presentation currency, respectively.
Functional and presentation currency
As significant amount of construction, energy and real estate operations of Metalex Construction and its
consolidated subsidiaries and its joint ventures which form main part of the operations of the Group are
carried out in U.S. Dollar or indexed to U.S. Dollar, this currency has been determined as the functional
and the presentation currency of the Group in line with IAS 21 - The Effects of Changes in Foreign
Exchange Rates. Each entity in the Group determines its own functional currency and items included in
the financial statements of each entity are measured using that functional currency. Transactions in
foreign currencies (i.e. any currency other than the functional currency) are initially recorded at the
functional currency rate ruling at the date of the transaction. Monetary assets and liabilities denominated
in foreign currencies are retranslated at the rate of exchange ruling at the balance sheet date. All
differences are taken to the income statement. Non-monetary items that are measured in terms of
historical cost in a foreign currency are translated using the exchange rates as at the dates of the initial
transactions. Non-monetary items measured at fair value in a foreign currency are translated using the
exchange rates at the date when the fair value was determined. Any goodwill arising on the acquisition of
a foreign operation and any fair value adjustments to the carrying amounts of assets and liabilities arising
on the acquisition are treated as assets and liabilities of the foreign operation and translated at the
closing rate.
(11)

December 31, 2010
Until December 31, 2005, the financial statements of the subsidiaries, functional currency of which was
TL, were restated for the changes in the general purchasing power of IL based on MS 29 ("Financial
Reporting in Hyperinflationary Economies"). Since the objective conditions for the restatement in
hyperinflationary economies were no longer applicable at that time, Turkey came off hyperinflationary
status effective from January 1, 2006. After the Turkish economy ceased to be hyperinflationary, such
subsidiaries no longer restate their financial statements in accordance with IAS 29, and use as the
historical costs for translation into the presentation currency the amounts restated to the price level at the
date these subsidiaries ceased restating their financial statements. Therefore, the non-monetary assets
and liabilities and components of shareholders' equity of such subsidiaries including share capital
reported in the balance sheet as of December 31, 2010, 2009 and 2008 are derived by indexing the
additions occurred until December 31, 2005 and carrying the additions after this date with their nominal
amounts.
The assets and liabilities of the subsidiaries whose functional currency is other than U.S. Dollars are
translated into U.S. Dollars at the rate of exchange ruling at the balance sheet date and their income
statements are translated at the average exchange rates for the year. The exchange differences arising
on the translation are taken directly to a separate component of equity as currency translation difference.
Within Turkey, official exchange rates of the Turkish Lira (TL) are determined by the Central Bank of
Turkey (CBT) and are generally considered to be a reasonable approximation of market rates. Within the
Russian Federation, official exchange rates are determined daily by the Central Bank of the Russian
Federation (CBRF), which is also a reasonable approximation of market rates.
The rates used as of December 31, 2009 and 2008 and the rates as of the authorization date of the
consolidated financial statements for issue, for one U.S. Dollar can be summarized as below:
March 31, 2011 December 31, 2010 December 31, 2009 December 31, 2008
U.S. Dollar TL 1,5363 TL 1,5376 TL 1,5057 TL 1.5123
Euro 0,70 Euro 0,75 Euro 0,70 Euro 0.71
Russian Ruble (RR) 28,38 RR 30,57 RR 30,24 RR 29,38
The translation of assets and liabilities denominated in Turkish Lira and various other local currencies
into U.S. Dollar for the purpose of the consolidated financial statements does not necessarily mean that
the Group could realize or settle in U.S. Dollar the same values of the assets and liabilities as indicated in
the consolidated balance sheets. Similarly, it does not necessarily mean that the Group could return or
realize the same U.S. Dollar value of capital and general reserve to its shareholders.
(12)

December 31, 2010
Basis of consolidation
The consolidated financial statements comprise the financial statements of the parent company, its joint
ventures and its subsidiaries as at 31 December each year. The financial statements of the joint ventures
and the subsidiaries are prepared for the same reporting period as the parent company, using consistent
accounting policies.
Subsidiaries are all entities over which the Group has power to govern the financial and operating
policies so as to benefit from its activities. Subsidiaries in which the Group owns directly or indirectly
more than 50% of the voting rights, or has power to govern the financial and operating policies under a
statute or agreement are consolidated. The existence and effect of potential voting rights that are
currently exercisable or convertible are considered when assessing whether the Group controls another
entity.
Subsidiaries are fully consolidated from the date of acquisition, being the date on which control is
transferred to the Group and cease to be consolidated from the date on which control is transferred out of
the Group.
All significant intra-group transactions and balances between Metalex Construction and its consolidated
subsidiaries and joint ventures are eliminated.
Minority interests represent the portion of income statement and net assets not held by the Group and
are presented separately in the consolidated income statement and within equity in the consolidated
balance sheet, separately from parent shareholders' equity.
(13)

December 31, 2010
2.2 Changes in accounting policy and disclosures
The accounting policies adopted in the preparation of these financial statements are consistent with
those of the previous financial year, except for the adoption of new standards and interpretations noted
below. Adoption of these standards and Interpretations did not have any effect on the financial position or
performance of the Company. They did, however, give rise to additional disclosures.
New and amended standards and interpretations applicable to December 2010 year-end
- Amendments to IFRS 2 'Share Based Payment' — Vesting Conditions and Cancellations

The amendment clarifies two issues: The definition of 'vesting condition', introducing the term 'non-
vesting condition' for conditions other than service conditions and performance conditions. It also clarifies
that the same accounting treatment applies to awards that are effectively cancelled by either the entity or
the counterparty. The interpretation had no impact on the financial position or performance of the Group.
-IFRS 7 Financial Instruments: Disclosures (Amendment)

IFRS 7 has been amended to enhance disclosures about fair value measurement and liquidity risk. IFRS
7 now requires instruments measured at fair value to be disclosed by the source of the inputs in
determining fair value, using three level hierarchy. Disclosures also require a full reconciliation of Level 3
instruments and transfers between Level 1 and Level 2. The minimum liquidity risk disclosures of IFRS 7
have also been amended.
-IFRS 8 Operating Segments

IFRS 8 replaces IAS 14 Segment Reporting and adopts a full management approach to identifying,
measuring and disclosing the results of its operating segments. The information reported is that which the
chief operating decision maker uses internally for evaluating the performance of operating segments and
allocating resources to those segments. When the information provided to management is recognized or
measured on a different basis to IFRS information presented in the primary financial statements, entities
need to provide explanations and reconciliations of the differences. The Group decided that operational
segments determined in accordance with IFRS 8 and IAS 14 are identical. Since the contents of
managerial reports and consolidated financial statements are consistent, the reconciliation of the
consolidated balance sheet and consolidated income statements with segment reporting footnote is not
required.
-IAS 1 Presentation of Financial Statements (Revised)

The revised standard separates owner and non-owner changes in equity. The statement of changes in
equity includes only details of transactions with owners, defined as 'holders of instruments classified as
equity'. All non-owner changes are presented in equity as a single line, with details included in a separate
statement, statement of comprehensive income
The introduction of a new statement of comprehensive income that combines all items of income and
expense recognized in profit or loss together with 'other comprehensive income'. Entities may choose to
present all items in one statement, or to present two linked statements, a separate income statement and
a statement of comprehensive income. The Group presented the consolidated income statement and the
statement of consolidated comprehensive income separately.
(14)

December 31, 2010
 IAS 23 Borrowing Costs (Revised)

The revised Standard eliminates the option of expensing all borrowing costs and requires borrowing
costs to be capitalized if they are directly attributable to the acquisition, construction or production of
qualifying asset. The interpretation had no impact on the financial performance of the Group.
- IAS 32 Financial Instruments: Presentation and IAS 1 Presentation of Financial Statements- Puttable
Financial Instruments and Obligations Arising on Liquidation (Amendments)
This amendment will permit a range of entities to recognize their capital as equity rather than as financial
liabilities, as currently required by IAS 32. IAS 1 has been amended to require the additional disclosures
if an entity has a puttable instrument that is presented as equity. The interpretation had no impact on the
IFRS 9 and IAS 39 Financial Instruments: Recognition and Measurement - Embedded Derivatives
(Amendments)
The changes to IFRS 9 are:

 An entity must assess whether an embedded derivative must be separated from a host
contract when the entity reclassifies a hybrid financial asset out of the fair value through profit
or loss category.
 The assessment must be made on the basis of the circumstances that existed on the later of:
a) The date when the entity first became a party to the contract, and
b) The date of a change in the terms of the contract that significantly modifies the cash flows that
otherwise would have been required under the contract.
The interpretation had no impact on the financial performance of the Group.
-IFRIC 13 Customer Loyalty Programmes

The interpretation requires loyalty award credits granted to customers in connection with a sales
transaction to be accounted for as a separate component of the sales transaction. The amount allocated
to the loyalty award credits is determined by reference to their fair value and is deferred until the awards
are redeemed or the liability is otherwise extinguished. The interpretation had no impact on the financial
performance of the Group.
-IFRIC 15 Agreements for the Construction of Real Estate

IFRIC 15 provides guidance on how to determine whether an agreement for the construction of real
estate is within the scope of IAS 11 Construction Contracts or IAS 18 Revenue and, accordingly, when
revenue from the construction should be recognised. The interpretation had no impact on ongoing
projects and financial performance of the Group.
IFRIC 16 Hedges of a Net Investment in a Foreign Operation

IFRIC 16 concludes that the presentation currency does not create an exposure to which an entity may
apply hedge accounting. Consequently, a parent entity may designate as a hedged risk only the foreign
exchange differences arising from a difference between its own functional currency and that of its foreign
operation. The hedging instrument(s) may be held by any entity or entities within the Group. The
(15)

December 31, 2010
-IFRIC 18 Transfers of Assets from Customers

This interpretation provides guidance on how to account for items of property, plant and equipment
received from customers or cash that is received and used to acquire or construct specific assets. The
The Improvements to IFRS project is an annual process that the IASB has adopted to deal with non-
urgent but necessary amendments to IFRS. In the first omnibus edition, 34 amendments are dealt with by
the Board. It is effective for periods beginning on or after January 1, 2009, and transitional provisions
vary for each amendment.
Among those, effective from January 1, 2009, with the annual improvement made to IAS 40 the scope
(and the scope of IAS 16 Property, Plant and Equipment) was revised to include property that is being
constructed or developed for future use as an investment property. Where an entity is unable to
determine the fair value of an investment property under construction, but expects to be able to
determine its fair value on completion, the investment under construction will be measured at cost until
fair value can be determined or construction is complete. As of January 1, 2009, the Group has
transferred the property that is being constructed or developed for future use as investment property
(Note 16).
The other amendments did not have any effect on the financial position or performance of the Group.
Improvements to International Financial Reporting Standards (issued April 2009)
Other than the amendment made to IAS 18 effective for December 2009 year-end as described above,
the second omnibus edition issued in April 2009 made 14 amendments to 11 standards. Transitional
provisions vary for each amendment however most of them become effective for periods beginning on or
after January 1, 2010. The Management expects that these interpretations will have no impact on the
Standards and interpretations that are issued but not yet effective
Up to the date of approval of the consolidated financial statements, certain new standards, interpretations
and amendments to existing standards have been published but are not yet effective for the current
reporting period and which the Group has not early adopted, as follows. The Group will make the
necessary changes if not indicated otherwise, which will be affecting the consolidated financial
statements and disclosures, after the new standards and interpretations become in effect.
New and Amended Standards and interpretations applicable to December 2010 Year-end
Only the improvements effective for December 20010year-ends are noted in the analysis in this section.
The second omnibus edition is issued in April 2009 and 15 amendments to 12 standards are dealt with
by the Board. Transitional provisions vary for each amendment and the earliest application date is July 1,
2009. The Management states that these interpretations had no impact on the financial performance of
the Group.
(16)

December 31, 2010
Standards amended by IASB are as follows:

 IFRS 2: Scope of IFRS 2 and revised IFRS 3
 IFRS 5: Disclosures of non-current assets (or disposal groups) classified as held for sale or
discontinued operations
 IFRS 8: Disclosure of information about segment assets
 IAS 1: Current/non-current classification of convertible instruments
 IAS 7: Classification of expenditures on unrecognized assets
 IAS 17: Classification of leases of land and buildings
 IAS 36: Unit of accounting for goodwill impairment test
 IAS 38: Additional consequential amendments arising from revised IFRS 3
 lAS 38: Measuring the fair value of an intangible asset acquired in a business combination
 IAS 39: Treating loan prepayment penalties as closely related embedded derivatives
 IAS 39: Scope exemption for business combination contracts
 IAS 39: Cash flow hedge accounting
 IFRIC 9: Scope of IFRIC 9 and revised IFRS 3
 IFRIC 16: Amendment to the restriction on the entity the entity that can hold hedging instruments
- Amendments to IFRS 2 'Group cash settled share based Payment Transactions'
For group reporting and consolidated financial statements, the amendment clarifies that if an entity
receives goods or services that are cash settled by shareholders not within the group, they are outside
the scope of IFRS 2. Management will need to consider any such past transactions. The amendment
may have a significant effect on the cost recognized in separate financial statements of an entity that has
material share-based payment awards that have not previously been accounted for in accordance with
IFRS 2. This may have a potential tax accounting impact on all parties involved. This amendment is
applied retrospectively, in accordance with IAS 8 Accounting Policies, Changes in Accounting Estimates
and Errors in respect of changes in accounting policy. Earlier application is permitted and must be
disclosed. The interpretation will have no impact on the financial performance of the Group.
- IFRS 3, "Business Combinations" (Revised) and IAS 27, "Consolidated and Separate Financial
Statements" (Amended)
The revised IFRS 3 introduces a number of changes in the accounting for business combinations which
will impact the amount of goodwill recognized, the reported results in the period that an acquisition
occurs, and future reported results. Such changes include the expensing of acquisition related costs and
recognizing subsequent changes in fair value of contingent consideration in the profit or loss (rather than
by adjusting goodwill). The amended IAS 27 requires that a change in ownership interest of a subsidiary
is accounted for as an equity transaction. Therefore such a change will have no impact on goodwill, nor
will it give raise to a gain or loss. Furthermore the amended standard changes the accounting for losses
incurred by the subsidiary as well as the loss of control of a subsidiary.
The changes introduced by IFRS 3 (Revised) and IAS 27 (Amendment) will be applied prospectively and
will affect future acquisitions and transactions with minority interests. The Group has made the necessary
changes in its accounting policies beginning from 2010.
(17)

December 31, 2010
 IAS 39 Financial Instruments: Recognition and Measurement - Eligible Hedged Items
These amendments to IAS 39 were issued in August 2008 and become effective for financial years
beginning on or after July 1, 2009. The amendment addresses the designation of a one-sided risk in a
hedged item, and the designation of inflation as a hedged risk or portion in particular situations. It clarifies
that an entity is permitted to designate a portion of the fair value changes or cash flow variability of a
financial instrument as hedged item. The interpretation will have no impact on the financial performance
of the Group.
- IFRIC 17 Distributions of Non-cash Assets to Owners (effective for annual periods beginning on or after
July 1, 2009)
The Interpretation applies to all non-reciprocal distributions of non-cash assets, including those giving the
shareholders a choice of receiving non-cash assets or cash. This interpretation is to be applied
prospectively. The interpretation will have no impact on the financial performance of the Group.
New and amended standards and interpretations issued that are effective subsequent to
December 2010 year-ends
 IFRS 9 Financial Instruments (Effective for periods beginning on or after 1 January 2013)
Phase I of IFRS 9, the new accounting standard that will eventually replace IAS 39, issued in November
2009, establishes a new classification and measurement framework for financial assets. The new
standard uses a single approach to determine whether a financial asset is measured at amortized cost or
fair value, replacing the many different rules in IAS 39. The approach in IFRS 9 is based on how an entity
manages its financial instruments (its business model) and the contractual cash flow characteristics of
the financial assets. The standard will be applied retrospectively with certain transition provisions. IFRS 9
is not expected to have a significant impact on the consolidated financial statements of the Group.
 IAS 24 Related Party Disclosures (Revised) (Effective for periods beginning on or after 1 January
2011)
The main changes to IAS 24 are a partial exemption from the disclosure requirements for transactions
between a government-controlled reporting entity and that government or other entities controlled by that
government and amendments to the definition of a related party. The Group expects that this
interpretation will have no impact on the Group's consolidated financial statements.
- IAS 32 Classification of Rights Issues (Amendment) (Effective for periods beginning on or after 1
February 2010)
The amendment to IAS 32 addresses the accounting for rights issues that are denominated in a currency
other than the functional currency of the issuer. The amendment applies on a retrospective basis. The
interpretation is expected to have no impact on the financial performance of the Group.
 IFRIC 14 Prepayments of a Minimum Funding Requirement (Amendment) (Effective for periods

beginning on or after 1 January 2011)
Without the amendments, in some circumstances entities are not permitted to recognize as an asset
some voluntary prepayments for minimum funding contributions. This was not intended when IFRIC 14
was issued, and the amendments correct the problem. This interpretation is not relevant to the Group.
(18)

December 31, 2010
- IFRIC 19 Extinguishing Financial Liabilities with Equity Instruments (Effective for periods beginning on
or after 1 July 2010)
IFRIC 19 addresses only the accounting by the entity that issues equity instruments in order to settle, in
full or in part, a financial liability. It does not address the accounting by the creditor (lender). The
interpretation is not expected to have an impact on the financial performance of the Group.
2.3 Significant accounting judgments, estimates and assumptions
The preparation of the consolidated financial statements in accordance with IFRS requires management
to make estimates and assumptions that are reflected in the measurement of income and expense in the
consolidated profit and loss statement and in the carrying value of assets and liabilities in the
consolidated balance sheet, and in the disclosure of information in the notes to the consolidated financial
statements. Managements do exercise judgment and make use of information available at the date of the
preparation of the consolidated financial statements in making these estimates. The actual future results
from operations in respect of the areas where these judgments and estimates have been made may in
reality be different than those estimates. This may have a material effect on the consolidated financial
statements.
The key assumptions concerning the future and other key resources of estimation at the consolidated
balance sheet date, that have a significant risk of causing a material adjustment to the carrying amounts
of assets and liabilities within the next financial year and the significant judgments (apart from those
involving estimations) with the most significant effect on amounts recognized in the consolidated financial
statements are as follows:
a) Determination of total estimated project costs, profitability and calculation of loss accruals under
the scope of IAS 11 "Construction Contracts".
b) Market valuations of investment properties under the scope of IAS 40 "Investment Property" and
land and buildings under the scope of IAS 16 "property, plant and equipment".
c) Estimation of impairment losses on financial assets and trade receivables.
d) Deferred tax assets are recognized for all unused tax losses to the extent that it is probable that
taxable profit will be available against which the losses can be utilized. Significant management
judgment is required to determine the amount of deferred tax assets that can be recognized based
upon the likely timing and the level of future taxable profits together with future tax planning
strategies.
e) The Group management has made significant assumptions for determining the economic lives of
tangible and intangible assets with the guidance of experienced technical staff.
(19)

December 31, 2010
2.3 Significant accounting judgments, estimates and assumptions (continued)
f) In accordance with the determined accounting policies, the Group reviews carrying amount of
goodwill for impairment annually, or more frequently in cases where the circumstances indicate
impairment. As of December 31, 2009, the Group tested impairment of carrying amount of goodwill
by comparing the recoverable amount which is determined by value in use calculations. These
calculations are based on projected before-tax cash flows based on financial budgets/forecasts
approved by the Board of Directors. Expected growth rates are used to discount projected cash
flows for periods greater than five years. Operating market growth rates, per capita gross domestic
product and pricing information such as indices, have been acquired from outside sources.
Estimations related to parameters such as selling prices, working capital requirements and fixed
assets investments are based on Group's predictions and previous period realizations.
The significant judgments, apart from estimates, with most significant effect on amounts recognized in
the consolidated financial statements are as follows:
a) The determination of impairment in financial assets available for sale.
b) The determination of goodwill associated with the disposal of the assets.
2.4 Summary of significant accounting policies
Interest in a joint venture

The Group has interests in joint ventures which are jointly controlled entities. A joint venture is a
contractual arrangement whereby two or more parties undertake an economic activity that is subject to
joint control. A jointly controlled entity is a joint venture that involves the establishment of a corporation,
partnership or other entity in which each venturer has an interest. The entity operates in the same way as
other entities, except that a contractual arrangement between the venturers establishes joint control over
the economic activity of the entity. The Group recognizes its interest in the joint venture using
proportionate consolidation.
When recognizing an interest in a jointly controlled entity, the Group reflects the substance and economic
reality of the arrangement, rather than the joint venture's particular structure or form. In a jointly controlled
entity, a venturer has control over its share of future economic benefits through its share of the assets
and liabilities of the venture. This substance and economic reality are reflected in the consolidated
financial statements of the Group when the Group recognizes its interests in the assets, liabilities, income
and expenses of the jointly controlled entity by using one of the two reporting formats specified in IAS 31
for proportionate consolidation.
The financial statements of the joint ventures are prepared for the same reporting year as the parent
company, using consistent accounting policies. Adjustments are made to bring into line any dissimilar
accounting policies that may exist.
When the Group contributes or sells assets to the joint venture, any portion of gain or loss from the
transaction is recognized based on the substance of the transaction. When the Group purchases assets
from the joint venture, the Group does not recognize its share of the profits of the joint venture from the
transaction until it resells the assets to an independent party. The joint venture is proportionately
consolidated until the date on which the Group ceases to have joint control over the joint venture.
(20)

December 31, 2010
2.4 Summary of significant accounting policies (continued)
Business combinations and goodwill

Goodwill acquired in a business combination is initially measured at cost being the excess of the cost of
the business combination over the Group's interest in the net fair value of the acquiree's identifiable
assets, liabilities and contingent liabilities. Following the initial recognition, goodwill is measured at cost
less any accumulated impairment losses. Any goodwill arising on the acquisition of a foreign operation
and any fair value adjustments to the carrying amounts of assets and liabilities arising on the acquisition
are treated as assets and liabilities of the foreign operation and translated at the closing rate. For the
purpose of impairment testing, goodwill acquired in a business combination is, from the acquisition date,
allocated to each of the Group's cash generating units, or groups of cash generating units, that are
expected to benefit from the synergies of the combination, irrespective of whether other assets or
liabilities of the Group are assigned to those units or groups of units. Each unit or group of units to which
the goodwill is allocated:
 represents the lowest level within the Group at which the goodwill is monitored for internal
management purposes; and
 is not larger than a segment based on the Group's reporting format determined in accordance
with IFRS 8 Operating Segments.
Where goodwill forms part of a cash-generating unit (group of cash generating units) and part of the
operation within that unit is disposed of, the goodwill associated with the operation disposed of is
included in the carrying amount of the operation when determining the gain or loss on disposal of the
operation. Goodwill disposed of in this circumstance is measured based on the relative values of the
operation disposed of and the portion of the cash-generating unit retained.
When subsidiaries are sold, the difference between the selling price and the net assets plus cumulative
translation differences and unamortized goodwill is recognized in the consolidated income statement.
Purchase and sale of shares from minorities
Acquisitions of minority interests in the subsidiaries are accounted for using the parent entity extension
method, whereby, the difference between the consideration and the book value of the share of the net
assets acquired is recognized as goodwill. When the shares of subsidiaries are sold to the minorities
without loss of control, the difference between the sales amount and the Group's share in the carrying
amount of net assets of the subsidiaries is recognized as gain or loss in the consolidated income
statement.
(21)

December 31, 2010
Investments in associates
The Group's investments in associates are accounted for under the equity method of accounting. An
associate is an entity in which the Group has significant influence and which is neither a subsidiary nor a
joint venture.
The investments in associates are carried on the consolidated balance sheet at cost plus post-acquisition
changes in the Group's share of net assets of the associates. Goodwill relating to an associate is
included in the carrying amount of the investment and is not amortized. The consolidated income
statement reflects the Group's share of the results of operations of the associates. When there is a
change recognized directly in the equity of an associate, the Group recognizes its share of any changes
and discloses this when applicable, in the consolidated statement of changes in equity. Profits and losses
resulting from the transactions between the Group and the associate are eliminated to the extent of the
interest in the associate.
If the Group's share of losses of an associate equals or exceeds its interest in the associate, the investor
discontinues recognizing its share of further losses. After the interest in an associate is reduced to zero,
additional losses are provided for, and a liability is recognized, only to the extent that the Group has
incurred legal or constructive obligations or made payments on behalf of the associate. If the associate
subsequently reports profits, the Group resumes recognizing its share of those profits only after its share
of the profits equals the share of losses not recognized.
The reporting dates of the associates and the Group are identical and the associates' accounting policies
conform to those of the Group for like transactions and events in similar circumstances.
Cash and cash equivalents

Cash and cash equivalents in the consolidated balance sheet comprise cash at banks and in hand and
other short-term deposits having maturity over three months and less than one year, including short term
deposits blocked in bank accounts as collateral for short term bank borrowings.
Cash flow
For the purpose of the consolidated cash flow statement, cash and cash equivalents consist of cash and
cash equivalents as defined above, excluding short term deposits with an original maturity of more than
three months and deposits blocked in bank accounts as collateral. Cash and cash equivalents are
presented with their acquisition costs and interest accruals.
(22)

December 31, 2010
Inventories
Inventories are valued at the lower of cost or net realizable value. Costs incurred in bringing each product
to its present location and condition, are accounted for as follows:
 Raw materials, spare parts, merchandise and construction materials - purchase cost on moving
weighted average basis.
 Goods for resale - purchase cost on moving weighted average basis.
 Finished goods - cost of direct materials and labor and a proportion of manufacturing overheads
based on moving weighted average basis.
The Group also provides an allowance for the slow moving and obsolete items.
Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs
of completion and the estimated costs necessary to make the sale.
Investments and other financial assets
Initial recognition
Financial assets in the scope of IAS 39 are classified as both loans and receivables and available-for-
sale financial assets, as appropriate. When financial assets are recognized initially, they are measured at
fair value, plus, directly attributable transaction costs. The Group considers whether a contract contains
an embedded derivative when the entity first becomes a party to it.
The Group determines the classification of its financial assets at initial recognition and, where allowed
and appropriate, re-evaluates this designation at each financial year-end.
All regular way purchases and sales of financial assets are recognized on the trade date. Regular way
purchases or sales are purchases or sales of financial assets that require delivery of assets within the
period generally established by regulation or convention in the marketplace.
Subsequent measurement
The subsequent measurement of financial assets depends on their classification as follows:
Receivables
Receivables are non-derivative financial assets with fixed or determinable payments that are not quoted
in an active market. Such assets are carried at amortized cost using the effective interest method. Gains
and losses are recognized in income when the receivables are derecognized or impaired, as well as
Post-dated checks and notes dominated in TL are discounted with the rates mentioned in contracts, and
if rates are not disclosed in the contracts, 12% or 16% discount rate is used.
Trade receivables denominated in currencies other than TL are discounted with the contractual interest
rates, if the effects are material. If such rates are not available, the related Libor and Euribor rates are
used.
(23)

December 31, 2010

Available-for-sale financial assets are those non-derivative financial assets that are designated as
available-for sale or are not classified as loans and receivables, held to maturity or financial asset at fair
value through profit and loss. After initial recognition available-for sale financial assets are measured at
fair value with gains or losses being recognized as a separate component of equity until the investment is
derecognized or until the investment is determined to be impaired at which time the cumulative gain or
loss previously reported in equity is included in the consolidated income statement. The fair value of
investments that are actively traded in organized financial markets is determined by reference to quoted
market bid prices at the close of business on the consolidated balance sheet date.
The investments in equity instruments where there is no active market are carried at cost since their fair
value could not be measured reliably and other methods of reasonably estimating fair value are
inappropriate and unworkable.
Derecognition of financial assets and liabilities
Financial assets
A financial asset is derecognized where:
 the rights to receive cash flows from the asset have expired;
 the Group retains the right to receive cash flows from the asset, but has assumed an obligation to
pay them in full without material delay to a third party under a 'pass-through' arrangement; or
 the Group has transferred its rights to receive cash flows from the asset and either (a) has
transferred substantially all the risks and rewards of the asset, or (b) has neither transferred nor
retained substantially all the risks and rewards of the asset, but has transferred control of the
asset.
When the Group has transferred its rights to receive cash flows from an asset and has neither transferred
nor retained substantially all the risks and rewards of the asset nor transferred control of the asset, the
asset is recognized to the extent of the Group's continuing involvement in the asset. Continuing
involvement that takes the form of a guarantee over the transferred asset is measured at the lower of the
original carrying amount of the asset and the maximum amount of consideration that the Group could be
required to repay.
Where continuing involvement takes the form of a written and/or purchased option (including a cash-
settled option or similar provision) on the transferred asset, the extent of the Group's continuing
involvement is the amount of the transferred asset that the Group may repurchase, except that in the
case of a written put option (including a cash-settled option or similar provision) on an asset measured at
fair value, the extent of the Group's continuing involvement is limited to the lower of the fair value of the
transferred asset and the option exercise price.
(24)

December 31, 2010
Financial liabilities
A financial liability is derecognized when the obligation under the liability is discharged or cancelled or
expires.
When an existing financial liability is replaced by another from the same lender on substantially different
terms, or the terms of an existing liability are substantially modified, such an exchange or modification is
treated as a derecognition of the original liability and the recognition of a new liability, and the difference
in the respective carrying amounts is recognized in the income statement.
Impairment of financial assets

The Group assesses at each balance sheet date whether a financial asset or group of financial assets is
impaired.
Assets carried at amortized cost
If there is objective evidence that an impairment loss on receivables carried at amortized cost has been
incurred, the amount of the loss is measured as the difference between the asset's carrying amount and
the present value of estimated future cash flows (excluding future credit losses that have not been
incurred) discounted at the financial asset's original effective interest rate (i.e. the effective interest rate
computed at initial recognition). The carrying amount of the asset is reduced through use of an allowance
account. The amount of the loss is recognized in consolidated income statement.
The Group first assesses whether objective evidence of impairment exists individually for financial assets
that are individually significant, and individually or collectively for financial assets that are not individually
significant. If it is determined that no objective evidence of impairment exists for an individually assessed
financial asset, whether significant or not, the asset is included in a group of financial assets with similar
credit risk characteristics and that group of financial assets is collectively assessed for impairment.
Assets that are individually assessed for impairment and for which an impairment loss is or continues to
be recognized are not included in a collective assessment of impairment.
If, in a subsequent period, the amount of the impairment loss decreases and the decrease can be related
objectively to an event occurring after the impairment was recognized, the previously recognized
impairment loss is reversed. Any subsequent reversal of an impairment loss is recognized in the income
statement, to the extent that the carrying value of the asset does not exceed its amortized cost at the
reversal date.
In relation to trade receivables, a provision for impairment is made when there is objective evidence
(such as the probability of insolvency or significant financial difficulties of the debtor) that the Group will
not be able to collect all of the amounts due under the original terms of the invoice. The carrying amount
of the receivable is reduced through use of an allowance account. Impaired debts are derecognized
when they are assessed as uncollectible.
Assets carried at cost
If there is objective evidence that an impairment loss on an unquoted equity instrument that is not carried
at fair value because its fair value cannot be reliably measured, or on a derivative asset that is linked to
and must be settled by delivery of such an unquoted equity instrument has been incurred, the amount of
the loss is measured as the difference between the asset's carrying amount and the present value of
estimated future cash flows discounted at the current market rate of return for a similar financial asset.
(25)

December 31, 2010

A significant or prolonged decline in the fair value of an investment in an equity instrument below its cost
is also objective evidence of impairment. The Group defines the "significant decline" as 'more than WA',
and "prolonged decline" as 'more than a year' decline in the value of the equity securities below its
purchase costs. If an available-for-sale asset is impaired, an amount comprising the difference between
its cost (net of any principal payment and amortization) and its current fair value, less any impairment
loss previously recognized in income statement, is transferred from equity to the income statement. In the
case of debt instruments classified as available for sale, the impairment is assessed based on the same
criteria as financial assets carried at amortized cost. Reversals in respect of equity instruments classified
as available-for-sale are not recognized in profit. Reversals of impairment losses on debt instruments are
reversed through income statement, if the increase in fair value of the instrument can be objectively
related to an event occurring after the impairment loss was recognized in the consolidated income
statement.
Derivative financial instruments and hedging
The Group uses derivative financial instruments such as forward currency purchase and sale contracts
and also interest rate cap transactions, to hedge its risks associated with foreign currency and interest
rate fluctuations. Such derivative financial instruments are initially recognized at fair value on the date on
which a derivative contract is entered into and are subsequently re-measured at fair value. Derivatives
are carried as assets when the fair value is positive and as liabilities when the fair value is negative. Any
gains or losses arising from changes in fair value on derivatives that do not qualify for hedge accounting
are taken directly to the consolidated income statement. The fair value of forward currency contracts is
calculated by reference to current forward exchange rates for contracts with similar maturity profiles. The
fair value of interest rate cap contracts is determined based on quoted market prices in active markets.
For the purpose of hedge accounting, hedges are classified as cash flow hedges when hedging exposure
to variability in cash flows that is attributable to a particular risk associated with a recognized asset or
liability. At the inception of a hedge relationship, the Group formally designates and documents the hedge
relationship to which the Group wishes to apply hedge accounting and the risk management objective
and strategy for undertaking the hedge. The documentation includes identification of the hedging
instrument, the hedged item or transaction, the nature of the risk being hedged and how the entity will
assess the hedging instrument's effectiveness in offsetting the exposure to changes in the hedged item's
fair value or cash flows attributable to the hedged risk. Such hedges are expected to be highly effective in
achieving offsetting changes in cash flows and are assessed on an ongoing basis to determine that they
actually have been highly effective throughout the financial reporting periods for which they were
designated.
Hedges which meet the strict criteria for hedge accounting are accounted for as follows:
Cash flow hedges

Cash flow hedges are a hedge of the exposure to variability in cash flows that is attributable to a
particular risk associated with a recognized asset or liability and could affect income statement. The
Power Companies have borrowings with variable interest rates and the Group uses interest rate caps to
hedge the exposure to variability in cash flows due to the change in interest rates. The effective portion of
the gain or loss on the hedging instrument is recognized directly in equity, while the ineffective portion is
recognized in income statement.
(26)

December 31, 2010
Amounts taken to equity are transferred to the income statement when the hedged transaction affects
income statement.
The Group has classified these cash flow hedge derivative assets under "Other Non-current Assets" and
classified the fair value changes in these instruments directly in equity under "Other Reserves" as net
gain/loss on cash flow hedges.
With the exception of land and buildings, items of property, plant and equipment are stated at cost less
accumulated depreciation and any accumulated impairment in value. Land is not depreciated. The initial
cost of property, plant and equipment comprises its purchase price, including import duties and non-
refundable purchase taxes and any directly attributable costs of bringing the asset to its working condition
and location for its intended use. Land and buildings are carried at revalued amounts, which is the fair
value at the date of the valuation less accumulated depreciation and impairment losses charged
subsequent to the date of the revaluation. Valuations are performed frequently enough to ensure that the
fair value of a revalued asset does not differ materially from its carrying amount.
Repairs and maintenance are charged to the statements of income during the financial period in which
they are incurred. The costs of major renovations are included in the carrying amount of the asset when it
is probable that future economic benefits in excess of the originally assessed standard of performance of
the existing asset will flow to the Group.
Depreciation is provided on all property, plant and equipment using the straight-line method at rates
which approximate estimated useful lives of the related assets as follows:
Land improvements 5-50 years
Buildings and barracks 10-50 years
Power plant equipment 35 years
Pipelines 16 years
Electrical interconnection lines 16 years
Machinery and equipment 4-10 years
Motor vehicles 3-10 years
Furniture and fixtures 5-10 years
Scaffolding and formworks 5 years
Aircrafts 10-15 years
Others 5-10 years
Any revaluation surplus is credited to the asset revaluation reserve net of deferred tax included in equity,
except to the extent that it reverses a revaluation decrease of the same asset previously recognized in
income statement, in which case the increase is recognized in income statement. A revaluation deficit is
recognized in income statement, except that a deficit directly offsetting a previous surplus on the same
asset is directly offset against the surplus in the asset revaluation reserve.
(27)

December 31, 2010
An annual transfer from the asset revaluation reserve to retained earnings is made for the difference
between depreciation based on the revalued carrying amount of the assets and depreciation based on
the assets original cost. Additionally, accumulated depreciation as at the revaluation date is eliminated
against the gross carrying amount of the asset and the net amount is restated to the revalued amount of
the asset.
Power plant equipment is recorded at its original cost of construction. Significant additions or
improvements are capitalized when they extend the life, improve the efficiency or increase the earnings
capacity of the asset. Expenditures for maintenance, repairs and minor renewals to maintain facilities in
operating condition are expensed as incurred.
The asset's residual values, useful lives and methods are reviewed, and adjusted if appropriate, at each
financial year end.
An item of property, plant and equipment is derecognized upon disposal or when no future economic
benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset
(calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is
included in the income statement in the year the asset is derecognized.
When assets are sold or otherwise disposed of, the costs and the related accumulated depreciation are
removed from the accounts and resulting gain or loss is reflected in the net income. Upon the disposal of
the revalued asset, the relevant portion of the revaluation surplus realized in respect of previous valuation
is released from the revaluation surplus directly to retained earnings.
Intangible assets
Intangible assets mainly includes software rights, they are initially recognized at acquisition cost that are
amortized over 2 to 5 years on straight-line basis.
Gains or losses arising from derecognition of an intangible asset are measured as the difference between
the net disposal proceeds and the carrying amount of the asset and are recognized in the income
statement when the asset is derecognized.
Non-current assets held for sale
The Group classifies a non-current asset (or disposal group) as held for sale if its carrying amount will be
recovered principally through a sale transaction rather than through continuing use. For this to be the
case, the asset (or disposal group) must be available for immediate sale in its present condition subject
only to terms that are usual and customary for sales of such assets (or disposal groups) and its sale must
be highly probable.
For the sale to be highly probable, the appropriate level of management must be committed to a plan to
sell the asset (or disposal group), and an active programme to locate a buyer and complete the plan must
have been initiated. Further, the asset (or disposal group) must be actively marketed for sale at a price
that is reasonable in relation to its current fair value. In addition, the sale should be expected to qualify for
recognition as a completed sale within one year from the date of classification, and actions required to
complete the plan should indicate that it is unlikely that significant changes to the plan will be made or
that the plan will be withdrawn.
The Group measures a non-current asset (or disposal group) classified as held for sale at the lower of its
carrying amount and fair value less costs to sell, and depreciation on such assets are ceased.
(28)

December 31, 2010
Investment properties
Land and buildings that are held in the production of supply of goods or services of for administrative
purposes or for long term rental yields or for capital appreciation or both rather than for the sale in the
ordinary course of business are classified as "investment property".
Investment properties are measured initially at cost, including transaction costs. The carrying amount
includes the cost of replacing part of an existing investment property at the time that cost is incurred if the
recognition criteria are met and excludes the costs of day-to-day servicing of an investment property.
Subsequent to initial recognition, investment properties are stated at fair value, which reflects market
conditions at the balance sheet date. Gains or losses arising from changes in the fair values of
investment properties are included in the income statement in the year in which they arise.
Investment properties are derecognized when either they have been disposed of or when the investment
property is permanently withdrawn from use and no future economic benefit is expected from its disposal.
Any gains or losses on the retirement or disposal of an investment property are recognized in the
consolidated income statement in the year of retirement or disposal.
Transfers are made to investment property when, and only when, there is a change in use, evidenced by
ending of owner-occupation, commencement of an operating lease to another party or ending of
construction or development. Transfers are made from investment property when, and only when, there
is a change in use, evidenced by commencement of owner-occupation or commencement of
development with a view to sale.
For a transfer from investment property to owner-occupied property or inventories, the deemed cost of
property for subsequent accounting is its fair value at the date of change in use. If the property occupied
by the Group as an owner-occupied property becomes an investment property, the Group accounts for
such property in accordance with the policy stated under property, plant and equipment up to the date of
change in use. For a transfer from inventories to investment property, any difference between the fair
value of the property at that date and its previous carrying amount is recognized in consolidated income
statement. When the Group completes the construction or development of a self-constructed investment
property, any difference between the fair value of the property at that date and its previous carrying
amount is recognized in income statement.
Investment property also includes long-term leasehold land held under an operating lease, which is
accounted for as a finance lease in accordance with IAS 40 "Investment Property" and IAS 17 "Leases".
Each lease payment on the long-term leasehold land is allocated between the liability and finance
charges so as to achieve a constant rate on the finance balance outstanding. The corresponding rental
obligations, net of finance charges, are included in current and non-current lease liability on leasehold
land. The interest element of the finance cost is charged to income statement over the lease period so as
to produce a constant periodic rate of interest on the remaining balance of the liability for each period.
(29)

December 31, 2010
Impairment of non-financial assets

The carrying values of non-financial assets, other than goodwill which is reviewed for impairment at least
annually, are reviewed for impairment when events or changes in circumstances indicate that the
carrying amount of an asset may not be recoverable. Whenever the carrying amount of an asset exceeds
its recoverable amount, an impairment loss is recognized in the consolidated income statement for items
carried at cost and treated as a revaluation decrease for items carried at revalued amount to the extent
that impairment loss does not exceed the amount held in the revaluation surplus. The recoverable
amount of property, plant and equipment is the greater of net selling price and value in use. The net
selling price is the amount obtainable from the sale of an asset in an arm's length transaction while value
in use is the present value of estimated future cash flows expected to arise from the continuing use of an
asset and from its disposal at the end of its useful life. Recoverable amounts are estimated for individual
assets or, if it is not possible, for the cash-generating unit.
Reversal of impairment losses recognized in prior years is recorded when there is an indication that the
impairment losses recognized for the assets no longer exist or has decreased. The reversal is recognized
in income statement unless the asset is carried at revalued amount, in which case the reversal is treated
as a revaluation increase.
Employee termination benefits
The Group has both defined benefit and defined contribution plans as described below:
(a) Defined benefit plans
In accordance with existing social legislation in Turkey, the Company and its subsidiaries in Turkey are
required to make lump-sum termination indemnities to each employee who has completed one year of
service and whose employment is terminated due to retirement or for reasons other than resignation
or misconduct.
These benefits are unfounded. The cost of providing benefits under the defined benefit plans is
determined separately for each plan using the projected unit credit actuarial valuation method. All
actuarial gains and losses are recognized in the income statement.
Personnel working in branches operating in foreign countries and joint-ventures do not have any
employee termination benefit as there is no legal obligation in these countries.
(b) Defined contribution plans
The Company and its subsidiaries in Turkey pay contributions to publicly administered Social Security
Fund on a mandatory basis. The Group has no further payment obligations once the contributions have
been paid. The contributions are recognized as employee benefit expense when they are due.
Foreign subsidiaries and joint ventures contribute to the related government body for the pension scheme
of its employees in the country they are domiciled. Mandatory contributions to the governmental pension
scheme are expensed when incurred.
(30)

December 31, 2010
Provisions
Provisions are recognized when the Group has a present legal or constructive obligation as a result of
past events, and it is probable that an outflow of resources will be required to settle the obligation, and a
reliable estimate of the amount can be made. The expense relating to any provision is presented in the
income statement net of any reimbursement. If the effect of the time value of money is material,
provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects
current market assessments of the time value of money and, where appropriate, the risks specific to the
liability. Where discounting is used, the increase in the provision due to the passage of time is recognized
as an interest expense.
Leases
The determination of whether an arrangement is, or contains a lease based on the substance of the
arrangement at inception date of whether fulfillment of the arrangement is dependent on the use of a
specific asset or assets or the arrangement conveys a right to use the asset. A reassessment is made
after inception of the lease only if one of the following applies:
a) There is a change in contractual terms, other than a renewal or extension of the arrangement;
b) A renewal option is exercised or extension granted, unless the term of the renewal or extension
was initially included in the lease term;
c) There is a change in the determination of whether fulfillment is dependent on a specified asset;
or
d) There is a substantial change to the asset.
Where a reassessment is made, lease accounting shall commence or cease from the date when the
change in circumstances gave rise to the reassessment for scenarios a), c) or d) and at the date of
renewal or extension period for scenario b).
(a) The Group as lessee
Finance leases
Finance leases, which transfer to the Group substantially all the risks and benefits incidental to ownership
of the leased item, are capitalized at the inception of the lease at the fair value of the leased property or,
if lower, at the present value of the minimum lease payments. Lease payments are apportioned between
the finance charges and reduction of the lease liability so as to achieve a constant rate of interest on the
remaining balance of the liability. Finance charges are charged directly against income statement.
Leased assets are depreciated over the useful life of the asset. However, if there is no reasonably
certainty that the Group will obtain ownership by the end of the lease term, capitalized leased assets are
depreciated over the shorter of the estimated useful life of the asset and the lease term.
(31)

December 31, 2010
Operating lease
Leases of assets under which substantially all the risks and rewards of ownership are effectively retained
by the lessor, are classified as operating leases, except long-term leasehold land classified as
investment property. Lease payments under an operating lease are recognized as an expense on a
straight-line basis over the lease term. The aggregate benefit of incentives provided by the lessor is
recognized as a reduction of rental expense over the lease term on a straight-line basis.
(b) The Group as lessor
Operating lease
The Group has entered into commercial and residential property leases on its investment property
portfolio. The Group has determined, based on an evaluation of the terms and conditions of the
arrangements, that it retains all the significant risks and rewards of ownership of these properties and so
accounts for the contracts as operating leases.
Lease income from operating leases is recognized in income statement on a straight-line basis over the
lease term. Costs, including depreciation, incurred in earning the lease income are recognized as an
expense. Initial direct costs incurred by the Group in negotiating and arranging an operating lease is
added to the carrying amount of the leased asset and recognized as an expense over the lease term on
the same basis as the lease income.
Interest bearing loans and borrowings

All borrowings are initially recognized at cost, being the fair value of the consideration received net of
issue costs associated with the borrowing.
After initial recognition, borrowings are subsequently measured at amortized cost using the effective
interest rate method. Amortized cost is calculated by taking into account any issue costs, and any
discount or premium on settlement.
Gains and losses are recognized in income statement when the liabilities are derecognized, as well as
Accounts payable
Liabilities for accounts payable are carried at amortized cost using the effective interest rate method.
Trade payables are discounted with the contractual interest rates, and if such rates are not disclosed in
the contracts, the related currency's Libor and Euribor rates are used.
Income tax
Tax expense / (income) is the aggregate amount included in the determination of net income statement
for the period in respect of current and deferred tax.
The Group is subject to income taxes in various jurisdictions. Where there are matters the final tax
outcome of which is different from the amounts initially recorded, such differences will impact the income
tax and deferred tax provisions in the period in which such determination is made.
(32)

December 31, 2010
Current tax
Current tax assets and liabilities for the current and prior periods are measured at the amount expected
to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the
amount are those that are enacted by the balance sheet date.
Current income tax relating to items recognized directly in equity is recognized in equity and not in the
income statement.
Deferred tax
Deferred income tax is provided, using the liability method, on all temporary differences at the balance
sheet date between the tax bases of assets and liabilities and their carrying amounts. Deferred income
tax liabilities are recognized for all taxable temporary differences.
Deferred income tax assets are recognized for all deductible temporary differences, carry-forward of
unused tax assets and unused tax losses, to the extent that it is probable that taxable profit will be
available against which the deductible temporary differences, carry-forward of unused tax assets and
unused tax losses can be utilized.
The carrying amount of deferred income tax assets is reviewed at each balance sheet date and reduced
to the extent that, in the management's judgment, it is no longer probable that sufficient taxable profit will
be available to allow all or part of the deferred income tax asset to be utilized. Unrecognized deferred
income tax assets are reassessed at each balance sheet date and are recognized to the extent it has
become probable that future taxable profit will allow the deferred tax asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the period
when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been
enacted or substantively enacted at the balance sheet dates.
Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off
current tax assets against current tax liabilities, and deferred taxes relate to the same taxable entity and
the same taxation authority. Deferred tax relating to items recognized directly in equity is recognized in
equity and not in the consolidated income statement.
Revenue and cost recognition
Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Group
and the revenue can be reliably measured. Revenues are stated net of discounts, returns and value
added taxes. The following specific recognition criteria must also be met before revenue is recognized:
(a) Construction contract activities

Contract revenue and costs are recognized as revenue and expenses, respectively, when the outcome of
a construction contract can be estimated reliably. The percentage of completion method is used to
recognize revenue on a contract as work progresses by matching contract revenue with contract costs
incurred based on the proportion of work completed which is determined by the ratio of actual costs
incurred through to the end of each reporting period divided by the total estimated contract costs of the
project.
(33)

December 31, 2010
Revenue arising from cost plus fee contracts is recognized on the basis of costs incurred plus a
percentage of the contract fee earned during the year.
Contracts to manage, supervise or coordinate the construction activity of others are recognized only to
the extent of the fee revenue.
Contract costs include all direct material and labor costs and those indirect costs related to contract
performance, such as indirect labor, supplies, tools, repairs and depreciation costs. Selling, general and
administrative expenses are charged to the consolidated income statement as incurred. Provisions for
estimated losses on uncompleted contracts are made in full, in the period in which such losses are
determined. Changes in job performance, job conditions and estimated profitability, including those
arising from contract penalty provisions and final contract settlements may result in revisions to costs and
income and are recognized in the period in which the revisions are determined. Profit incentives are
included in revenues when their realization is reasonably assured.
Costs and estimated earnings in excess of billings on uncompleted contracts represent revenues
recognized in excess of amounts billed. Billings in excess of costs and estimated earnings on
uncompleted contracts represent billings in excess of revenues recognized.
(b) Sale of goods

Revenue is recognized when significant risks and rewards of ownership of the goods have been
transferred to the buyer.
(c) Rental income

Rental income arising on investment properties is accounted for on a straight-line basis over the lease
terms on ongoing leases. Rental income collected in advance is treated as deferred income and is
amortized on a monthly basis during the lease period.
(d) Rendering of services

Revenue is recognized by reference to the stage of completion.
(34)
METALEX
ENGINEERING
&
DESIGN GROUP
METALEX ENGINEERING &
DESIGN GROUP,
KIRKPINAR SOK. 10/13 06690
ÇANKAYA ANKARA / TURKEY
Phone : + 90 312 440 45 80
Fax : + 90 312 440 46 61
e-mail : yurdayar@metaleks.com.tr
METALEX ENGINEERING & DESIGN GROUP
 Founded in 1996
 More than 120 Industrial Projects
 250.000 Man – Hour Office Work
 32.000 Man – Hour Site Technical Office Work
Fields of Activity
 ENGINEERING & CONSULTING
 Engineering
 Petro – Chemical Plants
 Refineries
 Thermal Power Plants
 N. G. Power Plants
 Pipelines
 Pump & Comp. Stations
 Industrial Plants
 Consulting
 Privatization Consulting
 Process
 Piping
 Tank Design, API 650
 Pressure Vessel Design
 Heat Exchanger Design
 HVAC
 Civil / Structural
 Lighting
 Earthing
 Cathodic Protection
 Single Line Diagrams
 MCC, Switchyard Design
ENGINEERING
Piping - Mechanical
Piping & Mechanical
 Equipment Design
 Tank Farms
 Tank Design
 API 650 / 653
 BS 2654
 Pressure Vessels
 Heat Exchangers
Piping & Mechanical
 3D - PIPING
 3D – Piping Design
 Plot Plans
 Support Design
 Isometric Production
 Material Lists
 Equipment Design
Piping & Mechanical
 STRESS ANALYSIS
 REBIS AUTOPLANT
 COADE CEASAR V 5.0
 Interface with COADE PLANT
 Code Stress Analysis
 Support Loads
 Expansion Joint Design
 Stress Isometrics
 Reporting
ENGINEERING
Civil / Structural
Civil / Structural
 FOUNDATIONS UNDER
VIBRATION
 TURBINE / GENERATOR
 COMPRESSOR
 PUMP
Civil / Structural
 EQUIPMENT FOUNDATIONS
 STORAGE TANKS
 PRESSURE VESSELS
Civil / Structural
 INDUSTRIAL PLANTS
 HANGARS
 THY MAINTENANCE HANGAR
 FACTORY BUILDINGS
 ÇAMSAN MDF – 3
 BOILER HOUSES
METALEX ENGINEERING & DESIGN GROUP – Civil /
Structural
 BUILDINGS
 CONTROL BUILDINGS
 SWITHGEAR BUILDINGS
 ADMINISTRATION
BUILDINGS
3 – D PLANT DESIGN
METALEX ENGINEERING & DESIGN GROUP – 3D
 3 – D Plant Engineering
 Reduced Engineering Time

 Minimized Errors
 Clash Analysis
 Automatic Isometric
Generation
 Automatic Material List
Generation
 Equipment
 Piping
 Ladders & Platforms
 HVAC Ducts
 Cable Ducts
POWER PLANTS
CO - GENERATION
SIMPLE CYCLE
FLUIDIZED BED COMBUSTION
Power Plants
 CO –GENERATION PLANTS
 18.5 MW MERSİN SODA Co - Gen.
 Steam Condens Piping
 H.P. Steam Collector
 Isometrics
 Stress Analysis
 Çerkezköy Co – Gen
 Yalova Co –Gen
 EnerjiSA – İzmit Co – Gen
Power Plants
 Natural Gas Power Plants

 3 x 42 MW Türkmenbaşı P.P.
 General Electric, Frame 6B
 Dual Fuel Technology
 5000 m3 Fuel Storage
 Civil / Structural
 Piping
 Site Supervision
Power Plants

 3 x 42 MW Nebitdağ P.P.
 General Electric, Frame 6B
 5000 m3 Fuel Storage
Power Plants

 1 x 123 MW Abadan P.P.
 General Electric, Frame 9E
 Piping
Power Plants

 2 x 123 MW Aşgabat P.P.
 General Electric, Frame 9E
 Piping
METALEX ENGINEERING & DESIGN GROUP – Power
Plants

 2 x 123 MW Daşoğuz P.P.
 General Electric,
Frame 9E
Power Plants

Power Plants
 THERMAL POWER PLANTS

 Yeniköy Thermal Power Plant
 De- Sulphurization Unit
 Piping
 Equipment
 Duct Design
 2 x 160 MW Çanakkale Çan FBC P.P.
 Fluidized Bed Combustion
 Hot, Cold Air ; Flue Gas Duct Design
 Storage Tank Design
NATURAL GAS
COMPRESSOR STATION
PRESSURE REDUCING STATIONS
PIPELINES
GAS NETWORK ANALYSIS
Natural Gas
 COMPRESSOR STATIONS
 CS – 1 Ambarlı
 CS – 2 Doğu Beyazıt
 General Layouts
 Piping & Isometrics
Natural Gas
 Reducing & Metering Stations

 3 X 42 MW Nebitdağ P.P.
 A – Class, 75 – 25 barg
 438 Million Nm3 / yıl
 2 x 123 MW Aşgabat P.P.
 A – Type, 75 – 25 barg
 2 x 123 MW Daşavuz P.P.
 A – Type, 75 – 25 barg
Natural Gas
 PIPELINES
 NATURAL GAS PIPELINES
 5000 m, Ø 300, 75 barg
 3 X 42 MW Nebitdağ P.P.
 4500 m, Ø 300, 75 barg
 1 x 123 MW ABADAN P.P.
 100 m, Ø 300, 75 barg
 2 x 123 MW Daşavuz P.P.
 150 m, Ø 300, 75 barg
Natural Gas
 GAS NETWORK ANALYSIS

 MUNICIPILATIES
 Çorum, İzmir
 FEASIBILITY STUDIES
 Kayseri, Malatya,
 Bursa, Eskişehir
REFINERIES
METALEX ENGINEERING & DESIGN GROUP –
REFINERIES
 ANGARKS RAF. – Siberia

 PETROCOC UNIT
 Piping
 Isometrics
 As – Builts
 Storage Tanks
 Design and Manuf.
Dwgs.
 PUMP STATION
 Mechanical Design
 Layout
 Piping
 Isometrics
 Material Lists
REFINERIES
 TENGİZ CHEVROIL – Kazakhistan

 KTL 2.3 Project
 Storage Tanks
 HVAC
 As – Builts
 Boiler House
 Mechanical
 Piping
 Isometrics
REFINERIES
 TÜRKMENBAŞI REFINERY – Türkmenistan

 Storage Tanks
 Design
 Manufacturing Drawigns
REFINERIES
 TÜPRAŞ İZMİT REFINERY

 Sludge Incineration Unit
 Boiler House Piping
 30.000 m3 HVGO Storage Tank
 MERSİN ATAŞ REFINERY
 35.000 m3 HVGO Storage Tank
REFINERIES
 AKABE REFINERY
 66,000 m3
 H = 14 m, Ø = 90 m
 Floating Roof
PETRO – CHEMICAL
PLANTS
PETRO – CHEMICAL
 HALDOR TOPSØE – H2 PLANT

 49.000 Nm3 / hour
 Equipment Design
 Heat Exchanger Design
 Piping
 İsometrics
 Steel Structures
 HALDOR TOPSØE – H2 / CO
 AIR LIQUIDE – H2 / CO
 Convection Unit
 Duct Design
TEAM
Team
 Engineers
 10 Mechanical Engineer
 4 Civil Engineer
 4 Elecrical Engineer
 4 Instrumentation & Control
Engineer
 1 Metallurgical Engineer
 CAD Draftsman
 6 Mechanical Draftsman
 1 HVAC Draftsman
 5 Civil Draftsman
 Administrative
 Constulants
SOFTWARE
TECHNOLOGY
Software Technology
 Mechanical & Piping

 COADE CADWORX Professional, 2007
 3 – D Plant Design
 Parametric Equipment Design
 Piping
 Civil
 Platforms & Ladders
 Cable Ducts
 HVAC Ducts
Software Technology
 Mechanical & Piping

 COADE CEASAR V 5.0, Stress Analysis
 Stress Models
 CADWORX Interface
 Automated Iso. Generation
 Load Combinations
 ASME Code Stresses
Software Technology
 Mechanical
 COADE TANK V 2.55, API Tank Design
 API 650, API 620
 Shell Analysis
 Anchore Bolt Design
 Nozzle Loads
 API 2000 Vent
 Foundation Loads
Software Technology
 Fluid Mechanics
 AFT ARROW V 3.0, Compressible Flow
 Gas Network Analysis
 D.gaz, N2, Buhar vb...
 Pressure Drop
 Compressor Sizing
Software Technology
 Fluid Mechanics
 AFT FATHOM V 3.0, In – Compressible Flow
 Liquid Networks
 Pressure Drops
 Pump Sizing
 Critical Path Analysis
Software Technology
 SAP 2000 Non – Lineer
 ETABS 9.0
Software Technology
 OTHERS
 GAS WORKS 7.0
 LISEGA – Licad
 Auto PLANT Designer
 ISOMETRICS 13.0 REBIS
 Auto PLANT Pipe 6.0 REBIS
 Pro – Bina
 Carrier Load & Duct
 Sure Trak
Pipelines
Refinery Units
Industrial Facilities & Plants
Cathodic Protection
Hydrostatic Testing
Acoustic Emission
METALEKS İNŞAAT SANAYİ TİCARET A.Ş.

Address : Kırkpınar Sokak No:10/13
06690 Çankaya – ANKARA
Tel : +90 312 440 45 80
Fax : +90 312 440 46 61
E-mail : metaleks@metaleks.com.tr
Http : www.metaleks.com.tr

Metalex Oil & Gas Corporate Profile

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Metalex Oil & Gas Corporate Profile

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Corporate Profile

Our Mission and Vision

 HSE & Quality Management System

Environmental Management System Policy

Chamber of Commerce Registration Certificate

 Machinery & Equipment

List of Machinery & Equipment Owned by the Company

 Metalex Engineering & Design Group

Engineering – Piping / Mechanical

materialize projects requiring advanced technology and specialization,

provide the satisfaction of our customers in maximum level,

in design, engineering, procurement & supply, construction, testing and

produces its own technical specifications and technology in world energy

The core of Metalex is formed by a group of highly experienced specialists who

The capabilities of Metalex as a general contractor covers nearly all phases of

Metalex, as a turn-key contractor, aims to become your dependable business

Canada Branch Office

Metalex Romania s.r.l.

Contact : Mr. Gabriel POPESCU, Civil Engineer

Metalex International Trading S.A.L., Lebanon

Contact : Mr. Aziz Olcay, M.Sc. Civil Engineer, C.E.O.

Metalex Saudi Arabia

• Third Party Inspection

• pressure reduction, metering, block valve, take-off valve, compressor

• LPG storage and filling plants

• oil product storage and filling facilities, cylindirical, floating roof,

• flowlines and gathering lines

• pump stations for liquefied products water and crude oil

Services for oil & gas and various industries

• Mobilization, camp construction, steel construction design and installation

• Survey works using GPS techniques, preparation of cadastre maps,

• Pipeline field cold bending, bending engineering

• NDT services with gamma and X-ray radiography, ultrasonic, magnetic

• Destructive testing for welding procedure tests

• Hydrostatic testing of pipelines and facilities

• Air drying and vacuum drying

• Commissioning services with and without nitrogen

• Telecommunications installation works and fibre optic cable laying

• SCADA and telecommunication system design, construction and

• Electrical, instrumentation and automatic control works

• Design, engineering and application for the industrial establishments

• Pipeline and facility security

• Inspection of high pressure spherical tanks, reactors, drums with Acoustic

We obey all laws and arrangements related with environment and

While we execute our activities, we determine our effects to the

While we execute our activities, we use the energy and other

We take our wastes under control, we minimize the pollution of the

We make necessary announcements and apply training program to

We announce the effects of our services to the environment to

Accidents and injuries are unacceptable.

Safety is the line management responsibility in broad sense but

We shall similarly comply with the regulations of our clients.

This H.S.E. Policy also applies to all sub-contract personnel of Metalex.

QUALITY MANAGEMENT SYSTEM MANUAL

1 15/05/2003 Issue for Implementation M. ULUS A. YURDAYAR

0 18/05/2001 Issue for Implementation B. BAŞKAYA A. YURDAYAR

Prepared Checked Approved

MTLX 05-148-6622 Manual Document Coordinator: Quality Assurance Manager

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