Below you will find answers to frequently asked questions regarding the East Resources transaction. Through ongoing supplier communications and individual e-mail submissions, we plan to review all pertinent questions and where general in nature, publish the answers below. Please check back since the website will be updated on a regular basis. In the event your question is company specific in nature and or not appropriate for an online response, we will route your question to the correct contact point and endeavor to provide a specific response.
1. When is the sale of East Resources to Shell complete?
The sale of East Resources, Inc. (ERI) assets was completed on July 29, 2010, and operational control of those assets is now under the ownership of East Resources Management, LLC or ERM (a newly created, wholly owned affiliate of Shell Oil Company). This sale did not include ERI’s West Virginia oil & gas assets, which is the subject of a separate transaction. Effective July 29, 2010, Shell will operate and issue contracts under the name of East Resources Management, LLC.
2. Where is the new ERM corporate office?
East Resources Management, LLC has a new office located at 190 Thorn Hill Road, Warrendale, PA 15086 Main Phone Line: (724) 772-8600
3. Who do I contact within East regarding questions?
We have established a website entitled, www.uacontractor.com. Once on the website, select ‘East Resources’ from the listing at the bottom left hand side of the page under ‘Locations’. Here you will find FAQ’s and relevant contractor communications. If you would like to submit questions you may use the following email address SEPCO-East-Resources@shell.com.
4. How often will you post answers to the website?
We plan to review all questions submitted and where general in nature we will publish answers on the website under the FAQ section. Please check back regularly since the website will be updated frequently. In the event your question is company specific in nature and or not appropriate for an online response, we will route your question to the correct contact point and then endeavour to provide a specific response.
5. Will I have to sign a new MSSA/contract with Shell after the sale?
All contractors working for ERM must have a signed MSSA. The goal is to maintain the ERM MSSA’s in place at closing on July 29, 2010. As work-scope changes along with the risk profile, Shell may need to establish new contracts or revise terms.
6. Will I need to identify the East name change in current contracts?
No. Existing agreements with East will not need name change provisions to account for East Resources Management, LLC as the acquisition assumed all assets of ERI, including contracts. Moving forward, new contracts established with suppliers will identify the name East Resources Management, LLC.
7. What is ERM’s subcontracting policy?
Summary of ERM MSSA language: “Contractor shall not contract or subcontract for any of the services to be performed or the goods to be provided without prior written permission of ERM. Any contractor or subcontractor of Contractor shall provide the same indemnity and insurance protection to Company as Contractor is required to provide. Contractor shall remain liable and responsible for all obligations.”
8. Will the billing process remain the same?
Yes, East Resources Management, LLC will maintain its current billing system for the rest of the year. Under the process, a supplier prepares an original invoice with supporting documentation and sends to the following Post Office Box:
INVOICE POST OFFICE BOX:
ATTN: Accounts Payable
East Resources Management, LLC
190 Thorn Hill Road, Warrendale, PA 15086
- ERM contract number and/or purchase order number
- Full description of material/service ordered, quantity ordered, quantity shipped, unit price, extended price, date of service
- ERM legal entity’s name that contracted for the materials and/or services
- Invoice number and date
- Field, block lease, well number or other applicable location name
- Rig name/number (if applicable)
- AFE number (if available)
- Requestor's name & phone number
- Supplier’s “remit to” address (to include phone, fax, address)
- Invoice payment terms, including discounts
- Itemized sales and use tax (if applicable)
- Supporting documentation of third party charges
- Service invoices must include work tickets signed by the ERM representative
A new billing process will be implemented by January 1st 2011 as we migrate to a new system called SAP. Details on this new process will be communicated to all vendors before the year’s end. You may also come back to this site to look for updates on this matter.
9. What does ‘HSE’ stand for?
HSE stands for Health, Safety and Environment.
10. What type of safety program do I need to work for Shell?
A contractor needs to have an integrated, and preferably mature, HSE management system to obtain work from Shell. Contractors that do not have an HSE Management System or one that meets Shell’s requirements may be considered for work by exception with additional controls added to mitigate the HSE risks.
11. Will our company’s HSE Management System be audited?
In order to ensure that Shell’s “Goal Zero” can be realized, our contractor assessment process may be used to determine if a Contractors HSE Management System is mature and aligned with Shell’s. The assessment process is used both in the tendering process to work for Shell and the on-going work performed after contractor selection.
12. What is meant by ‘Goal Zero’?
It means zero deaths, zero injuries and zero significant incidents. We measure Goal Zero by the number of “zero” days. A zero day is one where there are no fatal incidents (company, contractors or third parties) or any other significant incidents such as large spills.
13. Where do I find Shell policies and standards?
Shell policies and standards can be found on www.uacontractor.com in the top right corner of the web page. If you do not have a login and password please follow the link at the bottom of the login page and one will be sent to you.
14. What PPE (Personal Protective Equipment) is required by ERM?
PPE requirements can be found on www.uacontractor.com on the right side of the page under Standards, Procedures, and Guidelines. This section is password protected. If you do not have a login and password please follow the link at the bottom of the page and one will be sent to you. OSHA now requires the use Fire Retardant Clothing (FRC) for ERM employees and contractors working in the field on Drilling, Well Servicing, Completions and Production sites.