January 2008

The long-term business success of M-I SWACO depends on our ability to continually improve the quality of our services and products while protecting people and the environment. Emphasis must be placed on human health, operational safety, environmental protection, quality improvement and community goodwill. This commitment is in the best interests of all our stakeholders: our customers, shareholders, employees, contractors and the communities in which we live and work.

M-I SWACO requires the active commitment to, and accountability for, QHSE from all employees and contractors. Management has a leadership role in communicating, implementing, and com - plying with QHSE policies and standards. We are committed to:

• Protect, and strive for the improvement of, the health, safety and security of our people at all times;
• Identify and eliminate waste, minimize Quality non-conformances and HSE incidents;
• Meet specified customer requirements and ensure continuous customer satisfaction;
• Set Quality and HSE objectives, measure results, assess and continually improve processes, services, product quality and HSE performance, through the use of an effective management system;
• Plan for, respond to, and recover from any emergency, crisis or business disruption;
• Minimize our impact on the environment through pollution prevention, reduction of our natural resource consumption and emissions, and the reduction and recycling of waste;
• Apply our technical skills to all QHSE aspects and impacts in the design and provision of our services and products;
• Communicate our QHSE policies, standards, programs and performance with our stakeholders and reward outstanding QHSE performance.

This Policy shall be regularly reviewed to ensure ongoing suitability. The commitments listed are in addition to our basic obligation to comply with M-I SWACO standards, as well as all applicable laws and regulations where we operate. This policy is critical to our business success because it helps us to systematically minimize QHSE losses and adds value for all our stakeholders.

Don McKenzie
President & C.E.O.