The following performance metrics are presented in our 2006 Sustainable Development Report (3.7MB .PDF document).
Air Emissions Performance Metrics Related to Climate Change and Energy Efficiency Material Efficiency Performance Safety Performance Liquid Hydrocarbon Spills Metrics Political Contributions Metrics Related to our Impact on Communities Metrics Related to our Investment in Employees Data Tables

Air Emissions Performance We continue to work on reducing air emissions from our operations. We track emissions of sulfur oxides (SOx), nitrogen oxides (NOx), particulate matter (PM) and volatile organic compounds (VOCs). Sulfur oxides (SOx), nitrogen oxides (NOx) and particulate matter (PM) originate from the combustion of hydrocarbons in our operations. SOx and NOx can contribute to the formation of acid rain. Volatile organic compounds (VOCs) are hydrocarbons associated with natural gas and crude oil and represent lost product when released. They can serve as a precursor to smog, which in high concentrations can pose health risks.
For SOx, NOx and PM, we have seen a return from our investment in control technologies with reduced emissions. For VOC, we have made strides in reducing emissions from marine transport through new technology – however, our total emissions have grown along with our increased operations.
For more information on our approach to clean air, please see pages 14-17 of our 2006 Sustainable Development Report (3.7MB .PDF).
Sulfur Oxide (SOx) Emissions
Overall, the company’s SOx emissions in 2006 (figs. 1 & 2) were about 59,600 metric tons, a decrease of 17 percent from 2005. The main source of our SOx emissions is the refining and marketing business sector. Emissions were reduced in this business sector through installation of controls, asset dispositions and marine transport reductions, partly offset by an increase from our acquisition of the Wilhelmshaven refinery. In the exploration and production and midstream sector, SOx emissions increased due to the acquisition of the Burlington Resources assets.
 
Nitrogen Oxide (NOx) Emissions NOx emissions in 2006 (figs. 3 & 4) were about 119,000 metric tons, an increase of 31 percent from 2005. The exploration and production and midstream sector contributed approximately two-thirds of our NOx emissions. Increased drilling activity and the addition of the Burlington Resources assets accounted for an increase in NOx emissions. In the refining and marketing business sector, NOx emissions decreased due to installation of controls, marine transport reductions, asset dispositions and a refinery turnaround, partly offset by an increase from the addition of the Wilhelmshaven refinery.
 

Particulate Matter (PM) Emissions
PM emissions in 2006 (figs. 5 & 6) were about 6,700 metric tons, a decrease of 14 percent from 2005. The refining and marketing business sector contributed the majority of the company’s PM emissions and decreased their emissions primarily through asset dispositions, as well as improved plant performance, installation of wet gas scrubbers at several facilities and improved measurement through stack testing. Emissions from the exploration and production and midstream sector increased due to the addition of the Burlington Resources properties.
 

Volatile Organic Compounds (VOCs) Emissions VOC emissions in 2006 (figs. 7 & 8) were approximately 193,000 metric tons, an increase of 24 percent from 2005. Over two-thirds of the company’s VOC emissions were from exploration and production and midstream sector, which increased mainly due to the addition of the Burlington Resources assets, partly offset by a reduction in Indonesia offshore operations. The marine operations decreased VOC emissions due to marine transport reductions.
 
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c Metrics Related to Climate Change and Energy Efficiency Consistent with our position on climate change, we track data for greenhouse gas emissions, flaring, and energy used. For additional information on our methodology for measuring GHG emissions, please see Greenhouse Gas Data Scope, Emissions Calculations, Environmental Data Quality and Assurance, and the Independent Assurance Statement to ConocoPhillips Management Regarding Greenhouse Gas Emissions Data Processes.
For more information on our approach to climate change and energy efficiency, please see pages 25-29 and 36-37 of our 2006 Sustainable Development Report (3.7MB .PDF document).
Greenhouse Gas (GHG) Emissions Performance Growth in operations has increased our total GHG emissions, although our levels of GHG emissions per unit of production have remained steady. The company’s total 2006 CO2 equivalent GHG emissions (figs. 9 -11) were approximately 62.3 million metric tons, an increase of 13 percent from 2005, mostly due to the company’s growth through acquisitions. Refining contributes over half of the company’s emissions. See pages 36-37 in the 2006 Sustainable Development Report for U.S. refining’s energy efficiency efforts, to help address GHG emissions. The addition of the Wilhelmshaven refinery in 2006 increased total refining and marketing emissions, partly offset by a reduction from 2005 asset dispositions. Emissions from exploration and production and midstream operations increased largely due to the addition of the former Burlington Resources assets and the start-up of the Darwin liquefied natural gas plant in Australia.
 
 

Flaring Flaring is a safety mechanism to burn off excess gases. Refining units use flares to maintain safe operating pressures during the production process. Exploration and production flaring primarily results from burning excess field gas that cannot be used to fuel operations. The flaring of this gas is most common in areas of the world lacking sufficient infrastructure to transport the excess natural gas to market. Our flaring volume increased slightly with the growth of our operations. In 2006, the company’s total volume flared (figs. 12 & 13) was 44.5 billion standard cubic feet (BCF), an increase of 7 percent from 2005. Exploration and production and midstream operations accounted for the majority of the company’s flaring, and for much of the increase, primarily due to addition of the Burlington Resources assets. Although refining reported increased flaring volumes, this was primarily due to installation of flow meters on existing flares at a refinery, resulting in more accurate reporting.
 
 
Energy Used Since the combustion of energy is a primary contributor to greenhouse gas emissions, we continually strive to make our operations more energy efficient, thus providing an environmental benefit through reduced air emissions, as well as an economic benefit by lowering the cost of production. Growth in operations has increased our total energy use, although our energy use per unit of production has remained steady. Total energy consumption by ConocoPhillips in 2006 (figs. 14 & 15) was approximately 827 trillion British Thermal Units (BTUs), an increase of 10 percent from 2005 attributable to the company’s larger scale. The refining and marketing sector, which represents two-thirds of the company’s energy consumption, increased its energy use primarily due to the addition of the Wilhelmshaven refinery and resumption of normal operations at the Alliance refinery following a lengthy shutdown due to hurricane damage in 2005, partly offset by reductions from asset dispositions. The exploration and production and midstream sector increased its energy use primarily due to the addition of the Burlington Resources assets, the start-up of the Darwin liquefied natural gas plant in Australia and increases at a gas plant in Indonesia.


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Our approach to waste management is based on a simple set of priorities: first, eliminate waste where possible, then reuse, recover, recycle and, as a last resort, dispose of it safely.
For more information on our approach to material efficiency, please see pages 37-39 of our 2006 Sustainable Development Report (3.7MB .PDF document).
Waste The amount of waste we generated is relatively similar to years past, increasing slightly with our growth in operations. In 2006, 5 percent of our total waste was categorized as hazardous – this includes any material that is potentially harmful, toxic or requires special treatment. (figs. 16 & 17) The quantity of hazardous waste managed by ConocoPhillips’ businesses in 2006 was 64,318 metric tons, an increase of 2 percent from 2005. The increase was mainly in the exploration and production sector due to the addition of the Burlington Resources assets, partially offset by refining’s reduction in maintenance-related waste, increased reclamation of residuals and reclassification of some waste streams as recycled waste. Of the remaining 2006 waste, 80 percent was nonhazardous and 15 percent was recycled material.Waste that is designated as nonhazardous by a regulatory agency is disposed of conventionally. Recycled materials are the residual materials that are not sold as product or disposed of as waste, but reused, reclaimed or recovered for beneficial use.

 
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Safety Performance
Our safety goal is operating each day with zero injuries, illnesses and incidents.We have made substantial progress toward this goal but continue to suffer serious incidents and recognize that safety performance must improve further. While the number of safety incidents has decreased, more of those have resulted in lost workdays.
For more information on our approach to safety, please see pages 40-47 of our 2006 Sustainable Development Report (3.7MB .PDF document).
Total Recordable Rate (TRR) Metrics A standard measure of workplace safety is the Total Recordable Rate (TRR), which tracks the number of recordable incidents per 200,000 work hours. A recordable injury is a work-related injury that resulted in death, time lost from work, loss of consciousness, or required medical treatment; required a restriction of work; or the transfer of the worker to other tasks.
The refining and marketing sector reduced combined workforce TRR by almost 60 percent in the four years from 2002 to 2006. While exploration, production and midstream operations saw a slight increase in TRR between 2005 and 2006, they achieved a 27 percent reduction during the 2002 to 2006 period. Overall, the company reduced its TRR by almost 40 percent in those four years.


Lost Workday Case (LWC) Metrics Another safety measure is the Lost Workday Case (LWC) rate – the number of incidents resulting in days away from work through occupational injury or illness per 200,000 hours worked. In the four years from 2002 to 2006, we reduced our refining and marketing sector’s LWC rate by 6 percent; our exploration, production and midstream operations rate by more than 26 percent; and our overall company rate by almost 15 percent.


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Liquid Hydrocarbon Spills Metrics
ConocoPhillips reports liquid hydrocarbon spills from primary containment that are greater than one barrel. Spills greater than 100 barrels are considered significant incidents that trigger immediate management reporting, extensive investigation and corrective action to mitigate recurrence.
For more information on our approach to spill response and crisis management, please see pages 46-47 of our 2006 Sustainable Development Report.
We had two large spills that greatly increased our spill volume from primary containment. However, the majority of the product was captured in secondary containment and did not reach the environment. In 2006, there were 19 significant liquid hydrocarbon spills resulting in the release of 37,254 barrels from primary containment, compared to 11 such spills in 2005 from which 12,522 barrels were released. (figs. 22 & 23) Two of the 2006 significant spills resulted in 78 percent of the released volume. Both were related to tank leaks that were mostly contained. Eleven of the 2006 significant spills occurred in the refining and marketing sector, which accounts for 95 percent of the volume released from primary containment.
Of the volume released from primary containment, 30,319 barrels, or 81 percent, were captured in secondary containment such as tank dikes and did not reach the environment. Of the 6,935 barrels that did reach the environment, 3,767 barrels, or 54 percent, were recovered during initial spill response. Longer-term remedial projects strive to recover additional lost hydrocarbons.

 
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Political Contributions
All political contributions are reported twice a year to the compliance and ethics committee. Further details of these contributions can be found on in our position on political policies, procedures and giving.
For more information on our approach to public policy, please see pages 48-49 of our 2006 Sustainable Development Report (3.7MB .PDF document).
In 2006, corporate contributions to state and local candidates in the United States and Canada (the only countries in which ConocoPhillips makes political contributions) totaled $291,970. Spirit PAC contributions totaled $478,500. ConocoPhillips also makes corporate political contributions in states where it is allowed to address issues significantly impacting our operations. These contributions totaled $5.6 million during 2006.
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Metrics Related to our Impact on Communities
We measure both our contribution to the global economy and charitable donations.
For more information on our approach to working with communities, please see pages 50-57 of our 2006 Sustainable Development Report (3.7MB .PDF document).
Contributing to the Global Economy
Our global operations contribute substantially to social and economic development in the communities in which we operate. For example, our direct economic contributions during 2006 included:
- Taxes – $31 billion in total tax revenue to governments was generated by our continuing operations.
- Shareholder dividends – $2.3 billion in cash dividends were paid on ConocoPhillips common stock. Additionally, repurchases of company common stock totaled $925 million.
- Capital investments – ConocoPhillips reinvested $15.6 billion in capital expenditures and investments into our businesses.
- Expenses from various vendors and suppliers incurred:
- $10.4 billion for production and operating expenses;
- $2.5 billion for selling, general and administrative expenses; and
- $834 million in exploration expenses.
- Interest expense – we incurred $1.1 billion in interest and debt expense.
Philanthropic Contributions We have a long tradition of investing in the communities in which we operate. During 2006, we donated an estimated $50.6 million to charitable programs in the areas of education and youth, health and social services, environment, civic programs and the arts and assisting with emergency events. Of that total, 14 percent was given outside the United States.
 
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Metrics Related to our Investment in Employees
We track information from our Employee Opinion Survey on promoting a positive work environment, employee satisfaction, and our progress on diversity and inclusion. We also track employment metrics.
For more information on our approach to investing in employees, please see pages 58-63 of our 2006 Sustainable Development Report.
Promoting a Positive Work Environment Metrics from our 2006 Employee Opinion Survey indicate that a majority of employees find their supervisors to be highly accessible and that they feel free to report any ethics violations without fear of retaliation.We believe that these attributes are essential to building a positive work environment. (fig. 25)
 
Employee Satisfaction Overall results for 2006 were generally positive, as shown in the responses to questions related to employee satisfaction. (fig. 26) Strongly favorable responses also are shown in the areas of our core values, particularly in safety, local teamwork, environmental responsibility and ethics. (fig. 27)
 

Diversity and Inclusion To measure our progress toward building a workforce that is representative and reflective of the communities in which we live and work, our latest employee opinion survey in 2006 included questions about our diversity and inclusion efforts. (fig. 28)
 
 
 
Employment Metrics At the end of 2006, we employed 38,400 people worldwide, compared with 35,600 in 2005. This increase was largely attributable to the addition of employees through the acquisitions of Burlington Resources and the Wilhelmshaven refinery. (fig. 29)
 
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Data Tables
In the environmental, safety and spills data tables in this appendix, data are presented for three geographic regions: North America, Europe and Asia Pacific/Other. “Other” includes Venezuela, Middle East and Africa. The top contributing business sectors columns show the top three sectors in the company for that parameter, plus a category named “Other,” which includes all other sectors combined. For each indicator, the top three sectors may be different, as can the sectors in the “Other” category.
View the data tables (50KB .PDF document)
For more information on our HSE metrics approach, please see Health, Safety and Environment (HSE) Data Assumptions.
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