Richard Cambusa San Jose

ACTION ITEMS FROM THE BOARD MEETING Item No. Description 1 Supplemetal Manpower (SMP): The chairman noted the importance of hiring qualified individuals and the need to rigorously enforce policies and procedures. He also stated that the Company's President and VP of IR would be held accountable by the Board as far as policy enforcement was concerned and they need to provide the Board with clear, candid and open updates on all SMP issues and strictly maintain the integrity of the process. 2 3 Medical Insurance Contract: The Deputy Chairman noted that he was not satisfied with the introduction of only a single component of the compensation/benefits package and that Management needs to provide the Board with details regarding the entire package to facilitate determination of whether the package as a whole is competitive and appropriate. The Chairman stated that the Company should not be leading the market as far as health benefits are concerned, but should also not be at the bottom. The Group was instructed to provide the Compensation Committee with a comperhensive presentation regarding the compelete insurance package for consideration and approval based on the instructions provided by the Board during the discussion. Transition from SMP to direct hire: Provide the Board with more clarification regarding plans related to transition from SMP to Direct hires Assigned to Farhan Al Qahtani Completion date Comments Conversion process was developed, approved by the CEO and the Conversion Committee was established to review and approve the recommended SMPs to be converted to regular hire.This action is considered closed Moved to WKLY Communication Meeting Moved to WKLY Communication Meeting Company's Housing Plan: The Chairman directed the President Ali Al-Ajmi Received the initial report from the Consultant. to provide the Board with the final housing plan at the next Board meeting Vision, Mission and Values: The Board collectively requested the Management Team to continue working to improve the proposed corporate Vision, Mission and Values. The Chairman stated that the message regarding Corporate Identity should be Completed and presented to the Board on Sept 27. No further action is required. 5 sound, practical and simple and reflect the grouth potential of the Company and the fact that it is a significant and important paltform for its stakeholders Company's Recruitment Plan (Room for Optimization): The Chairman reiterated the importance of screening and the need to adhere to high staandards. He also noted that the proposed Closed 6 manning seems to be excessive and questioned whether there was room for optimization. External Auditor: BoD endorsed the “External Auditor” 7 General Auditor/ M. Akif is coordinating the issue with the Saudi Aramco (Sahreholder assignment to YASREF and requested that we approach the Mohammad Akif shareholders for approval Legal and DJVD. Issue) BoD approved the “Contribution in-kind by SA” for all the 8 (Sahreholder M. Bin Dayel/ M. work that was conducted in support of YASREF since the Issue) Akif start of FEED until January 31, 2012. Coordinating with Mohammad Daye. 4 ACTION ITEMS FROM THE BOARD MEETING Study Adjustment to the Refinery to flex the crude intake: Study what “minimal adjustments” can be done to the refinery to flex the crude intake (moving from 100% AH to 100% AL). In other words, what minimal adjustments could be done to the refinery design and/or construction to process the max intake of AL. This flexibility would be valuable when the crude differentials change and it is more economical to process increased volumes of AL in the Refinery. Engineering- Ali Sairafi & Operations/ESG 9 10 11 12 Sulfur Handling Agreement with Luberef: Ensure that environmental obligations are covered and that YASREF would not incur additional environmental obligations and Ali Al-Ajmi liability as a result of the agreement. If YASREF is expected to face higher environmental obligations and liability, the costs and apportionment of these obligations and liabilities should be fully addressed. TYCO: Review the Tyco supply of material and/or services Maher Barghouthi to YASREF. MMG Situation: Address MMG situation to mitigate all risks to YASREF. MSA/FAA During YERP's FEED phase and based on a request from Aramco Facility Planning Department (FPD) to study and analyze the impacts of running AL crude in the refinery, several LP Model runs were performed for summer cases, and one case indicated: If the crude charge rate is dropped to 358 MBD, a 100% AL can be processed before hitting the naphtha processing limit. In this case the coker unit is severely underutilized and there will be 7% & 7% drop in the white products yield; namely, gasoline & diesel respectively and 19% & 51% drop in the by-products yield; namely, sulfur & coke respectively compared to the refinery products yield when running at the base case of 400 MBD 100% AH crude. Path forward Engineering will coordinate closely with the concerned YASREF department to utilize YASREF contracting mechanism/procedure to execute a consulting services agreement with third party consultant to update the current LP/PIMS Model to reflect the latest detailed design information as well as the latest price structure. This LP Model’s update (with the latest information) is essential to fully verify and validate the LP runs that will examine & determine the refinery feed rate, production slates, products yield and unit’s capacity utilization when running the refinery at different AL/AH crude mix. Additionally, the LP Model will be expanded to include the operational flexibility required to process and operate the refinery at different AL/AH crude mix. Please provide more detail on where we stand on this action. An ongoning effort by the Program to rectify the MMG situation. Team is in the process of provding information to the P&CEO