Sterling Resources Ltd

Sterling Resources Ltd. is a Calgary based, publicly traded, energy company engaged in the exploration, development and production of crude oil and natural gas in selected areas of the world.

HEALTH & SAFETY POLICY

It is the policy of Sterling Resources Ltd (Sterling) to conduct all of its operations in a manner which protects people and property and strive to improve its health and safety performance.

Sterling Resources recognises that prevention of accidents and ill health is essential to the efficient operation of its business. Accordingly, the management of health and safety issues is an integral part of the company’s management arrangements and commands at least equal prominence when balanced against operational and commercial considerations. Sterling recognises the value of both its own employees and its contractors’ and considers their well-being to be a major factor in the success of all its business activities.

Sterling has an established Corporate Management System in place to ensure that:

1. There is a management organisation in place which will plan operations resulting in the provision of safe systems and places of work and the effective management of health and safety at all of its operated sites.
2. It provides the necessary training for its employees and contractors to ensure that they have the knowledge and capability to conduct operations in a safe manner.
3. It co-operates with its contractors, who also have defined responsibilities for health and safety, to provide safe and healthy work places.
4. Adequate contingency plans for emergency situations are developed and implemented for all of its operations.
5. That there is effective security for personnel and company assets based on risk assessment at all operated locations and during travel to and from locations.
6. It consults with its employees on matters affecting their health and safety.
7. It complies with all applicable health and safety legislation.

This Health and Safety Policy shall be applied at all Sterling’s locations. Sterling will review and audit all aspects of the management system to ensure that it is being complied with and to seek improvements to the system. The management system will continue to be actively developed in line with the development of Sterling’s business activities.

Although overall responsibility for health and safety rests with Sterling, and ultimately the CEO, every employee and contractor must recognise their own responsibilities (in particular, any specific responsibilities under legislation, or delegated to them as individuals) to ensure the health and safety of themselves and others.

ENVIRONMENTAL POLICY

It is the policy of Sterling Resources Ltd (Sterling) to conduct all of its operations in a manner which will minimise its impact on the environment and strive to improve its environmental performance.

Sterling recognises that minimising environmental impact and the prevention of environmental incidents is essential to the efficient operation of its business. Accordingly, the management of environmental issues is an integral part of the company’s management arrangements and commands at least equal prominence when balanced against operational and commercial considerations.

Sterling has an established Corporate Management System in place to ensure that:

1. There is a management organisation in place to plan operations to minimise the impact to the environment from its operations by identifying and managing the relevant environmental risks.
2. Environmental issues are considered from the outset when planning operations, to reduce waste, the consumption of resources and prevention of pollution to the environment.
3. Sterling provides the necessary training for its employees and contractors to ensure that they have the knowledge and capability to conduct operations in an environmentally sensitive manner.
4. Adequate contingency plans for emergency/pollution situations are developed and implemented for all operations which may impact the environment.
5. Sterling complies with all the applicable environmental regulations and codes of practice
6. Sterling is committed to continual improvement of its performance by setting and reviewing environmental objectives and targets.
7. Sterling will provide the necessary resources, advice and guidance to ensure the communication and implementation of this policy and to monitor and report on the company’s environmental performance.

This Environmental Policy shall be applied at all Sterling’s locations. Sterling will review and audit all aspects of the management system to ensure that it is being complied with and to seek improvements to the system. The management system will continue to be actively developed in line with the development of Sterling’s business activities.

Although overall responsibility for environmental issues rests with Sterling, and ultimately the CEO, every employee and contractor must recognise their own responsibilities (in particular, any specific responsibilities under legislation, or delegated to them as individuals) to ensure sound environmental performance.