NGHI SON REFINERY AND PETROCHEMICAL LLC

JTY-7.4.1-06

NSRP Ship Vetting Policy

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Table of Contents
PURPOSE ..................................................................................................................3
SCOPE .......................................................................................................................3
DEFINITIONS .............................................................................................................3
STANDARDS AND INTERNATIONAL REGULATIONS ............................................4
CONTENTS ................................................................................................................5
5.1. General ................................................................................................................5
5.2. Requirement for NSRP Terminal .......................................................................5
5.2.1. SIRE Inspection Report ...............................................................................5
5.2.2. Observation of International Codes, Vietnam Laws and NSRP Terminal
Regulations ...................................................................................................5
5.2.3. Vessel Age ....................................................................................................5
5.2.4. Closed Cargo Operation ..............................................................................5
5.2.5. Vapor Recovery ............................................................................................6
5.2.6. Inert Gas System (IGS) ................................................................................6
5.2.7. LPG Carrier ...................................................................................................6
5.2.8. Manning and Certification ...........................................................................6
5.2.9. Officers Matrix ..............................................................................................6
5.2.10. P& I Insurance ..........................................................................................7
5.3. NSRP Vetting Process ........................................................................................7
5.3.1. Ship Vetting Request ...................................................................................7
5.3.2. Receive ship inspection application ...........................................................8
5.3.3. Ship Inspection.............................................................................................8
5.3.4. Ship Owner/Operator explains the observations to be noted ..................8
5.3.5. Third Party Inspection Company sends Ship Inspection Report to
NSRP .............................................................................................................9
5.3.6. Ship Condition Assessment ........................................................................9
5.3.7. Pre-berthing Inspection ...............................................................................9
5.3.8. Issue Notification .......................................................................................10
5.3.9. Ship/Shore Safety Check ...........................................................................10
5.4. Miscellaneous ...................................................................................................10
5.4.1. Re-Vetting ...................................................................................................10
5.4.2. Validity of Acceptance ...............................................................................10
5.4.3. Ship Re-Construction Consideration ....................................................... 11

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PURPOSE
The purpose of this Ship Vetting Policy is to ensure the highest safety operation of terminal
and transportation by sea to protect people, environment, terminal facilities and reputation of
NSRP and Ship Owners/Operators.
Any vessel before coming along side NSRP Terminal must be checked to ensure suitable
vessel quality, enough safety condition to match with terminal facilities and NSRP regulation
and to avoid potential risks to NSRP property, people and environment.

SCOPE
This Vetting Policy is applied for all those Vessels under Vietnamese and Foreign flags
coming to NSRP Terminal.
Responsibilities by:
 NSRP Terminal - Nghi Son Refinery & Petrochemical Limited Liability Company
(NSRP LLC);
 Third Party Inspection Company;
 Ship Owners/Operators.

DEFINITIONS
 NSRP: Nghi Son Refinery & Petrochemical Limited Liability Company.
 OCIMF: Oil Company International Marine Forum.
 Vetting: the total process used to carry out the risk assessment and arrive at a
conclusion on the acceptability of the vessel.
 Ship Inspection: the inspection conducted by Third Party Inspection Company as one of
step of Vetting Process.
 Ship Condition Assessment: NSRP’s Assessment System which is specified in Ship
Condition Assessment Guideline and is utilized for evaluation.
 Vessel, Cargo, Ship: Any kind of material subject to a contract of transportation, mainly
crude oil, oil products, chemical products, LPG/Propylene, Solid Sulphur and Solid Poly
Propylene.
 Ship Operator: the company or entity which exercises day to day operational control
and responsibility for a vessel.
 Ship Owner: The registered owner of a vessel may or may not be the Ship Operator.
 Management Officer: Captain, Chief Officer, Chief Engineer and First Engineer of
tanker.
 Third Party Inspection Company: company nominated by NSRP to carry out ship
inspection

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 NSRP Vetting Team: Team within NSRP responsible for the enforcement of the Ship
Vetting Policy & Procedures.
 SIRE Programme (Ship Inspection Report Programme): a very large database of
up-to-date confidential information about tankers and barges, developed by OCIMF as a
unique tanker risk assessment tool of value to charterers, ship operators, ship owners,
terminal operators and government bodies concerned with ship safety.
 SIRE Inspection Report: report made by accredited SIRE Inspectors based on SIRE
VIQs under SIRE programme.
 Ship Inspection Report (Non-SIRE Inspection Report): report made by Third Party
Inspection Company based on NSRP Vessel Inspection Questionnaires under Non-SRE
Programme.
 Observations: Non-compliance with safety guidelines which are the defects observed
by inspectors at the time of Ship Inspection.

STANDARDS AND INTERNATIONAL REGULATIONS

 Vietnam Maritime Code
 IMO: International Marine Organization Requirements
 ISM Code: International Safety Management Code.
 IBC Code: International Code for the Construction and Equipment of Ships carrying
Dangerous Chemicals in Bulk
 IGC Code: International Code for the Construction and Equipment of Ships Carrying
Liquefied Gases in Bulk
 GC Code: Code for the Construction Equipment of Ships Carrying Liquefied Gases in
Bulk
 IMDG: International Maritime Dangerous Goods Code
 EGC Code: Code for Existing Ships Carrying Liquefied Gases in Bulk
 ICS: International Chamber of Shipping
 ISGOTT: International Safety Guide for Oil Tankers & Terminals
 SOLAS 74: International Convention for the Safety of Life at Sea
 MARPOL 73/78: International Convention for the Prevention of Pollution from Ships
 OCIMF: Oil Company International Marine Forum guidelines
 ISPS CODE: International Ship & Port Facilities Security Code
 IMSBC: International Maritime Solid Bulk Cargo Code

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CONTENTS
5.1. General
NSRP Terminal belongs to Nghi Son Refinery & Petrochemical Limited Liability Company,
imports crude oil via SPM (Single Point Mooring) and exports oil and petrochemical
products and Solid Sulphur and Poly Propylene via Jetty. On the business, NSRP will
co-ordinate with Ship Owners/Operators.

5.2. Requirement for NSRP Terminal

Accepted vessel calling to NSRP Terminal must be satisfied with NSRP Terminal Regulation
especially the following operational requirement:

5.2.1. SIRE Inspection Report

NSRP will review SIRE Inspection Reports which these validity are not more than 9
months from issuance date for more than 10 year old vessels, not more than 12 months
from issuance date for not greater than 10 year old vessels.
Tankers who evidently go on international voyage with cargo(es) from/to NSRP Terminal
must have SIRE Inspection report which its validity as above mentioned.

5.2.2. Observation of International Codes, Vietnam Laws and NSRP Terminal

Regulations
To observe Vietnam Laws, International Codes, IMSBC Code, Guidelines of OCIMF (Oil
Companies International Marine Forum) to operate effectively and safely its terminal,
NSRP sets up the Vetting Process and safety standards for all Vessels. The standards
are based on the IMSBC Code, OCIMF documents such as SIRE Programme, ISGOTT,
and the related rules, regulations, and NSRP Terminal facilities and current condition of
Vietnamese vessel fleets.

5.2.3. Vessel Age

Vessel age account from year of building on Ship Registry Certificate:
 Vessels over 30 years old will not be accepted.
 Depending on the vessel age (more than 15 years old) and Class regulation, the
vessel above 20,000 dwt must have Condition Assessment Program (CAP) issued
by Class Society not more than 3 years from date of Class survey.
5.2.4. Closed Cargo Operation
The Tanker under vetting carrying volatile, toxic or noxious Cargo must operate at all
times in the “Closed Cargo Operations” mode, as defined by the current edition of

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ISGOTT.

5.2.5. Vapor Recovery

When vapor recovery control requirement is applied; only vessel suitably equipped can
be accepted.

5.2.6. Inert Gas System (IGS)

Over 20,000 DWT vessels by statutory requirement to be fitted with IGS must ensure that
the system is fully operational. Tankers 8,000 DWT and over, carrying low-flashpoint
cargoes, and constructed (keel laid) on or after 1 January, 2016, must be provided with a
fixed IGS. Crude oil tankers and tankers carrying volatile product cargo must be fitted
with IGS. Requirements for Gas carries and Chemical tankers are defined in IMO Code
(BCH, IBC, ICG or GC).

5.2.7. LPG Carrier

Ship Managers must have annual plan of void spaces and cargo tanks inspection. The
inspection must be performed by competent surveyors. Checking of safety equipment
and gas detection system (GDS) must be carried out simultaneously with checking
vessel structural condition. Ship Managers must have procedures regarding annual
maintenance of dry chemical foam fixed fire extinguishing system to be carried out by
certified shore services.

5.2.8. Manning and Certification

 All officers must hold valid Certificate of Competency, Special Training Certificate for
handling dangerous cargoes according to STCW.
 There must be 4 senior officers according to STCW.
 All crew members must have adequate certificates in accordance with the size of
vessel and the cargo carried as required in STCW.
 Training Program for oil spill on board must be observed and Training Handbook
must be available on board.

5.2.9. Officers Matrix

Officers are required:
 Total experience for Master and Chief Officer required at least 4 years seagoing
service on tankers.
 Total experience for Chief Engineer and Second Engineer required at least 3 years

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sailing on oil tankers.

 Total experience for Master and Chief Officer required at least 2 years being senior
officers on oil tankers.
 Total experience for Master and Chief Officer of LPG/LNG carriers required at least 2
years being senior officers on similar type of carrier.

5.2.10. P& I Insurance

 For Tankers trading on International Voyages as stipulated in Ship certificates they
must be under P&I insurance with an international P&I Club (with oil pollution
liability at 1,000,000,000USD (one billion USD).
 For Tankers trading on Domestic Voyages as stipulated on Ship certificates, they
must be under P&I insurance with oil pollution liability at 500,000,000USD (five
hundred millions USD).

5.3. NSRP Vetting Process

NSRP Vetting Processes are described in details in as follows,
 NSRP Ship Vetting Procedure for Tankers with SIRE inspection report
 NSRP Ship Vetting Procedure for Tankers without SIRE inspection report
 NSRP Ship Vetting Procedure for Dry bulk Carriers and Container Vessels

If Tankers have valid SIRE Inspection Report as stipulated in 5.2.1. Ship Owner/Operator
requests NSRP to review SIRE Inspection Report. Ship Inspection by Third Party Inspection
Company can be substituted to SIRE Inspection Report submission.
Tankers without SIRE Inspection Report intended to come to NSRP terminal must take Ship
Inspection as one of step of Vetting Process to get NSRP permission. Based on Ship
Inspection Report conducted by Third Party Inspection Company, NSRP Vetting Team will
carry out Ship Condition Assessment and Pre-berthing Inspection if necessary.
For Dry bulk Carriers and Container vessels, NSRP will not carry out Ship Inspection by
Third Party Inspection Company. NSRP Vetting Team will collect ship information, carry out
Pre berthing Inspection and conclude Ship Condition Assessment.

5.3.1. Ship Vetting Request

Off Takers register ship information and send the Ship Vetting Request to NSRP E&C,
the same information will be also updated to Operations Division.

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5.3.2. Receive ship inspection application

Once receiving the Ship Inspection Request, the Third Party Inspection Company sends
confirmation email and the Ship Inspector for inspection execution. Below are the steps
which will take place during this ship inspection process:
 Confirmation of vetting implementation as ordered.
 Request Ship Owners/Ship Operators to provide information prepared for inspection.
 Confirmation of vetting fee payment.
 Ship Owners/Operators send replied email to Third Party Inspection Company.
 Ship Owners/Operators fill up the ship information into NSRP Vessel Particular
Questionnaires form, and then sends to Third Party Inspection Company.
 Self-check and answer questionnaires in NSRP Vessel Inspection Questionnaires
form.
 Continue updating latest information of the ship as requested.
 Agree with Third Party Inspection Company about the time and place of inspection.
After receiving sufficient information, Third Party Inspection Company informs Ship
Owners/Operators the full name, phone number, email address and inspection schedule
of Inspector.

5.3.3. Ship Inspection

Ship Inspection is full progress for all safety and security management system of the
vessel based on the questionnaires system issued and updated by NSRP.
Ship Inspection must be executed during cargo loading/ discharging operation status
(other status will be considered by NSRP) and not be allowed from 20:00 to 05:00 hrs
except for the special condition which is agreed by NSRP.
Inspection procedure includes:
 Conduct the meeting with Ship Management Officers.
 Review self-check and answer of Ship Owner/Operator according to NSRP Vessel
Inspection Questionnaires;
 Check the details and note all observations during inspection progress.
 Hold the meeting with Ship Management Officers and representative of Ship
Owner/Operator (if available) and note the content/sign Observations list.

5.3.4. Ship Owner/Operator explains the observations to be noted

Based on observations noted in the list, Ship Owner/Operator explains and plans to
rectify observations and remedies to avoid repetition. Time for rectification/explanation is
within 14 calendar days from the date of Observations. Rectification/explanation and plan

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must be sent to Third Party Inspection Company.

Ship Owner/Operator coordinates with Third Party Inspection Company to complete
inspection report in order to send to NSRP before the previous approval validity expires.

5.3.5. Third Party Inspection Company sends Ship Inspection Report to NSRP
Third Party Inspection Company receives and processes additional information from
Ship Owner/Operator within 14 calendar days from the date of inspection and prepares
the detailed Inspection Report and sends it to NSRP within 15 calendar days from the
date of inspection;
Third Party Inspection Company informs the content of Article 5.3.4 to Ship
Owner/Operator for their proper acknowledge and implementation;
Third Party Inspection Company compiles documentation to record the Ship Inspection
Result.

5.3.6. Ship Condition Assessment

Once received Ship Inspection Report, Vetting Team shall:
 Review Ship Inspection Report.
 Collect external information such as HVPQ, Q88, PSC, IHS, previous Inspection
Report (SIRE, NON-SIRE), info of previous works in other Terminal. (Collected
information will be compared with NSRP Terminal design parameters, NSRP High
Risk Observation List. Additionally, PSC inspection Code 30 is also considered as
High Risk observation).
 Conclude Ship Condition Assessment Result as follows:
- Violate non- High Risk observations on Ship Inspection Result and other info but all
observations are rectified: “Accepted“.
- Violate non- High Risk observations on Ship Inspection Result and other info but
some observations are on pending: “Accepted subject to Pre-berthing
Inspection”.
- Violate High Risk observations on Ship Inspection Report or other info: “Not
Accepted”.

5.3.7. Pre-berthing Inspection

Pre-berthing Inspection will also be executed for nominated vessels calling at NSRP
Terminal as the first time or not calling at NSRP Terminal over recent 12 months.
Ship Owner/Operator shall provide adequate information by filling Pre-berthing
Questionnaires for Tankers as in the form and corrective action status to NSRP for

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review.
NSRP Vetting Team shall execute Pre-berthing Inspection at anchorage area near NSRP
Terminal to re-check corrective actions against Observation reported on Ship Inspection
Report, and also conduct Inspection based on “Inspection Checklist for Tankers for
Pre-berthing Inspection”.
 If Ship Rectification Report is correct and not violate High Risk observations on
Pre-Berthing Inspection Result: “Accepted”
 If Ship Rectification Report is not correct or violate High Risk observations on
Pre-Berthing Inspection Result: “Not Accepted”.

5.3.8. Issue Notification

Based on the Ship Condition Assessment Result or Pre-berthing Inspection Result,
NSRP will notify final acceptance/rejection to Ship Owner/Operator in the name of
General Manager of Refinery (GMR).

5.3.9. Ship/Shore Safety Check

Based on ship loading schedule, accepted vessel must be executed Ship/Shore Safety
Check by Berth Master and Chief Officer before cargo operation, during cargo operation,
before un-berthing to ensure smoothly co-operation and safety operation of Terminal.
The details are described in Guideline for Ship/Shore afety Inspection.

5.4. Miscellaneous
5.4.1. Re-Vetting
Ship not accepted by NSRP can be nominated for re-vetting one month after the date of
rejection by NSRP.

5.4.2. Validity of Acceptance

 For Tankers, based on SIRE report review, Ship Inspection Report by Third Party
Inspection Company and Ship Condition Assessment, NSRP Vetting Team will make
decision for Ship Acceptance/Rejection. Validity of Acceptance as follows: Vessels
less than 10 years old will be accepted not more than 12 months.
 Vessels more than 10 years old will be accepted not more than 9 months.
Pre-berthing Inspection will be executed for nominated vessels calling at NSRP Terminal
as the first time or not calling at NSRP Terminal over recent 12 months (Applied for all
vessels under “Accepted subject to Pre-berthing Inspection”).

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5.4.3. Ship Re-Construction Consideration

For specific situation of vessel acceptance, NSRP considers to accept vessel valid date
in some cases as bellow details:
 Changing of Ship Owner. Anyhow, if the vessel is still under same Managers, she
can be considered for acceptance by NSRP.
 Changing of Class, P&I Club; Ship Operator; Ship Managers, important technology
system of the vessel which may affect to the safety condition of the vessel.
 Changing of important ship systems to effect on safety operation.
 Ship accident; aground; fire-explosion; Pollution or others maritime accident:
arrestment and Non-compliance report of Port Authority.

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