Starcon 2014 Newsletter

a CIANBRO company

SPRING 2014 NEWSLETTER

Northern Hub Moves to New State-of-the-Art Facility n

By Tom Peterson

The last week of October 2013 found the entire Northern Hub team busily packing up and making ready for the move to their newly finished facility located at 2100 Ellis Road in New Lenox, Illinois, off of I-80 in the Cherry Hill Industrial Park. The new facility is located near all of Starcon’s refining, petrochemical and food processing customers in the Chicagoland area.

The new state-of-the-art building

provides 28,000 square feet of office space, warehousing and training areas all under one roof. The new craft training facility will enable Starcon to perform welding training and computer-based instruction, while also serving as the region’s Associated Builders and Contractors (ABC) training site as well.

By the second week in November, team members were still getting settled in, but most of the staff was in place and ready to do business as usual. After such a large relocation,

it was surprising how quickly the team was up and running in the new facility. Superb pre-planning was the factor that led to the smooth move.

The facility has a large office area and a large shop area which the company has needed for many years.

There is more than ample parking, as well as a paved fenced secured laydown area. This new facility is one of the diamond milestones in the ongoing growth of Starcon and Cianbro.

PRESIDENT’S

Message

During the past year, economic challenges continue in the Petrochemical, Refining and other selected markets, while Starcon’s growth opportunities continue to be strong. Everyone’s efforts and contributions during 2013 in building a more diverse company capable of performing more services to our valued clients has greatly contributed to building a stronger company.

Strong business relationships with our customers allow us the opportunity to continue to grow our business. It is important that we take the time to thank our clients who have confidence in our abilities to support their needs.

For many years we have seen our industry continue to change -- change due to the economic conditions, the energy expansion in North America, the environmental regulations, and an aging workforce that continues to shrink while demand continues to grow.

All of these changing conditions will require us to adapt, create, diversify, modify and be quicker to develop creative and innovative solutions to deliver the lowest total system cost. This does not mean having the lowest Dale Kuntz rate structure, it means finding an innovative solution that allows changes to be made to a process or task that enables the people to become more productive and bring the best value to the customer.

We must continue to challenge ourselves to explore those segments of our business associated with Refining, Petrochemical and other markets and find better solutions to produce improved outcomes associated with performing services in Maintenance, Turnarounds and Capital Projects. These very competitive times will require us to make changes that will require flexibility, sacrifice and embracing the changes that will facilitate the growth opportunities that we see in front of us. The education and training of our people will become critical as we address the needs of our clients and the markets we service.

In the area of safety, our overall 2013 performance was similar to 2012 and we completed the year at a .53 RIR on approximately 3,000,000 hours of work. We set a goal at the beginning of the year that “No One Gets Hurt.” Although we didn’t achieve this goal, we made great improvements in further engagement of our Frontline Supervision and Craft taking ownership and responsibility for their personal safety. That is the foundation behind “No One Gets Hurt.” It starts with making safety personal, encouraging our team members to focus on their safety being first and foremost.

The key to having a safe day, performing quality work and being productive begins with the planning, preparation, communication and putting these steps into the flawless execution of the work. It is through your commitment and dedication towards our safety and wellness programs where this becomes a reality. We will continue to make additional improvements in safety and wellness in 2014. Keep up the great job! “No One Gets Hurt!”

Your continued hard work and commitment to improve our safety, quality, wellness, productivity, utilization of resources, developing people, satisfying our customers and shaping our culture is greatly appreciated.

Thank you for everything you have done and continue to do to make Starcon successful in 2014 and beyond.

Dale

PAGE 2

Brett Richardson and Jim Soukup accept CURT awards

Construction Users Roundtable Honors Starcon’s Safety Efforts n

By Brett Richardson

Recently, the Construction Users Roundtable (CURT) organization recognized both Starcon and parent company Cianbro for ongoing innovations in safety.

Both firms were awarded the CURT Construction Industry Safety Excellence Award at a ceremony held in Tucson, Arizona. The recognition is amplified by the fact that only seven awards were presented this year. The award goes to those contractors that exemplify continuous improvement in the safety and well-being of their people and that challenge themselves continually to improve their systems and culture.

As a result of winning the award, Starcon was asked to present and discuss some of their innovations in safety at the CURT Safety Summit held in February of 2014. Starcon’s General Manager of HSE Brett Richardson attended and spoke to the group about the many innovations that Starcon has developed -- specifically, the company’s Zero Energy Culture and Beyond Zero Assessment Process.

This recognition is representative of the hard work that Starcon team members put in every day to support the firm’s Beyond Zero culture and NO ONE GETS HURT attitude.

STARCON

SPRING 2014

Welcome to the Finance Team at Starcon n

By Clint Stephen

As Starcon team members, we have a shared responsibility to ensure the ongoing financial success of the company by continuing to deliver quality service to our customers and business partners. That makes us all members of the Finance Team! From Operations to HR, Estimating to Safety, and Payroll to QA/QC, all of us have the ability and the responsibility to contribute to the financial health of Starcon. That contribution comes in many forms, including high quality work in field operations, development of customer relationships, and the recruitment and development of quality team members. A financially strong Starcon means more security and opportunity for all team members.

As we all work together to grow the business, ongoing focus on executing the fundamentals will greatly enhance our ability to take advantage of opportunities presented to us in the current market. Asset protection, risk mitigation, process/cost control and cash management will all contribute to the availability of working capital that we must utilize to take on new and exciting work.

We all have a stake in this. Simply put, the more efficiently and predictably we can manage our business and cash flows, the more capacity and flexibility we

have to bid on and complete new work, including additional capital projects. By expanding our reach into capital projects, the company will have more ability to transition team members during the seasonal cycles associated with turnaround work.

The decisions that team members make every day can have a profound impact on our success. Focusing the team on spending our available human and financial capital on value-added prospects is the key to our success. The company has the resources to invest in those areas where we see a value added return; we

need the engagement of team members to help us see those opportunities.

We will always look for opportunities to improve our business. From safer, more efficient and higher quality project delivery to more accurate and timely cost control and reporting -- Zero Injury and Zero Defect work will always be our goal. Profitable achievement of these goals depends on the multiple talents and collective experience of our entire team, including the team’s ideas for improvement.

Farewell to Tom Peterson, Starcon QA/QC Vice President 2003-2014 Tom Peterson is retiring from Starcon after eleven years of dedicated and loyal service as vice president of QA/QC. During Tom’s tenure with Starcon, the overall QA/QC programs were taken to a top tier level. His leadership and perseverance raised the bar to a pacesetter level resulting in significant improvements to our overall quality performance. Tom is leaving the department in excellent condition in the hands of Travis Hamblet who has replaced Tom as the new vice president of QA/QC. All of us at Starcon wish Tom and his wife Lynelle, children, grandchildren, and great grandchildren, a very well-deserved retirement.

One thing we know about Tom is he will be off on his next adventure with his photography business. He’ll be continuing his work capturing the history of this great land as well as working for several entertainment companies and record labels in Nashville, the Country Music Capital, and heading out to Vail to take on those challenging ski runs.

Tom, thank you for all of your support over the years, but more importantly, thanks for your friendship. God bless ,

Dale

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STARCON

SPRING 2014

Starcon’s HF Alky Services n

By Mark Bortka

Starcon is a premier contractor for HF Alky Services

Clean-burning gasoline requires a high octane rating. Oil refineries achieve these ratings by using additives produced in processes called “alkylation.”

One of these alkylation processes requires the use of highly concentrated hydrofluoric acid (HF). The HF alky units

inherently have two primary hazards: • The acid catalyst is corrosive and toxic.

• The unit processes large volumes of light hydrocarbons, which are highly flammable and potentially explosive.

Safety is a key value at Starcon. With that said, Starcon’s management team is committed to providing a safe work environment for our team members and our clients on every job and on every shift. Working in an HF alky environment requires extensive training, along with continual reinforcement of Starcon’s Health, Safety and Environmental (HSE) culture.

For more than twelve years, Starcon has been safely performing HF alky turnarounds for our refinery clients. Starcon has dedicated the time, resources and expertise toward developing and streamlining the processes, procedures and precautions necessary to work safely under these potentially harmful conditions.

procedures require that HSE representatives manage the decontamination process and the handling of the clean/dirty areas. Additionally, Starcon’s HF alky technicians receive the required training and certification. Starcon’s proven procedures, coupled with team member experience and expertise, equates to improved efficiencies and reduced risks.

Examples: customized trailer design, don/doff procedures and areas, standards for cleaning, inspecting and repairing suits, detailed execution plans, and systematic arrangement of trailers, walkways, access, showers, etc.

Starcon has the ability to offer clients multiple services when working in HF alky units, since the de-con trailers are owned by Starcon and most, if not all, of the qualified craft (pipefitters, welders, boilermakers, riggers, scaffold builders, insulators and crane/ equipment operators) are hired directly.

Team Member Contribution

Starcon’s management team is proud of the work that has been performed by all the team members for our HF alky clients — whether craft, staff or corporate support. Those successes lead to the desired growth and expansion. Starcon currently has approximately 25 percent of the HF alky turnaround business, and through teamwork and continued successes, we can capture another 35

percent.

In order to stay ahead of this growth, Starcon recently added another HF alky trailer to its fleet, which gives Starcon the capabilities to execute two large HF alky turnarounds at one time. Additionally, Starcon will build another trailer later in 2014. Starcon’s La Porte logistics team, led by Joey Bell, designed and fabricated the new addition which is the most efficient decontamination trailer in the industry.

Starcon’s management team certainly appreciates the superb efforts of the La Porte logistics team for fabricating this new trailer in the time afforded, while also continuing to support the field.

Sincere appreciation goes out to: Joey Bell, Francisco Aguilar, Richard Celestial, Pat Dryden, Tryson Brock, Jesus Gutierrez, Javier Gonzalez, Joseph Van Druten, Chris Padilla, Sal Martinez, Arturo Villarreal, Brennan Bell, Ward Johnson, Carlos Muniz, Ward Johnson, Carlos Muniz, Jamie Gonzales and Robert Batchelor.

Starcon’s HF alky trailer layout is designed specifically for enhancing the safety of the team members and improving efficiencies. With this unique design, the average number of suits that can be de-conned, cleaned and dried per trailer /per shift is: 600!

This winning combination of people, resources, procedures and experience makes Starcon one of the premier contractors performing work in these critical HF alky units.

How is Starcon Unique?

In an effort to reduce or eliminate hazards, Starcon’s HF alky PAGE 4

STARCON

SPRING 2014

Wellness at Starcon n

QAQC n

By Travis Hamblet

This past year brought many reasons for us to be proud of our company. Our quality performance in 2013 was very good. Despite some challenging welding projects early in the year, our welding performance was extremely strong throughout the year and we finished with a total weld reject rate of less than two percent.

That is better than the industry average and is an ever increasingly difficult task in light of workforce challenges. We maintained an almost unblemished record of flange integrity with a nearly perfect rate of 99.65 percent. Capping off our successes was a perfect record of hydro integrity. In all measurable standards, we set the bar quite high for 2014!

The results we achieved can be attributed to several factors, one of which is the team of experienced professionals in our QC group. I was fortunate to inherit a team of qualified individuals whose qualifications, hard work and dedication are the model of what a QA team in our business should resemble. Our accomplishments were made possible by combining that strong team with an operations group dedicated to making our jobs easier. We sought out every opportunity to make sure that all of our processes integrate into our operations as seamlessly as possible and we will continue to build on that initiative.

One of the other important components of our success is a strong program of processes and controls. Starcon does have a very well built program. We continue to build on that platform of procedures as we grow and become an even more dynamic company. My focus is to remember that our program should always be built on a model of continual improvement. Just because we do it well does not mean we cannot do it better. We have worked to improve our audit processes and are changing the way that we handle non-conformances to make certain that we capitalize on every opportunity to learn from our mistakes.

Finally, I want to close by taking a moment of personal privilege to say thank you to my predecessor for giving me so much to brag about. Tom Peterson handed over a program and a team that I am proud and fortunate to be chosen to lead. It is on that platform that we will continue to build on our strengths and strive to set the quality standard for our industry.

PAGE 5

By Vernetta Gray

At Starcon, we believe that our mantra of “No One Gets Hurt� includes investing in prevention and well-being as it makes sense for our team members and our business. Wellness and healthy living are considered a company value and team members are supported in this endeavor through Starcon’s wellness initiatives. The reasons are simple: Healthy team members experience a better quality of life and higher personal productivity, and those who discover health problems early tend to get well faster and spend less on medical care. Our strategy is to challenge team members to become active and informed participants in their own health by providing our team members with health related information and the tools to help them achieve their highest potential at work, home, and the communities in which they live.

Here is a brief list of the wellness initiatives we have in place today:

1. Discounts on team member deductions for completing a health risk assessment.

2. All participants who have been in AFLAC Accident and Critical Illness plans for 12 months are eligible to receive a wellness check each year.

3. We are actively posting on portal and sending out bi-weekly WOW bullets to update team members on current wellness issues.

4. Discount on gym membership as long as you visit the gym eight times in a month.

We will continue to seek out other ways and programs to challenge our team members to become more active and informed about their health. For more information on the initiatives listed above please visit the benefits section of the team member portal at www.starconinternational.net.

STARCON

SPRING 2014

HUB CHATTER Hub and Spoke

By Jim Soukup What is Hub and Spoke strategy, and how does this affect Starcon team members? The Hub and Spoke is simply an organizational structure that is designed for growth and customer service. It is basically a regional approach to business. At the beginning of 2014, Starcon officially moved into the Hub and Spoke organizational structure. There are five hubs: Houston; Louisiana; Chicago; Tristate; and the Pacific Northwest. Each hub manages all of the work within a radius of 350 miles. This distance allows the manager to focus on the clients in an area easily accessible within a four hour period. It also creates the strategy and client diversity for business development within the hub.

Diversity of client mix is important for growth and an organization’s sustainability. Starcon over the years has focused primarily on maintenance and turnarounds in the refining market. Our goal is to develop the upstream market in the Tristate hub, food and ethylene in the Chicago area, and provide more focus on chemicals in the Houston and Louisiana hubs. The Pacific Northwest will continue with upstream work in Alaska and refining in Washington state and the Rocky Mountain areas . n

Chicago Hub n

By John Rupke

Flint Hills Resources – Joliet, Illinois Starcon has been performing maintenance work at the Flint Hills Resources petrochemical facility in Joliet, Illinois for four years. The contract started as a 12-team member site where our primary responsibility was to perform insulation and scaffold work. Currently, Starcon has approximately 75 team members on site, and is performing scaffolding, insulating, piping, mechanical and planning work. The Starcon team at Flint Hills Resources has done an outstanding job of keeping safety and quality as their main priority. This is due to the team’s commitment to safety and quality, as well as to the leadership of Project Manager Jack Petty and Safety Manager Rich Jones. All of these efforts have led to a great partnership between Starcon and Flint Hills Resources, and have allowed Starcon to realize tremendous growth at the site.

Flint Hills Resources Renewable Fuels Starcon bid on, and was awarded, the contract to perform capital project and turnaround activities at eight Flint Hill Resources ethanol plants located in Iowa, Nebraska and Texas. This work PAGE 6

STARCON

SPRING 2014

HUB CHATTER will establish a foothold for Starcon in Iowa and Nebraska for future growth opportunities. Once contractual language is agreed upon, Starcon is expected to begin work at two of the plants in April of 2014. This work will be managed out of the Chicago Hub.

LyondellBasell – Morris, Illinois Each of Starcon’s sites performs outstanding work each and every day. However, Starcon had one project that stood out in 2013 at the LyondellBasell petrochemical facility in Morris, Illinois. Starcon performed a furnace re-tube in March which involved some very difficult welding on exotic metals. Because of the exotic material used in this high heat application, additional procedures had to be developed and then each welder qualified to perform the weld. This material is not normally included in Starcon’s regular weld qualification and is a rare occurrence for the company’s welders. The project was completed ahead of schedule, with quality and safety at the forefront. The Starcon Leadership Team consisted of Project Manager Larry Turner, Jeff Wallace on QA/QC, and Tim Mills handling safety. Additional recognition goes to the entire Starcon team in the field who made everything come together into a successful project. Because of the outstanding effort in the overall success of the project, Starcon was awarded the Eagle Award from Associated Builders and Contractors. Reggie Williams and Jim Soukup accepted the award for Starcon on behalf of the entire team at LyondellBasell.

NTE – St. Paul Park, Minnesota Starcon has enjoyed a great partnership with Northern Tier Energy at NTE’s refinery in St. Paul Park, Minnesota. Starcon’s primary work responsibilities are scaffolding and insulation, but the team is also involved in mechanical and welding work. Beginning in 2013, NTE requested additional help performing scaffolding work. Starcon brought in extra team members to help NTE with their scaffold needs. Normally, Starcon performs approximately 53,000 work hours per year at the facility. In 2013, Starcon performed 90,000 work hours. This was accomplished with outstanding safety and quality. The exemplary efforts of the Starcon team at St. Paul Park are led by Project Manager Bruce Shalles.

PAGE 7

Shell Deer Park Phenol 2 n

By Pete Stamos

Starcon will be performing a Shell Deer Park Phenol 2 turnaround, scheduled for a six week mechanical window, commencing this spring. The peak manpower force is expected to reach 210 team members. Scope for this turnaround includes static equipment (towers, vessels, drums, exchangers), piping, and valves. Established as a time-andmaterials contract with a target man-hours incentive, the project team has recently reached a key milestone of scope plan completion within P6.

With the initial Risk Mitigation Assessment complete and scoring favorably, the project team prepared for their second pass scheduled for the end of February. Other initiatives underway through a collaborative approach between Shell and Starcon include review of such processes as system breach, lock out-tag out, confined space work, job safety analysis/service labor agreements, New to Starcon, and development of a site specific safety plan. Much effort has been directed towards sharing and setting safety expectations in the pre-phase of the project which has strengthened an already strong safety vision.

As for future growth at Shell Deer Park, Starcon’s successful performance with PAU3 has afforded the company the opportunity to demonstrate the same high-standard deliverables for PAU2. With successful completion of this work, which also includes a heater tube prefabrication and install, the near future opportunity to repeat the PAU3 turnaround is very realistic.

STARCON

SPRING 2014

HUB CHATTER Valero Meraux S-800 Hydrocracker Project

Dow Texas Alliance

By Chris Nelson Starcon International was successful in obtaining the S-800 Hydrocracker Project at the Valero Meraux, Louisiana site in October of 2013. Valero has commissioned the engineering firm Burns & McDonald to facilitate the construction management portion of the entire project. Starcon International will perform the mechanical portion of the S-800 project while managing various subcontractors that will assist in the completion of the work. Starcon mobilized staff to the Valero site in late October of 2013. The scope of work will include approximately 12,000 linear feet of large bore heavy wall alloy piping which will be performed during the capital project cycle of the event. The remaining fabrication, equipment setting and tie-ins to the existing units will be performed during the turnaround portion of the project. The turnaround is currently expected to start in July and end in late August/September with an expected total duration of 40 to 50 days. The schedule includes catalyst loading that will be performed by others.

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New Facilities in the Pacific Northwest

By Bill Savoy The Northwest Hub recently moved into a new office and warehouse located at 950-A Fountain Street, Burlington, Washington. The facility is located one minute from Exit 231 on Interstate 5, 70 miles north of Seattle and within 35 miles of most of the refineries that Starcon is servicing in the region, or has approached with proposals for future work.

Starcon has been at the Shell Anacortes project since November of 2013, preparing for a general mechanical project that includes the alky and HTU 3 units. Included in the scope are towers, vessels, exchangers, valves, piping, and weld repairs. The planned oil outage began on March 6 with more than 45,000 work hours before completion.

The next work will be an upstream project for BP Alaska which is scheduled to begin in the fall of 2014. n

By Bill Savoy A partnership with unlimited growth potential based on service deliverables, Dow recently awarded Starcon an agreement to service turnarounds at the Deer Park and Freeport sites for 2014. The decision was based on Starcon’s proven ability to deliver safe, productive services while gaining local credibility for future work.

The partnership will enhance Starcon’s presence in Southern Texas while opening potential opportunities with additional customers in the area. The operational lead for Freeport is Malcolm Smith, and Julius Lester takes the lead for Deer Park.

Starcon is pleased to have found such a quality business partner as Dow and its employees. The opportunity will expand upon Starcon’s existing services in Texas and will continue the company’s commitment to provide excellent customer service. Starcon’s team looks forward to the ongoing transition into Dow’s sites while incorporating the Dow and Starcon safety cultures.

The next projects will consist of the PMDI turnaround on Freeport Plant A for 100 team members, and the N2 turnaround in Deer Park which will be conducted by 200 team members. Both projects are scheduled for the April 2014 time frame.

Marathon Catlettsburg Awards Additional Work to Starcon

By Rob Seimetz Starcon was recently awarded the piping and mechanical work that is to be done in both the alky unit and lower GasCon during the major turn around this fall at the Marathon refinery in Catlettsburg, Kentucky.

The turnaround manpower for both units will run around 250 to 300 team members. Based on conversations with the client, Starcon was awarded the work in large part due to the success over the past couple of years that the company has had with previous turnaround work. n

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STARCON

SPRING 2014

The Starcon Eye Protection Program n

By Brett Richardson

Recently the Starcon Corporate HSE Department rolled out the new Starcon Eye Protection Program. These expectations were developed to reduce the potential for eye injuries, in the wake of the realization that eye accidents accounted for a significant portion of the company’s injuries in 2013.

The belief behind the Eye Protection Program is that, with the cooperation and engagement of all team members, the Starcon team can make a tremendous difference toward ensuring an injury-free workplace.

to using sleeves that might have debris on them). The rags are disposable, so carrying plenty of these in a clean, protected place such as a pocket can offer a safer alternative.

4. Face/Hand Wash Stations: Ensuring that all team members have an adequate place to wash both their face and hands is critical (especially in the hotter months) with regard to removing any debris that might be harmful to eyes.

5. Proper Donning/Doffing of PPE: One of the most important actions the company can perform is to ensure that each team member fully understands the best methods for removing personal protective equipment (PPE) such as hard hats, goggles, and faceshields. Debris settling on these pieces of equipment is a leading cause of foreign body injuries. Included in the roll out is a step-by-step diagram detailing the proper way to don/ doff PPE.

6. Hard Hat Magnets: The use of hard hat magnets on the brim of hard hats is a great way to capture any loose metallic debris that has the opportunity to slide down the hard hats and enter the eye area. All hard hats ordered from Starcon’s vendor will come standard with the magnets attached. Each project is currently ordering the magnets for existing hard hats.

The Eye Protection Program is centered on seven key elements: 1. Proper Fitting Safety Glasses/Eye Protection: Starcon will ensure that each project will carry several different types of safety glasses and eye protection. The company will see to it that team members are fitted individually with eye protection that conforms to the natural contours of faces and eliminates gaps where debris can enter.

2. Vac-Shacks: Where feasible, Starcon will establish shop vacuum stations to allow team members to vacuum off loose debris (grinding debris, insulation, dust, etc.) from clothing to prevent that material from becoming airborne and possibly entering the eye.

3. Use of Lint Free Rags: Starcon has asked that each project provide a substantial amount of lint free rags for team members to carry with them during the hotter months. This will provide the team with a clean way to wipe their face (as opposed PAGE 9

7. Use of Spoggle Type Eye Protection: In the past, the company has relied too often on the chemical splash goggles that team members are required to wear in many of our facilities as secondary eye protection. In many cases these goggles have been exposed to the elements and may themselves have debris on them. In short, they just have not offered the level of eye protection needed when performing activities such as scaffold material handling, insulation work, and other types of tasks that produce debris. Going forward, we will follow the same expectation regarding safety glasses, and ensure that each project is providing tight-fitting goggles for work that requires them.

Each of the elements listed above is discussed in detail, along with illustrations, in Starcon’s Eye Protection Program handout. The handout is available at all sites -- to receive one, team members only need to ask the safety department. Posters will soon follow, detailing the program. Local safety department team members are on hand to answer any questions.

STARCON

SPRING 2014

Tesoro Golden Eagle Refinery Turnaround

n

By Tom Peterson

The 4Q13 HCU Turnaround at the Tesoro Golden Eagle Refinery in Martinez, California was a $4 million exchanger job consisting of a total of 97 exchangers, three of which were in excess of 90,000 pounds each, while three others were 30 foot bellows bundles in a very tight area. The project began on October 1, 2013 and was completed on November 8th. There were more than a dozen pill box bundles, and PAGE 10

seven fin fan banks that had to be changed out. Within the first seven mechanical days, every bundle was pilled, seven fin fans swapped with new replacements, and 19 fin fan banks opened to allow for the inspection of around 5,000 plugs.

The project unit was very tight and congested with more than 12 contractors, both union and open shop, working side by side. The planning and work around was phenomenal in that everyone stayed busy, and all work was scheduled and coordinated to prevent down time and to avoid holding up those crews working close to Starcon in the same area.

Starcon General Foreman Brian Cox felt good about the progress taking place on the job. “I believe it’s due to the planning by the Project Manager, John Colvin, and his group of people at the top of the chain to the bottom,” said Brian. “I’ve been on a lot of turnarounds where one man is in charge, and believe me; they don’t all run this smooth.”

Day Shift Foreman Les Hudgkins had this to say as the work progressed: “I think the job is going very smoothly. I think it has

a lot to do with the turnaround pre-planning, getting the foremen out ahead of time to walk out their job scope, good attitudes, good teams, no night shift / day shift rivalry, and everyone taking pride in safety and quality.”

Mechanic Richard Mitchell said, “It’s been a really good job. I love when they go like this…everyone on the same page, good communication, and good team work.”

Front line supervisors were on hand with the craft team members, ready to mentor and to give good directions as well as all around superb supervision and leadership.

All team members worked together showcasing the Starcon methodology and culture of NO ONE GETS HURT, and everyone was well-informed about the tasks at hand.

There were minimal safety issues on this project, and no injuries or recordables.

The team performed extremely well on Job Safety Analyses, Service Level Agreements, System Breach procedures, job planning, housekeeping, Personal Protective Equipment compliance, Behavioral Based Safety participation, self-audits and overall participation in the tailgate safety meetings.

Several Starcon team members, including Adam Poe and Jason Harrison, were recognized as safety leaders in plant-wide all-hands meetings by client representatives. This recognition was for intervening and coaching Starcon team members and other contractors as well. Adam Poe was recognized for catching a missing blind during the joint job site walk down with operations prior to the job starting. This is just one of several examples of the type of ownership and leadership that Starcon has exhibited throughout the project.

This type of behavior in Starcon’s front line leadership trickles down to the craft level, making Starcon safety culture strong throughout the rank and file. The results of this are seen every day in the field. Daily recognition and repeating positive messages to team members are critical actions toward keeping the culture and attitudes strong.

Recognition goes out to these Starcon team members for a job well done: John Colvin, Mike Davis, Donovan Seeber, Louis Weybrew, Kris Sullivan, Frank Donis, Barclay Seay, Justin Gongre, Justin Cox, Jason Harrison, Vincent Flynn, Les Hudgkins, Roderick King, Angel Cavazos, Genisia, Jared Johnston, Jerry Cox, Justin Caudill, Gabe Cummings, Ernie Florence, Robert Brownlow Sr., Melissa Hartman, Diane Colvin, Clovis Cyr, Cindy Studebaker, Angie Vandiase, and all of the dedicated team members without whom the company could not have been so successful.

STARCON

SPRING 2014

Galveston Bay Refinery: Effluent Line Replacement Project n

By Tom Peterson

Early in August of 2013, Starcon was awarded the Galveston Bay Refinery 36-inch Effluent Line Replacement Project in Texas City, Texas. This project was a critical fast-paced environmental project with a completion deadline of February 1st, 2014. Team members mobilized to the site on September 9th.

The scope of work included: • Erecting and welding out 13,557 linear feet of 36-inch pipe and multiple sizes of tie ins.

• 604 total welds, 496 of which are 36-inch.

• Installing wear pads.

A unique challenge of this project was working across four sites: Texas City Port Docks, Port Tank Farm, Valero Refinery and the Galveston Bay Refinery, as well as managing resources and equipment through these. Each area presented different challenges such as limited access to the work area, overhead obstructions, and work hour availability due to client requests to perform activities during non-peak traffic times.

Starcon completed this project in early December. Thanks to the following for their hard work and dedication on this challenging project: Michael Myers, Scott MacDonald, Robert Hathaway, Lynn Lusk, Joe Flanigan, Mark Sanders, Hector Torres, Jose Reyes, Ruben Correra, Eli Ramos, Eraldo Garza, George Guajardo, Rosa Camarillo, Bruce Kerr, and Terry Greer.

Starcon Pipe Fabrication n

By Tom Peterson

In November of 2013, Starcon was awarded a turnaround with a major refinery in the Gulf Coast area. The scope of work included our normal mechanical and welding services of exchangers, heaters, valves; and project work consisting of piping demolition and replacement, and installation of prefabricated welded pipe spools.

The client recognized the value of bundling Starcon’s turnkey approach for shop pipe fabrication and field installation. The shop scope included approximately 2,500 pipe welds of 316 stainless steel pipe with 6,400 linear feet of 6.9 inch average outside pipe diameters. Ten percent of all welds were radiographed as required. The results: one weld repair, resulting in a 99.7 percent weld pass success rate. In addition to the stainless steel piping, there were also 300 linear feet of carbon steel six inch average diameter piping which were five percent radiographed with no weld repairs.

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STARCON

SPRING 2014

Team Member Anniversaries 25 Years

Jeffrey L. Hinchman Patricia L. Lass Michael D. Osburn 20 Years

Jeff S. Parrish 15 years

Michael Baskerville Jason M. Forsythe Kevin R. Forsythe Courtney A. Hays Christopher B. Hempen Todd A. Knutson Jose R. Maldonado Robert J. McCants Robert G. Stiegal Shawn B. Super Douglas D. Wandless 10 Years

Walter O. Adkins Norman R. Bartram Roberts W. Batchelor Curtis W. Beaver Joseph S. Bell Edward L. Billings Curtis Brown Williams F. Bryant Berisford Burke Harlin M Jr. Colkmire Robert J. Cooke Juan I. Corbe Johnny A. Crihfield Michael A. Davis Michael D. Diamantos James B. Fry Javier L. Gonzalez Oziel D. Gonzalez Ricardo Gutierrez Michael R. Hager Richard A. Hammock Michael K. Harts Paul M. Herbert Charles D. Hines Steve G. Hross Ron L. Huff James C. Jenkens William J. Johnson Jerry Kennard Saul Martinez Budd W. Moena Charles L. Morgan Kevin B. Myers Robert M. Myers

PAGE 12

Oliver L. Napier Adam B. Osborn Jim W. Osicka Christopher J. Padilla Jack L. Petty, Jr. Robert T. Phillips Enrique R. Ramirez Lawrence S. Rediess Jose E. Reyes Craig A. Rion Deborah K. Sanor Jeff J. Skummer Malcom M. Smith Gilbert B. Stone Terry E. Stone Daniel P. Taylor Robert A. Thusing Leonard J. Wells Reggie W. Williams Ronald L. Wyatt, Jr. Raymond Zebrowski 5 Years

Carlos A. Aburto Francisco Aguilar Steven W. Allen Richard L. Ashbury Travis L. Bates Adam H. Bechtol Christopher C. Beckett David C. Benge Eric I. Berumen Richard L. Boggs Bernard Bordelon Brent A. Bossaen Amy Brace Francisco J. Briones Paul S. Brown Justin W. Bryant Jesus Calzada Lelin L. Carder Christopher L. Carter Michael A. Case Sam C. Cashio Rutillo E. Castaned, Jr. Juan A. Cazares llder J. Cedillo Austin M. Cheny Justin R. Clarke Dalton Clyburn Monte M. Collins, Jr. Mary G. Conerly Roger L. Coon Berry C. Coss Justin E. Cox Donald G. Dalton

Thomas J. Danas Javier J. Delgado Michael A. Depra Nicolas Deweese Gary L. Feeny Eric J. Fields Ceasar N. Flores Vincent E. Flyn Bendon K. Fort Tyler Foster Collette M. Francisco Paul A. Frankiln, Jr. James D. Fufe Kevin L. Gandee Jorge L. Garcia Clarence W. Garsee Robert J. Golden Rafael H. Gonzales Devin M. Goodnight Philip R. Green Ryan Greene Cale W. Harper Jason Harrison Mellissa N. Hartman Greg A. Hedberg Michael D. Hobart Daniel L. Hoffman Johnathon W. Huck Pamela D. Hutcherson Lawrence S. Jamison Martin Jara Terry G. Johns Michael J. Kelly Anthony J. Klingelhoets Hobert J. Lambert Priscilla J. Lamphiear Jason D. Lange Michael D. Lange John M. Leith Christopher A. Lemon Melvin D. Lesher Christian Llamas Jose G. Lopez Liborio Lopez Roberto M. Loyya Pedro T. Maldonado Enoch J. Marcum Jones A. Martinez Primo Martinez Zachary M. McClure Brooke K. McDonald Randy McGraw Jared L. McNeill Lisa A. McPhail Marvin Medrano Jeffery A. Meyer

STARCON

Heriberto Mieeles Brian Miller Joe C. Miller Irvin Moss Derrick A. Myer Douglas M. Norris Jesus R. Jr. Ortiz Martin D. Ostrander Jeffery S. Patrick Michael J. Penso Nicholes Poleo Miguel A. Prieto Steve J. Procell Melvett D. Ray Grant L. Read Jesse E. Reglin Salvedor Reyes Howard D. Reynolds, ll James S. Rice Anthony W. Ricket Allen C. Rich Jesus M. Rodriguez Ricardo Rodriguez Stevens C. Rogers Lazaro Rosas Michael T. Roth Timothy J. Roland Dennis A. Russel Carlos Saldana Jamie J. Salmons Franscisco J. Santacruz James T. Schackart, ll Donovan S. Seber Joseph A. Senko Bruce D. Shalles Selvakumar Shanmugam Perry W. Shelton Donald E. Shephard Jack D. Smith Michael V. Solas Martin Stalbaum Dale E. Taylor Wade M. Thornsberry Daniel Ramirez-Trevino Lawrence A. Turner Guthrie J. Van Zant Oliver Vazquez Thomas Wanamaker, Jr. Dennis R. Watts Brian A. Webster Jason K. Weister

SPRING 2014

Starcon wins Eagle Award at ABC Nationals Starcon received the prestigious Eagle Award at the Associated Builders and Contractors (ABC) annual Excellence in Construction (EIC) event in Hawaii on February 11. Vice President of Operations North America Jim Soukup and Vice President of Maintenance Operations Reggie Williams received the award on behalf of Starcon team members assigned to the LyondellBasell site in Morris, Illinois. Starcon received the Eagle Award in the Specialty Contracting, less than $10 Million category, for the Furnace Re-tube Project which ran from March through April of 2013.

The EIC awards were established to recognize the nation’s most innovative and high quality construction, safety and diversity programs. The Eagle Award is the pinnacle award recognizing the best of construction in a variety of types and sizes.

The Lyondell Furnace Re-tube was an extremely specialized project requiring the highest quality talent, craftsmanship, safety, reliability and performance synonymous with Starcon. The detailed work consists of blinding, opening/unheading, inspection, demolition and handling of the existing failed tubes, and reloading of the new tubes and hardware in about a four-day window.

Following all of these critical steps, the tube preparation and tube welding was the next critical step due to the nature of the tube material. The challenge centered on the specialty welding involved with the ANK 400 proprietary material from Kubota. Lyondell knew of only one other contractor that could

perform this work.

The project was also scheduled to take place during the seasonal shut down cycle of the major refiners, which created a talent shortage for the capital crew. The decision was made to shift some local combination welders to the site and train them in advance.

With the help of Jeff Wallace, our on-site quality manager and welding instructor, we were able to prepare the team for success with an innovative training process.

The training consisted of using the actual material and simulated working conditions, using jigs and mock-ups. This method paid big dividends as each welder passed the simulation and qualified to weld on the project. Lessons learned were also shared to prepare the team for past issues and for the unknown. One example: The material is susceptible to cracking during the solidification process. A cold draft of air from the furnace door opening at the wrong time can cause a cracking issue. The potential problem is alleviated by wrapping all welds with insulation immediately after completing the weld to further slow cooling.

Special care and consideration must also be given at weld preparation to ensure a clean surface and proper joint dimension. Kubota provided some great tips and techniques that were used throughout the processes as well.

Starcon performed the work ahead of

Meet Motivational Speaker

schedule, within budget, and without any safety incidents. This project exemplifies the highest level of quality, productivity, safety and reliable performance which was possible only by having a merit shop philosophy.

Starcon and Lyondell are very proud of this major accomplishment performed by the onsite team.

As a result of this award-winning job, Starcon has earned subsequent work for furnace re-tubes at Lyondell. Congratulations to the team members who helped to make this accomplishment possible: Theodore Brown, Alexandra Chavez, Brendon Fort, Justin Friddle, John Higgins, Jeremy Jerz, John Kratochvil, Abel Lara, Lance McLin, Tim Mills, Doug Norris, Bradley Parker, Randy Phillips, Frank Rogers, Larry Turner, Guthrie VanZant, Jeff Wallace, Steve Wandless, Ed Case, Matt Cryder, Mike Kelly, Kevin Forsythe, Jason Forsythe, Jacob Howell, Justin Scott, Randy Demoss, Jason Philipp, Roger Flint, Dan Taylor, and Kevin Findley.

Ray McElroy

Ray McElroy is a former NFL football player spending six seasons with the Indianapolis Colts, Detroit Lions, and the Chicago Bears. He is a native of Chicago, Proviso West High School alum and graduate of Eastern Illinois University. McElroy is devoting his post football career to encouraging youth, young adults and families through his non-profit organization, A Ray of Hope on Earth. McElroy served as Team Chaplain for the Chicago Bears football club for six years and is currently a full-time professional, motivational speaker who unlike any other has managed to capture the hearts and minds of youth, teens and adults nationwide. His passionate yet enlightened and inspired hard-hitting messages have captivated audiences of all walks of life.

When motivators like Ray get involved with the community, particularly the high school and junior high levels, it helps to support learning and students tend to earn higher grades.

Students also attend school more regularly, they stay in school longer and they enroll in higher level programs.

During Ray’s presentations, he introduces the Building Construction Trades as being one of many educational and career opportunities. Along with numerous other industry sponsors, Starcon is also partnering with Ray and his g in Speak executive team to get high school kids thinking about a ts n e m e Engag future in the Building Construction Trades. : y b red Sponso

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STAR

STARCON

SPRING 2014

Starcon Hosts ABC Training n

By Tom Wanamaker

Starcon and the Associated Builders and Contractors of Illinois (ABCIL) have joined forces to offer Core, Pipefitting and Welding classes in Starcon’s new facility in New Lenox. Classes are offered Monday through Thursday from 5 to 9 p.m.

There are currently 25 students enrolled in the program. Pipefitting is a four year curriculum and welding is three years. Students attend on a semester basis, January through June and August through December.

By joining forces with the local ABC, contractors can pool resource to bring down the cost of training while increasing the number of local skilled candidates. Starcon is able to host the training in a facility that students are proud to come to and to show their family. The instruction is given by NC-

CER certified instructors from multiple contractors.

The lab has a free welding and fabrication station as well as six permanently vented welding booths wide enough for an instructor and student to share, which allows better coaching. Starcon’s classroom is also state-of-the-art, allowing instructors the ability to teach the science of welding as well as the pipefitter math.

ABC is also offering day classes in NCCER Foreman skills and Basic Rigging, quarterly, on Thursdays and Fridays. The NCCER Foreman course is a day of training followed by a testing day. Students leave foreman training with a training certificate and certified plus credentials, provided they pass the assessments. So far, the program has

seen a 100-percent pass rate. The Basic Rigging class is a one day, three module class designed for those students who are new to rigging.

Training at Marathon Catlettsburg n

By Tom Wanamaker

Team members Phil Green, Reagan Spitler, Shannon Jaminson, Tyler Foster, Steven Rogers, Greg Headberg and Donnie Sheppard all participated in NCCER crane (carry deck) training starting last fall and are finishing this spring. They completed all of the modules in the NCCER curriculum and spent several hours on the equipment on their off days to complete the hands-on training. NCCER certified instructors Anthony Maggard and Joe Adkins have led the students through the training.

Starting the team members on carry decks will give them time to gain experience, develop skills, start logging seat time and give them opportunities for larger crane training in the future. This will help with the high demand for more certified crane operators for turnaround work and short notice emergency jobs.

Kelly McIntosh will conduct certification evaluation and issue licenses as the students become proficient with crane operations.

Team members completing the program receive crane licenses from the NCCER that are good for five years. The new NCCER crane license is ANSI approved.

PAGE 14

STARCON

SPRING 2014

Starcon and Cianbro Team Members Share Leadership Experience n

By Jim Theriault

The Cianbro Leadership Initiative has recently been enhanced with the inclusion and participation of 46 Starcon team members. This combined effort began in early 2012 and evolved to where Starcon hosted the final Leadership Class for that year. During the 20122013 Leadership Sessions, Cianbro and Starcon participants worked side-by-side for both the three day opening and two day closing leadership sessions. The program is sponsored by the Cianbro Institute and led by instructors Dr. George Manning and Cianbro Vice President Alan Burton. Alan, also known as “Dean of the Program,” said, “ By making Starcon team members part of this program, we are ensuring that talented and capable leaders will be present to meet the complex challenges facing our construction/maintenance groups.”

To emphasize the importance of this year’s Starcon-hosted opening session in July, all of Starcon’s senior management was present for the event. President Dale Kuntz provided several important reflections concerning his personal path as

leader in the organization and highlighted benefits of leadership education. “The Cianbro Institute Leadership Program allows for team members from all of the Cianbro companies not only to develop relationships with each other during the program, but also engages everyone in sharing their leadership experiences and knowledge with each other, and that is a huge side benefit,” said Dale. “As we continue to work more closely together, the stretch projects which are an output of the leadership class can in many cases be applied across all companies, creating value for the entire organization.“ During the 2013 Starcon hosted sessions, Travis Hamblet described his recent participation in the Leadership Initiative Program. “I am very grateful for the opportunity to be involved these past few months,” said Travis. “It was a richly rewarding program well beyond my expectations.” The most recent closing session, hosted in La Porte, Texas, culminated in awarding the best leadership presentation for the first time to a Starcon team member. Kraig Kistinger presented a detailed, well researched stretch project titled Enhancement

of Recruitment/Selection Process at Starcon. Kraig and his team created and implemented a new vision using a tool called “Secure Fit” to identify potential good fits based on a number of validated criteria.

By expanding the leadership initiative to Starcon, the program will undoubtedly nurture and foster a new generation of leaders from Maine to Illinois, and from Texas to the West Coast.

Cianbro Leadership Initiative Program n

By Jim Theriault

The Cianbro Leadership Initiative is a highly interactive program where significant resources are invested for a select group of future leaders at both Cianbro and Starcon. Major elements of the initiative focus on lessons in self-awareness, team building, and attributes of effective leadership. All participants are expected to enhance leadership skills through the design, development, and implementation of a team oriented stretch project where a lead role is assumed. These projects focus on a specific need within the respective organizations where applied leadership lessons will make a difference for the various groups and areas represented. Team members are directed to frame their efforts as a “Vision” in terms of not only “what” needs to be done and “how,” but also “why,” and to do so in such a way that inspires all involved in the proposed initiative.

Leadership from Cianbro (and now Starcon) has long acknowledged the value of this program. In thinking about the future, Pete Vigue has said, “The greatest legacy we can leave is to ensure the future is bright for our company. The development of our people as leaders is key to that.” The unique aspects of the Leadership Program were recently explained by Lead Instructor Dr. George Manning after he was asked to reflect upon the value of what’s offered. He noted: “First, it is wanted and worked at the top. Senior leaders own it. Second, it is more culture building than leadership training, from teams on the town, to the river of time, to portraits and partners. Third, “stretch projects” grow team member skills and improve the company in tangible and practical ways. All good companies have leadership development initiatives, but the great companies make sure these three things happen. No one does this better than Cianbro/Starcon.”

Team members who want to know more about the Cianbro Leadership Initiative Program may call Jim Theriault at the Cianbro Institute.

PAGE 15

STARCON

SPRING 2014

STARCON • La Porte 10610 Fairmont Parkway La Porte, Texas 77571 (281) 291-5200 HR Department 1723 Center Street Deer Park, Texas 77536 (832) 324-7113 STARCON • New Lenox 2100 Ellis Road New Lenox, Illinois 60451 (815) 475-4615 STARCON • Gonzalez 13621 Airline Highway Gonzalez, Louisiana 70737 HR Department 36505 Oak Plaza, Suite B Prairieville, Louisiana 70769 (225) 677-8750 STARCON • Burlington 950-A Fountain Street Burlington, Washington 98233 (360) 707-2005 STARCON • Catlettsburg 7500 Cannonsburg Rd. Suite B Catlettsburg, Kentucky 41129

Starcon Editor - Tom Peterson • Cianbro Editor - Alan Grover • Contributing Writers - Mark Bortka, Vernetta Gray, Chris Nelson, Brett Richardson, John Rupke, Bill Savoy, Rob Seimetz, Jim Soukup, Pete Stamos, Clint Stephen, Jim Theriault, Tom Wanamaker • Design - Jean Cousins Do you have questions or comments about the Newsletter? If so, we’d appreciate hearing from you!

Please email agrover@cianbro.com starconinternational.com