Mara�q Chairman His Highness Prince Saud bin Abdullah bin �unayyan Al-Saud presided over the ninth General Assembly of Mara�q Shareholders held in Jubail on 8 May this year. President and CEO �amer Al-Sharhan gave a brief overview of the company’s main achievements in 2012, and the key areas on which the company is focusing on this year. He also gave a preview of the main challenges and opportunities that lie ahead.Also presented at the meeting was Mara�q’s annual report for 2012, together with the audited �nancial statements and auditor’s report for the �scal year ended on 31 December 2012.In commemoration of Mara�q’s 10 years anniversary, a special edition magazine were also distributed to all the shareholders.

Issue 28 Published by Corporate Communications at Power and Water Utility Company for Jubail and Yanbu June 2013

Ninth Annual General Assembly of Stakeholders held in Jubail

Mara�q successfully closes its debut SUKUK issuance in the amount of SR 2.5 billion. HSBC Saudi Arabia were the sole Lead Managers to the issue and also acted as Shariah structure agent , payment administrator and SUKUK holders’ agent. �e SUKUK which was based on Al-Istithmar structure was o�ered to sophisticated investors under the private placement format. �e 5 year Sukuk o�ers

investors an attractive yield linked to the 6 month SAIBOR and has received strong support from a broad cross section of the investor community. Books which opened on 20th May were closed on 22nd May.Mara�q's debut SUKUK issuance raised the full amount the Company had aimed in its current round of �nancing. �e proceeds of the SUKUK shall be used for general corporate purposes

including part funding of its ongoing expansion program. �is SUKUK issuance is a component of Mara�q's strategic medium term fund raising program that is intended to ensure availability of funds to support Mara�q's ability to meet the growing power and water multi-utility requirements in the industrial cities of Jubail and Yanbu.Speaking at the closing

ceremony held in Khobar, Mr. �amer Saud Al-Sharhan, President and CEO said “�e successful debut issuance of SUKUK is our humble contribution to the development of debt capital market in the Kingdom of Saudi Arabia. He thanked the general investing community for their overwhelming response which is the manifestation of their con�dence in Mara�q and the robustness of its business model in ensuring seamless delivery of multi-utility water and power services to the high-end sophisticated industrial processes in Jubail and Yanbu industrial cities, and maintaining the investor appeal of the twin cities as the destination of choice". Mr. Waleed Khoury CEO of HSBC said "HSBC is delighted and privileged to be associated with the development and execution of Mara�q's strategic fund raising program. Additionally we see Mara�q's SUKUK issuance as an important step in the continuing development of the SUKUK market in Saudi Arabia".

Mara�q successfully closes its debut SUKUK

HH Prince Saud �unayyan with Mara�q Board of Directors and President and CEO, �amer S. Al-Sharhan during the General Assembly Meeting held in Jubail

Mara�q Board of Directors during the General Assembly Meeting held in Jubail

Mara�q and HSBC representatives signing the Sukuk agreement

From the CEO Desk

S. Al-SharhanPresident and CEO

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We are now almost halfway into the �rst year of Mara�q’s second decade as private utility provider. We can all look back with pride on our company’s �rst ten years. �e journey has not always been easy. We had to overcome many demanding challenges but we managed to succeed in all our objectives. Most important of all is that we have been able to meet utility demand and honor our commitment to satisfying the needs of our customers. It has been our approach right from the start to meet customer demand at all cost, and to do so e�ciently and reliably. To this end we have incurred huge costs to upgrade and maintain existing infrastructure, and to invest in new projects and network expansions. It will remain our approach and commitment throughout this second decade.To help us �nance our infrastructure development projects, Mara�q has concluded its �rst ever Sukuk issuance transaction. For those who perhaps do not know, Sukuk is the Arabic name for �nancial certi�cates. Sukuk securities are structured to comply with Islamic law and its investment principles. While a conventional bond is a promise to repay a loan, Mara�q’s Sukuk constitute partial ownership in an investment, which we call Sukuk Al-Istithmar. �e successful conclusion of our debut Sukuk signals a vote of trust and con�dence in Mara�q’s credit strength, competitive position, stable revenue generation and reliable operations. It is our duty and responsibility to prove ourselves more than worthy of this trust and con�dence.To make sure that we preserve Mara�q’s �nancial viability, we are engaging in a program to increase sales revenue, reduce cash operating expenditure and improve our cash �ow position. One of the instruments to execute this program successfully is the Pro�t Improvement Plan (PIP) of which you are all aware. I call on every department to do its utmost to support the PIP team in achieving its targets. Earlier this year we achieved a signi�cant safety milestone when we crossed the mark of 20 million safe man-hours without lost-time injury. �is marked a very positive start to our journey into the second decade. On 5 May this year we passed the 21 million safe man-hours milestone. While we can all be rightly pleased with the steady progress Mara�q is making in this very important

aspect of our safety program, we have to remain alert in all areas of safety, however small every individual action may seem. Keep safety at the top of your priority list. Be watchful and alert whenever and wherever you drive. We still have too many vehicle incidents, even if they are minor, and every single employee and contractor must play his part in preventing vehicle incidents.Mara�q’s contractors are as much a part of our safety drive as our employees themselves. We are very proud of the two contractors, SETE Energy and the C.A.T. Group, who have won the Mara�q Contractors Safety Awards for 2012. May their commitment to safety and keeping it as a top priority be an inspiration to us all to continue improving our safety record.We o�en say that our employees are Mara�q’s most important asset and our

pillars of strength. We must use every opportunity to prove that we mean what we say. Recently the �rst group of 55 Mara�q trainees graduated from the SWCC Training College. We have now welcomed them into the Mara�q family as fully �edged employees. Let us all give them our fullest support and encouragement. We are proud to have them in our midst. �ey are part of Mara�q’s future.I conclude by encouraging you all to enjoy your work. Take pride in your work, be happy and have fun while you are doing it. Live the company’s core values, always look for ways to improve yourselves and learn new skills, and keep your eyes open for new and better ways of doing things.

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�e Strategic Workshop held on 7th May commenced with a welcome address by the President and CEO of Mara�q, �amer S. Al-Sharhan. �is opened the way for the active participation of the esteemed Board Members and Senior Executives and ensured a highly stimulating and thought provoking process. �e aim of the event was to reach the point where Mara�q’s Charter and Strategy for the next 10 years is examined with the objective of building towards alignment and consensus. Prior to the workshop Board members were interviewed between January and February 2013 and the feedback during these interviews provided the framework for the workshop agenda.he workshop was facilitated by David Reay, Senior Advisor - HR and Vincent Surics, Senior Advisor - Executive Coaching and captured valuable strategic input from all the delegates as they shared views on how Mara�q should create value in the future. �e interesting discussions by the Board Members and Senior Executives resulted in an extremely successful day as each partici-pant engaged in the opportunity to express their observations on the future positioning of Mara�q by debating the most applicable strategic imperatives. �e workshop paved the way for further deliberations in future, aimed at agreeing Mara�q’s alignment to the Shareholders’ Strategic Objectives.�is important event culminated in a well prepared and excellent dinner in the presence of the Chairman of the Board, His Highness Prince Saud Bin Abdullah Bin

�unnayan Al-Saud.Board of Directors Strategic Workshop held at Al-Lulu Palace, Jubail on 7th May 2013�e Strategic Workshop held on 7th May commenced with a welcome address by the President and CEO of Mara�q, �amer S. Al-Sharhan. �is opened the way for the active participation of the esteemed Board Members and Senior Executives and ensured a highly stimulating and thought provoking process. �e aim of the event was to reach the point where Mara�q’s Charter and Strategy for the next 10 years is examined with the objective of building towards alignment and consensus. Prior to the workshop Board members were interviewed between January and February 2013 and the feedback during these interviews provided the framework for the workshop agenda.�e workshop was facilitated by David Reay,

Senior Advisor - HR and Vincent Surics, Senior Advisor - Executive Coaching and captured valuable strategic input from all the delegates as they shared views on how Mara�q should create value in the future. �e interesting discussions by the Board Members and Senior Executives resulted in an extremely successful day as each partici-pant engaged in the opportunity to express their observations on the future positioning of Mara�q by debating the most applicable strategic imperatives. �e workshop paved the way for further deliberations in future, aimed at agreeing Mara�q’s alignment to the Shareholders’ Strategic Objectives.�is important event culminated in a well prepared and excellent dinner in the presence of the Chairman of the Board, His Highness Prince Saud Bin Abdullah Bin �unnayan Al-Saud.

Mara�q core values of Customer Focus, Team Work, Accountability, Transparency, being People Oriented and Social Responsi-bility has always shaped the corporate culture and de�ned the character of our company.Hussain K. Al-Wasly from Jubail Informa-tion Technology Department is one Mara�q employee who lives these core values in his professional and personal life. In recogni-tion of his commitment to Mara�q’s corpo-rate core values, the company has awarded him the CEO Core Values Award for the of 2012.“Hussain lives and applies Mara�q’s core values and that is seen in all his deeds and

actions. He truly deserves the award”, says one of his colleagues.Saleh A. Al-Zahrani from MS-Y and Maher M. Al-Wakeel from WP-Y were the �rst and second runners up for the award respec-tively.Mara�q World wishes each one of them all the best and may they continue to be an inspiration to all of us.

Board of Directors Strategic Workshop held at Al-Lulu Palace, Jubail on 7th May 2013

Values that matter: CEO Core Values Awarded for Q2 2012

CEO Core value award winner, Hussain K. Al-Wasly receiving his award from the CEO, �amer S. Al-Sharhan and CCVA team.

�e Board of Directors workshop held in Jubail

A delegation from King Fahad University of Petroleum and Minerals (KFUPM) College of Engineering Sciences visited Mara�q recently.�e delegation consisted of thirty one students and one faculty member met with key members of JWAP and Jubail Operation and Mainte-nance teams.Public Relations and Communication represent-ative, Waleed H. Al-Bassam, gave a presentation on Mara�q’s operation and also covered some of the new projects the company is involved in. �e presentation is followed by a question-an-swer session that the students found very interesting. A site visit was also organized and this gave the students a �rsthand impression about Mara�q’s operations. �e delegation expressed their gratitude to Mara�q for the warm hospitality extended to them.

KFUPM visits Mara�q

�e Royal Commission invited Mara�q to take part in its comprehensive awareness exhibition (Waii) in Yanbu which Mara�q obliged without hesitation.“It was an honor for us to join hands with RC and support them in this worthy cause”, said Public Relations and Communication Manager Saeed K. Al-Abdullah. �e campaign was run over for �ve days at Al Braem School.“Apart from actively showing our support

and gratefulness for RC’s noble e�orts, our contribution was aimed at strengthening our involvement in the local community by o�ering some practical power, water and environmental advice through distribution of our corporate conservation �yers.” Saeed said. Mara�q Customer Services representa-tives were also present to convey their important messages of saving power, water and the environment.RC congratulated and thanked Mara�q for

its contribution during the occasion.“We need to continuously support this kind of campaign and motivate others into becoming more e�cient with the way we use and conserve energy in the home, at work and in our everyday lives as well as conserving our water and environment resources. Understanding the full picture will help kick-start better habits sooner.” Saeed concluded.

Mara�q participates in Yanbu Comprehensive Awareness Fair

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KFUPM delegates visit at Mara�q

Students �ocked Mara�q booth at Yanbu Comprehensive Fair

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When it comes to the importance of our concerns, we can see that Safety is on top of our yearly key focus areas in Mara�q business plan. Our Central Safety Committee has formed a Change Management Team to improve three important aspects of safety culture which are the OHSMS (Occupational Health & Safety Management System) Implementation, Safety KPIs, & PTW (Permit To Work) Auditing. �e team already conducted several meetings and went through

Mara�q’s Change Management approach. AMAN was the name this team inherited for their journey. �is team has also started with their plans where they are so anxious in releasing their ideas & thoughts to the Mara�q world. So all that’s le� to say would be: Keep your eyes wide open for AMAN & with everyone’s help and support, Safety will enhance and improve and remember that we are all part of Mara�q’s Safety Team.

AMAN�e Way Towards Safety

AMAN Change Management Team

Change Management is spreading its Wings

Also CMO surveyed the readiness of Mara�q employees toward changes and the result will be published to all once the collected data is analyzed.

CMO started conveying Mara�q change manage-ment methodology to all departments through conducting a workshop in which all participants played the role of change management agent and went through all CM steps to familiarize themselves with the approach and tools needed to use in any future changes might accrued in any department for any business. �e massage has been delivered through these workshops where change management should go hand in hand beside any technical changes in the business to assure the success of the project.

Recently, Mara�q business development department team (represented by Mohammed Balharith) had chance to attend Shams-I inauguration and visit the plant. �e Shams-I Concentrated Solar Power (CSP) is one of the biggest operational renewable energy plant in the world with 100 megawatts power generation capacity.. Shams-I is a joint venture between Abu Dhabi’s renewable energy company Masdar (60%), France’s Total (20%) and Spain’s Abengoa Solar (20%). It epitomizes the �rst footstep in utility-scale commercial solar power project in the Middle East which shows the abundant solar potential of the entire region with thermal energy of up to 2,550 kWh/m2 a year.Shams-I contains over 258,000 mirrors attached on 768 trailing parabolic channel collectors. By converging heat from sunshine on oil-�lled pipes, Shams-I makes steam, which runs a turbine and produces electricity.�e parabolic designed mirrors concentrate solar rays on a central tube where special oil is heated to 393°C with specially-engineered 27,648 absorber cylinders. Around 130 kilometer of closed circle pipes network carries

hot and cold oil to and from the heat exchangers. �e heat exchangers transfer heat from the oil to the water and generate high pressure steam at 380°C to run the steam turbine. �ere are purposely fabricated supporter heaters to further superheat the steam to 540° C and enhance steam cycle and turbine e�ciency. �e 125 MW steam turbine supplies continuous power output above 100 MW with onsite transformer steps up electricity voltage to that of the national grid, which is enough energy to electrify 20,000 dwellings. Shams-I is also exceptional in the way it uses natural gas, which gives the plant a hybrid character to integrate with other forms of electricity production like gas.Utility-scale solar power plants like Shams-I would signi�cantly add toward Kingdom’s target of attaining 25GW of operational CSP by 2032. Projects like these will complement other smaller distributed solar generation projects such as KACARE plans for PV plants as small as 5 MW s) that could be used for distributed o�-grist generation applications. Shams-I plant inauguration, and the Kingdom’s initiatives toward renewable energy mave

encouraged many solar developed to the GCC region. We anticipate to see a lot of activitiy in the solar/renewable industry in the region in the next 5 years. In line with these developments Mara�q is keeping an open eye towards suitable upcoming opportunities to participate in the renewable sectors. However there is still a long but promising road for this exciting sector and supporting the Kingdom in its renewable initiatives. As can be seen in the market many utility companies in the Kingdom have already started through small scale pilot projects implement proven technologies as a stepping stone to in the national renewable energy initiatives. Further, we believe Saudi Arabia's solar energy industry is expected to; meet fast-growing demand for clean, renewable energy, lead to the export of high value-added solar products, generate opportunities for the export of electricity, contribute to its National Industrial Strategy and economic development, facilitate economic diversi�cation, boost environment protection and sustainability, create opportunities to test solar products

Shams-I a Guiding Star for Ambitious Renewable Energy Projects in Saudi Arabia

P&C will know it has completed its strategic journey when they will have “ all the Products and Services MARAFIQ needs at a Quality, Cost e�ective, Right supplier and Time which enables the whole Business to achieve their targets.”

To achieve this target Mara�q is waving with strategic changes in the whole of the procurement and contract business. In 2012, wave one successfully made changes internally in P&C department. In 2013 the second wave has made more successful changes and

approaching the other departments to make sure that we can all achieve the aim of the P&C strategy – to make sure that Mara�q has what it takes with the Right Quality, Cost, Supplier and at the right Time.

Wave II is waving (P&C Strategy Journey)

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Our President & CEO thanked and recognized Mara�q Jubail Toastmaster Executive Team for their outstanding achievements. �amer said “I am proud of your commitment and this new success brings honour not only to the Club but to Mara�q as well. Rest assured that I will be readily available for any assistance and support you need to further develop the Club.”Citing the above message, we -TM Executive Team- would like to encourage you to nominate and enroll your sta� to join our Club. Toastmaster is a well-recognized organization worldwide. It is an e�ective platform that will de�nitely improve communication and presentation skills of your team. In addition, it will tap new talents, develop future leaders by maximizing their full potentials through e�ective oral communication.

Twenty one million safe man hours completed

Toast Masters Executive Committee Recognized

Mara�q has once again proved to be a company that is intensely aware of the absolute need for safety by completing twenty one million man-hours without lost time injury.President and CEO �amer S. Al-Sharhan congratulated all Mara�q employees for

crossing this important milestone.Mara�q has always followed a policy of giving the highest priority to health and safety when it comes to its employees and the work place.“Let’s all continue the organization’s current transformation in the �eld of OHS as a way of

life. Last but not the least, remember your responsibilities for your own safety and the safety of those around and this in turn would be the light to the path of new safety milestones in the days to come”, was his advice.

Mara�q Jubail TM Executive Committee recognized by CEO, �amer S. Al-Sharhan

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Ten Years with Mara�q - Jubail

Ten Years with Mara�q - Yanbu

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What makes organizations boom and what makes them fail ? In today’s global arena, motivated people of an organization are what makes the di�erence. �is is the single most important factor in a Company’s sustainable success. �is is achieved by aligning

the Company’s needs and the individual’s goals/needs. Teamwork is an essential

ingredient for this purpose, with everyone working towards a simple common Company mission statement. �is is further done, by �nding out the individual aspirations/likes and dislikes and providing a supportive organizational. What makes a person utilize his potential to the limits ? It is the correct environment provided to the individual. People perform best when they are motivated. �ose who excel mostly are the ones who have a passion to do what they really want to achieve – It is the inner need/desire of the individual to achieve his desired goal, which becomes the driving force even when the odds

are against him. �e goal of management should be to achieve extraordinary results from ordinary employees – by promoting cooperation among teams resulting in synergies (�at is, 1+1=11 and not 2). People should be encouraged and challenged to think out of the box – and in the process, the individual shall produce greater results for the Company and become aware of hidden talent within himself which he may further polish. �is is a win-win situation, which should always be encouraged.Companies which strive for excellence, endeavor to foster such an environment.

Human Resource – �e Competitive Edge of an Organization

�e French Ambassador to Saudi Arabia, M. Bertrand Besancenot, and his delegation visited Mara�q in Jubail on 15 May 2013. He was welcomed by Mara�q’s Shared Services General Manager, Hassan H. Al-Qahtani, on behalf of the President and CEO of Mara�q, �amer S. Al-Sharhan.�e delegates were taken on a tour to

Mara�q’s Seawater Cooling facilities, accompanied by the senior management of MaSa, the Operation and Maintenance arm of Mara�q.MaSa Operation and Maintenance Company is a joint venture between Mara�q of Saudi Arabia and Saur Group of France.MaSa undertakes the operation and

maintenance of Mara�q’s water facilities in Jubail Industrial City on Saudi Arabia’s eastern shores. �e water operations comprise seawater cooling systems for the heavy industries sector, desalination facilities for potable and process water production, and treatment plants for sanitary and industrial wastewater.

By Azeem Mu�i, Maintenance Technical

Support, Yanbu I

French Ambassador visits Mara�q

French Ambassador with GM, SS, Hassan H. Al-Qahtani

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Internal Newsletter fo r M a r a f i q E m p l o y e e s Issued by PR and Communications Dept.

ManagerSaeed K. Al-Abdullah

Chief EditorAbdullah Al-Amri

EditorsGerardo Dumo FloresWaleed H. Al-Bassam

Design / PhotographyAnsary R. Domado

Ali Khalil Al-Muqeit

PO Box 11133, Jubail Industrial City 31961Tel: 03 340 9707 Fax: 03 341 2052Tel: 04 396 6259 Fax: 04 321 2838

�oresgd@mara�q.com.saamriaa@mara�q.com.sa

www.mara�q.com.sa

Coronaviruses are common viruses that most people get some time in their life. Human coronaviruses usually cause mild to moderate upper-respiratory tract illnesses. It is likely that human coronaviruses spread from an infected person to others through—· the air by coughing and sneezing, and · close personal contact, such as touching

or shaking hands.�ese viruses may also spread by touching contaminated objects or surfaces then touching your mouth, nose, or eyes. In one case, the SARS virus was though to spread through infected stool that got into the air; people breathed this in and got infected.

Symptoms :· Runny nose · Sneezing · Tearing eyes· Blocked nose · Sore throat · Scratchy throat · Cough · Headache · Mild fever · Mild chills· Sinus swelling · Fatigue · Nasal congestion · Chills · Fever - usually only in infants and young childrenComplications:· Sinus infection · Bronchitis· Secondary bacterial infection· Ear infection · Rhinitis· Exacerbation of asthma symptoms· Exacerbation of chronic respiratory conditions

Treatments:�ere are no speci�c treatments for illnesses caused by human coronaviruses.Most people with coronavirus illness will recover on their own. However, some things can be done to relieve your symptoms, such as—

· taking pain and fever medications (Caution: Aspirin should not be given to children), and

· using a room humidi�er or taking a hot shower to help ease a sore throat and cough.

If you are sick, you should —· drink plenty of liquids, and· stay home and rest.

Coronavirus

�e desire of the Mara�q is to provide the best services to its employees. With this in vision mind, the company in collaboration with Saudi American Bank (SAMBA) installed an ATM machine inside the Yanbu Administration Building. �is new development makes it easy for sta� to

Mara�q congratulated the Higher Institute for Power and Water Technologies in Rabigh for winning the award for Best Arabic Training Institute for the year 2013 in the �eld of maintenance and operation as part of honoring the winners of Hariri Award for Maintenance and Operation. �is took place during the opening of the 2013 International Forum for maintenance and operation companies in Arab countries.�e recipient was presented a shield and a certi�cate of award received by Engineer Abdullah Monthly, Executive Director of the Institute. Present during the ceremony was member of the Board of Directors, Dr. Rashid Al-Zahrani, Deputy Governor of the General Organization for Technical and Vocational Training.Dr. Rashid commended the Executive

Director of the Institute for this achievement, saying, "We are proud of this award, which comes only two years a�er running the Institute in September 2011 in addition to list of achievements of the Institute". He also gave thanks to those in charge of the award and the esteemed jury in granting the institute this prestigious award which will be the starting point for further development.In turn Mara�q congratulates the Institute and its sta� with this new accomplishment which was achieved in a very short period of time.It is worthy to note that about 173 trainees received their training for two years at the Higher Institute for Power and Water Technologies in Rabigh where certi�cates were given a�er completion of extensive training in their specialized areas.

Mara�q congratulates the Higher Institute for Power and Water Technologies

ATM service now available to cater Mara�q Yanbu employees

carry out their banking transactions, faster and more convenient. General Manager for Operation and Maintenance ( Y a n b u ) , E n g i n e e r A l i A h m a d Mohammed Shubaili expressed his thanks to all involved with this project. He said that this could have not been done without the support and approval of the management.

Prevention :�ere are currently no vaccines available to protect you against human coronavirus infection. You may be able to reduce your risk of infection by—· washing your hands o�en with soap

and water· not touching your eyes, nose, or

mouth, and· avoiding close contact with people

who are sick.

Dr. Hossam Gabr

�e newly installed ATM machine at Yanbu Administration Building