100 YEARS
2019 Annual & Sustainability Report

100 Years
Celebrating a Century of Growth and Innovation
1919

1921

1924

1932

Erle P. Halliburton founded the New
Method Oil Well Cementing Company.

The U.S. Patent Ofﬁce assigned
patent to New Method for a “method
and means of excluding water fromoil wells.”

The Company was incorporated in
Delaware as the Halliburton Oil Well
Company (HOWCO) with 56 people
on its payroll.

The ﬁrst Halliburton RedBook® ofcementing tables was published.
This ﬁeld reference guide still
provides cementing calculations
needed for drilling, cementing andcompleting wells.

New Method invented a revolutionary
cement jet mixer to eliminate handmixing of cement.

1996

1993

1989

1980

Halliburton acquired Landmark Graphics
in a stock-for-stock transaction.

Halliburton combined its 10 semiautonomous energy services units
into one united, global organization,
Halliburton Energy Services.

Halliburton acquired logging andperforating specialist company
Gearhart Industries and combined
it with its subsidiary Welex to form
Halliburton Logging Services.

The ﬁrst Halliburton Research Center
opened in Duncan, Oklahoma.

1998

2003

2006

2007

Halliburton moved its headquartersfrom Dallas to Houston.

Halliburton divested KBR.

Halliburton opened an Eastern
Hemisphere headquarters in
Dubai, United Arab Emirates.

Halliburton merged with Dresser
Industries, bringing Baroid and Sperry
into the Halliburton portfolio of products
and services. This transaction also led
to the merger of Brown & Root with
M.W. Kellogg, creating a division
known as KBR.

1938

1948

1949

1957

HOWCO cemented its ﬁrst offshore
well, using a truck on a barge off theLouisiana coast.

HOWCO stock was listed for the ﬁrst
time on the New York Stock Exchange.

Halliburton performed its ﬁrst
commercial hydraulic fracturing job
on an oil well near Duncan, Oklahoma.

Erle P. Halliburton died in Los Angeles.

1962

1961

1964

HOWCO purchased Welex, a pioneerin jet perforating.

1959

Halliburton opened a 500,000square-foot manufacturing centerin Duncan, Oklahoma.

Halliburton acquired Brown & Root.

HOWCO changed its company nameto Halliburton Company.

HOWCO acquired Otis Engineering,which specialized in manufacturing
pressure control equipment for
producing wells.

2008

2011

2018

2019

Halliburton acquired Pinnacle
Technologies, whose surface anddownhole microseismic monitoring
provides customers with criticalsubsurface insights.

Halliburton acquired Multi-Chem,a leading provider of oilﬁeld production
and completion chemicals and services.

2019 Annual & Sustainability Report

The redesigned Q10™ pump released
with optional dual-power capability to
run on natural gas, in addition to diesel.

Halliburton acquired
two companies:
Summit ESP, which
provides electricsubmersible pump
(ESP) technology
and services, andAthlon Solutions, aleading provider of
specialty water andprocess treatment
chemicals.

Halliburton celebrates its
100-year anniversary.
Halliburton President and CEO
Jeff Miller appointed as chairmanof the board.

Environmental, Social andGovernance Highlights

Social17

18

19

1,919,961

19

1,496,576

18

2,800,049

17■ 2019 Q3 year-to-date(YTD) International
Association of Drilling
Contractors (IADC)
industry average

0.11

19

Hours of
HSE Training
Completed

0.20

18

0.13

17

* 2018 and 2019 energy
data was collectedusing a revisedcollection and analysis
methodology. 2017
data was not updated
per this revised
methodology.

Lost-Time
Incident Rateper 200,000
hours worked

0.12

19

0.68

18

0.29

$32.7

17

Total Recordable
Incident Rateper 200,000
hours worked

0.41

$38.5

19

67,731$46.5

1870,2850.03

17EnergyConsumption
thousandgigajoule (GJ)

26,890*0.05

Health, Safety
and Environment(HSE) Fines& Penalties
thousand
USD

0.04

Recordable
Environmental
Incident Rateper 200,000
hours worked

Safety0.37

Environmental

17

18

19

■ 2019 Q3 year-to-date(YTD) International
Association of Drilling
Contractors (IADC)
industry average

Governance

20%

$937

$790

$780

813

896

1,116

44,72947,145

43,792

8,543

9,179

9,187

Advanced
Anti-Corruption
Training
Employees
who completed
training

17%

Code of BusinessConduct Training
Employees
who completed
training

14%

Patents
GrantedPer YearU.S.

$1,950,442

Spend with
Small andDiverseSuppliers
million USD$2,115,731

Female Directors/
Senior Managers
percent of all
Directors/Senior
Management$1,976,368

Charitable
Giving
USD

17

18

19

17

18

19

17

18

19

17

18

19

17

18

19

17

18

19

27

%

Total Recordable Incidents decreasedby 27 percent from 201835%

Non-productive time (NPT) rate
decreased 35 percent in the last
ﬁve years

5%

Reduction in Scope 1 and 2 GHG
emissions (TCO2e) from 2018 to 2019

$

1.95

B
USD

USD spent on charitable giving

Financial Highlights
1 Reported results during these periods

2017

2018

1

Millions of U.S. dollars (USD) and shares, except per share data

2019

1

1

Revenue$

20,620$23,995$22,408

Total Operating Expenses$(19,246)$(21,528)$(22,856)

Operating Income (Loss)

$

1,374

$

2,467

$

(448)

Income (Loss) Before Taxes

$

682

$

1,814

$

(1,122)2 Working capital is deﬁned as total current

assets less total current liabilities.
3 Total capitalization is deﬁned as total debt

plus total shareholders’ equity.
4 Debt to total capitalization is deﬁned as

Amounts Attributable to Company Shareholders:

the total debt divided by the sum of total
debt plus total shareholders’ equity.

Net Income (Loss) from
Continuing Operations

$

(444)

$

1,656

$

(1,131)

Diluted Income Per Share from
Continuing Operations$(0.51)$

1.89$(1.29)

$

0.72

$

0.72

$

0.72

$

6,334

$

5,915

$

875

6,349

Total Assets$

25,085$25,982$25,377

Total Debt$

10,942$

10,344$

10,327

Total Shareholders’ Equity

$

8,349

$

9,544

$

8,025

Cash Flows from Operating Activities

$

2,468

$

3,157

$

2,445

Capital Expenditures

$

1,373

$

2,026

$

1,530

Depreciation, Depletion and Amortization

$

1,556

$

1,606

$

1,625

Total Capitalization3$

19,291$

19,888$18,352

Debt to Total Capitalization4

57%

19

$2.4
$1.5

$11.9
$10.5

18

Cash Flow Execution
billion USD

$3.2
$2.0

$14.4
$9.6

17

56%

$2.5
$1.4

$11.6
$9.1

North America vs.
International Revenue
billion USD

52%

17

18

19

Shareholder
Returnsbillion USD$1.0

Net Working Capital 2

877

$0.7

870

$0.6

Cash Dividends Per Share
Diluted Common Shares Outstanding

Total Revenue
billion USD

include impairments and other charges
of USD 2.5 billion for the year ended
December 31, 2019; USD 265 million forthe year ended December 31, 2018; andUSD 647 million for the year ended
December 31, 2017.

17

18

19

$22.4B

USD■ North America 53%■ Latin America 10%■ Europe/Africa/CIS 15%■ Middle East/Asia 22%■ North America■ International■ Operating Cash Flow
■ Capital Expenditures■ ShareRepurchases■ Dividends

Halliburton generated USD 22.4 billionof total Company revenue in 2019,with 53 percent attributable to North
America and 47 percent attributableto our international operations.

Market dynamics were challenging
in North America in 2019, but ourinternational business continued
steady revenue growth, outpacing
the international rig count for thesecond year in a row.

Halliburton generated over USD 900
million of free cash ﬂow* in 2019,
demonstrating our ability to generateconsistent free cash ﬂow in different
business environments.

Halliburton continuously focuses
on returning capital to shareholders.
Over the past three years, wehave returned approximately USD
2.4 billion to shareholders throughshare repurchases and dividends.

2019 Annual & Sustainability Report* Management believes that free cash ﬂow – deﬁned
as “operating cash ﬂows” less “capital expenditures”– is an important liquidity measure, and that it isuseful to investors and management for assessing
the Company’s ability to generate cash.

1

Halliburton // 100 YearsContents
Inside Front Cover
Environmental, Social andGovernance (ESG) Highlights

56

10
Financial Performance
North America
International

11
12

Gatefold

Environmental, Social andGovernance Data

61

100-Year Timeline

United Nations Sustainable
Development Goals Mapping

1

13

Financial Highlights

Transparency

3

Materiality
Governance
EthicsHuman Rights
Supply Chain

Letter from Chairman,
President and CEO

7

14
16
19
20
21

25

Company At A Glance
Our Business7

Our Mission, Values andGuiding Principles for
Sustainability

9

GRI Content Index

64

Sustainability AccountingStandards Board (SASB) Mapping

66

Technology & Innovation
Technology Management
2019 Highlights

62

26
27

Task Force on Climate-Related
Financial Disclosures (TCFD) Mapping

67

Awards & Recognitions

31

Inside Back CoverCollaboration
Stakeholder Engagement

32

35
Health, Safety & Environment
Journey to ZERO36
Leadership Commitments
36
Halliburton Management System
36
Training and Competency
37
Communicating and Addressing Risk 38
HSE and SQ Process Improvement 39
Verifying Performance
41
Environmental Stewardship
42
Climate Change
44
Chemical Services, Management
and Transparency
46

47
Global Citizenship
Workforce Development
Community Engagement

2

48
51

About the ReportTo Our Stakeholders
As we turn the page on the 100th year of Halliburton, we enter our next century with a clear
sense of purpose – to help our customers satisfy the world’s need for the affordable and reliableenergy provided by oil and gas – in a more effective, efﬁcient, safe, and ethical manner – while
minimizing environmental impact. Our purpose aligns with our core values and is fundamental to
our strategy, value proposition and ﬁnancial objectives. We will continue to do what we do best– collaborate and engineer solutions to maximize our customers’ asset value – while generating
industry-leading returns and strong cash ﬂow for our shareholders.

The year 2019 marks the end of the ﬁrst full decade of the shale revolution that propelled the UnitedStates to become the world’s top hydrocarbon producer. Our Company was an early participant in thisdevelopment, investing and innovating alongside our customers from the beginning. As unconventionals
entered the maturation phase, our North America customers shifted their focus from growth to capitaldiscipline, which impacted our business through reduced customer activity and additional pricing pressure.
In contrast, the recovery in international markets continued in 2019, and our international growth outpaced
the market.

Jeffrey A. Miller
Chairman of the Board,
President and Chief Executive Ofﬁcer

The Halliburton team continues to execute our value proposition, deliver exceptional safety and service
quality, and stay focused on generating healthy returns and strong cash ﬂow. Importantly, we areworking more safely than ever, with key safety indicators for our Company at historic bests. Thanks tothe exceptional performance and commitment of our Halliburton employees, we delivered over USD 900
million of free cash ﬂow for the full year, demonstrating our ability to generate consistent free cash ﬂow
throughout different business environments. We exercised capital discipline, while also advancing ourdifferentiating technologies and digital capabilities, and expanding our product and service offerings. We
achieved over USD 300 million in savings from continuous improvement initiatives. We also returned over
USD 700 million to our shareholders in the form of dividends and stock repurchases.
Our industry has experienced signiﬁcant change over the last 100 years. Halliburton evolved and progressed
throughout that time, tackling challenges and seizing opportunities, always emerging stronger than before.
Technology has been instrumental in allowing us to succeed in this changing environment. Over the next
several decades, technology and digitalization will produce substantial productivity gains – and alsomaterially improve reservoir understanding, well construction and reservoir recovery. Halliburton will beat the forefront of this technology wave, and our shareholders will beneﬁt from it. Three critical areas,
together with our strategies around integrated services and digital, will lay the foundation for a prosperous
and stable future for Halliburton.

“In 2019, we delivered over
USD 900 million of free cash
ﬂow, demonstrating our ability
to generate consistent free
cash ﬂow throughout different
business environments.”

Differentiated Hydraulic Fracturing
Halliburton is a market leader in hydraulic fracturing – both in the U.S. and globally. Our focus on
systematically improving our service delivery and cost leadership, and on developing technology that
beneﬁts both Halliburton and our customers, provides clear market differentiation.
In 2019, we deployed the ﬁrst Integrated Well Completions ﬂeets that require less capital and deliver
31 percent reduction in stage transition times and 10 percent more pumping hours per month compared toa non-integrated ﬂeet. We also continued to invest in disruptive technologies like Prodigi™, our automatedfracturing service, which utilizes enhanced reservoir understanding through ﬁber optics and machinelearning algorithms to control surface equipment and allow customers to maximize production for every
dollar they spend on unconventionals. The initial results of ﬁeld tests show a 10–25 percent improvementin productivity on wells completed with our Prodigi™ intelligent fracturing service. We believe this is justthe beginning.

2019 Annual & Sustainability Report3Halliburton // 100 Years

Stakeholder Letter continued

Improved Drilling CompetitivenessOver the last few years, we have made substantial investments in our directional drilling and loggingwhile-drilling technologies. These offerings are key to driving our international margin expansion andsuccessfully competing for integrated projects.

“For Halliburton, 2019 was an
exceptional year for oursafety and service quality
performance. Our total
recordable incident rate andnon-productive time both
improved by over 20 percent– historical bests acrossour business.”

In 2019, we continued the successful deployment of our new iCruise ® intelligent rotary steerable system.
Currently, it has drilled over one million feet globally and delivered several records, including drilling an
18,000-foot lateral in one day in the Marcellus shale. We also introduced a unique 3D inversion capabilityof the EarthStar® ultra-deep resistivity service, which received a World Oil award as the best drilling
technology of the year. Lastly, we launched our Motors Center of Excellence facilities in both the U.S.
(Houston) and Saudi Arabia. This new approach combines specialized engineering and manufacturing
capabilities to customize drilling motor designs for speciﬁc basin challenges, signiﬁcantly improving our
motor design and repair competitiveness.

Growing Production Group Businesses
Historically, Halliburton mostly participated in the drilling and completion stages of a well’s lifecycle.
With our expansion into specialty chemicals, artiﬁcial lift, and well intervention solutions, we are tapping
into a long-term, later-cycle market with signiﬁcant growth potential.
In 2019, we broke ground in Saudi Arabia on the Company’s ﬁrst chemical manufacturing plant in the
Eastern Hemisphere. This plant will provide an advantaged location for Halliburton to deliver superior
service and chemical applications expertise to our Eastern Hemisphere customers, and to manufacturechemicals for the Company’s internal consumption. Our North America-focused artiﬁcial lift businessdemonstrated strong double-digit growth in 2019. Going forward, we will work to replicate this success in
the international markets, with the ﬁrst Halliburton electric submersible pump (ESP) installations occurringin 2019 in Latin America and the Middle East. In the well interventions space, World Oil recognized our
SPECTRUM ® 360 multi-side view camera, which provides downhole visualization during intervention
services, as the “best well intervention technology” in 2019.

Integrated Services
Many of our customers are evolving toward more integrated contracting models. We are seeing thisinternationally with national oil companies (NOCs), small independents and large international oil companies(IOCs). Over the past two years, our total revenue from integrated services has grown by more than
50 percent. Halliburton is uniquely capable to meet customer demand for integrated services. In 2019,
we continued to strengthen our Project Management organization, and secured multiple integrated
contract wins across the globe. One anticipated trend is the expansion of integrated services from wellconstruction into well completion and well intervention services. Our broad products and services portfolio
gives us a unique advantage in competing for these new opportunities.

Digital
Incorporating digital technology is not a separate strategy at Halliburton. Rather, it is an integral part of theCompany’s value proposition. Our ability to collaborate, engineer solutions and maximize customers’ asset
value is evolving through the seamless integration of digital technologies into our operations. Digitaltechnology permeates everything we do, and has the same goal as our business strategy – to deliver value
for our customers and returns for our shareholders.

4We continue to bring to market practical, smart and interconnected products and services that help
unlock value for Halliburton and our customers. Our Landmark product line is an established leader inpetrotechnical software with a powerful, cloud-enabled DecisionSpace ® 365 software platform. Landmark
provides us a solid foundation – established through decades of investment in software development,
people, domain expertise and processes – to create and scale digital solutions. This beneﬁts all of our
product lines. In 2019, customer and internal adoption of our digital solutions continued – from increased
sales of cloud-enabled Landmark software, to addressing shale productivity challenges with automatedfracturing, to implementing digital twins to reduce risk in our integrated operations.
Technological innovations are fundamentally altering the dynamics of business, economics, education,
government and even our sense of community. In our industry, digital technologies are redrawing the mapof exploration and production in ways unimaginable not long ago. Halliburton targets its digital initiatives atsolving business challenges. From big data analytics that drive operational efﬁciency and accelerate cycle
times, to the use of machine learning and artiﬁcial intelligence to provide real-time insights and enable
automation across all stages of the well life cycle, Halliburton is able to automate both mechanical systems
and processes, enabling people to focus on more advanced, value-adding tasks.

Sustainability
We imbed sustainability into our strategy; it is integral to our overall mission. The sustainability of ourbusiness, the reduction in environmental impacts and the enhancement of the economic and social
well-being of our employees and the communities in which they live and work are critical to the successof our business. Throughout this report, you will ﬁnd many examples of environmental, social andgovernance (ESG) initiatives and achievements from across our global footprint. We remain committed
to our Guiding Principles for Sustainability, which serve as a framework for sustainable action and support
our purpose and core values. Ethics and integrity are the foundation for our Guiding Principles, and areat the heart of the Halliburton corporate culture, our operations, and our future.

“Digital technology permeates
everything we do, and has thesame goal as our businessstrategy – to deliver value forour customers and returns
for our shareholders.”

In 2019, we undertook a major engagement exercise with our key internal and external stakeholders. Goingforward, we welcome the opportunity to engage further with our stakeholders regarding sustainability. We
incorporate stakeholder feedback into our innovation process, our employee development programs, oursupply chain partnerships, our environmental stewardship and our health and safety Journey to ZERO. We
align our sustainability program with the Global Reporting Initiative (GRI), the Sustainability AccountingStandards Board (SASB), and the Task Force on Climate-Related Financial Disclosures (TCFD) frameworks.
We recognize the effects that climate change will have on our business, our stakeholders and thecommunities in which we operate, and believe that we are well positioned for the future transition where
oil and gas, as well as low-carbon, renewable and sustainable sources of energy, all have a part to playin providing the world with access to affordable and reliable energy. In 2019, we published our Climate
Change Position on our website, and we will continue to report on our climate change efforts through our
Annual and Sustainability Report and other public disclosures.
Halliburton thrives on technical challenges; we are known for designing appropriate solutions. The
challenges of the global move to a low-carbon economy provide us a novel and exciting opportunity –to produce oil and gas as efﬁciently as possible by reducing material usage and minimizing emissions.
As a result, we systematically address sustainability principles and requirements such as emissions,water use, waste management, health and safety, increased production potential and cost reduction
as part of our technology development process.

2019 Annual & Sustainability Report5Halliburton // 100 Years

Stakeholder Letter continued“The market will eventually
recover. Until then, we willcontrol what we can control,
continue to deliver on ourvalue proposition, stay
focused on safety and service
quality, exercise capitaldiscipline and work diligently
to drive margins, free cash
ﬂow and returns.”

We remain committed to advancing our Journey to ZERO – striving to achieve zero safety incidents,
environmental incidents and non-productive time (NPT) all day, every day. For Halliburton, 2019 was an
exceptional year for our safety and service quality performance. Our total recordable incident rate and NPT
both improved by over 20 percent – historical bests across our business. These results indicate that we
reduced the number and severity of incidents, thus improving safety for our employees and decreasing
delays to customers. We also continued to provide our customers with new technologies that enable
them to reduce environmental impacts and to work more safely and efﬁciently in the ﬁeld.
Turning to 2020, like other companies in the energy industry and beyond, our business will be impacted
by the Coronavirus pandemic and the unprecedented decline in commodity prices. Halliburton has
withstood many challenges in the past and grown stronger as a result; many times in fact over the last
100 years. I am conﬁdent that this time will be no different. Halliburton is a market leader in an industry
that is essential to the entire world. We have an excellent business, great customers, an outstanding
workforce and a strong balance sheet. The market will eventually recover. Until then, we will control what
we can control, continue to deliver on our value proposition, stay focused on safety and service quality,
exercise capital discipline and work diligently to drive margins, free cash ﬂow and returns. We remaincommitted to preserving the long-term value of our company.

In Closing
As Halliburton enters its next century, disruptions to historical paradigms will present new opportunities
and challenges for our business. Halliburton has embraced and successfully adapted to change throughout
its history, and we are ready to thrive as the rate of change accelerates in the future.
Despite near-term headwinds, we are excited about what the next 100 years will bring for Halliburton.
We thank our customers for their business and trust, our employees for their hard work and dedication,and our shareholders for their support. We are grateful to have all of you with us as we start the next
century for Halliburton.

6

JEFFREY A. MILLER
Chairman of the Board,
President andChief Executive Ofﬁcer

LANCE T. LOEFFLER
Executive Vice President
and Chief Financial Ofﬁcer

LAWRENCE J. POPE
Executive Vice Presidentof Administration andChief Human
Resources Ofﬁcer

ERIC J. CARRE
Executive Vice President,
President of Global BusinessLines, and Chief Health,
Safety and Environment Ofﬁcer

MARK J. RICHARD
President,
Western Hemisphere

JOE D. RAINEY
President,
Eastern Hemisphere

ROBB L. VOYLES
Executive Vice President,
Secretary andChief Legal OfﬁcerCompany At A Glance
Our BusinessHalliburton is one of the world’s leading oilﬁeld service providers. From our beginnings as a cementing
company 100 years ago, we have evolved into a global organization that helps our customers maximize
value throughout their asset life cycles – from locating hydrocarbons and managing geological data, todrilling and formation evaluation, well construction, completion and production optimization.

SAND

80+
Countries

HAZARDOUS
MATERIALS

MANUFACTURING

14
Product
Service Lines(PSLs)*EQUIPMENTOFFICES

57,024
Employees

FUEL

REMOTEOPERATIONSWATER USE IN THE FIELDLOGISTICS

PRODUCT

MAINTENANCE

DRILLING MUDS & FLUIDS (RECYCLABLE)

2
Divisions* PSLs are primarily responsible and accountable forstrategy, technology development, process development,
people development and capital allocation.

FACILITIESMAN CAMPSWASTE MUDS & CUTTINGSLOCAL COMMUNITY■ Halliburton responsibility■ Halliburton and customer company responsibility■ Customer company responsibility
As a service company to the oil and gas industry, our responsibilities for environmental, social and governance (ESG)
issues are heavily integrated with those of our customers. This integration, which spans a wide range of activity types
and locations, may result in ambiguous boundaries as they relate to reporting requirements. This illustration is designed
to clarify the ESG disclosure and reporting responsibility boundaries for Halliburton.

2019 Annual & Sustainability Report7Halliburton // 100 Years

At A Glance continued

Halliburton Product Service Lines (PSLs)
Drilling and Evaluation Division

Completion and Production Division•

BaroidDrill Bits & Services• Landmark• Sperry Drilling• Testing & Subsea• Wireline & Perforating

•

•

•

Artiﬁcial Lift
Cementing• Completion Tools• Multi-Chem• Pipeline & Process Services• Production Enhancement• Production Solutions

Supporting Both Divisions:•

Project Management

For more information on our operations and markets served, please refer to the Halliburton website and theCompany’s 2019 Form 10-K.

Global Locations
North America

Europe // Eurasia // Sub-Saharan Africa

238

25,924

8,332

7

1

Latin America

Middle East // North Africa // Asia Pacific

13

30

7,202

15,5661

3

Number of countries
2019 headcount
Major technology centers

Number of countries
2019 headcount
Major technology center

8

Number of countries
2019 headcount
Major technology center

Number of countries
2019 headcount
Major technology centersOur Mission, Values andGuiding Principles for Sustainability
Guiding Principles
for Sustainability
HEALTH, SAFETY & ENVIRONMENTCOLLABORATIONFINANCIALPERFORMANCETECHNOLOGY &INNOVATIONGLOBAL
CITIZENSHIP

TRANSPARENCYCOLLABORATIONCOMPETITIONCREATIVITYRESPECTINTEGRITY

Our
ValuesRELIABILITY

SAFETYOUR MISSION

MissionOur mission is to achieve superior growth and returns for our shareholders by delivering technology andservices that improve efﬁciency, increase recovery and maximize production for our customers. Further
information on our Company can be found on our website, including detailed statements on our mission,
vision and values, as well as on our sustainability guiding principles.
ValuesOur values are our corporate DNA, the foundation for how we relate to each other and every individual andentity with whom we interact. These are the principles that every Halliburton employee is expected to use,
live by and demonstrate on a daily basis.
Sustainability Guiding Principles
Built on a solid foundation of ethics and integrity, the Halliburton Guiding Principles for Sustainability provide
the framework for our operations and our future.

2019 Annual & Sustainability Report9Halliburton // 100 Years

Financial Performance

$22.4
24.5%

B
USD

We generated USD 22.4 billion in total Company revenue, with improvements
across all of our international regions.

24.5 percent
reduction in capital
expendituresfrom 2018

5.6
%

10

10
%

Revenue growth in theinternational markets

$200

M
USD

USD 200 million in annualized structural cost savings in 2019

Total debt
reduction
since 2017

North America
For North America in 2019, both operator capital discipline and slowing leading-edge efﬁciency gains
weighed down activity and added pricing pressure.
In response, we started executing a different playbook than in the past. We are charting a pragmatic course
to keep delivering industry-leading returns and strong cash ﬂow to our shareholders throughout different
business environments.
As a clear indication of our focus on returns over market share growth, we have rationalized our equipment
supply to provide the capacity that maximizes the returns on our overall ﬂeet. The size and scale of ourbusiness in North America give us the ability to right-size without sacriﬁcing our market leadership position
and the value that comes with it.
The year 2019 saw a divergence in spending patterns between the international oil companies (IOCs) andthe rest of the market. We continued to high-grade our customer portfolio to ensure a more sustainable
demand level, and a mix of pricing and volume that generates returns for Halliburton.
We continued to deploy technology that lowers our cost and accrues value to Halliburton. We launched
our integrated completions offering, which combines wireline and fracturing services and lowers our cost
proﬁle through technological innovation and de-manning. For Halliburton, 2019 was the ﬁrst full year ofoperation for the iCruise ® intelligent rotary steerable system in the North American market. As it continues
to achieve drilling records in unconventionals, growing customer conﬁdence in this new system will help
its market penetration. These technologies should allow us to reduce our capital outlay and deliver better
margins – all with the purpose of generating strong returns.

Introduced different playbook,emphasizing returns and cash ﬂow
over growth
Grew non-hydraulic fracturing
revenue per rig by 15 percent year
on yearTook actions to adjust to thecurrent market environment,
and delivered approximately
USD 200 million in annualized
structural cost savings

We are strategically growing our share of services per well by increasing the competitiveness of our
non-hydraulic fracturing businesses in North America. Our Wireline and Perforating, Artiﬁcial Lift andSpecialty Chemicals product lines all posted strong double-digit revenue growth in 2019, despite theoverall market softness in U.S. Land.
Finally, we are redesigning the way we deliver our fracturing services in order to lower our unit costand improve margins and returns. In 2020, we will continue the implementation of this service delivery
improvement strategy.
As the market faces another signiﬁcant challenge, Halliburton is taking appropriate actions in North America
to navigate the current environment and thrive in the long run.

2019 Annual & Sustainability Report11Halliburton // 100 Years

Grew revenue 10 percent
year over year
Delivered top line growth inevery international region
Outgrew international rig countfor the second year in a row

International
2019 saw a continued broad-based international recovery across multiple geographies, primarily driven byland and shallow-water operations. This was the second consecutive year of international rig count growth,and the second year in a row that Halliburton outperformed it.
This underscores the fact that Halliburton entered this international recovery as a much stronger competitor.
We made substantial investments to grow our physical footprint in the international markets in the years prior
to the downturn, and we are now reaping the beneﬁts of being present to win where it matters. Additionally,
we have increased the market opportunities in which we can compete by closing technology gaps in key
services, such as directional drilling, logging while drilling, openhole wireline and testing.
Both of our divisions meaningfully contributed to our international growth in 2019. Completion and
Production led the charge with a 13 percent expansion due to higher activity in mature ﬁelds in Europe
and also in unconventionals in Argentina, the United Arab Emirates, and Australia. Drilling and Evaluation
grew international revenues 8 percent, as we increased activity levels in all markets – speciﬁcally in
Norway, Mexico, China, and Nigeria.
In 2019, 35 percent of the Company’s international revenue came from offshore projects. The offshore
markets are seeing more integrated projects this cycle, and this makes our Project Management
organization an important contributor to future international growth. Halliburton achieved large integrated
offshore project wins in Brazil, Senegal and Kuwait in 2019 that will continue to support our international
activity in 2020 and beyond.
In 2019, we took signiﬁcant steps to grow the international presence of our artiﬁcial lift and specialty
chemicals businesses. We started construction of a chemical manufacturing plant in Saudi Arabia, andopened an electric submersible pump (ESP) repair facility in the Middle East – all with a focus on increasing
our share of services per well in the international mature ﬁelds markets.
In 2020, we will continue to drive returns in the international markets. We have a solid project portfoliothat we are executing on today. As equipment supply tightens in certain markets, we are re-allocating tools
to the best returning opportunities. Exercising capital and pricing discipline across all geographies, we
believe, will allow Halliburton to deliver rational, returns-driven improvements in international markets.

12Transparency

43,792
Employees completed
Code of Business Conduct training

9,187
Employees completed
advanced anti-corruption
training

80%

74

Stakeholders identiﬁed forthe 2019 ESG Materiality
Update Survey

2019 Annual & Sustainability Report

Procurement
spend with
suppliers in theregion whereoperational
activity took
place

36

Topics covered by
the survey

1,433
Employees completed training
on high-risk countries

57

Local Ethics Ofﬁcers

91

Internal assurance
audits performed

13

Halliburton // 100 Years

Transparency continued

Materiality
Our sustainability strategy is built upon our material environmental, social and governance (ESG) issues.
As such, part of our sustainability strategy includes conducting an ESG Materiality Assessment to prioritize
issues for evaluation and integration into our business strategy, and to provide key focus areas for ouractions and reporting. In 2019, we began a reevaluation of material ESG topics, combining inputs fromover 74 stakeholders, including our employees, customers, shareholders, suppliers, government, tradeassociations and community organizations.
In deﬁning material topics, various dimensions were considered:
Reasonably estimable sustainability impacts
The interests and expectations of stakeholders invested in the organization• The main ESG focuses/impacts and future challenges for our sector• Key Halliburton organizational values, policies, strategies, operational management systems, goals
and targets• The core competencies of the organization and the way they contribute to sustainable development• Consequences for the organization as related to their impact on the economy, the environment
and/or society.
••A three-tier approach was taken for the survey, with key stakeholders engaged across the process throughdifferent levels of engagement.

Tier 1

Interviews

Customers
Investors
Internal
Stakeholders
Web-Based Surveys

Tier 2Customers
Investors
Media
Trade Associations
Suppliers

Tier 3

14

Customers
Investors
Media
Trade Associations
Peers
Regulators
Community Organizations

Benchmarking(Proxy Management)

The outcome of the survey revealed little change in priorities showing that we are focused on the most
relevant ESG topics for our business. However, even though climate change and the potential related risks
have been included as one of our Material ESG topics for the last ﬁve years, and are addressed as part ofour Enterprise Risk Management (ERM) program, there has been an obvious shift from solely greenhousegas emission reduction to a broader look at climate change. In addition, environmental stewardship andhuman rights (namely, human trafﬁcking) have risen in importance. These topics are being incorporated
into our sustainability strategy for 2020.

HIGHER2019 Materiality Matrix
HSW
IM

BLI

CC
RCM

EP

CP
RM

Important to stakeholders

CI

BC

VE
RY

ES

H

DI

IG
H

SCS

HRHT

H
IG
H

M
O
D
ER

● Governance● Social● Environment

LOWER

E
AT
Impacts on the business

LOWER

HSW Health, Safety and Wellness
CP

RM

CC

Corporate Governance,
Business Ethics andTransparency
Regulatory Management

RCM Risk and Crisis Management

2019 Annual & Sustainability Report

Climate Change:
Greenhouse Gas Emission
Reduction, Energy Efﬁciency,
Alternative Energy

IM

Information Security/
Data Management

CI

Continuous Improvement

HIGHERES

Environmental Stewardship:
Water, Waste, Responsible
Resource Use, Biodiversity

HRHT Human Rights,
Human Trafﬁcking
DI

Diversity and Inclusion

BC

Beneﬁts and Compensation

BLI

Board Leadershipand Inclusion

EP

Economic Performance

SCS

Supply Chain Sustainability

15

Halliburton // 100 Years

Transparency continued

Governance
Board and Committees
Halliburton Guiding Principles for Sustainability are built on our core values of Ethics and Integrity, throughoversight provided by our Board of Directors, our Code of Business Conduct (COBC), our employment
practices and our internal assurance function.
The Halliburton Board of Directors (the Board) provides comprehensive oversight of the management
and governance of the Company. The Board, along with all Halliburton senior management, encourages
transparent and open communication with shareholders, employees and all interested parties.
The Board plays an integral role in our corporate governance processes by:
Reviewing and monitoring the Company’s Enterprise Risk Management Program (ERM)
Addressing matters pertaining to corporate citizenship, governance and sustainability at Board andsub-committee meetings• Reviewing the Annual and Sustainability Report prior to publication.
••

Board of Directors
Board of Directors’ committees:
Audit Committee
Compensation Committee
3
Health, Safety and Environment(HSE) Committee
4
Nominating and Corporate
Governance Committee
1
2

For additional details on our Board
composition, committees and thequaliﬁcations for Board candidates,
please refer to the Halliburton
Corporate Governance Guidelines
and Halliburton Investor Relations on
the Halliburton website, as well as
our 2020 Proxy Statement.

16

Abdulaziz F.
Al Khayyal 3, 4
Retired SeniorVice President ofIndustrial Relations,
Saudi Aramco

William E. Albrecht 2, 3
Non-Executive
Chairman of theBoard of California
Resources Corp.

M. Katherine Banks 1, 3
Vice Chancellorof Engineering andNational Laboratories,
The Texas A&M
University System

Alan M. Bennett 1, 4
Retired President
and Chief Executive
Ofﬁcer, H&R Block, Inc.

Milton Carroll 2, 4
Executive Chairmanof the Board,
CenterPoint Energy, Inc.

Nance K. Dicciani 1, 3
Non-Executive
Chair of the Boardof AgroFresh
Solutions, Inc.

Murry S. Gerber 1, 2
Retired Executive
Chairman of
the Board,
EQT Corporation

Patricia Hemingway
Hall 2, 4
Retired President
and Chief Executive
Ofﬁcer of Health Care
Services Corporation

Robert A. Malone 2, 4
Executive Chairman,
President and Chief
Executive Ofﬁcer,
First Sonora
Bancshares, Inc.

Jeffrey A. Miller
Chairman of theBoard, President
and Chief Executive
Ofﬁcer, Halliburton
CompanyBoard Committees

HSE COMMITTEE

The HSE Committee
assists the Board in
fulﬁlling its responsibilities
to provide global oversightand support of theimplementation andeffectiveness of theCompany’s health, safety,
environmental andsustainable developmentrisk-management
procedures, policies,
programs and initiatives.

COMPENSATIONCOMMITTEEThe Compensation
Committee oversees
the Halliburton executive
compensation program.
This program features
market-driven compensation
within a total-compensation
framework, with ﬂexibility
to accommodate differencesin business drivers andobjectives throughout
our business units. The
program is regularly
reviewed to ensure that itsupports the Company’s
strategies and generates
value for our shareholders.

NOMINATING ANDCORPORATE GOVERNANCE
COMMITTEEThe Nominating andCorporate GovernanceCommittee performs
the annual evaluation ofHalliburton director criteria,
Board diversity, skills andexperience proﬁles, andproposes directors for theCompany’s annual Board
elections. All directors
stand for election at
the annual meeting ofshareholders.

AUDIT COMMITTEE

The Audit Committee
assists the Board’s
oversight of the integrityof the Company’s ﬁnancial
statements and compliancewith legal and regulatory
requirements. The Chief
Ethics and ComplianceOfﬁcer (CECO) reports
to the Audit Committee
on investigations, COBC
audits and other related
topics each quarter,and provides the
Audit Committee witha comprehensive
annual report.

Executive Compensation
Compensation programs are integrated with our business and human resources strategies and management
processes in order to focus efforts, maximize returns and build shareholder value. We partner with consultants
to benchmark our pay programs and ensure that we are offering a competitive remuneration package andmaintaining governance for consistency and compliance.
Halliburton maintains open communication with the investment community, and seeks feedback from ourshareholders on a regular basis as part of our approach to managing our executive compensation program.
During 2019, we contacted shareholders representing more than 50 percent of our outstanding common
stock and met with approximately 31 percent of those shareholders. We solicited shareholder feedback on
Company strategy and performance, corporate governance, executive compensation, sustainability andother topics. Our senior management team participated in over 375 investor meetings and 16 conferences.
We continue to hear from our shareholders that they support our overall compensation program design andare appreciative of our ongoing efforts to consider their feedback as our program evolves. Additional detailon remuneration policies is available in our 2020 Proxy Statement.
Management of Climate-Related Risks
Halliburton has been incorporating review of climate-related risks and opportunities into our own operations,and into our growth strategy, for several years now. We believe continuously evaluating climate-relatedrisks and opportunities is part of doing business and, therefore, have no need for a separate strategy. In linewith our customers, we acknowledge that oil and gas will remain key fuels for the next several decades,
and that we have a responsibility to advance our ability to access those fuels in the most efﬁcient way
possible through the use of low-carbon and zero-carbon technologies.
We consider that the climate-related scenarios developed by our customers are at the leading edge of
scenario development. As a service company, our primary focus at this time is on assisting our customers
in the implementation of their climate-related strategies. Our discussion with customers and our analysesof their existing and forward-looking climate-related strategies are, therefore, key to shaping our own
business strategy.

2019 Annual & Sustainability Report17Halliburton // 100 Years

Transparency continued

The Board has ultimate oversight of climate-related issues, and it reevaluates climate-related risks andopportunities on a regular basis alongside other key enterprise risks. Halliburton senior-level management
is responsible for identifying climate-related risks and opportunities, assessing the potential level of impact
to the business, and presenting recommendations to the Board for its consideration. Once integrated into
the business strategy, the senior leadership is responsible for implementing the necessary climate-related
actions as they relate to their particular areas of responsibility. In addition, our Sustainability Council, which
comprises representatives from across all business areas, provides advice, counsel and recommendations
to the Global Sustainability Manager for the preparation and implementation of the Halliburton Sustainability
Program. For further information, refer to our Climate Change Position on our website.

Oversight
BOARD OF DIRECTORS (BOD)

BOD HSE COMMITTEEHSE AND SUSTAINABLE DEVELOPMENTEXECUTIVE COMMITTEE

Identification and Implementation
SENIOR-LEVEL MANAGEMENTSUSTAINABILITY COUNCILPRODUCT SERVICE LINES

BUSINESS SUPPORTSERVICESTECHNOLOGY R&D

MANUFACTURINGSTAKEHOLDER REQUIREMENTS:
CUSTOMERS, INVESTORS, WORKFORCE, SUPPLIERS, PEERS, TRADE ASSOCIATIONS,REGULATORS, COMMUNITY ORGANIZATIONS, MEDIA

18

Ethics
Global Ethics and Compliance
The Global Ethics and Compliance practice group is responsible for advancing the Company’scommitment to its core value of integrity through the administration of its Global Compliance Program.
The group supports ethical business conduct by directors, ofﬁcers, employees, contractors, suppliers,
agents, consultants and others acting on the Company’s behalf.
Our Global Compliance Program is based on a robust compliance governance framework; well-deﬁned
and clearly communicated standards of compliance; open lines of communication; continuous compliancemonitoring through internal assessments and audits; effective and timely responses to detected violationsof the Code of Business Conduct (COBC) or the law, including disciplinary actions and remedial actions
when appropriate; ongoing training and education; and proactive risk management.
Our Company has improvement programs and projects that ensure we remain current with changes
in both the business environment and with the demands and expectations of our diverse stakeholders.
We have comprehensive policies, procedures and required training that helps employees be aware of,and comply with, applicable laws and regulations, including the U.S. Foreign Corrupt Practices Act (FCPA)and the U.K. Bribery Act. The Halliburton Board of Directors, Section 16 ofﬁcers and all manager-level
employees are kept up to date regarding the organization’s anti-corruption policies and procedures.
Global and regional resources are available to advise on issues and to conduct investigations regarding
potential violations of the COBC or local laws and legislation, which may include:
Internal audits and compliance risk assessments for the analysis of compliance-related risks. In 2019,28 countries were assessed as part of an audit or compliance risk assessment. Additionally, global audits
were conducted on speciﬁc risk areas. Further details of our Global Compliance Program can be foundin our COBC.
• The Company’s Ethics Helpline enables Halliburton employees and external whistleblowers to reportmisconduct anywhere in the world. Reports can be submitted anonymously, and translators areavailable. Halliburton makes every effort to maintain the conﬁdentiality of the reports. Potential violationsof the COBC are investigated, and results are shared internally with executive management, Internal
Assurance Services (IAS) and, as appropriate, the Audit Committee of the Board. With regard to
substantiated reports, appropriate measures are decided in line with the principles of proportionality andfairness. Measures taken can include termination, written reprimand, coaching, restitution, suspension
without pay, loss of stock/bonus and demotion.
• Local Ethics Ofﬁcers (LEOs), designated in each of our operating regions, embody and modelHalliburton values and ethical behavior. Serving three-year terms, LEOs are key liaisons between local
employees and Global Ethics and Compliance. LEOs provide regular ethics training to Halliburton
employees, through the use of quarterly Ethics Moments and biweekly Ethics Topics.

Local Ethics Ofﬁcers
LEO ProgramNA
11

MENA/AP
18

57

LA
11

EESSA
17

LEOs serve as a local link for
employees to Global Ethics
and Compliance, and are theCompany’s ethics role models
and compliance champions.

•

Security
The safety of our employees, contractors and facilities is paramount, and coincides with our respectfor human rights and the security of local communities. Our high standards of safety require the useof third-party armed security in a small minority of the countries where we operate. Halliburton makes
significant efforts to ensure that these security providers uphold our strong standards of ethics andintegrity. All third-party security providers with access to the Company’s internal systems are required
to take formal training on the Halliburton COBC every two years.

2019 Annual & Sustainability Report

Ethics Training by Region
Attendees

9,288
Latin America (LA)25,079Middle East, North Africa
and Asia Paciﬁc (MENA/AP)

10,985
Eurasia, Europe and
Sub-Saharan Africa (EESSA)

12,696
North America (NA)58,048TOTAL

19

Halliburton // 100 Years

Transparency
continued

Taxation
The Halliburton taxation strategy
is consistent with our commitment
to integrity and ethics, and with
our Guiding Principle on Global
Citizenship. We are committed tomeeting our legal obligations in
the payment of taxes and thedisclosure of taxes paid andeffective rates. This informationis set out in the notes to ourﬁnancial statements.
Internal Assurance Services
Our Internal Assurance Services (IAS) function conducts reviews on a global basis to assess adherence tothe Halliburton Management System. IAS partners with Global Ethics and Compliance and other functions
to conduct risk assessments that form the basis of the Audit Plan. Audit outcomes are ﬁnalized in a formal
report, and actions are required to address reported audit observations. Audit ﬁndings, trends and insights
are reported within the organization and to Board committees as applicable. In 2019, 91 audits were
performed by our IAS group, which is in line with previous years.
Public Policy and Political Contributions
Halliburton keeps informed on signiﬁcant domestic and foreign policy issues that affect the Company
and its employees around the world. Halliburton may engage in public policy issues relevant to theCompany’s interests. Halliburton does not make political contributions to political candidates or politicalparties. Corporate political activities, including any contributions of Halliburton funds or use of Company
facilities and resources, must comply with applicable laws. Halliburton may also provide administrative
support for the operation of political action committees or provide support in informing the public on anissue of importance to the Company and its shareholders – always in compliance with applicable laws.
Further information on the Company’s contributions and public policy engagement can be found on the
Public Policy page of the Halliburton website.
In 2019, the Halliburton risk management portfolio was expanded to include proactive monitoring of politicalrisks. This addition brings an added focus to community relations and examines emerging legislation, suchas on noise or emissions. The purpose is to ﬁnd active solutions for Halliburton stakeholders.

Human Rights
Halliburton operates in more than 80 countries around the world. Our shareholders, customers, suppliersand employees represent virtually every race, nationality, religion, culture, political philosophy and language.
This diversity supports our business excellence and embodies the Company’s respect for human rights andthe dignity of all people.
We support universal human rights, as deﬁned by the United Nations Universal Declaration of Human
Rights, and are committed to compliance with the requirements of all applicable employment, labor andhuman rights laws. Our IAS and Human Resources processes validate our human rights practices. Our
Human Rights Statement is available under the Corporate Governance section of the Halliburton website.

20

Employee Training on Ethics and Human Rights

2,042

1,510

1,433

High-Risk
Country
Training
Employees
who completed
training

9,187

Advanced
Anti-Corruption
Training
Employees
who completed
training
9,179

Code of BusinessConduct Training
Employees
who completed
training

Employees working in countries
that have been designated ashigh risk are required to take training
which, in addition to touchpoints
on COBC and anti-corruption,
focuses on internal controlsthat must be followed in the
procurement process.

8,543

All employees with relevant job
functions and those working in
high-risk countries complete
additional anti-bribery andanti-corruption training. The
training covers the U.S. Foreign
Corrupt Practices Act, the U.K.
Bribery Act, other country-speciﬁc
anti-corruption laws, hospitality,
charitable contributions, donations,gifts and international business
relationships. Global Ethics andCompliance conducts in-person
training sessions to supplement
the web-based anti-corruption
training courses.

43,792All Halliburton employees andcertain categories of contract
workers or consultants are required
to complete COBC training every
two years. Training courses cover
all areas of the COBC, including
anti-corruption and human rights.
Global Ethics and Complianceconducts in-person training sessions
to supplement the web-based
COBC training courses.

HIGH-RISK COUNTRY TRAINING

47,145ADVANCED ANTI-CORRUPTIONTRAINING

44,729CODE OF BUSINESS CONDUCT(COBC) TRAINING

17

18

19

17

18

19

17

18

19

Supply Chain
The Supply Chain division at Halliburton comprises procurement, manufacturing, materials and logistics,
and manages a complex, global network of suppliers, warehouses, cross docks and manufacturing
facilities. We require the same high standards of corporate citizenship throughout our supply chain as inour global operations by striving to maximize the positive economic and social impacts of our value chain
while minimizing environmental impacts. This is exempliﬁed by our high engagement rates of local anddiverse suppliers in the countries where we operate. More information can be found on our Supplier
Relations page of the Halliburton website.

2019 Annual & Sustainability Report21Halliburton // 100 Years

Transparency continued

Supply Chain GovernanceHalliburton is committed to ensuring that our suppliers are in compliance with all applicable employment,labor and human rights laws to ensure fair and ethical employment practices, including non-discrimination,
minimum age, and freedom of associations, as well as our fair compensation polices and our policies on
health, safety and security. Our supplier expectations are clearly stated in our Supplier Ethics Letter.
Training on topics including health, safety and environment (HSE) standards, human rights and conﬂict
mineral compliance is also provided to our suppliers to ensure they meet the Company’s standards andgain information to improve the communities where we live and work. The Supplier Ethics Letter, alongwith more information on supply chain relations and our supplier due diligence checks, can be found on
the Supplier Relations section of our website.

17

18

$780

$790

$937

Spend with
Small andDiverseSuppliers
million USD

19

2018

2019

Percentage of new suppliers screened using environmental and social criteria

100%

100%

Number of suppliers assessed for environmental and social impacts

5,378

5,048

Local Content and Supplier Diversity
In 2019, more than 80 percent of the Company’s procurement spend was with suppliers located within theregion where our operational activity took place. We establish and foster relationships with suppliers who
can provide Halliburton with strategic and competitive advantages for our local operations, while expanding
the capacity and competency of national and local industry suppliers. Halliburton shapes local sourcing
efforts to the speciﬁc governmental, cultural and economic needs of each country. Additionally, Halliburton
supports small, minority-owned and women-owned businesses throughout our U.S. supply chain.
Conﬂict Minerals
Suppliers are required to provide Democratic Republic of Congo (DRC) conﬂict-free materials to Halliburton,and to furnish information to assist in determining that work provided to Halliburton is DRC conﬂict-free andto respond to requests for information on sources of supply. These requirements support our commitment
to the Responsible Minerals Initiative and our compliance with Section 1502 of the United States Dodd-Frank
Act. In 2019, a total of 1,294 suppliers were identiﬁed as in-scope and contacted as part of the Conﬂict
Minerals campaign. Halliburton removed suppliers from our approved supplier base who did not cooperatewith our Dodd-Frank compliance requirements.

HSE and SQ in Latin America
In Brazil, Mexico, Argentina and other parts of Latin America, Halliburton worked with local suppliers to ensure
they were following Halliburton HSE and Service Quality (SQ) Standards, suggest technological and operational
improvements, and expand supplier portfolios. This was done through workshops and continuous meetings with
suppliers, which, in turn, have helped create positive collaboration between Halliburton and the suppliers wework with.
Supporting Saudi Aramco’s ‘In-Kingdom Total Value Add’ Goals
In Saudi Arabia, we are supporting the “In-Kingdom Total Value Add” goals of Saudi Aramco, in alignment with theKingdom’s Vision 2030. One element of our commitment was to reach a 70 percent nationalized workforce by theend of 2021. With our relentless drive to hire Saudi nationals, including providing opportunities to over 450 in 2019,
we reached the 70 percent goal two years ahead of the target. We continue to hire, train and develop to drive
further nationalization.

22

Global Supply Chain

SENEGALCHINASAUDI ARABIAHalliburton has begun conducting a risk analysis
of modern slavery of Senegal suppliers, alongwith how to mitigate those risks, to comply with
the UK Modern Slavery Act. In addition, procurement personnel carried out Chartered Institute ofProcurement and Supply (CIPS) ethics trainings andappointed a modern-day slavery lead for Senegal.
In 2019, Halliburton committed to offering full, fairand reasonable access to tendering opportunities
to local ﬁrms and individuals. We also conducted
targeted supplier development activities and training
programs to increase the ability of local suppliers tobid for available work, while working in collaboration
with local government bodies to continuously
develop effective local content plans.

In March 2019, a Halliburton Certiﬁed Quality
Representative training was conducted in China
to communicate the importance of the Halliburton
Code of Business Conduct requirements. All
Tianjin Economic-Technological Development
Area (TEDA) local suppliers and all procurement
teams attended the training, which covered
subjects such as understanding Halliburton
documents, the raw material veriﬁcation processes,
parts manufacturing, process control requirements,
and quality control requirements to align with“Halliburton receiving inspection quality” process.
Following the training, Halliburton Supplier Quality
Professionals also performed on-the-job training
at supplier locations.

To engage with our suppliers, the Saudi Arabia
Supply Chain team conducted three workshopswith 15 of our local suppliers in 2019, educatingthem on topics such as Halliburton supplierregistration, customer expectations and contract
manufacturing. In addition, the Halliburton supplieraudit program was carried out, which includes
frequency-based vendor process and productaudits. We maintain a relationship with eachsupplier through onsite supplier inspection, ﬁrst
article release and supplier performance reviews.

UNITED ARAB EMIRATESINDIAAUSTRALIAThe United Arab Emirates Supply Chain team is
continuously working with its suppliers to increase
the country’s value by verifying In-Country Valuecertiﬁcations; hiring local Emiratis, such asengineers, into Halliburton product services line
(PSL) positions; and increasing Halliburton
business with veriﬁed suppliers.

Halliburton collaborates with local suppliers inIndia to drive improvements in quality, delivery,
HSE, cost and the capacity of local suppliers.
This enables suppliers to meet Halliburton
requirements by promoting innovation throughthe sourcing of new products and services,developing alternative channels for procuring
goods and services, and creating new business
opportunities. Comprehensive audits of ourcritical suppliers are conducted to ensure thateach quality and ethics component is met.

The Australia procurement team worked withlocal suppliers on three initiatives to increase
the number of local suppliers being used forHalliburton projects. In 2019, Halliburton
onboarded four more local suppliers and helda local trade fair for local vendors each quarter.
Once each supplier began work for Halliburton,
supplier audits were done in conjunction with
the Service Quality team.

2019 Annual & Sustainability Report23Halliburton // 100 Years

Transparency
continued

Modern Slavery
Halliburton performs due diligence, in several ways, on suppliers with respect to modern slavery andhuman trafﬁcking. We communicate our supplier expectations regarding human rights through the Supplier
Ethics Letter and the Supplier Ethics Statement. We require suppliers to contractually commit to protect
and uphold the fundamental human rights of their employees as stated in the Universal Declaration of
Human Rights. To ensure compliance, we conduct an evaluation of our highest-spend suppliers on anannual basis. In 2019, we enhanced the supplier evaluation process to include an assessment of our
suppliers’ policies and procedures regarding forced labor and human trafﬁcking, wage deductions, andtimely and accurate payment of wages for all workers. Our goal is to conduct business with suppliers
who share our commitment to ethical operations.

U.K.’s Modern Slavery Act 2015
Halliburton has issued questionnaires to over 1,100 suppliers, accounting for over 80 percent of all U.K. spend, andhas assigned each supplier a risk level based on an evaluation of their questionnaire responses and other relevant
data points. Additionally, over 90 percent of European Supply Chain employees have completed a training coursethat enhances their ability to identify signs of human trafﬁcking and forced labor, and to prevent other issues related
to human rights abuses. In the United Kingdom, as part of our implementation of compliance to the Modern Slavery
Act 2015, our suppliers must complete a questionnaire to verify that adequate controls exist to prevent slavery andhuman trafﬁcking. Speciﬁcally, suppliers must conﬁrm their awareness of the Modern Slavery Act and describe thecontrols in place to comply with the Modern Slavery Act within their businesses and supply chains.
Oil and Gas Trafﬁcking Awareness Group (OGTAG)
As members of the Oil and Gas Trafﬁcking Awareness Group (OGTAG), and with our Global Sustainability Manager
on OGTAG’s Advisory Board, we are determined to strengthen our commitment to preventing human trafﬁcking
in our supply chain and in the communities in which we operate. We are enhancing our policies, processes andprocedures to help educate our employees and suppliers on signs of human trafﬁcking, so they can uphold ourcommitment to this cause. In 2019, we conducted trainings in Senegal and Ghana to educate our suppliers on
slavery and to empower them to make ethical business decisions. We will also continue evaluating supplier risk
levels in order to better educate our suppliers on their responsibilities based on the Company’s expectations andlegal requirements. Continuous assessment of high-risk, high-spend vendors will aid Halliburton in determining theircompliance with anti-human trafﬁcking and human rights requirements. We have conducted a Slavery Risk Analysis
that takes several different risk factors into consideration, including percentage of slavery in the country, vulnerability
to slavery and government response to slavery.

24

Technology& Innovation

1

3.6

st

1,116
34th
Ranked in largest number ofU.S. patent grants

Our reported number of patents
granted in 2018 and 2019 includes
Halliburton acquisitions, divestituresand grants that potentially were
not reﬂected in public databases
at year’s end.

2019 Annual & Sustainability Report%

Increase inpatents granted%

Oil and gas
industryleader in thenumber of
U.S. patents
granted

3.4
25$1

U.S. patents granted in 2019

Increase in researchand development (R&D)
spend since 2018

U.S.
patents
for everyM
USD R&D

investment

25

Halliburton // 100 Years

Technology & Innovation continued

World Oil
Technology Awards 2019
• Best Drilling Technology Award– EarthStar® 3D Inversions• Best Exploration Technology

Award – T1T2IFMI for
Unconventionals with Halliburton
XMR™ Service• Best Health, Safety, Environment/
Sustainable Development– Onshore Award – Tuned ®
Prime™ Cement Spacer• Best Well Intervention Technology
Award – SPECTRUM ® 360

Technology Management
Halliburton is at the forefront of developing innovative solutions for our customers’ business challenges in
the midst of an energy and digital revolution. We are focused on the future and the exciting evolving energy
transition, providing products, services and solutions to the oil and gas industry that support our customers
in their low-carbon future. This development focus is continuously enhanced by our customer collaboration,
advanced technology, continuous improvement, safety and service quality.

Technological innovations are fundamentally altering the dynamics of business, economics, education,
governance and even our sense of community. In our industry, digital technologies are redrawing themap of exploration and production in ways unimaginable not long ago. Halliburton digital initiatives areintegral to our business strategy and are targeted at solving business challenges. From big data analytics
that drive operational efficiency and accelerate cycle times, to the use of machine learning and artificial
intelligence to provide real-time insights and enable automation across all stages of the well life cycle,
Halliburton is able to automate both mechanical systems and processes – enabling people to focus on
more advanced, value-adding tasks.
Innovation management at Halliburton begins with identifying the global priorities of our customers
through the relationships forged by our 14 product services lines. Those priorities are distilled into potential
innovations that are analyzed for business objectives, speciﬁc customer needs, Health, Safety andEnvironment (HSE) impacts and opportunities, and regulatory compliance. Our focus is on continuous
improvement; therefore, our innovation objectives are modiﬁed regularly to mitigate design risks fromthe product or service.
Halliburton thrives on technical challenges; designing appropriate solutions are what we are renowned forachieving. The challenges of the global move to a low-carbon economy provide us a novel and exciting
opportunity – to produce oil and gas as efficiently as possible with negligible material usage and zero
emissions. As a result, sustainability principles and requirements such as emissions, water use, waste
management, health and safety, increased production potential, and cost reduction are addressed as partof our technology development process.

26

2019 Highlights
This year, Halliburton engaged our global teams to develop innovative approaches to reduce theenvironmental footprint of our products and services. Whether it was hazardous waste reductions, water
recovery, recycling initiatives or carbon dioxide (CO 2 ) reduction efforts, each of these projects createda more efﬁcient and sustainable way to operate.

Our iCruise ® intelligent rotary
steerable system (RSS) has enabled
the completion of jobs six days
ahead of schedule, while keeping
100 percent accuracy in each
respective zone. This technology
helped save 7,200 gallons of diesel,
which equates to 74 metric tons ofcarbon dioxide equivalent (CO 2e)over an equivalent job drilled withtraditional methods. This technology
also eliminated the need to uselithium batteries, thus removing any
adverse environmental impacts oflithium battery production, storage,
and recycling or disposal.

In the United Kingdom, our Wireline
electro-mechanical downhole cutting
tools and tubing punches can achieve
single blade cuts in less than two
minutes with real-time downholedata. This decreases time on siteand eliminates the need for thetransportation, storage and usageof explosive charges and chemicals.
On a recent campaign in the North
Sea, an operator utilized the electromechanical downhole cutting service
for a well abandonment program.
The technology successfully saved
one-and-a-half days of rig time perwell – a substantial reduction fromthe initial plan.

In Bolivia, all waste resulting fromwater-based mud operations were
processed through a dewateringsystem and then processed through areverse osmosis unit. The resulting
water met strict environmental limits
for disposal and had excellent properties
to enable the reuse of 18,800 barrels
of water on a well. In addition, thisreduced the need for wastewaterdisposal, thus saving money on vessel
rentals required for water disposal.

The Sperry Drilling QuickPulse™
automated directional gamma
service enables a 70 percent fasterrig-up time and results in a smaller
surface footprint for the drilling
equipment.

Our Tuned ® Prime™ cement spacer
has resulted in a greater than
93 percent reduction in crystalline
silica content, which signiﬁcantly
improves the safety for personnel
using cement spacers.

The Commander™ full-bore cement
head has advanced our wirelessfunctionality, resulting in an average
rig-up time of 30 minutes. This
saves a signiﬁcant amount of timeover a traditional job, which resultsin less time spent by personnel inthe red zone.

2019 Annual & Sustainability Report27Halliburton // 100 Years

BAROID•

BaraShale™ Lite 2Single-sack Drilling Fluid•

CoFlo for Brine Treatment•

DRILL BITS & SERVICES

iCruise® intelligent RSS – 6.75 in., 4.75 in., 8 in., 9.5 in.
PixStar™ High-Resolution Ultrasonic Imaging Service
QuickPulse™ Automated Directional Gamma Service
GasFact™ 2.0

TESTING & SUBSEA

•
•
•
•

•

•

•

•

WIRELINE & PERFORATINGRELAY™ Digital Stickline System – Downhole Power
Unit (DPU®)
RELAY™ Digital Stickline System – Elite Control Unit

•

•

•
•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

•

Tuned® Defense™ cement spacer
Tuned® Prime™ cement spacer•••

Commander™ Full Bore cement head
LiquiLite™ cement additive••

PRODUCTION ENHANCEMENT••

ExpressSand™ MAX

•
•

DryFR

•

ExpressKinect™ Quick Latch system

COMPLETION TOOLS

LinX® 200™ monitoring system
DataSphere® Opsis™ permanent downhole gauge•

SmartWell® hydraulic disconnect tool
SafeGrip™

••

IMPROVES RESERVOIRUNDERSTANDING

ENABLES BETTER POSITIONING
OF WELLS

•
•

•
•

•
•

•
•
•
•
•

•

•
•
•

•

Project Gala – CECS/J 1939 controls andAllison 9832 transmission

PRODUCTION SOLUTION•••First-generation electric fracturing system (Zeus 1.0)
Next-generation blending system (Janus)

•

•

•
•

•

CEMENTING

HALADVANCE™ 344 cement additive

IMPROVES WELL INTEGRITY

•
•
•

•
•

Total High-Angle Disconnect Testing••

Radian® 6.75
Flex™ Managed Pressure Drilling (MPD)•••

Bottomhole Assembly (BHA) Interaction Venus
SPERRY DRILLINGINCREASES ABILITY TO REUSE /RECYCLE PRODUCT AT END OF LIFE

CONTAINS RECYCLED MATERIAL

HAS A LONGER LIFE SPAN /HIGHER DURABILITY

USES ELECTRICITY INSTEAD
OF FOSSIL FUELVOLUME OF HAZARDOUS
WASTE PRODUCEDVOLUME OF NON-HAZARDOUS
WASTE PRODUCEDIMPROVEMENTSPILLS OR LEAKSSPACE / FOOTPRINT REQUIRED•••NUISANCE: NOISE / ODORS /VISUAL INTRUSIONVOLUME OF HAZARDOUS OR
HARMFUL MATERIALS / CHEMICALSVOLUME OF WATER USEDOR PRODUCEDFOSSIL FUEL USE

2019 Products

EMISSIONS TO AIR /FUGITIVE EMISSIONS / GHG

DURATION OF JOB / NUMBER
OF PEOPLE ON SITE

Technology & Innovation
continued

POTENTIAL FOR
SAFETY INCIDENTS

REDUCTION/ELIMINATION

•
•

•

•
•
•

•
Many of the products and solutions released in 2019 provide our customers with the means to reduce or
eliminate environmental and social impacts, and to improve the efﬁciency of accessing their assets.

28

VOLUME OF HAZARDOUS
WASTE PRODUCED

1.60%

1.80%

Reinjection of cuttings

Fluid recycling strategy

17

18

19

17

18

19

•

Use of highly reﬁned mineral and synthetic Group III baseﬂuids to replace diesel and Group 1 ﬂuid

Dewatering and reverse osmosis for water treatment

1.70%

VOLUME OF NON-HAZARDOUS
WASTE PRODUCEDSPILLS OR LEAKSNUISANCE: NOISE / ODORS /VISUAL INTRUSIONSPACE/FOOTPRINT REQUIRED

•

$404

Non-damaging drill-in ﬂuid for the drilling of the reservoir
section of the KS formation and the aquifer, which has been
selected as an injection reservoir to capture supercritical CO2
for long-term storage

•

•

•

•
•

2019 Annual & Sustainability Report

1.83

3.39

813

896

1,116

In Southeast Asia, Baroid used magnesium oxide
whenever possible to decrease the amount of caustic
soda used for pH control in water-based mud drilling
ﬂuids, which has helped decrease the amount of
hazardous waste produced.

Patents
GrantedPer Year
U.S.

1.40

PatentEfficiency
U.S. Patents
per USD 1M
of R&D Spend

In Huyapari, Venezuela, Halliburton Baroid led a ﬂuid
recycling strategy, using 40 percent reused well ﬂuid
to reduce the total volume of processed ﬂuid and tominimize waste. All the ﬂuids’ properties for reuse wereveriﬁed in the Fluids Lab prior to use for the next well.

R&D Spend
as a Percent
of Revenue
percent$390

Baroid – Water-based mud

VOLUME OF HAZARDOUS OR
HARMFUL MATERIALS / CHEMICALSVOLUME OF WATER USEDOR PRODUCED•

Baroid – Polymeric productTotal
Research &Development
Spendmillion USD$360

BAROIDFOSSIL FUEL USE

EMISSIONS TO AIR /FUGITIVE EMISSIONS / GHG

POTENTIAL FOR
SAFETY INCIDENTS

2019 Services/Projects

DURATION OF JOB / NUMBER
OF PEOPLE ON SITE

REDUCTION/ELIMINATION

17

18

19

17

18

19

29

Halliburton // 100 Years

Technology & Innovation continued

In response to our purpose to assist in the reduction of the industry’s environmental footprint as acomponent of being responsible stewards of the environment, Halliburton is testing new initiatives using
electric pumps. This innovative service directly addresses ecological concerns by signiﬁcantly reducing
operational noise pollution, diesel emissions and atmospheric contaminants. The resulting beneﬁts will
empower our customers to improve their eco-footprints and to support sustainability easily, efﬁciently andcost-effectively, while also enabling us to deliver the same level of service that they have come to expectfrom Halliburton.
We have accomplished this vision by heavily investing in the research and development of a new way
to power our already proven Q10™ pump. Our approach is a non-conventional, high-power density,
natural-gas-turbine-driven mobile power plant. This is coupled with high duty-cycle-rated electrical systems
and components to drive our world-class Q10 hydraulic fracturing pump. Our modular approach allows
for minimized truck moves and right-sized power utilization for the most efﬁcient power delivery. The
continuous-duty components allow for higher asset utilization and an overall leaner operation.
The Halliburton electric solution can be run using highly abundant, 100 percent North American produced
natural gas, or with ﬂare gas harvested by third parties. This will deliver signiﬁcantly lower combustion,
resulting in a reduction in nitrogen oxides (NOx), carbon monoxide (CO), unburned hydrocarbon (UHC),
particulate matter (PM) emissions and noise emissions than from our already ultra-low emissions North
American Tier 4 ﬂeet, which is the largest such ﬂeet in the world.

30

Collaboration

375
One-on-one investor meetings

31%

Of shareholder basecontacted during proxyseason engagement

1611 63%

Sell-side
hosted conferences

2019 Annual & Sustainability ReportIndustry-recognized tradeassociation memberships

Of employees participated in
employee engagement (Pulse) surveys

31

Halliburton // 100 Years

Collaboration continued

Stakeholder Engagement
A vital component of our approach to sustainability is cultivating and maintaining long-term relationships
with stakeholders. As a global provider of oil and gas services, we engage with many people around theworld, capitalizing on the opportunities we have to interact with stakeholders on a local and global scale.
The viewpoints and actions of our stakeholders have a decisive impact on the success of our business.
We are able to identify issues of top concern and priority through ongoing engagement with communities,
individuals and organizations.
We value the feedback of stakeholders at all levels of our organization and communicate information
to senior management and the Board. Our senior management, Investor Relations team and operational
managers hold regular meetings and conference calls with analysts, institutional investors and others.
Our business development teams and product service lines interact continuously with customers tounderstand their needs and concerns, including in the sustainability space.
By continuing dialogue with our stakeholders, we hope to better understand their positions, identify trends
and build trust through partnerships – which all provides the opportunity to address key issues and meet
expectations in sustainability management.
In determining stakeholders to engage, we consider a variety of factors, such as:
Stakeholder interest and inﬂuence on Halliburton
Possible alignment of our values with those of the stakeholder group• Collaboration opportunities that will improve social or environmental outcomes.
•

Suppliers
Government
Industry Associations
Communities & Non-Governmental Organizations (NGOs)

32

•
•
•
•
•
•

•
•
•
•
•
•
•

•
•
•
•
•
•
•

•

•

•

WORKFORCE DEVELOPMENT& MANAGEMENT

SUPPLY CHAIN SUSTAINABILITY

•
•
•
•

ENVIRONMENTAL STEWARDSHIP

Employees••••

HEALTH, SAFETY & WELLNESSCustomers

•
•
•
•
•
•

COMMUNITY ENGAGEMENT

Shareholders & Analysts

ECONOMIC PERFORMANCESTAKEHOLDER GROUPOPERATIONAL EXCELLENCE

Primary Areas of Collaboration and Engagement

CORPORATE GOVERNANCE& BUSINESS ETHICS

•

•
•
•
•

STAKEHOLDER GROUPSTAKEHOLDER SIGNIFICANCE

HOW WE ENGAGE

SHAREHOLDERS & ANALYSTS

Regular dialogue with our shareholders has always beena high priority for Halliburton. When making investment
decisions, shareholders are increasingly focused on how
we can integrate important aspects of environmental,social and governance (ESG) issues into our business,
products and services.

Through our annual reporting, shareholder meetings andquarterly conference calls, we can communicate on key
topics of interest. Senior management and our Investor
Relations team also hold regular meetings and conference
calls with analysts, institutional investors and others.

CUSTOMERS

We continually engage with our key customers, inorder to understand their priorities and requirements andhave several significant joint ventures that result fromongoing engagements. Customers motivate Halliburton
to continuously invest in research and development toimprove products and services.

We ensure customer satisfaction by having continual
engagement and collaborating directly on developing newtechnologies. We listen and respond to our customers’
suggestions and recommendations to create value throughour services and business practices.

EMPLOYEESOur people are key to our success, so we want to
attract, develop and retain employees. We also work with
universities, and offer internships and entry-level positions
to students and recent graduates to continually growour talent.

Through training programs, our quarterly check-ins,semi-annual Pulse surveys, employee groups and regulardevelopment reviews, we are able to make sound talentdecisions and increase overall workforce engagement.

SUPPLIERS

Suppliers are an extension of our business. Theirinvolvement is important in our ability to manage our
ESG risks, and they support the development ofopportunities.

We work collaboratively with our suppliers on an
ongoing basis through workshops and meetings. With
this frequent engagement, we are able to suggest anddevelop technological and operational improvements,
and to expand supplier portfolios.

GOVERNMENT

Government agencies are important stakeholders throughtheir need to protect the environmental, economic andsocial fabric of the societies for which they are responsible.

The Halliburton Government Affairs function works withgovernment officials to provide in-depth information on ouroperations, examine emerging technologies and contributeto the discussion on regulatory standards. For example,
Company representatives have been involved in the policy
discussions surrounding the development of shale oiland gas resources in the U.S., Canada, Mexico, Europe
and Australia. We are also educating policy makers on
our technology, products and services that result in lower
emissions from our business activities and those services
we provide at the customers’ wellsite.

INDUSTRY ASSOCIATIONS

We work alongside customers and peers to addresscommon challenges, share best practices and create
new industry-wide standards, policies and practices,in the ESG space.

Across Halliburton, business groups engage with relevant
associations in respect to ESG issues by participating in awide variety of committees and working groups.

COMMUNITIES &NON-GOVERNMENTAL
ORGANIZATIONS (NGOS )Halliburton operations interact with local communities
all over the world; our community and NGO engagement
occurs well past the lifespan of a project.

We interact with communities and NGOs to understand
how we can better align with their needs. We engage
directly through volunteer activities, the Halliburton
Foundation and donations, as well as ad hoc meetings
with NGO groups to discuss key issues.

2019 Annual & Sustainability Report33Halliburton // 100 Years

Collaboration continued

Trade Associations
and Committees
In 2019, Halliburton memberships
and committee participation
included:

Employee Engagement
We aim to continuously improve our workplace culture by listening to our employees through frequentengagement on work status and performance, as well as through semi-annual Employee Pulse Surveys.
Understanding our employees’ perspectives by aggregating their direct feedback is one way we drive
management accountability to listen, learn and communicate with employees for continuous improvement.

• American Petroleum Institute– Members of numerous
communities, including the
Climate Change Working Groupand CEO member of the
Executive Committee of
the Board of Directors• Society of Petroleum Engineers(SPE) – Technical committees and
HSE-SR committees, including
memberships in the environmental
and the social responsibility
sub-committees• International Petroleum Industry
Environmental Conservation
Association (IPIECA) – Reporting,
Carbon Capture and Storage, Fuel,
Human Rights, Supply Chain andSustainable Development Goal
(SDG) working groups• Greater Houston Partnership– Board member• National Petroleum Council– Supporting member and sponsorof the Carbon Capture, Use andStorage (CCUS) Feasibility Report• Petroleum Equipment and Services
Association – Board member,
Chair of the Government Affairs
Committee and an ESG Committee
member• National Ocean Industries
Association• World Affairs Council of Houston• International Association ofDrilling Contractors• Independent Petroleum Associationof America• National Associationof Manufacturers

34

Percent of Employees inAgreement with Halliburton
Focus Areas

100%■ How Individual Goals Connect toHalliburton Objectives

75%

50%

■ Clarity of Individual Objectives■ Frequency of Feedback■ Frequency of Development
Conversations

25%

H1
2017

H2
2017

H1
2018

H2
2018

H1
2019

H2
2019

Halliburton uses the data collected from the Employee Pulse Survey and the Talent Identiﬁcation Survey forpredictive analytics. There is a strong correlation of survey data related to feedback and development withattrition. Leaders are responsible for reviewing aggregated survey results, which get reported downline andcommunicated to direct reports as part of continuous coaching and development. In addition, our Human
Resources team collaborates with managers to help interpret and advise on results.
Trade Associations and Speaking Engagements
Halliburton engages and contributes to organizations and industry trade associations whose objectives
include education, enhancement of the industry’s public image and development of best practices related
to our industry. Many of our engagements include collaborating on Environmental, Social and Governance(ESG) matters; this ensures our alignment with peers and customers, and that the associations andorganizations align with our interests.

Engagement on Hydraulic Fracturing
As one of the largest global providers of hydraulic fracturing services, we believe that our technologies enablesafer and more efﬁcient delivery of natural gas. We frequently engage the public, trade associations andgovernment agencies (such as the U.S. Environmental Protection Agency and U.S. state agencies) concerning
hydraulic fracturing. Halliburton engagement also includes participation in technical roundtables; technicalpeer-reviewed publications; contributions to informational websites; and disclosures to customers, investors
and the general public through our website.

Health, Safety& Environment
Health, Safety and Environment(HSE) and Service Quality (SQ)
management are fundamental to
Halliburton operations. Our ability
to collaborate with our customers
and engineer solutions to maximize
asset value depends on industryleading performance in each ofthese areas.

96% 38

Of employees completed Life Rules training

Reduction in Scope 1 and 2
GHG emissions (TCO 2e) from2018 in 20195%

Decrease in NPT from 20182019 Annual & Sustainability Report

Total Recordable
Incident Rate

API Q2-certiﬁed facilities

1,400

Workforce ideas implemented in Manufacturing
around safety improvements

23% 1,078

0.29
0.11
Lost-Time
Incident Rate

0.38
Recordable Vehicle
Incident Rate

HSE training
courses offered

35

Halliburton // 100 Years

Lea
Com ders
mi h
tm i
e

ZERO

g c
nin enTrai pet
Co m

Several years ago, the Company’s
manufacturing leadership set out
to improve the safety culture atHalliburton manufacturing facilities
by creating a more empowered
work environment. Each facility
began a self-assessment by
utilizing the DuPont Bradley Curve,
which is segregated into four statesof culture maturity – Reactive,
Dependent, Independent andInterdependent. Following thatassessment, a global initiative
was implemented that empowers
small teams of employees, known
as E4 teams (Every Employee
Engaged Every day), to identify
risks, brainstorm solutions andimplement those solutions tomake a safer workplace. This
collaborative effort has allowed
for a more interdependent
workforce, allowing employees
to engage in problem-solving
efforts related to safety during
the manufacturing process. In
2019, approximately 1,400 ideas
were implemented.

36

Journey to ZERO
Journey to ZERO is the Company’s vision to achieve ZERO safety incidents, ZERO environmental incidents
and ZERO non-productive time. This vision articulates our priorities to set the highest standards, embrace
the challenge and make no compromises in execution. Our leadership commitment, robust management
system, and the competencies and commitment of our people are core elements of our success andprovide the foundation for our Journey to ZERO.

Leadership Commitment
&
y

Co A
&

m
dd m ure nica
ss
t
Riske
s

HMS
ous
Conotivneum
r
ent
Imp

Technology& Processrovement
Imprify ce
Ve rman
rfo

p nt

Pe

Health, Safety & Environment continued

Our Journey to ZERO is owned by all our people, and is led by a senior-level team focused on improving
individual safety, process safety and environmental performance in the delivery of all our services. The HSE
and Sustainable Development (SD) Executive Committee is charged with oversight of HSE and SD matters
including annual strategies, HSE statistics and the HSE audit program, and is accountable to the Board of
Directors’ HSE Committee. The chief HSE ofﬁcer chairs the Committee, and reports to each meeting of
the HSE Committee.

Halliburton Management System
The Halliburton Management System (HMS) supports the execution of programs and policies, andestablishes standards, processes, guidelines and work methods that ensure our employees and contractors
are equipped with the necessary knowledge to work safely, consistently and effectively. Control Points areused within the HMS to prevent and avoid HSE and SQ incidents by aligning roles and responsibilities sothat everyone in the organization understands their part in the execution of our service delivery.
The Halliburton Management System is designed to meet or exceed expectations of regulators, customers
and our own internal standards for HSE, while driving continuous improvement and operational efﬁciencies.
Our operations are also conducted in conformance with industry-standard certiﬁcation programs, including
those for quality management (ISO 9001), environmental management (ISO 14001), and health and safety
management (OHSAS 18001).
The Halliburton Management System also meets and exceeds the requirements of industry-speciﬁc
American Petroleum Institute (API) standards for manufacturing and service quality (API Q1 and API Q2)
and the API RP 75 standard for offshore safety and environmental management. Halliburton leads theindustry with 38 API Q2-certiﬁed facilities, located in 12 countries.
In 2019, eight manufacturing facilities and one research facility were recommended for API Q1 recertiﬁcation,and two facilities were acknowledged for having zero ﬁndings.
More details on our Halliburton Management System can be found on the Halliburton Management System
section of our website.

Halliburton Management System

Business practices support Company
policies. They present underlying
performance expectations.

STANDARDS

Standards further define
elements within the systemthat affect final outputs.

PROCESS MAPS

Process maps describe
activities, responsibilities andinterfaces needed to achievea given service or product.

WORK METHODSWork methods describe
the details of a specificwork activity, task orbusiness event.

The Halliburton Management System
links industry standards toHalliburton operations, and ismanaged by global HSE/SQ.

Training and Competency
All employees are required to complete introductory HSE training to reinforce the Halliburton core valueof safety in all that we do. Additional activity-speciﬁc employee training, administered through our HSE
representatives in all regions, ensures that our employees are empowered with the knowledge necessary
to execute their jobs safely and responsibly. For specialty job functions, speciﬁc training curricula areembedded in our automated learning management system and linked to individual employees by role toensure that mandatory training is delivered and completed as required. Our hours of completed training
decreased from 2018 for a number of reasons:
The industry downturn in 2019 resulted in fewer new hires. Since new hires typically receive the largest
number of HSE training hours assigned to them as part of their onboarding, overall training hours weresigniﬁcantly reduced.
• Personnel reductions over the year eliminated refresher training requirements.
• HSE training needs across the organization were revisited and we eliminated a number of duplicate orsimilar courses and over-assigned courses.

Number of
Health, Safety
and Environment(HSE) Training
Courses
Offered18

19

Hours of
HSE Training
Completed

1,919,961

BUSINESS PRACTICES

1,496,576

Policies and business practices apply
to the entire Company, and are managed
by the Law Department.

Policies are formal statements developed bymanagement. Policies define the intent and conduct
of Company business.

2,800,049

POLICIES

1,078

COBC

The Code of Business Conduct provides acomprehensive guidepost regarding the Company’s
expectation for ethical behavior.

1,276

The Code of Business Conduct
is approved by the Board of Directors
and applies globally.

17

18

19

•

2019 Annual & Sustainability Report37Halliburton // 100 Years

Health, Safety & Environment continued

Communicating and Addressing Risk
Commitment to Health, Safety and Environment (HSE) and Service Quality (SQ)The SQ Minimums are the essential elements of how all of our operations across all product service
lines do our work. They present four key practices that enable us to deliver excellence in execution,
through process adherence and continuous improvement.

0.40%

0.52%

0.57%

Customer
Non-Productive
Time (NPT)percent

1. DESIGN OF SERVICE –HOW WE PLAN
OUR WORK

2. CONTROL POINTS –HOW WE CONTROLOUR WORK

Our Design of Service(DOS) process deﬁnes
the documentationthat captures theoperational plan andoutlines how we will
execute to customer
requirements.

Control points aredeﬁned requirements oractivities that provide
assurance that the job
purpose will be achieved.
All PSLs consistently
deliver and execute theircontrol points as part ofeach job.

3. COMPETENCY –HOW WE ENSURE OURPEOPLE HAVE THE
SKILLS THEY NEED

4. INCIDENTINVESTIGATION –HOW WE IMPROVEPERFORMANCE

Our global competency
program provides theknowledge, skills,
behavior and experiencethat enable our people
to do the job.

Through our incident
investigation process,all job-related andnon-job-related incidents
undergo thorough andtimely investigations
to identify root causes
and prevent incidents
from recurring.

Stop Work Authority
Our global Stop Work Authority (SWA) program plays a key role in preventing incidents. All employees
and contractors have the authority – and the responsibility – to stop a task if they observe an unsafe action
or condition at a worksite or have a concern regarding the control of an HSE or SQ risk.
In 2019, the number of SWA reports increased due to an improved understanding of the SWA process andthe availability of the OneView program. For more information on our OneView program, see the 2018
Annual and Sustainability Report.
Management of Change
Our Management of Change (MOC) process is designed to control change-related risk when we identify
new risks or adjust the operations plan. The process requires that all operational and process changes
be planned, reviewed and approved before implementation to reduce the potential for service disruption
or the creation of new hazards. Continuous improvement in the Halliburton Management System andexecution of our SQ Minimums have enabled us to reduce our non-productive time (NPT) rate by 35 percent
in the last ﬁve years.

17

18

19

Crisis Management and Emergency Response
Every Halliburton location has a local emergency response plan. These plans include detailed requirements
for emergency response, including evacuation plans and medical response. Halliburton also provides accessto medical care for all employees, no matter where they are working.
Our commitment to safety extends to our contractors. We require all contractors working at Halliburtonsites to conform with Company standards as communicated through our contractual agreements, our“20 Contractor Rules,” site check-ins and safety brieﬁngs.
Incident Investigation and Causal Analysis
We have immediate visibility to high-risk incidents through our Signiﬁcant Incident Review process,which entails rigorous incident investigation and prioritization, enabling timely and thorough assessments
to determine root causes.

38

HSE and SQ Process Improvement
We are active participants in the development of industry-best HSE management practices that reﬂect
the value of the Halliburton safety culture. In 2019, we refreshed our Halliburton Life Rules to align with therecommendations of the International Association of Oil and Gas Producers. From its launch in September
2019 to the end of the year, 96 percent of Halliburton staff had completed the training on the new Life Rules.
Halliburton is committed to the continuous improvement of our processes to ensure that we have theproper focus and are effectively managing change in the workplace. In recognition of this principle,
Halliburton also refreshed communications around our Critical Focus Areas to better execute and serve
our customers by continuing to achieve best-in-class HSE performance and service delivery.

Life Rules

Critical Focus Areas

The industry has collectively established a set of nine standard Life Rules to communicate universal health and safety
priorities that apply to all job sites. The adoption of these nine Life Rules is in line with keeping our long-standing
commitment to safety and ensuring that our safety program is aligned with those of our customers.

Barriers

BYPASSING SAFETY CONTROLSCONFINED SPACEDRIVING

Obtain authorization
before overriding or disablingsafety controls

Obtain authorization before
entering a conﬁned space

Follow safe driving rules

ENERGY ISOLATION

HOT WORK

LINE OF FIRE

Verify isolation and zero energy
before work begins

Control ﬂammables andignition sources

Keep yourself and othersout of the line of ﬁreHydrocarbons to Surface

0

Trapped Pressure

Well Collision
SAFE MECHANICAL LIFTINGWORK AUTHORIZATION

WORKING AT HEIGHT

Plan lifting and control the area

Work with a valid permit
when requiredProtect yourself against a fallwhen working at height2019 Annual & Sustainability Report

Radiation & Explosives

39

Halliburton // 100 Years

Health, Safety & Environment continued

Examples of various initiatives across Halliburton that resulted in improved overall safety, efﬁciency, costs
and environmental impacts are listed below.

Reducing Hand and Finger Injuries
In 2019, there was an emphasis on reducing hand and ﬁnger injuries across our global operations. This led to a
23 percent decrease from 2018 in hand and ﬁnger injuries company-wide.
Historically, hand and ﬁnger injuries accounted for 35 to 38 percent of all injuries in North America. In 2019, after
a year of implementing a Hand and Finger Safety Program, we achieved a 38 percent reduction in recordable handand ﬁnger injuries vs. 2018. The overall hand and ﬁnger injury rate (including ﬁrst aid and recordables) in North
America has decreased 11 percent year over year.
The Advanced Manufacturing team implemented a Hands Free initiative to decrease the amount of manual labor
required for certain manufacturing processes by installing automated technologies on various machines. One
successful upgrade was the elimination of hand deburring on certain machines. The addition of the deburring
tool eliminated the need for the machine operator to reach into the machine with their hands and body, which
often led to various risks involving sharp edges, pinch points, contact with chips and coolant, and repetitive strain.
In addition to decreasing safety risks for the machine operator, improvements like this one increased accuracy,
quality and efﬁciency. The need for manual intervention was decreased from 23 times to two times per part in 2019.
Shifting to automated technologies also lowered costs for the manufacturing team at Halliburton – saving time,
resources and the need for expensive machine send-out inspections.
Barite Operations

Latin America’s Safety Behavior
School was selected for sharing
at the 2020 SPE International
Conference and Exhibition on Health,
Safety, Security, Environment andSocial Responsibility.

40

The installation of a new form,
ﬁll and seal machine at the Lovell
BPM facility in Wyoming helped
increase plant production signiﬁcantly,
while reducing the safety risks ofhandling bentonite bags.

Colony BPM mining operations
personnel in Wyoming designed andconstructed a large soda ash storage
building to increase capacity, reduce
emissions, and improve operational
efﬁciency and safety. The Soda
Ash Building decreased air pollutant
emissions by 3.57 tons of sulfur
oxide, nitrogen oxide, volatileorganic compounds and particulatematter as compared to the MountainMover® sand storage systems thatwere previously used. The processof unloading soda ash at the Colony
facility has now been reduced by
3.5 hours per truck load, which,in return, increases efﬁciency andreduces employee downtime.

The Bahia Blanca barite grinding
plant in Argentina is in the planningand development phase of
implementing an electronic QR
code on bulk barite bags. Thisnew method will reduce paper
usage by eliminating four pagesof barite information on eachbulk bag. This change has thepotential to create a cost savingsof approximately 30,000 paper
pages per quarter and to also saveon energy.

Verifying Performance
Tiered Assurance Program
Our tiered assurance program is a systematic self-veriﬁcation process consisting of a job-site or locationassessment, a management system assessment and global oversight through our Internal Assurance
Services (IAS). Results are used to assess and verify that the Halliburton Management System andprocesses are being implemented in all work locations. In 2019, we performed 1,039 audits under thetiered assurance program.
The continued reduction in our HSE and SQ statistics is due to the dedication of our workforce in
implementing the requirements of our Halliburton Management System and in driving a culture of safety
as our No. 1 priority. The four fatalities this year are a heavy burden and serve to drive us harder in our
pursuit of our goal of zero safety incidents.

■ 2019 Q3 year-to-date(YTD) International
Association of Drilling
Contractors (IADC)
industry average

0.48

0.38

2.93

2.53

1.44

19

0.34

0.11

18

17

18

19

17

18

19

■ 2019 Q3 year-to-date(YTD) International
Association of Drilling
Contractors (IADC)
industry average

Fatalities
per year

Near-Miss
Incident Rateper 200,000
hours worked

We track near misses as apredictive leading indicator, tocompile trends on incidents
where the potential for harm waspresent, even though nothing
occurred. We classify a near missas a high-potential incident if theconditions could potentially haveresulted in serious personal injury,
property damage or an adverse
environmental impact.

Near-Miss Incident
Rate does notinclude Stop Work
Authority reports

175

1

1

4

$46.5

$38.5

$32.7

7,657

36,485

143,155

Stop Work
Authority(SWA)
number ofreports

199

Health, Safety
and Environment(HSE) Fines& Penalties
thousand
USD

210

High-Potential
Incidents
per year

17

0.20

19

0.12

0.29

18

Recordable
VehicleIncident Rateper 1,000,000
miles traveled

Lost-Time
Incident Rateper 200,000
hours worked

0.13

0.41

17

0.68

0.37

Total Recordable
Incident Rateper 200,000
hours worked

17

18

19

17

18

19

17

18

19

17

18

19

In 2019, the number of SWA
reports increased due to an
improved understanding of the
SWA process and the availabilityof the OneView program.

■ Employees■ Contractors

2019 Annual & Sustainability Report41Halliburton // 100 Years

Health, Safety & Environment continued

17

18

19

17

18

2,352

2,646

Water
Consumption
thousand m3

1,924

67,73170,28526,890*

EnergyConsumption
thousandgigajoule (GJ)

19

* 2018 and 2019 energy
data was collectedusing a revisedcollection and analysis
methodology. 2017
data was not updated
per this revised
methodology.

209,447

290,704

0.04

0.05

0.03

Recordable
Environmental
Incident Rateper 200,000
hours worked

160,313

Waste
Generated
metrictonnes

17

18

19

17

18

19

■ Hazardous
Waste■ Non-Hazardous
Waste
In 2019, Halliburton
enhanced the scopeof our waste data
management andimproved our datacollection process.
During this process,the previous year’s
data was reviewed
and updated as needed,which explains any
revisions to historicallyprovided data.

42

Environmental Stewardship
At Halliburton, we are committed to mitigating the environmental impacts from our operations.
Our vision is to deliver long-term ﬁnancial value by managing risks and opportunities associated withenvironmental issues, and to have a positive impact on the communities in which we operate, now
and for future generations.
ENERGY AND CLIMATE CHANGE

WATER

WASTE

Our Scope 1 and 2 greenhousegas (GHG) emissions data covers
Company-owned or leased business
operations at 100 percent of our
U.S. facilities along with our larger
global facilities.

Data on water consumption includes
water used in our Company-ownedor leased business operations at
100 percent of our U.S. facilities
and our major global facilities. Water
used at wellsites in activities such as
cementing and drilling is purchasedand controlled by our customers,
and is, therefore, not included in ourreporting scope.

Our waste data covers ourcompany-owned or leased business
operations at 100 percent of
our U.S. facilities and our major
global facilities.

We are committed to increasingtransparency and to participating
in industry dialogue about climatechange. In 2019, we released ourClimate Change Position that canbe found on the Sustainability pageof our website. At the same time,
we revised our data collection andanalysis methodologies, expanded
the scope of data collection toencompass more facilities, andperformed retrospective data
evaluations for 2018 using our
new data management approach.
Please note, 2017 energy use andemissions data were not updated
per this revised methodology.
Though our emissions appear tohave increased signiﬁcantly overprevious reports, they are actuallyin line for our level of activity.
Now, we simply have a better
understanding of our emissions dueto heavy equipment use. This
enables the creation of a robust
and transparent baseline against
which we will establish Science
Based Targets.
Our commitment to reduce our GHG
emissions is twofold:• Seek reduction of direct andindirect GHG emissions from ourbusiness operations• Assist our customers in effective

utilization of our portfolio of
products and services to help
them reduce their GHG emissions
in the development of theirhydrocarbon resources.

Halliburton recognizes that water
is one of the world’s most valuable
resources. We leverage our experienceand technologies to help our customers
reduce the volume of fresh water
utilized in their operations, including
hydraulic fracturing.
We also address water use at thefacility level. Many of our locations
are implementing water-reduction
projects, such as: heating, ventilating
and air-conditioning system optimization; and recycling or reusing waterused for process cooling, vehicle
washing, chemical blending andlandscape irrigation.

At Halliburton, we actively work
to minimize waste. Our facilities
have waste minimization andmanagement plans that meetand generally exceed local
regulations, where required. We
audit waste service providers toensure appropriate waste treatment
and disposal. Waste minimizationin all forms is fundamental to
our research and development
processes. Reuse of materials is
an important component of asset
management at Halliburton. As
our equipment approaches end oflife, there are several reclamation
options. Each major component
is investigated and dispositioned
accordingly and can be returnedto the ﬁeld, sent to be rebuilt at an
Original Equipment Manufacturer
distributor and returned to stock,sold or recycled/scrapped. These
options, along with rebuilding/reuseof major components, give us
the ability to continuously renew
our ﬂeet.
The increase in the volume ofwaste generated in 2019 over2018 is primarily due to facility
consolidations, including a few
Multi-chem facilities, whichinﬂuenced the volume of hazardous
waste, and better reporting of
non-hazardous waste. A signiﬁcant
increase in waste sent for energy
recovery and material recycling
occurred which, along with reuse,resulted in almost 58 percent
of waste being diverted fromincineration or ﬁnal disposal.

19

413

18

1,034

17

17

18

19

JALAN AHMAD
IBRAHIM CAMPUS

Capacity

4,723.42 kilowatt peak

1,495.5 kilowatt peak

Number ofsolar panels

12,766 panels

4,042 panels

Carbon dioxide
emission reduction

2,481,012 Kg CO 2e785,523 Kg CO 2e

Equivalent to taking
how many cars off
the road*

539 cars

171 cars

Equivalent to planting
how many new trees*

29,942 new trees

9,480 new trees

Emissions
Intensity
metric tons
CO2e permillion USD
revenue

17

219

TUAS SOUTH CAMPUS

Scope 1 and 2
GHG Emissions
metric tons
CO2e

212

In April 2019, Halliburton and Sembcorp took part in building Singapore’s largest rooftop solar farm on top of theHalliburton Completions Manufacturing and Technology Center (known as the Tuas South Campus) and the Halliburton
Sperry Drilling and Wireline and Perforating Center (known as the Jalan Ahmad Ibrahim Campus). With more than
16,000 rooftop solar panels collectively installed, this marks a new milestone in the Halliburton commitment to act
as a responsible corporate citizen and to minimize our environmental impact. Approximately 23 to 35 percent of theoperations in each facility will be powered by this solar installation, which will reduce more than three million kilogramsof carbon dioxide emissions a year. This is equivalent to taking 710 cars off the road or planting almost 40,000 newtrees. The installation of the solar farms at these Halliburton facilities also contributes to Singapore’s goal of deploying
350 megawatt-peak (MWp) of solar power capacity by 2020. This collaborative solar project aligns with the Halliburton
waste reduction and cost-savings program by reducing the energy costs at each facility.

2018 volumes
included 700 cubic
meters attributable
to a single firesuppression systemwater leak

106

SINGAPORE SOLAR INSTALLATION■ Direct Emissions(Scope 1)■ Indirect Emissions(Scope 2 and 3)

5,010,186

As a part of our biodiversity improvement and preservation goals, Halliburton
converted 526 acres of one of our remediation projects to a preserved area thatpermanently protects a ridgeline corridor through the North Carolina Yellow
Mountain State Natural Area. We are working with the Southern AppalachianHighlands Conservancy in this endeavor, which secures a 456-acre scenic
and wildlife corridor that is critical for plants and migrating animals. Protecting
this ridgeline aids climate resiliency in the southern Appalachian Mountains.
In addition, we are pilot testing a pollinator habitat on a 2.5-acre area adjacent
to a section of the current preservation area.

4,775,614

As per our disclosure last year, weview 2018 spill data as an anomaly
and, therefore, compare 2019 data
to 2017 data instead.

ENVIRONMENTAL STEWARDSHIP AND BIODIVERSITY

2,098,520

When compared to 2017, thereported releases in 2018 are higher.
This increase is likely attributed
to continuous improvement of
spill reporting, in alignment withimprovements in other environmental
data reporting.

Total Volumeof Spills
cubic meters142

As a service company, the impact of Halliburton on biodiversity and land
disturbance is conﬁned to the development of our ofﬁces, ﬁeld camps,
chemical facilities and service centers. Our customers are primarily responsiblefor developing well pads and lease roads and therefore have more control
over subsequent impacts on biodiversity and disturbance of land. We takethe limited areas of potential impact seriously and incorporate mechanisms
to evaluate the potential for harm and implement solutions to minimize
and/or offset impacts.

4,897,061

Spills across all areas of ouroperations are included in our
statistics. This includes spills that
result due to Halliburton activities
at our facilities and ﬁeld locations
across the globe.

Absolute
Emissions
metric tons
CO2e5,083,574

BIODIVERSITY AND LAND DISTURBANCE IMPACT

2,182,662

RELEASES TO THE ENVIRONMENT

18

19

17

18

19

Please note, 2017 energy and emissions data
have not been updated per the methods used forthe 2018 and 2019 data at this time.

*According to Sembcorp Solar, headquartered in Singapore

2019 Annual & Sustainability Report43Halliburton // 100 Years

Health, Safety & Environment continued

Climate Change
ELECTRIC FLEETThe challenges of climate change provide us a great opportunity to do what we do best: innovate, collaborate
and execute to drive efﬁciencies and affect change.

In 2019, we continued thedeployment of an electric ﬂeet
in our Fort Lupton, Colorado,
operations with low-emissionfootprint gas turbines. In 2020,
we will continue to engage in
research and development, andto work with our suppliers to
improve the emissions proﬁle ofour hydraulic fracturing ﬂeet.

Our goal is to mitigate climate change risks while continuing to help our customers provide global accessto affordable and reliable energy that remains critical to continued economic growth, improvement in thequality of life, and the reduction of poverty in both mature and developing countries.
Key climate-related risks and opportunities for Halliburton can be categorized into the following areas:(1) physical, (2) regulatory, (3) business and (4) environmental. The speciﬁc risks and opportunities posedby climate change are identiﬁed through our Materiality Assessment; our work with environmental, socialand governance (ESG) groups within trade associations; discussions with customers and investors; andour own business risk assessments.
1

Tier 4 Diesel Engine
Penetration
18

PHYSICAL:

Flooding potential• Water sensitivity (availability and quality)•

19

Hydraulic fracturing
ﬂeet Tier 4 engines
39% 47%All non-road equipment
Tier 4 engines
40% 52%••Heat stress (on people, facilities and equipment)
Cold stress (on people, facilities and equipment)

We are currently revising our exposure to water-related sensitivities and ﬂood potential. Any updates will
be evaluated and incorporated as required into our Enterprise Risk Management (ERM) program, as wellas into facility and operational planning, risk assessments and crisis management plans.
2

REGULATORY:

Carbon taxation• Carbon caps•••

Emissions reporting requirements
Bans or moratoria on activities (such as
local regulations that constrain or ban
hydraulic fracturing)

Regulatory and policy requirements and changes are monitored by our legal and government affairs
teams who communicate the information to senior leadership and the Board of Directors for incorporation
into our ERM matrix and to the parts of the organization affected by the change. While we see carbon
caps and emission reporting requirements being of low risk to service industries, these impact ourcustomers. As a result, we focus our attention on providing innovative technologies and services thatwill minimize our customers’ carbon emissions and provide support in reducing their burden from carbon
caps and emissions reporting requirements. Carbon taxation and bans or moratoria on drilling activities
have the potential to directly impact all service companies. With respect to carbon taxation, our focus ison minimizing or eliminating GHG emissions from our facilities and our ﬂeet – thus reducing our exposure
to carbon taxation. With respect to impacts from regulatory bans on hydraulic fracturing activities, we are
involved in addressing government and community concerns through our seat on government-industry
panels at the local and national government levels. In addition, we work with our customers to provide
equipment and solutions that have less impacts on local communities – for example, electric fracking(known as E-Frac) ﬂeets, which produce less noise, odors and fumes.
3••

BUSINESS:

Low-carbon-economy approach
Increases in renewable/alternative energy••

Bans on hydraulic fracturing
Customers facing public pressure

Our value proposition lies in collaborating and engineering solutions to maximize asset value for ourcustomers, providing leading-edge technologies in the low-carbon space. Oil and gas will be necessary
for the immediate future, despite the potential for longer-term volume reduction. The products andsoftware we create support a reduction in emissions during the exploration and production of those
fuels through reducing time, equipment and personnel on site, as well as eliminating emissions entirely
through the use of renewable or alternate fuels and electric-powered driven equipment and ﬂeet.
The close relationships we have with our customers enables us to understand their pressures, and to44

collaborate with them to create the solutions necessary for minimizing the overall environmental footprintof a job. Risks and opportunities posed to the business are managed at all levels of the organization. For
example, customer requirements around low-carbon approaches come through the business development
team and are then relayed to the relevant Halliburton product service line, which then decides on the
optimal solution.
4

ENVIRONMENTAL:

Energy efﬁciency improvements• Circular economy of waste• Use of renewables (i.e. solar, wind, geothermal, etc.)•••

Fleet emission reduction
Frac ﬂeet emission reduction/ E-Frac

Our Real Estate Services group is responsible for performing risk assessments of locations and developing
mechanisms to reduce energy, water and produced waste. Our ﬂeet group is responsible for identifying
solutions to reduce emissions from the general ﬂeet, while our hydraulic fracturing group is responsible formanaging the use of our frac ﬂeet, designing new energy-efﬁcient engines, organizing equipment use,maintaining equipment, and working with customers to establish E-Frac activities.
We are implementing the use of renewable energy sources directly at our locations around the world
through the placement of solar panels, as well as identifying where we can increase the use of renewably
sourced electricity. We are also reducing our use of electricity through efﬁciencies in lighting and heating,and through the consolidation of smaller locations into larger hubs that are designed to be energy efﬁcient.
The use of an In-Vehicle Monitoring System (IVMS) allows us to manage our journeys more efﬁciently. Our
focus has been on the creation of a low-emission ﬂeet. We are the leaders in the design and use of Tier 4
and dual-fuel engines, and are expanding our electric frac (E-Frac) ﬂeet. We are constantly studying ourlogistics operations to establish more efﬁcient means of moving equipment and materials from site to site.

SUSTAINABLE TRANSPORTATIONIN NORWAY

In 2019, Halliburton dedicated a
supply vessel to the transportationof bulk goods, containers andtubulars across water bodies toHalliburton bases along the coastof Norway. This reduced roadtransport by the equivalent of
2,440 fully loaded delivery trucks,
decreasing CO 2 emissions by
1,880 metric tons per year –a 52 percent reduction from theprevious year.

Climate Change: Our Short-Term and Long-Term Priorities• Assist our customers through the development of products and services that reduce their greenhouse gas(GHG) emissions in the development of their hydrocarbon resources• Support our customers in the effective utilization of our portfolio of products and services to help them
reduce their GHG emissions• Be involved in the development of effective public policies and regulations that are rational, market-basedand efﬁciently addressing climate change priorities• Work with suppliers to reduce the environmental impacts throughout our value chain• Inform our employees on climate change issues and what actions they can take to reduce GHG emissionsat and away from work
• Include climate strategy in our internal research and development (R&D) and product development
processes• Work with research bodies and educational institutions to further the development of sustainable
solutions for the oil and gas industry• Continue to report direct and certain indirect GHG emissions from our business operations through our
combined Annual & Sustainability Report and frameworks like CDP (the Carbon Disclosure Project).

100 Years: 100 Trees
In 2019, Halliburton Brazil and Macaé Environment Secretariat teamed up toplant 100 young trees to help celebrate our Company’s 100th anniversary.
Numerous employees and their families, along with members of the Macaé
community, participated in this event to help spread awareness about theways we can make our planet a better place to live for future generations.

2019 Annual & Sustainability Report45Halliburton // 100 Years

Health, Safety & Environment continued

2019 Health, Safety andEnvironment (HSE)Awards and Recognitions• Magmont Mine Reclamation

Project Health and Safety Award• ENI Well Services Safety Award– 2019• Colombia 2019:
Ecopetrol Recognition Award,
Anadarko Recognition Award,
EQUION Recognition Award,
OXY Special Recognition Award• The “Golden Tool Kit” Award
in Trinidad• Shell Trinidad “Best in Class”
Award• Chevron Recognition Award:
Argentina• Petrobras Performance Awards• The Ministry of Social Protectionof Guyana and National Advisory
Council Annual Safety Award• PEMEX Recognition for Five of
Our HSE Field Supervisors• Distinction of Merit Award fromthe Instituto de Seguridad delTrabajo in Chile• EnQuest Malaysia Award –Five Years Free of Any Lost-Time
Injury (LTI) Incidents• PTTEP Myanmar Asset –Recognition of Excellent SSHE
Performance• Mahakam Award by PHM forBest Safety Performance forHigh Risk Contract• Chevron Recognition for
Safe, Incident-Free Operations• Chevron’s Contractor Serious
Injury and Fatality Prevention(SIF-P) award – Halliburton DuriOperations

Chemical Services, Management and Transparency
Chemical stewardship plays a key role at Halliburton in our overall commitment to sustainability throughthe responsible management of the products and services that we provide to our customers worldwide.
As a sustainable service provider, Halliburton adheres to ﬁve basic chemical stewardship principles:
1. Accountability and Leadership
2. Stakeholder Communication and Engagement
3. Risk Management
4. Continuous Improvement
5. Chemical Stewardship Management System
These chemical stewardship principles ensure that the purchase, use, distribution and development ofchemical products are accomplished in a manner that promotes social responsibility, safety and sustainability
throughout their life cycle. Halliburton is recognized as an industry leader for the digitization of our Safety
Data Sheet (SDS) data and its integration into our Chemical Stewardship Management System.
Our extensive range of chemical solutions combine specialty chemical products and services for
maximum performance and efﬁciency in our customers’ upstream, midstream and downstream
operations. Our products and solutions serve our customers in multiple ways:
Industry-leading chemical solutions for optimum production
Mitigation of risk and protection of pipeline integrity by using chemical inhibition programs that minimize
internal corrosion• Enhanced performance and safety in deepwater systems through customized chemical products
and formulations• Automated chemical injection and monitoring systems to monitor key performance indicators (KPIs)• Comprehensive analysis at locations, using fully equipped Technical Service Response Units.
••

Multi-Chem
Our innovative solutions are designed to meet the complex chemical challenges associated with completion,
production and pipeline transportation of oil and gas. These solutions are supported by local technicalservices through a network of warehouse/service centers, blending facilities and a ﬂeet of mobile labs.
Multi-Chem’s Chemical Inventory Management System (CIMS) tracks chemicals, from monitoring inventories
and usage, to remotely regulating chemical injection rates.
CIMS enables customers to remotely track chemical inventory and program well treatments and to conﬁrm
chemical delivery with pre-set alerts that provide notiﬁcation of abnormally high or low chemical usage, sothat timely action can be taken to keep treatment programs on track.
The result is greater control and better management of chemical programs from start to ﬁnish. This system:
Improves chemical program management
Reduces operating costs• Increases program efﬁciency• Reduces potential HSE incidents.
••

Multi-Chem has been a proactive leader in the use of safer chemicals for the environment, namely our environmentallyconscious, high-performing frac additives that exceed industry standards for safety, toxicity, biodegradation andbioaccumulation. Multi-Chem’s NaturaLine ® solutions, including our line of carefully selected environmentallyconscious products, offer a unique opportunity to collaborate with customers and develop the most effective andenvironmentally responsible options to production challenges by:• Satisfying local communities, regulators and partners relative to environmental requirements• Maximizing water management efforts that can be used throughout the entire fracturing process• Enhancing production operations• Minimizing the potential for accidents• Protecting wells and reservoirs through entire life cycles

46Global Citizenship

55

Overall Company female
professional hiring rate
for 2019

27
OVER %
Hours of training taken
per employee

800 29 57,024
Employees participatedin unconscious bias anddiversity workshops(Increase of nearly
300 percent over 2018)

Attendees for the Halliburton
President’s Leadership
Excellence Program$8,759,574 USD

Provided through Halliburton Corporate Giving$1,381,790 USD

Given to non-proﬁt organizations chosen globally by employees
through our Giving Choices program

2019 Annual & Sustainability Report

employees

140 nationalities

$4.5

M
USD

Given to 100 non-proﬁt organizations supporting the
U.S. communities where Halliburton employees live and work fromthe Halliburton Charity Golf Tournament

47

Halliburton // 100 Years

Global Citizenship continued

Workforce Development
Company Workforce
AwardsForbes• 2019 America’s Best Employers

for Diversity• 2019 America’s Best Employers

by State• 2019 Global 2000
Woman Engineer Magazine• 2019 Top 50 Employer

Minority Engineer Magazine• 2019 Top 50 Employer

Middle East Energy Awards• Oilﬁeld Services Company of

the Year – 2019
Association of Corporate Counsel
and the Texas Lawbook• 2019 General Counsel of theYear – Robb Voyles, Halliburton
Executive Vice President,
Secretary & General Counsel
Pink Petro• 2019 GRIT Award Winners –Professionals:– Kelly Fortner, Country PSL
Operations Manager – India– Melissa Sowell, Manager,
Community Relations
Executive:– Johanna Haggstrom,
Director of Technology

Our workforce is our No. 1 asset. Halliburton is committed to compliance with all applicable
employment, labor and human rights laws to ensure fair and ethical employment practices, including
our non-discrimination, minimum age, freedom of association and fair compensation policies, as wellas our policies on health, safety and security for our employees. Our requirements are also alignedwith the Universal Declaration of Human Rights expressed by the United Nations.
Beneﬁts and Well-Being
Halliburton offers comprehensive beneﬁts and competitive salaries to meet the dynamic needs of
employees and their families, in addition to retirement plans, health and wellness beneﬁts, and careerdevelopment opportunities. Halliburton offers a variety of tools and resources to help employees
determine which programs are best suited for their personal situation.
In 2019, Halliburton continued to advance our employee health and wellness lifestyle management
program, LiveWell, which provides employees and their spouses access to information and tools to
help them achieve their personal health and wellness goals, including tobacco cessation, weight-loss
programs, and ﬁnancial planning and educational workshops.
The Halliburton Wellness Committee, under executive sponsorship, has a mission to increase awarenessand create opportunities for employees and their families to take ownership of their health. The initiative
focuses on ﬁve key elements: (1) nutrition, (2) physical health, (3) emotional health, (4) ﬁnancial wellnessand (5) community involvement.
We also offer programs that help employees constructively cope with well-being issues that may arise
within and outside the workplace, including:
The Halliburton Dispute Resolution Program, which provides independent ombudsman and mediator
support for employees to resolve workplace issues• The Employee Assistance Program, which offers conﬁdential help and support for a range of personal
and professional difﬁculties•

In 2019, we introduced two new global programs intended to provide additional support and ﬂexibility forour employees and their families, including:Work Location Flexibility, which allows employees to work from home or an alternate location, in
addition to their assigned work location, under certain circumstances• Dual Careers Program, which provides career support services to an employee’s spouse when an
employee relocates, either domestically or internationally, to work for Halliburton. These spousal
support services include resume development, career planning, personal branding, networking andjob skills information.
•

Family Care program offerings for our U.S. employees include dependent sick days, parental bonding leave,
backup dependent care, adoption allowance, fertility treatment beneﬁts and a family care program point ofcontact. More details on these offerings can be found in our 2018 Annual and Sustainability Report. In 2019,
over 900 employees took advantage of the parental bonding leave.
All active U.S.-based employees are eligible to participate in the Halliburton Retirement and Savings Plan.
In 2019, Halliburton matched up to ﬁve percent of income for a total contribution of USD 100 million. The
Company gave an additional discretionary contribution of USD 41 million to eligible employees.

48

In 2019, for the seventh consecutive year, the International Association of Drilling Contractors granted our
Global Competency Assurance Program full accreditation, with full competency accreditation for positions acrossall product service lines and support functions globally. We remain the only full-spectrum oilﬁeld services
company to have global accreditation with no restrictions.

3,995,000

51

68

55

Learning Central manages and tracks over 2,700 courses used by our approximately 55,000 employees.
HalVL, a virtual training platform, with social collaboration tools, is also extensively used by our employees.
In 2019, we revised our approach to employee training to focus on effectiveness, rather than on the numberof courses, through the modularization of training content, including shifting from formal classroom settings
to informal video-based training, and providing more manageable amounts of content per training session.
We also optimized Learning Central’s online courses and eliminated training that was not adding value.

Training Hours
Per Learnerhours

4,530,000

We also offer employees technical, professional and leadership training in classroom and workshop
settings. Employees can independently register for training and other development activities. By identifying
and addressing gaps in knowledge or skills, they can determine the development necessary to advanceto the next career level. Managers assign, and employees are assessed on, their competencies for current
roles and next roles of interest.

Employee
Traininghours

3,040,000

Training and Development
At Halliburton, standards, processes and systems related to employee learning and development are
established by a global team, followed by the creation of employee development plans at the business
unit level, resulting in a tailored curriculum. Employees have access to a variety of learning and career
resources via the Employee Development Hub, including Learning Central and Competency Central.

17

18

19

17

18

19

These program revisions, coupled with a shift in hiring proﬁle (increased experienced and agency hires)has resulted in a 12 percent decrease in training hours compared to 2018. The decrease in training hours
and North American headcount led to a global average of 55 hours of training per learner.
Instead of an annual, one-dimensional rating, Halliburton uses a semi-annual Talent Identiﬁcation Surveythat serves as a multi-dimensional snapshot of performance and potential. The Talent Identiﬁcation Survey
provides managers with better insights for making effective talent and pay decisions. It measures factors
including performance, collaboration and potential. The Talent Identiﬁcation Survey also provides managers
with more speciﬁc insight that they can communicate with employees during their check-in conversations.

All employees are eligible forregular performance and careerdevelopment conversations.

Talent Attraction and Management
Halliburton recognizes that a key to engaged employees is offering support in enhancing professional
growth. Our initiatives focus on building careers with succession planning, leadership development plans
and specialized leadership programs for high-potential employees.
Ongoing identiﬁcation and development of leadership talent strengthens our competitive advantage.
Career development frameworks that prepare qualiﬁed employees for leadership roles include the Supply
Chain Management Program, the Technology Professional Development Program, the Human Resources
Leadership Program, the Hire to Health, Safety and Environment (HSE) Manager, and the Hire to Country
Manager processes. For employees currently in leadership positions, Halliburton offers stretch assignments,
leadership development plans with coaching and training, and a robust succession management plan
process, which was discussed in detail in our 2018 Annual and Sustainability Report.

Business Leadership Development Courses
YEAR

BUSINESS LEADERSHIPLEVEL I ATTENDEES

BUSINESS LEADERSHIPLEVEL II ATTENDEES

BUSINESS LEADERSHIPLEVEL III ATTENDEESHALLIBURTONPRESIDENT’S LEADERSHIPEXCELLENCE PROGRAM

2017

457

135

57

23

2018

292

219

75

30

2019

280

312

112

29

2019 Annual & Sustainability Report49Halliburton // 100 Years

Global Citizenship continued

2019 Average
Employee Age
Western Hemisphere
Eastern Hemisphere
Global Support

37.5
38.2
43.9

The results of our efforts are visible in our Employee Resource Groups and in the diversity of our workforce.
In 2019, Halliburton surpassed its Diversity Hiring Objectives, increasing our qualiﬁed female professional
percent hiring into entry-level and experienced-level roles by 4 percent from 2018, reaching 27 percent overall.

2019 Employee Hiring
Total New Hires
New Hires Rate

Diversity and Inclusion
Diversity in our workplace broadens thinking, stimulates innovation and generates unique solutions to theworld’s energy challenges. A more diverse workplace impacts how we act and what we do, and opens our
minds to be more creative, collaborative and competitive. Halliburton creates a positive work environment
by maintaining a strong culture of diversity and inclusion, supported by our Code of Business Conduct andformal employment practices. This is reinforced through ongoing campaigns to highlight the value of
diverse points of view.

9,432
16%

We pay over 200 percent of the federal
minimum wage in the United States for all
entry-level non-exempt employees.

In 2019, Halliburton expanded its unconscious bias and diversity workshops that were launched in 2018.
These workshops are focused on creating an inclusive environment by embracing diversity in our workplace.
Workshops, delivered in person or via webinars, occur predominantly at the leadership level, but are open
to all employees. Over 800 employees participated in 2019, a signiﬁcant increase from 207 attendees
in 2018. In addition, we increased female candidates for key operational role readiness by 48 percent.
At the conclusion of an unconscious bias and diversity workshop, participants are better prepared as
leaders to:

Employees:
Percentage of Female
New Hires by Region

Clearly articulate the business case for diversity and inclusion
Create awareness, acceptance and attention of unconscious bias
• Describe how to develop a diverse workforce and take action to combat potential bias
• Share FAQs on diversity and inclusion• Create a personal action plan
•
•

9%

12%

EMPLOYEE RESOURCE GROUPS

16%

Halliburton Employee Resource Groups (ERGs) are created and formed by employees to foster engagement,
networking and professional development. They are open to all employees and enable the creation of
personal and professional connections across our global workforce. In 2019, we enhanced collaboration
among ERGs such as Women Sharing Excellence, the Halliburton African American Network Forum, theVeterans Leadership Forum, iMPACT and PRIDE.

25%

Women Sharing Excellence (WSE) strives to attract and retain female employees by providing
opportunities for women to connect and support each other through targeted mentoring, professional
development, networking and community service. WSE’s mission is to strengthen Halliburton as an
employer of choice for women by understanding the challenges of our workforce and proposing solutions
to maximize the Company’s goals for growth, proﬁtability and leadership. It is open to all Halliburton
employees, and has 10 chapters globally with more than 1,800 members.

■ North America■ Latin America■ Europe/Africa/CIS■ Middle East/Asia

Employees:
Percent of Local Nationals
in the Workforce
17

18

North America
99% 100%
Latin America
98% 94%
Europe/Africa/CIS 93% 93%
Middle East/Asia 75% 70%

19
99%
94%
93%
81%

Hires from Completion & Production and Drilling& Evaluation divisions only50

Halliburton African American Network Forum (HAANF) supports the Company’s diverse workforce
through networking, mentoring and promoting professional growth, with the mission to educate, motivateand empower its members. Participants engage in community service events and lead career development
workshops. Although HAANF members are primarily African American employees, the organization is open
to all employees who seek to cultivate a diverse environment that provides opportunities for advancement,
success and growth.
Veterans Leadership Forum (VLF) provides tools and opportunities for professional development tomembers in order to help maximize their contributions to the Company’s success. Established by and forveterans in 2013, VLF membership is open to all Halliburton employees who seek to enhance their careers.

iMPACT is an organization of Halliburton professionals with the primary objective of providing a trusted
community for employee engagement, collaboration and progression. Originally started in 2006 with afocus on young professionals, iMPACT has evolved to offer membership for all Halliburton employees,
regardless of tenure, with over 2,300 members around the globe. The mission is to attract and retain
employees through a collaborative environment that expands professional networks, enhances leadershipskills and empowers career mobility within Halliburton.
PRIDE is dedicated to strengthening our business by creating a positive and inclusive work environment
for people of all sexual orientations and gender identities. The organization is working to achieve its goalby growing the group in new locations; participating in cross-industry events and forums with customers
and service partners; and facilitating dialogue and information sharing to ensure that we are recognizing
and meeting the needs of all our employees. Through collaboration with functional groups and other ERGs,
PRIDE is working to identify opportunities for improvement in areas such as employee beneﬁts and theonboarding process, which can help support an inclusive environment for all. PRIDE membership is open
to all Halliburton employees.
In 2019, a close relationship formed between Halliburton PRIDE and the equivalent employee groups ofsome of our largest customers. Halliburton PRIDE leadership and members joined the ExxonMobil PRIDE
at its charity-beneﬁting Pride Run, and also joined Chevron’s PRIDE for its fourth annual Pride in the Park
family event. Chevron has also invited the Halliburton PRIDE to annual networking events, where we havethe opportunity to speak about how both organizations can continue to push for, and champion, diversity
and inclusion in the workplace.

Community Engagement

In 2019, we developed a“Creating an Inclusive Environment”
toolkit that is available to all
employees on our internal
Leadership Compass website,which includes philosophy,
articles, videos, training andself-assessments.

At Halliburton, connecting with our community and external stakeholders is a key activity that we engage
in every year. We believe that Global Citizenship and Collaboration, two of our Guiding Principles for
Sustainability, help us improve as a Company, while enhancing the communities in which we operate.
By dedicating our time and efforts to engaging with these communities through social service, volunteer
efforts and charitable giving, Halliburton has contributed improvements to them on a social, environmental
and educational level. Our employees have demonstrated the “Energy to Help™,” a strong desire to help
others, and we are proud to support them in their philanthropic and volunteer efforts globally.

2019 Annual & Sustainability Report51

Halliburton // 100 Years

Global Citizenship continued
Halliburton centers our community work on our four Pillars of Giving:
Education, Health and Safety, Environment, and Social Service

EDUCATIONHEALTH AND SAFETYENVIRONMENTSOCIAL SERVICEThe Saudi Technology Team at theHalliburton Technology Center inDhahran hosted a group of students
and faculty members from theCollege of Petroleum Engineering& Geosciences (CPG) of King Fahd
University of Petroleum andMinerals. During the visit, employees
led the 60 students and sevenfaculty members on a tour, anddemonstrated various oilﬁeld tools
and equipment. The group also
learned about the Company’s
day-to-day operations and attended
workshops led by the Completion
Tools, Wireline & Perforation,
Testing & Subsea and Sperry
Drilling groups.

In honor of National Breast Cancer
Awareness Month in October,Halliburton employees from aroundthe world celebrated “Wear It Pink
Day,” sharing photos and stories of
their support in the ﬁght against
breast cancer. Pictured are
employees from Rio de Janiero
dressed in pink, in the shape of theBreast Cancer Awareness Ribbon.

A group of Halliburton employees
in Colorado spent the day revitalizing
trails at Grays and Torreys Peakoutside of Denver. The event wasorganized by the National Forest
Foundation and the Colorado
Fourteeners Initiative, which
encourages volunteers to help
protect the natural integrity of the
Fourteeners: 54 peaks reaching atleast 14,000 feet high in Colorado.
These peaks contain rare and fragile
native alpine tundra ecosystems
that are uniquely adapted to living
in high terrain. Volunteers play animportant role in preserving thesetundra plants – some of which
exist nowhere else on earth.

The hOUsTon Industry Mixer
brought together PRIDE groups
from oil and gas companies
including BP, Shell, ConocoPhillips,
ExxonMobil and Chevron.
Interactions at this event led to a
joint-Employee Resource Groupfood pantry drive beneﬁting
Houston’s Montrose LGBTQ
Community Center in the winterof 2019.

In 2019, the Halliburton Foundation’s Educational Advisory Board supported projects such as the
University of Oklahoma’s Halliburton Women’s Welcome, which provides female freshmen and transfer
students with an opportunity to connect with faculty, staff, alumnae and students from various
engineering and science disciplines. We also supported the University of Houston’s Girls Reaching and
Demonstrating Excellence (G.R.A.D.E.) Camp, which is a week-long day program designed speciﬁcallyfor females entering 8th to 12th grade, who learn about engineering through “hands-on” experience.

52Giving

In 2019, we matched all donations
received at the Halliburton Charity
Golf Tournament, resulting in USD
4.5 million raised for 100 nonproﬁts
supporting U.S. communities where
Halliburton employees live and work.

In 2019, Halliburton committed
USD 1 million to the Houston Zoo,
which will support guest animal
encounters, community education,
new exhibit construction andglobal conservation initiatives.
This partnership not only supports
the local Houston community with
fun family experiences and student
and adult education, but alsoenables collaboration with nearly
50 conservation organizations in
27 countries, protecting some of
the world’s most threatened
species from extinction.

Each year, the Halliburton Foundation makes donations to U.S.-based colleges,
universities and K–12 organizations through the Educational Advisory Board(EAB). We look at a variety of programs that demonstrate excellence in preparing
students with advanced skills for the oil and gas industry, and consider things
such as the opportunity for increased diversity within science, technology,
engineering and mathematics (STEM) disciplines; global perspectives; andcreativity. Halliburton best leverages Foundation grant awards through suchprograms that encourage youth to pursue STEM studies, and that boost
retention in technical disciplines and develop technical, business or leadershipskills. The Foundation also provides a limited number of grants to health andhealth-related charities. Halliburton reviews grant requests on a quarterly basis.
Additionally, the Halliburton Foundation supports education and charitableorganizations through employee matching gifts.

2019 Annual & Sustainability Report

Every year, employees in the U.S.,
Canada, Mexico, the U.K., Australia,
New Zealand, India, Indonesia,
Singapore, Malaysia, Pakistan,
Kuwait, Iraq, Oman, Egypt, UAE
and Qatar proudly pledge money totheir charities of choice through ourannual workplace giving program,
Giving Choices. In addition toproviding a 10 percent matching
gift, Halliburton also absorbs any
administrative fees to support the
campaign. During our October 2019
Giving Choices campaign, employees
donated more than USD 1.3 million
to non-proﬁts globally.

In the Permian Basin, we hosted
our annual Customer Clay Shootfundraiser, raising nearly USD
200,000 over the past two years
to beneﬁt the West Texas Food
Bank. Our partnering with theWest Texas Food Bank, the largest
collaborative non-proﬁt agency
in the Permian Basin, provides asolid connection to the community– supporting families in need overa 19-county area.

In honor of the Company’s 100-Year Celebration, Halliburton gave regional
community grants to non-proﬁts globally. In Duncan, Oklahoma, where
Halliburton began in 1919, Halliburton made a USD 500,000 contribution
to support the Heritage Trails. The Heritage Trails will be a three-mile-longmulti-use path winding through the city’s landmarks and celebrating thecity’s history. Also, in Duncan, the Halliburton Foundation graciously
sponsored Duncan High School’s STEM Innovation Lab renovations to bringstate-of-the-art technology and learning to students. Employees in Singapore
celebrated the Company’s 100 years by donating time and funds to thePeople’s Association’s (PA’s) Project We Care, an initiative led by the private
sector and PA to encourage corporate giving and volunteerism in Singapore.
In addition to the ﬁnancial support, more than a dozen employees volunteeredat the fourth biennial Project We Care Garden Party at the Istana, which
beneﬁts the less-fortunate members of the community.

53

Halliburton // 100 Years

Global Citizenshipcontinued

Charitable Giving (USD)$8,759,574

Halliburton Corporate Giving$3,410,173
Halliburton Foundation$1,381,790

Employee Giving (Giving Choices)$1,936,890,351
Landmark In-Kind Donations$1,950,441,888
TOTAL CONTRIBUTIONSCommunity Action
Halliburton is a member of the Corporate Community Relations Council of Greater Houston. The council ismade up of member companies across industries for community relations professionals to network, gain
professional development, access resources and share best practices.

INDIA

Halliburton sponsored an Underage Driving and Distraction program that ispartnered with Maharashtra Police. The program is intended to raise awarenessof the dangers of driving underage and the effects of distraction on driving
safety. The program was conducted at the Social Service League JuniorCollege, and Halliburton was invited to participate. Other students were also
introduced to the program through an interactive session at the Byramjee
Jeejeebhoy Parsee Charitable School. A total of 200 children were involved.
Nassiba Toumert, Halliburton HSE/SQ Country Manager for India, participatedin the program and interacted with the students and teachers of the college.
MALAYSIA

Halliburton supported Global Road Safety Week in Malaysia by passing out
proper helmets to children who ride on motorbikes. In Malaysia, it is common tosee children wearing ill-ﬁtting helmets or, worse, toy or bicycle helmets when
they are riding as passengers on motorbikes, according to Dr. Kulanthayan KC
Mani, an associate professor at Universiti Putra Malaysia (UPM) and executive
director of Safe Kids Malaysia UPM. This safety campaign was jointly organized
by Safe Kids Malaysia UPM, the Road Safety Department, the police and thecountry’s Civil Defence Force, and is supported by international partners Safe
Kids Worldwide, the Global Alliance of NGOs for Road Safety, and the World
Health Organization’s Western Paciﬁc Regional Ofﬁce.

54

Encouraging Access to STEM
This year, Halliburton engaged with schools at the elementary and collegiate levels to provide access to
STEM-related programs for all races, genders, and socioeconomic classes. We worked with seven schools
across the U.S. and have successfully impacted over 4,000 students across all our programs and partnerships.
We realize that science is not always accessible to every student nationwide, which is why we createdprograms like our Little Shop of Physics (LSOP) at Colorado State University to increase hands-on, interactive
exposure to science and business operations. Our programs involve teaching students how to make and test robots,
providing under-represented minority students with opportunities to improve their test-taking skills and to explore
STEM-focused career paths, showing educators how to better instruct science, and building teamwork skills.
These programs inspire students’ interest and participation in science and technology, while teaching fundamental
skillsets related to the fields of engineering and business and utilizing geological science applications for oil
and gas.
We displayed our commitment to gender equality in the workplace in 2019 by achieving a 27 percent female
new hires rate in our professional hiring, an increase of 17 percent from 2018. We are devoted to equalizing maleand female representation in STEM-focused career paths, which is why we have partnered with two universities
in the U.S. to introduce women to STEM majors in college, and to help them engage with other female students,
faculty and Halliburton professionals. Our hope in creating these partnerships is to empower women to feel included
in STEM programs at a collegiate level and to then pursue a career in a STEM-related field. So far, we have seen
significant success rates recruiting women to the Colorado School of Mines and the University of Oklahoma inscience and/or engineering programs. These partnerships also raise awareness of future career opportunities inthe energy services industry, including careers at Halliburton.

2019 Annual & Sustainability Report55

Halliburton // 100 Years

Environmental, Social andGovernance Data
1 Sum of categories may differ from the total

due to rounding.
2 The GHG Protocol Corporate Accounting

and Reporting Standard was used in thecalculation of energy use and greenhousegas (GHG) emissions. Energy sources include
fuel, electricity, heating, cooling and steam.
Electricity emission factors are obtained
from the International Energy Agency’s CO2
Emissions from Fuel Combustion Report for2019 and the U.S. Environmental Protection
Agency’s Emissions & Generation Resource
Integrated Database (eGRID) publication.
3 In 2019, we revised our energy and GHG
data collection and analysis methodologies;
expanded the scope of data collection toencompass more facilities; and performed
retrospective data evaluations for 2018using our new data management approach.
2017 data was not updated per this revised
methodology.
4 On-road renewable fuel consumption includes
diesel, gasoline and compressed natural gas(CNG). This represents 1 percent of the fuelcard volume purchases for 2019.
5 Gases covered in GHG emissions
calculations include CO2, CH4 and N2O.
Global warming potentials are obtained
from the Intergovernmental Panel on Climate
Change (IPCC) Fifth Assessment Report.
The chosen consolidation approach foremissions is operational control.
6 All rental vehicle emissions are calculatedusing the U.S. factors for “Passenger Car –Gasoline – Year 2005 – Present” due tolack of readily available data on vehicle miles
by year of vehicle and location. Emissions
from air fleet fuel usage has been calculatedusing U.S. jet fuel emissions factors.
7 Please note, 2017 energy and emissions data
have not been updated per the methods used
for the 2018 and 2019 data at this time.

20177

2018

2019

23,249,327
1,088,192
761,656
6,805
1,784,500
26,890,480

62,305,063
565,546
4,706,282
797,971
1,910,708
70,285,571

60,102,066
757,8363,862,744
966,537
2,041,655
67,730,838

–
–

–
–

213,760
1,832,346

152,1142,458,423

263,464
2,650,273

26,40634,92334,003

1,837,736
260,784
84,142
2,182,662

4,738,953
271,233
73,3885,083,574

4,511,365
264,250
121,447
4,897,061

106

212

219

89,89670,417160,313

158,696
50,751
209,447

212,484
78,219290,704

Incineration
Total Landﬁll
Total Recycled
Total Reuse
Composting
Total Energy Recovery
Deep Well Injection
Other
Total

3,959
57,31536,091
6,106
3,532
50,291
633
2,386
160,313

5,095
88,20572,821
7,388
7,366
8,236
8,526
11,811
209,447

41,28376,577
131,541
2,824–
32,761
4,462
1,256
290,704

Water Consumption (m3)
Water Consumption

Environmental Data

1

Energy Consumption (GJ)
Fuel Consumption
DieselCoal
Natural Gas
Other (Gasoline and Propane)
Electricity Consumption
Total
2, 3

Fracturing Fluid
Volume of Hydraulic Fracturing Fluid Used (m3)Percent of Hydraulic Fracturing Fluid Used (Down Well)
U.S. Fuel Card Program (GJ)
Off-Road Fuel Consumption
On-Road Non-Renewable Fuel Consumption
On-Road Renewable Fuel Consumption4
Greenhouse Gas Emissions (TCO2e)5Direct (Scope 1)
Indirect (Scope 2)
Indirect (Scope 3)6
Total
Greenhouse Gas Emissions Intensity(TCO2e/$M Revenue)
Scopes 1, 2 and 3
Waste Disposal (Metric Tonnes)
Non-Hazardous
Hazardous
Total

56

151,099,271
1.4%

1,924,248

2,646,230

2,351,678

Spills and Discharges
Recordable Environmental Incident Rate
(Incidents Per 200,000 Hours Worked)
Total Volume of Spills (m3)

0.04
142

0.05
1,034

0.03
413

Health, Safety and Environment (HSE)
Fines and Penalties (USD)HSE Fines and Penalties

46,50038,50032,664

2017

2018

2019

163,054,003

181,330,469

181,774,208

1
0
1

0
1
1

4
0
4

0.001
0
0.001

0
0.001
0.001

0.004
0
0.004

302
210

368
199

268
175

0.12

0.13

0.11

0.37

0.41

0.29

0.34

0.48

0.38

2.93
7,657

2.53
36,485

1.44
143,155

3,040,000––
51–

4,530,000
–
–
68
1,276

3,995,000
87%
13%
55
1,078

1,496,576––

2,800,049––

1,919,961
1,669,372
250,589

457
135
57
23

292
219
75
30

280
312
112
29

Social Data
Total Number of Hours Worked
Number of Fatalities
Employee
Contractor
Total
Fatality Rate (Incidents Per 200,000 Hours Worked)
Employee
Contractor
Total
Injuries and Process Safety Incidents
Total Recordable Incidents
High-Potential Incidents
Lost-Time Incident Rate
(Incidents Per 200,000 Hours Worked)
Total Recordable Incident Rate
(Incidents Per 200,000 Hours Worked)
Recordable Vehicle Incident Rate
(Incidents Per Million Miles Traveled)
Near-Miss Incident Rate
(Incidents Per Million Miles Traveled)
Stop Work Authority
Employee Training
Employee Training (Hours)
Breakdown of Employee Training (% Male)
Breakdown of Employee Training (% Female)
Training Hours Per Learner
Number of HSE Training Courses Offered
Hours of HSE Training Completed
Regular Employees
Temporary/Agency/Contract
Business Leadership Development Courses(Number of Attendees)
Business Leadership Level I
Business Leadership Level II
Business Leadership Level III
President’s Leadership2019 Annual & Sustainability Report57

Halliburton // 100 Years

Environmental, Social and Governance Data continued

Dollar Amounts in Million USD

2017

2018

2019

Social Data continued
Charitable Giving (Thousand USD)
In-Kind Donations
Halliburton Foundation
Employee Giving
Corporate Giving
Total*$$$$$

2,107,489
5,826
1,312
1,104
2,115,731

$
$
$
$
$

1,968,721
4,137
901
2,610
1,976,368

$
$
$
$
$

1,936,890
3,410
1,381
8,760
1,950,442

Procurement (Million USD)
Spend with Small and Diverse Suppliers

$

937

$

790

$

780

Average Employee Age
Western Hemisphere
Eastern Hemisphere
Other

37.5
38.1
43.9

37.5
38.2
43.8

37.5
38.2
43.9

13,62526%

12,564
21%

9,432
16%

Employee Turnover Rate
Total Employee Turnover Rate
Voluntary Employee Turnover Rate

19%
12%

19%
14%

21%
13%

Percent of Female New Hires by Region
North America
Latin America
Europe/Africa/CIS
Middle East/Asia

8%
15%
11%
11%

14%
21%
35%
19%

9%
25%
16%
12%

Percent of Local Nationals in the Workforce
North America
Latin America
Europe/Africa/CIS
Middle East/Asia

99%
98%
93%
75%

100%
94%
93%
70%

99%
94%
93%
81%

2
5
12%

3
5
12%

3
2
13%

12%

12%

12%

14%

17%

20%

11%

12%

11%

Employee Hiring
Total New Hires
New Hires Rate

Diversity
Number of Female Directors on the Board of Directors
Board Ethnic Diversity
Female Share of Total Workforce
Females in All Management Positions, Including Junior,
Middle and Senior Management(% of Total Management Workforce)
Female Directors/Senior Managers(% of All Directors/Senior Management)
Females in Junior Management Positions, i.e. First Levelof Management (% of Total Junior Management Positions)
Employee Engagement
Halliburton Engagement Index (HEI) Rate
Leader Effectiveness Index (LEI) Rate
*The sum of Charitable Giving categories may differ from the total due to rounding.

58

3.57
3.10

3.47
3.16

3.24
3.08

Dollar Amounts in Million USD

2017

2018

2019

Governance and Business Data
Financial Performance
Revenue
Total Operating Expenses
Operating Income (Loss)
Income (Loss) Before Taxes
Amounts Attributable to Company Shareholders
Net Income (Loss) from Continuing Operations
Diluted Income Per Share from
Continuing Operations
Cash Dividends Per Share
Diluted Common Shares Outstanding
Net Working Capital
Total Assets
Total Debt
Total Shareholders’ Equity
Cash Flows from Operating Activities
Capital Expenditures
Depreciation, Depletion and Amortization
Total Capitalization
Debt to Total Capitalization

$
$
$
$

20,620(19,246)
1,374
682

$
$
$
$

23,995(21,528)
2,467
1,814

$
$
$
$

22,408(22,856)(448)(1,122)

$

(444)

$

1,656

$

(1,131)$$(0.51)
0.72
870
5,915
25,085
10,942
8,349
2,468
1,373
1,556
19,291
57%

$
$

1.89
0.72
877
6,349
25,982
10,344
9,544
3,157
2,026
1,606
19,88852%$$(1.29)
0.72
875
6,334
25,377
10,327
8,025
2,445
1,530
1,625
18,352
56%

$
$
$
$
$
$
$
$

$
$
$
$
$
$
$
$

$
$
$
$
$
$
$
$

In 2019, the amount of net revenue generated by Halliburton in countries that have the 20 lowest rankings on Transparency International’s Corruption Perception Index
comprises approximately 2 percent of the Company’s total revenue.

Political Contributions
Annual Total Monetary Contributions to, andSpending for, Political Campaigns, Political
Organizations, Lobbyists or Lobbying Organizations,
Trade Associations and Other Tax-Exempt Groups$

Board Information
Number of Independent Directors
Average Board Meeting Attendance
Research and Development
Patents Granted Per Year
Total R&D Spend (million USD)
R&D Spend as a Percentage of Revenue
Patent Efﬁciency(U.S. Patents Granted Per USD 1M of R&D Spend)
Ranking Among Largest U.S. Patents Granted(by IFI Claims)
Ranking Among Largest U.S. Patents Granted
to Oil & Gas Companies (by IFI Claims)

2019 Annual & Sustainability Report

330,000

$

10
96%

$

813
360
1.70%

118,942

$

9
96%

$

896
390
1.60%

332,053
9
94%

$

1,116
404
1.80%

1.40

1.83

3.39

44th

39th

34th

1st

1st

1st

59

Halliburton // 100 Years

Environmental, Social and Governance Data continued

2017

2018

2019

0.57%
23%

0.52%
21%

0.40%
23%

10
11
15
30
66

12
11
16
19
58

11
11
17
18
57

Governance and Business Data continued
Service Quality Metrics
Customer Non-Productive Time (NPT)
Customer Cost of Poor Quality (COPQ)
Local Ethics Ofﬁcer (LEO) Program
Number of LEOs
North America
Latin America
Eurasia, Europe and Sub-Saharan Africa
Middle East, North Africa and Asia Paciﬁc
Total

In 2019, 57 Company leaders were drawn from across PSLs and support functions to serve as LEOs; these leaders are in 43 different countries, and serve ascompliance champions.
*2019 Number of Cases Closed is higher than Number of Reports with Potential Violations of Code of Business Conduct (COBC), as this accounts for matters received in 2018.

Ethics Training by Region
North America
Latin America
Eurasia, Europe and Sub-Saharan Africa
Middle East, North Africa and Asia Paciﬁc
Global Ethics and Compliance Reports
Number of Reports Received
Number of Reports Sent Directly to Global Ethics
and Compliance
Number of Reports Received Throughthe Ethics Helpline
Percent of Anonymous Reports
Number of Cases Closed/Number of Reports withPotential Violations of COBC*
Ethics Training
Number of Employees to Receive COBC Training
Number of Employees to Receive
Anti-Corruption Training
Number of Employees to Receive High-Risk
Country Training
Procurement
Number of Tier 1 Suppliers
Tier 1 Supplier Share of Total Procurement Spend
Number of Critical Non-Tier 1 Suppliers
Critical Non-Tier 1 Suppliers Share of Total
Procurement Spend
Number of Suppliers Assessed in the Last 3 Yearsfor Sustainability Risks

60

–
–
–
–

12,3079,070
4,141
15,052

12,696
9,288
10,98525,079

–

669

772

–

359

386

–
–

310
33%

386
37%

–

163/175

215/20944,72947,145

43,792

8,543

9,179

9,187

2,042

1,510

1,433

–
–
–

25,732100%
024,539
100%
0

–

0%

0%

–

25,60425,154

United Nations Sustainable Development
Goals Mapping
The United Nations Sustainable Development Goals (SDGs) were adopted by the global community
in 2015. In 2018, Halliburton undertook an exercise to map our material sustainability topics and relevant
metrics to the SDGs in order to assess our alignment with the priorities of policymakers and otherstakeholders. Halliburton further evaluated our alignment to these topics in our 2019 Materiality Assessment
refresh. The results of this exercise are shown in the table below.

HALLIBURTON MATERIAL TOPICSUNITED NATIONS SUSTAINABLE
DEVELOPMENT GOALSHALLIBURTON KEY PERFORMANCE INDICATORS

16. Peace, justice and strong institutions• Hours of training on anti-corruption andEconomic
CORPORATE GOVERNANCE AND BUSINESS ETHICS

Code of Business Conduct
ECONOMIC PERFORMANCE

1. No poverty
4. Quality education
8. Decent work and economic growth• Percentage of spend with local suppliers• Spend with small and diverse suppliers• Training hours per learner• Spend on educational support programs

SUPPLY CHAIN SUSTAINABILITY

4. Quality education
8. Decent work and economic growth
12. Responsible consumption and production• Percentage of spend with local suppliers• Spend with small and diverse suppliers

SocialHEALTH, SAFETY, WELLNESS

3. Good health and well-being• Total recordable incident rate
• Lost-time incident rate

DIVERSITY AND INCLUSION

5. Gender equality
8. Decent work and economic growth
10. Reduced inequalities• Female hire rates and other gender rates• Percentage of localization of workforce• Spend with small and diverse suppliers• Global Ethics Helpline

COMMUNITY ENGAGEMENT

1. No poverty
2. Zero hunger
3. Good health and well-being
4. Quality education
16. Peace, justice and strong institutions• Charitable giving

7. Affordable clean energy
13. Climate action• Energy consumption

6. Clean water and sanitation
14. Life below water
15. Life on land

• Water use• Percentage of localization of workforce

Environment
ENERGY AND GREENHOUSE GASESENVIRONMENTAL STEWARDSHIP• Greenhouse gas emissions intensity• Recordable environmental incident rate
• Spill volume• Waste generation and recycling rate

2019 Annual & Sustainability Report61Halliburton // 100 Years

GRI Content Index
General DisclosuresINDEX

DISCLOSURE TITLE

General Disclosures continued
PAGE NUMBER

Organizational Proﬁle
102–1
102–2
102–3
102–4
102–5
102–6
102–7
102–8
102–9
102–10
102–11
102–12
102–13Name of the organization
Activities, brands, products and services
Location of headquarters
Location of operations
Organization and legal form
Markets served
Scale of the organization
Information on employees and other workers
Supply chain
Signiﬁcant changes to the organization and its supply chain
Precautionary principle or approach
External initiatives
Membership of associations

Statement from senior decision maker
Description of key impacts, risks and opportunities

P. 3–62019 Form 10-K

Ethics & Integrity
102–16102–17

Values, principles, standards and norms of behavior
Mechanisms for advice and concerns about ethics

P. 9
P. 16–21

102–30102–31
102–32
102–33
102–34Governance structure
Delegating authority
Executive-level responsibility for economic, environmental
and social topics
Consulting stakeholders on economic, environmental
and social topics
Composition of the highest governance body and its committees
Chair of the highest governance body
Nominating and selecting the highest governance body
Conﬂicts of interest
Role of the highest governance body in setting purpose,values and strategy
Collective knowledge of highest governance body
Evaluating the highest governance body’s performance
Identifying and managing economic, environmental
and social impacts
Effectiveness of risk management processes
Review of economic, environmental and social topics
Highest governance body’s role in sustainability reporting
Communicating critical concerns
Nature and total number of critical concerns

102–35
102–36102–37
102–38

Remuneration policies
Process for determining remuneration
Stakeholders’ involvement in remuneration
Annual total compensation ratio

102–21
102–22
102–23
102–24
102–25102–26102–27
102–28102–29PAGE NUMBER

102–40
102–41

List of stakeholder groups
Collective bargaining agreements

102–42
102–43
102–44

Identifying and selecting stakeholders
Approach to stakeholder engagement
Key topics and concerns raised

P. 32–34
No employees are covered bycollective bargaining
agreements in the U.S.
P. 14–15; 32–33
P. 14–15; 32–33
P. 14–15; 33

Reporting Practice
102–45
102–46102–47
102–48
102–49102–50102–51
102–52
102–53
102–54
102–55
102–56

Entities included in the consolidated ﬁnancial statements
Deﬁning report content and topic boundaries
List of material topics
Restatements of information
Changes in reporting
Reporting period
Date of most recent report
Reporting cycle
Contact point for questions regarding the report
Claims of reporting in accordance with the GRI standards
GRI content index
External assurance

P. 1; 2019 Form 10-K
P. 14–15
P. 14–15
P. 69
P 14–15
P. 69
P. 69
P. 69
P. 69
P. 5; 62–63
P. 62–63
P. 69

Management Approach

Governance102–18
102–19102–20DISCLOSURE TITLE

Stakeholder Engagement
2019 Form 10-K
P. 7–8; 27–29; 2019 Form 10-K
P. 69; 2019 Form 10-K
P. 8; 2019 Form 10-K
2019 Form 10-K
P. 4–5; 8–9; 2019 Form 10-K
P. 7–8; 2019 Form 10-K
P. 47–51
P. 21–24
P. 22–23
P. 26–29; 37–40
P. 32–33; 52–54
P. 33–34

Strategy
102–14
102–15INDEX

P. 16–18; 2019 Proxy Statement
P. 16–20; 2019 Proxy Statement
P. 16–20

103–1
103–2
103–3

Explanation of the material topic and its boundary
The management approach and its components
Evaluation of the management approachP. 14–15; 2019 Form 10-K
P. 14–15; 36–39
P. 14–15; 36–39

P. 16–20
P. 16–18; 2019 Proxy Statement
P. 16–18; 2019 Proxy Statement
P. 17; 20; 2019 Proxy Statement
P. 16–20
P. 16–20
P. 16–18
P. 16–17; 20; 2019 Proxy Statement
P. 14–15; 17–20
P. 19–21; 37
P. 16–17
P. 17–18
P. 16–18
No critical concerns werecommunicated up to thehighest governance bodyin the reporting year.
P. 17; 2019 Proxy Statement
P. 17; 2019 Proxy Statement
2019 Proxy Statement
2019 Proxy Statement

EconomicINDEX

DISCLOSURE TITLE

PAGE NUMBER

Economic Performance
201–1
201–3

Direct economic value generated and distributed
Deﬁned beneﬁt plan obligations and other retirement plans

P. 1; 2019 Form 10-K
P. 48; 2019 Proxy Statement

Market Presence
202–1

Ratios of standard entry level wage by gender compared to
local minimum wage

We pay over 200% of thefederal minimum wage
in the United States for all
entry-level, non-exempt
employees.

Procurement Practices
204–1

Proportion of spending on local suppliers

P. 21–23

Anti-Corruption
205–1
205–2
205–3

Operations assessed for risks related to corruption
Communication and training about anti-corruption policies and procedures
Conﬁrmed incidents of corruption and actions taken

P. 19–23
P. 19–23
P. 19–23

Anti-Competitive Behavior
206–1

62

Legal actions for anti-competitive behavior, and for anti-trust
and monopoly practices

No legal actions are pendingor monopoly practices
completed during the reporting
period regardinganti-competitive behavior andviolations of anti-trust andmonopoly legislation in which
the organization has been
identiﬁed as a participant.

Environmental
INDEX

SocialDISCLOSURE TITLE

PAGE NUMBER

Energy consumption within the organization
Energy intensity
Reduction of energy consumption
Reductions in energy requirements of products and services

P. 42–46; 56
P. 42–46; 56
P. 42–46
P. 28–29; 42–46

Energy
302–1
302–3
302–4
302–5

Water withdrawal

P. 42; 56

Emissions
305–1
305–2
305–4
305–5

Direct (Scope 1) GHG emissions
Energy indirect (Scope 2) GHG emissions
GHG emissions intensity
Reduction of GHG emissions

P. 42; 56; ESG Highlights
P. 42; 56; ESG Highlights
P. 43; 56
P. 56

Waste by type and disposal method
Signiﬁcant spills

401–2
401–3

No signiﬁcant ﬁnes andnon-monetary sanctions for
non-compliance incurredin 2019.

Supplier Environmental Assessment
308–1
308–2

New suppliers that were screened using environmental criteria
Negative environmental impacts in the supply chain
and actions taken

P. 48
P. 48

Occupational Health and Safety
403–1
403–9

404–1
404–2
404–3

405–1

Occupational health and safety management system
Work-related injuries

P. 36–41
P. 36–41; 57

Average hours of training per year per employee
Programs for upgrading employee skills and transition assistance programs
Percentage of employees receiving regular performance andcareer development reviews

P. 49–50; 57
P. 37–39
P. 48–49

P. 22–23
P. 22–23

Diversity of governance bodies and employees

P. 16; 50–51

Security Practices
410–1

Non-compliance with environmental laws and regulations

Beneﬁts provided to full-time employees that are not provided totemporary or part-time employees
Parental leave

Diversity and Equal Opportunity
P. 42–43; 56
P. 43; 56

Environmental Compliance
307–1

PAGE NUMBER

Training and Education

Efﬂuents and Waste
306–2
306–3

DISCLOSURE TITLE

Employment

Water and Efﬂuents
303–3

INDEX

Security personnel trained in human rights policies or procedures

P. 19

Human Rights
412–1
412–2
412–3

Operations subject to human rights assessments
Employee training on human rights procedures
Signiﬁcant agreements or contracts with human rights clauses/screening

P. 20–21
P. 20–21
P. 20–21

Local Communities
413–1

Operations with local community engagement, impact assessments
and development programs

P. 51–55

Supplier Social Assessment
414–1

New suppliers that were screened using social criteria

P. 22

Socioeconomic Compliance
419–1

2019 Annual & Sustainability ReportNon-compliance with laws and regulations in the social and economic area

P. 19–2163

Halliburton // 100 Years

Sustainability Accounting Standards Board(SASB) Mapping
SASB TOPICACCOUNTING METRIC

CODE

PAGE
NUMBEREMISSIONS REDUCTIONSERVICES & FUELSMANAGEMENT

Total fuel consumed, percentage renewable,
percentage used in: (1) on-road equipment andvehicles and (2) off-road equipment

EM-SV-110a.1

P. 56

Environmental, Social andGovernance Data

Discussion of strategy or plans to address air
emissions-related risks, opportunities and impacts

EM-SV-110a.2

P. 44–46

Health, Safety & Environment:
Climate Change

Percentage of engines in service that meet Tier 4
compliance for non-road diesel engine emissions

EM-SV-110a.3

P. 44

Health, Safety & Environment:
Climate Change(1) Total volume of fresh water handled inoperations, (2) percentage recycled

EM-SV-140a.1

P. 42

Health, Safety & Environment:
Environmental Stewardship

Discussion of strategy or plans to address
water consumption and disposal-related risks,
opportunities and impacts

EM-SV-140a.2

P. 42

Health, Safety & Environment:
Environmental StewardshipHalliburton 2019 Form 10-K

Volume of hydraulic fracturing ﬂuid used,
percentage hazardous

EM-SV-150a.1

P. 56

Environmental, Social andGovernance Data

Discussion of strategy or plans to address
chemical-related risks, opportunities and impacts

EM-SV-150a.2

P. 46

Health, Safety & Environment:
Chemical Services, Management
and Transparency
Halliburton 2019 Form 10-K

Average disturbed acreage per (1) oil and (2) gas
wellsite

EM-SV-160a.1

N/A

See footnote

Discussion of strategy or plan to address risks andopportunities related to ecological impacts fromcore activities

EM-SV-160a.2(1) Total recordable incident rate (TRIR); (2) fatality
rate; (3) near-miss frequency rate (NMFR); (4) total
vehicle incident rate (TVIR); and (5) average hoursof health, safety and emergency response training
for: (a) full-time employees, (b) contract
employees, and (c) short-service employees

EM-SV-320a.1

P. 36–41

Health, Safety & Environment:
Journey to ZERO
Halliburton Management System
Communicating and Addressing Risk
HSE and SQ Process Improvement
Verifying Performance

Description of management systems used tointegrate a culture of safety throughout the value
chain and project life cycle

EM-SV-320a.2

P. 36–40

Health, Safety & Environment:
Journey to ZERO
Halliburton Management System
Communicating and Addressing Risk
HSE and SQ Process Improvement

Amount of net revenue in countries that have the
20 lowest rankings in Transparency International’s
Corruption Perception Index

EM-SV-510a.1

2018
Annual &Sustainability
ReportEnvironmental & Social Data

Description of the management system forprevention of corruption and bribery throughout
the value chain

EM-SV-510a.2

P. 19–23

Transparency:
EthicsHuman Rights
Supply Chain

WATER MANAGEMENTSERVICESCHEMICALSMANAGEMENT1ECOLOGICAL IMPACT
MANAGEMENT 2

WORKFORCE HEALTH& SAFETY

BUSINESS ETHICS& PAYMENTS
TRANSPARENCY64

SECTION REFERENCESASB TOPICACCOUNTING METRIC

CODE

PAGE
NUMBER

MANAGEMENT OF THE
LEGAL & REGULATORYENVIRONMENT

Discussion of corporate positions related togovernment regulations and/or policy proposals
that address environmental and social factors
affecting the industry

EM-SV-530a.1

P. 16–20

Transparency:
Governance
EthicsCRITICAL INCIDENT RISKMANAGEMENT

Description of management systems used to
identify and mitigate catastrophic and tail-end risks

EM-SV-540a.1

P. 36–39

Health, Safety & Environment:
Journey to ZERO
Halliburton Management System
Communicating and Addressing Risk
HSE and SQ Process Improvement

ACTIVITY METRICS3

CODE

PAGE
NUMBERNUMBER OF ACTIVE RIGSITESNUMBER OF ACTIVE WELLSITESTOTAL AMOUNT OF DRILLING PERFORMEDTOTAL NUMBER OF HOURS WORKED BY ALL EMPLOYEESEM-SV-000.A
EM-SV-000.B
EM-SV-000.C
EM-SV-000.D

N/A
N/A
N/A
P. 57

SECTION REFERENCESECTION REFERENCE

N/A
N/A
N/A
Environmental, Social andGovernance Data

1 Usage of hydraulic fracturing ﬂuid used to open and enlarge fractures within the rock formation is outside of the Company’s operational control.
2 Ecological Impact Management was deemed not applicable, as management of disturbed acreage per oil and gas wellsite is outside of the Company’s

operational control.
3 Number of active rigsites, number of active wellsites, and total amount of drilling performed are not relevant to the Company’s operational control, and havetherefore been omitted.

2019 Annual & Sustainability Report65Halliburton // 100 Years

Task Force on Climate-Related Financial
Disclosures (TCFD) Mapping
TCFD RECOMMENDED DISCLOSURES1

PAGE NUMBER

Governance
Disclose the organization’s governance around climate-related risks and opportunities.

a) Describe the board’s oversight of climate-related risks and opportunities.

P. 16–20; 44–45b) Describe management’s role in assessing and managing climate-related risks and opportunities.

P. 16–20

Strategy
Disclose the actual and potential impacts of climate-related risks and opportunities on theorganization’s businesses, strategy and ﬁnancial planning where such information is material.

a) Describe the climate-related risks and opportunities the organization has identiﬁed over the short, medium
and long term.

P. 14–15; 44–45b) Describe the impact of climate-related risks and opportunities on the organization’s businesses, strategy andﬁnancial planning.

P. 14–15; 44–45c) Describe the resilience of the organization’s strategy, taking into consideration different climate-related scenarios,
including a 2°C or lower scenario.

P. 17–18

Risk Management
Disclose how the organization identiﬁes, assesses and manages climate-related risks.

a) Describe the organization’s processes for identifying and assessing climate-related risks.

P. 17–18; 44–45b) Describe the organization’s process for managing climate-related risks.

P. 17–18; 44–45c) Describe how processes for identifying, assessing and managing climate-related risks are integrated into theorganization’s overall risk management.

P. 17–18; 44–45

Metrics & Targets
Disclose the metrics and targets used to assess and manage relevant climate-related risks andopportunities where such information is material.

a) Disclose the metrics used by the organization to assess climate-related risks and opportunities in line with its
strategy and risk management process.

P. 42–46; 56b) Disclose Scope 1, Scope 2 and, if appropriate, Scope 3 greenhouse gas (GHG) emissions and the related risks.

P. 42–46; 56c) Describe the targets used by the organization to manage climate-related risks, and opportunities and performanceagainst targets.

P. 42–46

1 Sourced from the TCFD Final Report: Recommendations of the Task Force on Climate-Related Financial Disclosures (2017).

66

Awards &Recognitions
World Oil Awards••

Best Drilling Technology Award – EarthStar™ 3D Inversions – 2019Best Exploration Technology Award – T1T2IFMI for Unconventionals
with Halliburton XMR™ Service – 2019Best Health, Safety, Environment/Sustainable Development– Onshore Award – Tuned ® Prime™ Cement Spacer – 2019
• Best Well Intervention Technology Award – SPECTRUM ® 360– 2019•HSE Awards and Recognitions
Magmont Mine Reclamation Project Health and Safety Award
ENI Well Services Safety Award – 2019
• The Ecopetrol Recognition Award in Colombia for high HSE/SQ
performance levels during “Abandono Deﬁnitivo de 50 Pozos”• Anadarko Recognition Award in Colombia for outstanding
performance in HSE/SQ during the Encore mud transfer operations
from Cartagena to the liquid mud plant in Barranquilla• EQUION Recognition in Colombia for the Safety MechanicalLifting Campaign• OXY special recognition in Colombia for outstanding Halliburton
HSE performance in the La Cira Project• Shell’s 2018 Global Wells Supplier of the Year Award foroutstanding service quality performance and safety leadership• The “Golden Tool Kit” Award in Trinidad for the BestHSEQ Performance• Shell Trinidad “Best in Class” for 2019
• Chevron Recognition Award in Argentina due to a successful
collaboration and HSE performance during the El Trapial campaign• Petrobras Performance Awards for drilling services equipment
and gender equity promotion within that region••

The Ministry of Social Protection of Guyana and National Advisory
Council on Occupational H&S (NACOSH) Annual Safety Award forCommitment in HSE & The Culture of Prevention• PEMEX recognition for ﬁve of our HSE Field Supervisors• Distinction of Merit in Prevention award from the Instituto de
Seguridad del Trabajo in Chile• EnQuest Malaysia Award – 5 years LTI free
• Recognition of Excellent SSHE performance and contribution to
PTTEP Myanmar Asset in Year 2019 – Halliburton Myanmar Energy
service Pte. Ltd• Mahakam Award by PHM for Best Safety Performance for High Risk
contract > 200.000 to 400.000 Man-Hours – Halliburton East
Kalimantan• Chevron Recognition for Safe Incident Free Operations for 1,400+
days (SIFO 1400) Halliburton Indonesia• Chevron’s Contractor Serious Injury and Fatality Prevention (SIF-P)
award – Halliburton Duri Operations•

Company Workforce Awards••

Forbes– 2019 America’s Best Employers for Diversity– 2019 America’s Best Employers by State– 2019 Global 2000
Woman Engineer Magazine– 2019 Top 50 Employer•

Minority Engineer Magazine– 2019 Top 50 Employer•

Middle East Energy Awards– Oilﬁeld Services Company of the Year – 20192019 Annual & Sustainability Report

Association of Corporate Counsel and the Texas Lawbook•

2019 General Counsel of the Year – Robb Voyles, Halliburton
Executive Vice President, Secretary & General Counsel

Pink Petro•2019 GRIT Award Winners – Professionals:– Kelly Fortner, Country PSL Operations Manager – India– Melissa Sowell, Manager, Community Relations
Executive:– Johanna Haggstrom, Director of Technology

67

Halliburton // 100 Years68About the Report
This report covers the ﬁscal period from January 1, 2019, to December 31, 2019, for global
Halliburton activities.
Halliburton is a publicly traded corporation registered in Delaware and headquartered in Houston, Texas.
There were no signiﬁcant changes to the structure or ownership of the Company in 2019. In this report,
the data encompasses all of our product service lines, countries, joint ventures and non-wholly-owned
subsidiaries. This report contains descriptions of our 2019 sustainability initiatives. Wherever possible,
assessments of performance trends from 2017 to 2019 are provided to better highlight the trends’
signiﬁcance over time. Topics covered in this report are those most pertinent to our business sector,
and they arise from the context and expectations of the sector. The boundaries of this report correspondto those of the 2019 Form 10-K. The data included in this report come from the Company’s ofﬁcial
management and reporting systems for the various functions described in this document.
Halliburton used reporting guidelines and terminology developed by the Global Reporting Initiative,
International Petroleum Industry Environmental Conservation Association and the Sustainability AccountingStandards Board to inform reporting. We are working toward alignment with The Task Force on ClimateRelated Financial Disclosures Recommendations. We provide annual information to CDP (Carbon Disclosure
Project) and Dow Jones Sustainability Index and other top organizations that assess companies for
economic, social and environmental performance.
The 2019 Annual and Sustainability Report was written in accordance with the Core Requirements of theReporting Guidelines of the Global Reporting Initiative Standards. Alignment with Global Reporting Initiative
indicators, the United Nations Sustainable Development Goals, the Sustainability Accounting Standards
Board, and the Task Force on Climate-Related Financial Disclosures can be found on pages 61 through 66.
Published date of previous report: April 2019.
Reporting cycle: Annual
Restatements of previously reported information are indicated where necessary throughout the report.
The Halliburton Annual & Sustainability Report has not been externally assured.
To request additional copies of the report, please go to:www.ir.halliburton.com/shareholder-services/investor-toolkitYour feedback is valued. Please send any comments, questions or suggestions about our 2019 Annual& Sustainability Report to sustainability@halliburton.com or investors@halliburton.com.

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