Corporate Governance Ethics and Governance EThics and Governance Executive Summary

ETHICS AND
GOVERNANCE

Ethics and Governance 1
Executive summary
The corporate governance in the companies has concerned with holding the equilibrium
between economic and social goals. This framework inspires to the efficient usage of
resources along with necessitating responsibility for the stewardship of the resources. The
purpose of corporate governance in organizations is to bring into line the interests of the
members, organization, and community. It is an internal means through which organizations
are operated and regulated. This report comprises the corporate governance of OSH OIL
Search Limited 10 Toea which is intricate in the exploration, expansion, and production of oil
and gas. OSH is united in Papua New Guinea (PNG).
OSH is dedicated to assuming and executing severe corporate governance practices. This
commitment of the company is assisted by amenably reporting its governance practices to
support investors in making well-informed investment choices. The company follows
corporate governance recommendations on a regular basis. The shareholders of the company
make an informed decision to or not to vote in the favor of director standing. This report
comprises corporate governance of OSH in the terms of the configuration of the board,
reports from chairperson and CEO and remuneration report. The board orientation has been
also deliberated. Further, the interpretation of company communication by utlising legitimacy
theory has been discussed.
In the end, it can be concluded that OSH is having more independent directors who make use
of the agency theory and shareholders assume the directors to act and make verdicts in the
best interests of the shareholders.

Ethics and Governance 2
Contents
Executive summary..................................................................................................... 1
Introduction and summarization of the company..................................................................3
Corporate governance at the company.............................................................................. 4
Composition of the board........................................................................................... 4
Reports from the Chairperson and CEO.........................................................................5
The remuneration report............................................................................................ 5
Board orientation........................................................................................................ 6
Interpretation of company communication using legitimacy theory...........................................8
Conclusion................................................................................................................ 9
References.............................................................................................................. 11

Ethics and Governance 3
Introduction and summarization of the company
OSH, OIL Search Limited 10 Toea is engaged in the investigation, advancement, and
production of oil and gas. OSH is incorporated in Papua New Guinea (PNG). The major
producing operations of the company are Kutubu, Moran, S E Mananda, Gobe, and Hides.
OSH was established in 1929 and at present is one of the largest companies of Papua New
Guinea. The company was accountable for 13% gross domestic product (GDP) of Papua New
Guinea in 2017. OSH is listed on both Port Moresby and Australian Stock Exchanges and is
comprised of S & P/ ASX 50. 17.6% interest of OSH is detained by the government of Papua
New Guinea. OSH also functions in nations like Egypt, Yemen, Libya, and Iraq.
OSH is having ninety years of experience and conducts operations in a socially responsible
manner. The company is having respectful and open associations with the local landowners
and government which leads its accomplishment (Aguilera & Haxhi, 2019). The company is
committed to guiding significant social matters and seek to custom the norm for private
sector influence to sustainable development. OSH is having a transparent strategy for future
growth by employing carefully with the joint venture partners, government, controllers,
property-owners, and correspondents to make sure long-term and mutually positive results
(Richard, 2019). OSH belongs to the petroleum industry. Petrol and gas are considered vital
to several industries and are a must for the maintenance of industrial civilization.
The vision of OSH is to produce maximum quartile returns for shareholders by distinction in
socially accountable oil and gas exploration and production. OSH is able to attain its vision
by chasing important plans such as optimizing the value of prevailing oil search oil and gas
assets by safe, consistent and sustainable operations. The company is practicing strategies of
commercializing extra LNG trains with gas obtained from NW highlands and Gulf hubs and
by making sure optimum commercial incorporation between the projects (Bandara, 2016).
OSH pursues monetization prospects for the prevalent stranded gas fields in PNG. In 2011,
the company formed an oil search foundation to assist deliver sustainable development results
for the people of PNG whereas, in 2016, OSH committed the US $ 56 million to the source.
The company was thoroughly moved by the devasting 2018 highlands earthquake. It even
verified pledge to PNG with the fast on the ground response and the recovery efforts are still
continued (Oil Search, 2020). OSH has also undertaken various activities to assist additional
LNG development in PNG. The joint venture partners of OSH are the sturdiest and efficient
oil and gas operators globally. The incorporation of in-nation proficiency and partner’s