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Table of Content Content Message 1-2 Message from the CFO Message from the CEO (ILC) Message from the CEO (IPG) HR related news and stories 3 Isla congratulates the Long Service Awardees for 2021 that are worth sharing 4 New Hire Corner – Welcome to Isla family! 5 HR’s strategy on maximizing human potential at IPG Making it easier for us -- Finance related updates and milestones (based on gallup studies on the future of work) 6 Isla employees share how they cope with the pandemic New wins from Metal Making it easier for us -- 7 Road to WD4 (Closing of Monthly Financial Book) Finance related updates and milestones 8 Simplified and Updated MoA 9 Capex Automation System New wins from Metal 10 Corporate Card and Advances to Employees Policies Version 2.0 Marketing highlights and wins 11 Auto-PO Project went LIVE HSSE Matters; our wins on safety 12 Solane Introduces Mini LPG Plant Ops Rocks! Some 13 Our new and improved eco-friendly Bioseal good news from Plant Ops 7 Road to WD4 (Closing of Monthly Financial Book) Solid Sales team – updates and 8 Simplified and Updated MoA 9 Capex Automation System wins from the sales workforce 10 Corporate Card and Advances to Employees Policies Version 2.0 11 Auto-PO Project went LIVE Be legally informed – Legal shares info on the new LPG law 12 Solane Introduces Mini LPG 13 Our new and improved eco-friendly Bioseal Technical is life – wins from Tech and Engineering 14 Solenn for Solane – the collab of the year 15 Digitalization (Web platform and Solane App) 1 16 Solane’s official Facebook page – consistently with the highest engage- 17 ment THE ISLA CHRONICLES 18 Sincerely Solane – a glimpse on our CSR initiatives 19 21 Million Man-Hours Milestone (September 2021) 20 Palawan Plant operations 21 Plant who reached Millon Man-Hours without LTI (As of October 2021 22 ACE Winners Q1-Q3 2021 23 CAPEX Process Revisited Project InsynC 24 Automation of Exit Clearance process for Customer or Distributor 25 Automation of Price Change notification (PCN) process 26 Solane Academy Journey 27 LPG Industry Regulation Act 22 New commissioned accounts (Bulk/NADS) 23 Vaporizer installation 24 Fuel Conversion Project – Converted from Diesel to LPG 25 Plant Projects Update 26 LPG Product Knowledge, Safety & Product Receiving Training The Official Internal E-Newsletter of Isla LPG

The Official Internal E-Newsletter of Isla LPG 2 THE ISLA CHRONICLES

Message from the 3Cs Message from the CFO (ILC) 2021 is about to unfold and few days we embark in bigger projects for from now, it will become a history. If sustainability and winnability of we look back, it is another unusually IPG in the LPG industry. Let’s brace challenging year to most businesses. ourselves again for new challenges Zooming in to Isla, yes we were and we can’t discount that covid not spared with the roller coaster variants may still come and go, but months of the year, but let’s focus I believe that Isla family is bigger NOT in what was missed, but let’s than any virus so long as we are One: count our blessings and be grateful One Team, One Dream, Levelling Up to our Almighty God for everything. Together as we build an island of For the first time in the history of success and happiness. � Isla we achieved a debt free status in Q3. Since then, we maintained In this advent season, please allow a robust financial position with me to remind you of what symbolizes a sustained cash balance of P1B+ the 4 candles in the Christmas month on month. And wait, there’s wreath. HOPE, let’s continue to more! We are expecting to cap the hope for a better tomorrow and be a year exceeding our bottomline target whisperer of hope. PEACE, choose in NIAT by at least 10%. These major PEACE in every situation and be company accomplishments for the a channel of peace. JOY, be a joy year were made possible by the maker and not a joy killer. And lastly, strong teamwork and collaboration let LOVE occupy your heart always. of each member of Isla family who Life is short, spread love while you consistently demonstrated grit and still can. I wish you and your families tenacity as we traversed the roads a blessed Christmas and a safe, of 2021. The coming year 2022 healthy, and bountiful New Year! will be another challenging year as Nancie Rivera CFO ILC Mess Atsushi Onishi It is no secret to anyone that the year 202 been a difficult year. As this year draws to a CEO IPG to take the opportunity to look back on th turned out much different than we could ha before the start of the year. Indeed, the glob pandemic had left a trail of devastation in 2 expected 2021 would have been the reco and that things could be back to normal Unfortunately, the COVID-19 situation had ev and the government was forced to take strict impactful measures to ensure the safety of it addition to the immediate and grave health c have seen a much wider impact on all of our as the economy. ISLA LPG had not been spared. The domes suffered most with the volume decreasing 2020 under the prolonged economic difficu as a higher oil price. The commercial segme back to some extent as lockdown level has r eased but tourism is still non-existing and the far from recovery. The industrial segment w bright segment achieving a double-digit grow continuous new wins and development of fue While it was certainly challenging in many w showed how strong we are as a company. heightened safety and security measures, fos culture (we achieved 21-million-man hour w September!!), cashless payment, digital ma 1 The Official Internal E-Newsletter of Isla LPG THE ISLA CHRONICLES

Message from the 3Cs Message from the CEO (ILC) Ruben Domingo Saying that the 2021 is full of the network and the number of surprises is a euphemism for a showrooms and retail outlets was CEO ILC difficult year. Just when we thought increased by 400. As the points of that the Covid-19 crisis was already sale increase, so is the visibility of sage from the CEO (IPG) easing up in January, the second Solane as each outlet is properly wave of infections hit the country branded. The use of social media was 21 has again a stronger collaboration and innovation alongside our hard. And the next eight months maximized, making Solane the most a close, I like customers, from the small cylinder to the large project. I brought various miseries to our visible LPG brand in the digital world. he year that would also like to remind you of the special responsibility country and to the LPG industry; In addition, a web-based ordering ave imagined that a company like ours has at this time. LPG is essential our company was not spared. The system came on stream in October, bal COVID-19 to people’s lives. In moments like these, our purpose and combined effects of the prolonged with the objective of improving 2020 but we value matter a lot to the people and communities we serve. lockdowns, high unemployment customer ordering experience. overing year I was convinced that we could overcome the challenge, & underemployment rates, and show resilience, and maintain business continuity. expensive LPG had a toll on Two (2) new product offerings by its end. I would like to sincerely thank all of you for your hard the business. Despite all these, were launched this year: the 1.4kg volved further work, commitment, and dedication to keep it operating however, IPG organization showed cylinder and Instagas. These are ter and more and functioning successfully during these difficult times, its toughness, resilience, and very promising and exciting products ts citizens. In whether you are working at a plant or delivering products adaptability. which are primarily designed to concerns, we to our customers or creating new business or keeping penetrate the C-,D , and E markets. r lives as well our business running smoothly by working from home. Looking back at what we all went They are projected to have significant We could attain the budget plan by helping each other through, other companies would contributions in the coming years. stic segment to weather the pandemic. I am honored to be part of this be happy to simply stay afloat or, further from winning team and really grateful for your teamwork. perhaps, meet financial targets. Supply Chain, together with ulties as well As we move forward into 2022, I believe that the upcoming But the IPG spirit is more than just Technical and Contracts and ent recovered year will drive us to face renewed optimism and hope. about achieving targets; it’s the Procurement, did their share in recently been Once economic situation comes back to normal, our winning spirit which is contented increasing competitiveness of the e situation is industry is promising that there are many great things only when targets are exceeded. The company. The Palawan filling plant was the only ahead. May we continue to stand together and step in the latest estimate for the year shows was commissioned, the major repair wth, thanks to new year with many new aspirations. that we will most likely surpass the of the breasting dolphin in Sasa was el conversion. I wish you and your loved ones a peaceful, happy, and 2021 financial targets. Further, the completed, and the expansion of ways, it also safe holiday season and I look forward to working with company is now debt-free. These Anibong Terminal is on track for a . We’ve seen you next year as we strive to help bring the chaos of the are major feat and are attributable to May 2022 commissioning. Soon, we stering HSSE pandemic to a close. the quality of the men and women in will also see the re-fleeting of the bulk without LTI in the company. Kudos to all! hauling trucks thus, ensuring safety arketing, and and reliability of deliveries. And the Exceeding targets is something that biggest of all is the Luzon Terminal we should all be proud of. But what Project, which is now on the final makes me prouder is the fact that stages of approval. during a difficult year, we were able to put in place business infrastructure Finance, HR and Legal also had their and plans in order to sustain the own initiatives which will definitely growth and high performance of the contribute to the betterment of how company. Let me mention some of we do things in the organization. them. Exceeding targets and implementing The Sales organization was split various initiatives in a difficult year into 2 business segments, B2B are commendable achievements. and B2C, to have what we call the An even more commendable “power of focus”. The B2B segment achievement, however, is the continued its winning ways, securing solidarity of the staff; the close a total of 25 Industrial and 222 working relationship despite being Commercial accounts, and counting. far away from each other. It is so We have reasons to believe that heartwarming to see the whole IPG IPG has gained the status of being organization moving as one, pursuing the preferred LPG supplier by B2B one goal. This gives credence to the accounts and the Delivery Promise saying: “Kayang kaya kung sama program will help maintain that. sama.” The B2C and Marketing worked There is no doubt that IPG is on increasing both the Availability poised to sail on and catch of and Visibility of Solane. ___ the wind of growth. Thank you new distributors were added to to everyone! The Official Internal E-Newsletter of Isla LPG 2 THE ISLA CHRONICLES

HR related news and stories that are worth sharing YEARS IN SERVICE YEARS 35 Ruben Mario A. Domingo IN SERVICE Chief Executive Officer -ILC December 1, 2021 YEARS 15 Ramona Liza T. Jao HR Related News IN SERVICE Plant Operations Manager and STORIES May 16, 2021 that are worth sharing YEARS 10 Matthew Joshua A. Gonzales Isla Congratulate IN SERVICE Metal Manager The Long Service Awardees for 2021 June 16, 2021 The long service award is a token of appreciation given to an employee for working for the company over a certain length of time. It serves as a recognition for his/her loyalty to the Company. The long service awardees for the year 2021 are as follows: YEARS10 10 Congratulations to our long service awardees! May all of you IN SERVICE have more fruitful years of partnership with Isla Petroleum & Gas Group of Companies! Marvin Q. Dela Fuente Sales Operations Manager August 22, 2021 Bianca Carla G. Aniceto The Official Internal E-Newsletter of Isla LPG Channel & Trade Manager May 9, 2021 1 THE ISLA CHRONICLES

HR related news and stories that are worth sharing New Hire Corner Welcome to Isla family! TSUTOMU MORIKI ELDRIN PUNTO VIVIAN ROXAS LEE ANTHONY CHING NANCIE RIVERA Business Development Supply Chain Finance & Corporate Services Sales & Marketing Finance & Corporate Services January 20, 2020 February 1, 2020 February 11, 2020 July 1, 2020 August 1, 2020 NINA BELTRAN RENE HALLARSIS JAMES PATRICK VERDAN JOHN REYMOND BUEN BENEDICT LIBUNAO Sales & Marketing Supply Chain Supply Chain Sales & Marketing Sales & Marketing September 1, 2020 October 1, 2020 October 1, 2020 October 19, 2020 October 19, 2020 WENDY DANAN ANTONIETO LUCERO III REMON TAN EUGENIO MARVIN ESTRERA MARY JOY REGINA PUNZALAN Sales & Marketing Supply Chain Finance & Corporate Services Sales & Marketing Sales & Marketing December 16, 2020 January 11, 2021 April 1, 2021 April 5, 2021 April 5, 2021 RAY ANTHONY MARC GUILLERMO REYMART MONTIERRO FELICIA MARIE BUSTAMANTE JAMES ALLEN SALUNDAY CHIKASHI KAWAKAMI Technical & Engineering Technical & Engineering Sales & Marketing Sales & Marketing Business Development April 26, 2021 June 28, 2021 September 13, 2021 October 1, 2021 November 11, 2021 JOHN KENNETH CORALDE MA. MANNA FARREL PINTO Sales & Marketing Sales & Marketing December 1, 2021 December 13, 2021 The Official Internal E-Newsletter of Isla LPG 2 THE ISLA CHRONICLES

HR related news and stories that are worth sharing HR’S STRATEGY ON MAXIMIZING HUMAN POTENTIAL AT IPG (Based on Gallup studies on the future of work) Andy Pardo HR’s primary aim is to improve the employees’ engagement decreased by 2 points, from 22% in 2019 working experience in a way that maximizes their to 20% in 2020. human potential. Gallup recently discovered that comparing employees We recognize that employees expect clarity about who are engaged but not thriving in life (poor their role, opportunities to use their strengths, develop wellbeing) with those who are engaged and thriving a career, have strong coworker relationships, have (good wellbeing), those in the former group report a a voice in decisions that affect their work, and to much higher likelihood of burnout often or always, see their work contributing to an important mission and daily stress, worry, sadness, and anger. They are and purpose. They don’t want old-style top-down also more likely to suffer from health issues arising command-and-control bosses; instead, they want from depression and anxiety. This translates into big coaches who inspire them, communicate with them, differences in productivity. and develop their strengths. In other words, the mindset of leaders/managers is critical. To this end, managers Therefore, acknowledging and improving employee (including myself) are undergoing a program to equip wellbeing at Isla is more critical than ever. Increasingly, ourselves to be the coaches that employees need to leaders and managers must support mental health and bring out the best in them. cultivate resilience in employees – not just increase engagement and performance as detailed above. Such As coaches, managers are aiming to effectively will be the thrust of HR’s strategy beginning in 2022. To address the said employee expectations or critical this end, we will all strive to look after one another’s needs. In so doing, employee engagement, i.e., wellbeing and mental health by addressing the five involvement in, enthusiasm about, and commitment key elements of wellbeing: career, social, financial, to one’s team and the organization, is expected to physical and community. These five elements are increase. In turn, crucial performance outcomes such intercorrelated – they are independent dimensions of as turnover, safety incidents, work quality, customer life but also interdependent. It is nearly impossible to engagement, productivity, sales, and profitability are continually improve on any wellbeing goal if the other anticipated to improve. elements are not considered. The more of the five elements one is thriving in, the better is his health and Thankfully Isla employee engagement did increase work outcomes. based on the results of the Gallup Q12 Employee Engagement Survey. From 35% of employees Gallup finds that the most important element – and being engaged in November 2020, an increase the foundation for the other four – is career wellbeing to 44% was shown in July 2021. Hopefully because it touches all aspects of employees’ this in turn translates to some improvement lives, including their relationship, finances, health, in the said crucial performance outcomes. and standing in the community. Since employee However, as will be explained, the adverse effects of engagement is the single biggest driver of career the pandemic have shown that increasing employee wellbeing, employee engagement is essential for a engagement and improving performance are no thriving and resilient culture. An engaging workplace is longer enough, if we truly care about the welfare of the foundation for thriving wellbeing and overall mental employees. We must also support mental health and health. And since the manager alone accounts for 70% wellbeing and cultivate resilience in employees. of the variance in team engagement, our managers must lead the effort to cultivate employee wellbeing The health and social crises, as well as the economic and resilience. Again, to ensure success, this will be uncertainty brought about by the pandemic, have done with Gallup’s guidance. caused an increase in the incidence of mental health-related issues. More and more employees It is worth noting that the 2020 Gallup meta-analysis globally are found to be struggling or suffering in their found that during the past two major recessions, lives. Moreover, following a steady rise in engaged engagement has proven to be even more important employees globally from 2009 to 2019, employee than during good times. Business units are at an 1 The Official Internal E-Newsletter of Isla LPG THE ISLA CHRONICLES

HR related news and stories that are worth sharing increased advantage and more resilient – compared Scale. It answers the question, “How many employees with their peers – if engagement is high. And they in our company are suffering, struggling, or thriving?” Or are at an increased disadvantage and less resilient if “How are our employees making it through COVID-19 employee engagement is low. and its resulting health, social, and economic crises?” The tool assesses the current and future resiliency of Just as we can measure employee engagement (thru our workforce. With such tool, we will know whether we the Gallup Q12 Employee Engagement Survey), so can are making progress in our effort to cultivate employee we measure employee wellbeing. For this purpose, we wellbeing and resilience. can use the tool that Gallup offers – Best Possible Life Isla employees share how they cope with the pandemic The Official Internal E-Newsletter of Isla LPG 2 THE ISLA CHRONICLES

Making it easier for us -- Finance related updates and milestones MEakiAngSItIER FOR US Finance related updates and milestones Road to WD4 (Closing of Monthly Financial Book) What is the shortest distance between two points? The answer is 3 C’s – Clarity of Goal, Collaboration and Consistency. The road to close the books at Work Day (WD) 4 from before WD 8 is not always a straight line. We experienced broken lines and challenges in between but through the strong support and grit of each member, we delivered more than what is expected. This is a manifestation that WE keep on moving forward towards excellence and as ONE SOLANE. #dapatlang - Remon Tan, Financial & Treasury Manager Simplified and Updated MoA Another great news is the simplification of the MOA or Manual of Authority – a document that specifies the organization’s officers and their relative authority to approve transactions based on their level of position within the organization and the criteria to which the authority will be exercised. The document serves as a guide in the approval process. MOA is one of Isla’s controls documents. The principle followed in updating the MOA is to ensure BALANCE between ADEQUATE CONTROLS & OPERATIONAL EFFICIENCY. - Vivian Roxas, GRAC Manager 1 The Official Internal E-Newsletter of Isla LPG THE ISLA CHRONICLES

Making it easier for us -- Finance related updates and milestones Capex Automation System As a capital extensive company, we incur material capital expenditures or also termed as CAPEX (e.g., manifolds, pipelines, cylinders and tanks) for our various customers, as part of our mission to ensure that we deliver safe LPG solutions to our customers. And as part of our delivery promise to our customers, we need to ensure that the timing of project mobilization for our capex allocation should meet or exceed the expectation of our customers. But before we can mobilize, a capex request shall pass through a series of project evaluations and approvals (known as CAPEX REQUEST PROCESS) as part of our company’s internal policies and standards. However, the said process, just like any other processes, may take some time to complete. Incurring any delay in the execution of the process might affect our company’s reputation or worst, we may lose the customer. With this, the project team which consists of Rezon Ribaya and Cheryl Senia from Finance; JM Ocampo and Elizabeth Uy from Sales and Vivian Roxas our GRA manager, worked collaboratively with CPL IT Team, led by Ronnie Anteza and Jorrel Detaunan to develop a platform in which we can properly monitor and automate the current manual process. Prior to the development of this web-based platform, CAPEX request initiated by Sales Account Manager, as well as the approvals and support by various stakeholders are done manually via email. The manual process poses the risk that a request may be overlooked by the approvers. Tracking the status of his/her project in his inbox may also be a challenge for the requisitioner. And since there is a risk that we can incur delay during the execution of the process, we need to ensure that each stakeholder department is within the agreed SLA. With all of the said risks, the project team developed this new Capex Request Management System via Sharepoint which caters important features to achieve this project. The said project is now doing a parallel soft go live and will be fully implemented by January 2022. - Cheryl Senia, Financial Planning and Appraisal - Rezon Ribaya, Capex Analyst Auto-PO Project Went LIVE In a world where time is essential, there is no other option than to have our business running as smoothly as possible with PO (Purchase Order) Automation. Gone are the days of long waiting for your Purchase Order to be issued. Contracting and Procurement led by Jhoanna Delin launched its Auto-PO initiative last November 1, 2021. This process improvement is a call-off from an Outline Agreement which is being maintained and is being used to trigger automated PO transactions in NAV system. It requires an approved CSAP and a fully signed contract to be executed. This is already functioning for the vendors with a contract on Supply of Cylinder and Valves, Cylinder Reconditioning Services, Integrated Facilities Management, Security Services and Supply of LPG Appurtenances. The other areas in the pipeline are for the Supply of Biodegradable Seals, Preventive Maintenance Services, Logistics Services, Hauling Services, Supply of PPE Materials, Car Lease Services, Installations Services, Tank Fabrications Services, Supply of Office Forms and Supply of Marketing Collaterals. CP is targeting at least 40% of IPGG’s spends to be covered by Auto-PO by 2022 and will be fostered in the succeeding years. Simply link the PR to OA, Release the PR, Issue the PO and CHILL!!! - Jhoanna Delin, Sr. CP Executive The Official Internal E-Newsletter of Isla LPG 2 THE ISLA CHRONICLES

Making it easier for us -- Finance related updates and milestones Solenn for the collab of the year finally happened Solenn Heussaff has signed for a project that’s been a I can enjoy sharing moments with my family without long time coming – becoming Solane LPG’s new brand having to think of leaks.” ambassador. After signing a one-year contract set to Heussaff also attributes her love for cooking as a start that started in June this year, Heussaff revealed reason why she couldn’t say no to Solane. In her own that she had always wanted to represent the brand. kitchen, she enjoys experimenting and discovering “Ever since Solane changed their branding from new ways to use ingredients – even sharing her own Shellane back in 2012, people kept calling me Solane recipes on Instagram. And as a new mom, she finds or saying si Solenn ang dating Shellane,” she recalled cooking as a great way to bond with her daughter who, in between laughs. “When I found out about the offer, at one year old, already enjoys observing and helping I thought, finally!” in the kitchen. “Food brings people together. It helps you get to know Meanwhile, Isla LPG, the company behind Solane, is people more, and if there is anything we learned this just as happy to have Heussaff onboard. “We’re so [past] year, it is to value the people that surround us,” excited to have Solenn be a part of the Solane family. she said. She brings in so much passion, talent, and wit, and we Meanwhile, Heussaff’s relationship with husband can all relate to her one way or another as a parent, a Bolzico is one that many adore. The celebrity couple homeowner, or even as a home cook, ” Valeri Villano, constantly shares snippets of their life on Instagram – Marketing Manager of Isla LPG, expressed. videos of them pranking each other and just recently, Mau Ortiz-Dela Cruz, the company’s Communications about how they both forgot their anniversary – showing Manager, shared the same sentiment. “Solenn simply that they are just like every other couple and proving nails the different roles she takes in life, especially that that Heussaff is undeniably hilarious. No wonder so of being a wife and mom, so she’s just perfect for many people look up to the famous Wifezilla, including Solane LPG,” she remarked. the Brand Manager of Solane, Charen Natal. “As a An actress, painter, and make up artist by profession, celebrity, Solenn’s natural charm is hard to ignore, so multi-talented Heussaff is also known to her fans each time the idea of getting a new brand ambassador as a hands-on mom to Thylane Bolzico and a loving is discussed, we thought, It’s gotta be Solenn!” wife to Argentine entrepreneur Nico Bolzico. And with With a funny bone and the perfect name to boot, Solane’s commitment to protect families with safe and Heussaff’s videos that were produced for Solane secure kitchen fuel, Heussaff is proud to represent the featuring her husband Nico had truly been capturing country’s most trusted LPG. people’s attention and netizens just couldn’t get “My top priority in life is to take care of the people I love. enough of the witty and funny duo. Now, more than Their safety means the world to me and I will always ever, people are more aware that Solenn is indeed for make choices that protect that,” she shared. “I know Solane! Truly meant to be! with Solane I will not have to deal with accidents, and 1 The Official Internal E-Newsletter of Isla LPG THE ISLA CHRONICLES

Making it easier for us -- Finance related updates and milestones r Solane The Official Internal E-Newsletter of Isla LPG 2 THE ISLA CHRONICLES