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THE PACIFIC INSPECTION J. S.

COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

To: INCOMBANK ASIA INSURANCE – HOCHIMINH CITY BRANCH


5th floor, Thienson office building,
5 Nguyen Gia Thieu Street, District 3, Hochiminh City, Vietnam
Attn.: Mr. Nguyen Quoc Bao – Marketing Deputy Manager
Ms. Pham Thuy Linh

Date: Jan. 24, 2007 Ref. No. 13974E/HCM

RISK ASSESSMENT REPORT

RISK: AMANDA FOODS VIETNAM LTD. (ASV)

ADDRESS: 102/6 Amata road, Amata Industrial park, Long binh ward,
Bien hoa city, Dong nai province, Vietnam

OCCUPATION: PRODUCE SEAFOODS FOR EXPORT

DATE OF SURVEY: Jan. 10, 2007

AUDITORS: Mr. Pham Minh Nguyen

ASSESS RISKS: P.A.R

1. GENERAL DESCRIPTION:

The Amanda Seafoods Vietnam Ltd. (ASV) factory locates on a high land area of Amata
Industrial Park - Dong nai province, which was built and put in operation at the end of
2003 with a FDI value reportedly approx. 12 millions. The entire ASV’s buildings and
ancillary areas are properly designated for seafoods production process that constructed
through two phases: the first phase was completed in Sept. 2003 and the second phase was
put into operation at the end of 2005. The factory annual capacity is approx. 10.000 tons of
finished products, or more.
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 2
The main raw material is shrimps supplied by domestic market, and the finished products
are variable types of frozen fresh shrimp, cooked or breaded shrimp products. All the
finished products are exported to the US, Japan or Asia countries – so, all of them are
produced to the highest quality and hygiene standards to meet requirements in all sectors of
the market in such countries. The ASV had been accredited with ISO 9001:200, BRC,
ACC, high level of processing and packing of raw cooked & coated seafoods, etc...

As limitation in photo taken under ASV policy, so we could not give enough photos in the
processing areas.

2. BUILDING DESCRIPTION:

The risk locates on a high land area (from 30m to 40m above the sea water level) of Amata
Industrial Park, Dong nai province, Vietnam - approx. 2 km away from the national road
No.1A, approx. 30 km from Hochiminh City. Locating in an area approx. 20,000 sqr.m.,
the factory consists of a main production and store complex building that constructed
through both phases, an office building, a plant room and workshop area.

Details could be briefly summarized as followings:

- Plant room - approx. 350 sqr.m single storey building: constructed by pre-engineered
steel framework supporting on reinforced concrete foundation system, masonry brick
wall and partitions, insulated roofing panel, where assemble refrigerator and water
cooling system, isolated transformer and switch room, etc. From this location, the entire
refrigerant and chilled water, electric cables, etc. are connected to all the functional
rooms and areas of risk through designated steel trays and supports.

- Cold storage building – approx. 1.600 sqr.m two storey building: locates to the South
East end of risk, adjacent to the plant room and one end of the extension process
building, constructed by reinforced concrete foundation and pre-engineered steel
framework system. The entire wall / partitions / ceilings are polystyrene foam
insulations panels that supported by studs / furring attach to the steel framework by
steel wires, shackles and turnbuckles. It’s covered by light gage corrugated roofing
panels and insulation supporting on the steel truss system. The ground floor is occupied
as cold storage rooms with appropriate features, and the 1st floor occupied as packing
storage area and store office.
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 3
- Main process building - phase 1: approx. 4.200 sqr.m single storey building locates at
the center area of risk, constructed by reinforced concrete foundation and pre-
engineered steel framework system. The walls / partitions / ceilings are polystyrene
foam insulations panels that supported by studs attach to the steel framework by steel
wires, shackles and turnbuckles or steel framework, while the roof is light gage
corrugated roofing panels supporting on the steel truss system with insulations. It forms
a suspended ceiling where supporting functional systems such as: electrical wirings, air
/ chilled water / refrigerant conductions, AHU/FCU piping system, etc. The most of
frozen and prime cooking processes is arranged there within this building, so it is
distributed into many compartments as appropriate for their occupancies: shrimp
receiving area, deheading area, main processing area, raw IQF area, raw packing area,
cooker room and cooking IQF area, freezing areas, nobashi area, etc. The all of raw
frozen and cooked frozen production area is arranged in this area. The ambient
atmosphere and hygiene within this area are closely controlled that meet requirements
of ACC and high level accreditations. A roofed corridor of approx. 5m wide separates
the building and services area, while it’s fully communicated to the processing
extension area as well as cold warehouse.

- Process building – phase 2 extension area: two storey building of approx. 2.100 sqr.m
locates to the South West of risk and adjacent to the main processing building,
constructed by reinforced concrete foundation and pre-engineered steel framework
system. The walls / partitions / ceilings are polystyrene foam insulations panels
attached to the steel framework system or masonry brick walls, and the roof is insulated
light gage roofing panels supporting on the steel truss system. The most of “add value”
processing lines is arranged on the floor of this area, consist of raw nobashi process,
cooking process, breading process, frying process, cooked sushi process as well as
associated freezing and pre-packing area. The 1st floor is occupied as staff changing
rooms.

- Office building – approx. 360 sqr.m. a two storey building that constructs on reinforced
concrete frameworks system with glass embedded masonry brick walls or partitions,
gypsum board ceiling and corrugated roofing panel with insulations. There is an escape
walkway is constructed at inner end of building, and communicates the 1st floor of
office building to the 1st floor of the processing extension area as well.

- Services area: consist of canteen & kitchen, LPG station, first aids room, laundry room,
etc. locates to the North West corner of risk, isolated to the main process building by a
covered access way of approx. 5m (W) or masonry brick wall, with details:
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 4
. Canteen and laundry room: approx. 420 sqr.m. in sum, as an isolated part of main
process building, separated by brick walls, and covered by corrugated panel roofing
with insulation.

. Kitchen: single storey, as extension area of main building in area of approx. 200
sqr.m. fully isolated via canteen room and internal assess way.

. LPG station: locates outside of the kitchen, along the internal road, well ventilated

- Motor parking shed: open type, locates at the corner of risk, fully separated by internal
road of approx. 6m (W)

- Water treatment & fire station: locates at the rear end of risk, where treating the supply
water before entry into the internal supply grid.

- Solid waste station: well separated from the functional buildings.

In short, they are fully segregated by the internal roads of approx. 6-meter (W) or internal
assess way of approx. 4m (W) or fire resistant brick walls or partitions. The all of buildings
are fully protected by a border fences of brick walls approx. 3.0-meter height and finished
with barbed wires net on top.

Generally, the risk constructed by non-combustible materials, appeared in excellent


condition without evidence of cracking, or penetration or ground sliding or subsides. The
elevation within the risk is large variable that contributes a good manner for the sewage
water system. The waste water is drained into separated tanks, and then pump to deliver
the waste water treatment system of Amata Industrial Park.

It was informed that no historical fire, lightning, flood or other allied peril occurred from
time of its first operations. The lightning counter was checked and found no historical
lightning recorded.

Comment:
In general, sea food processing industry is a low hazard process, but highest standards
need to be applied as the all of raw material, semi-finished and finished products have to
be maintained in a highest hygiene and clean atmospheres. The seafood processing
industry is especially sensitive to damage from fire, smoke, heat, or water due to their
contaminating aspects. The contamination matter is outstanding loss potential common to
all food processing and handling facilities. Fires that cause relatively minor damage in
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 5
other industries can cause extremely high amounts of damage to seafood items, since
health authorities or customer often condemn items exposed to smoke, heat, water, or air
even when no damage is visible.

3. HAZARDOUS MATERIALS / FLAMMABLE LIQUID & GASES:

Generally, in the seafood processing industry, no considerable quantity of highly hazard


liquid or gas exist. However, as the main refrigerant within the risk is anhydrous ammonia,
so their associated hazards should be carefully considered, as it is volatile and toxic that
can contaminate food and otherwise damage equipment and stock. At normal temperatures,
anhydrous ammonia gas weighs about 0.6 times as much as air. The characteristic pungent
odor and irritant properties of anhydrous ammonia serve as warnings for this relatively
toxic gas. However, the effectiveness of the warning depends upon the rate of release.
Large clouds of ammonia gas have been rapidly produced from large liquid leaks, so that
people have been trapped and killed before they could evacuate the area is a matter.

The anhydrous ammonia tanks with overpressure protection devices is located in the plant
room, properly arranged on a high place, well ventilated is a positive point on designation.

Regarding to others hazardous materials, upon check overall the risk, we note:

- 08 compressed cylinders of liquefied carbon dioxide gas (CO2 – 50 kg/cylinder) that


designated for the fire extinguishing system of the fryer. In brief, it’s a good type of fire
extinguisher, but being toxic gas, while the cylinder is directly arranged in the breading
and frying room of extension area. We would note that this location is air conditioned
room, fully controlled on the atmosphere and ventilation. So, the potential hazard of
sudden leaking such toxic gas (CO2) should be strictly controlled, as escaping of CO2
gas will close the evacuation of persons, who working in this room.

- The quantity of industrial alcohol or chlorine solutions that storing in the chemical
warehouse for the purpose of sterilizes and surface cleaning in the processing areas is
minor, as they are packed in plastic can of 20 litter each that stored in the store.

- The diesel fuel supplying for emergency generator and boilers are stored in two above-
ground storage tank of cylindrical type, maximum capacity of 10,000 litter each that
locate in front of plant room and close to the oil filling station at rear. In general, the
public grid power is rather stable, and this generator is rarely to be operated.
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 6
- No large laboratory is designated in the risk, and just some small test on the hygiene
specification of product performing here in the Company.

- The cooking is available in the canteen area only, where LPG cylinders (10 cylinders *
50kg type) are stored outside the kitchen, close to the wall. The LPG storage area is
arranged in an open area, well venting location, and considered proper for safety
requirements. However, portable fire extinguishers need to be added for this area.

In brief, the main materials and finished products within the risk are non-combustible, but
being seafood and so, request very high purity and hygiene, as they are sensitive / very
expensive products that might easily suffered from fire, water or smoke damages.

4. PROCESS:

The main processing within the risk could be briefly summarized as followings:

- Prime processes: the raw material, variable types of shrimps, is delivered into the
receiving area as first input step. From there, the shrimps are passed the deheading area
and main processing area, where they area washed, handy peel off the shell and head (if
necessary) before transfer to other production areas up to designated purposes and
production type.

- Cooking and freezing: the material to be cooked by steam cooker facilities, delivered to
cooking IQF area, where they area freeze, before packed and stored in the cold store.

- Fresh freezing: the fresh shrimps are delivered to raw IQF area, then packed and stored
in the cold store.

- Nobashi and other add value processes: in order to supply cooked and other
productions as market requirements, the raw fresh materials can be cooked, or breaded
and fried, etc. for processed products, freeze and packed before storing.

- After packing, all the products will be stored in the cold warehouses on the designated
racking area, where the temperature is controlled from – 8 deg. C to – 20 deg. C

Generally, the entire process is carried out under controlled low temperature atmosphere
(from 8 to 10 deg.C) and high hygiene status, only concerned with special industrial
facilities for steaming / cooking / frying that considered as low risk plants. The
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 7
transportation in the warehousing area is performed by electric forklifts that specially
designated to work in the cold warehouse in order to keep overall hygiene atmospheres.

5. ELECTRICAL SUPPLY & INSTALLATION:

5.1. Electric supply and installation:

The high voltage source from the public grid supplies the electric power within the risk via
an own transformer station of 2.500 kVA. From there, partially underground electric cables
conducts to the end loads overall the risk. All the conduction cables wires to the production
areas are via the top of ceiling, where properly ducted and equipped with fire detector
system.

One standby generator of 250 kVA is additionally installs that ensure the power supply for
the entire cold storage system once public grid shut off. This emergency power also
supplies power for the fire water pump as well. However, as the risk locates in the Amata
IP, so the power supply is rather good and stable. Once the public source is shut down, the
second power source will be supplied from the power station of Amata industrial park, so
the risk own standby generator is only the third power source.

The lighting system equipped within the risk are protected fluorescent lamps internal
buildings, in combination with protected high power incandescent lamps along the internal
roads and around the buildings that considered in good working / proper maintenance
status.

5.2. Lightning system installation:

One Dyna sphere type of early streamer emission air terminators with design protective
radius of approx. 100m could cover the entire area of all blocks, which locating on the top
mast close to main building. It’s checked and found in good / serviceable condition, but
likely not to be measured ground resistant for a long.

It’s assembled with a lightning counter, but no lightning time recorded. It’s likely
unreasonable, as the system is assembled with early streamer emission air terminators that
designated for direct early attract lightning, and Dong nai province is a high lightning
density area of Viet nam. So, the system should be periodically checked, not only for the
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 8
grounding resistant of lightning system meet local standard requirements, but also for the
lightning counter.

All the main electrical installations are properly grounded.

6. OTHER UTILITIES:

- Two steam boilers of small type, diesel oil consume – Martech M500, capacity 500
kgs/hr, maximum working pressure 10.0 kgf/sqr.cm, normal working pressure from 7.0
to 8.0 kgf/sqr.cm – are assembled in the risk. They are assembled in the fully separated
rooms, well vented area, and properly operated.

- Water supply system: the water supply within the risk is drawn from the public main,
stored in the supply water tanks at rear, properly treated for water hygiene requirements
before piping to the end users overall the risk.

- Waste water treatment system: the solid wastes is stored in the waste storage area for
daily refuse collection services, while the liquid waste water is drained into waste water
tanks before automatically transferred to the waste water treatment center of the
industrial park, where it is properly treated.

7. PLANT & MACHINERIES:

Most of the machines in the seafood process are low hazardous machineries. Carefully
check the entire process plant and machineries, we found they are entirely specialized
types that designated to meet requirements of IP standards (protections against dust and
water), and fit for seafood production process.

However, no operation guidelines is prepared (neither in English nor Vietnamese


language) is found on the control panel of plant within the process equipments - that
considered a negative point should be improved.

The entire refrigeration plants are located in the separated plant room, cut off from main
building by 20cm thick brick wall that considered meet the safety construction
requirements. On top of the chiller control room, the water-cooling towers and condenser
units supporting on the reinforced concrete floor that considered good designation.

8. PERSONEL & SECURITY:


THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 9
The daily working period within the risk is distributed into three shifts, seven days a week.
Approx. 1,500 employees work within the risk, and most of them are the local persons, do
the job in the period or long term contract basis. The permanent labors are limited, but in
the harvest time, the period employee quantity might be reached to 1,800 or more, up to
production requirements. The uniform of employee are separated by type and color, which
enable the process team leader to control illegal access is a good point for own security.

The risk is completely and effectively border fenced, and well lighting at night. The
constant security is hold by risk own security force with minimum 8 security men keep
duty on site all times. The risk security is supervised by one person on the gate, and other
seven security in charge at the 7 station around the building entrances. At night, the
security patrol is properly arranged with frequency reportedly of approx. 30 minutes that
considered good. In brief, the security within the risk considered very good.

The internal communication equipments of security are switchboard telephone and


handheld transceivers is excellent, but need to state a common channel to contact with
workshop personal in emergency.

In general, the labor relationship and working condition in the risk considered being good.

9. FIRE TEAM & EXTINGUISHING APPLIANCES:

9.1. Fire protection & fighting appliances:

The fire fighting appliances within the risk consisted of:

- A system of fire hydrant / fire cabinet / hose and nozzle conducting fire fighting water
that supplying from water fire pump regularly arrange overall the risk’s internal road
and in all the buildings. Two fire water tanks of 217.6 cu.m each are ready to serve for
extinguishing purposes. Two fire pumps consist of an electrical pump and a self-driven
pump, and another jockey pump keep duty to supply fire water to the fire hydrant
system. The fire pump system is visually in good working condition, checked and
found in standby status – but some of cabinets outside the buildings, along the internal
road appeared without nozzles need to be added.

- The smoke detectors system is installed protecting overall the office building and main
buildings that distributed into variable protective zones covering overall the risk. All
the smoke detectors break glass alarm switches wired to the central fire control panels
locating on the main gate security room, where always under watch of security. The all
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 10
the evacuation exit door are also switched to the security center that enable the security
force to supervise the evacuation door status and control in all situations. However, we
did checked and found the smoke detectors of the main building zone are
malfunctioned but not yet be repaired. We were advised that this fire detector system is
still under warranty, which can be repaired soonest – and accept the schedule of ASV,
but would note that the malfunction of fire detector system in production areas of
seafood process factory are regularly occurrence due to high moisture and low
temperature condition there, hence the fire detector system need to be checked and
repair in time, especially for the sensor laying on the ceiling structures or closet areas.

- The hydrant and hose reels cabinet as well as break glass switches, evacuation exit
lamps, emergency bell, portable and wheeled extinguishers, etc. properly arranged
around the areas. However, the key of fire box within the process building need to be
warned that convenient for respond in emergency.

9.2. Public fire brigade:

The nearest public fire brigade is located about 4 km away from the risk. The turnout time
is estimated within 7 to 10 minutes, and the traffic along the main access road from the fire
brigade to the risk is considered low.

The nearest public fire hydrant is approx. 300 meter away the risk, along the IP road No.2.

9.3. Private fire team:

The fire team based on the security team and the risk own employees. They are annually
trained the Fire fighting courses held by local public fire brigade. The latest fire drill – held
under association with local fire brigade – was done in June 2006. In short, the private fire
team properly held and trained, meet requirement of local fire codes.

10. HOUSEKEEPING:

The “No smoking” policy is applied overall the risk area, which checked and recorded to
be well enforcing.
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 11
Overall cleanliness within the building is considered very well. Office and industrial solid
waste are disposed and collected to the refuse collection areas, and daily removed by the IP
public dumper. The wastewater treatment system uses common system of Amata industrial
park.

The equipment and installations constantly maintained by their own technicians, and
appeared in serviceable condition.

As customary in the human food processing, especially more strictly for the seafood that
have to be passed by Importer’s national department of health and safety (i.e. FDA), the
cleanliness and industrial hygiene in the process building is considered excellent.

11. ALLIED PERILS / SURROUNDING EXPOSURE:

The risk located on a highland of Dong nai province, the ground elevator of risk land is
high variable, hence the flooding hazard is low. The site water drain and waste disposal
system found in clear and good condition. The location of the risk is approx. 30 km away
from the Tan son nhat Airport and far of landing route, in the designed industrial park, so
the aircraft impact considered being very low. The risk of internal impact is low also, as
the entire ramp sections of internal road did warned with zebra painting on the protection
bars.

The building structure appeared in excellent condition without crack or wall split, and the
building subsidence or landslide damage considered low.

No historical of labor unrest, strike or malicious, lightning or fire damage was recorded.

The borders of risk are well separated the factory from the neighboring. The bush fires and
surrounding exposure hazard is regarded as low.

12. RECOMMENDATIONS:

Generally, the risk management work within the Company is regarded as very good, where
we can find the own “Safety handbook” had issued and distributed for the employees,
where stated almost the main hazardous field: alcohol & drug policy, work (hot / live /
ammonia / scaffolding) permits, excavations, housekeeping, ladder, PPE, etc.
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 12
For the risk betterment as well as well improve the current risk managements, we would
like to recommend as followings:

- During survey, we could not find the breathing apparatus in the plant room. We would
note that the anhydrous ammonia tanks of approx. 10 cu.m. or more is assembled there
in this room, and such refrigerant is soluble and toxics gas. Because of its pronounced
solubility in water, the spread of escaping anhydrous ammonia gas can be readily
controlled by water spray. If hose streams are used, the toxic and inerting properties of
anhydrous ammonia require fire fighters have to use protective breathing apparatus.
Where liquid contact is likely, full protective clothing should be worn. If release of
liquid in cryogenic form occurs, pooling is possible and application of water to pools
should be avoided, unless the vapors can be controlled, in order to prevent increasing
vaporization rate. So, the personal breathing apparatus should be equipped – at least for
the plant room – and located at a convenient places, and properly marked.

- The sight-glasses of diesel oil tanks are not properly assembled. The tanks are
designated with permanent sight-glass, and actually on site, they are used by the a
plastic pipe section. Such usage is still safe in normal operation status, but will become
source of diesel leaking and potentially associated fire spreading hazards. So, they
should be replaced by protected sight glass that use to use for aboveground oil tanks.
Beside, the use of liquid level sensor of civil type should be considered further. Such
usage of civil type sensor / radar can be a large hazards in the hazardous area of
flammable storage tank, and so, they should be replaced by protected type.

- The canteen’s pantry atmosphere is reportedly become hot during cooking time. We did
checked and found this room is assembled with electrical venting system, well cleaned
after finishing cooking work. The fire hazard in kitchen is frequently associated with
the high temperature, and accumulation of oil in the venting trunks, and illegal
smoking. The LPG is locates not far from the pantry, but the closest fire extinguishers
available on site is along the entrance corridor or approx. 35m away from the pantry.
That is why, we considered that it’s necessary to add two BC powder fire extinguishers
for this area, which should be located in convenient place to access and serve for the
both the pantry room and LPG station. Beside, a proper fire blanket should be equipped
in the pantry.

- Its low hazardous for cold storing structure and machineries, but no automatic fire
sprinkler system assembled there, and the electrical fault could be the major cause of
fire. The arrangement of chillers and condensers / cooling water towers is considered
excellent with adequate electrical load distributions, but frequently check, test and
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 13
measures are necessary. Beside, all the electric switchboards and facilities in processing
areas are always resist under large temperature variables and high moistening ambient
that need to be frequently checked, timely repaired, and carefully logged as evidences
of proper maintenance work. Beside, in order to prevent labor negligence, it necessity
to prepare operate instructions of process plant in Vietnamese and mount on the
operation panel.

- The lightning arrestor system should be annually measured, and results recorded.

- The frequently security and fire detection is the most considerably point to care. It is
very essential in the potential areas such as suspended ceiling of the process building,
material stores. The smoke detection system is rather good, which checked and found
in good working status. However, the sensor of main process building is malfunction at
time of our survey. We agreed that as humidity ambient in the processing areas, the
smoke detector sensor or glass break switches in this area may got short circuit and
frequently export the false warning signal – but such defect of fire detective system
should be timely repaired in order to keep the buildings under full protection status. We
would note that this system is essential for the suspended ceiling areas and the packing
material warehouse.

- Generally in almost the seafood process factories, the potential fire hazards are always
associated with the packing materials and management – and other risks are exploding
of boiler, leaking of toxic refrigerants, etc. Almost the portable fire extinguishers within
the risk are in good condition, which are properly arranged overall the suspended
ceiling and processing areas, and others locations that enable a fully and quickly
accessibility, not to be obstructed. Most of paperboard and plastic packing materials
are stored in the material warehouse on the 1st floor of extension area, but the portable
fire extinguisher arrangement there is considered lack. That is why; it’s necessity to add
some portable fire extinguishers for this location, which also meet requirement of local
fire brigade: “add 6 CO2 and 6 BC powder cylinders for the packing material
warehouse”.

- The fire pump and fire water system is regarded as good maintenance status, but a
number of fire nozzle of cabinet along the internal road are lack or missed. So, the
entire fire cabinet along the road should be checked and supplied with proper hoses and
nozzle.

- All of fire cabinets inside the functional processing areas should be periodically washed
to meet hygiene requirements, and their key socket need to be marked with warning
THE PACIFIC INSPECTION J. S. COMPANY
Head office: 71& 73 - Le Quoc Hung Street - District 4 - Hochiminh City - Vietnam
Tel: (84.8) 8.26.27.88 Fax: (84.8) 8.26.27.99 E-mail: picotech@ hcm.fpt.vn
ISO 9001 : 2000

No. 13974E/HCM
Page 14
sign in Vietnamese in order to enable for labors timely usage in the first stages of fire,
if any.

The purpose of this survey is to identify and evaluate various types of hazards
associated with the risk operation and provide appropriate risk recommendations to
improve the current risk status. We conducted this survey as thorough as possible
though, we regret we are unable to cover every aspect of the risk operations due to time
constraints, as well as to the lack of information in certain areas.

We believe that the comments contained herein would assist you in the implementation
of your loss prevention and/or risk management programs. This report is only for an
advisory purpose and PICO is not bound by any act or neglect in connection with the
issuing of this report.

Deputy Manager,

Pham Minh Nguyen

Attachment:
- One set of photos
- Documents supplied by ASV

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