Norwegian Code of Practise:

• The Board of Directors must ensure the company has sound internal controls and systems for risk management that are appropriate in relation to the extent and nature of the company's activities. Internal control and the systems should also encompass the company's corporate values and ethical guidelines.
• The board of directors should carry out an annual review of the company's most important areas of exposure to risk and its internal control arrangements.
• The board of directors should provide an account in the annual report of the main features of the company's internal control and risk management systems as they relate to the company's financial reporting.

The Board of Directors and internal control

Management draws up monthly performance reports that are sent to and reviewed by the directors. Moreover, quarterly financial reports, risk reports and HSE reports are drawn up and all are subject to review at the quarterly Board meetings.

The Board's annual review

The Board of Directors undertakes an annual review of the risk and HSE situation. This is done in connection with reviewing the preliminary accounts in early February. The auditor also attends this meeting. This review is in addition to the quarterly reviews.

The Board's reporting

The Board of Directors presents an in-depth review of the company's financial status in the Directors' Report. It also describes the main elements related to HSE and risk. Further, there is a statement about internal control activities under the heading ‘Organisation and Governance’ on page 102 of the Annual and Sustainability Report (find link on your right hand side).

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