We believe it is important to meet the demand for energy in a safe and environmentally responsible manner. We promote a systematic approach to continuous improvement in environmental management and health, safety and social performance.

Freehold Royalty Trust has no employees. The Trust's operations are managed by Rife Resources Management Ltd. Rife and Freehold share a comprehensive environment, health & safety program that includes policies and procedures designed to protect the environment, health and safety of employees, contractors and the public. Rife assesses environmental, health and safety liabilities and exposure through pre-acquisition due diligence and regular site assessments and audits. Environmental, health and safety exposures are tracked and addressed with short and long term initiatives. These initiatives include comprehensive training programs for employees and contractors; a contractor management program; engineering and purchasing controls; spill, release control, mitigation emergency preparedness; hazard and risk assessment; effective communication systems; integrity management; and incident investigation.

Rife also participates in the Alberta Human Resources and Employment's Partnerships in Health and Safety Program, and received a Certificate of Recognition (COR) after completing the required independent safety audits in 2006 and 2009. Rife will continue to participate in the Partnership program, which requires an external audit every three years. Rife also participates in the Canadian GHG Challenge Resgistry. Canada's only voluntary publicly-accessible national registry of greenhouse gas baselines, targets, and reductions. Rife was a Gold Champion Level Reporter in 2009.

All of Freehold's properties are operated by other companies, and we expect our operators to meet or exceed regulatory requirements. As a member of the Canadian Association of Petroleum Producers (CAPP), we also encourage our operators to participate and excel in the CAPP Stewardship Program by aligning their operations with industry best practices.

Freehold supports the community by donating to registered charities and not-for-profit organizations. We are especially supportive of local charitable organizations addressing education, health, and community services focused on the needs of children and families that will value and benefit from Freehold's annual funding commitment.