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05<br />
INSIDE<br />
Danni Bancroft is<br />
the People’s Choice<br />
VTEC Graduates<br />
shine at Thiess<br />
Unlocking Potential<br />
<strong>Fortescue</strong><br />
storms Wall<br />
Street<br />
A close shave for a<br />
good cause
A message<br />
from our<br />
CEO, Nev<br />
Welcome to the latest<br />
issue of Breakthrough.<br />
It’s hard to believe we’re<br />
only four months into the<br />
year given the number of<br />
milestones we’ve already<br />
accomplished.<br />
It’s a big year for all of us as we<br />
power ahead with our expansion to<br />
155 million tonnes a year.<br />
We may be a young company,<br />
but the rapid expansion of our<br />
operations in the Pilbara is one of<br />
the biggest development projects<br />
in the Australian resources sector.<br />
Since the board approved the $US8.4<br />
billion investment in late 2010, the<br />
commitment of all of you to turn<br />
our vision into reality has been<br />
extraordinary.<br />
It isn’t easy, with plenty of challenges<br />
to overcome, including two cyclones<br />
this year. But I’m proud to say that<br />
as construction approaches the half<br />
way mark, T155 remains on budget<br />
and on schedule.<br />
It’s a tremendous effort. But as we<br />
strive to meet many more milestones<br />
this year, let’s not forget the ongoing<br />
commitment of our operations team.<br />
The key to our growth is the world<br />
class infrastructure established<br />
by <strong>Fortescue</strong> in the Pilbara. Our<br />
operations are now producing iron<br />
ore at a rate of around 55 million<br />
tonnes a year, providing us with the<br />
cashflow to help fund an expansion<br />
that will establish <strong>Fortescue</strong> as one of<br />
the world’s major mining companies.<br />
2<br />
The strong performance of our<br />
operations team underpinned<br />
<strong>Fortescue</strong>’s profit for the six months<br />
to December 31 of $US801 million<br />
and enabled the Board to declare a<br />
fully franked interim dividend of 4<br />
cents a share.<br />
Cashflow is a major component of<br />
our funding of T155. But the scale of<br />
the project means we also need to<br />
borrow from overseas debt markets.<br />
I want to take this opportunity<br />
to congratulate the fantastic<br />
performance of our finance team<br />
led by our Chief Financial Officer<br />
Stephen Pearce on their recent $US2<br />
billion bond raising in the US.<br />
Stephen and his team not only<br />
secured us the funds to complete<br />
T155 and acquire related mining<br />
equipment, they provided certainty<br />
for <strong>Fortescue</strong> as we move into the<br />
second half of our expansion.<br />
The positive response Stephen<br />
and his team received in New<br />
York – the offering was five times<br />
oversubscribed - also reflects the<br />
strength of <strong>Fortescue</strong>’s reputation in<br />
financial markets.<br />
As I already mentioned, we’ve<br />
endured two cyclones this year,<br />
Heidi in January and Lua last month.<br />
Fortunately, we emerged from Lua<br />
relatively unscathed, but I would like<br />
to applaud the efforts of everyone<br />
Nev presents VTEC trainee Brian<br />
Enoch with his certificate during<br />
a recent graduation celebration at<br />
the Perth office<br />
involved in preparing our people and<br />
our operations for what could have<br />
been a destructive storm.<br />
As we focus on milestones,<br />
our Indigenous Employee and<br />
Engagement Strategy Committee<br />
has achieved some amazing results<br />
this year. I’m proud to say that at<br />
the end of March, Aboriginal people<br />
comprised more than 10 per cent of<br />
<strong>Fortescue</strong>’s workforce. It’s a number<br />
that is only going to get higher given<br />
the inspiring trainees that continue<br />
to graduate from our VTEC training<br />
programs in Port Hedland and<br />
Roebourne. I attended a graduation<br />
ceremony in Roebourne in late<br />
March and saw the life changing<br />
impact VTEC is having on our new<br />
recruits. It was a fantastic day and<br />
we welcome all of you into the<br />
<strong>Fortescue</strong> family.<br />
I would also like to congratulate<br />
Danni Bancroft for her People’s<br />
Choice award at the recent Chamber<br />
of Minerals and Energy’s Women in<br />
Resources Awards. <strong>Fortescue</strong> people<br />
are clearly kicking goals in all parts of<br />
our organisation.<br />
As I said earlier, we’re only four<br />
months into the year and we’re off<br />
to a flying start. Let’s keep up the<br />
outstanding work as we hit all our<br />
milestones in the months ahead.
<strong>Fortescue</strong> storms<br />
Wall Street<br />
<strong>Fortescue</strong>’s Funding team<br />
launched a US$1bn bond<br />
offer on Tuesday 27th<br />
March. The US, Australian,<br />
Asian and European<br />
markets leapt at the offer,<br />
with orders recieved from<br />
over 300 investors totalling<br />
almost $US5bn.<br />
The overwhelming response<br />
enabled <strong>Fortescue</strong> to double the<br />
initial offering size to US$2bn and<br />
Danni lights the way for<br />
Women in Resources<br />
Congratulations to Danni Bancroft<br />
- the 2012 People’s Choice at the<br />
Chamber of Minerals and Energy’s<br />
Women in Resources Awards in the<br />
category Outstanding Technician/<br />
Operator/Trade Woman.<br />
Danni, or “Bangas” as her work mates<br />
know her, has been with <strong>Fortescue</strong><br />
since late 2008. During a career<br />
spanning 10 years so far she has<br />
been a very strong advocate for<br />
women in mining in many facets of<br />
the WA resources industry.<br />
Danni has set the highest of work<br />
standards for her colleagues. In her<br />
workplace and in the community<br />
Danni’s family values, integrity,<br />
enthusiasm and sheer determination<br />
make her a great role model for<br />
women in mining.<br />
Danni is excited about the impact<br />
the awards could have on our<br />
reduce the interest rate to a very<br />
competitive price. The final offering<br />
was $US1bn of 5 year bonds at<br />
our all time low interest rate of 6%<br />
and US$1bn of 10 year bonds at an<br />
interest rate of 6.875%.<br />
<strong>Fortescue</strong> has now raised US$7bn in<br />
high yield bonds since October 2010,<br />
making us one of the largest issuers<br />
of these types of bonds in the world.<br />
The main purpose of the funds raised<br />
is to fund our US$8.4bn expansion to<br />
155mtpa.<br />
Danni is thrilled to have been<br />
recognised by her peers<br />
industry. “It’s great to see that CME<br />
are recognising the huge input<br />
females are having on the resources<br />
sector. I’m passionate about change<br />
in mining, and accepting more<br />
women in the workplace. We are<br />
proving we are just as capable as<br />
our male counterparts and that we<br />
add balance to a FIFO and general<br />
mining community,” she said.<br />
3<br />
L-R Grace Chan, Heather Wilson, Emma<br />
Harris, Kourtney Dowling and Kelli-Anne<br />
Beattie enjoy a cupcake in Perth<br />
Connecting<br />
women,<br />
inspiring<br />
futures<br />
International Women’s Day has<br />
been recognised since 1910,<br />
two years after the courageous<br />
suffragettes won the right<br />
for women to vote. The day,<br />
which historically was used to<br />
campaign for women’s rights<br />
to work, vote, be trained,<br />
to hold public office and<br />
end discrimination, is now a<br />
reminder - of how far we have<br />
come, and that there are still<br />
things to be done to ensure<br />
women’s equality is gained and<br />
maintained in all aspects of life.<br />
Annually on 8th March,<br />
thousands of events are held<br />
across the globe to celebrate<br />
the achievements of women<br />
and inspire them to continued<br />
success. In the Perth office<br />
we welcomed Linda Dawson,<br />
<strong>Group</strong> Manager Human<br />
Resources as our host for the<br />
Tuesday morning meeting.<br />
In a month where we recognise<br />
Women in Resources via the<br />
CME Awards, we’d like to take<br />
this opportunity to salute the<br />
amazing women who work on<br />
all of our sites.
Turtle<br />
Dreaming<br />
Nick Sexton is thrilled to<br />
have been the highest<br />
bidder in the recent silent<br />
auction for the artwork<br />
Turtle Dreaming (Kuku<br />
Yalanji).<br />
Artist Brad Grogan generously<br />
donated the work, which he worked<br />
on in his spare time, taking about<br />
nine months to complete. The<br />
proceeds of the auction, more than<br />
$2,500, went to the children of Kris<br />
Dixon, a VTEC Services team member<br />
who was tragically killed in Broome<br />
on Christmas Day.<br />
The Sky’s the limit<br />
The competition was intense at the<br />
Red Sky Ride bake-off organised by<br />
the HR team on the 25th of January.<br />
Donations poured in with more than<br />
$300 raised and everyone enjoyed a<br />
sumptuous morning tea in support<br />
of our intrepid Red Sky riders.<br />
Departing from Perth on Sunday,<br />
February 26th, Ann-Louise Sargison,<br />
Payroll Manager and Rob Solomon,<br />
Manager Future State Mining<br />
cycled 1000km for the fifth Red<br />
Sky Ride, spending seven days<br />
journeying through WA’s South West<br />
to raise funds for the Solaris Care<br />
Foundation.<br />
“It has been a hard journey, I really<br />
only started cycling in September,”<br />
Ann-Louise said before the ride.<br />
“One in three people are affected<br />
by cancer and I really appreciate<br />
the support from everyone at<br />
<strong>Fortescue</strong>. This cause means a lot to<br />
me because I lost a family member to<br />
cancer.”<br />
4<br />
Nick and his wife have found<br />
themselves reflecting on the<br />
painting’s place in their lives. “Each<br />
time we look at the painting it<br />
reminds us of the fragility of life.<br />
The tragic circumstances which led<br />
to me being able to purchase the<br />
Ann-Louise, whose sister Peta who<br />
passed away in March 2009, signed<br />
up for the ride as a recreational<br />
cyclist. Her training took in more<br />
than 450km of Perth scenery every<br />
week, mainly in the daunting<br />
territory of the hills as the team<br />
prepared for the epic week long ride.<br />
Rob’s motivation for the ride was<br />
also derived from being personally<br />
affected by cancer. “My paternal<br />
grandfather died at 35 and my<br />
father at 64; my brother and I have<br />
also been diagnosed, but various<br />
maintenance strategies have it under<br />
control. The Red Sky Ride enables<br />
me to support a program which is<br />
significant whilst I do something<br />
I enjoy with some good friends.<br />
The training was tough - heat, hills<br />
and headwinds a true trifecta of<br />
pleasure,” he said.<br />
The Solaris Care Foundation<br />
provides remedial support to<br />
cancer patients and their carers,<br />
Brad Grogan (L) and Nick Sexton.<br />
work should serve to remind us all<br />
of this. Kris’ children will live with<br />
the senseless death of their father<br />
for the rest of their lives. Hopefully<br />
this purchase can be a seed to<br />
ensure that they are catered for in an<br />
appropriate fashion,” he said.<br />
Rob and Anne-Louise were well prepared for<br />
their big ride.<br />
with services ranging from massage<br />
to counselling. The aim of the Red<br />
Sky Ride is to raise funds which<br />
enables the Foundation to increase<br />
their support of cancer patients in<br />
regional areas of Western Australia.<br />
Oh, and in case you’re wondering,<br />
Emily De Piazzi’s spinach and cheese<br />
dip took top honours at the bake-off,<br />
closely followed by Courtney Brown’s<br />
lemon tarts and lemon slices.
A warm<br />
welcome<br />
to our new<br />
Director of<br />
Operations<br />
Jamie Frankcombe joined<br />
<strong>Fortescue</strong> in January,<br />
bringing with him more<br />
than 20 years’ experience<br />
in senior leadership roles in<br />
the mining and resources<br />
sector.<br />
Immediately prior to commencing<br />
with <strong>Fortescue</strong>, Jamie was the Chief<br />
Operating Officer of the coal mining<br />
operation of PT Adaro Indonesia,<br />
overseeing the largest single open<br />
cut coal mine in the southern<br />
hemisphere. He spent seven years<br />
with Xstrata Coal, too, as Executive<br />
New Education<br />
Assistance<br />
Guidelines<br />
Feeling a little stagnant?<br />
Think your grey matter<br />
could use some livening up?<br />
At <strong>Fortescue</strong> we offer all employees<br />
the opportunity for further<br />
education and development so that<br />
you can grow in your career. The<br />
Education Assistance program is a<br />
great way to keep up learning and<br />
reap both personal and academic<br />
rewards.<br />
Covering courses of study such as<br />
Certificate IV, Diplomas, Advanced<br />
Jamie is pleased to be part of the <strong>Fortescue</strong> family<br />
General Manager of the company’s<br />
Americas coal interests and General<br />
Manager of its open cut operations<br />
in New South Wales.<br />
Jamie and his wife Lynda are<br />
enjoying life in Perth, particularly<br />
the lifestyle which they find far more<br />
relaxed than their bustling days in<br />
Jakarta. When questioned about his<br />
<strong>Fortescue</strong> experience so far, Jamie’s<br />
Diplomas, Undergraduate Degrees<br />
and Postgraduate Qualifications<br />
including Masters’, the program has<br />
something for everyone.<br />
For more information please refer to<br />
the Education Assistance Guidelines<br />
on the <strong>Fortescue</strong> People intranet site,<br />
under Forms, Policies, Procedures<br />
and Guidelines.<br />
response was extremely positive. “It’s<br />
fantastic; the role is delivering on<br />
everything I thought I’d get out of<br />
this move. All of the things I was sold<br />
on – engagement, empowerment,<br />
the speed at which we move, the<br />
level of involvement – are proving<br />
to be true. I’m very pleased to have<br />
been given the opportunity to join<br />
such a company,” he said.<br />
5<br />
Fast<br />
Learning<br />
Facts<br />
<strong>Fortescue</strong> will grant up to<br />
5 paid days off in any one<br />
calendar year to attend<br />
lectures, other course<br />
work and exams that occur<br />
during working hours.<br />
You’ll need to pay for the<br />
course or unit up front –<br />
using HECS/HELP has Fringe<br />
Benefits Tax implications.<br />
And you’ll need to study<br />
hard – a satisfactory<br />
level of academic or<br />
course performance and<br />
completion of the course<br />
is required to receive<br />
reimbursement.
Area of earthworks cleared by the<br />
team for the warehouse expansion,<br />
with the Maintenance workshop to the<br />
left and Gulf workshop to the right.<br />
Teamwork<br />
saves millions<br />
The earthworks for the<br />
warehouse expansion at<br />
Cloudbreak were completed<br />
this month, thanks to<br />
various departments on site<br />
rallying to get the job done.<br />
A combined team from Road, Gulf,<br />
Surface Mining and Surveying<br />
worked hard to level the ground,<br />
creating a workable base on which<br />
6<br />
the warehouse can be built. By not<br />
contracting the work, the teams<br />
involved saved <strong>Fortescue</strong> $3.2 million.<br />
The warehouse expansion to the east<br />
of the Gulf workshop was a ‘cut to<br />
fill’ process requiring a combination<br />
of vermeers, surface miners, dozers,<br />
loaders and Gulf trucks to move<br />
material. With the January flooding<br />
of the pits, the team was able to<br />
effectively and efficiently utilise two<br />
extra surface miners over a two week<br />
period, allowing the job to move<br />
along faster.<br />
In all, approximately 69,000m 3 of rock<br />
was cut and just less than 11,000m 3 of<br />
material filled into the Valley to create<br />
an area of nearly 5 hectares.<br />
The utilisation of equipment wasn’t<br />
the only financially viable benefit that<br />
came from the job, but also a high<br />
volume of road base material that<br />
came from the earthworks. The road<br />
base is quite costly and is constantly<br />
needed for the sheeting of roads and<br />
ramps.<br />
“It is great to see all the different<br />
crews working together - the team<br />
turned a vision into reality,” said Mike<br />
Duncan, Road Superintendent.<br />
Wet plant construction<br />
at Cloudbreak.
Christmas Creek convoy brings home the bacon<br />
Heavy rains across the<br />
Pilbara in January cut<br />
off roads to and from<br />
Christmas Creek, halting<br />
transport of vital supplies<br />
including food and steel<br />
and impacting work<br />
continuity.<br />
<strong>Fortescue</strong>’s Christmas Creek Manager<br />
of Construction Shane Byrne and<br />
Acting Site Construction Manager Ian<br />
Wilkinson, together with contracting<br />
company CSI’s Construction Manager<br />
Mick Soltwisch, worked with more<br />
than 30 truck drivers, some of whom<br />
had been held up at Capricorn<br />
Roadhouse just south of Newman<br />
for more than a week, to ensure<br />
deliveries made it through.<br />
Shane was very pleased with the<br />
outcome of the operation.<br />
“Initially the only trucks able to make<br />
it through were those carrying the<br />
steel supplies.<br />
“With food supplies becoming tight<br />
at Christmas Creek, we took a scraper<br />
and some emergency services<br />
vehicles back to some stranded<br />
trucks and got them to site later that<br />
Keeping it in the family<br />
We couldn’t pass up the opportunity to welcome the<br />
latest addition to the <strong>Fortescue</strong> family. Archie James<br />
Spicer arrived on Friday 3rd February, much to the<br />
delight of his parents, Con and Stu, who met on site.<br />
7<br />
The convoy overcame many<br />
obstacles to get to site<br />
day, just in time to deliver bacon<br />
supplies for Friday’s breakfast!<br />
“Our thanks goes out to all the<br />
truckies (most of whom were owner<br />
drivers), FMG Rail Projects, the Rail<br />
infrastructure team, Department of<br />
Main Roads (who were excellent in<br />
their cooperation), the Cloudbreak<br />
operations team, Christmas Creek<br />
operations team, the Camp 195 team<br />
and the CSI site construction team.<br />
“Efforts like this are a great example<br />
of how the extended <strong>Fortescue</strong><br />
family can work together to<br />
overcome challenging situations.”
THUMBS UP! L-R Stefanus Strydom (Worley Parsons), Gerhard Veldsman (GM, Port<br />
Operations), Mark Shirley, (Commissioning and Operational Readiness Manager).<br />
First ore on ship for<br />
<strong>Fortescue</strong>’s third berth<br />
1st February saw the first ore on ship at the newly completed AP3 ,<br />
with a ship on the third berth being loaded by the second shiploader.<br />
Port’s General Manager Gerhard Veldsman was thrilled with the<br />
milestone. “This incredible milestone was a result of the combined<br />
efforts of many dedicated and skilled people. Today is a major<br />
milestone in <strong>Fortescue</strong>’s journey as we continue to achieve stretch<br />
targets and expand production towards our 155mtpa goal,” he said.<br />
8<br />
All eyes on<br />
the target at<br />
Port<br />
Port’s new General Manager<br />
Gerhard Veldsman has<br />
laid out a challenging<br />
program for 2012. A rapidly<br />
expanding workforce will<br />
see many new starters<br />
welcomed to the <strong>Fortescue</strong><br />
family this year.<br />
The Port operations team is preparing<br />
to bring the second outload circuit<br />
into production and our people will<br />
play a key role in enabling us to safely<br />
meet our Q2 production targets.<br />
Port will work closely with Rail, the<br />
mines and Integrated Planning<br />
to maximise the throughput of<br />
the inload circuit and meet Q3<br />
production targets.<br />
A strong focus will be kept on<br />
the move from Targeting 155 to<br />
Being 155 – ensuring the team<br />
maintains their high performance<br />
culture and can-do attitude as the<br />
operations triple in size and the<br />
workforce doubles. The Operational<br />
Improvement team will work with the<br />
Port teams to ensure there are plans<br />
in place to Be 155.<br />
A 5S program has been implemented<br />
as well, to organise workspaces<br />
for efficiency and effectiveness by<br />
identifying and storing the items<br />
used, maintaining the area and items<br />
and sustaining the new order. The<br />
primary phases of 5S are sorting,<br />
straightening, systematic cleaning,<br />
standardizing and sustaining.<br />
Gerhard believes safety will remain a<br />
top priority in 2012. “We will only be<br />
a successful operation when every<br />
person goes home safely and with a<br />
sense of achievement every day,” he<br />
said.
Construction of<br />
<strong>Fortescue</strong>’s second<br />
reclaimer is nearing<br />
completion.<br />
Rail duplication<br />
construction.<br />
9<br />
Herb Elliott Port - third berth<br />
and second shiploader now<br />
fully operational.
Drinking water breakthrough for <strong>Fortescue</strong><br />
Infrastructure Services’<br />
Water Services department<br />
was recently commended<br />
by the WA Department<br />
of Health for successfully<br />
developing and<br />
implementing a Drinking<br />
Water Quality Management<br />
Plan (DWQMP) under the<br />
new Department Of Health<br />
guidelines.<br />
The Water Services Team has worked<br />
over the past year to develop a<br />
master plan that enables <strong>Fortescue</strong>’s<br />
growth plans to marry individual<br />
site modules to the master plan. The<br />
current approved plan encompasses<br />
Cloudbreak with future modules<br />
that include Christmas Creek and<br />
Karntama Village scheduled for<br />
delivery to Department of Health<br />
in early 2012. A generic Rail camp<br />
module wil be rolled out by June<br />
2012 and a Solomon Module by the<br />
end of 2012.<br />
As part of the DWQMP, <strong>Fortescue</strong><br />
provides quarterly compliance<br />
reports on all aspects of water<br />
testing and quality. The first of these<br />
was submitted to the Department of<br />
Health in late 2011 and received the<br />
approval of the Department of<br />
Take the<br />
bite out of<br />
summer<br />
Summer is an active time for insects.<br />
This year, the Health Department<br />
of WA has reported an increase in<br />
the occurrence of mosquito-borne<br />
diseases such as Murray Valley<br />
10<br />
Left to right - Joel Serman (Tradesman) Stephen (Gonzo) Wendt (Supervisor) John Nazarov<br />
(Plumber) Mark Botica (Supervisor) Angela Edwards (Operator) Jason Trewin (Coordinator)<br />
Robyn Lee (Compliance Officer). Absent - William Macdougall (Coordinator) Glen Nielsen<br />
(Tradesman) Tim Heley (Tradesman).<br />
Health’s Senior Policy Officer Brian<br />
Labza. Mr Labza said “I am<br />
extremely pleased with <strong>Fortescue</strong>’s<br />
commitment to the plan and their<br />
reporting processes, and am looking<br />
forward to working with the Water<br />
Services team on the remaining and<br />
future programs.”<br />
In addition to the plan’s acceptance,<br />
Infrastructure Services recently<br />
assigned Robyn Lee to the role of<br />
Compliance Officer, from which<br />
she will champion the plan’s<br />
development and implementation.<br />
Encephalitis, Ross River virus and<br />
Barmah Forest throughout WA.<br />
Here are some simple steps to<br />
prevent bites from mosquitoes and<br />
other insects:<br />
• Avoid outdoor exposure during<br />
dawn and dusk (especially the first<br />
few hours after dark)<br />
• Wear protective (long, loosefitting)<br />
clothing when outdoors<br />
Infrastructure Services Manager<br />
Mark Tazewell stated that the<br />
implementation of the plan was<br />
a culmination and acceptance of<br />
the team’s efforts in conjunction<br />
with consultants Emerson Stewart,<br />
who provided technical resources<br />
for the project. “The DWQMP has<br />
placed <strong>Fortescue</strong> on the front foot<br />
for drinking water management into<br />
the future, and selecting Robyn into<br />
the Compliance role reflects a shift<br />
in the way the team looks to manage<br />
compliance issues,” he said.<br />
• Apply a personal repellent<br />
containing DEET<br />
• Check insect screens are installed<br />
and maintained correctly<br />
If you are on site, please see your<br />
Supervisor to arrange a collection of<br />
personal insect repellent. If you have<br />
any health concerns, please contact<br />
the Medical Administrator to arrange<br />
a medical review.
Profile:<br />
Heath<br />
Nelson<br />
I was born and bred in<br />
Fremantle which of course<br />
makes me a loyal Dockers<br />
supporter!<br />
After attending Hamilton Senior<br />
High School I followed my older my<br />
brother to UWA to study computer<br />
science. Two years in to my degree<br />
I decided to branch out and I<br />
graduated in 1993 with a double<br />
degree in computer science and<br />
economics.<br />
After graduating from uni I took<br />
the obligatory Contiki tour around<br />
Europe and then journeyed to South<br />
Africa, just in time to see Nelson<br />
Mandela elected as president. Cape<br />
Town was incredible and the surf<br />
was up, so I canned plans to work<br />
in the UK and stayed in South Africa<br />
for 6 months, using Cape Town as a<br />
base from which to explore Namibia,<br />
Tanzania and Botswana.<br />
A year had passed by the time I<br />
lobbed back at my folk’s house in<br />
Freo – long haired, unemployed and<br />
broke. They took one look at me and<br />
decided that my free lodging would<br />
come with a time limit; I had to have a<br />
haircut and a job within three months.<br />
Unable to shake the travel bug, I<br />
looked for a job where I would get<br />
paid to travel. I managed to secure<br />
a role with the Aboriginal Economic<br />
Development Office (AEDO). The job<br />
had everything I wanted. I travelled<br />
to remote Aboriginal communities<br />
throughout WA installing point<br />
of sale machines (computerised<br />
cash registers with scanners) in<br />
Community Stores. The challenge<br />
was to install the machines, train<br />
the local Aboriginal people to use<br />
them and employ store managers<br />
that were accountable to AEDO.<br />
Over a two year period, the number<br />
of stores increased from three to 12.<br />
This created another opportunity<br />
as the collective buying power of<br />
these stores was in excess of $20M.<br />
The Office of Aboriginal Economic<br />
Development (OAED – after a change<br />
in State Government) established<br />
a bulk buying cooperative that I<br />
managed for the next two years.<br />
With Aboriginal economic<br />
development gaining strength in the<br />
90’s, I saw an opportunity to relocate<br />
to Broome and manage a regional<br />
office. I found paradise – not with the<br />
town but with the job! My role was to<br />
generate economic opportunities for<br />
Aboriginal people and communities<br />
across the Kimberley. The key to<br />
the role was to ask the Aboriginal<br />
people what they wanted to do.<br />
And it wasn’t a surprise that they<br />
enjoyed doing what they were good<br />
at and interested in. For the next four<br />
years I predominantly developed<br />
businesses that evolved around<br />
regional art centres and tourism<br />
businesses.<br />
An Aboriginal Cross Cultural course<br />
in Perth in 2001 changed my life.<br />
I met my wife Paula and relocated<br />
back to Fremantle. We have two<br />
Heath is passionate about Aboriginal<br />
economic development.<br />
children, Ashlee and Todd. But still no<br />
Docker’s flag!<br />
This was also a time to do something<br />
completely different. I secured a<br />
job with Edith Cowan University<br />
as Director of their International<br />
English Centre. Having experience in<br />
the tertiary sector, I moved to UWA<br />
as Business Manager of the Centre<br />
for Exploration Targeting. After two<br />
years I took on another Centre – the<br />
Centre for Marine Futures and a<br />
year later another role in the Centre<br />
for Petroleum Geoscience CO2<br />
Sequestration. It’s less complicated<br />
than it sounds....<br />
A phone call earlier this year and a<br />
desire to get back into the area of<br />
Aboriginal economic development<br />
brought me to <strong>Fortescue</strong> as the<br />
Principal Aboriginal Advisor. I view<br />
my role as a very simple one.....I<br />
am here to improve the economic<br />
circumstances of Aboriginal people.<br />
So, after a Christmas break with<br />
Paula and the kids at Moore River,<br />
where we taught the kids how to<br />
fish, I’ve launched back into work.<br />
2012 will see total contracts awarded<br />
to aboriginal contractors reach $600k<br />
– the majority to native title groups<br />
– well on the way to achieving $1<br />
billion by the end of 2013.<br />
11
Indigenous Employee and Engagement focus<br />
Last year the <strong>Fortescue</strong> Indigenous Employee and Engagement Strategy commenced,<br />
which kicked off the Committee’s regular meetings to drive Indigenous employment at<br />
<strong>Fortescue</strong>. Since the committee, Chaired by Cloudbreak General Manager Kevin McLean,<br />
was established numerous milestones have been achieved. Here are examples of our<br />
success stories to date:<br />
Aboriginal JV<br />
wins waste<br />
management<br />
contract<br />
In a great step forward for<br />
our Billion Opportunities<br />
program, <strong>Fortescue</strong><br />
recently announced<br />
the awarding of a three<br />
year multi-million dollar<br />
Waste Management<br />
Services contract to PLWA<br />
<strong>Group</strong> (formerly Pilbara<br />
Logistics), an Aboriginal<br />
owned company based in<br />
the Pilbara, and its Joint<br />
Venture Partner ToxFree<br />
Solutions Limited.<br />
The contract includes the<br />
management of all waste generated<br />
from <strong>Fortescue</strong>’s operations,<br />
including the operation and<br />
maintenance of <strong>Fortescue</strong>’s landfill<br />
at Cloudbreak and design, operation<br />
and maintenance of a waste<br />
and recycling transfer station at<br />
Christmas Creek.<br />
PLWA <strong>Group</strong> has provided waste<br />
management and civil and<br />
earthworks services to remote<br />
mining locations for nearly 10 years.<br />
“We are very proud of our history in<br />
the mining sector and very excited<br />
about the success we are having with<br />
our diversified business,” said PLWA<br />
<strong>Group</strong> Chairman Geoff Stocker.<br />
12<br />
Getting ahead<br />
on the Hedland<br />
housing list<br />
For the first time since<br />
Hedland residents started<br />
work at Cloudbreak, the<br />
housing waiting list of<br />
Cloudbreak employees has<br />
been cleared.<br />
Finding adequate housing for all<br />
<strong>Fortescue</strong> employees in Hedland<br />
has always been a challenge.<br />
However, with support from the<br />
<strong>Fortescue</strong> Indigenous Employment<br />
and Engagement committee, the<br />
challenge of having no Cloudbreak<br />
employee on the waiting list was<br />
achieved.<br />
Housing Coordinator Clorinda<br />
Boekhorst said the housing market<br />
in Hedland was tight and as the<br />
business grew so too did the need<br />
for employee housing.<br />
“When we cleared the list for<br />
Cloudbreak, we had to shuffle<br />
people around and make sure we<br />
met our employees’ needs,” she said.<br />
“Some of our employees were also<br />
moving into properties which they<br />
purchased themselves, so fortunately<br />
that freed up more properties as<br />
well.<br />
“Since the list was originally cleared,<br />
names have accumulated and<br />
cleared again. It will continue to be<br />
ongoing, but at the moment we are<br />
able to manage it.”<br />
New Indigenous<br />
Positions in<br />
Perth HR<br />
In support of the business<br />
achieving its Indigenous<br />
employment targets two<br />
new positions have been<br />
created in the Perth Human<br />
Resources team.<br />
A new Manager Aboriginal<br />
Engagement, reporting to the <strong>Group</strong><br />
Manager HR, has been created and<br />
filled - read more about Brendon Ah<br />
Chee on the next page. The focus of<br />
this role is to develop employment,<br />
scholarships, graduate strategies<br />
and programs to ensure we have<br />
sustainable programs in place for<br />
our Indigenous employees. They will<br />
work closely with the Heritage group<br />
and determine how entry points<br />
from VTEC can be maximised.<br />
Reporting to the Manager Aboriginal<br />
Engagement, a new position assigned<br />
to the recruitment of Indigenous<br />
employees has also been created. The<br />
Aboriginal Sourcing Officer will work<br />
closely with the recruitment team<br />
while sitting in the HR’s Indigenous<br />
Employment team. Recruitment for<br />
this position is under way.
Brendon Ah Chee<br />
Providing<br />
Indigenous<br />
Support<br />
<strong>Fortescue</strong> has always<br />
been a leader in creating<br />
opportunities to increase<br />
its Indigenous workforce.<br />
Last financial year, the<br />
Summit 300 target was<br />
not only met, but well<br />
exceeded.<br />
To continue developing<br />
strategies to increase our<br />
Indigenous Employee<br />
numbers a Manager -<br />
Aboriginal Engagement<br />
position has been created<br />
in the HR team and new<br />
employee Brendon<br />
Ah Chee was recently<br />
appointed.<br />
Originally a Derby boy,<br />
Brendon and his family<br />
moved to Perth about<br />
10 years ago to improve<br />
schooling opportunities<br />
for his children. However,<br />
regardless of where he<br />
has resided, Brendon’s<br />
career has always been<br />
around working with and<br />
influencing Aboriginal<br />
people. His resume<br />
boasts positions held in<br />
local councils working in<br />
Aboriginal Environmental<br />
Health, Indigenous<br />
Education through the<br />
Education Department, and<br />
most recently mining and<br />
construction companies in<br />
mentoring roles.<br />
At <strong>Fortescue</strong>, Brendon is<br />
responsible for identifying<br />
programs and pathways for<br />
our Aboriginal workforce’s<br />
career development, and<br />
opportunities for sourcing<br />
funding to support aspects<br />
of these programs.<br />
Working with our Traditional Owners<br />
Brendon said he was<br />
excited about his new<br />
position and looked<br />
forward to the many<br />
challenges that lay ahead.<br />
“I have spent a lot of time<br />
getting to know the people<br />
and the business to fully<br />
understand where the gaps<br />
lie,” he said.<br />
“There is a lot going on<br />
within <strong>Fortescue</strong> when<br />
it comes to Aboriginal<br />
employment attraction<br />
strategies, but I am keen<br />
to start improving our<br />
retention strategies as<br />
there is a lot of opportunity<br />
there to really work<br />
together and provide<br />
a holistic approach to<br />
addressing the issues.”<br />
Brendon has also started<br />
work on preparing a<br />
Cultural Leave Policy for<br />
the company, researching<br />
secondary and tertiary<br />
education scholarships and<br />
cadetships.<br />
<strong>Fortescue</strong> is currently working closely with 99 traditional land owners. It is through these relationships that both parties<br />
are able to develop Native Title agreements under the Native Title Act that allow the company to grow and the owners to<br />
be involved in the future management of their land.<br />
The <strong>Fortescue</strong> Indigenous Employment and Engagement Strategy has highlighted the importance of these relationships<br />
and the need for continual engagement.<br />
13
Thiess trainees Kevin Stevens, Kamarl Daulbin and Travis Mills with <strong>Fortescue</strong>’s Ralph Mogridge<br />
and Dave Peacock from Thiess<br />
VTEC graduates<br />
shine at Thiess<br />
Following the completion of<br />
the Roebourne 10 week VTEC<br />
program late last year, three<br />
trainees were mobilised to<br />
Solomon on 7th February<br />
2012 and have commenced<br />
further plant operator<br />
and safety training with<br />
contracting company Thiess.<br />
Thiess Trainer Dave Peacock<br />
is extremely happy with<br />
the calibre of the trainees<br />
and believes that this latest<br />
group has demonstrated<br />
excellent leadership skills.<br />
He is keen to progress their<br />
14<br />
training to include dump<br />
truck, graders, loaders, rollers<br />
and excavators.<br />
VTEC Development<br />
Superintendent Ralph<br />
Mogridge said, “All trainees<br />
are in very high spirits and<br />
are thoroughly enjoying their<br />
new digs (pardon the pun)<br />
and have been busy meeting<br />
new and old friends in their<br />
spare time.”<br />
Congratulations to the<br />
trainees and the Roebourne<br />
VTEC team.<br />
New<br />
Manager<br />
for VTEC<br />
Grant has hit the ground running<br />
The VTEC crew celebrated<br />
Christmas early last year with<br />
the appointment of their new<br />
manager Grant Bobongie in<br />
early December.<br />
Grant joins VTEC from Downer<br />
EDI where he was employed as<br />
the National Manager based<br />
in Perth. He worked on a joint<br />
initiative with VTEC placing<br />
trainees from Fitzroy Crossing<br />
at Christmas Creek.<br />
Although originally from<br />
Queensland, Grant has spent<br />
the majority of his life in<br />
Western Australia and most<br />
of his career working with<br />
Indigenous people in the<br />
resources sector.<br />
“Grant’s appointment signals<br />
the start of an exciting time<br />
for the company as he will<br />
help develop and expand<br />
Indigenous pre-employment<br />
training programs in the<br />
Pilbara,” said <strong>Group</strong> Manager<br />
Land Access Alexa Morcombe.
From vision to reality<br />
<strong>Fortescue</strong> signed a $3 million contract with Nyiyaparli Engineering<br />
Mine & Maintenance Pty <strong>Ltd</strong> (NEMM) in March 2012 for the Hire of<br />
Heavy Mobile Equipment at Cloudbreak Mine.<br />
$1 billion in contracts to be<br />
awarded to Aboriginal contractors by<br />
the end of 2013.<br />
For more information contact Heath Nelson<br />
hnelson@fmgl.com.au<br />
15<br />
December 2013<br />
$350m<br />
Mar 2012<br />
Contracts Awarded
A close shave,<br />
for a good<br />
cause<br />
Every year the <strong>Fortescue</strong><br />
family throws its<br />
considerable fundraising<br />
abilities behind the<br />
Leukaemia Foundation<br />
by raising funds for the<br />
World’s Greatest Shave, via<br />
the Mining Challenge.<br />
This year was no exception, with<br />
events at our sites proving once<br />
again that we’re a giving group of<br />
people with deep pockets.<br />
Events at Port Hedland had to be<br />
postponed because of Cyclone<br />
Lua, but ultimately went ahead.<br />
Fundraisers across all of our sites<br />
ranged from BBQ’s and quiz nights<br />
to chest waxing, with support for the<br />
Leukaemia Foundation eclipsing all<br />
of our past efforts.<br />
Several <strong>Fortescue</strong> family members<br />
took up the challenge for 2012,<br />
collectively raising over $80,000 for<br />
the Foundation.<br />
Cloudbreak mining operator Carina<br />
Skipworth and Perth’s Peter Thomas<br />
raised more than $25,000 each<br />
through various events.<br />
Several Perth based team members<br />
gave up their locks as well. Crispin<br />
Harris from IT, Matt Sinclair from<br />
Purchasing, Jonathan Davies from<br />
Environment, Clint Hounsham from<br />
Planning, Colin Dowson from Safety<br />
all agreed to a quick clip from Alana<br />
Kongras.<br />
A very special mention has to go<br />
to Damien Grainger from Morris at<br />
Castle Camp who agreed to have his<br />
chest and arms waxed after $2,700<br />
was raised in just four days. Based<br />
on the images, it looks like Damien’s<br />
pain was shared by his colleagues.<br />
17
Site<br />
Travel<br />
New World of Work<br />
With desk space at the <strong>Fortescue</strong> Centre now at a premium,<br />
<strong>Fortescue</strong>’s New World of Work will become an integral part of our<br />
day to day operations. We’ll keep you posted on the progress of this<br />
exciting project.<br />
Find out more: http://intranet/nwow<br />
18<br />
Flexibility<br />
Office<br />
Home
IT Service<br />
Desk -<br />
working<br />
around the<br />
clock<br />
Your Perth IT Service Desk has<br />
recently moved to a new 4 day on,<br />
4 day off, 24 hour roster. Working<br />
twelve hour shifts, the team are now<br />
providing 7 day a week support to all<br />
of you, wherever you are working for<br />
<strong>Fortescue</strong>.<br />
The change in roster meant there<br />
were fewer people on duty during<br />
the day and the change has created<br />
an initial backlog. Service Desk<br />
Lead Stephen Watts is confident the<br />
backlog won’t last long, “We initially<br />
started with our 6 team roster and<br />
soon identified that we needed more<br />
people on the desk during the day.”<br />
“Recruitment was expedited and we<br />
will soon be working with our 8 team<br />
roster,” he said.<br />
The team receives more than<br />
400 calls and emails every day, in<br />
addition to ‘walk-ups’, or people<br />
who approach the desk. They are<br />
investigating several new processes<br />
to enhance their service – we’ll keep<br />
you posted on new developments.<br />
In the meantime, check out these<br />
Handy IT Hints.<br />
If you’ve requested new software to<br />
be installed, please log out, but leave<br />
your PC turned on when you leave<br />
for the day. Software installations are<br />
now done overnight.<br />
Hardware deployments are also<br />
processed overnight, so the right<br />
desk number on your request form is<br />
extremely important.<br />
Chasing up a request? It’s best<br />
to give the Service Desk a call on<br />
8877 - with several hundred emails<br />
being received every day, duplicate<br />
requests are inefficient.<br />
Perth’s Level<br />
3 – Open for<br />
Business<br />
The offices on Level 3 at<br />
the Hyatt Centre are now<br />
fully operational. The 560<br />
desks are already reserved<br />
or occupied, according to<br />
Perth’s office management<br />
team. The floor also boasts<br />
eight kitchens, touchdown<br />
pods, 30 meeting rooms<br />
and many happy residents.<br />
Level 3 houses teams such<br />
as Engineering & Reliability,<br />
Environment, Exploration,<br />
Engineering, Evaluation Studies<br />
and Business Development, GIS<br />
Land Heritage, Resource Strategy,<br />
Strategic Planning and Solomon.<br />
On 29 March the new staircase<br />
between Levels 2 and 3 was unveiled<br />
at a special Thursday morning<br />
meeting and dubbed the ‘Change<br />
the World Stairs’. The staircase is<br />
already proving popular, with many<br />
of the <strong>Fortescue</strong> family popping<br />
between floors to consult with<br />
colleagues.<br />
The opening between the floors will<br />
connect our workforce and reinstate a<br />
transparency and flow of information<br />
between our various teams.<br />
Flying the<br />
flag for<br />
<strong>Fortescue</strong> on<br />
Australia Day<br />
First place in the inaugural<br />
Tom Price Pool Boat<br />
Regatta was taken out<br />
by a team from Solomon<br />
on Australia Day. The<br />
<strong>Fortescue</strong> team donated<br />
the $200 prize money back<br />
to the organisers for redistribution<br />
amongst the<br />
other entrants.<br />
Emily Wells, Andrew Cook, and<br />
Keighley and Hayley Bremner won<br />
a tight race in a boat made of duct<br />
tape, inner tubes, PVC pipe and a<br />
temporary bund. “The pressure was<br />
on us from the beginning after we<br />
were deemed race favourites but we<br />
pulled through with a very narrow<br />
victory,” said Keighley. “We would like<br />
to thank the community of Tom Price<br />
for putting on such a good day and<br />
we look forward to defending our<br />
title at next year’s event.”<br />
<strong>Fortescue</strong>’s Community<br />
Superintendent Scott Hansen said,<br />
“Australia Day in Tom Price was a real<br />
community day, driven by Ashburton<br />
Shire, with much help from the<br />
Defence’s Pilbara Regiment, the Tom<br />
Price Police and lots of volunteers.<br />
We are part of the community<br />
here now, so it’s important to get<br />
involved in these events. Thanks to<br />
the Solomon crew for taking up the<br />
opportunity.”<br />
A special mention to Jerome Paddon<br />
and Solomon Grade Control team for<br />
building the boat, and to the other<br />
<strong>Fortescue</strong> people who supported the<br />
effort: Braam Weber, Michael Clark,<br />
Carrie Ward and Clint Hare.<br />
19
The Rowley<br />
Foundation<br />
Scholarship<br />
The University of Western<br />
Australia is WA offering a<br />
generous new scholarship<br />
for an Indigenous student<br />
studying anthropology and<br />
sociology.<br />
Have you got a good<br />
news story, has your<br />
team achieved a<br />
significant milestone<br />
or do you have an<br />
example of the<br />
<strong>Fortescue</strong> values in our<br />
workplace?<br />
Send your story<br />
to <strong>Fortescue</strong><br />
Communications:<br />
E: communications@<br />
fmgl.com.au<br />
www.fmgl.com.au<br />
2<br />
The scholarship, to be known as the<br />
Rowley Foundation Scholarship in<br />
Cultural Studies, will enable a highachieving<br />
Indigenous student to<br />
undertake a Bachelor of Arts degree<br />
at UWA majoring in Anthropology<br />
and Sociology.<br />
Home-made<br />
infrastructure<br />
It’s great to know that<br />
we can source essential<br />
infrastructure without<br />
leaving home.<br />
Some large pieces of kit bound for<br />
Solomon have been constructed<br />
right here in WA or sourced from<br />
within Australia – a great boost to<br />
the local economy.<br />
Graeme Rowley is one of <strong>Fortescue</strong>’s<br />
founding Directors. He and his<br />
family are excited to contribute to<br />
the advancement of WA’s young<br />
Indigenous community. “We want to<br />
ensure that our State’s rich history of<br />
Indigenous culture is acknowledged,<br />
applauded and valued by future<br />
generations of both Indigenous and<br />
non-Indigenous members of our<br />
modern society. This scholarship will<br />
help to develop young Indigenous<br />
champions who will provide valuable<br />
ongoing contributions to the<br />
community,” he said.<br />
Local companies such as RCR, Aussie<br />
Modular Solutions, Vinidex, Mcnally,<br />
Fenner Dunlop, Delkor, Wilson,<br />
Schenck and Nepean are providing<br />
products such as apron and belt<br />
feeders, dongas, piping, switch<br />
rooms, transformers and conveyor<br />
belts for Solomon.<br />
In addition to the Solomon<br />
equipment, on 5th March four new<br />
train unloader cells will leave AGC’s<br />
facility at Henderson Wharf, bound<br />
for the Port expansion project in Port<br />
Hedland after being constructed in<br />
Henderson by Metso.