Videos bring sustainability to life BG Australia Chairman ... - QGC

our business / our community / our peopleJune 2013 Issue 29Videos bring sustainability to lifeBG Sustainability ReportBG Australia Chairman speaks outActivism threatens thousands of jobsCNOOC binding agreementQCLNG stake sale and LNG supplyPLUS…QGC invests in mobile indigenous health clinicWhat is a well workover?Gladstone partnership wins national award

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Workers rose to the challenge atthe David siteGas Fields UPDATEOperation David - a success storyIn February 2013, QGC’sgeneral manager for Upstreamcompression, Karl Roberts, seta challenge for the QGC andTheiss people working onthe David field compressionstation (FCS), about 35km westof Dalby.Their mission, named‘Operation David’ was toensure construction of theDavid FCS was mechanicallycompleted in eight weeks.QGC and Thiess ‘joinedforces’ to work in an intensivestyle, designed to acceleratethe completion of the fieldcompression station. Theobjective of Operation Davidwas to:• increase momentum andworkflow through a handsoncampaign• give teams a sense ofachievement as they seeon-the-ground progress• test constructionprocesses, quality controldocumentation andmechanical completionprocess at an early stage• assess the potential for earlypre-commissioning.Additional resources andinfrastructure were mobilisedto the David site. The operationincluded a night shift, withwork crew numbers increasingmore than 100 per cent fromaround 50 people working dayshift to 80 people on the daycrew and 30 people workingon a night shift.The team set up a room onsiteto use the managementtechnique of ‘Work, Assessand Recover’.This team set work targetsfor the crews twice a day andprovided an immediate hubfor decision making.The tactics tracked progressevery 12 hours andmitigated construction andtechnical issues.Karl said the style of commandand control employed at Davidwas typical of short-termintensive plant shutdownmaintenance.“Having everyone in thesame room to assessproblems and make decisionsto keep Operation Davidrunning was critical,” he said.“QGC’s constructionmanagement team were doingwhat they do best; directingcomplex teams, achievingdaily targets and addressingany materials shortfalls ortechnical road-blocks wherenecessary.”Operation David wassuccessfully completedin April.Karl Roberts said he was proudof the team spirit shownby the crews to completethe project on time and toproject specification.Now that the David site ismechanically complete, themajority of the work crewswill be re-deployed to theRuby Jo central processingplant and the Isabella fieldcompression station.This style of working is beingconsidered by QGC for futureprojects.The crews may have leftthe David site, but work isongoing to connect the fieldcompression station to waterand gas gathering lines.A small crew has been retainedto complete connectionof power to the site and totest low-voltage power andcompression control systems.Page 6 our business JUNE 2013

Project UpdateUpstream Project DirectorTheo RoderburgAcross the Upstream, teamsare working hard to deliverthe equipment, infrastructureand construction we need toproduce first LNG in 2014.Safety remains our priority.Our One Team of QGC staffand contractors has a systemof observing workplaces andbehaviours and speaking upand intervening when we thinkhealth and safety performancecould be improved.In 2013 we have completedmore than 4,000 observationsand interventions andI am encouraging teams tokeep putting safety first.QGC regularly holds safetytraining for supervisors andWorleyParsons and Toll at theMiles supply base. The purposeis to ensure our approach isaligned with our contractors.Project wise, we are makinggood progress. Well-siteinstallations are a critical partof delivering the UpstreamProject and we’re upping thepace on this work. April saw47 well sites reach mechanicalcompletion, a great effort bythe team.Construction of our fieldcompression stations isprogressing to plan.On the opposite page you canread about a way of workingwe recently piloted at the Davidfield compression station. Itwas a successful trial of frontloadingQGC and contractorresources to complete theDavid site in eight weeks.Other Southern region fieldcompression stations areprogressing well.At the Ruby Jo site all civilworks are completed,major equipment has beeninstalled and hydrotestinghas commenced.At the Harry site the flare stackhas been installed along witha metering skid and InterimLocal Equipment Room switchrooms are in place at bothHarry and Broadwater fieldcompression stations.In addition to the relocatablewater treatment plant nowrunning 24 hours a day atKenya, water was pumpedfor the first time through thereverse osmosis system at thelarger Kenya water treatmentplant on 1 May.The water was pumpedmanually and work is nowcontinuing to fine tune theauto sequence.The Kenya water treatmentplant is expected to becompleted in the third quarterof this year.Work on our camps is movingahead swiftly to provide acomfortable base for our siteworkers. Permanent water,power and sewage servicesare now in place at the RubyJo main camp.This facility has more than660 beds and recently passeda milestone inspection.Plus, an additional 240 bedsare now ready for use atthe Ruby Jo constructioncamp and a further 150 bedshave come online at theJordan camp.Across the Upstream, crewshave been working hard to:• complete strength testing ongathering lines as part of theoperation to complete theDavid field compression site• get the pad ready for pilingat the Bellevue centralcompression station• complete all structuralsteel at the WoleebeeCreek substation• place the instrumentrooms at Broadwater fieldcompression stationThe Chinchilla OperationsCentre is now up and runningin Taylor Street, giving theUpstream Projects teama direct operations andcommand link to colleaguesin Brisbane and sites acrossthe Surat Basin.At the Ruby Jo site all civil works are completed, major equipment has been installed and hydrotesting has commencedour business JUNE 2013Page 7

Lowering in pipes at Specimens Hillin the in Callide Range, 24km Southof GladstonePipeline UPDATEA string of milestonesThe first pipe has been loweredinto the ground on CurtisIsland, the latest in a stringof milestones for the QCLNGpipelines team.While the severe weatherand flooding slowed pipelineconstruction earlier this year,pipeline activities are back to anormal level and the pipelinesteam expects to make up losttime in the coming months.All of the 200 kilometre GasCollection Header is now inthe ground and has beenbackfilled. Around 95% of themainline welding for the 340kilometre Export Pipeline iscomplete, with around 60%of the pipeline lowered intothe ground.Following the successful pipepull, the focus in GladstoneHarbour has shifted tocovering the pipelines withrock for protection.An excavator working off abarge is backfilling the trench,initially with 2cm-4cm rockand then with rock up to 38cmin diameter, until the sea bedis level. The work is expectedto take about three monthsin total.Horizontal directional drillingacross creek sections of TheNarrows Crossing Projecthas been completed and the1.46km of pipe was pulledthrough in late May.The most high profile crossinghas been at ColumboolaCreek, near Miles, which is awater source for a numberof landholders.QGC and its contractors,in consultation with theDepartment of Environmentand Heritage Protectionand impacted landholders,took all the necessary stepsto ensure that the work wascompleted in accordance withour environmental approvals.QGC uses best-practicewaterway crossingtechniques as defined bythe Australian PipelineIndustry Association’s Codeof Environmental Practice.No nationally protectedplants or animals recordedduring site surveys conductedby specialist consultants anda specialist independentexpert certified erosion andsediment control plans.Page 8 our business JUNE 2013

Project UpdateAfter the disruptions causedby severe wet weather inthe first quarter of this year,our emphasis has been onremobilising additionalconstruction crews to increasecapacity and move closer tomechanical completion.An excavator backfilling the trench across The NarrowsPipe in the ground at Curtis IslandLowering in pipelineWork continues at the Curtis Island side end of The NarrowsAlong the 540 kilometreQCLNG pipeline network,mainline construction activitiesare now progressing towardscompletion. Accordingly, weare increasingly focused onback-end activities such asroad, creek, railway and thirdpartyutility crossings, weldingtie-in sections, hydrostatictesting and reinstatement.All the 200 kilometreGas Collection Headeris now buried and recently wechalked up another milestonewith the completion of the11.4 kilometre Kenya Lateralnear Chinchilla. Hydrostatictesting is also movingahead on the Gas CollectionHeader, with over 40% (80kilometres) of the pipelinesuccessfully completed.Reinstatement activitiesare in full swing along theGas Collection Header. Partof the focus has been in theGuluguba area near Wandoan,where the wet weatherhad the beneficial effect ofencouraging regrowth alongthe easement.On the Export Pipeline thelast remaining part of the 540kilometre easement has nowbeen cleared and graded.Good headway is also beingmade on stringing and bendingalong the Export Pipelineas we near completion ofthese activities.Hydrostatic testing has alsoProject Director PipelinesNorman Ingramcommenced on the ExportPipeline, with the first testsection (26 kilometres)successfully completed.On The Narrows CrossingProject our focus after thesuccessful pipe pull hasmoved to backfilling the 2.3kilometre trench across theNarrows Channel and the1.5 kilometre cofferdam onthe mainland. Constructionactivities are also progressingon Curtis Island, and thefirst pipe section hasbeen lowered in betweenthe Delivery Station andLNG Plant.As always, safety is at theforefront of our minds andthis has been demonstrated byan improvement in our safetyrecord on the QCLNG pipelinefor the first quarter of 2013.I am particularly pleased that inthe first quarter there were nodriving-related incidents. Thisis our highest risk activity, withthe risk heightened during wetweather conditions.Moving forward, the QCLNGpipeline team will continue tobuild on this foundation andstrive to ensure that everybodygets home safely.our business JUNE 2013Page 9

lng plant UPDATERapidly changing landscapeIt’s been a busy time at CurtisIsland, with the project markinganother milestone with thefinal three modules for the firstTrain of the liquefied naturalgas (LNG) plant arriving.This marked the 16th moduleshipment to have come fromThailand: 13 from roll-on roll-offvessels and three from lift-onlift-off vessels.The subsequent arrival ofthe first three modulesfor Train 2 signifies that 65out of a total of 80 moduleshave been successfullydelivered to site.The site has now received allof the major process plantcomponents for Train 1 toproduce more than 4 milliontonnes a year of LNG.On Curtis Island installation ofthe first fibre optic cable fromthe main control building to theTrain 1 compressor sub-stationwere pulled.The first fibre optic cableswere pulled from the maincontrol room to the Train 2compressor building.The fibre optic cables arecritical means by which plantoperators control the variousprocess units and supportservices of the LNG plant.Work on the installation of theLNG jetty support risers andfour loading arms has beencompleted.The fourth of six mooringdolphin pylon structures forthe jetty have been concreted.Work has started on theinstallation of marine terminalbuilding pre-cast concretedeck beams.All five substations on site areunder a controlled environment– with the heating, venting andair-conditioning units nowunder 24-hour operation.The first internal concrete layerwas placed over the carbonsteel floor in LNG Tank B andthe first foam glass insulationblocks have been placed on it.Page 10 our business JUNE 2013

Project UpdateSolid progress continues tobe made on the Midstreamproject at Curtis Island.In terms of physical completion,the Curtis Island site is a rapidlychanging landscape.An aerial view of the QCLNG site at Curtis IslandThe site has now received all major process components for Train 1Tank work continues on both LNG tanks at Curtis IslandGas turbine generators which will power the LNG plantWe have now received all ofthe Train 1 and associatedsupport modules such as gasturbine generators from ourThailand assembly yard: a totalof 65 modules.Foam glass insulation is beinginstalled in LNG Tank B and theninth of ten wall lifts has beencompleted on Tank A.Also of great interest is theprogress on the jetty for LNGloading where the final steeldecking and loading arms wererecently installed.In our impact mitigationsover 100 people now receiverent assistance under aprogram funded by QGCand delivered by GladstoneRegional Council.Through April, contractswere also executed forthe construction of 14dwellings comprising eighttownhouses and six house andland packages.Of the many achievements,however, the most pleasingand significant is the continualimprovement in Midstream’ssafety performance.As at April, the Curtis Islandand Thailand workforceshave not experienced any losttime injuries in the 2013calendar year.Project Director MidstreamDavid CraftFurthermore, the project’stotal recordable case frequencyrate or recordable injuries permillion hours worked, standsat 1.28 year to date.While this effort iscommendable, furtherimprovements are achievableand I look forward to theeffort invested into our OneTeam approach with Bechtelpaying big dividends as theyear unfolds.Overall, Midstream hasnow passed 18 million manhours and a major effortis occurring in the qualityassurance aspects of theconstruction program.As we progress through theconstruction program, thehandover of the plant to ourQGC operations team in 2014is now firmly in sight.We have an experiencedcommissioning team alreadyin place and it gives megreat confidence to see thecollaboration that is occurringbetween the commissioningand operations teams.our business JUNE 2013Page 11

Chairman visit headlineLeft to right: BG Group’s COO Martin Houston,Chairman Andrew Gould and QGC’s ManagingDirector Derek Fisher speak to Chinchilla staffStaff meet the ChairmanCommends progress made at QGCTwo hundred field staff had aconversation with BG GroupChairman Andrew Gould whenhe visited Australia recently.Andrew, who spoke alongsideBG Group Chief OperatingOfficer Martin Houston andQGC Managing Director DerekFisher, was visiting QGC for thesecond time.“The progress that has beenmade at QGC in the lastyear and a half is really quiteextraordinary,” Andrew said.He praised QGC’s safetyperformance this year andnoted that the number ofwells to be drilled in Australiathis year was far higher thanin any other BG Group asset.Andrew said that QGC’sexperiences in working withcommunities were vital to thebroader Group in developingunconventional resourcesand had already informedapproaches in other countries.He also addressed a QGCWomen’s Network event,noting that businesses neededto accept differences betweenthe sexes if they were to makethe most of people’s potential.“The debate is richer withboth genders in the room,”Andrew told about 100women in Brisbane.“Men and women reasondifferently and each havetheir own strengths andweaknesses.”Andrew said that increasingthe proportion of women indecision-making positionswould only come aboutthrough cultural change ledby management.“Why deprive yourself of 50%of the world’s intellectualcapital?” he said.Andrew, who was formerlychairman and chief executiveof the oil and gas servicescompany Schlumberger, saidthat such change was possiblebut took time.He said that Schlumbergerwas now a leader in diversitybut had taken decades toembrace fully gender andcultural differences.BG Group Chairman Andrew Gould meets PM Julia GillardPage 12 our business JUNE 2013

Binding agreements signed forQCLNG stake sale and LNG supplyFederal Minister for Resourcesand Energy Gary Gray said theagreement for China NationalOffshore Oil Corporation(CNOOC) to take a greaterinterest in Queensland CurtisLNG reaffirmed Australiaas a leader in supplyingcleaner hydrocarbon energyto global markets.In May, QGC’s parent companyBG Group signed bindingagreements with CNOOC forthe sale of further interests inthe QCLNG project for US$1.93billion and for the supplyof an additional 5 milliontonnes a year of LNG from itsglobal portfolio.“Following the PrimeMinister’s successful visitto China our two countriesannounced a strategicpartnership and the supplyof minerals and petroleum,and increasingly LNG, is akey plank in our broaderrelationship,” Mr Gray said.“Ours is a mutually beneficialpartnership. China is theworld’s fastest growing energymarket, with huge demandfor LNG, at the same time asAustralia is poised to becomeone of the world’s top two LNGexporters.“The future of LNG productionis in Australia and today’sagreement demonstrates weare increasing our capabilitiesin LNG construction andoperation through a focuson innovation and the rightapproach from governmentand industry.”Mr Gray attended the signingceremony in Brisbane along withQueensland Deputy PremierJeff Seeney; QueenslandMinister for Natural Resourcesand Mines Andrew Cripps;CNOOC Group ChairmanWang Yilin; and BG GroupChief Executive Chris Finlayson– all hosted by BG AustraliaChairman Catherine Tanna.As part of the agreementssigned in early May, whichbuilt on a heads of agreementsigned in October 2012,CNOOC will acquire a 20 percent interest in the reservesand resources of certainBG Group tenements in theWalloons Fairway regionof the Surat Basin. CNOOCwill also increase its equityownership of QCLNG Train 1from 10% to 50%.BG Group’s Australian businessQGC Pty Limited remainsoperator and retains majorityownership of QCLNG.Mr Finlayson said: “Combinedwith the 3.6 million tonnesper annum (mtpa) LNG saleagreement signed withCNOOC in 2010, BG Groupnow has total committedvolumes to China of 8.6 mtpawhich will make the Groupthe largest supplier of LNG tothe world’s fastest growingenergy market.”He said that CNOOC, asa foundation partner inQCLNG, was among thefirst to recognise the valueand strategic importance ofthis world-first project – avision that is now coming tofruition as first LNG in 2014draws closer.“More broadly, the agreementsexpand our strong LNGposition in the Asia-Pacificregion, where we are onschedule with our LNG exportproject on Curtis Island inQueensland; where we havesigned long-term LNG salescontracts with customers inChina, Japan and India; and,where we will soon beginimporting LNG into Singaporethrough our position as solegas market aggregator,” MrFinlayson said.Jeff Seeney, Queensland Deputy Premier and Minister for StateDevelopment, Infrastructure and PlanningCNOOC Group Chairman Wang Yilin (left) and BG Group Chief ExecutiveChris FinlaysonGary Gray, Federal Minister for Resources and Energyour business JUNE 2013Page 13

Catherine Tanna at the American Chamberof Commerce in Australia eventchairman speaks outActivism threatens thousands of jobsFollowing is an abridgedtext of a speech given inBrisbane by BG AustraliaChairman Catherine Tannato the American Chamber ofCommerce in Australia.In this age of climate change– and while renewableenergy options do not yethave the characteristics orscale to meet rising energydemand – natural gas, withits relatively low emissions,will remain an important partof Australia’s and the world’senergy mix.I take great satisfactionbeing part of an industrythat is helping people tobreathe cleaner air in someof the developing world’smost populated cities and isproviding electricity so peopledo not have to cook usingfirewood, coal or cow dung.At home, the industry nowprovides more than 90% ofQueensland’s total gas supply,firing power stations, runningbuses, heating meals.That said, the gas industry hasbeen criticised on many fronts.Very occasionally that criticismis warranted and the industryhas been quick to remediate.A lot of what is said, though,is highly questionable, andpropagated without challengeto the point where activismdetermines public policy;where the tail wags the dog.A prime example is inproposed amendments tothe federal EnvironmentProtection and BiodiversityConservation Act, introducedin haste to the FederalParliament in March this year.The proposals aim tobroaden the Act to make“water resources” a matterof national environmentalsignificance and to make justtwo industries – coal andnatural gas – subject to thenew law when they have, infact, a relatively small impacton Australia’s water.To illustrate, coal andnatural gas use less than4% of Australia’s water.Agriculture uses more than50%. Agriculture can havesignificant impact on waterquantity and quality.Page 14 our business JUNE 2013

If these proposals were,therefore, designed to protectAustralia’s water resources,they fail on this logic alone.They were clearly notintroduced to deal with anenvironmental problem.They were introduced toappease activists.live in their home towns.That is a measure of whatis at stake when we havedecision making on this basis;when green activists andtheir supporters deliberatelymisinform; and when motivesand charges go unquestionedand unchallenged.how they work, how theytreat people, how they dealwith success, and how theydeal with failure.They work hard at understandingwhat drivespeople; what makes themhappy; what makes them sad;what makes them excited.to change; the capacity tomake a difference. In tappingthat capacity, we have tobelieve in something, tostand for something.With good intentions,courage and authenticity, wecan own and lead the changewe seek.We have not, of course,advocated that agriculturebe included in the Bill. Wehave, instead, asked that theBill be withdrawn.We believe the proposalsare fundamentally flawedbecause they deal witha fabricated perceptionand not with reality, andwill effectively shift theregulatory goal posts forprojects already approvedby a regulatory regime thatalready works.When fully operational, ourbusiness will contribute morethan A$1 billion a year to stateand federal governmentrevenues.That’s equivalent yearlyfunding for more than 20primary schools or about1000 hospital beds.Most importantly, a newspecialised sector has beencreated, diversifying oureconomy, and creatingnew, skilled, well-paid jobsin regional Queenslandcommunities like Gladstone,Chinchilla, Tara and Dalby.Projects like ours are alsorejuvenating the bush,increasing school enrolments,leading to better healthservices, improving roadsand, critically, giving youngpeople a reason to work andLeadershipIn practical terms, the lessonsof leadership that I havefound most helpful over theyears have not come fromtextbooks.They have come fromwonderful mentors and theyhave been deeply personal– that is, they are in all of uswhen we look.In my case, I have learnedthat leadership is “owned”by people who lead.They believe in something;they hold their values dearly.I take great satisfactionfrom being part of anindustry that is helpingpeople to breathecleaner air in some ofthe developing world’smost populated citiesand is providingelectricity so peopledo not have to cookusing firewood,coal or cow dung.They “own” everything theydo – and take responsibilityfor how they behave, howthey speak, how they listen,They refuse to be limited byself-doubt, by what peoplemight think, by their ownsense of worth.They have a go.They are courageous.And, most importantly, theyare authentic.They have good intentions– and by this I don’t meana comparison with badintentions; I mean acomparison with having nointentions at all.They say what they mean;they mean what they say.Whether we talk aboutbusiness, politics, religion,sport, science, education,or community, we seem tohave become a nation thatis crying out for leadership.We commonly hear ourselvestalking about “them” and“they” as those responsiblefor what we sense is a lackof leadership: a failureof “those at the top” tomake difficult decisions, apropensity for them to makeself-interested decisions,and most damning, their lackof intention.It has become easy to“outsource” our ailments.We have within each of us thecapacity to lead; the capacityThis leads me to what Ihave found to be the mostuseful question asked bymy business mentors andapplicable to every problemI have faced in my businessand personal life: So what?I have learned that goodleaders encourage peopleto explain their problems, toconstructively criticise, and tochallenge convention.Early in my career, I found itrelatively easy to explain thedetail of a problem only to beconfronted by much wisermen and women who wouldpatiently listen and then ask:So what do we do about it?This was more difficult; Ihad to be more thoughtful;and the people who askedstand out in my life becausethey were able to createconstructs and environmentswhere people like me wereencouraged to work onsolutions.This often meant fixingsimple things first; notbecause they were simple asin easy but that they weresimple as in obvious, and theyrequired good-intentioned,courageous decisions.As a society, it is not enoughto say things are broken; weneed to ask: “So what do wedo to fix them.”our business JUNE 2013Page 15

Promoting indigenous culture at ToolooaState High School in GladstoneSustainability reportVideos bring sustainability to lifeVideos have for the first timebrought to life BG Group’sannual Sustainability Report,with colour and commentaryfrom senior leaders at QGC andstaff working in the community.QGC features heavily in the2012 Sustainability Reportof environmental, social andgovernance performancearound the world, which isindependently audited byinternationally recognisedthird-party experts, andassociated videos.The videos, which numberabout 20 and can be viewedon the websites of BG Groupand QGC, explain a rangeof approaches, from safetyto water management andsocial investment.In introducing the videos,Sir John Grant, ExecutiveVice President of Policyand Corporate Affairs atBG Group, says: “It isvital that we understandour local stakeholdersin the places where weoperate, understand theirpreoccupations and align ouractions with their interests.”The report recognises thatsuccessful businesses canachieve commercial goals onlyif social and environmentalobjectives are set inconsultation with regulatorsand local communitiesultimately are reached.For example, a robustapproach to safety helps toensure environmental bestpractice; while the attitudeof our people and contractorcompanies to safety andenvironment helps us toengage with the community.Following are some excerptsfrom QGC’s part of the report.EngagementDuring 2012, we extendedengagement andcommunication with all ourQueensland communities.An important change in theWestern Downs was theintroduction of regionalengagement co-ordinatorsbased in three informationcentres across the regioninstead of a single centrein Chinchilla. This change,including the opening of anoffice in Wandoan, the mostnortherly town in the area,has enabled us to be muchmore active across the wholeWestern Downs region.Engagement throughinformation centres,community events anddedicated communicationwith landowners and othercommunity members hasgenerated greater acceptanceof the industry’s willingnessto discuss and work alongsidelandowners.Social investmentKey achievements during 2012included:• Developing an integratedhousing strategy forGladstone and the WesternDowns, investing inaffordable housing in theregion and contributingmore than A$6 million tolocal housing schemesand trusts;• Strengthening localworkforces by supportingapprentices and trainees innon-CSG skills to addressthe draw of local labour tothe gas industry. More than100 apprentices and traineesare enrolled;• Support for communityprojects aimed atenhancing liveability andcommunity cohesion in thecommunities in which weoperate through the QGCSustainable CommunitiesFund. The fund is investingup to A$6 million by 2014and has already supported110 community projects,spending A$3.4 millionduring the period since itslaunch in February 2011.Reporting and monitoringDuring the year, wereported regularly to ourregional community consultativecommittees.These committees wereset up to provide regularrepresentation of communityviews to QGC and a forumfor information exchangebetween the companyand community representatives.Each committeerepresents a cross-sectionof the community.We also partneredwith the University ofQueensland’s Centre forSocial Responsibility inMining to achieve bestpractice in meeting oursocial responsibilities. Withthe centre, and our regionalcommittees, we developedsustainability indicatorsto measure our directimpact and contribution tothe communities wherewe operate.You can read the report andwatch videos by visitinghttp://goo.gl/hwWLN or scanthis QR code.Page 16 our business JUNE 2013

Developing local contentMitch Ingram, QCLNG Project Director‘One of the key things that I personally am looking for withinthe project community is to develop and maintain goodcontractors. One of the challenges we’ve got is local contentand in the large parts of the project we have had to go tomajor contractors who are in various parts of Australia andelsewhere. What we’re really looking to do now is to trainand develop local companies to help us for the next 10 yearsor 15 years with all these activities we’re doing.’A view on sustainabilityDerek Fisher, Managing Director‘A project of this size, importance and longevity cannot besuccessful just to BG Group. It has to be successful for allthe external stakeholders, be that the State Government,local community, the contractor workforce, the man andwoman in the street. So it’s our objective to make sure thatthe success of this project, and the benefits, are sharedfar and wide. If we can do that, we will have a successful,sustainable project.’Community engagementBrett Smith, Vice President Sustainability‘For me, the biggest single indicator of progress with acommunity has really been the fact that we’re now solvingproblems together. Once upon a time we just got problemshanded to us. Now we’ve got communities engaged: ‘well,we’ve got this issue, how can we solve it together?’ As somebodywho was born in Chinchilla, that’s what I value. I value workingwith the community and I see that we are becoming anotherintegral part of the entire community in the Surat Basin andthat’s really how I see us going forward together.’Partnership approachJane Roberts, Social Investment Manager‘For our bigger social investment commitments we’ll goand look for a partner. We’ll look for partners who alreadyexist because we want capable partners with a good trackrecord of delivering a particular service. We’ll work withthem to deliver an additional service, or over and abovewhat they’re already doing. It’s about bringing ongoingbenefit to the community.’On-the-ground perspectiveOliver Blennerhassett, Land & Community Superintendent‘I believe in my position and the role we are playing in thecommunity. It’s an ongoing education of exactly what we aretrying to achieve and, alongside that, an understanding of howthe landholders are trying to operate as well. I’ve been in this rolefor a few years now and I have witnessed a huge improvementin interaction directly with the business and landholders at aground level. The key to it all I think is getting on it at a grassrootslevel and understanding their operation and how our objectivescan fit in and around that to achieve coexistence.’our business JUNE 2013Page 17

A Chinchilla local content forum connectsQGC and businessesQGC creates 11,600 jobsA$9.6 billion invested with Queensland firmsMore than 11,600 people areworking with QGC and itsmajor contractors, with morethan 15 people hired every dayduring the past six months.In QGC’s latest six-monthlyreport to Queensland’sCoordinator-Generalon Australian industryparticipation we reportedinvestment in construction,exploration and operationssince January 2010 had passedA$14.9 billion. This includedspending by both QGC andthe QCLNG Project.About A$12 billion - or 80%of the total A$14.9 billion- had been invested withAustralian firms since 1January 2010. Queenslandfirms had received 64.5%, orA$9.6 billion, of the total. Thereport covered 1 October 2012to 31 March 2013.QGC Managing DirectorDerek Fisher said more than115,300 Australian businesseshad registered their interestin doing business with QGCsince 2010.“QGC will be operating inQueensland for decades tocome and our QCLNG Projectis delivering economic andsocial benefits from the SuratBasin to Gladstone and acrossQueensland,” Mr Fisher said.“In the six months to theend of March, QGC and ourcontractors hired more than2800 people - or 15 people a day.“A snapshot of currentcontracts shows we areinvesting nearly A$1 billionin Gladstone and aboutA$684 million in the WesternDowns region.”Mr Fisher said 249 indigenouspeople were working withQGC and its major contractors.The number of trainingcourses for staff andcontractors had increasedto 22,994 from 13,900 in theprevious reporting period.“Training people to worksafely and efficiently isa priority as we ramp upconstruction ready for firstLNG in 2014,” he said.“Work to prepare our teamswho will operate QCLNG isalready underway.”The report showed 342apprentices, graduates, cadetsand trainees were working withQGC and its major contractorsand that QGC had investeda total of A$212 million inresearch and development.A video interview withDerek Fisher discussingthe report can be found athttp://goo.gl/eB9em or scanthis codePage 18 our business JUNE 2013

Morris CorporationMorris Corporation runs QGC camps in the Western Downs atthe Kenya and Windibri sites.Morris Corporation chief executive Rodney Molla said themajority of goods and products for QGC’s Morris-run campswere sourced from Western Downs suppliers.“In delivering camp accommodation Morris Corporation willdraw on the support of the many Western Downs suppliers andtradespeople who help us create comfortable living quartersfor workers,” Mr Molla said.“We work on the principles of safety, quality and efficiency. Wevalue the safety of our people and rigorously check the foodsafety at our sites.“We want to provide a quality service for customers living awayfrom home for extended periods; it’s the little things that matter.“On behalf of our customers we continually look at waysto minimise and eliminate waste and maintain a commercialfocus.”The provision of camp accommodation in the Western Downsregion is part of QGC’s project-wide Integrated Housing Strategy,which is easing housing pressures during the constructionof QCLNG.Morris Corporation has been operating in Queensland for morethan 40 years.The company has more than 1000 staff and provides qualityindustrial catering, cleaning, accommodation and facilitiesmanagement.Quick facts• Morris Corporation has worked with QGC since 2011 and hasbeen awarded a further contract worth A$25 million• The company employs about 65 people in the Western Downs• At QGC’s Windibri site 15% of Morris Corporation staffare indigenous• Most camp goods are procured from the Western DownsCorbet’s Timber HaulageQGC has recently started working with Corbet’s Timber Haulage,a third-generation family-owned company. Andrew Corbet hasrun the business for more than 10 years from its Gympie base,after taking over from his father.Quick facts• Corbet’s Timber Haulage is a third-generation, family ownedcompany• The company works for QGC in the Western Downs, clearingand rehabilitating well sites• Corbet’s employs about 35 people to work on the QGC project• Corbet’s recently won a second contract to work with QGCT&W EarthworksBrothers Tim and Wayne Collie established their earthmovingcompany more than 10 years ago and have watched their WesternDowns business grow thanks to work in the coal seam gas industry.Quick facts• T&W Earthworks were awarded an A$24.5 million contractby QGC for earth moving• The company employs about 95 people in the Western Downs• T&W trains its employees to enable them to obtain machinerylicences and tickets• T&W’s head office and machinery workshop is basedin CondamineA Morris Corporation camp kitchenVesselsguidedcarefullyout to seaA government-fundedvessel traffic managementservice will help BG Groupships navigate the southernextremities of the GreatBarrier Reef World HeritageArea when we begintransporting LNG fromCurtis Island to Asia-Pacificcustomers next year.The Great Barrier Reef andTorres Strait Vessel TrafficService (REEFVTS) helps crewsto avoid hazards by supplyingprecise navigational data andweather updates.LNG tankers have anexcellent safety record,having completed more than100,000 voyages without amajor accident or significantloss of cargo over the past50 years.BG Group is one of thelargest international LNGship operators, with a corefleet of nine ships expandableto more than 20 throughcharters as required.Go to http://goo.gl/Ax8X7 orscan this code to learn moreabout BG Group’s approachto shipping safety.our business JUNE 2013Page 19

Fire service for QGCQGC will have one of thelargest private fire andrescue services in Australiaafter awarding a three-yearemergency response contractto Queensland companyCorporate ProtectionAustralia (CPA) Group.Under the A$27.5 millioncontract CPA will, in case ofemergency, be able to provideup to 48 fire and rescuepersonnel in the Surat Basin.The service will primarilybe available for QGC butmay be used elsewhere inthe community.CPA currently provides fireprotection at QGC’s Kenya andWindibri worker camps nearChinchilla and fire fightingsupport for seismic crews.QGC Emergency ResponseAdvisor Dan Henricsonsaid QGC was enhancingemergency responsecapability in the field toprotect people and property.“Having our own professionalfire and rescue service keepsour workforce and localcommunities safe withoutplacing additional pressureon local emergency services,”Dan said.Crews have already beendeployed to the Kenya watertreatment plant and willset up bases at the Ruby Joand Woleebee Creek centralprocessing plants during thenext 12 months.CPA has been demonstratingits specialist vehicles andrescue equipment for QGCstaff. More demonstrationsand training will take placeover the coming months.Chris Duce, Geoff Harrisson and Eric Marsden practice with “jaws of life”From left to right: Eric Marsden, Peter Thompson, Ryan Purcel, GeoffHarrison, Kade Greenwood, James Kiwi and Tony FitzgeraldRegulators support safetyof natural gas productionA US environmental regulatorsays there is no evidenceto connect natural gasproduction with high levelsof methane in private waterwells in Pennsylvania.The case involving threefamilies’ water wells had beencited by environmentalists asan example of the dangers ofhydraulic fracturing, which iswidely used to produce naturalgas from shale and can be usedin coal seam gas production.Claims were made thatnatural gas drilling hadmade bore water unusableand undrinkable.The Pennsylvania Departmentof Environmental Protectionsays in a report that the gas iscoming from elsewhere.“The water samples takenfrom the private water wellswas not of the same originas the natural gas in thenearby gas wells,” the departmentsaid.More broadly, the USEnvironmental ProtectionAgency says that therehave been no confirmedcases of hydraulic fracturingcontaminating groundwater.The agency has also lowered itsmethane emissions estimatesfrom natural gas drilling sites.Even though natural gasproduction has increasedsharply in recent years, theagency says that the industry’spollution control effortshave cut methane emissions20%. Methane is the maincomponent of natural gas.Industry analysts also predictthat methane emissionsfrom natural gas productionwill decrease as oil and gascompanies implementbetter technologies.They point out that energycompanies have an economicincentive to prevent methaneleaks.Hydraulic fracturing, widelyused in the oil and gas industrysince the 1950s, can be used toimprove gas flows.This technique involvesusing high-pressure pumpsto inject mostly water andsand back into wells tohold open tiny cracks in thecoal seams.Small amounts of chemicalsmay be added to theinjection water, mainly to carrysand to help the spread of thefracture.QGC is not aware of deleteriouseffects anywhere from the useof chemicals in the hydraulicfracturing process.Go to http://goo.gl/qX5Aoto view QGC’s fact sheet onhydraulic fracturing.Page 20 our business JUNE 2013

QGC invests A$180,000 inGladstone Harbour healthQGC is contributing a furtherA$180,000 to preserve thehealth of Gladstone Harbour inthe third year of a partnershipwith Conservation VolunteersAustralia.The investment in GladstoneHarbour Catchment CareProgram will ensure thecontinuation of clean-upevents, community workingbees and marine debrissurveys designed to protectand enhance water quality.QGC and ConservationVolunteers Australialaunched the program in lateMay at Ecofest, Gladstone’senvironmental awarenessfestival.During 2011 and 2012,volunteers collected morethan 1700kg of rubbish andreplaced 30,000m 2 of weedsalong Briffney Creek withtrees.The program this year alsoinvolves training of volunteersin environmental monitoringskills and raising awarenessof environmental issuesin schools and among thegeneral community.The A$180,000 investmentbrings QGC’s total contributionto A$397,286 since thepartnership began in 2011.QGC Managing Director DerekFisher said the partnership waspart of QGC’s commitmentto managing impacts andmaximising benefits fromthe Queensland CurtisLNG Project.“The program supportsinitiatives to protectenvironmental qualities ofGladstone Harbour so peoplecan safely enjoy the harbour,The Narrows and adjacentcreeks and supportingenvironment,’’ Mr Fisher said.Conservation VolunteersAustralia is an international,not-for-profit organisationdedicated to involving thecommunity in practicalconservation programs. Itwas established in Gladstonein 2004.The organisation’s Director ofCorporate and GovernmentAffairs, Phil Harrison, said:“Together we are supportingmarine life in GladstoneHarbour and are eradicatinginvasive exotic weeds that area major contributor to poorcatchment health. In theirplace we are planting nativespecies that are endemic tothe Gladstone region and thusstabilising the catchment.”From the frontlineFollowing is an abridged textfrom the annual report of thehelicopter medical servicesfunded by the oil and gasindustry and operated byCareFlight, in the WesternDowns and Gladstone.It is pilot Nick Trimmer’s perspective on the valueof the helicopter service.The recent case of a male subcontractor severely injured in ahead on collision depicts the absolute value of what CareFlightand Surat Basin Rural Wing Aero Medical Evacuation(SBRWAME) service are offering to the community.In December 2012, CareFlight’s Roma based SBRWAMEcrew was tasked 20km outside of Fairview Camp where a54-year-old man was trapped in his vehicle after collidingwith another truck. Pinned from his chest down, the manhad suffered a fractured pelvis, dislocated hip, compoundleg fracture and chest injuries. His life-threatening injuriesrequired rapid medical intervention. CareFlight’s Dr HayleyFrieslich was able to provide the critical care required tostabilise the patient so he could be flown to Royal BrisbaneHospital for emergency surgery.With CareFlight based at Roma the team was at the accidentsite in 35 minutes, landing on a nearby dirt road. Dr Frieslichand Paramedic Dave Bourke worked on the man while he wasstill trapped in the wreckage, but the patient needed to beurgently airlifted to a major tertiary hospital. The man wasreleased from the car and Dr Frieslich inserted a chest drainto relieve some of the pressure from the patient’s collapsedlungs. She also placed him on life support for transport. Theair crew was then faced with the unusual challenge of a 2hour 15 minute flight from Roma to Brisbane. The decisionwas made to fly to CareFlight’s Toowoomba Base, take onmore fuel, and then continue straight through to Brisbane’sRoyal Brisbane Hospital. Despite continual medical treatmentin the back of the helicopter, the man’s condition startedto deteriorate en route to Toowoomba.Additional medical equipment, blood and drugs werecollected from the Toowoomba Base, a refuel performed,a new flight plan produced and within 10 minutes theaircraft was in the air headed for Brisbane.The contribution of so many on this particular day saved aman’s life. In particular, the SBRWAME duty crew involved inthe treatment and transport of this severely injured patientmust be highly commended.QGC’s Deirdre Fagan-Pagliano at Ecofest 2012The entire CareFlight team is honoured to be a part of suchan integral operation servicing the oil and gas industry andits many valued members and their families.our community JUNE 2013Page 21

Barramundi catchin Gladstone ison the riseAnglers in Gladstone are morelikely than ever to catch abarramundi with their nextcast, according to a two-yearstudy of recreational fishingtrends in the region.For more than two yearsQGC has funded researchby Infofish Australia intorecreational fishing trendsand waterway habitatsaround Gladstone.QGC’s funding is part of ourSustainable CommunitiesProgram to make the mostof the benefits of QueenslandCurtis LNG.A report on the study, titledGladfish 2012, was launchedat Gladstone’s premierefishing festival, the BoyneTannum Hook-up.Infofish Australia, with thesupport of the GladstoneSportfishing club, received216 responses to a surveyof recreational fishersin Gladstone betweenSeptember 2010 andOctober 2012.The study found barramundistocks in Gladstone’swaterways were at thehighest recorded level, withthe catch rate – or percentageof barramundi among fishcaught – rising from 3.1% in2006-10 to 28.4% in 2011-12.The Gladstone Area WaterBoard has attributed theincreases to floodwaterswhich swept more than20,000 barramundi over thetop of Awoonga Dam in thepast few years. Other findingsof the study included:• The most frequentlycaught species from 2006-12 was bream (yellowfinand pikey), comprising24.9% of recordedcatches;boat registrationsin the Gladstone RegionalCouncil area rose by 30%to 7,000 from 2000-12;89% of respondents livein the Gladstone area;74% of respondents ratedrecreational fishing as theirmost important outdooractivity;• 78% of respondentswere satisfied with theoverall quality of fishingin the region;• While 80% of respondentssaid they were concernedabout the health of fishin the area, a study of 232barramundi caught byrecreational fishers found224 had good skin condition.Gladstone Sportfishing ClubPresident Dennis Sullivansaid: “The report providesa valuable insight intorecreational fishing duringa time of unprecedenteddevelopment aroundGladstone and particularlythe harbour.”Infofish Australiarepresentative Bill Sawynoksaid: “The funding will allowtrends to be further assessedand include the developmentQGC Community Liaison Officer Chris Brooker with his prized catch froma trip on the water with Gladstone Sportfishing Clubof a ‘crystal bowl’ indication ofpredicted barramundi stocksfor the coming two years.““This will provide recreationalfishers with information theycan use to determine theirlevel of future investment inthe fishery.”QGC Vice PresidentSustainability Brett Smithsaid the partnershipwith Infofish was part ofQGC’s commitment tomanaging impacts onGladstone’s waterways.“Infofish Australia and theGladstone SportfishingClub are providing valuableinformation about the healthof fish populations aroundGladstone, which directlyimpacts the sustainabilityof fishing in the region,”Brett said.Gladstone partnershipwins national awardAn innovative partnershipinvolving QGC, AustraliaPacific LNG and SantosGLNG to deliver highquality,affordablehousing has receivednational recognition.The collaborationbetween Queensland’sthree LNG developersand the not-for-profitcompany GladstoneAffordable Housing inMay earned the BusinessPartner of the Year Awardat the PowerHousingAustralian Annual Awardsdinner in Melbourne.The award acknowledgescorporate organisationsworking in partnershipwith the communityhousing sector to developprojects that contribute toan increase in affordablehousing.Page 22 our community JUNE 2013

QGC provides $425kfor mobile indigenoushealth clinicQGC is providing A$425,700to establish a mobile clinic forindigenous people to improvepreventative and primaryhealth services in central andsouthern Queensland.In a partnership withQueensland Aboriginal andIslander Health Council,QGC will fund the fit-outof an off-road caravan thata team of doctors, nursesand indigenous healthworkers will use to undertakeclinical consultations.The Gladstone-based clinic,which is expected to start inAugust, will service an areareaching west to Emerald andsouth to Roma and Miles.Visits from the clinic tocommunities in these regionswill be coordinated to supportmedical services provided bythe Aboriginal Medical Serviceand Queensland Health.QGC Managing Director DerekFisher said establishing theservice would strengthenhealth services in line withcommitments made in theA$150 million QueenslandCurtis LNG Social ImpactManagement Plan.Queensland Aboriginal andIslander Health Councilrepresents 26 communitycontrolledAboriginal andTorres Strait Islander healthservices across the state.The council’s chief executive,Selywn Button, said the projectwas a clear example of howcorporate partners could workwith indigenous communitiesand organisations.“QGC has shown greatcommitment in supportingthe development and ongoingplanning associated with theproject,” Mr Button said.“A solid partnership has nowbeen established which willensure that Aboriginal andTorres Strait Islander peopleacross Central Queensland,North Burnett and surroundingareas are able to access vital,good-quality comprehensiveprimary health care services.”The mobile health clinic willbe staffed by representativesfrom the Central QueenslandAboriginal and IslanderCommunity Controlled HealthOrganisation, which is thepeak body for indigenoushealth in Central Queenslandand Wide Bay.Reconciliationaction planQGC Managing DirectorDerek Fisher has signed acommitment for QGC todevelop a ReconciliationAction Plan setting outfurther economic, socialand environmentalopportunities forindigenous people inareas where we operate.During the next six monthsQGC’s Sustainabilityteam will work withstaff on ideas for bettercultural awareness andidentify targets foremployment, training,career developmentand education – bothwithin QGC and in thecommunities wherewe operate.Derek said the plan wouldformalise QGC’s strategicapproach to working withindigenous Australians.“We are determined toplay our part to bridge thegap between indigenousand non-indigenouspeople,” he said.“We have a recordof ensuring that ouractivities benefit allpeople in the areaswhere we work and werecognise the importantrole that reconciliationaction plans play toimprove people’s lives.”Derek said the planwould enhance ourability to help indigenouspeople find work withus, improve their skillsand develop successfulbusinesses.The new caravan to be operated out of Gladstone will be similar to another clinic operated out of Mount Isaour community JUNE 2013Page 23

What is a ... well workover?The term workover soundsunfriendly, the sort of thingthat bad guys threaten to doin cop shows.Thankfully no fists arenecessary in this routine wellmaintenance activity.The rotating machinery ofpumps at the base of wellsthat produce water from coalseams, allowing natural gasto flow, operate in a hot androcky environment.Therefore, the pumps requiremaintenance every two tothree years.The most common reason foran overhaul is the interferenceof tiny pieces of rock and siltwith moving parts of a pump.When this happens a workoverrig, otherwise known as aservice rig, is brought in toreplace parts of the pumpand remove loose rock fromthe well.The main steps in maintenancetypically include:• A rig being moved on to thelocation and positioned overthe well• Connecting the rig to thewell using pipes• Pumping water into the wellto prevent the flow of gas• Sealing the well mechanicallywith safety equipment• Bringing the pump andconnecting tubing to thesurfaceThe well is usually restoredto production in two to threedays and the rig is moved tothe next location.QGC has four contractor rigsdedicated to servicing wells inthe Surat Basin.The diagram below showsthe working parts of a pump,which operates inside steelcasing that is cemented tothe rock.A drive unit at the well headspins a rod and a connectedpart that lowers groundpressure just enough to drawwater and gas out of the coal.The steel is perforated inthe area of the targeted coaland this sometimes allowsparticles of rock to enterthe pump.Studies are being doneby members of the WellEngineering and ProductionEngineering teams to helpprevent this.CasingTubingSucker RodRotorStatorStop PinA workover crew in actionWell tubingPage 24 our people JUNE 2013

Mother’s Day ClassicQGC was the largest corporateteam in the Mothers’ DayClassic walk and run for thesecond year in succession.We had 223 participants inBrisbane, 64 in Chinchilla and58 in Tannum Sands – all indistinctive pink shirts. Thisyear the event was held in 74cities and towns throughoutAustralia to raise money forbreast cancer research.Spirits were high at theChinchilla and Tannum Sandsevents and intermittentrain in Brisbane failedto put a dampener onQGC’s participants.They joined more than14,000 walkers and runnersto complete the 4.5km or 8kmroute along the Brisbane Riverfrom South Bank.Thank you to all QGC teammembers who participatedand we look forward to yourparticipation in 2014.QGC Mother’s Day Classic participants - The Tannum Sands teamChinchilla teamRichard soars to IndiaWhile QCLNG isone of BG Group’stop two priorities globally,opportunities continueto arise for our people tosoar elsewhere.QGC Aviation ManagerRichard Eva recentlyanswered the call fromBG India.Richard, who, as a formermember of the RoyalAustralian Air Force was morefamiliar with an aircraft bombbay than Bombay, spent abouttwo months in Mumbai. Hewas part of an expert panelestablished to undertakea technical evaluation ofbids for a new multiyearhelicopter contract, ensuringrigorous application of theBG Aviation Operationsstandard. Richard was alsoasked to provide advice ona safety incident in February2013.BG Group has significantinterests offshore in India,where helicopters arerequired to fly people andsupplies between productionplatforms in the ocean andthe mainland.The offshore interests areprimarily in the Mid andSouth Tapti gas fields westof Mumbai and the Panna/Mukta oil and gas fields eastof Chennai.In Queensland, Richardmanages QGC’s aviationinterests including more than250 flights a month betweenBrisbane and Chinchilla withcharter operator GAM.He has also been instrumentalin the successful developmentof the two helicopter medicalservices funded by the gasindustry and operated byCareflight, in the WesternDowns and Gladstone.These services have beeninvolved in the medicaltreatment over 50 gasAviation Manager Richard Evaindustry workers and over100 other people in thecommunity.“Working in India was agreat experience,” Richardsaid. “It doesn’t matterwhere you work in BG,the people are whatreally make the differenceand India was certainlyno exception.”our people JUNE 2013Page 25

“It’s much more than signingon the dotted line”We’ve all come across contracts. Theyoften signal big events in our lives; buyinga house, getting a job or our favouritefootball team signing a new player.It’s no different for QGC.Getting our contracts right and managingour agreements effectively is critical toachieving first LNG next year.But the work doesn’t stop there.Contracts are also being developed tomake sure QGC has the equipment andstaff we need to maintain and run ourgas operations from the Surat Basin toCurtis Island post 2014.The 145-strong contracts and procurementteam at QGC manages more than 770contracts worth over A$20 billion.Jody Rowe, who has headed QGC’scontracts and procurement function since2011, said the team worked with managersto forecast business needs. Through thisplanning QGC had saved almost A$76million since January 2012.“Working at QGC is a great opportunityfor contracts and procurement personnelto handle a range of high value, complexcontracts,” she said.“Last month we signed an A$800 millioncontract to operate and maintain QGC’swater treatment plants.“The scale is huge – these plants willbe treating about 200 megalitres a day,or about 80 Olympic-sized swimmingpools, during peak production.” The teamworks hard to seek out the most suitableand qualified providers and make surecontracts are assessed for ethical conductand health and safety compliance. It’smuch more than signing on the dotted line.Steve Ansell heads up QCLNG Projectcontracts and procurement, joining theteam in September 2011. He and his teamare responsible for making sure the QCLNGProject have the right contracts in placeto enable construction of everything fromgathering lines to the LNG plant.“This is the largest capital project I haveever worked on and I have been fortunateenough to work all over the world.During 2012 we awarded 11 contractsworth more than A$1.1 billion gross andprocurement ran to 120 packages worthA$1.3 billion gross.“The big focus for my team, now that themajor contracts are in place, is the diligentand professional management of thosecontracts to ensure the best outcome forQGC,” said Steve.QGC’s major tender documents andcontracts require Australian suppliers to begiven full, fair and reasonable opportunityto participate in the QCLNG Project.The company has invested A$14.9 billionsince 2010, 80% of which has gone toAustralian firms.Contractors hired by QGC must employlocal people and use local goods andservices where possible.Smaller businesses who work directly withQGC often receive support to becomemore competitive or take advantage ofopportunities to diversify within the oiland gas sector.The big and the small:recent contract awards• A$800 million over 20 years to VeoliaWater Australia Pty Ltd to operateand maintain QGC’s three watertreatment plants in the Surat Basin.• A$27.5 million to CorporateProtection Australia for up to 48fire and rescue personnel, who willprovide a response capability for QGCin the Surat Basin.• US$620 million maintenancecontract to GE Oil & Gas AustraliaPty Ltd to support carbon-efficientturbines and other equipment atthe Queensland Curtis LNG plantnear Gladstone.• A$24 million earth moving contractto T&W Earthworks, based inCondamine.The Veolia contract is valued at A$800m over 20 yearsPage 26 our people JUNE 2013

Connect with QGCConnecting with QGC has never been easier. Your feedback and ideas are always welcome and help usto plan, develop and operate our projects, minimise impacts and maximise benefits of our activities.*TelephoneIn person1800 030 443 - our 24-hour toll-free community information lineSpeak to a QGC team member at our community information centres.Chinchilla Gladstone Wandoan81 Heeney Street 72 Goondoon Street 27 Royd StreetBy post PO Box 266Chinchilla QLD 441372 Goondoon StreetGladstone, QLD 468027 Royd StreetWandoan, QLD 4419Give us feedbackonlineEmailCommunityCommitteesWe welcome your feedback on how we’re doing...www.qgc.com.au/contact-us/give-us-feedback.aspxcommunity@qgc.com.auOur Community Committees allow us to reach out, inform andcollaborate with local people who represent regions in which we work.Each committee looks after a separate area: throughout the SuratBasin, along our pipeline network, and in and around our soon tobe established liquefied natural gas facility near Gladstone.Members are drawn from a cross-section of society,including local government, education, health, communityservices, and business and recreation sectors.Please visit the committee pages on our website for further information,meeting dates, contact details and to download meeting minutes.www.qgc.com.au/community/community-committees.aspxTwitterLinkedinwww.twitter.com/QGCInfowww.linkedin.com/company/qgc---a-bg-group-businessCorporate inquiriesqgc@qgc.com.auLevel 30, 275GPO Box 3107,Tel: (07) 3024 9000George Street,Brisbane, QLD 4001Fax: (07) 3024 8999Brisbane, QLD 4000* Please note, personal information such as your name and contact details will be managed in line with QGC’s privacy statement,available at www.qgc.com.au.Page 27

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