engineering australia excellence award - port hedland port authority

Utah Point Multi-User Bulk Export Facility Port HedlandServicing Australia’s future trade growth

2011 WA Engineering Excellence AwardsResource Development Category

ContentS

ContentS

ProjeCt overview 1

CAtegoriSAtion StAtement 4

mAndAtory CriteriA 6

oPtionAl CriteriA 21

APPendiCeS 30

ACknowledgementS 46

ProjeCt overview

ProjeCt overviewProjeCt overview

the Utah Point multi-User Bulk export Facility (Utah Facility) addresses the resource industry’s need for expanded port facilities to meet current and future growth in global demand for western Australian mineral resources and to facilitate export for emerging mineral producers in the Port Hedland region.

the Utah Facility was constructed on Finucane island opposite the existing public berths and within the narrow neck of the Port Hedland harbour. the Utah Facility development concept consisted of a new dredged berth pocket and 270 metre long concrete wharf, travelling ship loader, 24 hectare stockyard and associated materials handling infrastructure, administration and controls facility, and a 10 kilometre dedicated access road.

originally designed for a maximum export capacity of 12 to 15 million tonnes per annum, increased industry demand resulted in design modifications to accommodate an export volume of up to 21 million tonnes per annum. expanded capacity was achieved by increasing the dredged depth of the berth pocket, introduction of an innovative new automatic mooring system to berth larger vessels and increasing the materials handling system peak loading rate from 5,000 to 7,500 tonnes per hour. these innovations allow the current facility and stage one of the stockyards to reach up to 14mtpa prior to the construction of future stockpiling.

Using an integrated client team approach, the Port Hedland Port Authority (PHPA) worked collaboratively with project management consultants, Pinc group Pty ltd (Pinc) to deliver the project. Project planning commenced in September 2006 and first ore on ship was achieved within 4 years on 17 September 2010 after a 20 month construction phase.

A number of sustainable technology initiatives and innovative engineering practices were adopted and significant studies and consultation undertaken as part of a full Public environmental review. this process addressed the complexities associated with designing and constructing a port facility to transport, store and export a multitude of minerals with potentially adverse environmental and community impacts.

innovations were introduced to achieve operation efficiency and to mitigate health risks and other community concerns including: a 45,000m3 water recirculation and stormwater harvesting system; bentonite geosynthetic lined stockyard floor with plastic reinforced seawall embankments; custom designed automatic vessel mooring system; real time vibration monitoring of the BHPBio tunnel; quad road train wash facilities; unique mobile hopper train ore reclaim system and a commitment to a mangrove propagation farm.

the Utah Facility performed beyond expectation in achieving nameplate capacity within 6 months of operation and has proved capable of delivering 9 million tonnes of trucked ore per annum throughout representing estimated export sales of $1.5 billion per annum.

Future increases in industry demand can be accommodated within the Utah Facility with provision made for receiving product via alternative ore transport modes such as rail or slurry pipeline. Additional land has been allocated adjacent to Utah Point to increase opportunities for new and emerging mining companies that would otherwise be denied access to export markets.

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ABoUt Port HedlAnd Port AUtHority

ABoUt PinC groUP Pty ltd

the Port Hedland Port Authority (PHPA) is a statutory authority owned by the western Australian government. the Port Authority has a charter to operate along commercial lines with a primary purpose to facilitate trade through the port.

PHPA’s major functions are the control of all shipping, and maximising the loaded capacity of ships through the use of world leading technology that allows the Authority to maintain minimum safe under keel clearances. the Port Authority also has a responsibility to plan for and manage new developments whilst protecting the environment of the port.

established in 2005, Pinc is an emerging provider of choice for specialist project management and project services to the resource sector. Pinc’s unique PmC management processes and integrated software and systems are designed to support clients to successfully develop major capital works.

Previous clients of Pinc include:

• Abesque Engineering Ltd. • Extension Hill Pty. Ltd. • Atlantic Ltd. • Atlas Iron Ltd. • Ausenco Ltd. • BHPB Petroleum

• Boddington Gold Mine

• Fortescue Metals Group Ltd.

• Karara Mining Ltd.

• Midwest Vanadium Pty Ltd.

• Newcrest Mining Ltd.

• Rio Tinto Ltd.

• Worley Parsons Ltd.

CAtegoriSAtion StAtement

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CAtegoriSAtion StAtement

the Utah Facility addresses the resource industry need for expanded port facilities to meet current and future growth in global demand for western Australian mineral resources.

Construction of a new multi-user bulk export facility on the west side of the harbour at Utah Point, with a capacity to receive small cape size ships up to 120,000 tonnes deadweight, resolves current pressure placed on existing port facilities within Port Hedland, and allows western Australia’s junior mining companies to export their products to a resource hungry global market.

implementation of sustainability initiatives and innovative engineering practices and technologies have not only improved operational efficiency across the port, but reduced environmental and health risks to Port Hedland residents, whilst improving amenity for all.

within the 2010/11 financial year, the Utah Facility is expected to increase export tonnage over the PHPA operated berths by 360% from the previous year achieving the facility’s designed nameplate capacity of nine million tonnes per annum with an estimated total export value of $1.5 billion.

mAndAtory CriteriA

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mAndAtory Criterion 1 - oCCUPAtionAl HeAltH & SAFety

As the first major construction project undertaken by PHPA, the Utah Facility presented a number of occupational health and safety (oH&S) challenges for the project management team and contractors given the absence of established safety management policies and procedures, and minimum safety standards for construction.

this situation was further complicated by a contracting strategy that required the construction management team to control the interfaces between multiple independent contractors occupying the same work spaces, along with Port Hedland’s difficult environmental working conditions where dust exposure and high ambient temperatures and humidity pose significant health and safety risk.

A carefully crafted project management strategy was established to ensure safe design and construction outcomes. the project’s oH&S Plan set minimum standards and procedures based on industry standards and statutory requirements. outlining site specific requirements for entering and working on site, the Plan relied heavily on the contractors own quality and safety management systems and procedures. the need for cooperation, trust, individual responsibility and accountability were adopted as a basic undertaking by all parties.

“The Utah Facility is committed to ensuring the highest possible standards of occupational health and safety, the minimisation and control of all risks, and to zero harm.” excerpt from the Utah Facility’s Safety management Plan.

Safety management initiatives targeted training, risk assessment and problem solving in high risk areas. it was recognised early that the most impact could be achieved by focusing on improving behaviour and attitudes of front line workers and supervision to improve the overall safety awareness and culture.

Backed by a high visibility, supportive and positive leadership culture in which the entire project management team and contractor personnel were genuinely engaged in decisions affecting workforce safety, the project management team led work planning and communication through daily tool Box meetings and weekly contract meetings with the Construction manager that focused primarily on safety and environmental issues.

An example of an effective safety initiative is evident in the implementation of safety controls over the dredging and piling operations over the BHPBio tunnel as detailed in Appendix A. real-time vibration monitoring with direct contractor communication was established to predict when dredging and piling operations might exceed pre-determined safe vibration limits. this allowed the extent of further work to be forecast and quickly agreed upon to ensure work undertaken by third parties within the tunnel could continue safely and without disruption.

despite the difficult environmental conditions, relative remoteness of the site and high risk nature of the construction work, the safety management strategy delivered a lost time injury Frequency rate (lti Fr) of 1.4 resulting from one lost day through injury from a total 850,000 site manhours.

this lti Fr represents only 10% of the wA construction industry’s average of 13.9 and only surpassed by the best performing industry sector, that of the finance and insurance industry1.

1work related lost time injuries and diseases in wA 2006-07 to 2008-09,worksafe wA.

Key OH&S initiatives employed across the project included:

• High weighting to safety performance and systems in the evaluation of tenders.

• Hazard identification Analysis (HAZid) and formal risk assessments undertaken regularly.

• early identification of unacceptable risks that could lead to unsafe outcomes.

• empowering all personnel to stop work where unsafe practices or risks were observed.

• daily, unobtrusive observation of work practices with positive feedback for safe work.

• Avoidance of safety clichés or rules for which the rationale could not be justified.

• elimination of unnecessary paper work, especially for workers and supervisors.

• A genuine no blame system and no penalties for lapses or mistakes.

• early and comprehensive incident/near miss reporting.

mAndAtory CriteriA

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Seawall construction using concrete impregnated miracell

mAndAtory Criterion 2 – SoUnd engineering PrACtiCeS & PrinCiPleS

A fresh approach to project management

Successful delivery of the Utah Facility can be attributed to the selection of contract and procurement strategies matched to project and commercial risks and the implementation of an effective client integrated team.

Flexible contracting strategy matched to risk

A significant element of the project’s success lay in the careful selection of contract strategies to minimise scope, cost and time risks. when the project was assessed as requiring a full Public environmental review (Per), the planned fixed lump sum design and construction model had unacceptable prolongation risk and was therefore replaced with a client integrated project and construction management team.

this allowed close management of project approvals and funding requirements, with preliminary engineering and procurement undertaken whilst the scope continued to be developed during the Per process. this strategy led to PHPA taking responsibility for long lead item procurement, managing engineering at a pace consistent with Per outcomes and to stage

the award of construction contracts in line with the availability of funds.

the financial benefit of adopting a fresh approach to contracting was evident in the supply and installation of the site’s high voltage electrical feeder. A risk loaded fixed price offer presented by the service authority was renegotiated to a reimbursable contract (cost plus fixed fee) that netted a 57% cost saving for the augmentation of power to the site.

An integrated team approach to project and construction management

Following completion of the concept development phase, PHPA commissioned the services of Pinc group Pty. ltd. (Pinc) to work collaboratively as project manager in a genuine integrated team approach where Pinc was empowered to think and behave like the client

during design and procurement, Pinc provided the flexibility required, with part-time and full-time multi-disciplined staff allocated according to the changing needs of project implementation

Refer Appendix B for Utah Facility Organisational Chart.

Pinc was able to provide PHPA with the resources, procedures and systems required to effectively manage project planning, scheduling, procurement, contract management, project controls and reporting. this service was simplified by the adoption of Pinc’s innovative proprietary integrated Project management Software (PincSys) which continues to be utilised by PHPA in its ongoing operations.

the client integrated team approach required a high degree of trust to foster close communication, eliminate duplication of management and encourage fast decision making. with PHPA’s limited experience in the development of major capital assets, this

approach provided a more efficient and cost effective project management solution.

total engineering, procurement and construction management (ePmC) services from concept development (excluding the Per and associated studies) through to commission and handover were delivered for a minimal 10.2% of total project capital (as summarised below) in an industry where the costs of ePmC services are typically in the range of 15-25%.

• Project management and Procurement 1.76 %

• engineering 4.30 %

• Construction management 4.11 %

mAndAtory CriteriA

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Sample of 3d Computer model Used in designing the Utah Facility

Utah Facility Construction team Photo

mAndAtory Criterion 3 - originAlity & ingenUity

Construction

the stockyard was constructed over potential acid sulphate marine mud to depths up to 2.5 metres. too environmentally unstable to expose to oxygen and expensive to treat, the stockyard was designed to “float” on the mud. to minimise earthwork haulage costs, the stockyard floor was restricted to a depth of 2 metres, which required strengthening of the fill to avoid overturning slip failure from the weight of stockpiled ores.

the stockyard base contains a bentonite barrier layer and groundwater collection system installed 0.9 metres below the stockyard surface to prevent ore residues and dissolved solids from contaminating the groundwater. Bentonite was

selected as the preferred lining material given its chemical stability, self-sealing properties and ability to adjust to differential movement in the stockyard floor.

each of the 13 stockpiles housed in the stockyard are capable of exerting a pressure equivalent to a 30 storey building. two Securgrid 400/40 geogrid layers with tensile strength of 400kn were chosen as the preferred method of reinforcing the stockyard base given their superior strength and environmental stability. Stockpile height restrictions were imposed on initial stacking operations to allow consolidated marine mud to develop strength. Fill settlement of up to 20cm was forecast and the stockyard design accommodated this predicted movement.

Utah Facility Stockyard

the Utah Facility has a 24 hectare (1030m x 235m) multi-user bulk materials stockyard designed to receive nine million tonnes per annum of ore delivered by road train. this facility is the first of its size and purpose in the world and is truly unique in the design and construction methods used in its creation.

Size

designed for 20 hour operation (allowing a 4 hour traffic curfew for evening peak hour), this facility is the only one in the world capable of receiving one quad road train transporting up to 106 tonnes of multiple ore products every 5 minutes in a continuous operation.

Design Flexibility

As selection of facility clients and their products were indeterminate during the design phase and expected to change over time, the stockyard layout, loading and stacking infrastructure, materials handling and electrical systems were designed to manage a range of minerals, loading rates, material properties and ore sizes ranging from 120mm abrasive chromite lump to superfine mineral concentrate.

workers rolling out geogrid layer to marine mud stockyard floor

mAndAtory CriteriA

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Preparing marine mud for geogrid layer

A safer, more efficient way to moor vessels

Catovec’s moormaster Automatic mooring System uses new technology to improve safety, time and operational costs associated with berthing large ships and significantly increase the port’s throughput.

innovative 200mm units designed to withstand Port Hedland’s extreme tidal, heat and dust conditions have not only improved safety compared to traditional rope mooring, but reduced vessel capture, moor and release times by approximately 2.5 hours per vessel.

More information on the innovative application of Cavotec technology is found in Mandatory Criteria 8.

Quad road train Adjacent to Stockyard dump Pocket

mobile Hopper train Schematic

mAndAtory CriteriA

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Operations

given the volume of trucks and variety of ores being transported to multiple stockpiles within the facility, customised transport, truck management and communications systems were designed to manage stockyard efficiency.

A two lane elevated perimeter road allows trucks to circulate, pull out safely and right side dump into hoppers capable of automatically identifying the truck and its contents before unloading. A CCtv system linked to a central control room at the entrance was also constructed to ensure efficient facility management and security.

Refer Appendix C - Utah Facility General Arrangement Plan and Process Flowsheet for more further information.

Significant cost savings were achieved by replacing the traditional fixed hoppers with two originally designed hopper trains. these rail trains were designed to operate over the central reclaim load-out conveyor with trailing power and water cables. the six hoppers and two motor control centres required for this solution achieved considerable capital cost and operating savings.

Refer Appendix D - Mobile Hopper Train General Arrangements 1 and 2 for further information.

3d model view of stockyard

mAndAtory Criterion 4 - eConomiC ContriBUtion

“This was a development that needed to happen… it is necessary to meet the significant growth that has come through the port but also facilitate iron ore juniors to get their products out.”1

Andre Bush, CEO, Port Hedland Port Authority.

mAndAtory CriteriA

ore being conveyed onto ore carrier docked at Utah Point berth

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Increasing Port Hedland’s export capacity

the development of the Utah Facility has had a fundamental impact on western Australia’s future export potential and economic activity.

the Utah Facility signals a vital opportunity for new and emerging miners to export their products to international markets. Commencing the export chain through affordable trucking options is expected to provide a starting point for the generation of valuable cash-flow to new market entrants, which will in turn provide future opportunities for expansion through capital development and encourage investment in minerals mining well into the future.

PHPA’s strategic plan to expand the Port’s inner harbour capacity from 200 million tonnes to 495 million tonnes per annum cannot be achieved without the Utah Facility. through clever design and use of technology, the facility accommodates

existing public berth infrastructure to increase inner harbour capacity without reducing the export capacity of other port users. the BHPBio under harbour tunnel that crosses at shallow depth under the Utah wharf constrained the depth of the Facility berth pocket such that it was only suitable for Panamax and Small Cape vessels with low drafts capable of accessing the harbour during low tide when larger ore carriers cannot operate.

Custom built to manage between 85,000 and 100,000 road trains per year, the Utah Facility stockyard delivers a diverse range of ores from mines within a 550 kilometre radius of Port Hedland. within the first year of operation, the Utah Facility has achieved nameplate export capacity of 9 million tonnes of trucked ore per annum worth an estimated $1.5 billion in export sales and facilitated a 360% increase in annual export tonnage for PHPA public berths.

Provision was also made for ship loading rates of up to 7,500 tonnes per hour, well in excess of the rate required to service the stockyard. when coupled with the increased operating efficiency provided by the Cavotec Automatic mooring system, the Utah Facility can increase throughput capacity well beyond the current 9 million tonnes per annum.

Future expansion of the facility has also been considered in its establishment. Additional land has been assigned for the construction of a second stockyard capable of receiving mineral products through a variety of alternative transport modes such as rail, overland conveyor or slurry pipeline. existing facility capability and access road design will permit these options to be pursued without modification to the current materials handling system.

mAndAtory Criterion 5 – CommUnity BeneFit

development of the Utah Facility and relocation of chromite and manganese exports from Port Hedland’s west end to Utah Point has resolved a number of significant environmental issues affecting the local community. in addition to the significant environmental and health improvements outlined in optional Criteria 16, the following have also contributed to a significantly improved amenity for the Port Hedland community.

Increasing employment opportunities in the region

the number of employees working for the PHPA increased from 25 to 90 with a diverse range of skill sets, following completion of the project. these personnel were either sourced from the local community or new residents following a commitment made from staff to live in Port Hedland. given Port Hedland’s typically transient population, PHPA has made a significant contribution to strengthening Port Hedland’s permanent employment base.

many local contractors and services were utilised during the construction phase. Upon completion of the facility, three of the four major contractors employed have made long term commitments to working in the local community and have set up local offices and established permanent accommodation arrangements.

Strengthening community links

the Utah Facility initiated the establishment of the Port Collaboration and Heritage Agreement between PHPA and the local marapikurrinya community, the original custodians of the land occupied by the Utah Facility. this agreement initiated a number of benefits for the community that were not in place prior to the project, including a commitment to the provision of employment, ongoing business development assistance, development of a Cultural Heritage masterplan and provision of assistance with cultural heritage training and awareness by the PHPA.

traditional land owners also secured jv partnerships with three of the major contractors during construction which resulted in direct employment, traineeships and dry-hire of equipment. the project also employed a heritage monitor to oversee all construction activities.

Improved traffic flow and road safety

the project improved traffic safety by removing road train traffic from Port Hedland’s suburban and feeder roads. trucks now enter the Utah site via a new dedicated 10 kilometre sealed access road, and significant improvements have been made to address safety issues associated with road train and light vehicle interaction on the great northern Highway network.

Further benefits included the mandated requirement to cover all truck loads to prevent dust and contaminants affecting suburban areas.

mAndAtory CriteriA

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Utah wharf construction

Closed canopy mangroves

mAndAtory Criterion 6 - SUStAinABle develoPment

water conservation and mangrove preservation were significant drivers for the development of sustainable engineering solutions for the Utah Facility.

Preserving Port Hedland mangroves

twenty four hectares were required to establish a stockyard capable of stockpiling trucked ores with a nine million tonne per annum export potential.

Consistent with the requirements of ePA guidance Statements no. 1 (tropical Arid Zone mangroves; ePA 2001) and no. 29 (BPPH protection; ePA 2004c) to minimise mangrove loss and in particular, to protect valuable closed canopy mangroves, the stockyard footprint was minimised and re-oriented.

A partially disturbed calcarenite (limestone) outcrop at Stanley Point was selected as the most appropriate stockyard location given its low ecological value as a result of being previously disturbed and consisting mostly of sandy saline flats with low open shrubs.

multiple layers of plastic geogrid (Securgrid 120/20) were also installed within the six to eight

metre high perimeter seawalls. this allowed the embankment to be steepened and prevented the loss of 1.2 hectares of mangroves at the seawall toe at a cost of $0.63m (investment of $52 per square metre of mangroves preserved).

Refer Appendix E for Stockyard Embankment Road Details.

Care was also taken to ensure that mangroves outside of the construction footprint were not disturbed. At the conclusion of construction activities, mangroves were thriving at the toe of the seawall as a result of careful construction practices.

in total, 18 hectares of mangroves were removed during construction of the stockyard and access road. A commitment has been given by PHPA to the environmental Protection Authority and local community to meet the guidance Statement target of 10% historic loss of mangrove environments since european settlement through the establishment of a mangrove offset project. this work will further generate local jobs in its construction and will support ongoing eco-tourism and aboriginal heritage opportunities.

Water Quality and Conservation

the potential adverse eco-toxicological effect of chromite and manganese on mangrove and marine systems was studied by PHPA during the Per and led to a requirement to prevent ores containing chromite and manganese from contaminating groundwater systems and the harbour.

the project team developed the following initiatives to prevent mineral contamination of ground and harbour waters:

• Physical separation of iron ore from other contaminating ores in the stockyard.

• installation of a bentonite barrier layer with sub-surface drainage collection system.

• installation of sealed internal roads.

• Construction of an automatically operated quad road train truck wash station installed with water recirculation system.

• materials handling system designed for wash down and collection of contaminants between shipments for treatment and recirculation.

• on site collection and treatment of stormwater that is harvested for dust suppression.

• installation of two Stormceptor units to operate in conjunction with the wharf wash down system to settle out contaminants from the wharf wash down.

A 45,000m3 lined recirculation water pond and controlled discharge pipe system and three 1,000m3 storage tanks were installed to enable fire and dust suppression, and management of potable water across the site to deliver the abovementioned water conservation outcomes.

Contaminated stockyard stormwater harvested through a ring main pipe system to the recirculation water pond will provide an estimated 6 weeks reprieve per year from the need for expensive scheme water representing a considerable cost saving.

Seawall construction using concrete impregnated miracell

mAndAtory CriteriA

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Stormceptor adjacent to wharf to settle wharf wash down contaminants

oPtionAl CriteriA

oPtionAl CriteriA

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oPtionAl Criterion 8 - SimPliCity oF tHe engineering SolUtion

Cavotec Automatic Mooring System

Striving for world’s best practice and simple low cost options for maximising the throughput capacity of the Utah Point berth, PHPA made a decision to replace the centuries old practice of mooring vessels using ropes with an innovative and simple new technology.

Cavotec’s moormaster Automatic mooring System uses simple design concepts involving large manoeuvrable suction cups held under vacuum to safely capture, berth and release vessels in considerably less time than traditional mooring methods. the time saved in mooring and releasing vessels using the moormaster technology and its ability to maintain continuous safe loading operations has improved vessel turn around efficiency in Port Hedland by up to 2.5 hours.

Utah Point is located in the narrow neck of Port Hedland Harbour where passing vessels (up to 270kt bulk carriers) exert significant hydrodynamic interaction forces that act to suck vessels from their moorings. Port Hedland experiences large tides (7.5 metres) that produce in excess of 2 knot currents, design wind speeds of 23 m/s (45 knots), fine iron ore dust issues and extreme heat (+45 degrees Celsius) conditions.

As Cavotec had not previously designed units to withstand these conditions, PHPA contracted Cavotec to design and test 14 completely new 200mm units capable of handling the large tidal ranges experienced at Port Hedland. the revised design replaced the previous top mounted winch mechanism with a rail mounted travelling bus (motor) to provide a robust structure capable of withstanding forces equivalent to 20 tonnes perpendicular (280 tonnes total) and 10 tonnes parallel to the berth face.

Cavotec units mounted vertically on wharf rails Cavotec wharf mounting close up

Since the implications of system failure or under-design were significant, PHPA commissioned omC-international to modify the existing Port Hedland hydrodynamic harbour mooring model to simulate ropes as stiff springs. this conservative assessment of moormaster system capabilities predicted that the impact of passing vessels would potentially exceed the capacity of the design specifications on the end units. revised bollard designs for secondary rope protection were implemented as a precaution and options for piggy backing the two end units were explored.

Post-installation, the initial hydrodynamic interaction force concerns did not eventuate as the moormaster units perform much better in dampening the impacts of wind, current and passing vessel forces than during simulation. the technology has proved itself to be a more than effective and simple replacement of traditional rope technology.

PHPA challenged long established practices and put their faith in new and conceptually simply technology with the moormaster Automatic mooring System. this decision may drive a revolutionary change in ship berthing practices around the world with significant potential to improve safety, time and operational costs in the future.

• improved safety of mooring operations.

• greater port export efficiency through elimination of vessel creep, lost time due to passing vessel interactions and reduction in the time required to capture, moor and release individual vessels which combined provide an estimated time saving per vessel of 2.5 hours.

• eradication of the need to construct large and expensive mooring dolphins.

• improved Utah Point Berth throughput capacity and berth efficiency with maximum vessel size increased to a length overall (loA) of 270 metres compared to 225 metres using traditional rope mooring methods.

• reduced port operating costs for tug boats and personnel involved with stevedoring and corresponding reduction in fuel emissions.

Refer Port Strategy May 2007 article in Appendix G for more information on the Cavotec Automatic Mooring System.

Aerial view of Utah Point berth showing 14 equidistant Cavotec units

200mm unit factory acceptance testing in France

oPtionAl CriteriA

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Key Benefits

through simplicity of operation and design concepts, the moormaster system delivers the following significant benefits to PHPA and facility proponents:

oPtionAl Criterion 13 - level oF imPort rePlACement

Utah Point Travelling Ship Loader and Tripper Conveyor

in accordance with the project’s stated objective and tendering criteria whereby preference was given to locally manufactured products, PHPA rejected the cheapest tender offer from a reputable Chinese manufacturer in favour of project managing the design and manufacture of the ship loader using a range of local contractors and suppliers.

Perth based delta engineering were awarded the contract to design the ship loader and manufacture associated mechanical and electrical components for delivery to the Australian marine Complex (AmC)Common User Facility at Henderson, south of Perth.Upon completion, the 600 tonne ship loader and 80 tonne boom were transferred to a heavy lift ship for transport to Port Hedland where it was placed directly onto the rails of the Utah Point wharf.

erection of the superstructure using multiple contractors who had not previously collaborated on such a complex, schedule critical project required tight management of technical, schedule and scope risks to ensure the structure was delivered on time. A list of contractors employed on the ship loader construction is outlined in table 1.

PHPA were successful in providing new opportunities for local contractors to increase their competitiveness in the manufacture of major capital equipment and ensured the use of locally manufactured steel in construction of the ship loader. the all inclusive cost of the western Australian designed and manufactured ship loader was $16.9m which is in line with standard industry costs per tonne for comparative equipment.

Table 1: Local contract partners for construction of the Utah Point ship loader

Ship loader main frame erection, january 2010

transferring ship loader from heavy lift ship to Utah wharf

Ship loader transfer to Henderson wharf, may 2010

oPtionAl CriteriA

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Contractor/location description of Service Contract typePinc group (Perth) Project managers for all Utah Point & Henderson

scope of workSchedule of rates

delta engineering (malaga) overall design & supply of structural & mechanical components

Fixed lump sum

United industries (Henderson)

manufacture of the steel superstructure components Sub-contract to delta engineering

i&e Systems (Perth) electrical and control system engineer Sub-contract to delta engineering

engineering dynamics (Perth)

design Auditor & certification to Australian Standards Schedule of rates

engineering dynamics (Perth)

designer of heavy lift ship fatigue & transportation requirements

Schedule of rates

Promet engineers (Perth) lead engineer for the design management of delta engineering

Schedule of rates

United industries (Henderson)

erection of ship loader super structure at Henderson Fixed lump sum

Promet engineers (Perth) erection construction management consultants (Henderson)

Schedule of rates

AmC (Henderson) Facility manager at Henderson Facility lease agreementBiglift (Always Shipping) Heavy lift ship transport from Henderson to Port Hedland Fixed lump sum and

schedule penaltiesgeC&m (Perth) Structural, mechanical & electrical outfitting

(Utah & Henderson)Cost reimbursement with incentives

Pinc group (Perth) Utah Point construction and commissioning managers Schedule of ratesi&e Systems (Perth) Utah electrical & control system commissioning/ramp-up Schedule of rates

oPtionAl CriteriA

oPtionAl Criterion 16 - environmentAl imPliCAtionS

From inception, the Utah Facility project was motivated by the need to solve a number of significant environmental and health issues affecting the Port Hedland community as a consequence of bulk ore exports (in particular chromite and manganese) from Port Hedland’s west end.

transporting and loading large volumes of mineral ores by road train and front end loader to poorly designed stockpile and materials handling systems have previously produced significant

negative impacts on town amenity, community health and the environment. the Utah Facility project addressed these issues to improve overall conditions for Port Hedland residents.

Reduced dust emissions

dust is a major environmental and health issue in Port Hedland. moving the export of chromite and manganese from the west end to Utah Point enabled a reduction in dust levels to built up areas as is evident in Per dust Contour Charts (refer to Appendix F).

this was achieved through:

• transferring road trains from the west end of Port Hedland to a dedicated 10 kilometre long private access road located outside the township.

• mandating covered loads from mine to port.

• Stockpiling ores at Finucane island’s Utah Point to move dust emissions away from populated areas.

• Utilising a single and efficient stack and reclaim operation to dispense with the need to double handle materials.

• Provision of bulk mineral controls over the receipt of properly conditioned ores at the gate.

• Providing concrete dump pockets to feed ore directly into automatic stackers with dust suppression.

• Storage of ore in a custom built stockyard with elevated perimeter road and dust suppression cannons throughout.

• Provision of efficient materials handling infrastructure to limit dust emissions and to enable wash down between shipments.

• Covered tripper conveyor at the back of wharf.

• introduction of truck wash facilities to remove dust residue from transport vehicles post delivery.

• Provision of chutes to reduce product degradation and direct ore into ship holds

lined 45,000m3 recirculation pond

Bentonite geosynthetic clay lining being applied to stockyard floor

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Reduced noise emissions

moving the export operations to the Utah Facility shifted quad and triple road trains and front end loader operations away from the township, thereby considerably reducing noise emissions at Port Hedland’s west end.

Covered drives and transfer stations and efficient mechanical and electrical infrastructure has also reduced operating noise levels at the Utah Facility.

Reduced groundwater and harbour contamination risks

operations at the Utah Facility have implemented measures to prevent potentially dangerous levels of manganese and chromite contaminating local groundwater or the harbour.

All current and future potentially contaminating ores are now environmentally contained within the stockyard by a bentonite barrier layer and groundwater collection system that prevent ore residue and dissolved solids from contaminating the groundwater and harbour. Bentonite was selected as the preferred lining material given its chemical stability, self-sealing properties and ability to adjust to differential movement in the stockyard floor.

groundwater collection discharge and stormwater is pumped to a 45,000m3 recirculation water pond from where it is settled and harvested for dust suppression.this recirculated water will provide up to 6 weeks reprieve from the need for expensive scheme water representing a considerable cost saving to exporters and conserving water.

long term environmental risks have also been mitigated in the construction of the stockyard, with a 6-8 metre high perimeter sea wall built to prevent inundation of stockpiled ores by seawater in cyclone surge tides.

the size of the stockyard and recirculation water pond ensures this facility successfully contains contaminated stormwater in a 1 in 100 year flood event to prevent contaminated run off into the harbour.

Protection of native flora

Carefully orienting the stockyard position and minimising its footprint by steepening the seawall embankment prevented the loss of 1.2 hectares of mangroves at a total cost of $0.63 million ($52 per square metre of mangroves preserved).

Further details on the PHPA’s commitment to protecting native flora at Utah Point can be found in Mandatory Criterion 6.

APPendiCeS

Perimeter Seawall Protecting Stockyard from Cyclone Surge tides

workers installing geogrid to seawall embankment

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APPendiCeS

ContentS

APPendix A 33

BHPBio tunnel raking pile general Arrangement APPendix B 34

Utah Facility organisational Chart APPendix C 35

Utah Facility general Arrangement Plan Process Flowsheet APPendix d 37

mobile Hopper train general Arrangement (page 1/2) mobile Hopper train general Arrangement (page 2/2) APPendix e 39

Stockyard embankment road details APPendix F 40

Public environmental review dust Contour Charts APPendix g 41

Australian Port Survey, july/August 2010 Port Strategy, may 2007 wA Business news, october 2007 north west telegraph, october 2007 the west Australian, october 2007

32

33

APPendix A: BHPBio tUnnel rAking Pile generAl ArrAngement

34

LEGENDPinc Group ResourcesPHPA ResourcesExternal Consultants

Site Administration

Senior Planner /

Scheduler

Procurement Manager

Deputy Construction

Manager

Contracts Manager

OHSE Manager

Commissioning

Contracts Clerk

Environmental Office

Site Safety

Manager

Project Accountant

Services Cordinator

ElectricalSite

Process Control

Electrical SuperIntendent

Senior Site

Electrical Eng.

HV Switching

Officer

Accounts Payable

Senior Cost Controller

Port Development Manager

Site S'intendents

Maintenance SuperIntendent

Mechanical Comm. Engineer

Mechanical

Civil/ Concrete

Executive Secretary

Administration

Construction Manager

Commissioning Manager

Detailed Designer

Commercial Manager

Receptionist

Project Manager

I&E Systems

Van Der Meer

POAGS (Stevedore)

Promet EngineersLead Engineer

Stockyard Infras'ture

Project Controls Manager

Port Engineer

Site Engineer

CEO PHPA

Assistant Project Manager

Engineering

APPendix B: UtAH FACility orgAniSAtionAl CHArt

35

APPendix C: UtAH FACility generAl ArrAngement PlAn

36

APPendix C: ProCeSS FlowSHeet

37

APPendix d: moBile HoPPer trAin generAl ArrAngement (PAge 1)

38

APPendix d: moBile HoPPer trAin generAl ArrAngement (PAge 2)

39

APPendix e: StoCkyArd emBAnkment roAd – generAl ArrAngement

APPendix F: PUBliC environmentAl review dUSt ContoUr CHArtS Australia Port Survey – Port Hedland Extract (World Port Development July/August 2010)

APPendix g: AUStrAliAn Port SUrvey, jUly/AUgUSt 2010

40 41

Predicted PM10 24 Hour Dust Concentrations – Exports from PHPA Public Berth

Predicted PM10 24 Hour Dust Concentrations – Exports from the Utah Facility

Graphic 1: PM10 24 hour average with no Utah Point development

Graphic 2: PM10 24 hour average with Utah Point development

Graphic 1: PM10 24 hour average with no Utah Point development

Graphic 2: PM10 24 hour average with Utah Point development

APPendix g: Port StrAtegy, mAy 2007

42 43

APPendix g: wA BUSineSS newS, oCtoBer 2007

Search Archives

Miners to co-fund $225m Port Hedland upgrade

APPendix g: nortH weSt telegrAPH, oCtoBer 2007

44 45

APPendix g: tHe weSt AUStrAliAn, oCtoBer 2007Port expansion to help small miners : thewest.com.au http://www.thewest.com.au/default.aspx?MenuID=146&ContentID=44452

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2011 wA engineering excellence Awardsenvironment Category

Utah Point Multi-User Bulk Export Facility Port Hedlandenvironmentally sustainable engineering in practice

2011 wA engineering excellence Awardsresource development Category


ACknowledgementS

more inFormAtion

Port Hedland Port Authority and Pinc group Pty ltd extends special thanks to the Utah Point multi-User Bulk export Facility team and internal support staff who contributed to the success of this project.

members of the project team would also like to thank the following contractors and suppliers contractors who contributed to delivering this state of the art project:

Port Hedland Port Authority warren Farrow Port development manager

P: 08 9212 8107 e: [email protected] w: phpa.wa.gov.au

Pinc Group Pty. Ltd. neil Parker managing director

P: 08 6218 9000 e: [email protected] w: pincgroup.com.au

ABB

Australian marine Complex

Baggerman Associates

Biglift (Always Shipping)

Brierty Constructions

Cavotec moormaster

Coffey geotechnics

Concep Pty ltd

delta engineering

dm gerloff & Associates

engineering dynamics

ertech Pty ltd

Fenner dunlop Conveyor Belting Aust Pty ltd

Formaction Concrete and Civils

Fremantle Steel

goodline Pty ltd

geC&m joint venture

Horizon Power

i&e Systems

jan de nul

j Steel

logicamms

makjap

marapikurrinya Pty ltd

marine and Civil

omC international

Plummers

PoAgS

Promet engineers

rocktec

Sandvik mining and Construction Aust Pty ltd

Schneider

Sew eurodrive

Sinclair knight merz

tanis

United industries

University of wA

v & C Semeniuk

van der meer group

vipac engineers and Scientists

wanati Pty ltd


2011 WA Engineering Excellence AwardsResource Development Category

Utah Point Multi-User Bulk Export Facility Port Hedland

Servicing Australia’s future trade growth

engineering australia excellence award - port hedland port authority

Documents

port hedlandinnovations

expandedthe utah facility

utah facility stockyards

port hedland region

port authority technology

current facility

expanded port facilities

port commercial lines