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Pluto LNG Development Burrup LNG Park Social Impact Study

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Pluto LNG DevelopmentBurrup LNG Park

Social Impact Study

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007

Contents

EXECUTIVE SUMMARY 1

1 INTRODUCTION 3

2 PROJECT OVERVIEW 3

2.1 The Pluto opportunity 32.2 Field Location 42.3 Development concept 42.4 Project timeline 62.5 Economic impact 62.6 Workforce planning 8

3 METHODOLOGY AND CONSULTATION 8

3.1 Overview of process 83.2 Stakeholder engagement 93.3 Focus areas (accommodation, workforce planning and training) 10

4 BASELINE PROFILE 10

4.1 Shire of Roebourne 104.2 Regional history 114.3 Population distribution 134.4 Economic and workforce profile 134.5 Housing and accommodation 14 4.5.1 Rentalmarket 15 4.5.2 Salesmarket–privateownership 15 4.5.3 Landavailability 15 4.5.4 Constructionworkforceaccommodation 164.6 Community services and infrastructure 16 4.6.1 Educationandtraining 17 4.6.2 Emergencyservices 17 4.6.3 Recreation,leisureandcommunityfacilities 18 4.6.4 Medicalandhealthservices 18 4.6.5 Crimeandjustice 19 4.6.6 Woodsidecommunityprograms 19

5 IMPACT IDENTIFICATION, ASSESSMENT AND MANAGEMENT 20

5.1 Summary tables 205.2 Impact identification 225.3 Impact assessment 225.4 Management strategies 22

6 DRAFT SOCIAL IMPACT MANAGEMENT PLAN 23

7 REFERENCES AND ACKNOWLEDGEMENTS 28

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 1

Executive Summary

Woodside is proposing to develop the Pluto gas field to produce Luiquified Natural Gas (LNG) for export. Gas will be extracted from the field, located about 180km offshore north west of Dampier, and piped back to land to be processed into Liquefied Natural Gas for export.

The onshore processing facilities, known as the ‘Burrup LNG Park’, will be located within the Burrup Industrial Estate, between the existing North West Shelf Venture Gas Plant and the Dampier Port. LNG will be exported to customers by ship.

The Burrup LNG Park has been designed to accommodate the production of other regional gas, which may be yet to be discovered and which may otherwise not be commercialised. Environmental approvals and the plant layout also allows for domestic gas production.

The Pilbara, and particularly the port of Dampier, has been the hub for some of the most significant industrial development in Australia’s history. The major local towns of Karratha, Roebourne and Dampier exist primarily to service the resource industries and their workforces.

The local community is familiar with major resource projects and is home to significant industrial and social infrastructure. Western Australians in particular have an awareness of the connection of the State’s economy to the resources sector, and the benefits of projects of this scale can be felt nationally and internationally.

Each new resource project adds to the complex network of benefits and pressures experienced by the community. It is incumbent on a project proponent to fully explain these impacts to the community, and consult with the community on how best to manage them. This Social Impact Study, along with the proposed Management Plan, aims to do that, with a particular focus on the Shire of Roebourne.

Key findings

Economic

The Pluto project will provide a massive economic boost for the region, the state and the nation. As well as boosting the national economy by $17.6 billion over the life of the project, over $8 billion in taxes will be contributed to Commonwealth revenue and approximately $450 million to State and Local government revenue (based on two train development).

It is expected that significant business opportunities will be created by the project with over 55% of expenditure likely to be on Australian goods and services. These opportunities will be made available to local businesses with the assistance the Industry Capability Network of WA and the Pilbara Development Commission. Particular emphasis will be placed on identifying opportunities for Indigenous business participation.

Employment & Training

Thousands of jobs will be created by the Pluto project, mainly during the construction phase. Direct employment is expected to peak at 3000 jobs in around 2009. The operational phase of the project will create 200 long-term jobs from 2010. Flow-on economic activity from the project will create a further 3000 jobs.

In additional to the usual recruitment strategies Woodside will manage the increased demand for skilled labour for Pluto by facilitating roll-over from the North West Shelf Venture (NWSV) Phase V project, providing appropriate workforce training where necessary, and focusing on opportunities for Indigenous employment. Given the current shortages of both skilled and unskilled labour in the region, further strategies may also be required.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 2

Accommodation

Along with increased employment comes increased demand for accommodation in the region, which is already facing significant shortages. Woodside will support planning, design and establishment of permanent, semi-permanent and temporary accommodation options to minimise this impact.

Services

More people working in the region will result in an increased demand on community services such as health, education, childcare and transport infrastructure. While these services are in the main the responsibility of government, Woodside has a role to play in communicating appropriate workforce forecasts to the relevant agencies, supporting programs in the community that provide employees with essential services (thus reducing the impact on existing services), and supporting the local community in approaches to government to address service provision issues.

Woodside is interested in receiving feedback on this study and on the Pluto project generally. Members of the public can direct their questions and views to [email protected] or 1800 634 988.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 3

1 IntroductionThe Pluto gas field was discovered by Woodside in April 2005. The field is in permit WA-350-P, about 190km north-west of Karratha in north-western Western Australia.

Woodside is the 100 per cent owner of Pluto and a smaller nearby field, Xena. Woodside plans to develop the fields by constructing offshore production facilities and the onshore Burrup LNG Park to process gas into liquefied natural gas (LNG) for export. It is possible that gas from other fields may be processed at the onshore facility in future.

The Burrup LNG Park will be located within an established industrial estate on the Burrup Peninsula between the existing North West Shelf Venture’s gas plant and Dampier public wharf. Commencement of shipments to customers is expected by late 2010.

This document examines the likely social and economic impacts of the project and describes relevant aspects of the existing community baseline.

2 Project overview2.1 The Pluto opportunity

Natural gas is recognised as a clean and efficient source of energy. It is an important transitional fuel in a world seeking to minimise global greenhouse emissions.

Natural gas can be liquefied by cooling it to minus 161 degrees Celsius. This delivers significant benefits. LNG occupies one six-hundredth of its original volume, making it economic to transport by ship to customers around the world. Once delivered, LNG is re-gasified for use by many industries, including electricity generation, fuel for transport and home heating and cooking.

Pluto provides an opportunity for Australia to build on its reputation as a reliable supplier of high-quality LNG and to win additional supply contracts around the world. However, there is keen competition in the global LNG market and developing LNG projects is a complex, challenging and expensive task. Pluto is on schedule to be the first LNG project in WA in more than 25 years.

The Pluto development schedule will set a new benchmark in the LNG industry. From discovery of the gas field in April 2005 to production, Woodside is planning to deliver first LNG volumes in late 2010. That is just five-and-a-half years, in an industry in which it is not uncommon for development to occur 20 years or more after field discovery.

Already two Heads of Agreement have been signed, with Tokyo Gas and Kansai Electric, for a combined total of 3.25 to 3.75 million tonnes a year of LNG for 15 years, with an option in place to extend the supply contract for a further five years.

This performance and speed of decision making has been made possible through Woodside’s ownership in the Pluto field, its commitment to apply the resources needed to build the facilities in an efficient, technically sound and environmentally responsible manner, and through the early engagement with, and pro-active response by, government.

Woodside expects to be ready to make a final investment decision on the Pluto LNG Development in mid-2007.

Pluto LNG Development Burrup LNG Park

Social Impact Study

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 4

2.2 Field Location The Pluto gas field is located within permit WA-350-P in WA’s Carnarvon Basin. The discovery well was drilled in about 980 metres of water by the Atwood Eagle semi-submersible drilling rig about 190km north-west of Karratha, in the Pilbara region.

Subsequent appraisal drilling and studies have estimated Pluto’s dry gas contingent resource at 4.1 trillion cubic feet (Tcf). In September 2006, Woodside discovered the Xena field in the same permit. Xena is estimated to contain a further 0.4 Tcf dry gas contingent resource. Pluto is adjacent to other significant undeveloped gas resources and nearby prospective acreage.

2.3 Development concept

PlutoLNGDevelopment-BurrupLNGPark

Woodside has assessed a range of onshore development alternatives for the Burrup LNG Park. A comprehensive regional assessment of potential development locations and investigation of design options at alternative development sites has been completed. This work concluded that site A and site B within the Burrup Industrial Estate present the most feasible location for the onshore facilities.

After examining a number of LNG plants around the world, Woodside has adopted what is known as an “open commercial” model for the Pluto LNG Development. This will allow Woodside to process gas for third parties.

Development in Trinidad and Egypt have demonstrated that by adopting technical and commercial structures that accommodate gas from other fields, including those owned by other parties, it is possible to aggregate otherwise “stranded” or undeveloped gas fields and so capture market opportunities that would otherwise be lost, or delayed for many years.

The Pluto LNG Development concept includes production from the Pluto fields through an offshore system with two four-slot manifolds, tied back to a remotely operated platform on the continental shelf. Gas will be exported to shore via a 36-inch diameter trunkline to be processed at the Burrup LNG Park.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 5

The production capacity of the initial LNG train will be 5 to 6 million tonnes a year. Planning has been done for future expansion. Current environmental approvals are based on LNG production of up to 12 million tonnes a year and provision for domestic gas supply.

Foster Wheeler Worley Parsons is doing front-end engineering design (FEED) for the Burrup LNG Park. Offshore, the key FEED contractors are EOS (a joint venture of WorleyParsons and Kellogg Brown and Root) and JP Kenny; EOS for front-end engineering of the platform topsides, substructure and production system engineering, and JP Kenny for the flowlines, trunkline and support subsea work.Offshore development drilling initially will comprise three to seven wells, with up to 12 in total as the fields matures. Gas and other hydrocarbons will be piped to an offshore platform via manifolds and flowlines. The platform will not support any processing facilities, but will be equipped with control and chemical dosing systems.

Gas and associated liquids will be transferred to shore via a gas trunkline for treatment at a processing plant on Site B in the Burrup LNG Park, where natural gas, condensate and produced water will be separated.

The gas will be cooled and liquefied. Both the LNG and condensate will be piped to storage and export facilities located at Site A, from where tankers will load and export products using a purpose-built jetty and navigation channel.

Woodside has reached an agreement with the Western Australian Government on the supply of domestic gas. After five years of operation - or production of 30 million tonnes of LNG, whichever is first - an amount of gas equivalent to 15 per cent of LNG exported through the Pluto facilities will be committed to the domestic market.

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Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 6

2.4 Project timeline

The Pluto LNG Development is being progressed on a schedule that targets first deliveries by the end of 2010.

2.5 Economic impact

The Pluto LNG Development will produce significant benefits for the local, regional and national economies and communities during both the construction period and the operational phase. The following analysis is based on a development comprising two LNG processing trains, recognising that the initial project scope will not be defined until a final investment decision is made and that it is intended to build the second train after production starts.

There is a strong and growing demand for LNG in the Asia Pacific region and the emerging North American market. LNG demand in the Asia Pacific is expected to almost double to about 200 million tonnes a year in the next decade.

Global LNG trade is expected to grow from around 145 million tonnes a year in 2005 to 370 million tonnes in 2015, with forecasters pointing to a global LNG supply shortfall by then.

The Australian Bureau of Agriculture and Resource Economics (ABARE) is predicting a 9 million tonnes LNG supply shortfall in the Asia Pacific region alone by the year 2010.

The supply outlook is encouraging for Woodside and the Pluto development. Qatar appears to be focusing on its current expansion to 77 million tonnes a year before embarking on further production; new Iranian projects could be affected by geopolitical issues; future supplies from Indonesia are uncertain; and several other supply projects have been delayed.

But demand will continue to grow in Japan, Korea and Taiwan, with new buyers emerging in China, India and elsewhere.

Woodside’s LNG strategy is to bring on new production to meet the predicted gap between LNG supply and seasonal demand from 2010. This strategy is epitomised by the fast-tracking of Pluto, with heads of agreement already in place with two major Japanese buyers.

Forecasts indicate that a two-train Pluto development will boost Australia’s gross domestic production by up to $17.6 billion over the life of the development. Commonwealth revenue from company and income tax, GST and petroleum resource rent tax would be boosted by up to an estimated $8 billion,

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 7

while WA Government and local government revenue could be expected to increase by up to $0.5 billion.

It is projected that more than 55 per cent of direct expenditure on Pluto will go to Australian goods and services, and around 90 per cent of all operational expenditure is expected to be in Australia. Woodside’s profits will be distributed to its predominantly Australian owners.

It is estimated that the Pluto LNG Development will generate up to $12.2 billion of additional private consumption.

There are also benefits flowing from the development that are specific to WA, particularly:

• training opportunities• additional business opportunities• expected peak construction employment of up to 3000 people, and• about 200 additional jobs in the operational phase.

Woodside plans to source the workforce from WA where possible. Most jobs will require skills that provide a pathway for employees, including local indigenous employees, to gain on-the-job experience necessary to progress up the skills curve. Flow-on economic activity from the development is expected to generate more than 3000 indirect jobs during the construction phase.

Overall, Woodside expects an increase in the Pilbara region’s gross regional product of up to $24.6 billion over the life of the development.

In addition to the increased employment in WA, the project will bring economic benefits to the State through additional revenue to the government and flow-on economic activity, including to service industries, such as increased spending by the construction, operation and maintenance workforces. Woodside has a continuing commitment to maximise Australian content in all of its activities, a policy which will have a positive impact on existing businesses in the Pilbara region and throughout WA.

The Pluto LNG Development will expand the already flourishing Pilbara economy. The region’s total mining and petroleum industry production is about 57 per cent of the value of the State’s total mineral and petroleum production and is worth $15.9 billion a year.

Pluto will involve investment in substantial common user infrastructure, including water, power, roads, transport corridors, ports, accommodation, education, health and communications.

The key economic impacts of a two-train Pluto LNG Development can be summarised as follows:

Indicator Value attributable to the development

Gross domestic product $17.6 billion (NPV)

Gross state product (WA) $28.6 billion (NPV)

Gross regional product (Pilbara) $24.6 billion (NPV)

Employment – WA (direct and indirect)

2007-10 average

2011-23 average

2024-35 average

Up to 4990 jobs

Up to 4041 jobs

Up to 3741 jobs

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 8

2.6 Workforce planning

As with most big developments and projects, a range of employment arrangements will be utilised on Pluto. Most of the construction workforce is expected to be employed on a fly in/fly out basis. Foster Wheeler Worley Parsons has the contract for onshore construction and will be accountable for its workforce, for which it is developing workforce plans and engagement strategies.

The workforce philosophy that Woodside adopts for Pluto operations staff will be influenced by labour market conditions and retention issues. Relevant factors will include human resource policies, recruitment practices, training, shift and roster planning, available housing stock and other accommodation, fly in/fly out and residential arrangements, establishment numbers, community infrastructure and social impact.

For the purpose of completing a draft Social Impact Management Plan, it is assumed that the operations workforce for Pluto will have a fly in/fly out component, with approximately 50 people permanently located in Karratha. Final arrangements are likely to vary from this assumption, which has been adopted solely for the purpose of understanding potential social impacts.

3 Methodology and consultationShire of Roebourne communities have seen a number of projects proposed or developed in recent years. Given that significant research has already been done, Woodside conducted a desktop assessment process to understand and identify the likely social impacts on the community of the Pluto LNG Development.

3.1 Overview of process

The scoping phase of the Social Impact Study started in January 2006 and included a workshop involving experienced Woodside staff on the draft Terms of Reference. The primary purpose of developing the Terms of Reference was to guide scope, context and content of the social impact process and to provide a framework for stakeholder participation.

Woodside appointed Dr Elizabeth Scott to assist in the development of the Terms of Reference and the Social Impact Management Plan. Dr Scott worked closely with Woodside and the community to ensure findings and recommendations reflected the views expressed by the community, having regard to Woodside’s responsibilities in the Pluto development.

Employment – Pilbara (direct and indirect)

2007-10 average

2011-23 average

2024-35 average

Up to 3223 jobs

Up to 826 jobs

Up to 287 jobs

Government revenue

Commonwealth (including PRRT)

WA state and local government

Increase of up to $8 billion (NPV)

Increase of up to $445 million (NPV)

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 �

3.2 Stakeholder engagement

Woodside consulted a broad range of stakeholders, including the Woodside Community Liaison Group, government departments, indigenous community members and individuals. Consultations included meetings, telephone conversations and workshops. The consultation was designed to:

• brief key stakeholders on the Pluto development and foster an understanding of Woodside’s objectives and timeline• make stakeholders aware of the purpose of a Social Impact Study and identity key elements within the process, and• receive feedback from stakeholders on the development’s potential social, economic and cultural impacts.

Key local stakeholders within the Shire of Roebourne included:

• Woodside Karratha Community Liaison Group• Members of the Shire of Roebourne community• Indigenous groups, including the Yaburarra and Mardudhunera, Ngaluma and Indjibandi and the Wong-Goo-Tt-Oo Group • Shire of Roebourne, key staff and councilors• Pilbara Development Commission• Other WA Government departments with a local presence or interest in the development.

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Figure3.1-Overviewofsocialimpactprocess

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 10

3.3 Focus areas (accommodation, workforce planning and training)

Research of baseline data and a workshop involving key Woodside staff identified three areas of the Social Impact Study that needed particular attention:

• workforce planning, in particular fly in/fly our arrangements• accommodation and housing, and• training.

Consultants were contracted to undertake objective studies on those Focus areas. The scope of work included assistance with identification of impacts, assessment of potential impacts and developing suitable management strategies.

The reports produced by the consultants were used as a reference in developing the management strategies that form part of the Draft Social Impact Management Plan.

Copies of the consultant reports are available on request.

4 Baseline profileTo identify and manage social impacts, it is necessary to understand the baseline conditions prior to the impacts occurring. Woodside used existing baseline data and studies to understand the social triggers, impacts and opportunities for the local community. These understandings were tested with the community through the Woodside Karratha Community Liaison Group and key local stakeholders.

The purpose of developing a baseline profile is to provide an understanding of the:

• social profile of the community• socio-economic factors that affect the community• potential development impacts• existing management strategies that will assist management of potential impacts, and• benchmark data to assist future assessment and management of impacts.

The baseline profile in this document provides commentary on:

• an overview of demographics, employment, education and childcare facilities, training facilities, medical facilities, housing and accommodation, recreational facilities, emergency services and community welfare and support services• potential impacts and constraints on existing community services and facilities, and• relevant regional schemes or strategic plans.

4.1 Shire of Roebourne

The proposed Pluto LNG plant and related facilities will be located in the industrial estate on the Burrup Peninsula within the Shire of Roebourne.

The Shire of Roebourne is located approximately 1535kms north of Perth and 850kms south of Broome on the North West Coastal Highway. Population centres within the shire include the coastal towns of Roebourne, Karratha, Dampier, Wickham and Point Samson, and the indigenous community, Cheeditha. All are within a 50km of each other.

The Shire of Roebourne community includes many indigenous groups. Members of the groups mainly, but not exclusively, live in the town of Roebourne. The indigenous groups include the Ngaluma and Indjibandi, the Yaburarra and Mardudhunera and the Wong-Goo-Tt-Oo Group.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 11

The Shire of Roebourne is in the Pilbara region, which covers more than 505,000sqkm and accounts for 20 per cent of Western Australia’s total area (PDC, 2001).

There are four local government authorities in the Pilbara:

• Shire of Roebourne • Shire of Ashburton• Shire of East Pilbara• Town of Port Hedland.

4.2 Regional history The Yaburarra indigenous group is believed to have originally inhabited the Burrup Peninsula and islands of the Dampier Archipelago. The first recorded evidence of European contact with the Yaburarra group was in 1818 when Philip King was charting the archipelago in the vessel Mermaid.

Following European settlement, the Yaburarra people were impacted by disease, a series of violent clashes with Europeans, and occupation of their traditional land by pastoralists and pearlers. The few Yaburarra people who survived are thought to have been absorbed into other groups whose traditional land was further inland.

The Ngaluma people are thought to have first occupied the areas of Roebourne, Cossack and the Harding River mouth. In 1861, the explorer F.T. Gregory established a base at Hearson Cove, on the Burrup, and developed an understanding with local indigenous groups. A relatively harmonious relationship existed until the drought of 1864-66 brought harsh conditions, which were further complicated by a smallpox epidemic.

Prior to the development of the mining industry in the 1950s, the main economic activity of the region was pastoral grazing and associated support industries, mainly located in Roebourne. Some indigenous people were involved in these industries, usually in an unpaid capacity. The Roebourne Roads Board became the Shire of Roebourne in 1961 and, in 1971, the area of the shire was reduced to 5,900 square miles, including Roebourne, Cossack, Whim Creek, Point Samson, Wickham, Karratha and Dampier and the stations Karratha, Mardie, Mt Welcome, Woodbrook, Warambie, Pyramid, Sherlock, Mallina and Cooya Pooya. (SOR, 2006)

Although gold and tin had been mined on a limited scale in inland areas of the Pilbara in the late 19th century and first half of the 20th century, the modern mining era began in the 1950s with the discovery of manganese and asbestos, followed by the development of the iron ore industry in the 1960s. Hamersley Iron chose Dampier for its port because of the protected coastline and proximity to deep water.

This signalled the beginning of major development in the Shire of Roebourne. Planning for the establishment of Karratha began in 1968 and land was exercised from Karratha Station’s pastoral lease.

Until the 1960s, indigenous people were mainly employed in the pastoral and pearling industries. Following the introduction of equal pay in 1967, indigenous people were, to a large extent, marginalised in Roebourne and other towns. Employment of indigenous people, who, in the main, lacked the relevant skills, training and experience for the mining industry, meant they usually participated in mainly menial work. (URS, 2006)

Indigenous rock art of the Western Pilbara region is widely recognised as being prolific and stylistically variable (e.g., Maynard 1977, McCarthy 1961, 1962; Wright 1968). Well known localities for rock art in the region include the Yule River sites (Woodstock, Abydos), Depuch Island, Cooya Pooya and the Fortescue River, Port Hedland and the Dampier Archipelago – including the Burrup Peninsula.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 12

Large areas of the Burrup Peninsula and most of the surrounding islands have been designated as conservation and recreation areas by the WA Government. The Burrup Peninsula contains a number of industrial lease areas, identified in the Burrup and Maitland Industrial Estates Agreement (BAMIA), which was agreed in 2003/04 by the WA Government and the Ngaluma and Yindjibarndi, Yaburarra and Mardudhunera and the Wong-Goo-Tt-Oo Group.

The area of land to be disturbed by the Pluto onshore facilities is limited to about 80 hectares, less than half of the industrial lease area allocated to the project and less than one per cent of the Burrup and nearby islands of the Dampier Archipelago. About 95 per cent of rock art within the Pluto leases is outside of the area to be disturbed by the proposed development, and Woodside intends to relocate or avoid disturbing the remainder.

Key events after European settlement:

Date EventImpact on non-indigenous

peopleImpact on indigenous people

1860s-1800s Initial settlement of grazing lands.Pearl harvesting.

Establishment of pastoral leases and coastal towns (Port Hedland, Condon, Roebourne, Cossack, Onslow).

Dispossession, compulsory involvement in pearling and grazing industries.

1880s-1890s Discovery of gold. Establishment of inland towns (Marble Bar, Nullagine, Whim Creek).

Limited. Indigenous people tied to pastoral leases and pearling and excluded from town life.

1900s-1920s Decline of pearling and gold mining. Population decline in towns, which exist to support pastoral leases (sheep and cattle grazing).

No real change in status.

1940s Strike by indigenous pastoral workers. Limited. Some pastoral stations change hands, or go out of business.

Establishment of separate indigenous settlements (Yandeyarra) and enterprises.

1950s Manganese and asbestos mining commence.

Establishment of Wittenoom and shipping of ore through Port Hedland and Point Sampson.

Limited number of indigenous people involved in town economies.

1960s-1970s Start of iron ore mining and shipment.Equal pay for indigenous pastoral workers.Declining prices for pastoral products.Aboriginal Heritage Act 1972 and Environmental Protection Act.Establishment of Aboriginal Lands Trust.Change in taxation structures.

Growth of Port Hedland. Establishment of Goldsworthy, Tom Price, Dampier, Newman and Karratha. Influx of ‘new’ Pilbara residents.Older Pilbara towns ‘by-passed’.Declining status of pastoral properties.Increased requirement to address heritage and environmental issues.Use of FI/FO as alternative to building new towns.

Little involvement in mining industry developments.Move from pastoral stations to Onslow, Port Hedland and Roebourne.Some pastoral stations acquired by indigenous people – used mainly for remote settlements.

1980s Oil and gas development on NWS.Establishment of ATSIC.

Growth of Karratha. Establishment of industry on the Burrup.

No real change in status.CDEP and increased investment in settlements.

1990s Native Title recognised.Marandoo dispute.Slowing mining growth.Normalisation in local governance.

Slight reduction in population across ‘new’ towns as a result of stable demand for iron ore, but increased technology.Maturing of populations, concern about towns’ sustainability.Mining companies required to address Native Title implications.

Settlement of Gumala-Rio Tinto Native Title agreement generates funds and opportunities for indigenous people.Some indigenous people move from towns to Central Pilbara.Corporate programs in indigenous economic development commenced.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 13

4.3 Population distribution

The population of the Pilbara region in 2004 was 39,229. The region currently makes up 7.5 per cent of the regional WA’s population and 2 per cent of the state population. The dominance of the resource industry has impacted on population stability, with periodic influxes of temporary workforces during the construction phases of large projects. (PDC, 2003)

Population summary:

Shire of Roebourne location summary:

Population statistics for the Shire of Roebourne indicate the following characteristics:

• marginally larger population of males (55%) compared to female (45%)• percentage of aged persons has increased slightly from 2001 (1.8%) to 2004 (2.5%)• relatively small population aged between 15-24 (12.5%), although consistent with regional and state indicators• large population aged between 25-39 (28.5%). (AustralianBureauStatistics)

4.4 Economic and workforce profile

Dampier, in the Shire of Roebourne, and Port Hedland are the two major export outlets for the substantial tonnage of iron ore, salt and liquefied natural gas produced in the Pilbara. The region makes a substantial contribution to Australia’s export income, taxation revenue, skilled workforce employment and overall economic activity.

2000s Increased activity in mining and petroleum industries, particularly on ‘greenfield’ sites.Abolition of ATSIC.

Increasing population in ‘new’ towns.Increased pressure on services, with demands made on local and state governments, and companies.Increased FI/FO.

Further Native Title settlements.Further corporate investments in indigenous economic development.Increased demands for involvement in the Pilbara ‘boom’.

Shire of Roebourne Pilbara Whole of state

Population (2004) 15,270 39,229 1,978,079

% indigenous population (2001) 12.5% 16.5% 3.5%

% youth (15-24yo) (2004) 13.2% 12.9% 14.2%

% aged people (65yo +) (2004) 2.1% 2.5% 11.7%

Location Census 1��1 Census 1��6 Census 2001 Projected 2006

Karratha 11,325 10,057 10,776 12,756

Dampier 1,810 1,424 1,490 1,580

Roebourne 1,213 954 946 970

Wickham 1,973 1,649 1,731 1,775

Point Samson 180 256 312 360

Balance of shire 790 610 716 735

Shire total 17,291 14,954 15,974 18,176

(URS–LayoftheLand2006)

(Source–AustralianBureauStatistics)

(Source–AustralianBureauofStatistics,SORWebsite,www.roebourne.wa.gov.au)

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 14

In 2001/02, the region’s petroleum industry accounted for $9.5 billion of production value, with iron ore contributing almost $5 billion.(PDC, 2003) Industries include Australia’s biggest resource project, the North West Shelf Venture gas plant on the Burrup Peninsula. Woodside is the operator and one-sixth owner of this world class project.

The Indicators for Regional Development Report (DLGRD 2003) provides a useful summary of statistics for the Pilbara region:

• gross regional product per capita of $114,625 is much higher than the WA regional average ($50,301) and Perth ($34,593)• prices for goods are 11.3 per cent higher than in Perth, and median housing prices are higher compared with regional WA• lower than average unemployment rate (4.3%) compared with the WA regional average (6.2%) and that of Perth (6.6%), although indigenous unemployment is higher.

The acceleration of resources development in the Shire of Roebourne means that companies are often competing against each other for resources – both human and physical. Physical resources include access to land and water, workforce accommodation and community infrastructure. A skilled labour shortage is evident across WA.

Considerable employment opportunities have emerged in the Shire of Roebourne from resource development. The highest employment industry in the shire is mining, employing 18 per cent of residents. The construction industry employs 12 per cent of residents, while other significant industries are retail, government and manufacturing. (ABS, 2001)

Figures drawn from the ABS show that although 68 per cent of non-indigenous incomes were above $25,968 in 2001, 78 per cent of indigenous incomes fell well below this level. By comparison, more than one-third of non-indigenous people in the region earn more than $1,000 a week. According to the ABS, the unemployment rate for indigenous groups was 18.3 per cent in 2001, with the non-indigenous unemployment at 4.8 per cent.

4.5 Housing and accommodation

The demand for accommodation and housing in the Shire of Roebourne is directly linked to new development and operation of resource companies in the area. The majority of people residing in the shire are involved with the resource companies, or industry servicing these companies, and government agencies (local and state).

The key issues surrounding the accommodation and housing market include:

• rental price fluctuations and availability • ballooning housing sales market, with prices above the median house price in Perth• demand for residential land in Karratha to meet the increase in rental and owner-occupier accommodation• transient construction workforce, which results in population fluctuations• demand for permanent workforce accommodation for small business and service providers in the community.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 15

4.5.1 Rentalmarket

The availability and affordability of rental properties in the Shire of Roebourne is currently very low. Demand for rental properties and rental costs in Karratha fluctuates greatly with resource development and expansion.

Rental summary – Karratha:

Anecdotal evidence suggests that, in addition to privately-owned accommodation, there is significant stock of company-owned and government accommodation. The government accommodation is used by the Government Employees Housing Authority and Homeswest tenants.

Many of the major resource companies own accommodation in Karratha. Pilbara Iron has about 540 dwellings in Dampier and Karratha. Woodside has 630 local properties, all of which are currently being used by Woodside as operator or North West Shelf Venture. This housing stock consists of one-bedroom to four-bedroom units.

Other options for rental accommodation or temporary accommodation are caravan parks and holiday parks. Karratha has three caravan parks, there is one in Roebourne, one in Point Samson and a transit park in Dampier. The three parks in Karratha have a total of 455 sites. The other parks cater mainly for tourists.

Anecdotal evidence suggests the average rental price may have increased significantly in recent months from the September 2006 figure.

4.5.2 Realestatemarket–privateownership

Median housing prices in Karratha have continued to grow in the last five years. Price increases were recorded in all types of housing in the June 2006 to September 2006 quarter:

• two-bedroom, increase by 7.4% with an average of $369,666• three-bedroom, increase by 10.9% with an average of $472,437• four-bedroom, increase by 10.8% with an average of $624,818 (HousingandLandSnapshot,PDC,September2006)

4.5.3 Landavailability

Demand for land in Karratha has risen dramatically to meet the growing demand for owner-occupier and rental accommodation.

Landcorp has completed site works in the Tambrey development, adjacent to the Tambrey Function Centre, for 176 residential blocks, but all have been sold. The blocks range in size from 540 to 835 square metres. The buyers were a mixture of owner-occupiers and investors.

Site works have commenced on the Nickol West development, with the first release of residential blocks due in the first quarter of 2007. It is anticipated that 150 blocks will be released. The development is on Balmoral Road, near Bay Village and the Tambrey Primary School.

Landcorp and the Shire of Roebourne have started planning for further land developments in Baynton to provide an additional 800 blocks.

Number of advertised rentals Average advertised cost/week

March 06 June 06 Sept 06 March 06 June 06 Sept 06

1 -2 bed 17 3 2 $332 $407 $230

3 bed 25 9 2 $554 $594 $550

4 bed 9 6 0 $675 $891 $783PDC–HousingandLandSnapshot,September2006

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 16

4.5.4 Constructionworkforceaccommodation

The table below provides details of committed projects in the Karratha area, and the projects that may proceed over the next three years. These projects will all require construction workforce accommodation.

(PDC,HousingandLandSnapshot2005)

Current construction accommodation:

4.6 Community services and infrastructure

Key services and infrastructure available in each town are as follows:

Project Approx const

workforce

Impact on Karratha

Approx perm

workforce

Estimated construction start/

end date

North West Shelf – Train 5 1500peak Q3/07

1500 20 Q3/05 to Q4/08

Pilbara Iron – Upgrade 600peak Q3/04

600 0 Q4/03 to Q4/07

Dampier Nitrogen 1000 1000 130 TBA

Gorgon – ‘Barrow Island 2200on Barrow

30 10 Q4/07 to Q2/10

West Kimberley Power Project 50 50 10-12 Q1/06

Pluto LNG 2500 2500 50-150 Q4/06 to Q4/10

Facilities

Name Address Max accom

Pool Gym Laundry Ensuite Wet mess Dry mess

Fleetwood Corp Searipple RoadKarratha

719 a a a a a a

ESS Bay Village Balmoral RoadKarratha

520 a a a a a a

ESS Peninsula Palms Esplanade Rd Dampier

300 a a a a a a

Services Karratha Dampier Roebourne Wickham Point Samson

Primary schools a a a a

Secondary schools a

Childcare services a a a a

Community centre a a a a a

Library a a a a

Churches a a a a

Recreational centre a

Shopping centre a a a

Post Office a a a a

Hospital a a

Medical centre a a a a

Light industrial area a a a

Post secondary education facilities a a

Police Station a a a a

Regional court & facilities a a

Emergency services a a a a

Tourist accommodation a a a a

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 17

Key services and infrastructure likely to be affected by shifts in population are education, health, community and recreation facilities and emergency services.

4.6.1 Educationandtraining

The provision of public education within the Shire of Roebourne is managed by the Education Department of WA, which has a regional office in Karratha.

Karratha has four primary public schools: Millars Well, Karratha Primary, Pegs Creek and Tambrey. There is one private Catholic primary school: St Pauls. Dampier, Wickham and Roebourne each have one government funded primary school. Nearly 1500 children attend primary school in the Shire of Roebourne. (SOR, 2006).

Secondary schooling is available in Karratha and Roebourne.

Karratha Senior High School caters for students in Years 8 to 12. It is a modern facility with an indoor gymnasium and performance theatre. St Luke’s is a private Catholic secondary college that also caters for Years 8 to 12.

Students in Roebourne and Wickham can attend the Roebourne Annex of Karratha SHS to Year 11, but must travel to Karratha for Year 12. Karratha SHS caters for 600 students and St Luke’s 210. (SOR, 2006)

In 2006, the WA Government announced a budget allocation of $27 million for the redevelopment of Karratha SHS to cater for middle school education, and the development of a senior college to cater for Years 11 and 12. The senior college will be based next to Pilbara TAFE and provide opportunity to develop relationships.

Through Pilbara TAFE, Curtin University and Karratha SHS are working together to provide school leavers with access to a range of technical courses and undergraduate and postgraduate degree programs. TAFE also offers training and education to mature age students and resource companies. Pilbara TAFE has modern facilities and technology that are available for hire.

Figures for the Pilbara region show that 4740 vocational education enrolments were recorded in 2004. Indigenous enrolments accounted for just over 36 per cent of these. Indigenous enrolments are concentrated in Certificate I and II courses, while non-indigenous enrolments were focused on Certificates III and IV. Further analysis of the data showed that 43 per cent of all adults in the Pilbara hold a post-school qualification, indicating that the population of the Pilbara is relatively skilled. (ABS, 2001 Census)

4.6.2 Emergencyservices

Emergency services in the Shire of Roebourne are largely reliant on volunteers, with the exception of the Police Service. Emergency services in Karratha include St John Ambulance, the State Emergency Services (SES), Fire and Emergency Services (FESA), Police and Sea Search and Rescue.

An emergency contingency plan for Karratha was developed four years ago by the shire and FESA in preparation for any situation where demand for emergency services exceeded their availability.

Major resource operations such as the North West Shelf Venture and Pilbara Iron have their own dedicated emergency response teams.

Training and skills development for emergency services personnel in the region is limited and most of training is conducted in Perth. St John Ambulance has a Karratha-based training program that includes first aid courses and programs specialised for resource companies.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 18

4.6.3 Recreation,leisureandcommunityfacilities

The Shire of Roebourne is well supplied with recreation and community facilities compared to local government authorities in the metropolitan area. However, much of this infrastructure is ageing and in need of upgrading.

Support for local sporting and community groups is mainly funded through the Shire’s grants scheme or the Department of Sport and Recreation, which has a regional office in Karratha.

Karratha has an established range of recreation and community facilities, which include:

• Karratha Aquatic Centre (50m, 25m and babies pool)• Karratha Entertainment Centre (indoor court and gymnasium)• four public reserves (two fully lit to Australian standards)• tennis and netball complex (outdoor, fully lit)• Karratha Country Club (lawn bowls and 18-hole golf course)

Wickham, Dampier and Roebourne are serviced by smaller facilities which are aging and in need of continual maintenance. As part of the Roebourne Enhancement Scheme, a covered basketball stadium has been completed and plans are underway for the redevelopment of the town’s public open space. Facilities in Dampier and Wickham are maintained by Pilbara Iron.

The Shire has adopted a strategic plan for sport, recreation and leisure. It has assessed user satisfaction levels and developed strategies and recommendations on how the shire can improve levels of service.

Up to 80 per cent of the respondents reported their highest levels of satisfaction with fishing, movies, the library and public reserves. The highest levels of dissatisfaction were with children’s playgrounds, beaches and boat ramps.

The Shire has many passive recreation areas, including popular beaches along the Burrup Peninsula and parts of the mainland coast. Hearson Cove, Cowrie Cove and Withnell Bay are all popular destinations for locals and tourists to enjoy fishing, swimming and boating.

Hearson Cove is accessible by two-wheel drive vehicles, with part of the road sealed. Cowrie Cove and Withnell Bay are accessible only by four-wheel drive vehicles or boat and consequently are not as frequently used. 4.6.4 Medicalandhealthservices

Karratha and Roebourne are the only towns in the Shire of Roebourne serviced by district hospitals, namely the Nickol Bay District Hospital and Roebourne District Hospital. There is a regional hospital in Port Hedland that provides specialised medical care to residents across the Pilbara.

Nickol Bay District Hospital is a modern well-equipped facility capable of managing most emergency health care needs. The hospital has doctors working on a full-time roster and on an on-call basis who provide anti-natal, anesthetic and surgical services. Specialists visit the hospital periodically to provide further medical service to the community.

The West Pilbara Health Service operates and manages the Nickol Bay District Hospital and also provides community and child health services, drug and alcohol counseling, mental and disability services, and sexual and domestic violence counseling.

Community and child health services are also available in Roebourne and Wickham. X-ray and physiotherapy services are catered for by private practitioners and by the West Pilbara Health Service.

As with many regional areas, it is difficult to attract and retain adequate general practice medical services to the Pilbara. The ability to access general practitioners in the shire has been improved by the Karratha Medical Centre offering same-day appointments and opening seven days a week.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 1�

There are medical centres in Dampier, Wickham and Roebourne.

To minimise the impact of its workforce on already strained medical and health services, and to ensure access to health providers, Woodside, as operator of North West Shelf Venture, has set up a medical centre specifically for Phase V expansion employees, contractors and their families.

4.6.5 Crimeandjustice

Shire of Roebourne rates of recorded crime for residential burglary, vehicle theft, other theft and property damage were lower in 2004 than those for the Pilbara region and the state. Non-residential burglary, drug offences and other offences were higher in the shire in 2004 than for the region and the state.

Compared to 2003, there were percentage decreases in recorded residential burglary (-14%), non-residential burglary (-20%), other theft (-21%), property damage (-15%) and drug offences (-7%). There were percentage increases for offences against the person (39%), vehicle theft (4%) and other offences (102%).

Of 654 offenders arrested in 2004, 24.9 per cent were first-time offenders, with a majority of males from a non-indigenous background and aged between 18 and 35. The principal offences were driving and traffic (35.9%), against good order (21.1%), against the person, mainly assaults (20.8%) and theft (6.9%). (Community Safety and Crime Prevention, 2004)

4.6.6 Woodsidecommunityprograms

Through community partnerships and programs, Woodside and the North West Shelf Venture continue to be part of the local community. In working with and supporting reputable not-for-profit and community-based organisations, Woodside seeks to deliver long-term community benefits.

In 2007, Woodside and the North West Shelf Venture have contributed to the following community programs within the Shire of Roebourne.

Program Name Focus

Children Services Support Unit

Child care

David Wirrpanda Foundation Indigenous role model and healthy life choices

Greening Australia Environment management – pilot program ‘Stepping Stones’

Gumala Mirnuwarni Program Indigenous education

Indigenous Enterprise Centre

Indigenous business development

Juluwarlu Aboriginal Corporation

Indigenous culture

Karratha Medical Services Package

Medical and health services

Karratha Youth Housing Project

Youth program aimed at homeless and youth at risk

Kids Matter Family day care

Ngala Early parent information

NWSV Indigenous High School Scholarship

Indigenous education

Paraplegic Benefit Fund Road safety prevention

Pilbara and Kimberley Care Respite care for people with disability and illness

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 20

Woodside and its Joint Venture Participants will invest approximately $1.5 million in community programs in 2007.

5 Impact identification, assessment and management This section lists and assesses the impacts predicted to occur as a result of the Pluto LNG Development. The impacts are listed in Table 5.1 and the detailed assessment is in Table 6.1. Table 6.2 ranks the possible impacts according to consequence and probability of occurrence.

5.1 Summary tables

Possible impacts identified in the Social Impact Assessment were rated according to their impact – high, medium or low.

Pilbara Community Legal Service

Housing, financial and legal advice

Pilbara Regional Football Development Committee

Junior sport development, football

Pilbara Wildlife Carers Association

Wildlife and animal care

Phase V Medical Centre Health and medical service

Roebourne Art Group Arts and culture

Roebourne Breakfast Program

Indigenous health and education program

Roebourne Pathways Project Indigenous education

Rostrum Voice of Youth Education, public speaking

Royal Flying Doctor Service Remote medical service

Salvation Army Youth

West Australian Music Industry

Music education

West Pilbara Volunteer Sea Search and Rescue

Emergency service and education

Yaandina Strong Women’s Program

Indigenous health and well-being

High impact

Positive Negative

• Increased direct employment, particularly skilled labour

• Increased demand for provision of training including operators, trades

• Opportunity for indigenous participation in workforce training and pathways programs

• Increased demand in tight housing and rental market leads to increased accommodation and land costs

• Increased competition for labour, contractors• Increase in cost and demand for

construction materials, labour and services

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 21

Table5.1-ThepossiblepositiveandnegativeimpactsofthePlutoLNGDevelopmentarelistedincategories.

• Increase in direct local expenditure, economic activity and increased employment

• Flow-on economic activity in the region - services, social infrastructure

• Possible additional economic activity through development of other gas fields

• New long-term competitive cleaner energy source

• Increased demand for community services such as education, health, justice, childcare, transport, emergency services

• Increased demand for power, water supplies• Increased road traffic resulting in accidents

& possible injuries• Increased demand leads to shortage of new

housing land.• Increased accommodation demand may

lead to volatility in land/housing market• Decrease in accommodation for low income

households• Disturbance of heritage sites within project

footprint

Medium impact

Positive Negative

• Provision of suitable accommodation – permanent & temporary – at acceptable locations

• Increased indirect employment with contractors, sub-contractors and in service industries

• Induced employment from increased project spending

• Opportunities for indigenous employment, business participation

• Increased workforce capability, skills level and employment flexibility

• Enhanced employment attraction, retention – e.g., roll-over from NWSV Phase V.

• Career development opportunities• Increase opportunity for local economic

development, including local supply of goods and services

• Generation of increased revenue to government

• Increased Woodside exploration activity• Increased interest in regional cultural heritage

preservation• Increase knowledge of anthropological and

archaeological sites• Benefits of resident workforce integration in

community eg. volunteers, sport & social orgs• Demand for accommodation results in

increased returns to property owners/investors stimulates further investment in accommodation

• Decreased tourism because of shortage of accommodation, including caravan sites

• Workforce decline after construction peak• Increased demand on training providers with

limited resources• Potentially misaligned training programs • Possible increase in social tensions and anti-

social behaviour• Increased road traffic and deterioration of

infrastructure

Low impact

Positive Negative

• Increased need for cultural awareness training• Controlled access for indigenous groups to

Pluto sites• Exclusion zones in marine areas provide habitat

protection areas

• Risk of ‘over training’ for no employment or unsustainable jobs

• Increased demand for Woodside to spend on provision of services and partnerships

• Restriction of access to beach near construction site

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 22

5.2 Impact identification

Impacts from the Pluto LNG Development were identified by determining the likely interactions between development activities and the people who may be affected by them. The assessment was done for each phase of the proposed project - development, construction and operations.

The methodology used to identify impacts recognised that:

• the same project phase could cause a number of impacts, both positive and negative• an impact could have varying consequences and management strategies• an impact could be affected by association with other impacts• the impact on one group may produce an impact on another• impacts will change throughout the development as each phase progresses.

5.3 Impact assessment

The assessment has sought to identify for each possible impact the phase or phases of the development in which it may occur and the people likely to be affected.

Criteria were established to assist an objective assessment of the potential impact, including:

• duration of the impact• when the impact could occur• magnitude of the impact• ability of those affected to adapt to change• reversibility or minimisation of the impact.

Because assessment of these factors can not always be determined objectively, consultation was undertaken with appropriate stakeholders.

Having determined if impacts were positive or negative, Woodside’s approach is to put in place management strategies to minimise negative impacts and optimise the opportunity for positive impacts. For negative impacts, it is imperative that the approach taken does not affect project activity and should create barriers to reduce or prevent the effect of the impact. For positive impacts, there is an opportunity to develop mechanisms to enhance the impact, which may require leadership, intensive management and development of strategies which involve stakeholder groups.

5.4 Management strategies

Many of the impacts identified will require coordinated action by Woodside, local and state government agencies and other industry.

Strategies have been suggested that will either mitigate or enhance potential social impacts that may affect the community.

Consultation with key stakeholders will ensure mitigation and enhancement strategies are accepted in the community and are culturally and contextually appropriate.

Success of the Social Impact Management Plan will require implementation of the strategies to be monitored and reviewed to assess their effectiveness in the mitigation or enhancement of impacts.

Impacts identified are broader than Woodside responsibility and will require action/management from government and other agency/neighbouring industry.

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 23

6 Draft Social Impact Management PlanThis section details the identified possible impacts and the management strategies proposed to either mitigate or enhance the impact

IMPACT IDENTIFICATION, ASSESSMENT AND MANAGEMENT RESPONSES – Table 6.1

IDENTIFICATION ASSESSMENT MANAGEMENT

REF IMPACT PHASE PEOPLE AFFECTED

TYP

E O

F IM

PAC

T

PR

OB

AB

ILIT

Y

CO

NS

EQ

UE

NC

E

MANAGEMENT RESPONSES

ACCOMMODATION

H1 Increased demand in tight housing and rental market leads to increased accommodation and land costs.

CONOPS

• Const workforce• Local community• Small business• Govt agencies• Woodside

- HIGH HIGH

Woodside

• Support planning, design and establishment of permanent, semi-permanent and temporary accommodation options.

• Proceed with plans to construct new accommodation for construction workforce and potentially operations

• Ensure suitable accommodation for long-term operations.

• Encourage design flexibility to suit singles, married/family and fly in/fly out requirements for construction and operations phases

• Lead liaison on accommodation with shire, government agencies and real estate sector

• Support developers of accommodation facilities through patronage

• Identify opportunity for indigenous business participation in construction and operation of accommodation village

• Use of modular construction system for LNG facilities to decrease construction workforce

• Promote provision of low-income accommodation by providing sufficient workforce accomodation

• Advise community and government of workforce predictions and workforce accommodation options/plans

• If new build, consider alternative housing design that may provide the community with options for services and infrastructure improvements Eg. Family day care standards

• Support planning and investigation of other industry and Woodside providing housing for community service providers and small business developers

Others

• Plan/manage land availability - planning, amenity, services, approvals (DPI, Landcorp, Shire of Roebourne)

• Provision of headworks • Support tourism industry (government departments &

agencies)• Provide new accommodation for low-income

households (government departments & agencies, developers)

H2 Increased demand leads to shortage of new housing land. CON

OPS

• Homebuyers• Shire of Roebourne• Local business• Woodside

- HIGH HIGH

H3 Decrease in accommodation for low income households CON

OPS

• Local community• Indigenous comm• Workforce

- HIGH HIGH

H4 Increased accommodation demand may lead to volatility in land/housing market.

CON • Homebuyers• Local business• Property owners• Woodside

- HIGH HIGH

H5 Provision of suitable accommodation – permanent & temporary – at acceptable locations

CONOPS

• Local community• Shire of Roebourne• Woodside• Const workforce

+ MED MED

H6 Decreased tourism because of shortage of accommodation, including caravan sites CON

OPS

• Local government• Local business• Local tourism industry• Local economy• State• Woodside

- MED MED

H7 Demand for accommodation results in increased returns to property owners/investors and further investment.

CON

• Owners• Investors• Local community• Small business

+ MED MED

WORKFORCE

W1 Increased direct employment, particularly skilled labour CON

OPS

• Local community• State • Nation

+ HIGH HIGHWoodside

• Employment strategies to mitigate impact on local skills pool, support services – e.g. appropriate use of FI/FO, modular construction system

• Workforce coordination and planning for indigenous outcomes through Pilbara Industry Community Council (PICC), Indigenous employment and business development plans and strategies.

• Encourage construction workforces roll-over from Phase V to Pluto

• Employment strategies to maximise the opportunities for local residents, including the indigenous community

• Liaise with education/training institutions within the Shire of Roebourne and local indigenous community on direct and indirect employment and job possibilities

• Ensure contractors have Australian Industry Participation Plans, including indigenous participation and business development

• Develop relationship with Industry Capability Network to assist potential suppliers/contractors to work with Pluto

• Attract labour from external sources, including FI/FO, to supplement local capabilities

W2 Increased competition for labour, contractors CON

OPS

• Local business• State • Nation

- HIGH HIGH

W3 Increased indirect employment with contractors, sub-contractors and in service industries

CONOPS

• Local community• Local economy• State

+ HIGH MED

W4 Induced employment from increased project spending CON

OPS

• Nation• State• Local community• Local businesses• Local economy

+ HIGH MED

W5 Increased workforce capability, skills level and employment flexibility

CONOPS

• Local community• Local industry• Woodside

+ MED MED

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 24

IDENTIFICATION ASSESSMENT MANAGEMENT

REF IMPACT PHASE PEOPLE AFFECTED

TYP

E O

F IM

PAC

T

PR

OB

AB

ILIT

Y

CO

NS

EQ

UE

NC

E

MANAGEMENT RESPONSES

W6 Enhanced employment attraction, retention – e.g., roll-over from NWSV Phase V. CON

OPS

• Const workforce • Local community• State• Nation• Woodside

+ HIGH MED

• Consider alternative employment practices to lessen the impact of a labour shortage eg. Flexible working hours, work for marginalised groups, spouse employment

Contractors

• Prepare Australian Industry Participation Plans, including indigenous participation and business development

Other

• Encourage greater coordination of training to provide pool of young and mature-aged skilled workers (State and Federal training departments)

• Encourage indigenous enterprise development in local economy (Indigenous Business Australia, WA Aboriginal Economic Development, Small Business Centre – Woodside to cooperate)

• Provide enhanced educational and training opportunities, including higher education (universities, TAFE other training providers)

W7 Workforce decline after construction peak

OPS

• Indigenous comm• Woodside• State• Nation• Const workforce• Local comm.• Local business.

- HIGH MED

W8 Opportunities for indigenous employment, business participation in Pluto-related activity.

CONOPS

• Local indigenous community• Wider indigenous community

+ MED MED

W9 Career development opportunities

CONOPS

• Local community• Indigenous comm

+ MED MED

TRAINING

T1 Increased demand for provision of training including operators, trades CON

OPS

• Workforce• Training providers• Local community• Local industry• Shire of Roebourne

+ HIGH HIGH

Woodside

• Reduce the need for increase in training provision by facilitating roll-over of Phase V workforce and neighbouring industry workers

• Implement appropriate workforce training strategy, including competencies required, retention of capability, indigenous employment programs

• Develop an Indigenous Employment Strategy, which includes training and specific targets for Woodside, contractors and project operations

• Specific investment in indigenous training and pathway programs

• Develop and implement cultural awareness training across Pluto

• Ensure training is backed up with contracting and procurement strategies that deliver real opportunities

• Implement Woodside policies on providing opportunities for local employment (contractors)

• Identify potential utilisation of latent skills of workforce ready members of the local community

• Assess training and capabilities to avoid unecessary training

• Encourage early planning and commencement of apprenticeships and training programs within construction and operations

Other

• Ensure development/availability of suitable training programs that relate to the skills and competencies required for Pluto (training providers)

T2 Opportunity for indigenous participation in workforce training and pathways programs

CONOPS

• Indigenous comm• Local community• Local industry, business• State• Nation

+ HIGH HIGH

T3 Improved training sector

CONOPS

• Workforce• Training providers• Local community• Local industry• Shire of Roebourne

+ HIGH MED

T4 Increased demand on training providers with limited resources CON

OPS

• Local community• Training providers• Woodside

- MED MED

T5 Potentially misaligned training programs CON

OPS

• As above

- MED MED

T6 Increased need for cultural awareness training

DEVCONOPS

• Local community• Workforce• Woodside

- MED LOW

T7 Risk of ‘over training’ for no employment or unsustainable jobs

CONOPS

• Local community• Workforce• Training Providers• Woodside

- MED LOW

ECONOMIC / BUSINESS DEVELOPMENT

E1 Increase in direct local expenditure, economic activity and increase employment CON

OPS

• Local govt• WA Govt• Fed Govt• Local community• Local business

+ HIGH HIGH

Woodside

• Develop economic impact assessment for Pluto LNG Development

• Communicate employment criteria and assessment for Woodside and contractors

• Develop Australian Industry Participation Plan and enlist support of Industry & Capability Network effective and well communicated community partnership program

• Ensure contractors implement Australian Industry Participation Plans

• Communicate economic contribution to key stakeholders through effective communication program

• Develop and promote indigenous business participation in Pluto development

• Develop and promote Burrup LNG Park concept, including ‘open access’ model to allow development of stranded gas

E2 Increase in cost and demand for construction materials, labour and services

CONOPS

• Small business• Local community• Local industry• Woodside

- HIGH HIGH

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 25

IDENTIFICATION ASSESSMENT MANAGEMENT

REF IMPACT PHASE PEOPLE AFFECTED

TYP

E O

F IM

PAC

T

PR

OB

AB

ILIT

Y

CO

NS

EQ

UE

NC

E

MANAGEMENT RESPONSES

E3 Possible additional economic activity through development of other gas fields CON

OPS

• Governments• Local community• State• Workforce• Woodside

+ MED HIGH

Other

• Ensure adequate infrastructure/services available in the community to support economic activity (local, state and federal government)

• Opportunity for regional development planning and management (Pilbara Development Commission)

• Provision of services/facilities in Shire of Roebourne

E4 Increase opportunity for local economic development, including local supply of goods and services

CONOPS

• Local community• Local business• Local industry + HIGH MED

E5 Generation of increased revenue to government CON

OPS

• Fed Govt• WA Govt• Local govt• Local community

+ HIGH MED

E6 Increased Woodside exploration activity

• Governments• Woodside + HIGH MED

E7 Opportunity for indigenous employment, business participation

CONOPS

• Indigenous comm• Local community + MED MED

E8 Increased demand for Woodside to spend on provision of services and partnerships

CONOPS

• Local community• Local business• Woodside

- MED MED

E9 New long-term competitive cleaner energy source OPS

• Woodside• NGOs• Nation

+ HIGH HIGH

SOCIAL / CULTURAL

S1 Increased interest in regional cultural heritage preservation DEV

CONOPS

• Indigenous comm• Aust/WA/local communities• National/state NGOs• International NGOs• Industry

+ HIGH MED

Woodside

• Develop and implement Cultural Heritage Management framework and plans

• Communicate effectively with tourism operators and fishing community on closure of Holden Point beach

• Effective signage and notice on exclusion zones around Holden Point, especially when blasting

• Provide controlled site access indigenous groups • Identify and contribute to appropriate community

programs in the Shire of Roebourne• Provide cultural and social activities for workforce • Engage with local authorities and develop appropriate

strategies for addressing anti-social behaviour• Establish a suitable volunteer program that encourages

workforce to volunteer within the community

Other

• Ensure appropriate controls are put in place for exclusion zones

S2 Increase knowledge of anthropological and archaeological sites DEV

CONOPS

• Indigenous comm• Local community• Industry• Academia• Nation• State

+ MED MED

S3 Benefits of workforce integration in community eg. volunteers, sport & social orgs

CON OPS

• Local Business• Local community• Contractors• Woodside

+ MED MED

S4 Possible increase in social tensions and anti-social behaviour

CON OPS

• Local community• Indigenous comm - LOW MED

S5 Disturbance of heritage sites within project footprint

DEVCON

• Indigenous comm• Woodside• Aust/WA/local communities• National/state NGOs• International NGOs• Industry• Local community• Nation

- HIGH HIGH

S6 Controlled access for indigenous groups to Pluto sites CON

OPS

• Indigenous comm• Woodside + HIGH LOW

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 26

Table6.1-Thischartplotsthepossibleimpactsofthedevelopmentbasedontheirprobabilityofoccuringandtheirpossibleconsequences.

IDENTIFICATION ASSESSMENT MANAGEMENT

REF IMPACT PHASE PEOPLE AFFECTED

TYP

E O

F IM

PAC

T

PR

OB

AB

ILIT

Y

CO

NS

EQ

UE

NC

E

MANAGEMENT RESPONSES

S7 Restriction of access to beach near construction site CON • Local community

• Tour operators• Workforce

- HIGH LOW

S8 Exclusion zones in marine areas provide habitat protection areas CON

OPS

• Commercial fishers• Rec fishers• Dept of Fisheries• Local community

+ HIGH LOW

S9 Reduction of fishing and recreation areas near Holden Point exclusion zones

CONOPS

• Local community• Tour operators• Commercial & rec fishers

- HIGH LOW

COMMUNITY SERVICES / INFRASTRUCTURE

C1 Increased demand for community services such as education, health, justice, childcare, transport, emergency services

OPS

• Local community• Indigenous comm.• WA Government• Local government• Workforce

- HIGH HIGH

Woodside

• Enhance early and ongoing communication with key local stakeholder in regard to employee demographics and workforce numbers to assist in planning for appropriate community services and infrastructure (inc. medical, education, justice etc)

• Support current and additional programs in the community that provide employees with essential services and programs, including health & medical

• Investigate opportunities for Indigenous Business to capitalise on new infrastructure facilities, such as accommodation village

• Encourage resident employees and contractors to integrate and become a member of the local community i.e. volunteer work

• Develop and implement a suitable Traffic Management Plan

• Look at opportunity to extend headworks (e.g. power, water & sewerage) to support project accommodation needs

• Review and adjust Woodside’s investment in community development programs

• Co-operate with other industry participants and Government (PICC, RPA, SOR, PDC etc)

• Work with other industry and Governments to agree regional community development priorities

Other Responsibility and Management

• Ensure sufficient services and infrastructure are available to the local community (State and Local Government)

C2 Increased demand for power, water supplies

DEVCONOPS

• Utility provider• Local community• WA Govt• Woodside - MED HIGH

C3 Increased road traffic resulting in accidents & possible injuries

DEVCONOPS

• Local community• WA Govt• Workforce• Woodside

- MED HIGH

C4 Increased road traffic and deterioration of infrastructure

CON OPS

• Shire of Roebourne• WA Govt• Local community• Workforce

- MED MED

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 27

Positive impactNegative impact

LOW

MEDIUM

HIGH

Community has significant capacity to adapt and cope with or promote changeCommunity has some capacity to adapt and cope with or promote changeLimited capacity within the community to adapt and cope with or promote change

H2 H3 W7

H1 W2E2C1

H6

T4

T5C4

C3C2

H6

T6 T7E8

S5 S7 S�

S4

T1 T2E1 E�

H4

H5

W8 W�

E7

S2 S3

E3 E3

Table6.2-Thistableshowsthesignificanceofapossibleimpactbasedontheconsequenceandprobabilityofitoccurring.

H7

W1

E4 E5 E6 S1

W4 W5

W6

W3T3

S8S6

Woodside Energy Ltd. | Pluto LNG Development - Social Impact Study | June 2007 28

7 References and AcknowledgementsReferences

Australian Bureau of Statistics, www.abs.gov.au Community Safety and Crime Prevention, Department of Justice, 2004Department of Local Government Regional Indicators, 2003Housing and Land Snapshot, Pilbara Development Commission, September 2006Housing Sub-Element Report, Dr H Singleton & Dr F McKenzie, July 2006Identification, assessment & management of FIFO impacts, Anne Sibbel, July 2006Lay of the Land Report, URS, March 2006Pilbara Development Commission, www.pdc.wa.gov.au Pilbara Economic Perspective, Pilbara Development Commission, July 2006Pluto Economic Impact Assessment, Insight Economics, September 2006Public Environmental Review, Burrup Methanol Complex, 2002Public Environmental Review, Woodside Energy Ltd, April 2006Public Environmental Review, Woodside Energy, December 2006Pilbara Infrastructure Audit Report, Pilbara Regional Council, May 2004Pilbara Regional Priority Plan, Pilbara Development Commission, 2003Pilbara Regional Sustainability Strategy, Murdoch University, December 2005Shire of Roebourne Principal Activity Plan, July 2004Shire of Roebourne, www.roebourne.wa.gov.au Training and workforce impacts, Tony Cooke, July 2006

Acknowledgements

Elizabeth Scott, Environment, Cultural and Social Resource Management ConsultantAnne Sibbel, Reflective PracticeTony Cooke, Tony Cooke ConsultingDr Helen Singleton, Curtin UniversityDr Fiona McKenzie, Curtin University

To request any of these documents, please contact Woodside:

T: (08) 9348 4000 F: (08) 9214 2777email: [email protected]

Woodside Energy Ltd.

240 St Georges TerracePerth, Western Australia, 6000

GPO Box D188Perth, Western Australia, 6840

T: +61 (8) 9348 4000F: +61 (8) 9214 2777

www.woodside.com.au

March 2007