Resource People | Autumn 2019

RESOURCE Issue 020 Autumn 2019

Veteran inspires next-gen workforce Retired footy star kicking youth employment goals

ichthys milestone

marks rise of LNG

PLUS Federal Election analysis, Indigenous programs

hit the mark and top trainee’s inspirational journey

The AusTrAliAn resources And energy group inviTes you To…

Gala Dinner 1 AugusT 2019

enQuiries: gail.giFFord@amma.org.au or PHone 07 3210 0313

Celebrating the outstanding aChievements of the resourCes and energy industry‌

Awards Night MelBourne cBd

rsvP: www.amma.org.au/galadinner

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CONTENTS

RESOURCE

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Issue 020 Autumn 2019

Veteran inspires next-gen workforce Retired footy star kicking youth employment goals

ichthys milestone

marks rise of LNG

PLUS Federal Election analysis, Indigenous programs

hit the mark and top trainee’s inspirational journey

cover image Kate Ferguson Media

Editor Brad Thompson brad.thompson@amma.org.au AMMA Contacts 1800 627 771 membership@amma.org.au www.amma.org.au

Designed and published by The Magazine Publishing Company

www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

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CONTENTS

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REGULARS

04 From the editor 05 Chief executive’s message LEADERSHIP

06 10 12 14 15

Industry veteran inspires the next-gen to "get into resources" Legal eagle relishes new industry role Shell chair calls for industry and society alignment Sir Arvi remembered as giant of Australia's mining industry Businesses to report on modern slavery in supply chain

WORKFORCE

16 Milestones mark another 40 years of Ichthys LNG 20 A New Horizon sparks fresh future of work debate 22 Federal Election 2019: The resource industry's influence agenda OHS & WELLBEING

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24 25 26 27 27

Boral safety learning tool globally recognised Focus on FIFO psychological and social conditions Safe work report flags 34 WHS changes A day off for mental health? Aussies would rather fake a 'sickie' A little exercise could help 'high sitters' health

TRAINING

28 30 32 33 34

Rising to the top: Inspiring trainee overcomes adversity NRL legend JT kicks youth employment goals PNG geologist hones leadership skills in Oz Fortescue's training program guarantees a job Atlas setting benchmark for Indigenous engagment

DIVERSITY

36 37 38 39

Sodexo releases five-year gender study results Australia's rich history goes global Scientific superpowers for ExxonMobil supervisor STEM program builds future workforce pipeline

INNOVATION

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Big players collaborate as Chevron eyes next development Automation project drives wide-ranging benefits Anglo commits $162m to mine rehabilitation Broadspectrum lifts Indigenous commitment Mining companies must adapt to disruption: report

ECONOMY

46 Queensland under pressure to get Adani moving 47 Australia trails only Canada in mining attractiveness 48 Resources growth key on government agenda

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REGULARS

Brad Thompson Editor

From the editor Conquering business-critical workforce challenges can be an arduous and seemingly never-ending task for many resources and energy employers.

Whether it is skills shortages, antiindustry activism, managing changes in industrial relations regulation or the industry’s cyclical nature, it is the talented people from within AMMA’s members who ultimately shine through.

Our industry’s ability to overcome adversity is why it is so rewarding to discover stories of resilience, longevity and innovation, often driven by individual role models who inspire the next-gen resources and energy workforce.

Such trail-blazers are leading the path for further development and growth in key areas, for example diversity and inclusion as we build on the belowpar 16.7% representation of women in Australia’s resources industry workforce.

While great efforts are underway

in this area, more women should be enjoying the rewarding career opportunities offered in the resources sector. This sentiment is shared by industry role model Meryl Jones, who features on the cover of this edition of Resource People.

Meryl exemplifies the industry’s greatest asset – an inspirational and knowledge-filled leader who encourages and motivates others to share her love for resources and energy.

She is one of many industry stalwarts putting the spotlight on careers in the industry and is a testament to the leading role our nation’s women play on the global stage.

In fact, Meryl is one of the Australian female leaders who made up almost a quarter of the Top 100 Global Inspirational Women in Mining last year.

It is this type of leadership that transcends broadly into other areas of

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the industry, such as the country’s rise to become the world’s leading LNG exporter.

As outlined throughout these pages, there’s a lot to be proud of as Australia demonstrates its ability to bring together the technology, innovation and human ingenuity to deliver world-class projects on a scale never seen before.

The rise of LNG is reflected in this edition with features on INPEX and Chevron projects, Shell’s future plans and people profiles highlighting the feats of ConocoPhillips and ExxonMobil employees.

Whether it is individual shining stars or world-class projects, we have no shortage of success stories to share across the board.

Through the work of leading employers, wider industry initiatives and inspirational people, we are making inroads on the challenges that once seemed insurmountable. RP

Steve Knott

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AMMA CHIEF EXECUTIVE

Chief executive’s message This edition of Resource People lands on members’ desks just days before the 2019 Federal Election. The outcome holds significant implications for employers, especially in the key areas of workplace relations, skills, training, skilled migration and energy policy.

It can be important however, during hotly-contested election campaigns, to contrast the short-term nature of politics with the resilience and longevity of the resources and energy sector.

Several AMMA members commenced operations before Federation, but since the establishment of the Commonwealth of Australia in 1901 there have been 45 elections with the 46th Parliament set to be sworn in.

In short, federal governments last on average 2.6 years per term. This is in stark contrast to major resources and energy projects, which can span more than a decade in the planning phase alone and produce value for the Australian community for several decades.

Sadly, and to the detriment of Australia, in today’s regulatory environment some projects are spending the better part of a decade tied up in both State and Federal Government approval processes.

There is a lack of appreciation that financial investment decisions for multi-billion dollar, multi-generational projects, are subject to understandably significant consideration and competitive pressures.

These are all concerning signs that the enormous contribution of our sector to Australia's economic prosperity is increasingly being taken for granted.

Many citizens have solely experienced Australia in its envious position of 27 years of uninterrupted annual economic growth - the longest recession-free growth for any developed country.

Such a position is underpinned by a competitive and strong resources and energy industry, with our sector delivering a $20 billion boost to the budget bottom line, contributing 20 percent of all company tax revenues, directly and indirectly employing over a million Australians and recently recording a record $278b in earnings.

This, however, is dangerously under-acknowledged.

Instead there is a sense of satisfaction, complacency or even entitlement with Australia’s existing economic position, which will no doubt see our nation live well below its capabilities and capacities if not urgently reversed.

As Albert Einstein famously said: “The measure of intelligence is the ability to change”.

Our sector is focused on continuous change, managing unrelenting competitive pressures and new horizons of work.

This extends way beyond short-term political cycles.

Having our members, their families and communities build knowledge of the enormous contribution our sector makes

There are significant opportunities ready to be unlocked for Australian employees, employers and those regional communities and the critical business supply chain that relies on a thriving national resources and energy industry.

and opportunities for the future, will future-proof our sector and Australia's economic prosperity against ill-informed commentary and adverse political determinations seeking to undermine our social license to operate.

As always, AMMA will work closely with whichever party forms government to promote stability in the regulatory environment and pursue initiatives critical to continue the jobs creation and economic wealth delivered to our country.

We will advocate strongly to ensure the 46th Parliament of Australia appropriately recognises our industry’s unique link to our nation’s prosperity, and prioritises decisions which enable further growth while underpinning employment and revenues.

There are significant opportunities ready to be unlocked for Australian employees, employers and those regional communities and the critical business supply chain that relies on a thriving national resources and energy industry.

The need for a regulatory system that facilitates future employment opportunities and directly enhances the economic well-being of every Australian is explored in a recently released AMMA research paper titled, A New Horizon: Guiding Principles for the Future of Work.

Technology, demographic, competitive factors and so forth continue to be influencing the future of work in the resources and energy industry. The principles and findings within this report form part of our advocacy for future-focused policy making during the next term of government.

Ensuring Australia remains an attractive place to invest and work is an opportunity that must be seized.

I thank all the AMMA member representatives who contributed to this major research project and for your ongoing support and engagement as we work together to sustain and build upon our industry’s extraordinary achievements. RP

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LEADERSHIP

Industry veteran inspires the next-gen to 'get into resources' It’s easy to see why three-decade industry veteran Meryl Jones has been named one of the world’s most inspirational women in mining, as she encourages leaders to take action on gender diversity and inspires secondary school students into resources careers.

AS A second year geology student mapping South Australia’s picturesque Flinders Ranges, Meryl Jones became instantly hooked on the resources industry.

Now 30 years on, she’s even more passionate about the industry and is re-directing her energy to inspire the next generation and encourage leaders to better attract, retain and advance women in the sector.

Since 2012, Ms Jones’s not-for-profit initiative Get Into Resources has been influencing young minds to join the industry.

A large focus is spreading the message that the sector is accessible, attractive and advanced for all, having moved well past the common misconception of only being suited to blokes who like to get dirty and play with machinery.

“We all know there is a problem with girls not taking STEM subjects and I meet many girls who say they never knew what type of opportunities there were in the resources sector,” Ms Jones said.

“Young girls need to know that resources is more than rocks, big trucks

and dirty blokes – that there are well over 150 different types of jobs on a mine site from a kitchen hand to general manager – and every one is essential for a mine site to work efficiently.”

With a career spanning a diverse range of roles across the entire length of the mining value chain, Ms Jones has enjoyed a prime view of the opportunities offered in the sector.

Now a business development principal at Australian gold miner St Barbara, Ms Jones could never have imagined the challenges and achievements she has conquered – topped by being recognised as one of 23 Australian-based industry leaders to make the Top 100 Global Inspirational Women in Mining list in 2018.

“I’ve been lucky enough over the years to have had many interesting and often very challenging opportunities put before me – most of which I have taken on,” she said.

“I have loved every minute of my 30 years in the industry, and I am still completely hooked. I cannot see myself doing anything else, ever.”

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Lifting women through her personal journey Ms Jones is incredibly passionate about women realising the rewarding opportunities offered in the resources and energy industry.

Understanding from personal experience the roadblocks they must overcome, her story is one of inspiration for women who feel the challenges are too great.

“In 1996 when our first son was born, I chose to become a stay-at-home mum,” she said.

“I think the choice to stay home or return to work, in whatever capacity, is a very personal one and we shouldn’t judge other women on what they choose to do.

“Challenges do remain and we need to support our women by continuing to reduce those challenges, and strive to make the industry increasingly more inclusive.”

Despite the difficulties of working remotely while juggling family commitments, Ms Jones has never stopped learning and keeps striving for work-life balance.

She raised her two boys in a three bedroom house on a mine site some

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Get Into Resources promotes the industry to the next-gen.

St Barbara’s Meryl Jones was recognised as one of 23 Australians to make the Top 100 Global Inspirational Women in Mining in 2018

With a 30-year mining career, Meryl Jones has now founded an initiative inspiring others to follow suit.

Image: Kate Ferguson Media

My family was and is important to me and being happy in that space helped me continue to be a highly engaged and productive employee.

400kms north of Kalgoorlie with a “residential husband” on a five-week on, one-week off roster.

After eventually settling in Perth with her family, she was ready to return to the industry – this time in a significant step down from her pre-children role as exploration manager to be an administration geologist – but with family a priority, she wanted flexibility.

“Since that time I have transitioned through several other roles with a further two companies, all of which have been happy to have my contribution on a parttime basis,” Ms Jones said.

“What’s helped is that all of my managers have been parents themselves

and they genuinely understand the need for flexibility.

“I’ve been very up-front about being a part-time employee right from that first interview after returning to work.

“My family was and is important to me and being happy in that space helped me continue to be a highly engaged and productive employee.”

In October last year, Ms Jones returned to full-time work – and still works flexibly – nominating her current role as by far the most rewarding as she draws on 30 years’ industry experience to apply her knowledge day-in, day-out.

“Evaluating opportunities right across the mining value chain from early-stage

exploration opportunities through to active operations or those which may be at the end of their current lives, remains challenging and exciting,” she said.

“My current role with St Barbara is in business development and allows me to harness all of my experiences over a myriad of different professional roles, to review, evaluate, assess, advise on and pursue new business - from greenfields to operational merger and acquisition opportunities.

“I advise on investment strategy and business development, with an emphasis on high-level technical and financial analysis and due diligence, exploration and development strategy, and business sustainability.”

Mentoring and advocacy forms a large part of her role, helping St Barbara achieve industry-leading results for attracting and retaining women, particularly internally.

“I have been mentoring a woman in her 30s and now, in turn, she’s using those mentoring techniques to mentor a woman in her 20s,” she said.

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LEADERSHIP

With an inclusive and collaborative leadership style, Ms Jones places value on diversity of thought to deliver the best business outcomes.

“Drawing on those around you with varied experience, knowledge and perspectives ensures that conversations are expansive and fruitful,” she said.

“Ultimately you have to be able to distil all of that information through a funnel and into a final answer or result, so being able to bring everyone along on the journey is very important. It’s the “why” of any project you may be working on.”

Inspiring the next-gen into resources careers Looking to the future pipeline of mining and resources talent, Ms Jones knows the resources sector must work harder

to strategically position itself to attract school leavers.

She understands it is a different world compared to when she graduated in 1986 and wasted no time in getting “stuck in”, securing a mine geologist position with Forsayth Mining Services at Mount Gibson.

“The resources sector needs to work hard to establish its relevance in society,” she said.

“Those on the inside of the industry understand that almost everything we are involved with or use on a daily basis, had its origins in a mine somewhere.

“The community generally, and certainly our school children, do not have the same appreciation.

“Many students have little or no appreciation for the types of positions available in the resources industry. With

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over 150 different roles possible, there’s so much to choose from.”

The need to amplify the sector’s visibility to students was made abundantly clear when Ms Jones was helping her then 15-year-old son make subject choices for Year 11.

“I noticed the lack of immersive, hands-on experiences to enable him to understand the breadth of opportunities available in the resources industry, the opportunity that I was envisaging for him to experience,” she said.

Responding to this alarming gap, in 2012 Ms Jones founded Get Into Resources, an annual volunteer-led careers event which showcases the opportunities available in the resources industry to secondary school students.

Describing the initiative as a “thought

LEADERSHIP

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Industry’s future workforce learn about a resources and energy career.

Meryl Jones is passionate about diversity in the resources and energy industry.

St Barbara’s Leonora operations in Western Australia.

bubble”, Get Into Resources has now grown into a vehicle for supporting the future talent pipeline by providing the information and inspiration for young people to make informed choices about their careers.

But the industry’s challenge to dispel myths is multi-faceted and includes established fallacies such as students thinking a university degree is required to work in the mining industry.

“ABS analysis of mining industry participants shows that only 25 per cent of mining industry employees have a Bachelor’s Degree or higher,” Ms Jones said.

“However, 45% of employees hold a qualification from TAFE, via a Certificate III or IV, Diploma or Advanced Diploma.

“The TAFE sector is a relatively untapped source of talent for the resources industry,

and it is one of the main reasons why I joined the Governing Council of North Metropolitan TAFE last year.”

The four-day Get Into Resources program for 2019 commences on 19 June in Perth and will hope to reach more than 500 students.

Ms Jones’s employer St Barbara is one of the best-positioned miners to attract the attention of talented youngsters, with its leading gender diversity practices particularly wellknown among the industry.

The company has been awarded the Workplace Gender Equality Agency (WGEA) Employer of Choice for Gender Equality citation for the past five years – the only mining company to receive this recognition.

Earning the WGEA citation is no easy feat, but led by the company’s managing

director and CEO Bob Vassie - a WGEA Pay Equity Ambassador - diversity and equality is integrated within core business strategy, discussed at board level and, importantly, championed by senior management.

“When I was looking for this current position with St Barbara, I was attracted by the values the company holds around honesty, integrity and respect,” Ms Jones said.

“I clearly remember thinking at the time that if the company can behave in this way and perform to these values, then we will be aligned in our thinking and strategy and I’ll be happy - and I can say I am very happy.”

Find out more about how Get Into Resources is inspiring a resources industry talent pipeline for the future, via getintoresources.com. RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

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LEADERSHIP

Legal eagle relishes new industry role Collaboration toward a common goal is one of the standout differences Leyla Sandeman has discovered since transitioning from law firm to employer group – and it’s also one of the most satisfying.

IT HAS been a smooth transition for Ms Sandeman from well-regarded Brisbane law firm Minter Ellison into her role as Head of East Coast Workplace Relations at Australian Resources and Energy Group AMMA. Drawing on her skills and experience learned as a senior associate, the employment lawyer is now guiding resources and energy employers on a range of legal and industry matters.

“Relationships with members are quite different than traditional law firm clients,” Ms Sandeman explained.

“There’s more of a feeling of partnership working towards a common goal, especially given the investment the members have in AMMA as a representative body, and AMMA’s engagement with the members to get the best outcomes for them and the industry.

“AMMA is also heavily involved in policy and influence activities – law firms don’t do that kind of work.”

Working with a tighter scope of clients all from one industry has advantages.

Coupled with her already extensive industry knowledge, this forms a formidable asset for AMMA members.

“Working with employers in the resources and energy industry allows me to focus on one particular sector instead of a number of sectors,” Ms Sandeman said.

“Obviously there are a number of relevant and transferable skills and experience I’ve learned from my time at a law firm that assist in my role at AMMA. “Firstly and foremost, the interpretation and application of industrial relations law. Beyond that, how to communicate with people at all different levels, how to argue persuasively, how to draft in plain

Obviously there are a number of relevant and transferable skills and experience I’ve learned from my time at a law firm that assist in my role at AMMA

English, and how to deal with unions and the (Fair Work) Commission are also of significant benefit.”

Ms Sandeman’s prior experience with resources and energy includes on-site deployments such as 12 months spent on secondment for Rio Tinto at Gove in the Northern Territory.

“Although I had initially gone to provide advice and assistance in relation to their newly negotiated enterprise agreement, I got dragged into a lot of interesting matters over my time there,” she said.

“I learned what it’s like to live in a remote community and the challenges from an IR perspective when the mine owner/operator is the main employer in that community, as well as the blurring of lines between ‘work’ and ‘out of work’ activities, particularly where employees and contractors are living at camp accommodation.

“As well as completing a secondment in Gove, I also undertook another secondment for Rio Tinto in Emerald.

“My experiences really helped me to understand from a first-hand perspective

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AMMA Head of East Coast Workplace Relations Leyla Sandeman

what it’s like to work on site which I think is invaluable to my work at AMMA. “I’ve been involved in advising employers, ranging from owners/ operators to those in the supply chain, on all manner of issues including enterprise bargaining, performance management and disciplinary issues.

“I’ve also carried out investigations into bullying, sexual harassment and other kinds of misconduct, and the defence of adverse action, discrimination and unfair dismissal claims.”

CELEBRITY BRUSH TOPS LIST OF MEMORABLE CASES While the resources sector has its share of quirky situations, brushes with Hollywood fame are uncommon - but it can be very much a different story for lawyers.

Ms Sandeman recounts an adverse action claim of celebrity status which opened her eyes to Hollywood drama.

“An individual brought a claim against a major film production company relating to the fact that she hadn’t been selected as a body double for American actress Blake Lively,” she said.

LEADERSHIP

“The case involved dealing with an applicant with an over-inflated ego and some Hollywood producer types. I learned a lot about the movie business and casting which proved that it really is a cut throat industry.”

Despite lacking the excitement of Hollywood antics, another memorable case was the termination of Peabody’s Coppabella and Moorvale CHPP enterprise agreement.

“This was the first enterprise agreement termination case I was involved in and I was pleased to be able to get a successful outcome for our client,” she said.

“The decision, which was upheld on appeal, was a good example of the utility of the agreement termination provisions, in the context of enterprise

Leyla Sandeman has experience at a number of Rio Tinto sites.

Credit Christian Sprogoe Photography

agreements with conditions negotiated during the boom times no longer being fit-for-purpose, and better productivity outcomes being able to be reached following termination of the agreement.”

The case was an example of revelling in assisting employers, making Ms Sandeman a perfect fit at AMMA. “I love being part of an organisation that is on the forefront of change and so involved in pushing for legislative and other changes for the benefit of what is arguably Australia’s most important industry,” she said.

“Having that involvement, particularly being part of activities related to improving the industry’s social license to operate is something I really enjoy.”

AMMA’s consultancy services continue to be in-demand, with a

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particular focus on ensuring all boxes are ticked by employers when dealing with the industrial relations system.

Ms Sandeman’s vision for the East Coast team is to build on its current success while expanding as demand for services increase.

“The role of employer groups such as AMMA is so important because of the breadth of services we provide to our members,” she said.

“Coupled with the depth of industry knowledge we bring to our work, it allows us to both provide support to our members where they need it most in terms of navigating our current IR systems, while also effectively advocating for change where it’s needed in order to put our members in the best position for future success.” RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

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LEADERSHIP

Shell chair calls for

industry and society alignment Australia’s once-robust social cohesion now looks more fragile than it has been in almost 50 years, according to one of the country’s most influential oil and gas industry figures.

Shell Australia chair Zoe Yujnovich has spelled out the challenges facing the resources and energy industry to unite the country and spread the message about the industry’s benefits.

Having a social license to operate has become a pivotal strategic issue for resources and energy employers – a headwind one of the world’s energy giants has stamped as urgent.

As Shell focuses on providing more and cleaner energy, Ms Yujnovich said the company was continually pressing for societal acceptance.

Speaking publicly recently, Ms Yujnovich highlighted a number of tension points - economic, political and societal – influencing Shell’s big investment decisions.

“Humans tend to act in their selfinterest. Things that threaten our

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Shell Australia chair Zoe Yujnovich

LEADERSHIP

economic survival are strongly resisted,” she said.

“And people who feel economically marginalised naturally look to things to blame for their predicament.

“We have all seen how the Paris yellow-vest movement grew from a protest against an environmental fuel tax into full-on street riots aimed at the French government.

“You may recall, in stark contrast, we had placard-waving school children ‘on strike’ across Australia demanding more action on climate change.

“It was even more telling that even when the French government backpedalled, the rioting in Paris continued, and threatened to descend further.”

The outtake is that social cohesion –

Sunset from Shell’s flagship Prelude FLNG facility.

which Ms Yujnovich said has always been robust in Australia - now looks more fragile than it has been since the Vietnam War. “The divide between the haves and the have nots is deepening,” she said.

“Often that manifests in a suspicion or loathing of government, immigrants and foreigners, as well as opening class resentments and divides along political alignments.

“A common sentiment is that policy makers and elites have, in the eyes of these protesters, lost touch with ordinary folk.”

She conceded big business was not without blame.

“The erosion of public trust in big business mirrors the erosion of trust in political parties and religious institutions and is well documented, not the least of which in findings of Royal Commissions of Inquiry,” she said.

“The levels of executive remuneration now regularly draw strikes from shareholders at AGMs, especially at a time of flat wages growth for everyone else.

“The amount of taxes companies pay has never been more publicly scrutinised.

“I’m proud to say the resources and energy industries are better than most when it comes to spreading the prosperity to communities.”

“I can’t overstate the importance of the industry’s investment to regional and Indigenous Australians.”

Ms Yujnovich’s comments come as Shell’s most ambitious Australian project, Prelude - the first-of-its-kind floating LNG facility off the coast of northern Western Australia – starts production.

Prelude will deliver multiple decades of benefits, but Ms Yujnovich also pointed to investment in the Queensland LNG sector as an example of breathing life into regional economies, delivering well-paid jobs and additional income for communities traditionally reliant on agriculture alone.

With Queensland LNG investment creating 40,000 jobs during construction and ongoing employment for 13,000 people, she noted the positive flow-on

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I’m proud to say the resources and energy industries are better than most when it comes to spreading the prosperity to communities.

into regional towns.

“As these skilled workers contribute to these productive economic areas, their labour will fuel both higher wages and further investment – ultimately leading to more and higher paying jobs,” she said.

“As we heard in this very room last December, wages in the resources industry are the highest of all Australian industries.

“Australia’s resources minister pointed out resource workers earn more than double the average wage.

“But we must do a much better job of telling this regional development story. Failure to do so simply arms the naysayers in capital city cafés.”

As she closed the speech, Ms Yujnovich laid out the challenge for industry to unite in its advocacy for proinvestment policies.

“The challenge for industry is to advocate that Australia needs policy that continues to attract investment opportunities. We must be consistent, we must be united, we must fight for the investment climate we know we need,” she said.

“This will help grow local economies to demonstrate to detractors in capital cities the essential role that the regions play.

“We absolutely must ensure we are not the first generation since World War II to pass on to our children a lower standard of living than we have enjoyed.

“We want our future generations to not only survive − we want them to thrive.” RP

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LEADERSHIP

Sir Arvi remembered as giant

of Australia’s mining industry THE MINING industry lost one of its most influential and revered figures when Sir Arvi Parbo passed away on 1 May, 2019, aged 93.

Tributes flowed as political and industry leaders remembered Sir Arvi as a giant of Australian mining.

Former Prime Minister of Australia, John Howard OM AC referred to Sir Arvi as “a towering figure of the industry” who “epitomised the great migration to Australia after World War II” during a speech at AMMA’s 2018 Centenary Gala Dinner.

“A man born in Estonia. Worked in the mines of Germany.

Came to Australia without speaking much English. He became a giant in the mining industry, ran Western Mining as Chairman and ended up Chairman of The Big Australian (BHP),” Mr Howard said.

“He epitomized that generation that did so much to build the modern Australia. He was an outstanding example of the sort of entrepreneurs that the mining industry of Australia produced.”

AMMA Chief Executive Steve Knott, said Sir Arvi will be fondly remembered as the most influential 20th Century figure of the Australian resources industry and “also a remarkable and very generous human being”.

Sir Arvi Parbo was Chairman of BHP from 1989-1992.

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Sir Arvi Parbo has been remembered as a giant of the mining industry.

Sir Arvi fled war-torn Estonia in 1944 and spent time in a refugee camp in Germany, before emigrating to Australia in 1949.

Six years later he graduated with an engineering degree from the University of Adelaide. He then joined Western Mining Corporation in 1956, and would later be its Managing Director for 15 years (1971-1986).”

Other leadership positions Sir Arvi held in the Australian resources industry include Executive Chairman (1986-1990) and Non-Executive Chairman (1990-1999) of WMC Limited; Chairman of Alcoa of Australia (1978-1996) and Chairman of BHP (1989-1992).

Sir Arvi was the founding president of the Business Council of Australia and a giant of Australian public life. He was awarded honorary doctorates from six universities, and was awarded major honours in Australia, Estonia, the UK, Germany and Japan.

LEADERSHIP

INDUSTRY PAYS TRIBUTE TO SIR ARVI

"Our industry has lost one of its greatest and Australia has lost a man who worked hard to better himself, the companies he worked for and the people who relied on them. He was an advocate for mining investment and for Australia to have trade links in Asia long before it was fashionable and a formidable contributor to debate in Melbourne and Canberra." - BHP CEO Andrew Mackenzie "Such a sad day today, we lost Sir Arvi Parbo, an absolute legend and icon for our industry. Our deepest sympathies go to his family. He was a massive figure that help create and steer the legendary WMC, which ultimately generated many of the mining industry's past and current leaders. This legacy is truly amazing and his family should be so proud."

- Northern Star Resources executive chairman Bill Beament.

"The passing today of Sir Arvi Parbo is sad news and a big loss to the Australian mining industry. As a former chairman of Western Mining Corporation, Alcoa and BHP, Sir Arvi was a hero of mining and a champion of innovation. Vale to a great Australian."

- The Minerals Council of Australia.

"Vale Sir Arvi Parbo, a great Australian and a giant of the mining and exploration industry. His death today will be felt deeply throughout the industry that he championed in life." - The Association of Mining and Exploration Companies. RP

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Businesses to report on

modern slavery in supply chain More than 3,000 large businesses and other entities are required to report on “modern slavery” risks in their supply chains and how they are mitigating such risks through actions and initiatives.

DOMESTIC AND foreign entities with annual revenues of at least $100 million carrying out business within Australia will have to submit a Modern Slavery Statement every 12 months as part of the Modern Slavery Act 2018 requirements.

It follows legislation passing late last year, which also ensures Australia is the first nation to recognise orphanage trafficking as a form of modern slavery.

An online public register has been established by the Australian Government for all statements, promoting transparency and ensuring the community can easily access and compare statements.

Entities covered by the reporting requirement will begin reporting from 2019, with the first statements due in 2020.

They will be required to lodge with the Minister for Home Affairs an annual report (modern slavery statement – MSS) on the risks of modern slavery in their operations and supply chains and the actions the entity has taken to address those risks.

Small businesses part of a large enterprise’s supply chain – even if several supply steps removed – will be affected, with customers seeking assurance about their suppliers’

operations, and administrative, and in many cases direct financial audit costs, passed down the chain.

Modern slavery includes trafficking persons, slavery and slavery-like practices and the worst forms of child labour, with an entity’s conduct outside Australia, but within its supply chain, are also covered.

The Act is modelled on the Modern Slavery Act 2015 (UK), however the Australian Act differs in three important respects relating to reporting criteria and non-compliance. RP

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WORKFORCE

Milestones mark another

40 years of Ichthys LNG www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

WORKFORCE

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Australia’s newfound status as world’s largest liquefied natural gas (LNG) exporter was far from the sector’s only significant milestone for 2018, with the INPEX-operated Ichthys LNG Project achieving first gas and promising multi-generational benefits.

WITH SOME of the world’s largest offshore assets and state-of-the-art onshore LNG processing and exporting facilities, Ichthys LNG is essentially three mega-projects rolled into one.

2018 was the giant project’s breakthrough year, celebrating first production, the commencement of operations and the first cargoes of LNG, LPG and condensate being safely transported from its onshore and offshore facilities to customers overseas.

The milestones unsurprisingly coincided with Australia – home to five of the seven biggest LNG projects in the world – taking top spot from Qatar as the biggest exporter of LNG. When the first LNG cargo departed Bladin Point late last year, it was the culmination of more than 407 million work hours invested from more than 50,000 people across the globe.

It gives some context to the colossal INPEX-operated Ichthys LNG, one of the largest and most complex developments in the world, with offshore facilities located about 220 kilometres off the northwest coast of Western Australia.

For INPEX it has been a journey worth the wait.

Extensive exploration data from the Browse Basin first revealed gas potential in the field in 1996, which led the Japanese company to acquire an exploration permit in 1998.

By 2000, the Ichthys gas and condensate field within the Browse Basin was revealed as the largest discovery of liquid hydrocarbons in Australia in more than 50 years.

In 2012, INPEX announced its final investment decision to develop the project, which included new onshore LNG processing facilities near Darwin and some of the largest offshore infrastructure the world had ever envisaged.

Today, Ichthys LNG represents not only the largest overseas investment Birdseye view of the Ichthys LNG onshore facilities.

and the largest single investment made by a Japanese company in Australia, but a project that will provide multigenerational employment, local business opportunities and tax revenues for the next 40 years.

The project provided life-changing employment opportunities for more than 1100 Aboriginal and Torres Strait Islander people engaged through business contracts and employment.

It has seen Australian businesses benefit from more than $25 billion in construction expenditure, with $175 million of contracts awarded to Aboriginal and Torres Strait Islander businesses.

More than $4 million has been invested in community programs and $9m in new training and education institutions in the Northern Territory.

The fruits of the labour of INPEX and its joint venture participants were realised in October 2018 when the first LNG shipment left Darwin for Japan, leading to the first of a forecast $73b worth of tax revenue and $195bn worth of export value over the development’s life.

INPEX President Director, Australia Mr Hitoshi Okawa said the first shipment milestone capped-off a remarkable 20-year period.

“We are very proud of this iconic project and of the economic and social contribution we are able to make.

We’re talking about lasting economic and social benefits for Australia and energy security for Japan for the 40 year operational life of Ichthys LNG,” he said.

Ichthys workforce – building a quality career More than 2000 employees are required across the Ichthys operations - including more than 400 people at the onshore facilities, approximately 400 offshore during steady state operation and about 1200 currently working at INPEX Australia’s Perth head office.

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WORKFORCE

Ichthys LNG will provide four decade's worth of employment opportunities.

More than 2,000 people are required at the onshore and offshore facilities, in the Perth office and in Broome.

In excess of 100 locals are supporting Ichthys LNG in Broome, which acts as a logistics and transportation hub supporting the project’s drilling activities and offshore facilities.

Since October 2018, Ichthys LNG has been safely producing and offloading LNG, LPG and condensate cargoes and continues to ramp up towards full production, offering a wide variety of career pathways for employees.

“INPEX is a culturally diverse, inspiring and challenging place to build an exceptional career,” Mr Okawa said.

“At INPEX, people share ideas with other talented oil and gas professionals from many backgrounds and cultures in an environment that encourages innovation.

“Ichthys LNG is a unique and massive LNG operation featuring technical challenges and personal rewards.”

Operating under the company’s core value of “Anzen Dai Ichi” meaning “Safety Number One” in Japanese, Ichthys has a strong track record of proactive safety leadership and management.

“We are firmly committed to the safety of our personnel and to safe operations during the next 40 years,” Mr Okawa said.

“Our facilities are state-of-the-art and have been designed from the beginning with safety in mind.

“And as we ramp-up production and transition to full operations, our focus on safety underpins all of our activities. In fact, everyone at INPEX has a role to play in keeping one another safe.

“It is something that is core to our success and which will continue to drive our performance for decades to come.”

The gas export pipeline – safety and innovation combine To access the Ichthys Field in the remote Browse Basin, a decision was made in 2008 to process LNG at onshore facilities in Darwin.

Gas is exported from the Ichthys Field through an 882 kilometrelong 42-inch diameter subsea gas export pipeline (GEP) laid on the seabed to the landfall and an 8 kilometre-long, 42-inch diameter

www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

The Castorone pipelay vessel used triple joint technology.

We are firmly committed to the safety of our personnel and to safe operations during the next 40 years,” onshore pipeline to the Ichthys LNG onshore processing facilities.

Among the longest subsea pipelines in the world, the Ichthys Gas Export Pipeline (GEP) is also the longest export trunkline directly connected to an offshore processing facility, with other longer pipelines transporting already processed gas from one country to another.

“The size of the GEP raised a variety of challenges during construction and there was a strong focus on maintaining our stringent HSE standards during all logistics activities, especially around linepipe handling and rock transportation,” Mr Okawa said.

After the linepipe was coated and stockpiled, a total of 73,000 joints of linepipe were safely loaded out from the two coating yards, with 2.3 million safe pipe lifts achieved with no injuries to personnel or major incident events.

“Safety was the number one priority and challenge throughout the pipeline procurement and construction phase,” Mr Okawa said.

“The significant quantities of steel, concrete and the number of pipe movements result in high lifting and handling hazards.

“To assist with mitigating manual handling risks, automated pipeline handling was implemented throughout the supply chain from pipe manufacture through to offshore installation to eliminate the number of personnel in the vicinity of lift operations.”

Historic agreement with Traditional Owners Ichthys is not only delivering wide-ranging economic boosts, regional communities and Traditional Owners are also benefitting.

THE ICHTHYS JOURNEY 1998 Exploration permit WA-285-P awarded

2000 2000-2001 Exploration campaign

2006 Total farm-in (24 per cent)

The Ichthys Venturer – a giant floating production, storage and offloading facility.

2008

2007 2007-2008 Appraisal drilling campaign

Bladin Point Darwin selected for the onshore LNG processing facilities Q4 2008 - Q2 2011 Front-end engineering and design

2011 Q3 2011 Environmental impact statement government approval

The Pacific Breeze carried the first LNG cargo to overseas customers.

Through the $24m Ichthys LNG Foundation Trust, Larrakia traditional owners from the Darwin area are expected to see decades of education, employment and business opportunities.

The 40-year agreement with Ichthys LNG is considered the most significant long-term package of benefits and opportunities provided outside of Native Title obligations, with INPEX describing it as the culmination of more than a decade of relationship building and collaboration between the company and the Larrakia people.

Some of the benefits provided through the partnership include a scholarship program for Larrakia tertiary students to undertake studies at any university in Australia; funding for primary and secondary Larrakia school students; and air conditioning for Elders and people with disabilities.

The INPEX Larrakia Advisory Committee, which includes representation from the Larrakia Development Corporation and Larrakia Nation Aboriginal Corporation, oversees the distribution of benefits to Larrakia people, with initial focus likely to be on education initiatives and Elder support.

INPEX was the first company in the Northern Territory to engage the Larrakia people to undertake heritage surveys to ensure the protection of their cultural heritage for future generations.

“We are truly thankful for the support provided by the Larrakia people over the years and the enormous benefits generated for Ichthys LNG. I’m confident our relationship with the Larrakia people will go from strength to strength in the coming years,” Mr Okawa said. RP

2012

Binding LNG sales and purchase agreements signed

Final investment decision

2013 Onshore modular first steel cut Ichthys Explorer hull first steel cut Q2 2013 Offloading facility and jetty dredging complete

2014 Ichthys Venturer keel laying Umbilicals, risers and flowlines (URF) riser support structure tower installation

Ichthys Venturer hull first steel cut Q3 2013 Manigurr-ma accommodation village opened Gas export pipeline (GEP) manufacture completed

2015 2016 Last onshore module installed

Semi-submersible drilling rig arrived in the field and commenced drilling production wells GEP deep water pipe lay completed

2017 Installation of 133,000 tonne subsea network complete

As of 7 May 2019, Ichthys LNG has safely shipped: • 42 cargoes of liquefied natural gas (LNG) (from onshore facilities) • 8 cargoes of liquefied petroleum gas (LPG) (from onshore facilities) • 13 cargoes of condensate (from the offshore facilities) • 7 cargoes of condensate (from onshore facilities)

2018 Offshore production commences First field condensate First liquefied natural gas cargo First liquefied petroleum gas cargo

Ichthys Explorer sail away Ichthys Venturer sail away Ichthys Explorer safely moored in Ichthys Field Ichthys Venturer safely moored in Ichthys Field

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WORKFORCE

A New Horizon sparks

fresh future of work debate The resources and energy industry has released a future-focused vision for work in Australia, igniting a renewed conversation on workplace regulation.

Focusing on how technology, demographic and competitive factors are influencing the industry’s future of work, the way forward for Australian workplaces has been laid out in a new report.

A New Horizon: Guiding Principles for the Future of Work, AMMA’s most futurefocused report in two decades, explores how opportunities created by the future of work can be unlocked through open and flexible regulatory models.

The central focus of the report is the

need for a fundamentally new approach to regulating work in Australia.

It details the need for less regulation, fewer restrictions, de-centralising workplace relations power away from third parties, with policymakers resisting the push for intervention and protectionism.

As employers continue experiencing rapid change in their workplaces and continual exposure to global competitive forces, the report argues Australia cannot centrally plan or regulate its way to a better future.

Technology is changing the way we work.

www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

“This is an approach that has fundamentally failed Australia since the introduction of the Fair Work Act in 2009,” A New Horizon reports.

“Unlike the current legislative approach, supporting employers in the future creation of high quality, well-paying, durable jobs with flexible terms and conditions, hinges on an open, cost competitive and flexible regulatory environment.”

The need for reformed work regulation extends to highlight employers’ growing

WORKFORCE

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frustration that Australia’s approach to work is designed around the 'lowest common denominator', applying a one-size-fits-all system to all industries, employers and employees including highgrowth, high-innovation sectors.

“This is having a detrimental impact on growth and productivity in the most successful areas of the Australian economy,” the report states.

“High innovation growth sectors should be free from the lowest common denominator in labour market regulation.

They should have the flexibility to move freely once above all reasonable considerations of fair pay and protections.”

A flexible approach to work regulation was found to empower individuals to make their own decisions about what type of terms and conditions under which they wish to be employed.

It also uncovers that opening up multiple agreement making options would redefine the role of work regulation from a compliance burden to a productivity enabler.

The report argues increased flexibility in the agreement making and bargaining framework is likely to have industryspecific and broader implications, including employment engagement choice for both employers and employees, and increased productivity.

Based on a wide-ranging survey of employers, the report puts forward 12 principles to guide future policy making. RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

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WORKFORCE

Federal Election 2019:

The resource industry’s influence agenda

AMMA Head of Policy and Public Affairs, Tom Reid

As this edition of Resource People lands on the desks of AMMA members, Australians are preparing for a Federal Election fought largely on the direction of workplace relations policy. In this column, AMMA Head of Policy and Public Affairs, Tom Reid, details the priority items the employer group will pursue with the 46th Parliament of Australia, regardless of which major party is holding the keys to Canberra.

While every Federal Election has the potential to change the direction Australia is headed, there has not been an election in recent memory where one of the major parties is seeking such a clear mandate for radical workplace relations reform.

Even more so than 2007, where the success of the joint union / Australian Labor Party 'Your Rights at Work' campaign largely unseated the Howard Coalition Government, 2019 is being fought pervasively over the future of Australian workplaces.

Today, the Australian Council of Trade Unions’ (ACTU) 'Change the Rules' campaign has profoundly influenced both the ALP’s pre-election policy platform and bolstered the appetite for change amongst the general electorate.

It is underpinned by the central notion that the Fair Work system, created and implemented by Labor only 10 years ago, is in 2019 fundamentally unfair and unbalanced against the interests of working people.

This is extraordinary, given the workplace relations system employers are operating under today is practically identical to that introduced by Labor PM Kevin Rudd and his deputy Julia Gillard, in close consultation with the ACTU, in 2009.

Since being elected in 2013 the Coalition has preferred to be a ‘small target’ on workplace relations policy, making mostly small practical improvements to the Fair Work system and focussing on more serious reforms at regulation of union behaviours and governance standards.

The great success of the ACTU / ALP campaign has been to wedge both the business community and the government into defending the current legislative framework against further, more extreme reforms, despite arguing for the better part of a decade that this same system has failed Australian workplaces.

This is a trap the business community must avoid.

As an organisation renowned for holding the line on our principles when it comes to workplace relations policy and regulation, AMMA is actively promoting a vision for workplace relations in Australia which will we prosecute to the 46th Parliament of Australia over the next term of government, regardless of which party might hold the keys.

Applying the AMMA Criteria to all major party policy positions, this vision has been guided by our members are comprises four key pillars.

1. “Fit for Purpose” work regulation The first of these four pillars is building a workplace regulation system that would restore Australia’s competitiveness as a place to invest and do business.

This must first involve reforming areas of the existing workplace relations legislation where employers have long reported significant challenges, costs and unproductive outcomes.

For example, research AMMA surveys have revealed resources and energy employers continue to experience significant difficulties and delays with the

www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

existing agreement making framework.

Other areas of high priority include “transfer of business” provisions which impact the commercial viability of acquiring new business or assets, the unprecedented exposure and costs involved with the employee protections sections of the legislation (unfair dismissal and the “general protections”), and the ever-present threat of strike action hovering over Australian business.

Moving beyond short-term fixes to the existing legislative regime, Australia should then aspire towards an entirely new workplace regulation system better suited to “future of work trends”, such as the decreasing homogeneity of skills and work roles, increasing individual motivations of the workforce and desires for more flexible and non-traditional work.

These themes are explored in detail in AMMA’s research report (A New Horizon, Guiding Principles for the Future of Work see page 20 and 21), which will underpin our medium to long-term lobbying priorities.

2. Maintaining supply chain flexibilities Defending the political attack on the resources and energy industry’s supply chain workforce arrangements is the second pillar of AMMA’s 'next term of government' advocacy campaign.

This attack has most notably targeted labour hire arrangements in the resources industry, despite recent investigations into widespread exploitation and wrongdoing related to labour hire occurring in vastly different, low-paying sectors of the economy.

WORKFORCE

Prime Minister Scott Morrison

Defending the legitimate use of labour hire against policies intended to discourage it, such as labour hire pay parity, labour hire licensing and restrictions on casual employment, will be a major focus area given the value labour hire brings to an industry as cyclical and at-times unpredictable as resources.

It will be critically important for AMMA to explain the commercial necessity, opportunities and value of having diverse employment options throughout the resources and energy supply chain, and warn of the impact to jobs and economic prosperity from excessive regulation and inflexibilities.

3. Promoting direct employment relationships Perhaps unsurprisingly, given the ferocity of the ACTU campaign, our members have reported maintaining the sanctity of the direct employer/employee relationship as a key priority for AMMA’s campaigning throughout the next term.

Backing this position are findings of an AMMA member survey of late 2018 in which more than half (58%) of employers reported an increasing desire amongst their employees for individual contracts. Fifty-six percent reported a general shift away from collective attitudes at work and 69% said their employees were more individually focused and motivated at work.

These practical experiences do not align to the ACTU/ALP campaign position which argues for greatly increased influence of unions to pursue collective agreement making in Australian workplaces.

In promoting the benefits and growing

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and sustaining the significant value such an industry delivers to our nation It is an exciting time for those considering a career in the resources and energy industry, with rapid advancements in technology creating new and more diverse employment opportunities.

However, building the skills levels to keep up with the rapid adoption of new technologies is an area where the industry has struggled. Many of these new opportunities demand higher levels Opposition leader Bill Shorten of technical skills and expertise which is demanding more from Australia’s VET and tertiary education sectors. trend towards direct employment AMMA was pleased to see both relationships, it will be important to ensure the Coalition and ALP during this checks and balances are in place to election campaign announce significant ensure this union influence appropriately packages to ensure reform the reflects the attitudes and desires of the VET sector, lift the number of trade modern Australian workforce. apprentices and overall ensure the Overall, reducing the level of rednational skills and training framework is tape and third party involvement in aligned to industry needs.

Australia’s employment framework We will work closely with whichever is where we should be aiming for major party forms government to put more productive employer-employee these initiatives and priorities in place. relationships in the future.

Would you like to get involved with AMMA’s workplace policy influence 4. Building the skills program throughout the next term of of the future government? We always encourage the More broadly than workplace relations, active participation of our members in our investing in the skills of the future is vitally important for a globally competitive lobbying activities. Contact policy@amma.

Australian resources and energy industry, org.au to learn more and get involved. RP

The AMMA Criteria for Workplace Policy a) Does it support the creation of high quality jobs in the resources and energy industry? b) Does it acknowledge the changing, diverse nature of work? c) Does it support attraction of new project investment in Australia? d) Does it provide flexibility for businesses to be sustainable and competitive? e) Does it promote a balanced role for regulation and third parties in the workplace?

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OHS & WELLBEING

Boral safety learning

tool globally recognised A specialised learning tool is transforming the way employee training is monitored, leading to safer workplaces.

EMPLOYEES AT Boral Limited are working in safer environments thanks to award-winning technology boosting its training capability and compliance.

In a first for an Australian building and construction materials organisation, the company has earned worldwide recognition for its application of specialist learning technology to its work health and safety training processes.

The new learning management system, Seertech’s iLearning PLUS, is now used across its 6,000 employees at over 430 sites nationally.

National capability and development manager for Boral Australia, Giovanna Romeo, said using leading-edge technology methods to train, update and develop employees’ skills and expertise has resulted in steady safety improvements.

Despite the company’s size and complex workforce, prior to 2015, Boral had no centralised, co-ordinated Learning Management System to track all training records and learning requirements.

“The learning management system we introduced at that time allowed Boral to have one central, standard way to access training information all located in one system,” Ms Romeo added.

“It means we are now able to see what training is expiring and complete online training all in one place, while also allowing managers to produce up-todate reports and identify compliance and training gaps for their teams.”

Boral’s executive general manager human resources Bill Fisher, said the award recognised the continuing commitment to further lift safety performance.

“As a leader in the building and construction industry, our highest priority is to ensure our workers are safe, but this can only happen if you have the right training and compliance systems in place,” Mr Fisher said.

Giovanna Romeo, National Capability & Development Manager at Boral Construction Materials with Dylan Rowe Director, Client Engagement & Analytics at Seertech Solutions America LLC.

It means we are now able to see what training is expiring and complete online training all in one place, while also allowing managers to produce up-to-date reports and identify compliance and training gaps for their teams.”

“At Boral, we have placed zero harm at the centre of our business, making safety a key focus across the entire Group.

“While we always strive to do better, the latest figures confirm that our safety performance has improved significantly in recent years and it remains strong relative to peers in the industries in which we operate.”

Boral was awarded a Gold medal by the Brandon Hall Group, the US-based leading independent research and analyst firm.

www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

Chief Operating Officer of Brandon Hall Group and head of the awards program, Rachel Cooke, said Boral was highly deserving of the Gold award in its category.

“We’re proud to honour the innovators,” Ms Cooke said.

“As human capital management continues to evolve, the creativity of the award winners is breathtaking.

Organisations of all size showed that creativity and technology can create new and better work experiences for businesses and their employees.” RP

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Focus on FIFO psychological

and social conditions

A code of practice that will guide employers on mentally healthy workplaces has been released by the Western Australian Government.

THE FINAL code of practice for addressing mental health factors of FIFO workers in the resources and construction sectors encourages employers who operate FIFO arrangements to take a risk management approach to identifying psychosocial hazards and risk factors in their workplaces.

Hazards were defined as relating to the psychological and social conditions of the workplace rather than just the physical conditions, including stress, fatigue, bullying, violence, aggression, harassment and burnout, which can be harmful to the health of workers and compromise their wellbeing.

Risk factors increasing the risk or susceptibility for harm to health from exposure to a hazard such as misuse of alcohol or other drugs, poor change management.

The code, titled Mentally healthy workplaces for fly-in fly-out (FIFO) workers in the resources and construction sectors, aims to address hazards and risk factors in FIFO workplaces.

Employers are encouraged to adopt a risk management process to identify potential psychosocial hazards, establish

a positive and supportive workplace culture, provide suitable accommodation and rosters with sufficient time for rest and recreation.

The code recommends accommodation villages are designed to encourage socialisation while also considering requirements for peace, privacy and safety.

It also encourages sleep disturbance minimisation, with quarters located away from communal areas, with comfortable beds, soundproofing, air conditioning and blackout curtains.

The code suggests recreational activities have a clear social element associated with better mental health and wellbeing, such as barbecues, social sports, and movie nights.

It also promotes rosters allow sufficient time for rest, recovery and recreation to disengage from the work environment and the opportunity to socialise, encouraging even-time and shorter rosters such as one week on, one week off or eight days on, six days off.

“Rosters of greater compression can result in fatigue, which poses a risk to workers’ mental health and wellbeing,” the code stated.

Rosters with forward rotation of shifts (day to afternoon to night shift) was also linked to improved fatigue management.

Accommodation arrangements should be predictable to reduce stress and workers with permanent rooms report better mental health and wellbeing outcomes than ‘motelling’ or changing in the middle of a roster.

The code provides a risk management approach for mental health and wellbeing, which focuses on identifying the psychological hazards and risk factors, assessing the risks and identifying appropriate controls and making the changes necessary to eliminate or minimise the risk of harm It also recommends the transition between home and work is facilitated through flexibility for workers to contact family and friends during the working day.

While some of the recommendations will be contentious among the industry, AMMA welcomes the purpose of the code being to provide guidance to employers on achieving the highest possible standard of mental health and wellbeing on Western Australian resources sites. RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

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OHS & WELLBEING

Safe Work report

flags 34 WHS changes A review of Australia’s workplace health and safety (WHS) laws has found the rules are broadly working as intended, but made 34 recommendations to change the legal framework — including tougher penalties for non-compliance.

THIRTY-FOUR RECOMMENDATIONS for change have been handed to politicians for consideration after Safe Work Australia released the final report of its independent review of the model WHS laws.

Recommendations include making regulations on psychological health; higher penalties and other measures to strengthen the compliance and enforcement framework and enhance deterrence; and clarifying requirements for “meaningful” WHS consultation, representation and participation to improve safety outcomes.

“The model WHS laws are largely operating as intended but I am recommending some changes to provide clarity and to drive greater consistency in the application and enforcement of the laws across jurisdictions,” independent reviewer Marie Boland said.

She said Australia’s three-tier legal framework consisting of the WHS Act, the WHS Regulation and Codes of Practice, is widely supported.

“There is a view that it is sufficiently flexible to accommodate the evolving nature of work and changing work relationships,” she said.

Flagged changes with significant implications for resources and energy employers centre largely on universal industrial manslaughter laws and expanded union workplace entry.

It recommends that an industrial manslaughter charge be inserted into the model WHS Act, which would see it adopted in all states, with a new offence providing for “gross negligence causing death”.

The other major recommendation would see union officials free to enter workplaces to assist a health and safety

www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

representation (HSR) without being required to hold a valid entry permit under workplace relations laws.

It argues Safe Work Australia should work with relevant agencies to “consider how to achieve the policy intention that a union official accessing a workplace to provide assistance to an HSR is not required to hold an entry permit under the Fair Work Act or another industrial law, taking into account the interaction between Commonwealth, state and territory laws”.

The review was in line with the states’ commitment to regularly review the model WHS laws, adopted in various forms in each jurisdiction. The report is now with the federal government and each of the state WHS ministers, with their response to the recommendations expected later in the year. RP

OHS & WELLBEING

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A day off for mental health?

Aussies would rather fake a ‘sickie’ Australian employees would rather fake a sick day and blame it on a fake illness than admit it is for mental health purposes, according to a new study.

IN A sobering truth about modern day wellness highlighting the enduring stigma associated with mental ill-health in the workplace, the research exposes the need for a perception shift to see mental illhealth treated like other physical illnesses.

Aimed at helping employers cultivate thriving workplaces, insurance company Allianz Australia’s paper ‘Awareness into action: A holistic approach to cultivating mentally healthy workplaces in Australia’ responds to research revealing the extent of mental health issues.

The research showed the vast majority of full-time working Australians (93%) are uncomfortable discussing or disclosing a mental health condition to a manager, and instead would prefer to lie

when taking a sick day.

Eighty-five per cent of employees feel their manager is more likely to think their need for time off is genuine if they say they are suffering from a cold or flu rather than for stress or anxiety.

Overall, most employees are generally afraid to talk about mental illness for fear of stigma (90%), and fear of losing their job (78%), and are concerned that mental health issues won’t be taken as seriously as physical illnesses in the workplace (84%).

For a modern workplace to thrive, the paper highlights the importance of employers adopting a holistic approach, putting the employee at the centre of the mental ill-health equation, including:

• Physical: Promoting the mental health benefits of physical activity and good general health; • Mental: Encouraging awareness through training, mental wellbeing leave and encouraging transparent dialogue; • Space and Role: Creating positive organisational design that directly influences employee motivation and happiness; • Culture: Nurturing a positive workplace culture that is transparent and inclusive; • Ecosystems/Partnerships: Developing partnerships and alliances between government, insurers, mental health professionals and other entities to improve communication, engagement and mental health recovery. RP

A little exercise could help

‘high sitters’ health Health risks for desk-bound office workers could be negated with as little as 75 minutes of vigorous exercise a week, a new report has found.

Sitting has been labelled ‘the new smoking’ but relatively small doses of physical activity could substantially reduce or offset the mortality risks.

‘High sitters’ are considered those who sit for over six hours per day, and it has been found replacing sitting with physical activity – but not standing – reduced mortality risk.

It is unclear if sitting itself - or the lack of physical activity - causes the harm, with University of Sydney research also finding it is vague what level of moderate to vigorous intensity physical activity, such as walking briskly to work, as well as sport and exercises, might offset this risk.

In examining the associations of sitting

and physical activity with premature death and cardiovascular disease mortality, the new research estimated what level of moderate to vigorous intensity physical activity might offset health risks of sitting.

Researchers statistically modelled physical activity and sitting against death records of nearly 150,000 study participants aged 45 years and over and followed up over almost nine years.

While reducing sitting would be a good start, the study found it is not enough, with the importance of physical activity for people who sit a lot, a key finding.

The most important lifestyle change for such people would be to look for or create opportunities to move more daily.

“In our study, sitting time was associated consistently with both overall premature mortality and cardiovascular disease

mortality in the least physically active groups – those doing under 150 minutes of moderate to vigorous intensity physical activity per week,” Lead author Professor Emmanuel Stamatakis said.

“For example, people who were physically inactive and sat for more than eight hours per day had 107 percent higher risk for cardiovascular death compared to those who did at least one hour physical activity per day and sat less than four hours.”

“But one hour of physical activity per day is not necessary."

Meeting the Australian public health recommendation of 75 minutes of vigorous intensity activity per week, or 150 minutes of moderate intensity - appeared to eliminate associations between sitting and both cardiovascular and overall mortality risk. RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

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TRAINING

Rising to the top:

Inspiring trainee overcomes adversity Behind the 2018 Australian Apprentice (Trainee) of the Year is a tale of triumph over adversity - and a shining example of what can be achieved through determination.

HOMELESS AT the age of 19 with two kids under two, Kimberly Brewster is an inspiration to young people – especially women – to never give up on shooting for the stars.

Ms Brewster is not only a role model for those striving for a rewarding career in resources and energy, she is also testament to why traineeships should be considered a serious career kick-starter.

But her journey to becoming Australia’s leading trainee was far from straight-forward.

After completing Year 12 just three weeks before the birth of her first child, she was soon a young mum with two kids under the age of two.

Ms Brewster experienced a stint of homelessness and was facing an uphill battle after putting her career goals on hold for motherhood.

Through self-determination, she refused to succumb to a life of welfare dependency and under achievement.

“Having two children under the age of 19 with minimal support was very tough,” Ms Brewster said.

“I worked in retail, hospitality and in a pharmacy, and slowly built up my skill set.

However, I came to realise that to advance in your career, qualifications are the key.

“The only thing that was stopping me was the financial difficulties, which is why a traineeship fit me so well.”

Ms Brewster secured a place in a Vocational Education Training (VET) course, and as a trainee of services provider Programmed, joined host company ConocoPhillips Australia as an administration trainee to complete her Certificate III & IV in Business Administration.

Kimberly Brewster was crowned 2018 Australian Apprentice (Trainee) of the Year.

As a trainee she spent most of her time at the Darwin LNG facility and immersed in the site’s safety and operations.

“I organised and scribed meetings, assisted all departments, general administration tasks and was an active Behavioural Safety Program committee member,” Ms Brewster said.

“I was also involved in the 2018 scheduled major shutdown period on site.

“My direct supervisor was seconded to the shutdown team and management trusted me to be the sole administrator for the operations team throughout that period. This is where I was able to showcase my abilities.”

www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

With no previous experience working in a large company or in business, Ms Brewster saw every task as an opportunity.

“Starting off, I had never worked with a large company or in business before,” she said.

“I found that everything I did, from filing to organising meetings, was a learning opportunity.”

Joining a Behavioural Safety Program committee and working with colleagues to help reinvigorate a 12 year old safety program was a high point in building her leadership skills.

“I was involved with recreating templates, organisation of committee

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Kimberly Brewster has showcased the career development opportunities from a traineeship.

women looking to carve a career in the sector, Ms Brewster’s advice is to discover the VET world and find the traineeship that suits chosen career goals.

“A traineeship gives you the best of both worlds: a kick start for your career and a nationally recognised ConocoPhillips Darwin city office.

And her up-skilling is only just beginning qualification,” she said.

ConocoPhillips senior human resources after admitting to catching the ‘study bug’.

“I’d like to stay with ConocoPhillips and business partner, Carly Sherren said the continue to bring integrity and diversity to company was incredibly proud of not only what Ms Brewster had achieved with the the workplace,” she said.

Darwin LNG team, but also of what she “Being an administrator has helped has achieved in life in general. build my fundamental skills in business, “Kim encapsulates the definition of however, a career goal of mine would be to resilience and what can be achieved when become a part of a team in a specialised you set yourself a challenge and don’t field, either in HR or within projects.” give up,” she said. RP As an inspiration to other fledgling

A traineeship gives you the best of both worlds: a kick start for your career and a nationally recognised qualification

meetings, included in safety discussions and barrier removals, and being one of the day shift members that helped cascade communication across four shifts,” she said.

She has now completed her traineeship and commenced a Diploma of Business, continuing to advance her career in the new role of Building Services Coordinator, undertaking a wide range of administrative and coordination duties at the

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TRAINING

NRL legend JT kicking youth employment goals www.amma.org.au | AUTUMN 2019 | RESOURCEPEOPLE

One of the most recognisable faces in Australian sport, Johnathan Thurston, is now using his connections, celebrity status and passion for youth employment to drive better community outcomes.

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An immortal on the field, Johnathan Thurston is now extending his legendary status post-football, using his profile to deliver positive employment outcomes.

BEHIND THE beaming smile and unmistakable laugh, Thurston is getting down to the business in the next phase of his career by focusing on youth employment.

The sporting legend is now scoring new goals off the field, leveraging his popularity among younger generations to inspire and engage them onto the path of finding a job.

Launched in early 2018, the JT Academy is a platform streamlining employment and training opportunities between jobseekers and employers, and has been one of Thurston’s key post-career focuses to fuel his passion for youth and community development.

The academy ensure locals throughout the regions have access to employment and training opportunities, linking and connecting them with local community, government departments, schools, sub-contractors, retailers, project operations, local councils and all key community stakeholders.

Mining is a key sector for the academy to land jobseekers employment, with the academy partnering with like-minded companies such as CQ Field Mining Services (CQFMS).

“CQFMS was one of the first companies to partner with the JTAcademy and their support has helped to see a large number of young people receive education, training and a few have even picked up apprenticeships and other jobs with them,” Thurston said.

“We need these corporate partnerships to reach as many young Australians as we can to offer them the training, education, guidance, confidence and support to find meaningful employment.

“In many remote and rural areas, the mining sector forms the backbone of the local economy. Any chance we have to partner with organisations working in this space who also want to see young people trained and employed, we are happy to talk with.”

Thurston said CQFMS has become major contributors to the initiative, placing job ads on the JTJobBoard, making them accessible to everyone who has signed up to the academy.

“It is important to remember that when one young person receives education, training and work, they become role models for other young people in their communities,” he said.

With a 300-strong workforce from its Central Queensland base, CQFMS is a maintenance and construction contractor, specialising in project, field and diesel Maintenance servicing the Australian and Pacific region mining and gas industries.

Jason Holt, Chief Operating Officer at CQ Field Mining Services, said the company’s alignment with the academy’s values made the partnership a good fit.

“We train and promote within where possible and

Partnering with the JT Academy has been a success for CQ Field Mining Services (CQFMS).

welcome the opportunity to give someone a chance and encourage personal growth,” he said.

“When we received the call to say we were accepted to work with the JT Academy we were over the moon as there was some very large companies involved and we could see the opportunities it could open up and help to drive diversity in our workplace.”

“The JT Academy is a wonderful initiative and it’s valuable to have such a well-known and respected name supporting the program.”

CQFMS has been a strong and active supporter of the JT Academy, taking on numerous trainees and apprentices to achieve its share of success stories.

“We have been able to give a fabulous opportunity to a young man named Earl who commenced his schoolbased apprenticeship with CQ Field Mining Services and we were able to assist him in completing his trade in our Cloncurry Workshop,” Mr Holt said.

As part of the Field Mining Services Group, CQFMS is a contractor and supplier of highly qualified trades to multinational clients Australia-wide.

The company already has contracts with many top-tier mining companies, including BHP, Anglo American and Glencore, while also servicing many other contractors across the region.

Mr Holt predicted recent mining industry growth to continue, posing a challenge to upskill those entering the industry to pass ensure continuity of knowledge.

“Businesses need to ensure more structure is in place to show people there is a career path and opportunity for personal growth,” he said.

The JT Academy also delivers the JTWomenToLead program aims to increase women’s participation in the workforce and reduce the gender gap in targeted areas such as young women, mature women returning to the workforce, indigenous women, and industries including mining. RP

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TRAINING

PNG geologist hones

leadership skills in Oz

A pipeline of future leaders is being built to ensure expertise and longevity as a small South Pacific nation continues developing its oil and gas industry.

John Chambers (Santos), Ivano Ivano (Kumul), Bruce Clement (Santos), Wapu Sonk (Kumul), Professor Peter McCabe (University of Adelaide), John Bennett (Kumul).

WITH AN eye to building local workforce capabilities, Ivano Ivano has ambitious plans to drive Papua New Guinea (PNG) to new heights.

As PNG’s potential as a global energy provider continues to be revealed, Mr Ivano is doubling down on his skills to ensure his country is ready to capitalise on the upcoming growth phase.

Forecasts show PNG’s long-term economic growth will soar in coming years on the back of liquefied natural gas (LNG) exports as production at several projects commences.

It’s a progression Mr Ivano wants to be at the forefront of to ensure PNG benefits through skills development.

With his father a field biologist, Mr Ivano grew up in the cool mountainous environment of PNG’s Eastern Highlands, and began his own journey in the industry with undergraduate studies in geology at the University of PNG. He then joined PNG government-owned

It’s my ultimate goal to be a leader in the PNG oil and gas industry,” Kumul Petroleum where his leadership potential was recognised, before being selected to fine-tune his craft in Australia through a scholarship to study a masters degree in petroleum geoscience at the University of Adelaide.

The scholarship is part of a new partnership between Santos and the Australian Government to develop increased technical and management capability in the resources sector in the PNG. “It’s my ultimate goal to be a leader in the PNG oil and gas industry,” Mr Ivano said.

“I am very grateful to Kumul Petroleum Holdings, Santos and the Australian

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Government for an opportunity like this, which can only help take the local industry forward.

“Such partnerships are needed to help facilitate progress and development of nationals in PNG and I am humbled to be given this opportunity.”

Upon completing the Masters degree, he will spend three months with energy giant Santos for operational training, before taking his knowledge back to grow a highly-skilled resources sector in PNG. Santos managing director and chief executive Kevin Gallagher said the

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Santos is bringing economic benefits to PNG and its citizens.

resources sector was the main driver of PNG’s economic growth and it made sense to help build capability within its local workforce.

“The idea is that he will take

this knowledge back to PNG and play a bigger part in helping the nation’s economic development to build a better future for the broader community,” he said. RP

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Santos in PNG Santos has been active in PNG since the 1980s, maintaining a country office in Port Moresby since 1988. The company has since been involved in more than 30 different licences in the Papuan Basin, becoming a producer in 1998 through the SE Gobe oil project in the Gulf Province.

Acquisition of a 24 per cent interest in PDL-1 in 1998 gave Santos access to the giant Hides gas field, discovered in 1982, and resulted in Santos becoming a foundation partner with 13.5 per cent equity the PNG LNG project.

Along with its JV partners, led by operator ExxonMobil, Santos is working towards expansion of the PNG LNG Project, and is committed to contributing to the development of PNG and bringing economic benefits to the country and its citizens.

Fortescue’s training program

guarantees a job A SIMPLE but compelling philosophy is behind the success of a Fortescue Metals Group training program.

If you successfully complete Fortescue’s Vocational Training and Employment Centre (VTEC) program, you are guaranteed a job.

Twelve VTEC students recently celebrated their graduation from South Hedland and Roebourne and are now heading into the workforce.

Graduate Tristan Mongoo attributed the program to turning around his fortunes after struggling to break into the mining industry.

“I applied for quite a few jobs over the last few years and couldn’t catch a break - VTEC is a stepping stone for me to get into mining,” he said.

Tristan was impressed with the wide range of career pathways available at Fortescue, from recent graduates through to emerging leaders.

“Seeing one of the VTEC coordinators

step into an acting general manager position recently, opened my eyes to the potential career progression opportunities at Fortescue. I’d love to get into a management position one day.”

VTEC, together with Fortescue’s Trade Up and the Leadership Excellence in Aboriginal People (LEAP) initiative are crucial to Fortescue’s commitment to provide sustainable career pathways for Aboriginal people.

Fortescue’s Chief Financial Officer, Ian Wells, said that VTEC continues to empower generational change and sustainable development in Aboriginal communities.

“Fortescue is a leader in its commitment to creating opportunities for Aboriginal people and the success of VTEC can be measured by the 836 Aboriginal people who have been offered employment since VTEC began in 2006," Mr Wells said.

“I am always humbled by the personal stories of our VTEC graduates, including

their courage and determination to take on new challenges and begin a new career with Fortescue,” Mr Wells said.

Another VTEC graduate, Vicki Green, left her cleaning job in Halls Creek and moved with her 18 year old daughter to Karratha to complete the program.

Vicki started her traineeship as a dump truck operator at Solomon in April, and along with Tristan and the 10 other VTEC graduates will begin work at Solomon, Christmas Creek and Rail in roles spanning drill and blast, Ore Processing Facilities (OPF), production and shunting. RP

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TRAINING

Atlas setting benchmark

for Indigenous engagement Indigenous trainees are being set on a long and rewarding career path as a specialist recruitment provider carves a niche in the offshore sector.

INSPIRED BY a passionate team focused on delivering employment benefits and positive community outcomes, Atlas Professionals is becoming increasingly sought after for its successful Indigenous programs.

While some organisations come unstuck on engaging an Indigenous workforce, Atlas Professionals is treading a proven path.

The company is now recognised as a dependable ‘go to’ for providing a skilled Indigenous workforce, offering trainees and cadets a platform to craft a career in the marine sector.

While achieving beneficial indigenous employment outcomes can challenge employers, it’s proving a key pillar in Atlas Professionals’ business.

And with many other companies lacking the capacity or expertise to engage an indigenous workforce, they are turning to Atlas Professionals to ensure key performance indicators and contractual obligations are reached and benefits flow to Indigenous communities.

“Offshore projects have a real focus on indigenous engagement capabilities with vessel operators commonly have set KPIs from end clients regarding

this, the programs Atlas Professionals have in place can greatly assist vessel operators in meeting their KPI’s” Atlas Professionals General Manager HSEQ Andrew Arscott said.

“We believe what we provide has a real point of difference from our competitors.

Also, commitment is a core value of Atlas Professionals and we believe through these programs we are showing a high degree of alignment to this value.”

Proud of the level of service it can deliver, Mr Arscott said the company is showcasing its ability to deliver important outcomes to vessel operators.

Atlas Professionals is making its mark in Indigenous training.

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Indigenous trainees are being introduced to a career in the offshore sector.

“We explain to the operators the great opportunity to get Indigenous cadets through their sea time and experience working on a vessel,” he said.

“It is win-win for the vessel operator and the community, and most importantly it shows others in the community that regardless of their current situation, that with dedication and commitment they can make the change and achieve great things in their professional career.”

The specialist manning provider in the offshore oil and gas sector is becoming increasingly recognised as an Indigenous engagement leader, with vessel operators understanding the benefits of working with the company.

Mr Arscott said the company had already helped a number of Indigenous trainees and cadets become skilled offshore workers with invaluable experience on some of the world’s biggest offshore operations, such as the Gorgon Project.

Advanced Standing Deck Cadet David Oxenham gained vital operational Deck Watchkeeper experience on the semi-submersible accommodation vessel POSH Arcadia, which provided accommodation for Shell’s Prelude FLNG facility located 475km north-north east of Broome, Western Australia.

At 22 years old, the Malgana man from the Yamatji Nation began his offshore career fishing at the Montebello Islands and has been working on or near the ocean ever since.

Now he is chasing his dream to become an internationally qualified Deck Officer.

Delivering life-changing opportunities

Behind Atlas Professionals’ success is a comprehensive Indigenous engagement strategy, but Mr Arscott attributes many of the achievements to the commitment of his team, in particular Training Indigenous & Compliance Advisor Lauren Jakson.

“She has a deep passion and commitment to Indigenous engagement activities and training,” he said.

Ms Jakson has been with the company since 2012 and leads the company’s several Indigenous Engagement Programs, delivering a multitude of upskilling opportunities.

As a fully qualified trainer and assessor, Ms Jakson works with the company’s service providers and clients to customise training and verification of competency relevant to the work scope and project.

Her multi-faceted role has many functions within the HSEQ team, also providing an advisory service to all other departments within Atlas Professionals diverse services.

“Within the training spectrum I evaluate registered training organisation courses and the facilities to ensure that the training we place our personnel onto is a safe environment and that the training they are attending is quality.”

“Training is key to ensuring our offshore personnel whom are engaged

on projects have the knowledge and understanding of the job, the equipment, helicopter operations and emergency preparedness should they be assigned to these roles when offshore on facilities.”

“I have found this has significantly reduced injury and is highly regarded as our crew feel confident with working on tasks they have had project specific training on.”

“Not only does it re-assure clients that the personnel Atlas Professionals is providing have been verified as competent before attending the work at hand, it also ensures maintenance of necessary training and verification.

“Maintaining competence is vital and within my role I oversee and provide guidance to management and our clients on training matrices, equivalent competencies, legislative requirements and flag state regulations.

“I am passionate about not only providing excellent service to our clients and internal team but also about maintaining compliance throughout a project that is engaged in Australian waters.”

But it’s her role engaging Indigenous to work on projects, which has been most satisfying.

“Providing sustainable career pathways for Indigenous Australians is changing the lives of many families and communities,” she said.

“Words cannot describe how proud I am watching our trainees and cadets grow and become internationally qualified.” RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

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DIVERSITY

Sodexo releases five-year

gender study results

Releasing the results of its global diversity survey, Sodexo CEO of Asia Pacific Mining Paul Cooper says true women’s empowerment comes from the day-to-day celebrations and actions of senior management.

APART FROM the obvious benefits of increased employee morale that comes with gender equality in the workplace, evidence now suggests that gender parity also offers significant outcomes for commercial KPIs. Sodexo, a leader in site management services, recently concluded a mammoth five-year study across 70 entities representing 70,000 managers worldwide.

The study found that teams skewed at around 40 per cent women and 60 per cent men, achieve better productivity, increased operating margins, higher retention rates and decreased accidents.

“These results add a new and compelling dimension to a growing body of research that demonstrates the business benefits of gender equality,” Mr Cooper said.

“The distinctive nature of the study, with its examination of both financial and non-financial performance indicators across so many levels of management and the pipeline to leadership, is a significant piece of the overall picture on the importance of gender in the workforce.”

As an organisation focused on social responsibility, encompassed in its overarching strategy, Better Tomorrow 2025, Mr Cooper said Sodexo was committed to empowering women and strives to make every day International Women’s Day to improve the Quality of Life for all.

“Sodexo has long advocated the inclusion of women in its workforce. In Australia, we are incredibly proud to have 52 per cent of our workforce represented by women, and 40% of our management team are female,” Mr Cooper said.

He is quick to point out that while numbers are a tangible metric and help set benchmarks, diversity and inclusion

Sodexo Australia has 52 per cent of its workforce represented by women.

is not about ‘making the numbers’, but rather, “it is the culture of inclusion that is set and encouraged for all employees that establishes a diverse and inclusive workforce”.

One such area is Sodexo’s SoTogether program established in 2009 to bring together 35 senior leaders representing 15 different nationalities from four continents and all areas of the organisation.

SoTogether was created to accelerate the attainment of gender balance within the organisation through drive, commitment and leadership of senior managers. The program aims to increase the number of women in operations, create a culture of inclusion and create a committee of advocates and role models for gender diversity.

A leader in diversity and inclusion, Sodexo was named in Bloomberg’s 2018 Gender-Equality Index for its advancement in gender equality and ranked in the top 10 of DiversityInc magazine's 'Top 50

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Companies for Diversity' list for the 9th consecutive year and the Best Companies for ‘Multicultural Women’ list by Working Mother Magazine. RP THE SODEXO GENDER BALANCE STUDY KEY FINDINGS: • Operating margins significantly increased in gender-balanced teams • Employee retention rate was 8 per cent higher in genderbalanced entities • Gender-balanced entities had an average client retention rate that was 9 per cent higher than other entities • Gender-balanced management reported an employee engagement rate of 14 per cent more than other entities.

• The number of accidents was 12 per cent less for genderbalanced teams

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Australia’s rich history

goes global

As mining companies work side-by-side with Aboriginal groups to develop projects and realise mutual benefits, the opportunities are much wider reaching than employment outcomes alone.

AUSTRALIA’S RICH cultural heritage is now being shared across the globe as Sheffield Resources delivers one of the most promising heavy mineral sands projects in the world.

Overseas customers of the company’s Thunderbird Mineral Sands Project are getting a taste of Aboriginal culture, gifted traditional symbols and artwork showcasing the talents of local artists.

It is a strategy delivering on two key focuses as Sheffield Resources looks to tap into the emerging minerals sands market.

The explorer and developer is working closely with traditional owners and forging strong relationships with local Aboriginal artists, but also key global trading partners.

The partnership has presented the traditional dot-painting style works of talented locals Patrina Bedford, Tanisha Wungundin-Allies and Edna Dale to customers from China, Europe, India and Malaysia.

“Aboriginal art and culture is of enormous importance, and highly regarded. The presentation of these artworks is a meaningful way for Sheffield to mark the foundation of our long-term trading relationships,” said Bruce McFadzean, Managing Director Sheffield Resources.

Each evocative artwork was presented with an image of the artist, the story of the artwork and insights into local Aboriginal culture, and each customer can meet their artist when they visit the West Kimberley to see the Thunderbird operation, supply chain and export facilities at Derby and Broome ports.

The company’s Thunderbird project is located in an area rich in art, ceremony, song, story and dance, midway between Broome and Derby on Western Australia’s Dampier Peninsula in the remote northwest Australia region of the Kimberley.

With a history stretching back tens of

thousands of years and home to more than 30 traditional Aboriginal language, the Kimberley region of Western Australia is rich in cultural heritage - and now Sheffield’s global customers have a piece of their own.

Thunderbird is construction-ready with completed Traditional Owner agreements, offtake agreements with customers and a turnkey contract to build the process plant.

The highly prospective development is one of the most promising, long-life, high-grade heavy mineral sands projects in the world.

With a potential mine life of 42 years and a mineral resource of 3.2 billion tonnes, the company is aiming to enter production by 2020, employing 280 people in full-time, locally sourced positions.

As the Kimberley wet-season subsides, Sheffield has been working to ensure every opportunity to develop the Thunderbird project is pursued.

In January, the company signed an energy supply deal with Woodside Energy and Energy Developments for delivery of liquefied natural gas (LNG) to the site.

The Woodside Pluto LNG Truck Loading Facility is now open and will power the Thunderbird project.

Mr McFadzean said the site now has the reliable, low cost and low emissions energy supply it needs for its long-term future.

“LNG is ideally suited to the low temperature roast process we are planning for the Thunderbird project, as it produces a high quality ilmenite product,” he said.

Sheffield Resources is a foundation customer for the facility under a 15-year agreement with Energy Developments and Woodside for the supply and transport of LNG from Dampier to Thunderbird’s onsite LNG storage.

Bruce McFadzean, Managing Director Sheffield Resources and Rajvindra Dhami Singh, Ruby Ceramics, India, foundation customer of Sheffield Resources.

Sheffield’s minerals critical, in-demand

Titanium and Zirconium - used in every day products like ceramic tiles and sunscreen – were recently listed as Critical Minerals in Australia’s Critical Mineral Strategy 2019, released by the Department of Industry, Innovation & Science.

The Thunderbird Mineral Sands Project is the largest undeveloped zircon deposit in the world and is supported by multiple exploration discoveries within trucking distance of the Thunderbird deposit, confirming a new zircon rich province.

Along with high-grade ilmenite product (titanium feedstock), Thunderbird is positioned to replace maturing supply and declining grades in existing production provinces.

The mineral sands market outlook remains positive and strengthening, with tightening global supply of zircon and rutile leading to climbing prices and sites such as Thunderbird appearing key to meet growing market demand. RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

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DIVERSITY

Scientific superpowers

for ExxonMobil supervisor STEM superpowers will no longer be hidden as a program lures more women into a science, technology, engineering and mathematics (STEM) career.

ExxonMobil employee Carolyn Thomas is smashing gender stereotypes in STEM.

CAROLYN THOMAS is one of 60 inspiring women tasked with breaking gender stereotypes by being public examples of the diverse range of people working in STEM, smashing society’s gender assumptions and increasing public visibility.

Named an official ‘Superstar of STEM’

by Science & Technology Australia (STA), the ExxonMobil Australia offshore risk, environment and regulatory supervisor is now a role model encouraging girls to consider a career in STEM. Ms Thomas, who works in the safety, security, health and environment (SSHE) team at ExxonMobil Australia’s Docklands office, is thrilled by the opportunity to inspire the next generation.

“I want girls to see that they can be an engineer, a leader, a mother, and a daughter and a friend all at the same time, and that the engineering world could be

their world too,” she said.

Ms Thomas’ passion for championing change for women in STEM began in university, when, as a member of staff of the National Youth Science Forum, she mentored and inspired Year 11 students from around Australia to pursue degrees in science and engineering.

“Since then, I have spoken at secondary schools about my career as an engineer, the opportunities I have had and the satisfaction of being able to work as part of an amazing team to solve problems and deliver essential energy to society,” she said.

“I regularly volunteer at my children’s primary school to run science activities and talk to the students about the cool stuff that scientists and engineers do all day.

“At ExxonMobil Australia, I am a member of the Women in Energy Network (WEN) committee, running events that

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seek to connect women with networks, help them learn new skills and inspire them to greatness.”

Professor Emma Johnston AO, president of Science & Technology Australia, said the program enables the STEM superstars to share their experiences with as many Australians as possible.

“When we launched the program (in 2017), I said that the stereotypical scientist was an old man in a white coat,” Ms Johnston said.

“Thanks to the first 30 superstars this is starting to change, and with 60 more announced today, we will be well on our way to permanently smashing the stereotype.

“We are extremely proud to have seen hundreds of capable, skilled, confident women apply for the program, and really look forward to sharing the stories of these

DIVERSITY

ExxonMobil is enabling leaders to be STEM role models.

impressive 60 Superstars with the world.”

Recent figures show less than 16 per cent of Australia’s university and STA started Superstars of STEM to create a critical mass of celebrity Australian female scientists and technologists - role models for young women and girls – and to work towards equal representation in the media of women and men working in all fields in STEM. Working with participants over two years, the Superstars of Stem program strives to; • Support 60 women employed in a range of roles in STEM to become highly visible public role models.

VET STEM graduates are women, yet by 2030, employees are expected to spend 77 per cent more time using science and maths skills. RP • Build the public profile of 60 women employed in STEM though training in public speaking, media and communicating with influence.

• Empower participants to share their story and their work with general audiences by equipping them with advanced communications skills.

• Smash imposter syndrome and build confidence in a range of professional settings.

• Directly encourage young women and girls to study and stay in STEM.

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STEM program builds future workforce pipeline A CAREER in the resources and energy industry will be promoted to students through a new program aiming to shore up the next-gen workforce.

Showcasing the industry’s diverse range of highly-skilled and diverse occupations, the initiative encourages students to become interested in a science, technology, engineering and maths (STEM) career.

Catering for students aged 9 to 11, Australian Resources and Energy Group AMMA will host a coordinated series of school-based information and engagement sessions to promote STEM careers as part of its Bright Future STEM program.

Leading employers will inspire hundreds of students, with role models revealing the interesting and diverse career opportunities available, while introducing students to the latest high-tech equipment, technologies and machinery through hands-on STEM focused activities.

Schoolkids will be engaged to learn about the industry by using interactive tools and participating in experiential activities such as virtual reality and drones.

Breaking gender stereotypes of women in STEM will also be a focus, with female role models sparking the interest of schoolaged girls to ensure they understand the broad range of opportunities.

The program will raise awareness amongst young Australians and help build the future pipeline of home-grown skills.

It is set to be rolled out in Queensland, Western Australia, New South Wales, Victoria and Tasmania later this year.

For more information, visit amma.org. au/membership/awra/bright-future/ RP

RESOURCEPEOPLE | AUTUMN 2019 | www.amma.org.au

40

INNOVATION

Big players collaborate as

Chevron eyes next development Australia has propelled itself to be the world’s largest producer of LNG with more than half of production coming out of WA - and global energy giant Chevron is planning for the long-term benefits to continue.

AS COMPANIES look to future energy supplies, the ever-transitioning oil and gas industry is closer than ever to lower development costs to stay competitive and maintain its leading global position.

By sharing infrastructure, logistics, filling and maintaining existing plant capacity, and building right-sized infrastructure which is multi-user, the industry is improving availability and utilisation of LNG plants in the operations phase.

Chevron Australia general manager major capital projects Jeff Schmoll, explains it as key to building Australia into an LNG technology centre of excellence and exporting its know-how to the world.

“The good news is the industry

recognises how collaboration can help accelerate the development of the nation’s resources,” Mr Schmoll said.

The Chevron-operated Wheatstone Project stands as Australia’s first LNG hub concept, showcasing the industry’s early collaboration successes.

Another positive collaboration example involves the timing of plant turnarounds between four of Australia’s LNG majors.

“These turnarounds are extremely labour and equipment intensive and happen on continuous rotation across 12 LNG trains in WA and the Northern Territory,” Mr Schmoll said.

Co-ordination of turnarounds between companies was given the go-ahead by

the Australian competition regulator a year ago, allowing WA’s pool of skilled contractors and specialised equipment to be better co-ordinated.

Apart from driving competitiveness, Mr Schmoll said one of the big advantages of collaboration is the jobs and local content opportunities.

“Having recently completed construction of two major capital projects comprising of five LNG trains and two domestic gas plants, we have seen major benefits flow to local industry and the community,” he said.

As local businesses receive work, it enhances their capacity to grow, unlocking access to projects all over the world.

“Having recently completed construction of two major capital projects comprising of five LNG trains and two domestic gas plants, we have seen major benefits flow to local industry and the community,”

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INNOVATION

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Chevron green lights Jansz-Io project

More opportunities are on the way for local providers after Chevron and its Joint Venture participants elected to proceed with future offshore development at the Gorgon natural gas facility, about 200km off the northwest coast of Western Australia.

Norwegian ingenuity has been by tasked to perform Front-End Engineering and Design (FEED) entry for compressors that will sit 1350m below sea level at the Jansz-Io Compression Project (JIC).

In an Australian first, this technologically advanced project will use subsea compression to enhance recovery of the Jansz-Io field to maintain long-term natural gas supply to the 15.6 million tonne per annum LNG and domestic gas plants on Barrow Island.

It is the first time the technology will be used in Australia and only the second time in the world and incorporating international expertise from engineering firm Aker Solutions - the installer of world-first subsea compression system for Equinor’s Asgard field offshore Norway

Artist impression of the JanszIo compression system at the Chevron-led Gorgon Project.

The Chevron-operated Wheatstone LNG plant.

that started operating in 2017.

The subsea compression station will boost the recovery of gas from the field, with works including an unmanned power and control floater and a field control station to distribute onshore power to the subsea compression station.

By compressing the gas, it will make recovery more cost-effective, with a smaller environmental footprint than a conventional semi-submersible compressor solution.

“Australia will be the first place outside of Norway to use the subsea compression technology," said Luis Araujo, chief executive officer at Aker Solutions.

“Aker Solutions has been present in Western Australia for more than 20 years and we look forward to working collaboratively with the local industry on this development.”

Compression will help maintain plateau gas production rates as reservoir pressure drops over time.

Jansz-Io Compression is part of the original development plan for Gorgon – and the proposed project will include significant local opportunities in FEED work, including all onshore components as well as potential scopes across local engineering, project management, fabrication, onshore construction, subsea installation and support.

Local content work for JIC comes on top of more than $40 billion spent on Australian goods and services on Gorgon

spread across more than 700 contracts to Australian companies.

Not only will the project deliver growing volumes of affordable, reliable and cleaner domestic gas for customers in WA, it will prolong the life of Gorgon’s Jansz Io-fields and was part of the original development plan for the project.

It follows the company announcing commencement of domestic gas deliveries from the Chevron-operated Wheatstone natural gas facility near Onslow, Western Australia.

Wheatstone is now feeding domestic gas into the WA market and can supply up to 200 TJ’s per day, and when combined with Gorgon, the company has capacity to provide 500 TJ’s of gas into the WA domestic system, equivalent to 50 percent of the available WA supply.

During construction, the Chevronoperated Gorgon Project invested more than $40 billion on Australian goods and services and awarded more than 700 contracts to Australian companies – and recently appointed managing director Al Williams said local business partnership would continue as the project advances.

Mr Williams was late last year announced Managing Director of Chevron Australia and head of the Australasia business unit, replacing Nigel Hearne who is now the California-based president of Chevron Asia Pacific Exploration and Production company. RP

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42

INNOVATION

Automation project

drives wide-ranging benefits More high-grade product and less waste is set to be produced through an automation project delivering environmental and cost-efficiency benefits to a Pilbara miner.

INDUSTRY-LEADING TECHNICAL expertise and cutting edge minerals processing solutions technologies are predicted to drive value chain optimisation and productivity gains that could be modelled across the world.

The project automates the gravity separation spiral process used at Roy Hill mine, optimising the concentration of lower grade ore into higher value ore for export.

It aims to enhance the mine operational efficiency, delivering more high-grade product while reducing waste for the same operational cost.

Tested at Roy Hill’s iron ore beneficiation plant in Western Australia, the technology will drive sector-wide benefits and could be commercialised and rolled out at similar operations globally, if successful.

The iron ore employer has matched a $1 million kick-along from METS Ignited’s Collaborative Project Funds to partner Mineral Technologies for the project.

“This work has the potential to not only enhance Roy Hill’s operational efficiency in the short term, but deliver benefits to the project partners, our industry, the environment, and the Australian economy

Roy Hill Mine in the WA Pilbara.

in the long term,” Roy Hill CEO Barry Fitzgerald said.

The innovation project plans to deliver a step-change improvement through real time control of 720 spirals, enabling Roy Hill’s processing plant to dynamically respond to the natural variability of the material it is treating.

As a margin-focused operation, Mr Fitzgerald said Roy Hill is constantly seeking ways to optimise its value chain to drive productivity gains across the mine and mineral processing plant.

A team of engineers, designers and mineral processing experts from Mineral Technologies - a Downer company employing 150 people on the Gold Coast, along with international teams – will now deliver the project.

Downer’s General Manager Process and Engineering, Jess Maddren, said the project funding along with Roy Hill’s contribution, ensures Mineral Technologies can resource the automation project.

Mineral Technologies is recognised as a leader in mineral separation and processing solutions worldwide helping customers extract maximum value from customers' mineral assets. RP

METS funding lifts mining sector innovation Incentivising collaboration and addressing sector priorities, the METS Ignited Collaborative Project Funds is a Commonwealth Government initiative providing $15.6 million, four-year initiative to support, encourage and fund sector-wide collaboration. The announcement of funding for Mineral Technologies - among eight mining supply businesses awarded $4.1m - was the third tranche of funding.

The projects will benefit the mining sector by optimising the value chain, increasing productivity for mining and mineral processing, supporting and enhancing environmental management, and improving operational safety.

Queensland-based Mineral Technologies and Premron were the largest fund recipients, awarded $1m each. Premron’s Continuous Haulage System project seeks to revolutionise coal mining in underground mines. It eliminates the use of shuttle cars, which are used to take the coal cut from the wall of the mine to a transfer point further away in the mine (dead time). CHS will see the coal go straight onto a conveyor belt and out of the mine.

To learn more about all of the other projects funded through the program, visit metsignited.org

INNOVATION

43

Anglo commits $162m

to mine rehabilitation

Australian companies are showcasing innovation and ingenuity to reduce environmental impact - while enhancing their social licence to operate - by breaking new ground in mine rehabilitation.

FROM DESIGN to closure, mine rehabilitation forms an integral part of mine planning and is at the very core of responsible mining.

Companies now go to great lengths to satisfy environmental laws, protect social acceptance of operations and co-exist in farming communities.

It’s a focus highlighted by Anglo American’s Australian operations investing more than $162 million in industry-leading mine rehabilitation over the next five years.

Anglo American’s Australian operations include five metallurgical coal mines in Central Queensland - two open cut and three underground.

Around $83m will be spent on rehabilitation at the open cut Dawson Mine near Moura, and almost $40m at Capcoal Open Cut Mine near Middlemount over five years.

CEO of Anglo American’s Metallurgical Coal business, Tyler Mitchelson, said the company’s innovative approach to pursue best practice mine rehabilitation was already delivering outstanding results.

“Anglo American’s Dawson Mine has been leading the way in innovative rehabilitation approaches, including the successful rehabilitation of an area previously containing void highwall, and use of rehabilitated land for cattle grazing,” he said.

Graziers reap reward

Before: Prior to rehabilitation commencing.

Sky’s the limit for digital monitoring

After: Site rehabilitation complete.

Anglo American has successfully rehabilitated land for cattle grazing at its Dawson Mine.

of mine rehab success

The highwall rehabilitation at Dawson forms one of two recent case studies outlining the company’s commitment to effective mine rehabilitation.

In 2013, Anglo American pioneered blasting techniques to successfully reshape void highwall into final landform position, with four blasts moving highwall material which was then reshaped. The area was seeded with a grazing mix of

productive post-mining use.

Another rehabilitation project, which commenced in 2012 aimed at successfully establishing grazing activities on an area that had been previously used as a spoil dump and topsoil stockpile, has seen cattle weaners grazing in the rehabilitated paddock.

From July 2015, cattle weaners have been grazing in the rehabilitated paddock, with the company reporting cattle were weighed twice in 2016 and demonstrated strong weight gain.

native and introduced species before it was treated with five tonnes per ha of Gypsum in 2017 and re-seeded.

It is now monitored for plant growth and species richness, and expected to be ready for grazing activities in around four to five years. The sophisticated technique was successful in reshaping mining voids – one of the most challenging aspects of rehabilitation for the industry – and rehabilitate land for

Anglo American has also partnered with digital sensing data platform Emapper, other miners and industry suppliers, to use drone technology for aerial mapping of rehabilitation areas at Dawson through an innovative METS Ignited project.

“Rehabilitated areas at our Dawson Mine cover more than 1,800 ha so this project is a significant step forward in improving the safety, efficiency and accuracy of our mine rehabilitation monitoring programs,” Mr Mitchelson said.

Drone technology collects environmental monitoring data including landform geometry, erosion and vegetation, through Emapper’s environmental monitoring webmapping capabilities.

All data is processed in the emapper platform against pre-determined rehabilitation performance standards.

All metrics are uploaded to the secure emapper platform allowing on-demand access to data visualisation, reporting and data collaboration and sharing.

“We’re committed to innovative and sustainable environmental practices, including rehabilitation, and our work in this area is a clear demonstration of this,” Mr Mitchelson said. RP

44

INNOVATION

Broadspectrum lifts

Indigenous commitment As one of the first services companies to launch a Reconciliation Action Plan (RAP) in 2009 - and leading the way with ambitious targets – Broadspectrum is already considered a frontrunner in Indigenous reconciliation.

Broadspectrum Wellsite Operator and local Indigenous artist, Anthony Turnbull, with students from Chinchilla State High School, Madison McConville, Sheila Stober, Blade Nelson, Cobi Zerbst, and Shivaree Herbert.

broadspectrum has now released its fourth RAP, packed with dedicated targets to deliver positive and far-reaching economic and behavioural transformations.

“Broadspectrum has been a trail blazer in reconciliation for almost 10 years,” Reconciliation Australia’s deputy chief executive officer, Andrea Kelly said.

In its latest RAP for 2018 to 2021, Broadspectrum provides more than 40 actions the company will take to strengthen relationships and provide opportunities for Indigenous people and businesses to share in the success of the company.

With operations across remote and regional Australia, Broadspectrum’s Managing Director and Chief Executive Officer, Tom Quinn said the company’s successive RAPs have ensured Indigenous people have been part of the company’s journey.

“We have increased employment for Indigenous people in our business from 2.2 per cent to 4.8 per cent and ensured

Indigenous artwork was reproduced and wrapped around a vehicle. It will also feature on hard hats used on operations in Queensland’s Surat Basin.

our working environments are respectful of, and culturally safe for, Indigenous employees,” Mr Quinn said.

“As a services provider, we are cognisant that while our contracts may be short-term, our solutions have to be sustainable.

“Our legacy is therefore focused on building the skills, talents and experience of Indigenous people, to ensure they can secure meaningful employment not

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only with Broadspectrum but with other businesses in the region.”

Broadspectrum’s ongoing commitment includes employing another 450 Indigenous talent by 2020 through its Indigenous employment programs.

By 2021, the company wants 6.5 per cent Indigenous employment in the workforce.

A contract with the Prime Minister and Cabinet forms part of the programs

INNOVATION

Broadspectrum’s commitment to deliver improved outcomes for Indigenous people is reflected by ambitious targets in its 2018 to 2021 RAP, including: • doubling Indigenous procurement, to support 100 businesses • in partnership with CareerTrackers, support 10 Indigenous interns per year over 10 years • work with Government to create a framework to enable Indigenous people with minor criminal records to gain meaningful employment, and • build a formal mentoring program that results in a four per cent Indigenous representation in its High Potential employee talent pool.

and the company is also continuing to be part of the Emerging Indigenous Executive Leaders Program run by the University of New South Wales to promote Indigenous leaders in businesses.

The launch of Broadspectrum’s fourth RAP was commemorated by a commissioned artwork – Chinchilla on Charlies – by students from the Chinchilla State High School, working with local Barunngam Elder Uncle Reg Warner and Broadspectrum employee and Indigenous Artist, Anthony Turnbull.

The artwork was also reproduced and wrapped on a vehicle and hard hats to be proudly displayed throughout select operations in the Surat Basin region of Queensland. RP Broadspectrum is one of only 22 companies to attain Elevate status out of 600 developed RAPs. It was also one of the first services companies to launch a RAP in 2009, and led the way with ambitious targets, counting the following amongst its many achievements: • increasing Indigenous employment from 2.2 to 4.8 per cent • contributing $88 million to the national economy through our Indigenous employment program, and • winning the Supplier Diversity Advocate of the Year Award at the Supply Nation’s 2018 awards in recognition of our Indigenous procurement strategy and progress.

45

Mining companies

must adapt to disruption: report

Mining companies have been told they must navigate a market characterised by constant disruption and changing community expectations to take advantage of increased growth forecasts.

A KEY message from Deloitte’s Tracking the Trends 2019 report reveals the mining industry is poised for greater growth than has been seen in the last decade - but they must overcome a number of challenges.

Exploring key trends facing mining companies in the fourth industrial revolution, the 11th annual report reveals miners need to rethink their mining strategies in an ever-changing market.

“Mining companies really need to broaden their strategic outlooks,” Deloitte National Mining Leader for Australia, Ian Sanders, said.

“In addition to producing at the lowest cost ore, mining companies need to consider a range of measures to make the most of this period of growth, including focus on the role of individual assets in the portfolio, reimagining the path to value creation, finding balance between risk and return, and understanding how their company can differentiate itself in the eyes of its stakeholders.”

Despite the cyclical nature of the forecast growth, current market realities are different to those of the past, Mr Sanders said.

“Disruption and volatility has become the new normal. The pace of change is challenging the industry’s ability to adapt,” he said.

“Australian mining companies must not only adapt to the disruption of industry from a technical viewpoint, but the disruption being brought about by changing community standards and attitudes towards mining.”

Deloitte believes the Royal

Commission into banking has brought renewed attention to the role of large corporations in Australia and the mining industry is not immune to this.

In addition, the 2019 Federal Election will push further challenges on Australian mining companies.

“In this new world order, miners will not attract talent, investment or community support if they only focus on communicating the discrete value they currently bring to communities,” Mr Sanders said.

“Miners need to go a step further by developing differentiated business models designed to drive long-term value for their organisations and for the Australian community.

“The future of mining presents great technological advances, which will contribute to growth in the industry but it also has its challenges.” RP Deloitte’s Tracking the Trends provides a strategic focus for miners in a constantly challenging environment, and identifies the following trends: 1. Investing in analytics and artificial intelligence.

2. Managing risk in the digital era.

3. Digitising the supply chain.

4. Driving sustainable shared social outcomes.

5. Exploring the water-energy nexus.

6. Decoding capital projects.

7. Reimagining work, workers and the workplace.

8. Operationalising diversity and inclusion programs.

9. Demanding provenance.

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46

ECONOMY

Queensland under pressure

to get Adani moving

Pressure is mounting on the Queensland Government to work reasonably with Adani Australia towards approval of its proposed Carmichael Coal and Railway Project, after the state’s rejection of its black-throated finch management plan threatens further delays to the project.

WITH THE final federal government environmental approvals signed-off in April, a dispute with the Queensland Government over its management plan for the threatened black-throated finch is all that’s standing in the way of Adani Australia.

The coal miner has been sent back to the drawing board, with the state demanding it count the precise number of the small native Queensland birds on its 44,700 hectare site before its management plan is deemed satisfactory.

This latest hurdle comes after review of Adani’s original black-throated management plan was controversially outsourced by the Queensland Department of Environment to a panel that included known anti-Adani and anti-mining activists.

Despite accusing the Queensland Government of continually ‘shifting the goal posts’, Adani said it remained committed to working with the state to see the project come to fruition.

The company can at least take solace in its federal environmental approvals being finalised after 18 months of consultation with the Department, and an independent review by the CSIRO and Geoscience Australia.

CEO of Adani Mining, Lucas Dow, said the company’s revised plans meet strict scientific requirements.

“The Groundwater Dependent Ecosystems Management Plan and the Groundwater Management and Monitoring Plan detail all the activities we will undertake and safeguards we will implement to ensure that we meet the approval conditions for the mine relating to groundwater,” Mr Dow said.

“This includes a network of more than 100 monitoring bores to track underground water levels.

“The plans will ensure we achieve

sustainable environmental outcomes and we’re now looking forward to delivering the thousands of jobs our project will create for people in north and central Queensland.”

Mr Dow also thanked the federal government for its transparent processes, which he contrasted critically to that of Queensland.

“Throughout the past 18 months, the federal department provided us with certainty of process and timing, including the steps involved in the independent review by CSIRO and Geoscience Australia experts,” he said.

“In contrast, the Queensland Government has continued to shift the goal posts when it comes to finalising the outstanding environmental management plans for the mine and is standing in the way of thousands of jobs for Queenslanders.”

Steve Knott, Chief Executive of Australian Resources and Energy Group AMMA, welcomed the federal government’s approval of the

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groundwater management plans and said the ball is now ‘firmly in the court of the Queensland State Government’.

“The Adani Carmichael Project will be overwhelmingly positive for Queensland and Australia, generating thousands of jobs, boosting regional economies and delivering decades of income at the state and federal level,” Mr Knott said.

“It’s incredible important for Australia’s sovereign risk profile that projects of this scale succeed against misguided politicking and disruptive lawfare from well-resourced minority activist groups.”

Concerned the latest delay could take years, Adani is now calling on Queensland to commit to a firm date to finalise the project’s two outstanding environmental management plans.

“Although we believe the current version of the Black-Throated Finch Management Plan already meets our project conditions, we are not going to be pig-headed about it and we will review the feedback from the Queensland Department and respond accordingly,” Mr Dow said.

“We are not unreasonable and we will continue to work with the Queensland Government to finalise these plans. We’ve jumped all their past hurdles and we’ll jump this one as well, but it’s time for the Queensland Labor Government to give us a date on finalising these outstanding management plans once and for all.”

Earlier in the year, it was revealed that more than 14,500 people had registered their interest with Adani for jobs on the Carmichael Project.

Mr Dow said most were bluecollar workers from Queensland, but professionals and white collar workers including engineers, managers and geologists were lining up as well. RP

economy

47

Australia trails only canada

in mining attractiveness When it comes to mining investment attractiveness, Australia remains second only to the rise of Canada.

AFTER RELINQUISHING top spot to Canada in 2017, Australia failed to make inroads on top spot in the Fraser Institute Annual Survey of Mining Companies 2018.

The survey of mining executives is now in its 21st year and offers a report card on government policy decisions that either attract or scare away global investors.

It ranks 83 jurisdictions around the world based on their geologic attractiveness for minerals and metals and the extent that government policies encourage or deter exploration and investment.

Canada remains the most attractive region for mining investment in the world followed by Australia, the United States, Europe, Oceania, Latin America, Africa, and lastly, Argentina.

“The evidence is clear—mineral deposits alone are not enough to attract precious commodity investment dollars,” said Ashley Stedman, a senior policy analyst at the Fraser Institute and study co-author.

“A sound regulatory regime coupled with competitive fiscal policies is key to making a jurisdiction attractive in the eyes of mining investors.”

Western Australia was once again rated as the most attractive jurisdiction in the region, soaring up from last year’s fifth ranking to be the second

most attractive jurisdiction in the world this year based on its Investment Attractiveness score.

The ranking is based on a combination of Best Practices Mineral Potential index, which rates regions based on their geologic attractiveness, and the Policy Perception Index (PPI), a composite index that measures the effects of government policy on attitudes towards exploration investment.

Nevada (USA) continued its reign as the top jurisdiction in the world.

In terms of PPI, two Australian jurisdictions – Victoria and Western Australia – saw their scores improve by more than 10 points this year.

Victoria’s score and rank improved from 52nd (of 91) in 2017 to 43rd (of 83) in 2018 with respondents expressing decreased concern over Victoria’s political stability (-17 points), uncertainty regarding the administration, interpretation, or enforcement of existing regulations (-13 points), and the taxation regime (-11 points).

Western Australia saw a significant improvement in its score and rank, moving up to 5th (of 83) from 17th (of 91) last year, as fewer respondents rated the taxation regime (-23 points), political stability (-15 points), and uncertainty concerning environmental regulations

Most attractive jurisdictions for mining investment

Least attractive jurisdiction for mining investment

1 Nevada 2 Western Australia

74 Bolivia 75 La Rioja

3 Saskatchewan 4 Quebec

76 Dominician Republic 77 Ethiopia

5 Alaska 6 Chile

78 China 79 Panama

7 Utah 8 Arizona

80 Guatemala 81 Nicaragua

9 Yukon 10 Northern Territories

(-12 points) as deterrents to investment.

Policy factors examined include uncertainty concerning the administration of current regulations, environmental regulations, regulatory duplication, the legal system and taxation regime, uncertainty concerning protected areas and disputed land claims, infrastructure, socioeconomic and community development conditions, trade barriers, political stability, labour regulations, quality of the geological database, security, and labour and skills availability.

In 2017, all Australian jurisdictions experienced a drop in their PPI scores, indicating that despite high rankings in mineral potential, public policy factors are holding Australia back.

The PPI score for New South Wales increased by over 8 points since last year, and the state’s rank improved 53rd (out of 91) in 2017 to 47th (out of 83) in 2018. This year miners expressed decreased concern over trade barriers (-10 points) and increased concern over the legal system (+14 points).

Despite this state’s increase in the rankings, New South Wales is Australia’s lowest ranked jurisdiction when considering policy factors alone. RP

82 Neuquen 83 Venezuela

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48

ECONOMY

Resources growth

key on government agenda RESOURCES and energy employers have welcomed the Commonwealth Government’s new National Resources Statement, the first of its kind in more than 20 years, as a strong platform for bipartisan efforts to sustain and grow the success Australia’s resources and energy industry.

Undertaken by Coalition Minister for Resources, Senator Matthew Canavan, the Statement built upon the recommendations of the bipartisan Resources 2030 Taskforce of 2018, which should see its priorities pursued by whichever major party forms the 46th Parliament of Australia following the May 18 Federal Election.

The comprehensive long-term plan focuses on five key priorities including attracting investment; developing new resources, industries and markets; investing in new technologies, especially to improve environmental outcomes; creating well paid secure jobs, and ensuring local communities receive benefits from mining activities.

It also has an agreement to establish a new critical minerals work program to boost exploration, and given priority status for funding applications to critical minerals projects under the $20 million Round 7 of the Cooperative Research Centres Project (CRC-P).

A number of other initiatives will

be progressed under the statement, including promoting a national resources brand to market the advantages of Australia as a resources investment destination to the world.

Australian Resources and Energy Group AMMA welcomes the particular focus on ‘people’ areas in the Statement.

“A strategic, nationally-coordinated approach to skills and workforce development is crucial to ensuring a diverse pool of people can access the incredible opportunities available in the resources and energy industry,” AMMA Director Operations, Tara Diamond, said.

“The Statement acknowledges the sector’s changing future skills needs driven by automation, robotics and artificial intelligence. Most importantly, it characterises this change as an opportunity that needs to be worked through and fully realised, not a threat to the role people play in the industry.

“It is pleasing the Statement puts the spotlight on the significant contribution made by the sector to Australia’s prosperity and recognises how our nation can benefit from developing and maintaining a diverse workforce with the right skills for the future of work.”

While welcoming the five key priorities of the National Resources Statement, AMMA highlighted a notable omission is the critical

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role a 'future focused' workplace relations system will play in the ongoing prosperity of the resources and energy industry.

While the Australia Labor Party has released separate plans for the growth of the resources industry with its “Future Mines and Jobs Plan”, AMMA will lobby the ALP if it forms government to also commit to the priorities outlined in the National Resources Statement.

Record export earnings crucial to further growth Meanwhile, employers have been buoyed by the Office of the Chief Economist’s Resources and Energy Quarterly report forecasting record export earnings of $278 billion in 2018-19.

The report noted that record export earnings are also being driven by growing export volumes.

Australia remains the world’s largest iron ore exporter, and is expected to retake its position as the world’s largest LNG exporter in 2019, overtaking Qatar.

The report also contained a longerterm outlook for Australia’s resources and energy sector, highlighting how Australia’s resource and energy export earnings are expected to total more than $1.5 trillion between 2018–19 and 2023–24.

Ms Diamond said the significant increase of more than 20 per cent on 2017–18 figures was a particularly pleasing sign of industry confidence.

“The forecast highlights the sustained contribution of the resources and energy industry for Australia’s economy and living standards, but also the need to better support future investment through more competitive policy and regulation,” she said.

“The resources and energy industry’s contribution to Australia past and future prosperity can’t be understated and should never be taken for granted – it requires a vision and framework that supports investment and the future prosperity of Australia’s resources and energy industry.” RP