SURAT BASIN
NEWS
30 July 2015
$1.30 inc GST
Surat Basin 2020 Vision The year 2020 is just five years away. We take out our crystal ball and ask: What does the future hold for the Basin?
INSIDE Future foretold at the Surat Basin Expo page 3
The big picture in energy page 6
Five trends for the future Page 16
Opinion leaders share their 2020 vision
Page 25
SURAT BASIN NEWS
THE NEWSPAPER
EDITOR'S
NOTE HELLO and welcome to the July 2015 edition of the Surat Basin News. My name is Derek Barry and I’m the new editor, replacing Jim Campbell who has “gone troppo” in Cairns after doing a terrific job managing this publication in the last two years. Some of you with longer memories may remember me from my time as editor of the Western Star in Roma and I briefly edited this publication before a two-year stint as a relieving editor at Gatton. I’m now based at Dalby and I must say I’m glad to be back in the west thought things have changed since I was last out here. There is certainly a downturn since the heady days of the construction boom of 2012 and 2013 but just as the boom was a doubled-edged sword for many bringing with it many downsides, this quieter period also has its compensations. Here at the Surat Basin News we want to start a conversation about how the Basin should look in five years time, which is not far away but beyond the next election cycle. In the wake of last month’s successful 2015 Surat Basin Expo this edition examines the views of influential thinkers, we gaze into the crystal ball to look at five upcoming trends that will affect us in 2020 and we asked decision makers to give us their “Surat Basin 2020 vision”. Now we want to turn the conversation over to our readers. What do you think the region will look like in 2020? What would you like to see happen in five years time? Email derek.barry@apn.com.au with your thoughts.
THE VISION
The Surat Basin News publishes every Surat Basin News will allow local month and will be delivered via the four businesses to network and dominant newspapers of the region: the communicate with everyone in the 1200 Chinchilla News, Western Star, Dalby sq km basin, providing unprecedented Herald and The Chronicle. It will reach access to new clients and markets. It the homes and offices of almost 50,000 will give a revealing insight into major people living, working and playing in the industry while lifting the veil on current Surat Basin, connecting the business and and proposed developments. It will be mining communities throughout the there for each and every announcement booming region. Surat Basin News is a shaping the region's future while necessity. It was born out of a passion for profiling the colourful characters that Australia's fastest growing communities define our communities. — a passion for a region of unbridled potential and a future of vast economic growth and opportunities. The newspaper, professionally designed and regionally The Surast Basin News is inserted into topical, will be a must read for anyone the four dominant local newspapers for associated with the exciting Surat Basin. the region: the Chinchilla News and Murilla Advertiser, Western Star Roma, Dalby Herald and The Chronicle Toowoomba. Surat Basin News has gone online to ensure our readers in every corner of the country has the latest news sent directly to them. Newsagents in - Chinchilla, Roma, Dalby, Gladstone, Moura, Toowoomba, Calliope
DISTRIBUTION
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THE
TEAM GENERAL MANAGER Erika Brayshaw Chinchilla 07 4672 9921 manager@suratbasin.com.au
ADVERTISING TEAM Greg Latta Chinchilla 07 4672 9927 greg.latta@chinchillanews.com.au Bobbie Gorring Chinchilla 07 4672 9930 advertise@suratbasin.com.au Claire Morris Roma 07 4578 4103 claire.morris@westernstarnews.com.au Nicole Boyd-Taylor Dalby 07 4672 5500 nicole.boyd-taylor@dalbyherald.com.au
EDITOR
Derek Barry Dalby 07 4672 5500 derek.barry@apn.com.au
View our previous editions on www.issuu.com/suratbasinnews
UPDATES
PAGE DESIGN Beth Walker
Regular updates on www.suratbasin.com.au
SURAT BASIN NEWS
THE
State budget impacts................................15
INDEX
Surat Basin 2020 Vision
DOWN TO BUSINESS
12 Mayne Street Chinchilla Q4413 PO Box 138 Chinchilla QLD 4413
PUBLISHED
The Surat Basin News is published by Chinchilla Newspapers Pty Ltd Frog’s story..................................................18 12 Mayne Street Australian Well Centre............................19 Chinchilla Q4413 Easternwell updates.................................20 MAS Accommodation...............................21 The Surat Basin News is printed by APN Print 50 Industrial Avenue Global Road Tech.......................................22 Toowoomba Laing O’Rourke..........................................24
THE BIG PICTURE Adrian Hart on the economic future ....3 John Cotter on how we got to here........4 Surat Basin Expo highlights....................5 Gas industry updates................................6 Coal news......................................................8 The Maranoa story................................. ...9
ACROSS THE REGION
OPINIONS ...................................................................25-27
Gravel Road..................................................10 Toowoomba Second Range Seen at Surat Basin Expo.................. 28-29 Crossing.......................................................11 Dalby/Tara events.....................................30 Inland Rail...................................................12 Roma events................................................32 FIFO Inquiry................................................13 State Government news...........................14
PLACES AND FACES
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THE BIG PICTURE
Major Projects report author predicts good future for Surat Basin
Queensland set for third phase of boom BIS Shrapnel is one of Australia’s foremost research and forecasting companies. BIS Shrapnel senior economist Adrian Hart shared his future vision of the Surat Basin at the Surat Basin Expo.
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Adrian Hart (seen here right with Rubhen Jeya of BIS Shrapnel at the Surat Basin Expo) says the region’s growth is sustainable. Mr Hart said no one expected Queensland to develop so fast with its three LNG trains. “The problem for Queensland is that this collapse in the construction side of the boom is that it is a drag on the economy,” he said. “A lot of people are required to build assets but less to maintain and manage them. The good news story is that the world economy is improving.” Mr Hart said China’s economy was slowing a little bit but is still growing by six or seven percent. “Every year China adds an Australian economy in size to its own economy – it’s a massive transformation,” he said. “But with demand for steel down, affecting Queensland coking coal, it remains an important driver for other services. “They’re going to need food, education services, financial services, they are going to come here as tourists so there is going to be a tourism boom.”
Mr Hart said Queensland was well placed to keep up where the mining boom tails off. “We get other booms come through because we are in a growing part of the world,” he said. “China’s stimulus drove high commodity prices but that has dropped off because supply has caught up with demand. We have been investing in coal, gas and iron ore. “Our view is that prices have to rise in the long term for most commodities to underwrite the next phase of investment.” Mr Hart said gas prices would creep up in line with oil prices. “The Australian dollar is driven by commodity prices and interest rate differential – which is still high by world standards creating strong demand for our currency,” he said. “We won’t feel the next downward leg of the Australian dollar until the rest of the world starts catching up and raise their interest
What’s coming up: ■ ■ ■ ■
Telecoms: NBN Electricity infrastructure, Second Range Crossing Warrego Hwy upgrades
rates, particularly in the US. “We need a lower dollar to make us ultra-competitive for the next oil and gas project.” Mr Hart said we were in the third phase of the boom based on the big oil and gas projects in Queensland and NT. “There will be 25 million tonnes of LNG pumped out of Gladstone per annum, which is an amazing story,” he said. “We are going to overtake Qatar as the biggest LNG producer in the world. “That means a lot more sustainable investment, a good chunk of that in the Surat Basin, year after year.”
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he future remains bright for the Surat Basin despite recent downturns, according to one of Australia’s leading economists. Adrian Hart is a senior economist with BIS Shrapnel and lead author of the February 2015 major projects report which predicted a major boom for the region within the next five years. Mr Hart said we’ve come off an unsustainable boom which he called a once in a generation activity. “But the good news is that we’ve come back to a level that is sustainable and is driven by high value creation of wealth as we export gas from the Surat Basin through Gladstone,” he said. Mr Hart said as well as gas, there were also opportunities in manufacturing and agriculture. “It is a very exciting time as we transition but a very tough time as well if you’re facing the very front end of that investment adjustments we’re seeing now,” he said. Mr Hart said Queensland would remain “in a world of pain” in the investment front for the immediate future. “There was this massive boom across coal and gas and even government infrastructure up to about 2010-2011 and all of these things are going negative now,” he said. Mr Hart said the key messages were that we were in an economy that is gradually reaccelerating but it was very different state by state. “Queensland is in tough place but on the other hand, NSW, which was a basket case for many years, has come through and we’re now starting to see investment, particularly with Sydney bursting at the seams,” he said.
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Surat Basin NEWS Thursday 30 July 2015
PAGE 3
WHERE TO FROM HERE...
John Cotter (with wife Ellen Cotter at the GasFields Commission stand at the Surat Basin Expo) says Queensland is ahead of the game in oil and gas.
Queensland is ahead of the game in gas GasFields Commissioner John Cotter reflects on how far the state has come in the last five years and where it is going in the next five.
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OR Gas Fields Commissioner John Cotter, the equation is simple: Queensland is ahead of the game in oil and gas, and it’s all down to some far-thinking done in a crisis. “I attended a community cabinet meeting in Roma in 2010, it was probably one of the ugliest events I’ve seen in regional Queensland,” Mr Cotter told his Surat Basin Expo audience. “It was a catalyst that day that a number of us decided that was not the way forward for Queensland.” Over the following years rural industries, communities, local government and the industry generally got together to form the Gas Fields Commission to manage the quickly growing coal seam gas industry. “It was a decision not taken lightly but it was an opportunity for regional Queensland that I and a number of others saw to integrate the agriculture and the onshore gas industry in the Surat Basin,” he said. “It was very challenging but there was enormous benefit to be had by all and I stand here today and say I was right. “We’ve done something and we’ve done it damn right.” Mr Cotter admits the situation is not perfect “but we managed it and like all good
PAGE 4
Queenslanders we got on with it.” The Commissioner said that while there was a downturn, the industry had brought 40 to 60 billion dollars to the economy. “It was something for Queensland we could have only dreamed about,” he said. “One of the greatest challenges was that people didn’t look far enough out and as I talk to the companies and the industry now we are looking out 25 years, what’s it going to be then so there is a lot more reality about
where we are heading. “We’re speaking with industry and local firms to make sure they’ve got that long term view of how they do business.” Mr Cotter asked how do you get the message to “the punter in the street” about why this industry is so important. “Think about the Second Range Crossing about $1.6b, Legacy Way is $1.6b, the second Gateway bridge $1.2b - all these projects have 2000 or 3000 workers,” he said.
Flashback to 2010 when protestors voiced their concerns at Premier Anna Bligh's Community Cabinet session in Roma. John Cotter says this meeting was a turning point for the industry.
Surat Basin NEWS Thursday 30 July 2015
“Come back to the Surat Basin, each of the gas companies is going to do one of those every year for the next 25 years. “On today’s figures that’s about 14,000 jobs, we are in a space that no-one in Queensland has ever been before.” Mr Cotter said as the industry moves north they were doing access agreements north of Injune and Taroom, with jobs for locals. “For every well that’s drilled, there is about 2km of road, there’s about a thousand wells to be drilled a year for the next 25 years,” he said. “What would that mean to a local council if they were building 2000km of road each year?” Mr Cotter said people were losing sight of these things when they talk about a downturn. “By all means, there are people hurting and we’ve got to help change that but some of the things we’ve got to do,” he said. Mr Cotter said tourism was a big area of potential. “The grey nomads never stopped between Toowoomba and Mitchell because it was too expensive,” he said. “Now’s the chance to do those sort of things for those communities.”
THE SURAT BASIN EXPO
Connecting is the name of the game for Expo organiser
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URAT Basin Expo organiser Bob Carroll has hailed the success of the fifth Surat Basin Expo saying it was the culmination of the learning his company Australian Events picked up around the world. “You can only bring those points together at events and forums like this where you can learn from each other and learn from other events around the country,” he said. “To have it each year and to be able to connect with industry is something we’ve been working on.” Mr Carroll appreciated the support of Maranoa and Western Downs councils and said major sponsor Masterhire had been very proactive. “We want the State Government to push harder to make sure infrastructure projects become a reality,” he said. “And TSBE are the go to group in this area, if you are not a member you should be.”
Greg Johnson (left) and Bob Carroll (right) of Australian Events with Mining Minister Dr Anthony Lynham at the Surat Basin Expo. Photo Derek Barry / Surat Basin News.
Mines Minister puts call out to resource industry:
‘This is the time to seek out new export opportunities’ M
ines Minister Anthony Lynham revealed a secret as he cut the ribbon to open the 2015 Surat Basin
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Dr Lynham said people in the coal industry should be proactive in the downturn. “Now is the time to get out there and explore, Expo. now is the time to hold some assets or gain “This is the first ribbon I’ve ever cut,” Dr some assets because we all know the coal Lynham admitted to much to the surprise of industry is about to pick up again,” he said. organisers. “Now is the time to consolidate and get ready The minister said he had two reasons to for the upswing.” come to the Surat Basin Expo. Dr Lynham said the mining, energy and “One was to have a look around, and technology sector remained very strong. secondly to offer encouragement to the “We exported last year $70m worth of mining mining industry of Queensland,” he said. technology into Russia and as people in CSG “The mining industry is very important to move from construction into production, that Queensland – one in five people are employed construction industry should be looking because of our resources sector. overseas and should be looking to export and “Since I’ve come into office I’ve engaged, I that’s why I’m here to encourage that,” he know most of these people because they’ve said come and visited me or out visiting them.” Dr Lynham said Toowoomba and the Surat
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Now is the time to consolidate and get ready for the upswing. Mines Minister Anthony Lynham Basin punched above their weight in mining and energy production. “I’ve been out to Roma and I’ve seen Sharpe Engineering and it’s got wonderful export potential,” he said. “This expo is wonderful for the region, not only for displaying the goods and the equipment we have but also getting together and the cross-pollination of ideas in this wonderful sector.”
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PAGE 5
THE FUTURE OF GAS
POWERLINK UPGRADE The construction of new high voltage transmission lines across the North West Surat Basin has delivered a significant boost to the region's economy. Energy Minister Mark Bailey said Powerlink Queensland's transmission line project had injected about $14 million into the local economy with the government-owned corporation using local businesses, suppliers and materials to help deliver the major infrastructure project. Powerlink is constructing about 200 kilometres of high voltage electrical transmission line and seven substations in support of Queensland’s multi-billion-dollar gas export industry in an area bounded by Wandoan, Roma, Injune and Taroom.
ARROW BIG RIG
QGC’s Windibri site will go to Shell as part of the $90b takeover of BG Group.
QCLNG takeover on track while GLNG, APLNG move to production
Shell takeover of BG Group gets American clearance
The oil and gas industry is now moving out of the construction phase and into the operations phase with QCLNG the big mover in recent times while Santos GLNG jumps another hurdle on its path to ship gas. connected by a 540km pipeline network from the Surat Basin to Gladstone. In June BG Group sold the pipeline to APA Group for $4.6 billion. BG Group said the sale proceeds would reduce net debt and fund future growth. Meanwhile all three of Santos GLNG’s major natural gas compression hubs are now operational, marking the end of the first phase of their gas field construction. The achievement comes after testing of the third and final hub, near Roma, was
completed and handed over to the long-term operations team in June. Santos Vice President Queensland Trevor Brown said the construction and commissioning of these three major hubs would allow LNG production to start “around the end of the third quarter of this year.” The third major Gladstone gas player Origin APLNG has said they expect no change to their contract despite current weak gas demand in Asia as they prepare for Train 1 production before year’s end.
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NOT METHANE EMISSIONS Origin Energy has denied a video of their Talinga gas compression facility posted in comments on the Surat Basin News website by anti-gas activist David Monk shows methane emissions. “The plume shown in the video is not methane,” a company spokesperson said. “We have many gas detectors within the building and on site which would detect any gas leak - the plume is exhaust coming from gas turbines used to compress the gas.”
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he takeover of natural gas firm BG Group by oil giant Royal Dutch Shell has passed its first American test, securing anti-trust regulatory clearance from the Federal Trade Commission last month. The $90 billion deal will see BG Group’s Australian assets including the Gladstone LNG plant and upstream infrastructure in the Surat Basin end up in Shell’s hands. The QCLNG plant will produce 8.5m tonnes of LNG a year from 6000 coal seam gas wells across 4500km of tenements by 2030,
ARROW Energy has transported a 250 tonne compressor package from the Port of Brisbane to the Surat Basin as part of the expansion of its Daandine gas facilities, 30km west of Dalby. The compressor package, including the compressor and engine skid, coolers, pipework, exhaust, and control panels was loaded onto several trucks, with the main compressor and engine skid transported on a heavy haulage truck and trailer.
THE FUTURE OF GAS
Senex spell out their Surat plans based on strong demand growth
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QCLNG have started exporting Train 2 gas from Gladstone.
First shipment significant milestone
QCLNG train 2 gas arrives in China QGC, BG Group’s Australian subsidiary. Train 2 commercial operations will begin once a similar commissioning process has been completed. These trains, which have a design life of at least 20 years, are expected to produce a combined 8.5 million tonnes of LNG a year. The Norwegian Chief Executive of BG Group Helge Lund said the start-up of QCLNG’s second LNG train was an important operational milestone. “The completion of our upstream infrastructure and the two LNG trains are achievements of which BG Group, particularly our team in Australia, can be proud,” Mr Lund said. “We have already shipped more than 1.5 million tonnes of LNG from Queensland, and Train 2 will add significant further volumes and flexibility to our LNG shipping and marketing portfolio.”
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LNG proponents or domestic gas sales to utility and industrial customers or for power generation. Senex has commenced dialogue with 60 landholders and has opened a Roma office. Pilot production testing will be the focus of this financial year as the company targets a low cost development. Senex plans to build water handling infrastructure, surface facilities, gathering lines and other associated infrastructure. They will compile data about the production characteristics which will be used to confirm assumptions about drilling, project size and water disposal. Mr Davies told his audience investment highlights included continued progression of long-tenure growth projects with focus on capital allocation, and strategic focus on maturing oil and gas exploration assets into production. He said achieving a Final Investment Decision on the Western Surat Gas Project would represent a major step towards that goal and accelerate a strategic market opportunity. However, some analysts are predicting it could be 2025 before Senex start production in their fields. The current low wholesale price of $3 to $4 a gigajoule remains a major disincentive with a price nearer $8 needed for the development of the next tier of gas resources.
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G Group has announced it has started up and loaded its first LNG from the second production train at the Queensland Curtis LNG facility in Gladstone. BG Group said the first LNG from Train 2 set sail on the Greek-registered Maran Gas Posidonia on Saturday July 11. The Maran Gas Posidonia was headed for the Chinese port of Ningbo, due south of Shanghai, and was expected to arrive July 23. It will be the first shipment of many. “At plateau production, expected mid-2016, both trains at QCLNG will be producing enough LNG to load ten vessels per month combined, exporting around eight million tonnes per year,” the company said in a statement. Production from the first train commenced December last year so far shipping 27 cargoes of LNG. In May this year contractor Bechtel Australia formally transferred control of Train 1 to
HE Senex company say there is unprecedented demand growth as a result of LNG projects coming online with LNG and domestic participants looking to secure additional long-term supply. Senex CEO Ian Davies was speaking about his company’s Western Surat Gas Project at a Noosa Mining and Exploration Conference this month. Mr Davies said Senex had 30 years operating experience and a large pipeline of growth assets in the Cooper and Eromanga basins. The company is now expanding into the Surat Basin to diversify their portfolio and gain access to nearby gas hubs and east coast markets. Senex first drilled in the Surat Basin in 2001 targetting low rank, high permeability coals and did further drilling between 2009 and 2013 after it acquired Sunshine Gas and Pure Energy. In 2014 they acquired project acreage through an asset swap with QGC and now has exploration fields north-west of Roma and south-east of Wallumbilla. This year the focus has been on field development and appraisal planning and progressing of regulatory approvals. Mr Davies told the conference the timing and location of their Western Surat Gas Project meant there were a number of potential routes to market via gas sales to
PAGE 7
THE FUTURE OF COAL
Wilkie Creek history 1994: Mine opened by Allied Qld Coalfields 2002: Bought by Peabody Energy 2012: Put on the market – no takers 2013: mine closed 2014: failed bid to sell to Nathan Tinkler 2015: Sold to Sekitan Resources
Peabody Energy have sold Wilkie Creek mine to Sekitan Resources.
Wilkie Creek hopes to reopen by 2016 Major questions remain about Australian coal industry but some good news on local front
C
oal is the biggest puzzle in energy. Queensland is full of coal, yet the fossil fuel is named as one of the biggest culprits in rising carbon dioxide levels across the world. Prime Minister Tony Abbott wants to encourage the industry, but the price of coal continues to tank. The federal and state governments have approved many recent projects but the Adani, Hancock and Clive Palmer mines in the Galilee Basin remain stalled. The new State Government has backed away from bankrolling a Galilee Basin rail line while a missing link between Moura and Miles stops integration between the Bowen and Surat Basins.
The Swiss company Glencore have mothballed Wandoan and Acland Phase 3 has Alan Jones to deal with. If the overall story is gloomy, there is some good news locally as an Australian company hopes to get Wilkie Creek open again this financial year. The new owners of Wilkie Creek say they hope to have the mothballed coal mine up and running by February 2016. Sekitan Resources bought the mine near Macalister, once valued at over half a billion dollars, for just $10 million from Peabody Energy. Sekitan is linked to Exergen Corporation, an Australian company dedicated to finding a breakthrough “clean coal” technology but
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PAGE 8
The sale is a low point for Peabody Energy whose shared plunged 98% in four years. They had been trying to sell Wilkie Creek since 2012 as coal prices plummeted and the mine closed down in 2013 with over 200 job losses. Former billionaire Nathan Tinkler launched a bid to buy it last year for $80m but it was called off after his company missed several payment deadlines. The current sale price has gone down drastically but a term sheet sent to prospective investors said a further $95m was needed to restart the mine. This includes a $30m environmental bond guarantee, $10m port bond guarantee and $55m outlay on capital expenditure.
Surat Basin NEWS Thursday 30 July 2015
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Sekitan boss Trevor Bourne said the technology would not be used at Wilkie Creek. “We’ve signed the agreement but the transaction has not closed yet,” Mr Bourne told Surat Basin News. “We’re looking to mobilise by the end of this year with first shipment in February 2016.” Mr Bourne has just returned from Asia and said he was “extremely positive” he could find buyers for Wilkie Creek coal. “We’ve factored in the current price of thermal coal and are looking to restructure the operation,” he said. Mr Bourne said they hoped to start looking at the process of hiring employees come September.
TRANSPORT: THE FUTURE OF RAIL
As Brisbane to Melbourne Inland Rail project moves closer to fruition, Mayor expresses wish:
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Toowoomba to become logistics hub
OOWOOMBA could become a logistics hub if the Brisbane-Melbourne Inland Rail project gets up, says Mayor Paul Antonio. “The airport, the range crossing and the rail all will come together as a trifecta to push this opportunity,” Cr Antonio said. Cr Antonio said Toowoomba would be hosting an international conference on logistics in early August which would cover air, rail and road. “This is an opportunity for people with an interest in logistics and the future of Toowoomba and come together and get a good understanding from world experts as to exactly what is ahead of us,” he said. Cr Antonio said the industrial area west of Toowoomba could generate 15,000 jobs. “The international airport we have and the proximity to the port puts us in a very strong position to build this hub,” he said. Cr Antonio’s prediction comes as a group of mayors from the Surat Basin and Darling Downs calls for private investment to complete the inland rail project. Their spokesman, Goondiwindi mayor Graham Scheu said they didn’t trust governments to get the job done and Wellcamp Airport was an example of what the private sector could achieve. "With the distinct lack of funding available from all forms of government, it would seem a no brainer that you would at least investigate the possibility of a public private partnership," Cr Scheu said.
Freight movement across Queensland is expected to double by 2020, with the most rapid growth anticipated to be in south-east Queensland. In 2010, ACIL Tasman estimated an inland railway would stimulate extra coal tonnages from the East Surat basin near Oakey to the Port of Brisbane well above the 5.5 mtpa carried at the time. Deputy Prime Minister Warren Truss said the government was committed to building the inland rail, with $300m in 2014 for pre-construction activities. In early July 2015, the government awarded professional services company GHD the tender to provide environmental and engineering consultancy on the first stages of the project. Mr Truss said the first tender would provide vital input to planning of some of the key segments of the Parkes to Narromine and Narrabri to North Star sections in NSW. “Inland Rail will transform freight movements through south east Queensland, across regional NSW and rural Victoria, linking with the existing national network to move produce around the nation more efficiently,” he said. “With Australia's freight task set to treble along the eastern seaboard, Inland Rail is a crucial project for meeting the demand for a road-competitive freight rail service and take 190,000 trucks off the road each year.” Proposed route of the $4.7 billion inland rail route. The project will see a tunnel constructed through the Toowoomba Watch out for an update on the western Range to the Port of Brisbane. rail line in August’s Surat Basin News.
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Surat Basin NEWS Thursday 30 July 2015
PAGE 9
CAUTION: GRAVEL ROAD AHEAD There are highways and by-ways and then there are gravel roads. Gravel Road will take a leisurely look at the road less travelled across the region. We would have called it Dirt Road but we are far too clean for that – most of the time.
Oops I did it again
GRAVEL Road decided to Google the new editor of the Surat Basin News. “Derrick Barry,”, the Internet said, “has been a performer all his life”. Born and raised in Modesto, California, Derrick Barry began training as a gymnast when just five year old and moved to Hollywood when he was 19. He became a drag queen and quickly established himself as the world’s premier Britney Spears impersonator, appearing on America’s Got Talent and the Jay Leno show. Wait a minute, he’s gone from Jay Leno to Jandowae? Actually no, our guy is spelt “Derek Barry”, can’t sing to save his life and looks more like Britney Spears’ lesser known sister Asparagus.
they’ve met. Mr Musgrove brings an impressive CV to the Downs as a former high-ranking Queensland public servant and chief-of-staff to JP Langbroek when he was LNP leader among other jobs. His brother Grant Musgrove was a former Labor MP in Victoria. We welcome Ross to the Surat Basin and promise to not confuse him with the Senator. We also promise not to make the same mistake august journal The Australian made in its letters section on January 10, 2013 and call minister George “Senator Barmaids”. Damn you autocorrect!
Slaying the dragon
But hubris, hush, Gravel Road is capable of error. When congratulating Mr Musgrove’s predecessor Phil Berting on his retirement, GR overheard Mayor Ray Brown talk about Mr Berting’s love of St George. We wondered if this meant lots of days fishing in the Balonne, but no Phil quickly informed us his passion was St George Illawarra. It might have been a worse mistake, we could have accused him of being English.
Frackman is now a movie star but will there be popcorn with the premier?
Bulls Hit
Regional Council (see more page 12).
Definitely an Aussie is Kerry Lonergan the markets guru on the Landline program. Kerry was an engaging host at Dalby’s Mary’s Hotel when the Ekka Feedlot combined weight competition result was held last month. Mr Lonergan, who claimed to be from the “non-terrorist wing of the ABC” urged more farmers to cross charolais with wagyus. The new breed, Mr Lonergan suggested, could be called “chagyu”.
Your shout
If Mr Lonergan’s point was subtle, Maranoa Cr Wendy Newman was more blunt in her speech at the Surat Basin Expo. If there was Top: Editor Derek Barry, drag queen Derrick Barry. Bot- any chance her audience was falling asleep, tom: singer Britney Spears, veggie asparagus spears. she startled the life out of them as she suddenly shouted out “ROMA? WE HATE ROMA!!!” This, apparently, was the horrified reaction of Warroo residents when their Speaking of lookalikes, Gravel Road has council was about to be amalgamated back in never seen Western Downs Regional 2007 with the town 80km to the north. Cr Council’s new CEO Ross Musgrove in the Newman says the story ended happily when same room as the federal Attorney-General Roma Regional Council renamed to Maranoa Senator George Brandis. Mind you, I’m sure
Brandis X
Hear my payer
Speaking of the Surat Basin Expo, Gravel Road took the free ear tests offered by one of the exhibitors. The results were alarmingly bad (perhaps Cr Newman’s ROMA shout affected the results) and GR took a follow up test in the company’s office a few weeks later. GR was impressed by the sleek quality of the hearing aids on offer which were nothing like the clunky ones in GR’s granddaddy’s day. We did notice the audiologist was being coy about the cost. When GR finally asked him point blank, he breezily replied “They start in the fours and fives and go up to the 13s”. “Hundreds?” We responded hopefully. “No, Thousands.” After Gravel Road picked our jaw off the floor, we realised we will be remaining deaf for the foreseeable future.
Meat and Greet
Deafness has consequences as we found out recently. Another journalist was due to cover the opening of a new employment agency in Dalby but had to hand the assignment to Gravel Road at the last moment. Not knowing where the agency was based but hearing their name was “Meato”, we were annoyed to find Dr Google was no use. “Did you mean Dalby Meatworks?” was the search engine’s best offer. After much swearing, someone gently suggested we step away from the computer and look out the window. Straight across the road was the new office of “NEATO Employment Services”. NEATO is a meaty acronym for Northern Employment and Training Organisation. Much like Qantas, Neato have outstripped their named geography. They were a successful tenderer
for the Federal Government’s new employment services model known as “Jobactive” which began on July 1. Based in Dalby, they’ll provide outreach services to Chinchilla, Roma and Tara.
Frackman Returns
Also in Tara is Dayne Pratsky alias Frackman, opponent of all things oil and gas. Dayne is now the star of his own David and Goliath movie “Frackman” where he “takes up the fight to the big boys”. It’s not just big boys Pratsky is after. The Accidental Activist has invited the Accidental Premier to view the movie. GR does not know if Annastacia Palaszczuk has taken up the offer. Given the new government’s fiscal difficulties and haste to open up the Cooper and Eromanga Basins for exploration, it’s likely Mr Pratsky may be politely told to “frack off”.
Brick with sore eyes
Another vocal opponent of gas is independent senator Glenn Lazarus. At an anti-CSG rally in Sydney Senator Lazarus threatened to unleash a range of unorthodox footy tactics on Prime Minister Tony Abbott if he didn’t limit exploration permits. The former PUP said he might “squirrel grip” the PM and if that didn’t work there was always “the grapple tackle, the chicken wing and even the crusher tackle." However Lazarus’s piece de resistance was the threat to go the “Hopoate” on the prime minister. It shows a fairly poor grasp of anatomy if he thought this was a way of “shirtfronting” Mr Abbott. It also reminded everyone that although Lazarus is a Senator for Queensland, the former front rower remains a footy brawler from south of the Rio Tweed.
HIT THE ROAD Got something we should know about? Contact us on gravelroad@suratbasin.com.au New Western Downs CEO Ross Musgrove and Senator George Brandis: any relation?
PAGE 10
Surat Basin NEWS Thursday 30 July 2015
TRANSPORT: THE FUTURE OF ROADS
Surat Basin 2020 tunnel vision Toowoomba Second Range Bypass closer to reality as Nexus wins bid
O
ne thing is sure about 2020: Surat Basin residents and visitors will be able to bypass Toowoomba with no traffic lights between Dalby and the coast. It is all systems go for the Second Range Crossing after the Federal Government has announced the preferred tenderer to build the $1.6 billion project. Many expected the local Wagner group to win the bid, but they lost out to international infrastructure consortium Nexus in a 25-year public-private partnership (PPP). Nexus is now calling on local businesses to make construction submissions. Construction is expected to start this year with the project expected to be completed in late 2018. The key question of how much it will cost to use the by-pass will be decided closer to the time. Nexus’s bid was based on four lanes for the entire bypass, interchanges at the Gore Hwy, Warrego Hwy (east and west), Cecil Plains Rd (for Wellcamp Airport), a connection to Mort St, Toowoomba (for the New England Hwy), a 800m viaduct over the rail line and a 30m cutting at the top of the range as an alternative to a tunnel to accommodate dangerous goods and over-dimensional vehicles. The project will deliver 1800 full time jobs during the construction and maintenance phases and the road could shave 40 minutes of trips across the range for heavy haulage vehicles. Paul Oppenheim, managing director of the project’s financial arranger and equity investor, Plenary Group , said their bid teams had significant success in road and public transport projects across Australia and North America as governments increasingly look to “availability style” Public-Private Partnerships to procure infrastructure on-time and on-budget. “Availability style” simply means the partners are only paid on delivery items,
Map of second range crossing proposal. meaning the government benefits from deferred cash flows. Transfield Services’ scope of work includes operations and maintenance on completion. Transfield Services Managing Director and CEO, Graeme Hunt, said their selection endorsed their position as a leading operations and maintenance services provider for transport infrastructure. Local business group TSBE said Nexus had expressed interest to present at an upcoming event following the contract awarding of the project, so they can discuss their project and opportunities for local suppliers and their community engagement efforts.
Who are Nexus? ■ Plenary Group – North American financial arranger and equity investor with experience in PPP including Sydney’s NorthWest Rapid Transit Consortium and Gold Coast Light Rail ■ Cintra – Spanish transport infrastructure company with an Australian office in Sydney ■ Acciona Infrastructure – Spanish bridge and tunnel builders who helped build Brisbane’s Legacy Way ■ Acciona Concessions – Spanish investment corporation managing the PPP ■ Ferrovial Agroman – Spanish road construction company which has the Pacific Hwy upgrades in mid-northern NSW ■ Transfield Services – Australian project operations and maintenance company with a diverse portfolio including toll roads in Sydney and elsewhere.
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Surat Basin NEWS Thursday 30 July 2015
PAGE 11
THE FUTURE OF LOCAL GOVERNMENT
Windows 10 Release July 29, 2015
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Maranoa councillor Wendy Newman speaks at the Surat Basin Expo forum. Photo Derek Barry / Surat Basin News
Local councillor takes forum attendees on a journey...
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Newman’s Maranoa story
aranoa regional councillor Wendy Newman weaved together her background with the story of the Maranoa at the Expo Industry Forum saying the region was well placed for the future. Cr Newman grew up in Melbourne and heard of the Maranoa with poems like the Maranoa Drovers on the curriculum but she never imagined living there. Ms Newman now lives in the town of Surat and said the period of change began in 2007 when Queensland Premier Peter Beattie announced the forced amalgamation of local councils. “In our area there were five local government tribes (Warroo, Bendemere, Bungil, Booringa and Roma Town), and in 30 seconds in 2007 virtually every resident received a turbo charge to their tribal genes,” Cr Newman said. “We were merged into an area nearly the size of Tasmania with a population of just over 13,000 providing over 600 services and programs.” Cr Newman said rural residents resented the new name - Roma Regional Council.
“‘ROMA?’ screamed residents of Warroo, Bungil, Bendemere and Booringa, ‘we hate Roma!’,” she said. “In 2009 after a community survey, the council name was changed to Maranoa Regional Council and if you’re visiting please remember its name, some people still forget!” Cr Newman said Maranoa had a strong agricultural base, primarily sheep and cattle, increasing grain production but had also been in gas production for a century. “From 2010 to 2012 nature decided to test our region to an unprecedented extent,” she said. “After a decade of drought, we had three massive floods in three years, Roma flooded repeatedly, Mitchell flooded for the first time ever. Hundreds of houses inundated, thousands of kms of roads flood damaged, everyone and every service affected.” Another change hit “with the force of a cyclone” as coal seam gas moved from exploration to development. “Passenger numbers at Roma Airport were around 12,000 in 2008 and rising - The tin shed terminal had to go but what numbers
would we need to cater for?” she said. “The top range estimate was 90,000 so a new terminal was designed accordingly. By the time it opened in 2012 passenger numbers were close to 200,000, heading to over 300,000 in 2013-2014.” FIFO numbers added 40% to population with flow-on implications to infrastructure and services, as housing costs skyrocketed due to demand and flood damage. “Our flood-impacted roads saw the equivalent of 10-years projected traffic in a few weeks,” Cr Newman said. “During the last seven years, the wealth generation of the Maranoa has quadrupled to a total of $4b in 2013-2014, steadying as we enter the operational phase but significantly higher than before the CSG era.” Cr Newman said the agricultural base remained strong and Roma Saleyards was the largest cattle saleyard by volume in the southern hemisphere. “Tourism remains a strong focus and our range of travel options and our gateway to the outback will allow tourism to re-emerge strongly in the coming decade,” she said.
indows 10 is a free upgrade for those running Windows 7, Windows 8 and 8.1. Those in business and are running a database or software critical for daily operations should first check with the software distributer if an upgrade to Windows 10 will break anything. Real estate agents use a program called Console Gateway Live to look after landlords and tenants, if this program is not accessible it will bring daily operations to grinding halt. Console Gateway Live is Windows 10 ready with one minor thing to do, the license server would need to be reactivated after the upgrade. I have been testing Windows 10 on the MS Insider program, the only problem I encountered after the upgrade was my Wi-Fi card driver needed to be reinstalled and was an easy fix. I even decided to check one of the new features of Windows 10, Xbox One Game Streaming. This is the ability to essentially stream a game over your local network in your house and play the Xbox One on your Windows 10 Computer. The way you get this working is you install the XBOX app from the Windows store on your Windows 10 computer then you open the app, it will automatically find your Xbox One on the network you then click connect then click Stream and then you will see the your Xbox one Screen on your PC, you will also need to plug the Xbox controller into the USB port of your PC, then you just select the game you want to play. The Xbox One game streaming isn’t really relevant to business’s but for those of us who have children playing games in the lounge room all the time and might just want some quiet time , sending them off to use their Laptop to play the game might just give us that quiet time we all value. If you do the upgrade, do a full image backup first. But don’t just blunder along, get your local IT consultants to help you. Daniel Davis
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FIFO INQUIRY
Mental health a FIFO issue says MP
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Travel to and from airports like Roma is fact of life for many FIFO workers.
Councils out against FIFO
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ARANOA and Western Downs Regional councils have both come out strongly against Fly In Fly Out practices in the Queensland Government FIFO Inquiry. Maranoa Regional Council said although the region had benefitted from the resources sector, business practices and policies such as FIFO had undue impact on residents and had little effect on population growth. “Resource sector companies can better engage with the rural communities by promoting the development of a local workforce,” the council said in their inquiry submission. “The capacity to house workers has now increased in many areas of the Surat Basin allowing regional communities to support larger workforces locally.” Council CEO Julie Reitano said FIFO work schedules impacted those who lived close to gasfields because they were not allowed to return home at the end of their shift. Ms Reitano said another impact was public infrastructure such as Roma Airport which was upgraded to support the rapid growth of FIFO and the logistics of a transient workforce. Western Downs also came out strongly against 100% FIFO/DIDO workforces in their response though it admitted the
practice was common across the region. Their position statement authorised by former CEO Phil Berting said WDRC strongly encouraged a “live local” policy and the social and mental health issues associated with FIFO/DIDO were a “high concern”. “Where FIFO is necessary, non-critical and operational staff should be accommodated in nearby towns and be able to contribute and participate in the community while on shift,” the WDRC position statement said. WDRC also called on companies to disclose their camp and worker numbers so they could plan for key infrastructure, prioritise community needs and manage public health risks. Meanwhile mining accommodation expert Chris Jury, a director of Castra Consulting, warned there was no “one size fits all” housing accommodation policy for mining projects. “For example, Santos CSG hubs are a fair distance from Roma, making daily travel difficult and hence Santos have small camps near those hubs to support operations,” Mr Jury said. However, QGC have hubs close to Chinchilla and thus are accommodating much of their operational workforce in town, Mr Jury said in his submission. “Similarly, Wandoan as a very small town may not be attractive to new
The Numbers Maranoa ■ 13,850 residents (2014) ■ 5210 non-residents (2014)
Western Downs
OME fly-in, fly-out workers with mental health problems refuse to seek help from mining company-employed psychologists for fear of the sack. Gladstone MP Glenn Butcher said this issue repeatedly cropped up when he and his fellow MPs travelled Queensland as part of the inquiry into FIFO and other long-distance commuting work practices. "On our regional tour basically everywhere we went there was at least one worker that was in the crowd that spoke pretty strongly on the fact they believe if they were to see one of these psychologists or a mental health professional they would be targeted and potentially sacked," he said. During the Brisbane public hearing Mr Butcher said the most worried group was made up of contractors. "They were concerned if they went for some help they would be told there would be no work for them from next week," he said. BHP Billiton’s resources head Sonia Lewis told the inquiry the company was trying to break down the stigma around using psychological services and no one from the company knew which workers sought help from psychologists. She said the only information she received was how many employees had visited a psychologist or mental health worker and their key concerns, such as divorce and job security. The FIFO inquiry’s terms of reference include health impacts, rostering impacts, costs and benefits of a FIFO workforce, the effect of FIFO workforces on established communities, FIFO housing and commuting practices. Public hearings began in Brisbane this month and the inquiry report is due to parliament on September 30.
■ 32,071 (2010 figure) ■ 9100 non-residents (2014 figure) ■ 5170 non-residents (2015 estimate) ■ 2450-3250 non-residents (2021 estimate)
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residents to live in for resources projects, however a town like Dalby will be considered differently due to facilities like schools and hospitals.” According to FIFO Inquiry information received by Surat Basin News, Origin Energy APLNG have 700 employees in Western Downs Regional Council area of which 243 live locally. Each FIFO worker costs the company between $80,000 and $90,000. Origin will still need plenty of workers in the region. Figures show the company has drilled 977 wells in the Western Downs region and still has 1500 to drill in the next five years at the rate of one a day.
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PAGE 13
REGULATION
Government action on gas Minister announces new plan to drive growth and jobs in LNG industry in next 12 months
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The eastern Australian gas market is undergoing a period of rapid growth and structural transformation following the commencement of gas exports to the Asia-Pacific market Minister for State Development and Natural Resources and Mines Dr Anthony Lynham
Queensland’s Government will develop a gas action plan.
“The Action Plan will examine the full spectrum of gas demand, business and employment opportunities in Queensland beyond what’s already happening or in the pipeline with liquefied natural gas production at Gladstone,” he said. The terms of reference involve: - characterising the Queensland gas sector - identifying barriers to achieving least cost supply - ensuring that markets have transparent market mechanisms - ensuring Queensland capitalises on all possible demand opportunities both domestically and internationally. An issues paper will be released for consultation later this year with the final plan expected in the first quarter of 2016.
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HE State Government is calling on people power to get behind a grassroots water bore monitoring program in the Surat Basin. New Natural Resources and Mining Minister Dr Anthony Lynham made the call as he opened the Surat Basin Expo in Toowoomba. Dr Lynham said 300 landholders had already joined the network called “CSG Net” which provides a large amount of information about CSG impact on groundwater levels. “Landholders monitor their own water bores on a monthly basis and send the data to a central database where it can be shared across the Basin,” Dr Lynham said. “CSG Net also allows us to independently cross reference and verify monitoring results from CSG companies.” Dr Lynham said 10 landholder groups were already established in Chinchilla, Condamine, Wallumbilla, Injune and Taroom with about 30 members in each group. CSG Net supplements water bore data from Mines Department monitors and is publicly available on the Queensland Government’s “CSG Globe” website. Start up workshops are available for volunteers on how to set up a CSG Net group, how to monitor bores and how to provide information to the database. Call the CSG Hotline on 4529 1500 or email csq.enquiries@dnrm.qld.gov.au.
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HE Queensland Government has announced it will develop a Gas Supply and Demand Action Plan aimed at promoting growth and jobs in the industry in the next 12 months. Minister for State Development and Natural Resources and Mines Dr Anthony Lynham said the plan would reinforce Queensland's leading status for on-shore gas supply, market development and demand issues. “The eastern Australian gas market is undergoing a period of rapid growth and structural transformation following the commencement of gas exports to the Asia-Pacific market,” Dr Lynham said. “Our Gas Action Plan will aim to stimulate increased gas supply, optimise the economic recovery of gas resources, and leverage and build on the Commonwealth Government’s various gas and energy initiatives.” Dr Lynham said Asian demand was strong and Australia could be the world’s leading LNG exporter by 2020 while domestic demand would also grow by 16.5% a year.
Be a bore monitor
REGIONAL NEWS
Miles gets $18m sewer upgrade
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Delivering on jobs is the centrepiece of Queensland Premier Annastacia Palaszczuk and Treasurer Curtis Pitt’s first budget.
Qld budget in the Pitt lane Labor’s jobs focus spends $500m on Darling Downs projects
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OBS now, jobs for the future” is the motto of the Palaszczuk government after it released its first budget this month. Treasurer Curtis Pitt said the new $500 million Statewide Schools and Hospitals Fund would refurbish facilities and employ many tradies, with schools in Dalby and Toowoomba set to be included. “We are also delivering jobs for the future – with a new $180 million Advance Queensland package for innovation partnerships, support for Start-ups and SMEs, and a Business Development Fund,” Mr Pitt said. “We are delivering infrastructure – with a $10 billion capital program across the state to support 27,500 jobs.” The Darling Downs region (which for government purposes includes Toowoomba, Western Down and Maranoa, as well as
Balonne, Goondiwindi and Southern Downs) has over half a billion dollars worth of initiatives, with roads the big winner. The big ticket item is the state’s one-fifth share of the cost of the Toowoomba Second Range Crossing worth $321m. The second biggest expenditure in the region is $107.8m on Warrego Hwy upgrades west of Toowoomba which includes duplication and improved intersections. There is also $13.9m for the Chinchilla-Tara Rd and $11.4m for the Dalby-Kogan Rd to widen roads and replace bridges. Toowoomba hospital has scored $9.6m to establish an MRI service while Roma hospital will share in a $20.6m fund as part of an Enhancing Regional Hospitals Program. The work will address structural defects and a range of clinical functionality and backlog maintenance issues. Planning has also
commenced for the development of new infrastructure at Roma amid strong demands for a new hospital. There is $48.7 for Kogan Creek Power Station to support reliability and efficiency of power supply while Roma firies have got $600,000 over two years to upgrade the auxiliary fire and rescue station. There is $210,000 in drought support for stock owners to upgrade windmills, tanks, troughs and other water infrastructure. Toowoomba’s Cobb & Co museum has earned $150,000 for educational programs, including the “Have a go!” festival.
Page 32
HE town of Miles has endured more than most in the resource boom but is now the beneficiary of a new multi-million dollar wastewater treatment plant.. Western Downs Regional Council Mayor Ray Brown and councillors officially opened the plant in June. Councillor George Moore said the wastewater treatment plant would provide essential infrastructure for Miles and the surrounding district. Mayor Ray Brown said the investment in this vital project was proof Western Downs Regional councillors were looking 50 years ahead. “People don’t like to talk about water and sewerage, but they are crucial,” Mayor Brown said. The new plant cost $17.8 million to deliver with a grant of $1.29 million from the State Government and the same amount from Origin Energy. The finishing touches are also being made on Miles’ new $6.6 million reverse osmosis potable water treatment plant which will be opened in coming months. Cr Moore said these capital works projects showed how authorities and the private sector work together. "The upgrades to the Miles wastewater network to support the delivery of the recycled water scheme to the Miles golf course is a significant collaboration between governments and the energy sector,” he said.
SEE STORY
Roma food and fire fest
At the Miles Wastewater Treatment Plant opening are Origin’s Scott Bird, WDRC Cr George Moore and Mayor Ray Brown.
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Surat Basin NEWS Thursday 30 July 2015
PAGE 15
FIVE TRENDS FOR 2020
UQ Gatton’s massive 40,000 solar panel array points the way of the future. INSET: Improved broadband services will assist the spread of Telehealth in rural and regional areas.
Five trends in five years Surat Basin News looks into the crystal ball at five things that will profoundly affect our lives between now and 2020: The impact of China, solar power, telehealth, robots and 3D printing
1. The Rise of China
“China is a sleeping giant,” Napoleon once supposedly said. “Let her sleep for when she wakes she will shake the world.” Well, if China was comatose in the Napoleonic era, she is now awake and her footsteps are booming across the world. One in every five people on the planet is Chinese and their country has finally overtook the US as the world’s leading powerhouse, its economy producing $17.6 trillion of output in 2014 compared with $17.4 trillion in the US (Australia’s contribution was a none-too-shabby $1.5 trillion – but that’s how much China grows each year). QCLNG’s first port of call in their LNG second train is Ningbo (just south of Shanghai) a city few have heard of but now has 3.5 million people – and yet is only the 33rd largest city in the country. Even before a free trade agreement and a new cattle deal, China was the leading export market for Australian red meat. Beef exports in 2014 registered 124,586 tonnes swt, worth $658 million. The MLA says that having been through multiple hurdles in 2014, China will “continue to be the strategically important market of Australian beef and cattle industry in the
PAGE 16
years to come”. Chinese numbers in any field are staggering. In 2014, 100 million Chinese people went overseas for holidays – this figure is set to double by 2020. With Australia an easy overnight flight from Asia, tourism and hospitality is one of the key sectors in Australia set for a massive explosion. The Surat Basin needs to be imaginative to compete against Uluru, Cairns, Sydneys and Surfers Paradise but it does offer a different slice of Australia. Getting that message across will be hard but with Wellcamp Airport having massive room to grow, coming up with a “south-west Queensland experience” could be the difference between survival and death for some communities.
2. Solar power
SOLAR power might be a dirty word (or two) at the highest levels of government at the moment but its progress is unstoppable and by 2020 it will be well entrenched in all areas of our lives as battery technology improves out of sight. Australia is the sunniest continent and Queensland is the sunniest state so it makes sense that much of the trendsetting will be in
our state. Queensland has the largest solar research plant in Australia and has planning approval for the largest solar farm. The 3.275 megawatt Gatton Solar Research Facility comprises more than 37,000 thin-film photovoltaic panels, mounted on the campus’s 10ha former airstrip. UQ Solar director Professor Paul Meredith said the facility would be a game-changer in renewables research. “This research is about improving the way that we integrate solar into our state’s overall energy mix. It also works towards establishing and proving the business model for solar generation in Australia at the megawatt scale.” “Queensland gets about 2700 hours of sunlight a year. This site turns that into energy, and into knowledge about how to better service local, national and international energy needs through effective solar technologies,” Professor Meredith said. Toowoomba Regional Council has approved a 5000ha Solar Farm near Milmerran and developer Solar Choice plans to start construction next year. When complete, the 8km-wide farm would be capable of producing 2000 megawatts, more power than any coal-fired power station in
Surat Basin NEWS Thursday 30 July 2015
Queensland. The proposal would see the solar farm built in multiple 100MW-plus stages over a period of eight years.
3. Telehealth
IF you haven’t already heard of telehealth, you certainly will by 2020. Telehealth is the remote delivery of health services and information using telecommunication technology which makes it ideal for regional and rural areas. The benefits are many: improved patient access to health care, reduced travel time and inconvenience for patients, families, carers and health professionals and access to peer support and education for practitioners. It is more than about convenience, a 2014 white paper into the future of Telehealth has some stark predictions about the Australian health system. “Treasury modelling predicts that on current trends health care costs will consume more than 100% of the entire revenue collected by the states by 2046,” the white paper said. “A ‘perfect storm’ of an ageing health workforce, the rising incidence of chronic conditions and increased expectations of Continued on P.17
FIVE TRENDS FOR 2020 Continued from P.16
both consumers and healthcare professionals is contributing to unprecedented demand on our health system.” The white paper said innovative care models such as Telehealth were vital to improve efficiencies, reduce hospitalisation and improve how healthcare services are delivered. Queensland’s Department of Health use Telehealth in four ways: 1. Live, audio and/or video inter-active link for clinical consultations and educational purposes 2. Store and forward Telehealth - this model can involve digital images, video, audio and clinical data stored on the client computer; then at a convenient time transmitted securely to a clinic at another location where they are studied by relevant specialists 3. Teleradiology for remote reporting and clinical advice for diagnostic images 4. Telehealth services and equipment to monitor people’s health in their home.
4. Robots
The inset image below was posted on Twitter with the caption “Blade Runner was set in 2019, four years from now. This isn’t an outtake from the movie – it’s Beijing.” Okay, so there are no replicants roaming the street yet and the smog here is not as bad as China (though the fog on top of the range
leaves a bit to be desired), but the era of robots has arrived. Automated solutions are affecting every industry. From large companies to start-ups, the biggest drivers are leaps in precision sensors, embedded control, intelligent software, advanced end-effector technology (the device at the end of the robotic arm) and human-robot interaction. Self-driving cars will be a reality though not yet let loose on the streets. An industry expert told the Surat Basin News the technology for driverless vehicles will be ready by 2020 but not the social licence to use them. Soon however, truckie jobs will go the way of the coachman. Perhaps dealing with rogue roos on the road might be the hardest challenge but the likelihood of a driverless beef bus from Roma to Dinmore can’t be too far away. Fanciful or fact? Other types of robots likely to dominate in 2020: 1. Microbots to explore environments too small or too dangerous for humans or larger robots. 2. Exoskeletons to augment physical strength, helping the disabled and the military. 3. Human-like robots combine artificial intelligence and machine learning technologies to give robots human-like expressions and reactions. 4. Telepresence robots as your proxy at
remote locations. 5. Robotic strength increases as elastic nanotubes give robots muscles more compact and stronger than human muscles; allowing robots to outrun and out-jump humans. 6. Robotic networks emerge and allow robots to access databases, share information and learn from one another’s experience.
5. 3D Printing
Imagine a world where every three-dimensional object that could possibly be needed for a job, could be produced locally. That world is coming and it’s called “additive manufacturing” or more commonly 3D printing. Additive manufacturing is likely to revolutionise remote business between now and 2020. The technology to make three dimensional objects was first developed in the 1980s. According to the Harvard Business Review the technology has moved well beyond prototyping, rapid tooling, trinkets, and toys. “Additive manufacturing is creating durable and safe products for sale to real customers in moderate to large quantities,” the Review said. 3D printable models may be created with a computer aided design package or via a 3D scanner or via a plain digital camera and photogrammetry software. 3D scanners analyse real-world objects and
environments to collect data on shape and appearance. Local use is slowly picking up. Darling Downs Model Railway Club member Bob Claydon is an early adopter. He owns a 3D printer which can be programmed to produce miniature models for his carnival-themed railway in minutes. "A lot of people just don't comprehend how it works. I wouldn't have when I first got into train making," he said. Using molten plastic, the printer can layer in the shape of almost anything from miniature porta-loos to doorstops. "I printed a new knob for my kitchen out of it when it broke," Mr Claydon said. He simply drew it up on the computer and printed it. "Mine is the plug-and-play version," he said. "You can draw for yourself or download off the internet." Health is one of the areas where 3D printing is expected to have a big impact. Toowoomba Hospital’s oral-maxillofacial surgeon Dr Duncan Campbell said they were planning to get a 3D printer at the hospital soon. “I’ve been using 3D printer technology for the last two-and-a-half-years primarily with orbital or eye socket reconstruction,” Dr Campbell said. “We’ll be using that routinely for trauma, particularly orbital and mid-face and any other applications we can find for it.”
The F015 is Mercedes’ vision of a driverless future. INSET (left): 3D printing will revolutionise manufacture (right) Brent Toderian’s scary image of a smoggy Beijing is a reminder the future predicted by Blade Runner is already here.
Surat Basin NEWS Thursday 30 July 2015
PAGE 17
INNOVATION
Frog Services's Andy Clare, Sue Kruitbosch and Joe Shiels at the Surat Basin Expo. Photo Derek Barry / Surat Basin News
The story of how a Sunshine Coast charity spawned a serious Surat Basin gas company
Company’s froggy dream to help kids
A
DREAM to help young people on the coast began an incredible journey for Frog Services into the Surat Basin. Founder and Andy Clare said Frog began as a charity in 2005 with the intention of providing water-skiing to homeless kids on the Sunshine and Gold Coasts. Andy was well qualified to be a waterski coach, having previously run his own ski school and winning medals at Queensland and Masters games in slalom events. But water skiing is an expensive sport, beyond the capability of Andy’s young clients to pay. “Our dream is to have an education system based on a summer camp,” Andy said. “We want to get the kids out doing physical activity while also learning the three Rs.”
Andy has already raised $200,000 towards that objective and wants to get to a million dollars. To fund this Frog Foundation, Andy decided to get into the oil and gas industry in the Surat Basin. Already trained as an electrician, gas fitter and split-system airconditioning installer, Andy founded Frog Services to provide communication towers, electrical services, generators, solar, riggers, aircon, elevated work platform hire, light fabrication and warehousing services to the gas industry. While Frog Services grew from a charitable foundation, their underpinning reputation is nothing less than as a reputable provider of services to the oil and gas industry. “We are different not because we are a charity but we are a fair dinkum go-to
supplier,” Andy said. Frog Services hopes to be ISO 9001 compliant before the year is out and have won rave reviews for some of their innovations. Their self-sufficient communications hub west of Chinchilla boasts its own set of solar panels, complete with solar battery storage, and is the brainchild of Andy’s team and partner Automation and Telecom Engineering manager Ian Hill. Andy said their electrician had extensive experience working with solar. “He worked with the client’s electrical and instrumentation electrician to come up with a suitable product,” he said. After a year in full operation without any need for external power, the design is being hailed as an outstanding success and the
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client is now wanting nine. “Every detail has been addressed for maximum moveability – the panels can be adjusted and folded down virtually flat,” Andy said. Frog Services now hope to refine its model for other industries such as emergency services for crisis management giving IP-based voice, data and video communications capabilities in remote or infrastructure-deprived environment.” Andy said these types of systems could be tailored for any situations. “We think the opportunities are endless,” he said. Business success may also bring smiles to youngsters who just want to learn to waterski.
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PAGE 18
Surat Basin NEWS Thursday 30 July 2015
Well Centre ADVERTORIAL
Oil and Gas training offered locally
Get Rig Ready in the Surat Basin Local companies partner to offer course
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WO local companies are collaborating to create training for the region’s growing oil and gas industry. The Australian Well Control Centre and SWQ Training are offering a “Rig Ready” course in Toowoomba commencing in August 2015. The aim is to allow local people to gain employment within the local oil and gas industry. This collaborated approach to training allows the participant to position themselves well for future employment in a growing industrial sector. The AWC Rig ready program aims to provide locally skilled people ready to work in their local community’s. The combined program includes the highly adventitious IWCF level 2 Introductory to Well Control, a feature that is unique to this type of training and only available with enrolment in the AWCC Rig Ready program. The AWCC Rig Ready program is the first time local companies have collaborated to provide this type of training in the Darling Downs region. The Australian Well Control Centre has been operational supporting the local community for approximately three years now and has a highly skilled training group that aims to provide a premium well control service to the local industry. AWCC currently provide Well Control and
Well Servicing programs for all the major Drilling Contractors both in Toowoomba and surrounding areas. Their accredited facility at 40b Neil St Toowoomba delivers International recognised Well Control certifications weekly. SWQ Training are a Registered Training Organisation (RTO no 32199) who specialise in delivering Certificate III courses in civil construction plant operations, civil construction (road construction and maintenance) and dogging, rigging as well as single units of competency in dogging, rigging, elevated work platforms, cranes, working in confined spaces, working safely at heights and mobile plant. The AWCC Rig Ready program is Toowoomba based and is due to commence on Saturday August 22.
ENROL To enrol in a program or to find more information contact: Karen Challinder at Australian Well Control Centre on 07 4638 0532 or email admin@wellcontrolcentre.com.au Or SWQ Training on 07 4617 7800 or email info@swqtraining.com.au
Tanya Codd of SWQ Training and Karin Challinder of Australian Well Control Centre are looking forward to collaborating on the "Rig Ready" course in Toowoomba in August.
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Surat Basin NEWS Thursday 30 July 2015
PAGE 19
EASTERNWELL NEWS
Easternwell extends its Surat deal with QGC
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asternwell has signed a $16 million one-year contract extension for two rigs with gas company QGC. The rigs will continue to provide workover and completion services in the Surat Basin. Easternwell, which is a subsidiary of Transfield Services, has nine well servicing rigs working to secure upstream supply for QCLNG. Easternwell’s Executive General Manager Tim Phelan said they had a strong working relationship with QGC for the past four years successfully working together to improve the safety and efficiency of operations in the Surat Basin. “We welcome the opportunity to extend our agreement with QGC and look forward to providing industry leading services,” Mr Phelan said. Easternwell specialises in providing drilling, well servicing and remote mobile camp management services. The company employs more than 1100 people and manages more than 60 rigs and 35 remote mobile camps for QGC, Santos, Chevron, Arrow Energy, BHP Billiton Iron Ore, Roy Hill Iron Ore and FMG.
Easternwell rig assist snubbing unit are now available for client use.
Don’t snub snubbing tech Easternwell commissions new rig assist gear for CSG wells
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asternwell, is operating the latest in compact rig assist snubbing technology in the Surat Basin, after commissioning a new rig assist snubbing unit at its Toowoomba workshop this month. The new rig assist snubbing unit has been tailored specifically for CSG wells. As the CSG fields in Queensland mature, the wells become more active and harder to suspend using conventional intervention fluids. This rig assist snubbing unit provides the capability to work on live wells under pressure improving cost efficiencies for clients through reduced downtime. This rig assist snubbing unit is single trailer mounted making it highly mobile and features the best available electronic
.
Our operations team has extensive experience in operating snubbing units in Australia and overseas. Easternwell’s Executive General Manager Tim Phelan interlock safety system which significantly reduces the risk of human error. It is available from July for clients to contract on an as needed or fixed term basis. Easternwell’s Executive General Manager Tim Phelan said the rig assist snubbing unit is the latest snubbing technology
available in Australia and the mobility and flexibility of the unit means it can provide varied operational assistance for clients. “We opted for a rig assist snubbing unit over a stand-alone snubbing unit due to its flexibility. It attaches to the rig making it more efficient and productive,” Mr Phelan said. “Our operations team has extensive experience in operating snubbing units in Australia and overseas. “They have been training other team members over the last several months on the unit itself as well as using real life scenarios on the purpose built state-of-the-art simulator. “This rig assist snubbing unit is another example of how we are improving services for our clients.”
Easternwell has extended its contract with QGC.
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Surat Basin NEWS Thursday 30 July 2015
MAS Accommodation ADVERTORIAL
MAS is the word for accommodation W
Company has created GPS for workforce
E don’t sleep till you get a bed” is the motto of MAS Accommodation, a company with a strong presence across the Surat Basin region. MAS stands for Modular Accommodation Solutions. The company was founded in 2012 by James and Trish Donnelly to sort out accommodation needs for workers but also provide many other services for companies. The company identified that there was a need for housing and accommodation in the Surat Basin to accommodate the influx of temporary workforces into the region. Since that time, due to growing demand for a trusted Australian owned and operated accommodation provider, MAS has evolved to include accommodation options. James Donnelly said every night over a thousand people slept in beds provided by MAS Accommodation. “They are everywhere from Darwin to Chinchilla,” he said. The company is also providing services to the Pacific Highway roadworks project between Ballina and Woolgoolga. Its next big project is the Toowoomba Second Range Bypass and they will be providing accommodation facilities and laydown areas to bid winner Nexus which will have its own portal into MAS Acccommodation project
services system. Essentially MAS will source, supply and manage all ‘non-core’ services to allow principals to focus on their core business and project delivery timeframes. In 2013 MAS created MASBook a world class online bookings management system with access to thousands of beds in hundreds of locations throughout Australia ranging from hotels to work camps and luxury villas. “We’re like a Wotif or Expedia for the gas and resource sector, it can control the lot including flights and buses,” Mr Donnelly said. “Workers sign on to the front end to book accommodation closest to their work while motel owners and companies sign on to the back end to meet the demand.” More than a portal of real-time travel management planning, the MASBook system gives the users instant bookings, extensions or cancellations with direct reporting of no-shows or other stay variations. It’s like a GPS for your workforce, with instant views of who is where, for how long, and what vacancies are available. Mr Donnelly said MAS Accommodation was also a major sponsor of the Toowoomba and Surat Basin Enterprise. “We are a proud supporter of local business,” Mr Donnelly.
Diamantina Village in Roma is one of MAS Accommodation options in the region.
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PAGE 21
Global Road Tech - ADVERTORIAL
INDUSTRY COMMENT By Troy Adams, Director
Global Road Technology Australia T
he mining and coal seam gas industries are driving construction booms within resource rich regions of Australia, including the Surat Basin, where local shires are working on improving infrastructure to manage the sudden employment growth of 12,500 workers. The construction opportunity will only increase as mining and CSG companies invest more than $70 billion into projects, where it is expected to involve drilling in excess of 25,000 CSG wells over the next two to three decades. Global Road Technology (GRT) has a strong affiliation with these regional communities managing the impacts of significant workforce swells, where road networks and infrastructure struggle to cope with traffic increases of around 18,000 vehicles a day. Demand for GRT’s products in South East Queensland has risen to over 100 tonnes per
week to manage thousands of kilometers of road infrastructure. GRT’s polymer dust suppression and road stabilisation technology is able to create instant road infrastructure – saving time, money and resources – compared to the construction of conventional roads. Our products are manufactured to be soil specific, there is no silver bullet in our industry which a lot of companies will lead you to believe. Each soil type has different characteristics and behaves differently, which require unique formulations to be tailored to suit site conditions, take for example black soil which is extremely problematic, this is why our company has had so much success in the south east Queensland area. Using in-situ materials, GRT’s products manage environmental impact on roads reducing dust and erosion levels by up to 98
Global Road Technology has a strong affiliation with regional communities. per cent alleviating the impact on landowners and the local community whilst reducing the need for burrow pits and imported material. This has significant safety benefits to companies when you account for the haulage and maintenance vehicles removed from operation. GRT is able to provide clients with increased personnel safety and vehicle maneuverability in all weather conditions reducing
construction timelines and adding the versatility of adapting to site conditions. Through the use of GRT products, water requirements for dust control are minimised, the need for imported materials is lessened making roads more cost effective. A recent study conducted by Deloitte’s accountancy firm and SMEC engineering firm showed a proven 37% cost saving through the use of GRT products.
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Surat Basin NEWS Thursday 30 July 2015
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PAGE 23
WORKING IN THE COMMUNITY
Charity helps workers away from families connect with communities
FIFO fundraising fosters belonging Laing O’Rourke sausage sizzles raise more than $70,000 to assist local schools and causes
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ly in fly out construction workers in the Surat Basin have raised more than $70,000 to support communities where they work. The Dogwood Downs Workers’ Charity Fund was formed in 2013 by FIFO workers constructing gas processing facilities for the Australia Pacific LNG Project led by employees at construction firm Laing O’Rourke. The fundraising initiative began with weekly “sausage sizzles” at Dogwood Downs camp at Condabri near Miles. It progressed to raffles and donations through voluntary payroll deductions as the workers sought to give something back to the communities that had welcomed them during their project work. Fund spokesman Wayne Misdale said being away from home was challenging for FIFO workers and it was important to foster a sense of belonging where they worked. “That idea developed into raising money for work colleagues facing hardships such as family illnesses, and to make donations to local causes such as the Murrilla Community Centre, Wallumbilla, Miles and Yuleba State Schools and the Miles Hospital,” Mr Misdale said.
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We even raised $5000 for local farmers who were struggling to pay their accounts at a local supermarket. Fund spokesman Wayne Misdale “We even raised $5000 for local farmers who were struggling to pay their accounts at a local supermarket.” Some of the major beneficiaries were the Condamine Fire Authority ($14,000), Miles Hospital ($10,000), Aussie Helpers ($10,000) and Wallumbilla and Yuleba State Schools ($10,000). Wayne said running the fund and coming up with ideas to raise money helped take minds off being away from home. “We’re very proud to have been supported throughout this initiative by our managers and we’re very thankful to the Surat communities who’ve welcomed us as we’ve worked out here,” he said.
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Laing O'Rourke FIFO workers hand over a cheque to Wallumbilla State School principal Melissa Graham.
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Surat Basin NEWS Thursday 30 July 2015
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OPINIONS
We asked local leaders for their Surat Basin 2020 Vision. This is their response.
An age of growth .
COMMENT Cr ROBERT LOUGHMAN Mayor, Maranoa Regional Council
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ongratulations on the topic and in my view we will be living in an increasingly prosperous part of the world in 2020, despite the slowing of what will be remembered as the boom era of the gas industry. And while the construction phase was an eye opener for those who haven’t experienced anything similar, it’s also provided us with some great lessons and resources that will put us in a very good place. I am sure our community will be winning the battle for permanent workers in the resource sector to be placed and sourced locally by that time - 2020 will be exciting with new residents from all different lifestyles and backgrounds. Our returning school leavers, including my own sons, will be contemplating their next move, but unlike when I was ushered gleefully out the school gates for the last time, there will be wide array of job opportunities, even more than exist today. So 2020 will be an age of genuine growth and opportunity for those who choose to live and invest in our part of the world and those who enjoy the laid back lifestyle and diversity as I do. Of course the fast paced action and thousands of high visibility vests and hire cars will be a thing of the past as will the dangerously slow road traffic which was held at artificial speed limits by the companies, ironically, in the interests of safety. The endless waste and shameful treatment of contracting firms throughout the construction era will also be a thing of the past, albeit a behaviour certain to be repeated in the next great construction frontier. By 2020 we can only hope that all our political leaders will be on the same page as our councils and citizens with a
common vision for our community. Certainly I hope all will be bound more by loyalty to the community than the occasionally misplaced loyalty to industrial and political interests we have seen in the past. Certainly some welcome changes are coming our way in the near future. Reaching a peaceful settlement with the ‘Wekando’ liquid waste project appeal last month was a relief. I congratulate all parties to that amicable settlement and particularly the ‘Westrex’ waste facility and the ‘JJ Richards’ group for settling this matter in a mature way that has saved on the legal fees for all concerned. There is little in the way of crystal balls in any of the recent budgets to give an indication of the life we will be living in 2020 or to indicate what the government priorities are likely to be. Certainly the restoration of landholder rights in appealing major projects cannot be a bad thing while the past trend of investing heavily in flood mitigation appears to be on the decline despite an overall $40m commitment in the Queensland Government budget for 2015/16. On the other side of the coin, the likely rebuild of the Roma Hospital will be almost complete in 2020. I know everyone who ever used or worked in the current facility will give a collective sigh of relief if this rebuild goes ahead and Minister Dick will be remembered for a visionary response to one of the south west’s biggest infrastructure problems. I need to congratulate the Queensland Government on the budget which I think surprised many people and appeared to be very fair. The political landscape is highly volatile at the moment, and the real question I would pose to your readers for 2020 is how many elections and governments will we have by December, 2020? I don’t have an answer and until I do I am very happy working with all of the major parties at both levels of government. One thing for sure – 2020 will be a good year.
At a recent meeting Western Downs Regional Council Mayor Ray Brown and Origin Energy Regional Community Relations Manager Scott Bird discuss current and future Australia Pacific LNG projects and operations within the Surat Basin region.
FIFO workforce not building our regions .
COMMENT Cr RAY BROWN Mayor, Western Downs Regional Council
T
he high visibility and presence of the resource and energy sector in the Western Downs and Surat Basin regions means FIFO workforces have become as commonplace as the industry that brings them into our towns. The resource boom has transformed our local communities and economy, bringing both the opportunities and the challenges associated with accommodating the influx of a transient workforce. Despite the many positive outcomes of the resource boom in our region, the non-residential workforce is having visibly negative impacts on the future and long-term sustainability of our communities. Due to the short-term nature of the construction phase of major coal seam gas developments in our Western Downs, FIFO
workers were used extensively. However, as the industry moves into the ongoing operation and maintenance phases, the fly-in, fly-out culture needs to change. In a recent submission made to a Queensland Parliamentary Committee inquiring into FIFO work practices in regional Queensland, Council have stood firm on asserting the need for our communities to have workers living locally. Council strongly encourages resource and energy companies within our region to develop and implement a robust “live local” policy, which supports workers and their families to live and contribute economically and socially to our communities. Encouraging workers to stay and live in local areas will provide ongoing benefits to both workers and locals, minimise the effect of FIFO on our towns, and enhance the liveability of our established communities. Our aim is to build our region so that the futures of our communities are sustainable, as you cannot build sustainable towns with a fly-in, fly-out workforce as there is minimal to no, long-term benefit for our region.
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Surat Basin NEWS Thursday 30 July 2015
PAGE 25
OPINIONS
Warrego MP unhappy with lack of ag focus
Bruce Scott proud of achievements
Qld budget is of great concern .
COMMENT ANNE LEAHY MP Member for Warrego
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elcome to the latest Surat Basin News which has closely followed the Queensland Parliament budget sitting. So what does this all mean for our Surat Basin region? Along with the community I have been fighting hard to retain infrastructure projects. I have been successful in securing Warrego Highway improvements including duplication and improved intersections. Works will also occur on the Brigalow to Chinchilla widening and Jingi Jingi Creek Bridge construction. Kogan Creek Power Station is a beneficiary of the Budget funding receiving $48.7 million for upgrades and $6.4 million for Kogan Creek mine. I look forward to working with the community to identify how these works can create more jobs and grow the economy in the Chinchilla District. Health is a priority for the region and it is very disappointing that funding for the
construction of two new hospitals in Roma and Charleville has not been forthcoming. Roma Hospital will receive some funding for maintenance and planning however we need to move to capital contributions for the redevelopment of both the Roma and Charleville hospitals. Agriculture, Fisheries and Forestry has not been mentioned once in the Queensland Treasurers Budget Speech. Nor was there one mention of assisting Agricultural Industries become more profitable. This State Budget is one that should be viewed with great concern. It is not good for growth, employment or confidence in our region and I believe it will increase taxes and charges on Queenslanders.
Bruce Scott, Ann Leahy, Jarrod Bleijie and Bill Blake at the Chinchilla rail crossroads during the recent election campaign.
Government vision Better infrastructure coming for the bush with Second Range Crossing leading the way .
COMMENT
I
BRUCE SCOTT MP Federal Member for Maranoa
nvestment in infrastructure has the capacity to stimulate and enhance the economy’s productivity. It’s an investment with a multiplier effect throughout the economy, generating lasting economic and social benefits. This Liberal National Coalition Government has a vision for our great nation and I’m committed to the Maranoa electorate getting our fair share. I have long-fought for better infrastructure in the bush and my advocacy is represented in this government’s key commitments. We are building modern transport links to boost productivity – including agriculture and the resource sector – in the Surat Basin. This Federal Government recently sealed the deal on the largest Queensland road project since Federation – the
Toowoomba Second Range Crossing. I’m proud to be in the team which secured up to $1.285b Federal Government contribution towards this game-changing project. Nexus is the preferred tender to deliver the TSRC, marking a key step in the project’s procurement, where 30-40 minutes is set to be shaved off the travel times for heavy vehicles traversing the range. The TSRC will connect the Surat Basin – where an estimated $30b mining and development projects are now planned or underway – to international gateways and the labour and services supply market in South-East Queensland. I also secured the $508m infrastructure investment to upgrade the Warrego Hwy with 14 additional overtaking lanes between Oakey and Miles. When you tie these projects with this government’s success in securing trade deals with our major trading partners in Asia – China, Japan and Korea; and our recently release Agricultural Competitiveness White Paper, the future is bright for the Surat Basin.
Surat Basin 2020 Vision - Ag and gas underpin bright future for Surat Basin COMMENT JOHN COTTER Chairman of the GasFields Commission Queensland
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s a long-time advocate for growing and strengthening our rural and regional communities across Queensland I remain optimistic about the future for a region like the Surat Basin. By 2020, I believe the Surat Basin will be a
vibrant and diversified regional economy driven by the agriculture and gas industries leveraging improved transport and water infrastructure and growing Asian demand for our food and energy. The next five years to 2020 heralds the start of a more stable and long term onshore gas production phase spending in excess of $1b a year in new development plus operations and maintenance of existing gas facilities. By 2020 the industry will be drilling around 1000 wells each year in the Surat Basin, with a steady state of around 7000 people
employed directly, a proportion of which will also live in the Surat Basin. Capable local businesses leveraging the experience and expertise of the construction phase can deliver long term supply and service contracts for the industry providing interesting and sustainable local jobs. I also see great potential for innovative local businesses to tap into opportunities in other regions. By 2020 the onshore gas industry will be just another part of the local industry mix with workers and their families contributing to the social fabric of this region
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including schools, housing, community and sporting groups. However this 2020 vision won’t be easily achieved. There will be challenges like drought and global commodity prices. It will take hard work and commitment from landholders, industry, business, government and the Surat Basin community. The GasFields Commission will play its part to improve engagement, communication and understanding between our agriculture and gas industries so that this bright future for the Surat Basin can be realised.
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Surat Basin NEWS Thursday 30 July 2015
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OPINIONS
Toowoomba needs regions COMMENT SHANE CHARLES CEO Toowoomba and Surat Basin Enterprise
I
n August 2013, TSBE led a group of people on a USA and Canada tour to look at how the CSG industry had affected their communities. That small group included representatives from Maranoa Regional Council, AgForce, QMDC, USQ, and other business and industry. We, and I think I can speak on behalf of the wider group, had two key take-aways. The first was that co-existence is possible. The communities we visited were originally very apprehensive of development but over time
understood that the economic benefits were very much welcome and appreciated. Sure there were issues along the way, but the overwhelming sense was that by far the majority of community were accepting, or at the very least tolerating of the gas industry. The second take-away for me was the attitude of those communities. Those communities who were able to grasp the benefits that the industry brings and diversify their economies, seemed far happier and more prosperous than those who simply accepted or tolerated it. So therein lies my vision. The gas industry has brought us a range bypass, a jet-capable airport in Toowoomba capable of connecting with Asia, and hopefully soon we will have Inland Rail. However, Toowoomba cannot reach its potential unless the regions around
Surat adjusts to new normal
T
he Surat Basin is in a privileged position to lay the foundations for a dynamic future. In the wake of the biggest capital investment in the nation’s history – almost $70 billion in less than seven years – the onshore gas industry in Queensland is moving to long-term production. For the Surat region, this means an ongoing investment of around $2.5 billion a year from 2016-17 onwards. This is the ‘new norm’ for decades to come, reflected in the industry’s take-up of the Surat Basin Industrial Park at Chinchilla and opening of the Brisbane West (Wellcamp) airport. Coupled with the region’s world class rural industries and other untapped minerals and energy resources, the Surat Basin also has a rich legacy of skills development from the expansion of resource industries over the past decade. Proof of that can be found in March quarter 2015 job data, which has the Surat’s unemployment rate at 2.9 percent compared with the statewide average of 6.5 percent. The other important statistic is that resources development continues to
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COMMENT MICHAEL ROCHE CEO Queensland Resources Council
occupy just 0.35 percent of the land mass in the Darling Downs statistical division. With Toowoomba’s aspirations as an east coast transport hub progressing via road, rail and air, there is great potential for the development of new products such as liquid fuels and fertiliser from the Surat’s rich endowment of energy resources. But perhaps the biggest question for the Surat’s future – and the state as a while – is from where the next generation of economic infrastructure will come. With both major parties opposed to further privatisation, it is unclear if remaining government infrastructure businesses are going to be allowed to play an active development role. The public should be asking its leaders where the public assets of the future are to come from, if not the product of visionary investments by governments of the day.
are also successful. My vision is that we will be having farmers and graziers as part of the supply chains that are selling our produce to Asia. This is not easy and involves taking risks. However, in five years’ time I foresee that some in our community will have grasped this phenomenal opportunity with open arms. This in turn will create jobs, strengthen our economy and provide diverse career opportunities for our children. On a resources front, I expect there will be some glimmer of hope for the coal mines in the region, and as such Nathan Dam and improved rail infrastructure will also be on the agenda. Finally, my most fervent hope and desire is that perennial bridesmaid Mayor Loughnan from Maranoa will have taken first prize
(rather than the second he got this year) in the pumpkin growing competition at the Roma Show.
Exciting future ahead T
Surat Basin has ‘staggering’ number of projects
his is my first contribution to the Surat Basin News as the newly elected Member for Condamine. I would like to take this opportunity to thank the editor Derek Barry for inviting me to write this opinion piece on the topic ‘Surat Basin 2020 Vision’. As a new member of the Queensland Parliament I am extremely excited about the future of our region. The number of sizeable projects currently taking place or about to commence construction in my electorate is staggering. The electorate of Condamine is on the eastern edge of the Surat Basin which includes the Wellcamp Airport and the new development at Charlton, established coal seam gas wells to the west, and the rich farming plains of the Darling Downs which produce our food and fibre. There are large manufacturing and agricultural businesses within the electorate that have successfully weathered the effects of the drought, decreases in commodity prices and the high cost of production. The Surat Basin region is extremely rich in its diversity of industry’s and human
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COMMENT PAT WEIR MP Member for Condamine
resources. During the peak construction phase of the coal seam gas industry many small communities within the Surat Basin grew rapidly which enabled other industry’s to establish and develop generating more employment. This expansion also created a change to the demographics of the Surat Basin. A large number of people from different backgrounds and with varying skill sets moved in to the area. Currently the region is experiencing a down turn in the resource sector which I am certain will improve over time as other projects are progressed and new industry’s evolve. I am looking forward to the year 2020 with anticipation and great confidence at what the Surat Basin has to offer small businesses, rural and regional communities and people who live and work within its boundary.
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PAGE 27
PLACES & FACES
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SURAT BASIN MINING AND ENERGY EXPO 1. Josh Porter and Henry Pink of Washpool at the Surat Basin Expo. 2. Bruce Miller of Chinchilla chats with Cr Rose Swadling of Rockhampton Regional Council at the Surat Basin Expo. 3. At the Surat Basin Expo are Coolcab's Neil Smith and Gregg Chapman. 4. At the Masterhire stand at the Surat Basin Expo are Dwayne Unahi, Dalby Chamber of Commerceâ&#x20AC;&#x2122;s Trudi Bartlett and Gene Prince.
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5. Mark Powell, Malcolm Toop, Courtney Stephens and Brooke Jones. 6. Linda, Gary and Daniel Zornig don't let the rain put them off from enjoying the Expo. 7. Glen Cook of Ergon with Paul Newman of Dial Before You Dig. 8. Wade Mills and Joe Creedy of CR Kennedy demonstrate a 3D excavator. 9. Joe Vecchio of Northern Iron and Brass Foundary at the Surat Basin Expo. Photos Derek Barry / Surat Basin News
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Surat Basin NEWS Thursday 30 July 2015
SURAT BASIN MINING AND ENERGY EXPO
10. Sue Kruitbosch, Jedeliza Robinson and Selena Robinson had a fun time at the Surat Basin Expo. 11. Lloyd Poole and Colin Finlayson at the Surat Basin Expo.
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12. Lowes's Marie Smith (Dalby) and Craig Kennedy (Toowoomba) at the Surat Basin Expo. 13. Leon Schutt and Gary Dryden came up from the Gold Coast for the Surat Basin Expo. 14. Rod Imhoff of Bushman Tanks talks to Gordon Lucht of Oakey at the Surat Basin Expo. 15. James Bell and Michael Sharpe at the Surat Basin Expo. 16. Former Surat and now Toowoomba residents Robert Butler and Brian Clanchy enjoyed a visit to the Surat Basin Expo. 17. Teresa Mannion and Rob Hanson of Photograve Pty Ltd at the Surat Basin Expo. 18. James Ewin and Tanya Cole of Arthur J Gallagher insurance brokers at the Surat Basin Expo. Photos Derek Barry / Surat Basin News
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Surat Basin NEWS Thursday 30 July 2015
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UPCOMING EVENTS
Dalby is set to delight
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alby’s Delicious and Delightful Festival is Dalby’s signature festival taking place each August. It is a one and a half day event featuring multicultural food and all-day live entertainment ending with a spectacular and eleaborate lantern parade along the banks of Myall Creek. Embracing and celebrating multiculturalism and inclusivity, it attracts locals and visitors alike with fun activity for everyone, offering a varied range of workshops for children. This year’s event features the Ethno Roadshow, a cross-cultural musical extravaganza bringing together many of Queensland’s leading traditional multicultural and contemporary artists. On stage at Anderson Park throughout the weekend will be Nicolas Ng, Omeed Tasmim, Black Smoke, Celestino Conde and Barbod Valadi. You can catch these great performers on both days from 10am to 8pm. Enjoy a relaxing gourmet brunch on Sunday enjoying the sounds of Dalby’s best buskers. There will be a photographic exhibition on display this year with an array of craft and produce stalls selling on the best local produce and hand made goodies. Children will be entertained with the continental
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ARRY on – Follow that camel! The Tara Festival of Culture and Camel Races gets under way this weekend, and could attract as many as 10,000 people from Friday, July 31 to Sunday, August 2. While the camel races are the drawcard attraction, festival president Richard Thornbury said there was plenty to keep the whole family smiling. Other program highlights include live performances and
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challenge, a fun game where your imagination rule and takes you all over the world. Tourism Minister Kate Jones said events like this are not only a great source of community pride but also supported local jobs and bring social and economic benefits to the community. “Dalby’s Delicious & Delightful Festival celebrates the best of Queensland and promises an iconic experience for visitors,” Ms Jones said. “I would like to congratulate the event organisers, volunteers, and local community for their efforts in delivering another great event for Queensland.” The Delicious and Delightful Festival is set to wow Dalby on the weekend of August 22-23.
Hump it or like it at Tara Camel Races
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Lanterns make their way through Anderson Park at the Delicious and Delightful festival.
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fire twirling from Polynesian dance troupe Heliani, Global Kitchen workshops with Roushini, Japanese drummers Afrodesia, the Latin Mafia Band, Chinese instrumentals, Australia’s Got Talent stars Swagamama, indigenous dance and didgeridoo performances and the Drumdance Belly Dancers just to name a few. Combine this entertainment with a genuine camel race meet, coffee and country cuisine and this is guaranteed to be a country celebration like no other. “We attract more than 10,000 visitors from all across Australia,” Mr Thornbury said. “It’s a classic country event with a multicultural twist.” New to this year’s program will be helicopter tours and farm tours, and tours of the Tara district leading up to the event. There will also be free camping at the Tara Showgrounds, and Mr Thornbury said about 300 caravans and 150 camping sites had already been booked. Mr Thornbury, about to embark on his third festival as president, said the event “put Tara on the map”. “It gets a lot of people here who are able to see the town for what it is,” he said. ■Free camping is available from Saturday, July 25 to Monday, August 3.
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PAGE 30
Surat Basin NEWS Thursday 30 July 2015
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Surat Basin NEWS Thursday 30 July 2015
PAGE 31
MARANOA FOOD AND FIRE
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SURAT BASIN NEWS Published by Chinchilla Newspapers Pty Ltd, 12 Mayne Street Chinchilla Q4413 Printed by APN Print Toowoomba 50 Industrial Avenue Toowoomba Q4350 2013 General Manager – Erika Brayshaw 12 Mayne Street Chinchilla Q4413, PO Box 138 Chinchilla Q4413, Phone 07 4672 9921
African drum and dance troupe Baalo Baajo were one of the highlights of the Maranoa Food and Fire Fest 2013.
Chilli start to hot festival in Bassett Park in September
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Food and fire set to light up Roma
aranoa Food & Fire Festival preparations are off to a flying start with Chilli the friendly dragon landing at the Roma Airport. Chilli visits the region every two years for Council’s free multicultural festival. This year’s event, scheduled for Saturday, September 12 at Roma’s Bassett Park, will feature food stalls, fiery entertainment, street markets and a spectacular fire display. Deputy Mayor Scott Wason said it was fantastic to welcome Chilli back to the Maranoa. “As the festival’s ambassador, Chilli’s arrival means
preparations are well underway for this year’s Maranoa Food & Fire Festival,” Cr Wason said. “Council is once again very proud to bring this event to the community, which is set to be our best festival yet, with a new look and focus on our many local multicultural community groups and performers.” As always, it will be a great mix of food, music, high quality arts, craft, unique local wares, pamper products and much more. Make sure you stay for the fantastic fire displays and fireworks after 6pm that are sure be an amazing sight.
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There are many exciting artists lined up to perform from the region and around the country. Highlights include: The Samba Blisstas - This wild and whacky crew of drummers will be thundering down the festival lanes with their carnival style percussion. The Twine - This family band is what Australia is all about, winning ‘Crowd Favourite’ on Australia’s Got Talent, the trio will get hair raising, feet stomping and energy pumping. Local Performers - A fantastic mix of school groups, local bands and dance groups with genres like hip hop and jazz are sure to keep your toes tapping all night long.
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