SBN Sept 08 by Chinchilla Newspapers Pty Ltd

Surat BasinNEWS Thursday 25 September 2008

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BIGGER BOLDER ENERGY Origin’s record deal centred on the resources of the Surat Basin he Surat Basin was confirmed as a gas power of global proportions this month with the $9.6 billion merger between Origin Energy and US oil and gas giant ConocoPhillips. The biggest purchase of a Queensland commercial asset in history sees ConocoPhillips take a half share in Origin Energy’s substantial LNG project to be based at Gladstone. That could be operating by as early as 2014, rivalling the massive North West Shelf project in Western Queensland. At the heart of the deal is Origin Energy’s expansive Surat Basin coal seam gas reserves, a fact not missed by investors. Chinchilla Economic and Tourism Development Association president Greg West compared the acceleration he believed would follow the record purchase to that of a “tsunami”. “We’ve seen the wave created by Kogan Creek and the impact a big construction project has on a town in terms of rentals, housing and land,” he said. “Now we need to realise that there are several billion dollar projects on the table heading towards financial close in mid-2009 and construction from 2010. “What we’ve witnessed before is going to pale in significance to the impacts of Kogan Creek construction.” Surat Basin Developments director Warren Daniells spent the two weeks following Origin

BY John Farmer editorial @suratbasin.com.au

Energy’s announcement dealing with a flood of inquiries from investors and homebuyers. All Glasson Villa townhouses went under contract in a matter of days and the company is moving to make more housing available. Mr Daniells agreed the surge was about to arrive with the ferocity of a tsunami. “We’ve had our first ride back with Kogan Creek but this one’s like a tsunami that’s not going to stop,” he said. “This time there’s not just one driver in the market, there’s umpteenth of them.” Chinchilla First National’s Bruce Booth said the recent announcement had created a new surge in investment inquiries. While better positioned to react than Chinchilla was when Kogan Creek commenced, Mr Booth believes more can be done. “When Kogan Creek really took off it took the town by surprise,” he said. “I think while we’re better prepared, I just don’t know how well prepared we are. “We could end in another predicament if we don’t keep on the front foot.”

Work is ploughing ahead at Carbon Energy’s Bloodwood Creek site ahead of a demonstration start-up next month. (Photo by Dave Wicks — dmwcreative).

Want blood from a stone? Ask Carbon A small patch of coal just south of Kogan is set to be transformed into fuel for major industry. Carbon Energy will use its underground coal gasification process teamed with commercial agreements with some manufacturing giants to develop world-scale fertilis-

— www.suratbasin.com.au —

er, methanol or liquid fuel plants. And it’s not the only feather to Carbon’s bow. The company owns several Surat Basin coal tenements and plans to spread its wings as time progresses. Turn to page 20 for the full story.

LOCAL NEWS

INSIDE THIS EDITION:

Surat Basin NEWS The Team

Surat Basin News

Women’s issues to the fore Two days to change how government policy is formulated.

LOCAL NEWS

Energy to grow at conference

Laurell Ison Advertising

David Richardson General Manager

In August, Chinchilla hosted the Surat Basin Energy Conference. Turn to page 10 for full coverage of the three day event. PAGES 8

Communities to play part in approvals The Queensland Government’s Sustainable Resource Communities Agreement will force new coal mines to

John Farmer Journalist

Beth Walker Graphic Design

The Newspaper The Surat Basin News will initially publish quarterly and will be delivered via the three dominant newspapers of the region: the Chinchilla News, Western Star and Dalby Herald. It will reach the homes and offices of almost 12,000 living, working and playing in the Surat Basin, connecting the business and mining communities throughout the booming region. Plans are the make the newspaper more frequent once support has been established.

ommunities across the Surat and Bowen basins are expected to benefit from the Gladstone LNG project headed by Santos. The $7.7 billion project will bring with it jobs, an injection into the local economy, and further support to community organisations around the basins. For years Santos has been supporting communities surrounding its operations in the area, such as Roma and Injune. Angela Latham, Roma Polocrosse Club secretary, said the club was “very grateful” for Santos' support of a fundraising event that raised $3700 earlier this year. “(Santos') contribution helped the club run such a successful event,” she said. Important initiatives such as Tie Up the Black Dog, which raises awareness of and deals with depression and other mental health issues in rural communities, have also been supported by the oil and gas company. Earlier this month, Santos successfully staged the inaugural Food and Fire Fest in Roma, a huge event of fire and flair commemorating Roma's famous Big Fire of 1908. Other beneficiaries over the years include the Roma and Injune hospitals and schools, Roma Historical Society, Wandoan and Wallumbilla Shows, Bidjara Dance Troupe, Injune Kindergarten and the Taroom fishing club. Santos also supports the Big Rig, a museum showcasing the pioneering days of the oil and gas

MetroCoal commences Surat Basin program Size matters in gas world Queensland Gas Company’s takeover of Sunshine Gas continues the jockeying for position that has dominated the sector for much of 2008. PAGE 7

Roma residents enjoying the recent Food and Fire Fest, sponsored by Santos. communities it works in. “Our investment in these communities extends beyond the economic requirements of the business,” he said. “Santos embraces a citizenship role in all the communities to which it belongs.” Santos is one of Queensland's pioneering oil and gas companies; it has explored for and produced oil and gas for 50 years. In that time it has invested

seam gas piped from the Fairview, Scotia and Roma fields to Gladstone, converted into liquefied natural gas (LNG) and exported. It will be the first large-scale LNG facility on the east coast. This project will create about 3000 jobs during construction, about 200 permanent jobs after that in Gladstone, Fairview and Roma, and generate billions in royalties and taxes over its

20-year life. Already, more than 120 new jobs in Queensland are dedicated to the project. The development of LNG will underpin the timely long-term development of these resources, in so doing not just building a major export industry but also ensuring long-term, competitively-priced supplies of natural gas to meet Queensland's future energy needs.

Hard hats swapped for lab coats Construction is nearing an end at Linc Energy’s demonstration and research site near Chinchilla. The first liquids are now only

Call put out for innovation MetroCoal has commenced exploration across the Surat Basin. The primary target is the highly prospective Macalister seam in the Juandah Coal

Measures of the Walloon sub-group These coal measures are known to host the one billion tonne-plus Wandoan deposit located adjacent MetroCoal EPC 1164. Other priority areas being

Explorers keen to uncove Queensland’s richest resources ar being urged to apply for a share in $ million to undertake explorator drilling projects in under-explore areas of the state. The grants are being offered unde the third round of the Queenslan Government’s Collaborative Drillin Initiative. Mines and Energy Minister Geo Wilson said the initiative was part Smart Mining – Future Prosperity, four-year, $29 million program whic started in 2006-07 to increase expl

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Pushing ahead at Braemar Ostwald Bros has played its part in several large resource-based projects across the Surat Basin and the Braemar 2 Power Project is no exception. PAGE 26

A leader in global technology Toowoomba-based Easternwell Group launches a state of the art coal seam gas rig with the help of the Queensland

The largest and most dynamic Avis franchise in Australia has for the past two decades been driving Australia's largest and fastest growing energy province. Avis South West Queensland opened offices in Roma in 1985, Dalby in 1990 and Chinchilla four years ago. The franchise was started by Simon Kibble in Toowoomba in 1985 with a fleet of 10 vehicles. Today, Avis South West Queensland's fleet has grown to more than 550 fully maintained cars, trucks, utes, 4WDs and buses. Resource companies setting up across the Surat Basin have turned to Avis to meet their vehicle rental requirements. Franchise managing director Andrew Kibble said with the backing of Avis Australia's 23,000 rental vehicles, the companies could rely with confidence on Avis South West Queensland. He said it also helped that Avis specialised in providing commercial vehicles that met and satisfied specific industry project specification standards. “With the support of Avis Australia we are more than capable of satisfying all large hire projects,” Mr Kibble said. “We are the largest and most experienced rental vehicle operator across the Surat Basin, with locations in all the major centres. “Because of that, we find it very easy to cater to specific local project needs and meet demand — whether that's for five vehicles or

Avis South West Queensland managing director Andrew Kibble and the branch’s workshop foreman are dealing with a spike in rentals across the Surat Basin. 200.” But mineral and mining companies aren't the only ones benefiting from Avis' stress-free car rental experience. Avis South West Queensland's knowledge, caring and passion for excellence has become synonymous with many any other industries or pastimes that need to get mobile. “We're proud to be able to provide value, quality and service for short and long-term rentals in the corporate, business travel, tourism, leisure and local vehicle rental mar-

kets,” Mr Kibble said. While Avis South West Queensland ha grown rapidly over its 23-year history, M Kibble believes its strong presence in the Sura Basin ensures the upward trend will only con tinue. “There's certainly a bright future for Avis i south west Queensland considering all th development in the Surat Basin,” he said “We're focused on developing our locations t meet ongoing demand.”

America,” Mr Hult said. “We manufacture products i Australia that are designed fo Australian coal seam gas appl cations.” Experienced staff help instal monitor or service Oil Lif Technology's equipment onc onsite, which keeps maintenanc d l f hi

COMPANIES:

A complete overview of three powerful days in Chinchilla during the Surat Basin Energy Conference. Two days in Roma that will guide government policy for decades to come. The State Government moves to protect towns close to new mines.

Carbon Energy’s ambitious UCG plans. A new energy alternative north of Dalby. Queensland Gas Company moves to strengthen its position. Xstrata Coal provides Wandoan residents one last chance to have their say.

Condamine Electrical Company’s innovative strategy to retain staff. Ostwald Bros’ role in Braemar 2 continues its association with Surat development. Easterwell Group leads global technology from its Toowoomba base. Avis gets the Surat Basin on the road.

Surat Basin News

KOGAN CREEK RE-EMERGES

Surat Basin News

Sharing secrets with the world

CS Energy continues to progress Kogan B

Surat Basin News

Roma burns for industries

Page 35

INFRASTRUCTURE

The Website

www.suratbasin.com.au

BARRELS TO PETAJOULES New product but same proven technique

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Dam project tours region After failing to get afloat over the past 86 years, the Nathan Dam is again building momentum and this time it could replenish water starved towns as far east as Dalby.

Surat Rail on track for more than just coal Proponents behind the Surat Basin Rail have announced the project will carry freight as well as coal in a boost to primary producers across the Western D

ost of the major construction on Queensland Gas C o m p a n y ' s Condamine Power Station has been completed ahead of first generation in February next year. Next month the nearby Columboola switchyard will be operational, providing the necessary electricity for start-up commissioning. The power station will be the first combined cycle plant in the world to be built on and supplied by its own coal seam gas field, which will also supply the necessary water. A combined cycle plant is where gas is burnt to drive turbines in an open cycle, then waste heat is recovered and used to produce steam and drive a second turbine in a closed cycle. This produces less than half the greenhouse gas emissions of a coal-fired power station. While in open cycle mode the power station will generate 88 megawatts. By November next year, as it switches to closed cycle, that figure will climb to 140 megawatts — enough to power around 140,000 homes. That will be achieved when the station's steam turbine arrives in March

and is installed, tested and commissioned. “That's when we get real efficiency gains out of the plant,” power station manager Steve Carter said. “But in the meantime this will allow us to generate while the rest of plant is being built. “Part of the plan has always been to generate while it's still being commissioned.” With the exhaust stacks visible from the Warrego Highway, Mr Carter said public inquiries had climbed. “We've had some general interest from the public and a lot of interest from local businesses,” he said. Eleven of the QGC's 14person permanent team are on-site to prepare for operations by sourcing equipment and setting up the necessary systems. Most have been recruited locally and bring industry expertise to the site. Many of the production technicians will undertake a training course on operating the power station with major contractors Austrian Energy and Environment next month. “We've assembled the team together and we're all keen to get the plant running,” Mr Carter said.

“We've assembled the team together and we're all keen to

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Just try and keep him away You won’t find Oil Lift Technologies manager in his Brisbane office much. The former Canadian can not stay away from the gas fields of the Surat Basin. PAGE 34

An architect working underground Rolf Schulte has a knack for laying pipe. Matter of fact, he’s laid 500km and that’s only the start. Queensland Gas Company’s manager of the Condamine P St ti St C t h bl d hi t di

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THE PEOPLE

THE TOWNS

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VOICE YOUR OPINION: editorial@suratbasin.com.au

ueensland Gas Company has turned to an event organiser with close ties to Chinchilla to co-ordinate the rapidly growing Drama at the Gasfields festival next year. Sue Fuller is the eldest daughter of long-time local residents Dorothy and David Fuller and a fifth-generation member of the Chinchilla family. Her great-great-grandfather cofounded the Chinchilla News. So it was only natural that QGC approached Ms Fuller, who owns and operates a successful marketing firm in Brisbane, to organise an even bigger Drama at the Gasfields next March. “We're very proud that Drama at the Gasfields has been embraced so enthusiastically by families in the Surat Basin,” QGC managing director Richard Cottee said. “The first event in late 2006 attracted a healthy crowd of 600 people. “This year the crowd numbers more than doubled and we realised that, given the growth of both the event and the company, it's no longer viable for us to organise internally. “When we began looking for extra help, it was important to us that the company we chose had strong connections to the local community.” In March this year more than 1200 people enjoyed country drama and activities at Windibri homestead, near the company's Berwyndale South

SQUIT opens gateways for trainees across the Surat PAGE 38

Councils meet n Dalby In June, the Dalby Chamber of Commere brought two councils together representing very different sectors but facing the same issues and challenges. Sue Fuller, with her husband Paul Ewart and son William, at the Chinchilla Show. Ms Full will be returning to Chinchilla to organise next year’s Drama at the Gasfields. Lonesome Cowgirls. The event, first held in 2006, also featured children's rides, face-painting, welcome bags, a performance by the indigenous Jagera Jarjums dancers and complimentary fundraising stalls for the CWA, Chinchilla Lions Club, Miles Apex Club, Murilla Kindergarten, Condamine P&C Association and Chinchilla Rotary Club. Mr Cottee said that, with the assistance of Synergy Marketing & Public Relations, co-owned by Ms Fuller and her husband Paul Ewart, the future success of Drama at the Gasfields was assured.

dent council in her final year at school and active in Girl Guides and in sports including ballet, swimming, netball and athletics. After high school she moved to Brisbane to complete a university degree and became a journalist. Ms Fuller went on to work in London as a journalist and in public relations in Melbourne and Hong Kong. She has run her Brisbanebased firm for the past eight years. “I still enjoy coming home regularly and it's exciting to see the prosperity that companies

William, and loved the fami atmosphere and how much t local community was involv in the event.” Mr Ewart, who will mana next year's festival, has exte sive experience in event ma agement, including many yea organising the Queenslan Tourism Awards, co-ordinati the international media cent for US President Bill Clinton visit to Port Douglas and orga ising the Queensland Med Centre at the 2000 Olymp Games in Sydney. They are looking forward working with local schools, com munity groups and suppliers

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VOICE YOUR OPINION: editorial@suratbasin.com.au

Chinchilla local in charge of QGC’s gas field drama

Queensland Gas ready to fire into electricity market

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Surat Basin News is not a necessity. It was born out of a passion for Australia's fastest growing communities — a passion for a region of unbridled potential and a future of vast economic growth and opportunities. The newspaper, professionally designed and regionally topical, will be a must read for anyone associated with the exciting Surat Basin. Surat Basin News will allow local businesses to network and communicate with everyone in the 300 sq km basin, providing unprecedented access to new clients and markets. It will give a revealing insight into major industry while lifting the veil on current and proposed developments. It will be there for each and every announcement shaping the region's future while profiling the colourful characters that define our communities.

The exploration program, funded by the recent seed capital raising has been commenced by MetroCoal Limited in Queensland’¦s Surat Basin, ahead of the planned public float of the company late this year or early next year. MetroCoal — the 84 per cent subsidiary of listed Queensland resources group, Metallica Minerals Limited — announced the commencement of the 5000-metre drilling program this month over at least three key targets within its 100%-owned Surat Basin acreage. The initial 15-hole drilling program, likely to be completed within four weeks, is expected to confirm historic coal seam intersections and the continuity of the Wandoan coal seams within each of the large exploration target areas. This will provide a base for future exploration planning, resource delineation and development studies. The drilling program announced today is part of MetroCoal’s growth strategy to establish significant Surat Basin coal deposits suitable for both: • Extraction by conventional underground and open pit coal mining to generate thermal coal exports, and; • Underground coal gasification (UCG) for the purpose of generating coal gas (syn-

On the road with nation leading rental franchise

Northern Energy looks to expand Northern Energy Corporation ha announced the completion of a $6 mi lion placement of 4,800,000 ordinar shares at $1.25 each to help fun ongoing exploration, evaluation an development work on the company portfolio of coal projects. Net proceeds from the placemen will also enable the company to pa ticipate in the Wiggins Island Co Terminal final feasibility fundin agreement (FFFA) with th Gladstone Ports Corporation. The placement, managed b Austock Corporate Finance, receive very strong demand from both exis ing and new investors, resulting in significant oversubscription an large scalebacks. NEC's managing director Keit Barker said the level of suppo received had been especially pleasin given the challenging market env ronment. “The outlook for coal deman remains strong and the funds raise will enable the company to continu to progress its diverse portfolio of co projects towards development,” h said.

www.suratbasin.com.au

RESOURCES:

THE COUNTDOWN: Team in place for power station start-up

The Vision

THE COMPANIES

NEWS BRIEF

THE NEWS:

VOICE YOUR OPINION: editorial@suratbasin.com.au

suratbasin.com.au will deliver the news, events and employment opportunities of the Surat Basin around the world. The website will be community focussed, allowing towns and businesses to connect with major industry, investors and government agencies.

Doors swung open after closing time

VOICE YOUR OPINION: editorial@suratbasin.com.au

www.suratbasin.com.au

ANOTHER PLAYER: MetroCoal adds to growing list of Surat Basin coal mining companies

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DIESEL ELECTRICS GRAND OPENING

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VOICE YOUR OPINION: editorial@suratbasin.com.au

Community gets a boost from Santos’ LNG project

PAGE 10

Surat Basin News

It’s not coal or gas, but it’s a powerful alternative

RESOURCES

www.suratbasin.com.au

VOICE YOUR OPINION: editorial@suratbasin.com.au

WIND POWER

MAXIMUM GAIN: Carbon lights the flare on world first

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QGC lights the BBQ for local andholders Landholders brave a chilly night for barbecue at Berwyndale South courtesy of Queensland Gas Company.

o u t h e r n Queensland Institute of TAFE has helped ensure workers on the Gateway Upgrade Project in Brisbane have all the relevant and up-to-date

skills. The Institute's Civil Construction team is working with project contractor Leighton Abigroup Joint Venture to tailor training to the 70-odd trainees on the job. Instruction in concreting, bridge building and pipe-laying is being delivered at various sites across the 20-kilometre project corridor. Civil Construction teacher Bevan Anderson said the training enabled trainees to continue to meet daily construction deadlines and also improve their skills base and knowledge. “One of the things that set us apart from other training providers is our flexible delivery methods where we come on-site to work with employees and upgrade their skills,” Bevan said. “We're not taking people out of the workplace, so timelines aren't impacted and by servicing people in their work location, we are delivering to the employees the exact skills needed to successfully carry out their roles. “We are currently delivering training or Recognition of Prior Learning from Croydon in Far North Queensland to the Snowy Mountains in NSW, so traversing the countryside is all in a day's work for us." Tolling infrastructure compa-

Southern Queensland Institute of TAFE is working with construction crews across Queensland. ny, Queensland Motorways is delivering the $1.88 billion Gateway Upgrade Project, which is the state's largest road and bridge project under construction.

The project provides improved traffic flow in Brisbane by increasing lanes on the existing Gateway Motorway; building a second Gateway Bridge and con-

structing seven kilometres of new Motorway north of the Gateway Bridges to Nudgee Road including second access to Brisbane Airport.

“One of the things that set us apart from other training providers is our flexible delivery methods where we come on-site to work with employees and upgrade their skills.”

INFRASTRUCTURE:

THE PEOPLE:

THE TOWNS:

Kogan Creek B only be six years away? The Nathan Dam is revived but will it float this time. QGC readies for its foray into electricity market. Surat Basin Railway opens for freight.

Former Chinchilla locals helps shape 2009 Drama at the Gasfields. Oil Lift Technologies’ general manager a Surat Basin regular. Linc Energy employees sharing his secrets to benefit the world.

New direction for Roma’s Chamber of Commerce. QGC throws a barbecue for local landholders. Roma lights up to remember industry’s origins. Dalby chamber hosts influential councils.

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Inserted into the three dominant media outlets in the Surat Basin area; the Chinchilla News, the Dalby Herald and the Western Star. IF YOU WOULD LIKE MORE INFORMATION, PLEASE PHONE 4662 7368

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Feedback on this publication and ideas for future issues are invited.

advertise@suratbasin.com.au or editorial@suratbasin.com.au Surat Basin NEWS Thursday 25 September 2008

Surat Basin News

Women’s issues to the fore Two days to change how government policy is formulated.

LOCAL NEWS www.suratbasin.com.au

VOICE YOUR OPINION: editorial@suratbasin.com.au

Community gets a boost from Santos’ LNG project PAGE 10

Energy to grow at conference In August, Chinchilla hosted the Surat Basin Energy Conference. Turn to page 10 for full coverage of the three day event. PAGES 8

Communities to play part in approvals The Queensland Government’s Sustainable Resource Communities Agreement will force new coal mines to look at their impacts on nearby towns.

“Our investment in these communities extends beyond the economic requirements of the business.”

Carbon capture project to help tackle climate change In a first for Queensland, CSIRO and Tarong Energy this month announced a $5 million joint pilot project to capture greenhouse gases. The project will see the installation of a post-combustion capture (PCC) pilot plant at Tarong Power Station, 45km south of Kingaroy. The pilot plant is designed to capture 1500 tonnes per annum of CO2 from the power station and is part of a broader research program to identify ways to reduce greenhouse gas

emissions from the energy sector. The two-year project will start immediately, with the pilot plant expected to be operational in the first half of 2009 and the research activities associated with the technology completed in 2011. Director of CSIRO’s Energy Transformed National Research Flagship, Dr John Wright, said low emission energy generation was a key research area for the Flagship. “About 80 per cent of the

energy consumed in Australia is generated from large, coal-fired power stations,” Dr Wright said. “It is critical that we find ways to make coal a cleaner energy source and we’re pleased to be working with Tarong Energy to help find these solutions. “When coupled with CO2 sequestration, post-combustion capture, offers the potential for near zero emissions from coalfired power stations. “While this project won’t immediately reduce emissions,

Surat Basin NEWS Thursday 25 September 2008

the information gathered from the research work will be used to assist the selection of the technology for a commercialscale application.” In the PCC process the power station’s flue gas is passed through a chemical solution (sorbent) where 85-95 per cent of the CO2 is captured. The CO2-rich sorbent is heated which releases the CO2. After compression and cooling the CO2 then forms a liquid ready for pipeline transport to a sequestration site.

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LOCAL NEWS

Help repair a blight on this region by

FIX IT or watch industries and COMMENT The state of the Warrego Highway is a pressing issue, maybe more so than any state or federal politician realises. The fly-in, fly-out approach to visiting the Surat Basin allows them the luxury of avoiding the abysmal track known as the Warrego Highway. It’s a highway the people of the Surat Basin travel on almost daily and are killed on almost weekly. The Federal Government must immediately address the state of the highway with urgent and suitable funding. It must support a region that is

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BY John Farmer editorial @suratbasin.com.au

attracting billions of dollars in private and public investment over the next five years. Investment that flows back into the coffers of the state and federal governments. Enough is enough. There have been enough deaths, enough accidents and enough close calls. Stop overlooking south west Queesland and fix the Warrego.

The regional councils of the Surat Basin have issued a stern warning to the Federal Government — fix the Warrego Highway or watch the region crumble. The Dalby, Roma and Toowoomba regional councils are putting together a joint proposal to call for the Rudd Government to inject urgent funding into the highway. The mayors of the three councils met recently with RACQ and Queensland Government representatives to decide on the details. At the proposal’s core will be the highway’s inability to handle the resources boom of the Surat Basin because of associated heavy traffic. Dalby Regional mayor Ray Brown said the state of the Warrego Highway had the potential to cripple industry in south west Queensland. “It’s the issue — the one clos-

UNITED FRONT: Ray Brown (Dalby), Robert Loughlan (Roma) and Peter Taylor (Toowoomba) are taking concerns over the state of the Warrego Highway to the Federal Government. est to my heart,” he said. “Whether it’s rural or resource based, everything funnels in or out on the Warrego Highway. “Like the main vein in our bodies, if it’s not fixed everything else will fail.” Cr Brown said the section of

highway between Toowoomba and Roma had been overlooked in favour of those in the state’s south east corner. He hoped the united front shown by the three regional councils with the backing of the Queeensland Government forced the Federal Government

“Like the main vein in our bodies, if it’s not fixed everything else will fail.”

Surat Basin NEWS Thursday 25 September 2008

LOCAL NEWS

Surat Basin towns crumble to look west. “Any money on the Warrego seems to be spent on the Ipswich Motorway while the range crossing and west to Roma seems to be forgotten about,” he said. “We’re trying to get them to look this way and realise how urgent the situation is.” Cr Brown said lifestyle was also at stake if the “gateway” to the Western Downs was not improved. “If we’re trying to encourage people and families to come out here and their first impression is that horrific road, it’s not a great advertisement is it?” he said. “We’re seeing the wrong sort of statistic on the Warrego. “We don’t want deaths, we want money to fix the problem.” While federally funded, Cr Brown said all levels of gov-

ernment had a role to play in improving the highway. “People don’t care who owns the road, they just want it fixed,” he said. The Coalition Government had promised in last year’s federal election campaign a $200 million upgrade of the highway, including major expenditure on problems near Macalister. The Rudd Government has so far only delivered funding for sections around Mitchell. Roma Regional mayor Robert Loughlan said a vast majority of the Warrego Highway between Toowoomba and Roma needed “massive investment” from the Federal Government. He said current funding was inadequate which was resulting in the highway getting worse as traffic increased. “It’s the spine for the whole

Surat Basin. It services all the towns that are hosting the people and projects of this resources boom,” he said. “Yet, from Roma to Toowoomba it is deteriorating. “I can’t see it holding up much longer with the increased traffic each year.” Toowoomba Regional mayor Peter Taylor said the second range crossing was his number one priority. But the state of the Warrego Highway west of Toowoomba came a close second. “There has to be more capacity to handle the increases in traffic, which are having a huge impact on the highway,” he said. The councils could not confirm when the proposal will be put to the Federal Government.

Petition for urgent Warrego Highway improvements TO:

The Honourable Kevin Rudd, MP Prime Minister Parliament House CANBERRA, ACT, 2600.

signing this petition

Mr Rudd, I add my name to those who are petitioning you and your government to immediately fund improvements to the Warrego Highway. Our need is urgent and should have the highest priority. Please give this petition your urgent consideration.

NAME: .......................................................................... ADDRESS: ................................................................... ........................................................... Signature: ......................................... Post this petition to Mr Rudd or email his office to register your concerns at: www.pm.gov/contact/index.cfm

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LOCAL NEWS

“I didn’t think I could make a difference but it’s clear from my two days here that we can all make a difference.” — 16-year-old Kingaroy school student Rachel Tudman

“I'm hoping that this is not another talkfest and that there'll be actions on the ground and looking forward to seeing that happen.” — Donna Stewart, Balonne Shire mayor

cribbled on one of the hanging pieces of paper were the words “Communities must be bold”. Beside it was written “powerlessness and uncertainty”. In a group of eight assembled in the corner of the Bassett Park conference centre was 16-yearold Kingaroy school student Rachel Tudman. She was the youngest amongst 120 at the 2008 Rural Women's Symposium held in Roma on September 3 and 4. Despite her age, Rachel had a voice in her group and across the conference — her ideas were written down beside those of mothers, grandmothers, councillors and business owners. “Everyone has so many different opinions,” Rachel said, “and there's been a few butting heads but it's all just over passion and their own opinions. “I didn't think I'd have a major say but I've really become involved.” Rachel understood the significance of the two days maybe more than most because of the role the symposium could have in her future. “I think that this is a big step

Powerful, certain BY John Farmer editorial @suratbasin.com.au

for rural women,” she said. “There's a lot of talk about how to keep women in rural areas, how to get women to rural areas. “And I think a lot of the ideas are spot on for how they're going to get me to come back from university to raise my kids here in a few years.” The first of three rural women's symposiums was opened by Queensland Premier Anna Bligh and elevated issues of particular concern to women to help the State Government develop “real solutions”. In Roma for the inaugural Rural Women’s Symposium – Ms Bligh reinforced to the 120 women from all over the state that it’s the women in the bush

who were the key drivers in their communities’ futures. “You are uniquely placed to bridge the knowledge gap between what’s happening on the ground and in policy development at an administrative level,” Ms Bligh said. “That makes you a vital resource. As representatives of your communities you have the knowledge, the capacity and the relationships to make things happen.” Ms Bligh said the symposium was an ideal opportunity to strengthen the ties between government, agencies and the community. Themed Livability – A Woman's View, delegates participated in an open space process where they took part in mini workshop discussions and developed brief ‘call for action' reports. Late on the final day, topics and solutions that should take priority were voted on with the final choices to influence State Government policy making and

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service delivery. But the bold step to assemble rural women from across Queensland in a single room was not enough according to Balonne Shire mayor Donna Stewart. She believes actions must now speaker louder than two days of speaking. “I'm hoping that this is not another talkfest and that there'll be actions on the ground. “I’m looking forward to seeing that happen,” she said. As was written on the wall, Cr Stewart agreed communities must be bold, but said the government must be bolder in how it developed policy. “Government should be out

there consulting more with the communities that are being affected by their policies,” she said. “Those policies must better reflect those communities. “That's why we vote for them that's why we put them there but it doesn't seem to be how policies are formulated.” Cecily Brockhurst travelled from Miles to attend the symposium, taking two days off from her job as a rural advisory officer. Mrs Brockhurst hoped the “powerlessness and uncertainty” felt by many rural women could be subdued by the actions out of the symposium. “It sounds to me as though they're (delegates) looking for

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Surat Basin NEWS Thursday 25 September 2008

RESOURCES

Forum seeks to find resource-rural balance “You are uniquely placed to bridge the knowledge gap between what’s happening on the ground and in policy development at an administrative level.” — Queensland Premier Anna Bligh

All photos by Scott Murray

and very bold from across south west Queensland and beyond Government what they wanted, needed and how lived in. Their ideas, feelings and policy for years to come. some sort of model or service delivery in their communities,” she said. “There seems to be a lot of people who really don't know where to go to access information. “A lot of women seem to be fairly isolated. I'm hoping, out of all these solutions on the wall, there'll be some really vital points that can be progressed.” Mrs Brockhurst believes the “tenacity, graciousness and stickability” of rural women were characteristics synonymous with rural communities. Because of that, Mrs Brockhurst said those in attendance could be key drivers for revitalising rural communities. “Women are a vital part of the community and I believe we are a part of the community,” she said.

Federal Member for Maranoa Bruce Scott, Dalby cotton grower Paul McVeigh, Queensland Opposition Leader Lawrence Springborg, Arrow Energy asset general manager Peter Roles and Dalby Regional mayor Ray Brown at the Meeting of Minds Forum in Dalby. Western Downs landowners could soon be working with the resource companies they have watched nervously in recent times following a forum held in Dalby in August. Federal Member for Maranoa Bruce Scott hosted the Meeting of Minds Forum, which brought together a cross section of key stakeholders in the Surat Basin's coal and gas developments. From the forum, a working group was formed to allow local landowners, resource companies and government agencies to better work together. Mr Scott said the group, chaired by Dalby Regional mayor Ray Brown, could help “get the balance right” between agri-

cultural and mining needs. Queensland Opposition Leader Lawrence Springborg attended the forum and said the working group was needed to assist rural landholders. Mr Springborg said the basic rights of people should not be forgotten in the resources boom. “The State Government for a start has to look beyond royalties and look at people. That has been one of the problems,” he said. “They’ve just looked at the royalties and they don’t look at or care about the people impacted.” Mr Springborg said the working group would provide practical solutions to the conflicts between coal or gas companies and Western Downs farmers.

Lorraine McGinnis, vice president of the Isolated Children’s Parent’s Association, brought a passion for rural education to the symposium. But Mrs McGinnis admitted there was one overwhelming theme out of the two days. “It really comes back to opportunity in the bush,” she said. And there was also one overwhelming message Mrs McGinnis would like to see taken to George Street. “I would like to think that in every government policy there would be attention paid to the fact that there are people in rural and remote Queensland,” she said. “Every time they think of a policy they need to think how it is going to work for rural and remote people.” S E RV I C I N G : GAS, MINING and AGRICULTURAL INDUSTRIES

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LOCAL NEWS

It is social, not just industrial Future mines must now look at the people and communities The future of new mines and the communities they’re setting up in will from now on go hand in hand. The State Government launched its Sustainable Resource Communities Agreement last month that requires all future mines to undertake social impact studies as well as environmental impact studies. The agreement was backed by $100 million over three years for economic and social infrastructure in mining towns. Premier Anna Bligh said the agreement would pave the way for state, local government and industry to

Queensland Premier Anna Bligh, speaking in Roma recently, has pledged to spend $100 million across the Bowen and Surat basins over the next three years.

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The Bligh Government this month announced a summit would be held to examine the current and future impacts of the resources boom on communities in the Surat Basin. Deputy Premier and Minister for Infrastructure and Planning Paul Lucas said he would chair a summit in Dalby by the end of November, along with similar events across the Bowen Basin. “In recent years we’ve seen tremendous growth in the base metals, coal industries and now the enormous potential of coal seam gas,” Mr Lucas said. “The massive investment this brings into rural communities is welcome and the benefits are obvious. “However there’s a real danger that without full engagement from the local and State Governments, farmers, industry and towns as a whole, we won’t

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The group met for the first time in Moranbah this month Dalby Regional mayor Ray Brown said the money and partnership were exactly what the Surat Basin was screaming out for. Cr Brown said lifestyle was a major concern across Dalby Regional as Surat Basin development surged ahead. “I think it’s those little things in life that makes our communities,” he said. “If we’re going to encourage people to come and live in our communities, we need to have some sort of lifestyle. “This is where things like police, health and even childcare come in.”

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work together to better manage the social consequences of resource development. “Many resource development companies are contributing to local communities and take their corporate social responsibility very seriously,” Ms Bligh said. “But there are some operators that need to be compelled to address the impacts that their operations, especially their workforces, have at a regional level.” The agreement will be implemented by a partnership group which will include representatives from the state, relevant councils, LGAQ and the Queensland Resources Council

Surat Basin NEWS Thursday 25 September 2008

get the real benefits and see sustainable communities. “The resources boom offers whole new opportunities for rural communities of diversified jobs for families instead of rural drift. “But we don’t want to throw the baby out with the bath water and number of councils have already spoken to me of concerns about coping with planning and development issues.” Mr Lucas said the summit would help balance the resources boom against its impact on communities. “Before the summit later this year I will also visit resources towns to personally hear from locals how they have been or will be affected by mining,” he said. “I’m keen to sit down with farmers and locals from these rural communities to hear what they think we can do to sustain their environment, economies and lifestyle.”

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LOCAL NEWS

Council plans in wake of early signs of strain

o o w o o m b a Regional mayor Peter Taylor believes his region can play a leading role in supporting the development of the Surat Basin. Cr Taylor said the impacts of new industry west through to Roma had begun to filter into Toowoomba and surrounding towns. He said with the benefits there were also early signs of strain on infrastructure, most notably the Warrego Highway and range crossing. “Toowoomba is the capital of this region and it will be a major support — the city and the area — for the whole region,” he said. “We are already seeing companies basing in and around Toowoomba and the towns around here. “And we’re already seeing an impact with the significant amount of traffic on the highways between here and Dalby and beyond.” Toowoomba Regional Council joined with Roma and Dalby councils this month to make a joint submission for the Federal Government to upgrade the Warrego Highway. But Toowoomba’s new

Guido Stangherlin, Desley Boyle, Roger Kennett and Troy Campbell at the Easternwell drilling rig launch, one Toowoomba company playing its part in Surat Basin development. (Photo Dave Noonan) range crossing remains top of Cr Taylor’s priority list because of the critical role it would play in facilitating industrial growth. “The second range crossing is an absolutely critical piece of infrastructure for the local area, the western area and the whole of Queensland.” Cr Taylor witnessed the flow on effects of the resources boom during his time as Jondaryan Shire mayor. His council approved a $150 million inter-modal

freight hub at Charlton to link with the Surat Basin Railway. It also worked with the former Toowoomba City Council to develop the Charlton-Wellcamp industrial estate to accommodate large scale industry and business. “It became obvious over time that it was the right location because it was strategic in terms of road, rail, electricity and gas,” Cr Taylor said. “All those points come

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together at Charlton.” This month, Toowoomba Regional Council put up $10,000 in a joint arrangement with the Dalby and Roma councils to investigate the viability of waste water from coal seam gas fields. But Cr Taylor admitted the potential of the water to Toowoomba had yet to be proven. “At the moment, it’s not at a stage of development, quality or price where it will solve Toowoomba’s urgent water needs,” he said.

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Chamber moves to amplify boom While on the Western Downs it’s a boom, in Toowoomba there has barely been a murmur. That is about to change. The Toowoomba Chamber of Commerce in partnership with The Chronicle and Toowoomba Regional Council wants to amplify the buzz reverberating from the Surat Basin. They are holding an Energy Forum on October 2 to make more Toowoomba businesses aware of the development occurring across along the energy corridor. Toowoomba Chamber of Commerce president Shane Charles said the forum would prepare businesses and the chamber for the region’s economic future. “Toowoomba is on the verge of an unprecedented period of growth,” he said. “It really is the gateway to the Surat energy province but for businesses to take advantage they have to know how. “We want to understand what the issues are and what the implications are.” Representatives from the Queensland Resources Council, Easternwell Group and Amber Energy will speak at the October 2 Energy Forum. The chamber plans to continue the forums with guests from energy companies and regions that have experienced similar resource driven growth. “They’ve been through it — we don’t want to re-invent the wheel,” Mr Charles said. “We want to use their experience to help us cope with it.” Mr Charles said it was important Toowoomba regional businesses worked with their western counterparts to share in the prosperity. “We don’t want to detract from the regional centres,” he said. “We want to talk to them about the issues and how Toowoomba could work in with them.” For more information about the Energy Forum, call Marlene Halter on 4637 9276.

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PAGE 9

2008 Surat Basin Energy Conference

Energy to grow - Sustainability in the Surat Basin

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Surat Basin Development’s Greg West talks about the region’s future with Jim Devine, director of communications with the Queensland Resources Council.

VISITING VOICE

Lifting the veil on state’s resource powerhouse

Two sides to future Bede Boyle holds not doubts about the Surat Basin’s future. The Synergy Management Consulting Group director spoke during several sessions at the Surat Basin Energy Conference, including as keynote speaker on Impact and Opportunity. Mr Boyle said the region’s strong agricultural base combined with the resources sector would mean years of prosperity for the Surat Basin. But he added the upgrading of the Warrego Highway between Chinchilla and Dalby was critical to unlocking the region’s potential. “For anybody coming here, that’s a big downside,” he said. Mr Boyle said one of the conference’s highlights was the united push to improve the highway. “That was a theme that came out of here and I thought that was great — that there should be a coordinated push from local government, state and federal to get that road up the priority list so something happens,” he said. Mr Boyle said if local communities were to benefit local governments would have to better cater to new industry.

Mines and Energy Minister Geoff Wilson speaking at the conference.

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Luke Von Pein (left) and Ross Von Pein (right) from Pallathorpe Enterprises catch up with Kyle Koziol and Marco Waanders from Easternwell Group.

The doors to Queensland’s new economic powerhouse were thrown open over three days in August. The 2008 Surat Basin Energy Conference took place in Chinchilla and for 400 delegates in attendance, it was clear why the event was themed Energy to Grow. Mines and Energy Minister Geoff Wilson opened the conference and spoke of the need to nurture a region to rival “the mining might of the Bowen Basin”. It was clear Mr Wilson wanted the region to grow so Queensland’s economy would grow with it. “There can be very little doubt the energy resources of the Surat Basin are key implements in Queensland's energy security over the long term,” he said. “This development promises to deliver thousands of new jobs, strong regional economic growth and prosperity, not just for Queensland and Australia, but particularly for this region.” Dalby Regional mayor Ray Brown followed Mr Wilson and spoke of a need for social infrastructure to grow with the Surat

Basin’s resources. Cr Brown was concerned about the impact the resources boom could have on the lifestyle of the Western Downs. “We need to protect our livability so in 20 years time our communities are places people want to live,” he said. Over the three days, it became apparent that the growth Surat Basin was not going to slow in the foreseeable future. After all, its growth had even left some experts like Peter Green from the Department of Mines and Energy re-evaluating almost daily. “What is apparent is I may not necessarily have a future as a clairvoyant,” he said.

“We need to protect our livability so in 20 years time our communities are places people want to live.”

LOCAL VOICE

All aboard the rollercoaster Dalby Regional Councillor Andrew Smith is the first to admit the past six months has been nothing short of a rollercoaster ride. Cr Smith was elected on to the inaugural term of Dalby Regional Council in mid-March and became spokesman for economic development. Along with the challenges of ushering in a new era in local government, the council has had to contend with a continued upsurge in private and public investment. Cr Smith said the Surat Basin Energy Conference cleared up some of the uncertainty that surrounded the region’s future. “It’s that confirmation that the development is well and truly on its way,” he said. “I don’t think it’s potential anymore. “I think we’ve seen from a lot of the speakers that it’s going to happen and from a council point of view, we have to work out where we sit. “What role do we have to play?” Cr Smith believes the 2008 conference and planned follow-ups can help all tiers of government overcome planning challenges. He admits getting it right is critical to managing the potential of the Surat Basin.

Surat Basin NEWS Thursday 25 September 2008

“Planning is huge,” he said. “We need to know where we’re going to be in 10 years, where we’re going to be in 20 years. “Whether it’s housing or business, planning and trying to work out where we’re going is so important.” Overall, Cr Smith said the conference’s strong point was its ability to breakdown barriers between government, industry and the community. “I think it’s been tremendous and the speakers have been fantastic,” he said. “But it’s the networking that’s impressed me. “Just being able to talk to business, government and, from my point of view, getting contacts within the government.”

2008 Surat Basin Energy Conference

Energy to grow - Sustainability in the Surat Basin

FK Gardner & Sons’ Graham Secombe catches up with Barry Sharp from AAA Engineering Technologies and Simon Passlow from Downs Survey Group.

VISITING VOICE

Business needs to meet demand Marco Waanders has spent a lifetime in the coal seam gas industry and today is general manager of Easternwell Group. He spoke during the Impact and Opportunity session on the final day of the conference and, after two days in Chinchilla, had been impressed by the local outlook. “I think it's a pretty positive region,” he said. “In general the region's embracing the changes that are occurring.” Mr Waanders said the diversity of companies and projects spoken about during the three days revealed the challenges facing local businesses. He said communication was critical to ensuring businesses could meet demand created by new industry. “The opportunities are endless but it's really up to those businesses embracing what's coming and also getting the local regional business community together and getting advice on what sort of businesses opportunities there are locally,” he said. Mr Waanders believes government faces an enviable task of developing effective infrastructure and support networks. He said it had been a similar story in boom regions across much of Australia where the government had failed to act in time. “Queensland's not unique,” he said. “It's about building the roads, it's about bringing in the police, the health services — all the other support services people forget about when we grow a community.” Mr Waanders said the conference's strongpoint was the networking it made available. “It's an opportunity for companies at all levels to network with everybody and share knowledge and learnings,” he said. Mr Waanders said next year's conference could be improved with the provision of a community day. “You're always concerned about what's happening in your neighbourhood so, if I had any advice, maybe having a community day,” he said.

Chinchilla’s Suzie Bowden takes a look at the services offered by FK Gardner & Sons at the conference trade stall manned by marketing manager Lauren Flint, civil project manager Steve Turner and manager civil Bruce Henry.

Graham Proud, Oliver Freeman, Bede Boyle and Kevin Lusk enjoy a social setting before getting down to business at the Surat Basin Energy Conference.

The Surat Basin in 2030 Brought to the conference by the Labour & Skills Development Strategy, the Creating a better future for the region workshop dissected how communities might deal with the future they want and the one they get. In 2030, Xstrata's Wandoan coal mine will be in full swing along with a raft of other coal mines sending millions of tonnes of coal on dozens of trains winding their way along the Surat Basin Railway everyday. Kogan Creek B will be operational and Origin Energy and Queensland Gas Company will be sending tonnes of LNG overseas out of Gladstone. Meanwhile, Surat Basin gas fields will be churning out globally unprecedented amounts of gas and Linc Energy will be supplying a large chunk of the nation's liquid fuel needs. That is the preferred future for many who attended the 2030 workshop on the final day of the Surat Basin Energy Conference. But by 2030, coal prices could have collapsed, LNG no longer viable and Linc Energy's process failed. Rather than years of prosperity on the back of the resources sector, Surat Basin towns are relying on an agricultural sector struggling though drought.

Labour and Skills Development Strategy project officers Beth Wood, Maree Petty and Megan McNicholl at the 2030 workshop they helped bring to fruition. That was the alternative future — “the one you wouldn't prefer,” as futurist Oliver Freeman explained - some considered during the workshop. No matter how extreme or uneventful, whatever future unfolds Surat Basin communities will be better prepared after the Creating a better future for the region workshop. Facilitated by Mr Freeman, an expert in scenario planning, those involved included local government representatives, business owners and community leaders. Broken into small groups, they focused on how key areas like culture, the environment, technology and politics may

look within the next two decades. Mr Freeman said the forward thinking promoted by the workshop allowed participants to start “designing the future for themselves, their families and their communities”. While designed in part to influence government policy and legislation, Mr Freeman admitted developing community response was paramount.

“No one is smarter than all of us in this room because of the interests we represent and the willingness to work together,” he said. “It is the opportunity to look at what is happening now and what might happen in the future. “We can then start to see how the community might respond and how business and government might respond.”

“No one is smarter than all of us in this room because of the interests we represent and the willingness to work together.”

Surat Basin NEWS Thursday 25 September 2008

PAGE 11

2008 Surat Basin Energy Conference

Energy to grow - Sustainability in the Surat Basin

Roma Regional councillor Jill Baker, Dalby Regional Council director of community and marketing, Ed Hoffmann, and Jim Grassic from the Office For Rural and Regional Communities.

Origin Energy’s Judy Green and David Woodley at the company’s Surat Basin Energy Conference trade stall.

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John Thomas, Amanda Thomas and Dalby Regional councillor Bill McCutcheon.

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Marco Waanders, Bede Boyle, Brad Saunders and Allan Ruming spoke during the Impact and Opportunity session on day two of the conference.

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The need to learn and prosper as one here may not be an “I” in team but Allan Ruming believes there is room for “Mackay”. Mr Ruming, deputy chairman of the Mackay Area Industry Network (MAIN), urged local businesses not to go it alone when he spoke at the 2008 Surat Basin Energy Conference. Central Queensland coal mining created a industrial boom in Mackay during the early 1970s that Mr Ruming admits many were still struggling to come to terms with today. He said the region had struggled despite being the source of the highest input to gross domestic product in Queensland. “We’ve suffered for years without infrastructure because we couldn’t get our act together,” he said. Mr Ruming, who is also managing director of Group Engineering, said local businesses could learn from the experiences of those in Mackay. He called for partnerships between Surat Basin chambers and development groups with their counterparts in Mackay to create a “united front and an industry voice”. “Take the information, apply it to your local area and use your unique local knowledge and understanding of your backyard and make better results for yourselves,” he said. “Our hindsight will help your vision going forward, for sure.” Mr Ruming said there was also a need for stronger regional partnerships between businesses and

Surat Basin NEWS Thursday 25 September 2008

industry groups across the Surat Basin. He said the most successful businesses in Mackay were those who had started and driven MAIN. “The businesses came together, put aside their competitive spirit, and worked on them in a synergistic approach through networking and co-operation,” he said. “And those businesses today all still exist, all are very prosperous and in fact are doing better than they did before the downturn. “Turn that around the other way and consider what opportunities you’re facing and how well you could work together to seize the day.” But Mr Ruming warned businesses must contribute and not just wait for others to provide solutions. “If that’s your attitude, keep your money in your pocket and leave town because you’re not going to contribute,” he said. “If you’re going to join an organisation, don’t just join with your cash, you join with your spirit, your dedication and your willingness to contribute. “Don’t sit back and expect something for that money if you put no effort in because you’ll only get back what you put in.”

“If you’re going to join an organisation don’t just join with your cash, you join with your spirit, your dedication and your willingness to contribute.”

LOCAL NEWS

Fifty landholders from the Dalby district have banded together and are...

Leading a vital fight D alby landholders are leading the charge to cure what they believe could become the “cancer of modern farming”. Fifty landholders whose properties fall under an Arrow Energy exploration lease formed the Environment and Property Protection Association (EPPA) earlier this year. The group’s main concern is the toll coal seam gas extraction could have on underground aquifers and on their land, considering the salt contained in the water. One of the group’s members, Wayne Newton, believes the salt is a “cancer” threatening agricultural livelihoods across the Surat Basin. “Our biggest concern is the water the industry is extracting and the salt content,” he said. “Right across this basin — this region — millions of tonnes of salt is being brought to the surface.” While levelling some of the blame at coal seam gas companies, Mr Newton said the government must be held responsible. “The protocol for storage and safe disposal is not good enough, which is really a reflection on the government refusing to take a serious look and consider the implications on the greater Murray Darling Basin,” he said. “It’s really the responsibility of the government to realise the risk and fix it.” Mr Newton and the EPPA believe not enough has been done to make the public aware. In response, the group has launched a public awareness campaign, attending conferences and taking their concerns to the media. “Most people are simply unaware of the issues,” Mr Newton said. “Even some State Government min-

isters are unaware of the volumes of salt. “They’ve been sold on this great, clean energy and the sale of water — how wonderful it would be to regional towns — but no one has really talked about the salt.” Three coal seam gas producers — Origin Energy, Arrow Energy and Queensland Gas Company — have a considerable presence in the Surat Basin. Under legislation, the water they harvest is stored in ponds and left to evaporate. Mr Newton said the government must “implement a lot higher standards”. In the least, the EPPA want evaporation ponds to be used only when necessary and all ponds to be lined with plastic. The group has also called for the water to be treated at the well and all salt to be disposed of without being buried. The EPPA has also raised concerns about the toll water harvesting is having on underground aquifers despite coal seam gas producers refuting the claim. Mr Newton said an industry as buoyant as the coal seam gas could afford to take extra steps to protect the environment. “It was a wonderful resource and a very profitable business. “We believe it can be done without endangering the viability of the coal seam gas industry,” he said. Mr Newton admits there is a sense of inevitability to the coal seam gas boom being driven by the Surat Basin’s resources. But he believes the development can be carried out to benefit all. “We know we can’t stop it — really we have no right to stop it — but if it is to be done it has to be done properly,” he said.

ABOVE: One of the storage ponds on Queensland Gas Company’s Berwyndale South gas field. BELOW: EPPA member Wayne Newton is leading a fight be better standards in the coal seam gas industry.

“The protocol for storage and safe disposal is not good enough, which is really a reflection on the government refusing to take a serious look and consider the implications on the greater Murray Darling Basin.”

Surat Basin NEWS Thursday 25 September 2008

PAGE 13

OPINIONS LETTERStotheEDITOR

Surat Basin NEWS 12 Mayne Street Chinchilla, QLD 4413 PO Box 138, Chinchilla, 4413 Phone: 4662 7368 General Manager: David Richardson Advertising: Laurell Ison Editor: John Farmer

Editorial

An amazing three months of activity Strap in, hang on and get ready for one heck of a ride. The resources of the Surat Basin are about to explode and communities like Chinchilla, Dalby and Roma are set for massive upheaval. For evidence, just take a look back on three extraordinary months in coal, gas and infrastructure activity. Origin Energy's $9.6 billion merger with US oil and gas giant ConocoPhillips was the watershed moment — it was the biggest purchase of a Queensland commercial asset in history. The majority of Origin's gas reserves lie in the Surat Basin and the company must now hit the ground running to meet a 2014 deadline to have an LNG project in place that will rival the North West Shelf project in Western Australia. The record merger came only four months after Arrow Energy's $776 million deal with Shell and moments before Queensland Gas Company signed off on an $830 million takeover of Sunshine Gas. The big boys in the coal seam gas sector are positioning themselves to take advantage of a resource worth billions but in the sights of the world's energy giants. From the coal front, Xstrata Coal completed the terms of reference process and is now preparing to release the environmental impact statement for its billion-dollar-plus Wandoan Coal Project. Meanwhile, other coal miners based in the Surat Basin have expanded exploration, ramped up studies and begun to ready themselves to actually turn over soil. Underground coal gasification is a technology that continues to take leaps and bounds, no more so than from Linc Energy's research and development site near Chinchilla. The company's pilot plant is completed and the first production results should be available soon. But not to be out done, Carbon Energy launch an ambitious project next month. The CSIRO-backed company is going to take previously worthless coal and transform it into chemicals like ammonia, ammonium nitrate and liquid fuel. And then, locking down all this development is the infrastructure. The Surat Basin Railway took a step closer to economic viability by being opened to freight as well as coal. The Nathan Dam also returned to the agenda with the release of its draft terms of reference. To see a project on hold for so long revived reveals the extent of what is in store over the next four year. For so long touted as a boom, the Surat Basin is now a reality. While the region has gone through an amazing three months of strategic planning, lobbying and exploration, what comes next is turning that into real results and real dollars.

LETTERS to the editor Address to: The Editor Surat Basin News PO Box 138 Chinchilla 4413 Email to: editorial@suratbasin.com.au The Surat Basin News welcomes letters to the editor but reserves the right to edit them. Letters should be no longer than 200 words.

PAGE 14

Send funding to the source Sir — This week Western Australian voters will know if the National Party, led by Brendon Grylls, will join with the Liberals or Labor to form a coalition government. What has that got to do with us? The answer is everything. Grylls has shown himself to be a rare politician prepared to battle for the regions like few we have seen before in any state. He wants as part of a deal, 25 per cent or $675 million returned to the regions from the massive resource profits in that state. Where are our politicians on this issue in this state? You only have to drive what passes for a highway here to Toowoomba and then get held up by an incident on the only range crossing, to realise our infrastructure is badly suffering in spite of the resource boom dragging billions of dollars in profits out of the Surat Basin. Meanwhile, building billion-dollar tunnels under the Brisbane River to save commuters 10 minutes on their way to work is seen as perfectly fine fiscal management. Where are the state and federal political leaders with foresight and shrewd horsetrading skills to stand up for us out here, further west and north? Towns are booming in the the Western Downs. Don't blame the council for the rate rise of 8%. Spare a thought for the poor beggars in Taroom town whose rates are going up 24%. That is the cost of amalgamation for us all. It is great for home-owners — their values are rising. Too bad about the roads and the cost of fuel because we choose to live here. We are sitting on one of the world's greatest gas fields and no politician has pushed for

Information provided at the Surat Basin Energy Forum highlighted the urgent need for better planning.

Planning need loud and clear Sir — It was very interesting and informative attending the two and a half day seminar in Chinchilla on Surat Basin developments. I came away with a much greater appreciation of the scale of the development that will take place and the opportunities that are present for the district. No doubt there will be hurdles to be jumped; but really the whole nation should benefit eventually. Naturally, this development has to be well planned and implemented so that duplication, waste, unnecessary social upheaval and environmental degradation are avoided. This came through loud and clear in the forum session on the last day. We really started to look at what we wanted the region to be like in the year 2030 and beyond when much of the extractive industries have run down. As a member of both a landholding family and the environmental and landcare movements, it is very obvious to see that we have to plan and move carefully so that the development of a conversion industry so vehicles can run on compressed natural gas. Anecdotal evidence is out there that Dalby gas field workers are fitting their utes with devices that allow them to fill up with gas straight out of the well and travel 400 kilo-

future generations have the land, water and environment intact to be able to feed and clothe a hungry world. Talking to government department representatives, it was obvious they agreed with us; but at times, they were having difficulty keeping up with the speed at which this development is taking place. The one specific issue that came to the fore and for which solutions will have to be found is uses for the gas water and safe disposal of the toxic salts present in these large volumes of water. I strongly urge the developers concerned, government departments and our elected representatives to find a solution to this problem so that our rivers and land will not be in danger of contamination when all this gas is extracted for the Gladstone LNG plants. Congratulations to the organisers and participants for a great forum Adam C.Clark Project officer, Upper Dawson branch Wildlife Preservation Society Queensland

metres at a cost of $1.50. Pakistan has a compressed natural gas industry now that has converted two million vehicles to use the fuel. If that happened here we could get fuel, it has been suggested, for 60 cents a litre. Has Pakistan found a way to stand up to the multi-national

resource vultures that we have yet to cotton on to? Don't say it can't be done. All it needs is political will, elevated above political correctness, and things will get done for the regions which are the very cradle of the resource boom. Peter Knobel

Wealth must be reinvested into region

ueensland shares many similarities with Western Australia. Like its eastern counterpart, Western Australia's expanse is characterised by a dry ‘outback' dotted with small rural, regional and remote communities, a vast coastline, and a capital city in which the majority of the population is based. Like Queensland, Western Australia enjoys a rich abundance of natural resources and is prospering from the current resources boom. And, like Queensland, the WA state government is reaping the rewards from mining royalties. With the development of the Surat Coal Basin in southern Queensland now underway, and with the WA National Party receiving great support for its Royalties for Regions program at the recent state election, it is timely to look across the Nullarbor Plain for the Queensland Government's next policy. Whether it is through mining or agriculture, regional and rural Queenslanders have long contributed greatly to our state's wealth, often with their own communities missing out on the full benefits. The farming towns of the Surat Coal Basin will soon witness a profound

COMMENT Bruce Scott MP Federal Member for Maranoa

change in the dynamics of their local economy, and while local councils are working hard to prepare for the sudden influx in population and wealth, without sufficient financial support from governments they may be constrained by a lack of adequate services. A policy similar to that of the WA National Party's Royalties for Regions program, which calls for 25 per cent of mining royalties to be directly reinvested into regional areas, would better equip local councils to upgrade and maintain vital infrastructure, roads and amenities. It would also bring relief to ratepayers and small businesses, who are already feeling the burden of increased local activity. Direct reinvestment of royalties into regional areas will not only help to address the certain social and economic

Surat Basin NEWS Thursday 25 September 2008

changes to these communities, but will also assist councils in implementing policies on housing affordability. Already the towns of the Surat Coal Basin are beginning to see a sudden increase in rental prices, and a future housing crisis is a very real possibility. Increased investment in regional areas would also help to attract longterm workers. It is widely acknowledged that the quality of basic regional services, such as health and education, is often threatened by a wide-spread reluctance to live outside metropolitan areas. A guaranteed share of mining royalties returned to where the wealth is created would provide much needed incentives to attract workers and professionals to rural areas. It is reassuring to see the Queensland Government taking an increased interest in the welfare of regional communities, farmers and landholders affected by the resources boom. If the State Government were to embrace a policy similar to Royalties to Regions, I would expect them to receive full support from all Queenslanders, especially those communities within the Surat Coal Basin.

Lock in the process

More funding needed

Reinvest the wealth

More confidence for developers needed on project approval processes. Michael Roche, QRC

Sustainability program just a start in better sharing of resource royalties. Howard Hobbs, MP

Queensland should follow the lead set by the Western Australia Royalties for Regions policy. Bruce Scott, MP

Process certainty is the Surat’s future It is a business maxim that if you have a choice between certainty and hope, you choose certainty every time. It's an adage of particular relevance to Queensland's resource-based industries poised to invest millions if not billions of shareholders' dollars into capital-intensive projects at the mercy of global commodity markets. However, just last month, the Queensland economy lost three major resource sector proposals worth in the region of $20 billion, before the project proponents could even prepare scheduled Environmental Impact Statements. Queensland Energy Resources' McFarlane oil shale project near Proserpine, Brigalow Mining Logistics' Mackay Harbour coal terminal project and Waratah Coal's Shoalwater Bay rail and port project north-east of Rockhampton were blocked summarily by the state and federal governments. Each had attracted local community action group opposition, but of utmost concern to the QRC is that our governments did not allow any of the projects

COMMENT Michael Roche Chief Executive Queensland Resources Council

The simple message to industry and future investment is a loss of confidence in due process surrounding project approvals. The QRC does not expect every project to win government approval. Our demand is not for certainty of outcomes, but rather certainty of process.

More big numbers to move beyond local disquiet. As a result of the Mackay Harbour and Shoalwater Bay decisions, the nation has surrendered additional coal port capacity of some 135 million tonnes per annum at a time when forecasters are saying strong prices must be replaced by greater volumes if we are to simply maintain market share. Queensland has also declared a 20-year moratorium over an oil resource the size of Bass Strait and ensured the stalling of the entire oil shale sector in the state. Queensland's oil shale reserves are equivalent to the conventional reserves of the world's tenth largest oil producer — Nigeria.

Recent economic research published by the State Government has updated the contribution of the minerals and energy sector in Queensland. A report prepared in 2007 by ACIL Tasman entitled The economic significance of mining and mineral processing to Queensland calculates that the sector employs directly and indirectly more than 28 per cent of Queensland's workforce. Reflecting the best pay rates of any sector, it also generates more than 31 per cent of the state's total wages and salaries. ACIL Tasman estimated the direct contribution to Queensland of mining and minerals processing in 2007 at $32 billion — a total determined

Short and long term protection Much has happened since the last edition of the Surat Basin News. I was delighted to participate in the Meeting of the Minds Forum at Dalby in July, organised by Federal Member for Maranoa Bruce Scott. The day brought together representatives from Queensland’s oil, gas, mining industries and landholders. I commend Mr Scott for his foresight which brought this meeting to fruition and the initiative to develop a communiqué and working group to address the following issues. • Access — rights of landholders; authority to prospect; conditions of entry and right of refusal; classification of work. • Environment – environmental impact of mining development, storage dams, use of water by-product, salt and any toxic substances; chemical use; noise pollution; land care and rehabilitation. • Compensation — negotiation for loss of production, future earnings and value of assets. • Regional impact — local roads, wage structure, social services such as health, housing, airports, regional planning – short and long term, and economic and social impacts. • Restricted areas — total exemption of any mineral extraction in eco-sensitive and prime agricultural land, intensive livestock and organicaccredited farms. I understand the working group has held its first meeting and progress is being made. There was an obvious message from the forum that the state legislation needs to be seriously reviewed to ensure protection in the short and long term, of Queensland’s prime agricultural land. I have been a strong believer that state

A report prepared in 2007 by ACIL Tasman entitled The economic significance of mining and mineral processing to Queensland calculates that the sector employs directly and indirectly more than 28 per cent of Queensland's workforce. before the announcement in April this year of record prices for export coals. The contract price for coking coal — used in steelmaking — has almost trebled in response to growing demand and supply constraints. The price for export thermal coal for electricity production has doubled. Based on a worst case scenario of there being no additional export tonnages through Queensland's ports this financial year, QRC estimates the export coal industry's value at around $38 billion in 2008-09 — up $20 billion on the previous year. Coal royalties paid to the state government this financial year will exceed $3.2 billion, trebling taxpayer returns from the industry. Overall mineral royalties are

forecast at $3.6 billion — close to matching the state's outlays on main roads, police and housing.

Welcome news Last month's announcement in Chinchilla by Mines and Energy Minister Geoff Wilson of the impending appointment of a departmental extension officer for the Surat Basin is welcome news for the region. The rights and responsibilities of both landholders and mineral and petroleum explorers are also explained on the Department of Mines and Energy website where information sheets are posted and expected to enjoy wide circulation in the Surat. For a copy of the fact sheets, visit: www.dme.qld.gov.au and look under features.

Kerwick’s Earthworks Pty Ltd NO JOB TOO BIG OR SMALL

Member for Warrego Howard Hobbs and Shadow Minister for Mines and Energy Jeff Seeney at QGC’s Berwyndale South gas field.

COMMENT Howard Hobbs MP Member for Warrego

owned land needed to also share some of the infrastructure burden. There was also a strong message from local government that a portion of the mining royalties need to be returned directly for maintenance and upgrades of local community infrastructure such as roads. Road damage as a result of exploration or extraction activities is a common complaint to my electorate office. I welcome the State Government’s Sustainable Resource Communities Policy which will provide $30 million per year over three years to the Bowen and Surat Basin areas, however this is putting back less than one per cent of the royalties into the communities that are at the centre of the mining regions. I do not want to see the ambiance and lifestyle of our

region destroyed by growth pressures while the State Government use royalty funds to pork barrel in city electorates. At $30 million per year for three years is only a fraction of what is needed to fix the hospitals, housing, roads, schools, water supplies, sewerage systems and recreational facilities in southern Queensland communities. This is a matter that my colleagues and I are giving great consideration to, especially through my portfolio of regional development. I have also been able to attend the community information session held by Santos at Injune in relation to the $7.7 billion Gladstone LNG project which will take coal seam gas from the Bowen and Surat basins by underground pipeline to a gas liquefaction and export facility on Curtis Island in Gladstone. Shadow Minister for Mines and Energy Jeff Seeney and I have also visited Queensland Gas operations outside Chinchilla at the Berwyndale South and Argyle-Kenya gas fields.

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PAGE 15

Surat Basin News

WIND POWER

MAXIMUM GAIN: Carbon lights the flare on world first

It’s not coal or gas, but it’s a powerful alternative

Page 20

RESOURCES

www.suratbasin.com.au

VOICE YOUR OPINION: editorial@suratbasin.com.au

ANOTHER PLAYER: MetroCoal adds to growing list of Surat Basin coal mining companies

MetroCoal commences Surat Basin program PAGE 13

Size matters in gas world Queensland Gas Company’s takeover of Sunshine Gas continues the jockeying for position that has dominated the sector for much of 2008. PAGE 7

Hard hats swapped for lab coats Construction is nearing an end at Linc Energy’s demonstration and research site near Chinchilla. The first liquids are now only moments away.

PAGE 16

Northern Energy looks to expand Northern Energy Corporation has announced the completion of a $6 million placement of 4,800,000 ordinary shares at $1.25 each to help fund ongoing exploration, evaluation and development work on the company's portfolio of coal projects. Net proceeds from the placement will also enable the company to participate in the Wiggins Island Coal Terminal final feasibility funding agreement (FFFA) with the Gladstone Ports Corporation. The placement, managed by Austock Corporate Finance, received very strong demand from both existing and new investors, resulting in a significant oversubscription and large scalebacks. NEC's managing director Keith Barker said the level of support received had been especially pleasing given the challenging market environment. “The outlook for coal demand remains strong and the funds raised will enable the company to continue to progress its diverse portfolio of coal projects towards development,” he said.

Call put out for innovation MetroCoal has commenced exploration across the Surat Basin. The primary target is the highly prospective Macalister seam in the Juandah Coal

Measures of the Walloon sub-group These coal measures are known to host the one billion tonne-plus Wandoan deposit located adjacent MetroCoal EPC 1164. Other priority areas being tested are the down dip extensions of the Cameby Downs deposit near Miles in MetroCoal’s EPC 1165, and the down dip extensions of Wilkie Creek deposit west of Dalby in MetroCoal’s

EPC 1166. Historic drilling together with earlier seismic programs has confirmed the down dip extension of the Juandah coal measures into MetroCoal’s tenements. Many holes drilled during these historic programs were, however, stopped at depths around 80-100m, above coal seams or without intersecting all the seams. This has created a number of apparent gaps in the data base and several holes in the new campaign will be drilled in the most prospective areas to infill these data gaps.

Explorers keen to tap into Queensland Exploration permits are flooding in from explorers keen to make their mark and their millions in mining in Queensland. Premier Anna Bligh and Mines and Energy Minister Geoff Wilson said there had been a 100 per cent increase in the number of applications from explorers in the last financial year. In 2005-06 the Department of Mines and Energy received

NEWS BRIEF

650 applications. At the end of April this year, more than 1300 applications had been received – that’s more than double. “These applications are an indication of the confidence in Queensland and the interest companies have in coming here to do business,” Ms Bligh said. “We are lucky to live in a vast state that is blessed with many natural resources and there is more to discover in Queensland.”

Minister Wilson said mining was booming and would continue to power ahead in Queensland. “There is now more land under granted exploration tenure in Queensland than at any time in the past,” he said. “And while mining’s going full steam ahead, we haven’t forgotten where it all begins, in exploration. “Today’s exploration means tomorrow’s jobs.”

Surat Basin NEWS Thursday 25 September 2008

Explorers keen to uncover Queensland’s richest resources are being urged to apply for a share in $2 million to undertake exploratory drilling projects in under-explored areas of the state. The grants are being offered under the third round of the Queensland Government’s Collaborative Drilling Initiative. Mines and Energy Minister Geoff Wilson said the initiative was part of Smart Mining – Future Prosperity, a four-year, $29 million program which started in 2006-07 to increase exploration in Queensland. “This program is designed to encourage companies to work in frontier areas that would be considered high-risk under normal circumstances,” Mr Wilson said. “We know exploration can be costly and we want to give these explorers are leg up in their search for undiscovered resources. “The Bligh Government is committed to supporting industry in its quest to discover new mineral deposits to become the sustainable mining ventures of the future. “Because today’s exploration will yield tomorrow’s mines and jobs.” Mr Wilson said in the first two rounds of the program, 37 exploration companies had received $4.3 million in collaborative drilling grants to carry out 47 drilling projects. “Twenty-one of these projects were either underway or completed, with several already showing results,” he said.

RESOURCES

When you’re competing with global heavyweights for a resource worth billions, there’s no question that...

Size

does matter Q

ueensland Gas Company managing director Richard Cottee hopes a touted “coal seam gas powerhouse” will be in place by as early as next month. QGC plans to merge with Sunshine Gas in a $830 million deal to expand the company’s footprint to about 40,000 square kilometres of Surat and Bowen basin acreage. The offer is expected to close on October 13 and needs support from 90 per cent of Sunshine Gas’ shareholders. Mr Cottee said consolidation in Queensland’s coal seam gas market was needed as more multinational companies jockeyed for position. With strategic activity in the sector expected to continue in the wake of rising gas prices and emission trading schemes, Mr Cottee is adamant size does matter. “Many of the entrants into the domestic market have been large multinational companies with global operations and significant financial capacity,” he said. “This has led to a significant increase in competition in the industry and made the ability of smaller players to compete much more difficult. “By combining Sunshine’s assets with QGC, Sunshine shareholders will benefit from enhanced scale which is essential to compete in this new market landscape.” QGC chairman Bob Bryan agreed that size was critical. “Sunshine and other smaller CSG explorers will be at risk of not attaining the highest returns available for shareholders unless they work together with larger companies such as QGC,” he said.

“A combined TARGET: QGC and Sunshine is in a Queensland better position Gas to explore, Company’s develop and planned c o m m e r c i a l i s e takeover of S u n s h i n e ’ s Sunshine Gas acreage.’’ should be Sunshine Gas locked in next was set to compete with QGC month in the LNG market with plans to develop a rival Gladstone plant 1P Reserves in co-operation with Japan's 2P Reserves Sojitz Corp. Mr Cottee said combing the 3P Reserves two companies’ reserves would add “powerful momentum” to QGC’s electricity generation strategy. He said combined coal seam gas reserves would provide “an exciting boost” to QGC’s Curtis LNG project with BG Group, which could churn out 12 million tonnes a year. Sunshine managing director Tony Gilby said in a joint ASX announcement on August 20: “The combination brings together two like-minded Queensland companies with common goals and cultures. “Sunshine’s shareholders will also have the ability to share in any upside in improved CSG pricing and a multi-train LNG development through QGC equity. “QGC is a significantly larger company with greater market liquidity and prospects for growing shareholder value. The proposed merger with Sunshine Gas follows QGC’s $47 million takeover of Roma Petroleum last month.”

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SUNSHINE GAS

COMBINED

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PAGE 17

RESOURCES

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POWERFUL ALTERNATIVE The Coopers Gap Wind Farm will... • cost $1.2 billion to build • cover 12,000 hectares made up of 10 Cooranga North properties • be made up of 218 turbines • generate 1.5 million megawatts each year • displace 1.9 million tonnes of greenhouse gas emissions • create enough electricity for 286,000 homes • possibly be operational by 2011

A montage of the Coopers Gap Wind Farm, located in the Cooranga North area 40km north of Dalby.

The Coopers Gap Wind Farm will use wind to generate enough electricity to power 286,000 homes but displace greenhouse gas emissions to the equivalent of taking 460,000 cars off the road or planting 3 million trees. There is little wonder landholders have laid out the welcoming mat. Cooranga North landowners threw their support behind the largest wind farm in the southern hemisphere at a community meeting held last month. Breaking from traditional Surat Basin energy generation projects, the $1.2 billion wind farm could create enough electricity for 286,000 homes using renewable wind energy. That is about 1.5 million megawatt hours each year while displacing 1.9 million tonnes of greenhouse gas emissions. Situated north-east of Dalby, the Coopers Gap Wind Farm would be made up of 218 turbines across 12,000 hectares, impacting on around 10 grazing properties. The wind farm is currently subject to a development applica-

tion with South Burnett and Dalby Regional councils. Pending approvals international specialist banking group Investec Bank and Windlab Systems, established by the CSIRO, plan to begin construction by mid 2009. The wind farm could be fully operational by late 2011. Investec project manager Lynne Lagan said last month’s community meeting was part of ongoing consultation with landowners. “We’re just letting everyone know what we’re doing,” she said. “We’ve been consulting landowners in the vicinity of the project over the last few months but this is bringing everyone together.”

Ms Lagan admitted very few had objected to the project while any complaints would be dealt with by the developers. “The only complaints we’re hearing are from those people missing out on the project,” she said. “Apart from that one negative, it’s all been very positive and everyone is supportive of the project. The feedback has been that this is a good thing for the area. “But if there are concerns, we still need to be made aware of them.” Ms Lagan said the country welcome rolled out at the community meeting had been the case during the company’s ongoing consultation period.

“Everyone is just so lovely and it’s really been a nice community to work with,” she said. Dalby Regional mayor Ray Brown attended the community meeting and lauded the developers’ consultation approach. In a region grappling with an influx of coal mines and gas fields, he said the wind farm developers were setting new standards in taking a project to locals. “Like all developments, this is going to have an impact, but they are willing to pay adequate and forward thinking compensa-

tion,” he said. “The organisation went to the landholders first up and made appropriate compensation offers. “It would be a shame if the mining industry didn’t take a good, close look at this to see how it could bring communities on side.” Cr Brown expected the wind farm to offer local landholders income protection during times of drought without too much disruption to farming practices. “What a great superannuation policy,” Cr Brown said.

“It would be a shame if the mining industry didn’t take a good, close look at this to see how it could bring communities on side.”

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Surat Basin NEWS Thursday 25 September 2008

RESOURCES

It’s been a long wait but construction crews are finally packing up

Hard hats flung as Linc graduates Construction is over, the reactors have been switched on and Linc Energy has begun the final phase of commissioning and liquids production. Linc Energy announced last month the official handover had occurred from the construction and engineering team to the gas to liquids(GTL)/Fischer Tropsch (FT) reactor team. This handover means that all the relevant items have been completed and tested. The GTL/FT reactor crew has now taken over start-up and operations of the GTL demonstration plant and initialised the FT reactors last week. Linc Energy chief executive Peter Bond said reaching the milestone had been an “achievement”. “The GTL demonstration plant that we have constructed here on site at Chinchilla is absolutely world-class,” he said. In addition to the GTL demonstration facility milestone, Linc Energy has also recently completed and opened

its gas catalyst laboratory located on site. The laboratory has the capability to produce its own facsimile gases and to simultaneously test these against a range of different catalysts. “When I first came up with the business plan of UCG gas to GTL (liquids), and I wanted to test that theory, there was nowhere in Australia I could do that,” Mr Bond said. “The facilities just simply did not exist in this country, so Linc Energy had to initially complete all of its test work overseas in the United States and South Africa. “The construction of Linc Energy’s own world-class catalyst laboratory will take Linc Energy to a whole new level of professionalism and knowledge, and in doing so, it will help take Australia a step closer to

The wet laboratory at Linc Energy’s Chinchilla site. the goal of energy independence”. Mr Cobus Malherbe, Linc Energy’s head of laboratory said the facility was “truly world-class”. “I spent years working in this field and you can see that in the months to come this facility will be equal to anything the world can offer,” he said.

“The GTL demonstration plant that we have constructed here on site at Chinchilla is absolutely world-class.”

Construction on the gas to liquids plant is finished and all major work has moved into laboratories.

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RESOURCES

It’s been a long wait but construction crews are finally packing up

“The GTL demonstration plant that we have constructed here on site at Chinchilla is absolutely world-class.”

Construction on the gas to liquids plant is finished and all major work has moved into laboratories.

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Surat Basin NEWS Thursday 25 September 2008

PAGE 19

RESOURCES

"This will not only put Kogan on the map worldwide, it will put Queensland and Australia on the map," Cr Ray Brown, Dalby Regional mayor Bloodwood Creek is located 35km south west of Dalby and holds an inferred resource of 100 million tonnes of coal. While a demonstration at the moment, once the process has been proven, commercial operation could be only three years away.

All photos by Dave Wicks — dmwcreative

to make synthetic gold most, Carbon Energy plans to an industrial powerhouse “When we finish with a UCG project you will never know we were there,” Mr Mark said. “We're not digging a great big hole in the ground to get that energy; we're not putting evaporation dams on the surface. “We are extracting the coal, we are keeping the water pressure in place as much as possible to maintain the local aquifers — we need the pressure to maintain our processes — and we're managing all the other impacts we're going to have.” But while Bloodwood Creek represents the birth of Carbon Energy,

according to Mr Mark by no means will it be the final resting place. Mr Mark said the company's goal was also to take the process around the world. “We will supply the market with whatever the market needs at whatever location we go,” Mr Mark said. Opening the series of community meetings, Dalby Regional mayor Ray Brown described Carbon Energy's vision as “world-breaking”. "This will not only put Kogan on the map worldwide, it will be Queensland and Australia on the map," he said.

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PAGE 21

RESOURCES

o the west lay 32,000 hectares of prime agricultural land about to be turned upside down by a billion-dollar plus coal mine. All around them was a town that will never be the same again. Inside the Wandoan Cultural Centre sat 200 concerned residents. Xstrata had the floor.

BY Liz Cush editorial@suratbasin.com.au

Xstrata is rolling ahead with plans for the Wandoan Coal Project and will soon start taking submissions for the environmental impact statement. Last week the deadline passed for people to have a say on the terms of reference for the EIS. The EIS will be available for comment by early November. At a meeting in Wandoan on September 11, representatives from Xstrata and the Department of Infrastructure and Planning met with local farmers and Landcare members who had grave concerns about the impact of the mine on their community. Some were concerned about their properties being split in half by the railway line.

One disgruntled farmer said the community demand was to put in a utilities corridor that “would save tormenting the hell out of everyone”. Department of Infrastructure and Planning significant project co-ordinator Matt Grant said the right route for the powerlines wouldn’t be the right route for the railway line and gas pipelines. Farmers raised concerns the EIS was being rushed through but Xstrata insisted that it had undertaken envi-

In Wandoan on September 11 landholders and residents assembled at the Wandoan Cultural Centre two weeks before comment closed on the draft terms of reference. It was...

THE FINAL SAY IN THEIR TOWN’S FUTURE

ronmental assessments over the past two years. “We’ve spent two years pounding the streets, and 95

per cent of environmental impact statements are standard and generic,” Xstrata representative Rob Thatcher told the public meeting. The EIS would look at fauna and

“Why should our town go through all the environmental degradation, loss of amenities and loss of peoples’ life style if we are not going to get anything out of it.”

PAGE 22

flora, water, air, noise and dust, social impact, greenhouse emissions, land, local ground water and the coal seam gas water supply pipeline. Wandoan landholder Alex Long said he was particularly concerned about increased dust particles in the area as well as the social impact of the mine.

“The model Xstrata is holding up is a failed model,” Mr Long said. “It’s not good enough to have a mining camp four and a half kilometres out of town with fly in–fly out workers. There’s no benefit for the local community. “Why should our town go through all the environmental degradation,

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Surat Basin NEWS Thursday 25 September 2008

RESOURCES

A dragline at Xstrata Coal’s Bulga Mine in New South Wales. Inset: Xstrata coal has removed close to 50,000 tonnes of coal from a sample pit at Wandoan for coal testing. loss of amenities and loss of peoples’ life style if we are not going to get anything out of it. “We have an opportunity for a new model. To make sure the town gets any benefit from this big, black hole we’re going to be standing around, the miners will have to live here in town.” E N G I N E

Wandoan farmer Richard Golden said the issue of water was a massive concern. “I was relieved to hear that

they won’t use the GAB water,” he said. Mr Thatcher told the meeting that Xstrata was not

planning to use groundwater from the Great Artesian Basin but was negotiating with Origin and Santos for the use of water from nearby leases. Mr Golden was concerned that access to the town for those living outside the lease area would be moved. “We will be impacted by losing access to facilities. The bus driver doesn’t know whether he will have a run or not,” Mr Golden said. “You pull a brick out of the bottom of the wall and the wall falls.” Wandoan Rural Supplies owner Helen Devlin said she saw the developments from a number of perspectives. She and her husband also own a property just outside the lease area. “There will be positives and negatives. “From a business perspective, the town needs to grow but we want an attractive town for people to live in, not for the fly in and fly outs. “I can see advantages because the school has been decreasing over the past years,” she said. On the other hand 37 Wandoan farming families with strong ties to the community will be forced to leave as Xstrata acquires their land. “That’s really sad for the community,” Mrs Devlin said.

“We have an opportunity for a new model. To make sure the town gets any benefit from this big, black hole we’re going to be standing around, the miners will have to live here in town.”

S E R V I C E S

•

T U B U L A R

S E R V I C E S

•

Wandoan’s first look at sample pit Wandoan locals got to see first hand what is involved in the early stages of mine development when they attended a tour of Xstrata Coal’s sample pit outside Wandoan recently. About 130 people viewed the sample pit, rehabilitation trials, crushing and trucking operations on the site. Guests included local families and landholders, councillors and staff from Dalby Regional Council and small business owners from the region. Xstrata Coal Wandoan coal project director, Bill McKinstrey, said the tour of the sample pit was an opportunity for locals to experience some of what was involved in a new mining project. “It was a pleasure to welcome so many people on to site and have the opportunity to answer their questions regarding the pit operations and the project,” he said. “Sample pit activities are an important part of our pre-feasibility studies for the project. The tour provided a unique experience for locals to understand what has been happening on site to date.” Xstrata Coal has extracted about 50,000 tonnes of coal from the 23m deep and 300m long pit for trial washing, grinding and burning to understand the coal quality and to help identify potential customers. Visitors donned safety gear including hats, glasses and vests, to walk out to a viewing platform 23m above the pit floor. Highlights of the tour included seeing the rehabilitation of an old sample pit mined by MIM about 30 years ago, seeing trial plantings where top soil dug up from the new pit area was reused and seeded with native grasses and pasture and taking a piece of coal home from the site as a souvenir.

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PAGE 23

Surat Basin News

DIESEL ELECTRICS GRAND OPENING Doors swung open after closing time

THE COMPANIES www.suratbasin.com.au

VOICE YOUR OPINION: editorial@suratbasin.com.au

On the road with nation leading rental franchise PAGE 25

Pushing ahead at Braemar Ostwald Bros has played its part in several large resource-based projects across the Surat Basin and the Braemar 2 Power Project is no exception. PAGE 26

A leader in global technology Toowoomba-based Easternwell Group launches a state of the art coal seam gas rig with the help of the Queensland Government ministers.

PAGE 24

kets,” Mr Kibble said. While Avis South West Queensland has grown rapidly over its 23-year history, Mr Kibble believes its strong presence in the Surat Basin ensures the upward trend will only continue. “There's certainly a bright future for Avis in south west Queensland considering all the development in the Surat Basin,” he said. “We're focused on developing our locations to meet ongoing demand.”

The power behind the coal seam gas explosion Oil Lift Technology is a brand synonymous with the gas fields of the Surat Basin. The company's progressive cavity pumping systems have become the preferred choice for many of the major players in Queensland's burgeoning coal seam gas industry. Oil Lift Technology started in Canada in 1999 before Todd Hult brought the company to Australia in early 2006. Today, Oil Lift Technology has field service centres in Chinchilla, Injune and Roma with its main manufacturing centre located in Brisbane. Mr Hult said being close to the Surat Basin gas fields provided an immediate advantage over our competitors. “It means quicker delivery times, reduced costs because of freight and the ability to react faster, which is very important considering the industry we're working in,” he said. Mr Hult believes the company's drive to supply engineered solutions to the Australian industry makes Oil Lift Technology the preferred supplier to Surat Basin coal seam gas

Oil Lift Technologies’ Roma base has been inundated with equipment as coal seam gas development ramps up. fields. “I think it's pretty clear that anyone can sell a PC pump or drive head, but knowing how to apply that equipment to maximise the clients benefit and reward is what creates mutual success,” he said. “To put it simply, our success depends on our client's success.” Oil Lift Technology's equipment is manufactured in Brisbane but benefits from direct

access to the company's Canadian engineering, production, research and development departments. All equipment is delivered to the client with meeting the demand of local conditions at the forefront. “For years the larger artificial lift companies have used international markets like Australia as a dumping ground for obsolete and discontinued equipment that could no longer be sold in North

Surat Basin NEWS Thursday 25 September 2008

America,” Mr Hult said. “We manufacture products in Australia that are designed for Australian coal seam gas applications.” Experienced staff help install, monitor or service Oil Lift Technology's equipment once onsite, which keeps maintenance and total cost of ownership at a minimum. “Every producer has problem wells, our clients hate them, but we love them,” Mr Hult said. “It's a chance to showcase our experience and problem solving abilities at the well site.” The popularity of Oil Lift Technology's innovative drive head systems and equipment for coal seam gas dewatering is shown in the company's recent growth. Sales have more than doubled in 2008 with supply of over 340 well systems, and the company looks forward to similar expansion over the next few years. “It's an expanding industry and we're setting up long term, strategic locations to support our clients,” Mr. Hult said. “We are here as a long term partner and not a short term supplier”

THE COMPANIES

Hotondo scores at building awards

Ostwald Bros on the ground and on target at Braemar 2 As the Braemar 2 Power Project nears completion, Ostwald Bros is on target to complete all civil works in time for commissioning later this year After successfully completing bulk earthmoving and concrete works during the construction of Braemar 1 power station, Dalby-based civil construction company Ostwald Bros was selected as a major contractor for ERM's Braemar 2 power project. Work commenced in January and with an extensive fleet of companyowned plant, Ostwald Bros cleared and stripped the nine hectare site before a cut to fill operation began using a D11 Dozer and a 75-tonne excavator complete with rock breaker.

Around 20,000 cubic metres of white rock material was raised, tested and placed as well as 18,000 tonnes of type 2.2 road base material, raised from Ostwald Quarries. The contract required precision structural concrete with the three main turbine bases each requiring 360 cubic metres of concrete in three separate night pours (carried out between 10pm and 6am) temperature controlled with ice and insulation during a seven day controlled curing process. Plinths and pedestals were constructed to support the turbine and generator on the main turbine base. The contract also included construction of a sediment pond including a

pre-cast interceptor pit, cast as separate tilt panels in the Ostwald Bros' yard. Subsidiary works included installation of a bank of 39 conduits in three layers, installation of stormwater, twin cell culverts and revetment mattress. Ostwald Bros chief executive Brendan Ostwald said: “Since Braemar 1 Ostwald Bros has acquired more plant and expanded our concrete and quarries division. These additional capabilities proved valuable during the construction of Braemar 2 — a significant project within our region.” Contracted works are due for completion in September.

Chinchilla Hotondo and their team are celebrating after winning four categories in the Master Builders Regional Awards announced in July. Hotondo won awards for Best Bathroom Renovation, Facilities for the disable renovation project, Home renovation/remodelling project over $375,000 and Low Rise MultiResidential Housing (Duplexes and Townhouses) total project over $2.5 Million. Since joining the Hotondo Homes franchise in 2006, Chinchilla Hotondo have specialised in building affordable, environmentally efficient homes from Hotondo Homes extensive range of flexible floor plans in Chinchilla and surrounding areas. The Master Builders Regional Awards showcases the outstanding craftsmanship and professional standards of association members and demonstrates the commitment to building excellence in the residential and commercial sectors throughout Queensland. Peter Schumer, the licensed builder of Chinchilla Hotondo said recognition of such a magnitude at the Master Builder's award was unexpected. “To take home four regional awards is an amazing feat,” he said. “It shows the continuous effort put in by management and trades in striving to produce quality products have been worth while. “Colin West, Jay Wilms and I would like to commend our staff, the local trade's people and suppliers for their contribution in winning these awards, and they should be proud of their achievements. “We look forward to working with them as we endeavour to deliver best practice in both product and service. It is great to see what local people can achieve when they work together towards a common goal." Judging of the awards was based on the quality of construction, quality of design.

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Multi Unit Dwellings • Glasson Villas Townhouses “Chinchilla's Luxury Living and Lifestyle” MBA Award Winning Townhouses for Regional Qld • Condamine St Village “17 x 2 Bed - 2 Bath - 2 Car Complex” (Planning Stage) • Two Houses on a Title “3 Bed - 2 Bath - 2 Car” (Lodged waiting approval.) • Duplex Blocks “4 Lots vacant to suit 3 or 4 units” (Council approval required)

Rural Residential • Clearview Country Estate Chinchilla “Spacious rural living” (Lodged waiting council approval)

Industrial Land • Chinchilla Industrial Project “27 Lots 4600m2 to 1.4Ha” (Lodged waiting council approval)

Commercial Projects • Chinchilla 24Hr Service Station and Fast Foods (Approved - opening mid 2009)

www.suratbasindevelopments.com.au Surat Basin NEWS Thursday 25 September 2008

PAGE 25

THE COMPANIES

Hotondo scores at building awards

SuratBasinDevelopments Telephone (07) 4669 1288 Warren Daniells 0427 468 591 Greg West 0403 468 589 Residential Developments Sovereign Park Estate Chinchilla’s Premier Address Bottle Tree Estate Chinchilla’s Affordable Address Pine Trees Estate Miles new estate (Lodged waiting approval)

Multi Unit Dwellings Glasson Villas Townhouses Chinchilla’s Luxury Living and Lifestyle MBA Award Winning Townhouses for Regional Qld Condamine St Village 17 x 2 Bed - 2 Bath - 2 Car Complex (Planning Stage) Two Houses on a Title 3 Bed - 2 Bath - 2 Car (Lodged waiting approval.) Duplex Blocks 4 Lots vacant to suit 3 or 4 units (Council approval required)

Rural Residential Clearview Country Estate Chinchilla Spacious rural living (Lodged waiting council approval)

Industrial Land Chinchilla Industrial Project 27 Lots 4600m2 to 1.4Ha (Lodged waiting council approval)

Commercial Projects

www.suratbasindevelopments.com.au Surat Basin NEWS Thursday 25 September 2008

PAGE 25

THE COMPANIES

Matching the growing demand Medical response vehicle Consolidated Properties, the wholly owned development subsidiary of listed diversified property group Trinity, has responded to the growing demand for industrial property due to south-west Queensland’s resources boom with plans for a high-quality estate on a 50 ha parcel of grazing land at Roma. Consolidated Properties proposes to develop a $52 million industrial estate on land which is located opposite the Roma Saleyards. Consolidated Properties’ project partner Robin Hodge said land, located just 3km from the Roma town centre, was an ideal site for medium to large industrial users in the region. “Queensland’s Surat Basin is presently undergoing a major coal seam gas boom and this is generating strong demand for industrial land in Roma. Most of the accommodation for industrial users in the region is now quite old and there is virtually no developed space remaining in Roma,” Mr Hodge said. “We believe the continued rapid development of resources in the region will bring strong growth in the number of businesses and their employees wishing to be based in Roma. “The proposed estate has easy access to the Warrego Highway and with newly-upgraded air services to Roma it is well placed for businesses requiring road and air access to the region. “The project is also designed to accommodate type-two road trains, allowing it to cater for a broad range of industrial uses.” Mr Hodge said Consolidated Properties now had development approval for the project from the Roma

Regional Council and was currently working on the estate’s final design, which would support 28 lots of between 2ha and 4ha, to be developed in a single stage by June 2009. “The Roma Regional Council has recognised the need for a high-quality industrial development, such as that being proposed by Consolidated Properties, and the council’s progressive approach has been evidenced by prompt action during the approval process,” he said. The Roma industrial land will be marketed at an average of $110 per square metre. “This industrial development is designed to appeal to both major companies and established local enterprises involved in mining and resources industry in the region. “We believe it will support many uses, from warehouses to office buildings and maintenance facilities for mining services companies,” Mr Hodge said. “The project has already attracted strong initial interest, particularly from local businesses which recognise the quality of the project and there is strong pent-up demand due to the larger industrial users moving into the region.” Mr Hodge said in addition to selling the industrial lots to end users, there was also the potential to custom-build and lease complexes to blue-chip corporate enterprises. “There is a definite lack of quality building stock in the region so we believe a new, high quality industrial estate providing good access for major industrial users will be in a prime position to attract both owner occupiers and tenants,” he said.

Diversified Construction has commissioned a purpose built vehicle to be used as a mobile clinic/medical response vehicle for the new Berwyndale to Wallumbilla gas pipeline project which commenced construction this month. The majority of pipeline works are constructed in remote locations where established medical facilities and rapid medical response cannot always be guaranteed by the ambulance service. The provision of an emergency response vehicle by DCC ensures an appropriate response can be provided to staff if required. Alex Drapow, a trained paramedic employed by DCC with experience in managing medical facilities on major projects, identified the need for a dedicated medical vehicle available to the project and properly fitted out to cope with any emergency. But which would also be robust enough to withstand daily travel along the 115km pipeline route. Alex patrols the work stations along the pipeline route on a daily basis to be available to the on site crews.

Diversified’s purpose built mobile clinic/medical response vehicle. The vehicle was made available to Alex by DCC and he designed the layout, with the vehicle being completely fitted out in the DCC workshop at Hemmant in Brisbane. The fitout includes a stretcher, heart defibrillator, resuscitation unit, more than 100 items of first aid equipment, and a complete communications unit enabling instant contact with the local hospital and emergency services. “The workshop did an excellent job of fitting out the 4X4 and congratulations must go to Glen

Wright and Gary Wright for providing a first class fully equipped emergency response vehicle,” Alex said. DCC is very proud of its safety record and works hard to ensure that all its projects are completed without harm to employees and the community. Around 200 people will be working on the pipeline at any one time and while it is DCC's earnest desire that the vehicle will never be used for emergencies, staff have the comfort in knowing that an immediate response is always available.

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PAGE 27

THE COMPANIES

CEC sends apprentices packing to keep them on BY Liz Cush editorial@suratbasin.com.au

When Steve Smith joined Condamine Electric Company seven years ago after finishing his electrician’s apprenticeship, he never imagined how far the job would take him. Last year his boss sent him to China for two weeks to wire up a farm complex in the mountainous, rural province of Guizhou. It was the first time for Steve to travel overseas and he jumped at the chance. “I thought it was a good opportunity to get to go see another culture and another way of life,” Steve said. “It was a bit scary because of the language and the communication and they’ve only just opened up the area to westerners.” Managing director Gavin Walton believes a strong focus on skills development is key to retaining staff, so regular courses are just part of the job. “The training we do in the company stands out compared to other companies,” Gavin said. “We just to try to keep the staff getting smarter and more skilled all the time.” It is this philosophy that led to Condamine Electric Company being named

PAGE 28

Southwest Queensland Employer of the Year at the Queensland Training Awards in July. For two of Gavin’s electricians, part of that up skilling last year involved working in a remote part of China where electricity has only recently started to flow. “It’s something we do to help retain our people; it’s a bit of an incentive,” Gavin said “At the same time the benefit is that they pick up knowledge and come back the wiser for it.” When Steve and an apprentice electrician arrived in Guizhou, China, they had to source the equipment they needed, reaching across the language barrier. “Part of the learning was to send them to an area that was not the same as here,” Gavin said. “It was good fun for them and meant that they could be a bit resourceful.” Now the company is looking at sending electricians on working trips to Canada and Norway next year. “It helps us to retain our guys because everyone wants to go travelling,” Gavin said. “It’s always good for the young fellows who want to buy a house and still want to travel.”

Condamine Electrical Company celebrates its award winning training initiatives. Gavin set up Condamine Electric Company in 1992 as a one-man band and over the years has built a business of 31 staff. Now he has 12 tradesmen on the tools and another five in management roles, while the company is currently training 11 apprentices. “It’s a high ratio of apprentices to tradesmen and it helps to have a fresh supply of tradesmen all the time,” Gavin said. “Part of the focus for me is

to get into a position where me and the workers can have a life; you don’t have to work seven days a week and you are not always on call,” he said. Gavin holds a toolbox meeting every Monday morning as an opportunity for staff to raise any issues or concerns and to get the latest updates on site inductions. “All the guys can speak out about something that is dangerous or unsafe in the past week that we can address,” Gavin said.

Surat Basin NEWS Thursday 25 September 2008

Safety at the core of custom vehicle Long gone are the days of the canary down the mineshaft and of coal seam gas only being a volatile and dangerous hazard to miners. But working on the gas fields of the Surat Basin still comes with its risks. That is where AAA Engineering Technologies, opened in 1993 husband and wife team Barry and Christine Sharp, comes in. The Crows Nest based company has developed, designed and manufactured a mine rescue vehicle to cart water and carry fire safety equipment. The vehicle was custom made for a specific client but has since been the driving force behind AAA Engineering Technologies’ business expansion. “We’re not so much taking our direction away from rural fire fighting but are instead diversifying our revenue steam into more customised vehicles for the mines and clients like Queensland Rail,” national sales and marketing manager Marc Leman said. “It’s a strategic direction based on our experience and capability to provide custom made vehicles for clients.” The new direction helped the company claim the Best Regional Business award at the Toowoomba Chamber of Commerce Business Excellence Awards this month. While AAA Engineering Technologies has grown in recent years, including three new staff in 2008 alone, Mr Leman believes it is only the tip of the iceberg. “We have a footprint in the Surat Basin and we’re building on it,” he said. The company employer in Crows Nest and all manufacturing is one from the local site. It is a local focus that AAA Engineering Technologies holds with a great deal of pride. “We’re a strong community minded company,” Mr Leman said.

Surat Basin News

KOGAN CREEK RE-EMERGES CS Energy continues to progress Kogan B

INFRASTRUCTURE www.suratbasin.com.au

VOICE YOUR OPINION: editorial@suratbasin.com.au

THE COUNTDOWN: Team in place for power station start-up

Queensland Gas ready to fire into electricity market PAGE 31

Dam project tours region After failing to get afloat over the past 86 years, the Nathan Dam is again building momentum and this time it could replenish water starved towns as far east as Dalby. PAGE 30

Surat Rail on track for more than just coal Proponents behind the Surat Basin Rail have announced the project will carry freight as well as coal in a boost to primary producers across the Western Downs.

“We've assembled the team together and we're all keen to get the plant running,”

Queensland Gas Company’s manager of the Condamine Power Station, Steve Carter, has assembled his team and is now focussed on starting up the 140 megawatt gas fired unit.

Kogan Creek Power Station gears up for tune-up CS Energy is preparing to ‘open the bonnet' and service its new Kogan Creek Power Station in October, bringing up to 200 workers and up to $1 million in flow-on benefits to the region. CS Energy's David Bell said the overhaul involved checking for any defects and conducting minor repairs on areas of the station that were known to need attention. “This is basically the 12month warranty service on the

station,” Mr Bell said. “We need to inspect the plant to make sure it's operating as expected. “We're also doing the statutory occupational health and safety checks to ensure it complies with the relevant standards.” The overhaul will ensure Kogan Creek continues to operate safely and reliably until its next scheduled overhaul in two years time.

Workers will begin arriving at the start of October in preparation for the overhaul and the power station will be offline from October 17 to 31 for the work. Mr Bell said CS Energy would use the overhaul contractors it uses at all sites to

carry out the work and they are expected to bring up to 200 workers to the region. “If you add up the potential accommodation, food and incidental spending of these workers, we estimate it could bring up to $1 million in revenue to Chinchilla,” he said.

“This is basically the 12-month warranty service on the station. We need to inspect the plant to make sure it's operating as expected.”

Surat Basin NEWS Thursday 25 September 2008

PAGE 29

INFRASTRUCTURE

Surat Basin Rail on track for freight and coal

n a major boost for regional Queensland, the alignment for the proposed Surat Basin Rail has been selected to cater for both freight and coal traf-

fic. Surat Basin Rail chief executive Graham Dooley announced today that the 210-kilometre railway linking the coal-rich Surat Basin and the port of Gladstone would be an open access coal and freight line and not confined solely to coal. “In July, the Surat Basin Rail joint venture made the significant commitment to adopt a preferred alignment for the proposed railway that will be also suitable for general freight, such as agricultural produce,” Mr Dooley said. “Coal will still be our number one customer however other types of freight will be welcome to use the railway. “We will not undertake any further studies on a narrow gauge alignment dedicated only to coal.

PAGE 30

“Instead, our project team will progress the combined coal and freight alignment, with the potential at some time in the future for a dual gauge track to accommodate interstate trains, subject to government requests. “The railway will be designed for use initially by diesel trains, with provision made for electric trains in the future.” Mr Dooley said the development of the Surat Basin Rail would be a major windfall for Queensland’s economy and its leading export industry, coal. The preferred Surat Basin Rail alignment runs broadly from Wandoan to Banana in a largely north-south direction, following major roads and property boundaries where possible to avoid impacts to landowners.

The alignment was selected following technical investigations and extensive consultation with local communities, industry, government and special interest groups since 2007. Mr Dooley said the project team would continue to consult with stakeholders about the environmental, social and economic impacts of the Surat Basin Rail as part of a detailed and thorough environmental impact statement (EIS). “The EIS will be released publicly for stakeholder feedback later this year,” he said. “In the meantime, the second project newsletter will be distributed this week to local communities in the project area to provide an update on the railway’s alignment and EIS process.”

“Coal will still be our number one customer however other types of freight will be welcome to use the railway.”

CS Energy is targeting to have a second unit in place at Kogan Creek by 2014.

Kogan Creek B remains on CS Energy’s agenda On the opening day of the 2008 Surat Basin Energy Conference, a noticeable murmur swept through the Chinchilla Cultural Centre. “Did I hear that right,” someone whispered in the back. The 400 in attendance were reacting to CS Energy chief executive David Brown’s address as he returned Kogan Creek B to the public sphere. Mr Brown said CS Energy had completed preparatory work for the development of a second unit at Kogan Creek Power Station. However, he said there were a number of factors that needed to be resolved that would affect the project timing. These included the impact of the Federal Government's Carbon Pollution Reduction Scheme, details of which have yet to be finalised. “Also, as we are a Queensland Government-owned company, any investment of this scale needs to be approved by the Queensland

Surat Basin NEWS Thursday 25 September 2008

Treasurer and the Minister for Mines and Energy,” Mr Brown said. “The current ClimateSmart 2050 energy policy stipulates that new coal plants must be carbon capture ready and built in response to a demonstrated need.” Mr Brown said CS Energy was working on meeting the first of those criteria, through its low emission coal project at Callide. “Kogan Creek B has been designed so that, when low emission coal technology is proven at scale, it can be readily retrofitted to the plant,” he said. NEMMCO's forecasts of electricity demand over the next decade indicate that there is the need for significant new generation capacity to come on line from 2014 to meet demand growth. “We are discussing these issues with our shareholding ministers and seeking their permission to call for tenders to supply the plant,” Mr Brown said.

INFRASTRUCTURE

Is she finally going to float? The Nathan Dam will be built 2km upstream of the Nathan Gorge on the Dawson River.

We’re 86 years downstream and yet another public hearing, but this time can the Nathan Dam fight the rising tide. key project in the untapping of the Surat Basin returned to the public agenda this month. With the Nathan Dam’s business case completed, last weekend Taroom, Miles and Theordore hosted representatives from SunWater as they presented the project’s draft terms of reference. The latest incarnation of the Nathan Dam project includes a proposed pipeline from the site 2km upstream of Nathan Gorge on the Dawson River as far east as Dalby. SunWater’s project manager for the Nathan Dam, Peter MacTaggert, said the pipeline would allow water to be delivered to both urban and industrial users across the Surat Basin. Water from the Nathan Dam was initially targeted for cotton farming across the Fitzroy River Basin. But in 2008, the focus has switched to water starved coal mines and Western Downs towns. “It’s about water security for the region,” he said. “Cotton won’t be the mainstay but that’s not saying we’re excluding agricultural, it’s just that it’s not all

Sunwater’s Dr Lee Benson and Peter MacTaggert during a recent information session held in Miles. The development team also held events in Theodore and Taroom.

“This time it’s about water security for mines, towns and agriculture.” about cotton this time. “This time it’s about water security for mines, towns and agriculture.” In recent times, Surat Basin mining companies have switched focus to coal seam water due to an abundance of the resource and concerns when, or even if, the Nathan Dam would be built. But Mr MacTaggert said the Nathan Dam and pipeline project could still play a part by supplementing and delivering coal seam water. “There is an opportunity to integrate coal seam water supply with the project and we’re going to look at that in the EIS,” he said. The project’s Terms of Reference are scheduled for release before the end of the year ahead of the environmental impact statement, which should be public by mid2009. The Nathan Dam, which would hold 880,000 megalitres at capacity, could be completed by as early as 2014 following two years of con-

Surat Basin NEWS Thursday 25 September 2008

struction. Mr MacTaggert said considering the extent of the project’s impact, feedback was varied across the three centres. He said in Theordore and Taroom, concern was raised about the impact on existing customers and on towns. In Miles, the feedback was only positive. “The reaction here has been ‘when can we have this please’?” Mr MacTaggert said. The Nathan Dam was first proposed in 1922 but due mainly to environmental and financial concerns had constantly been mothballed. The project was revived in 2006 when a Central Queensland water supply strategy singled out a dam on the Nathan River as critical to meeting future demands across the Fitzroy River Basin. Momentum built in 2006 when the Queensland Government’s Statewide Water Policy allocated $120 million to the design and construction of the Nathan Dam.

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Sharing secrets with the world

Surat Basin News

Page 35

BARRELS TO PETAJOULES New product but same proven technique

THE PEOPLE

www.suratbasin.com.au

VOICE YOUR OPINION: editorial@suratbasin.com.au

Chinchilla local in charge of QGC’s gas field drama PAGE 33

Just try and keep him away You won’t find Oil Lift Technologies manager in his Brisbane office much. The former Canadian can not stay away from the gas fields of the Surat Basin. PAGE 34

An architect working underground Rolf Schulte has a knack for laying pipe. Matter of fact, he’s laid 500km and that’s only the start.

Sue Fuller, with her husband Paul Ewart and son William, at the Chinchilla Show. Ms Fuller will be returning to Chinchilla to organise next year’s Drama at the Gasfields. Lonesome Cowgirls. The event, first held in 2006, also featured children's rides, face-painting, welcome bags, a performance by the indigenous Jagera Jarjums dancers and complimentary fundraising stalls for the CWA, Chinchilla Lions Club, Miles Apex Club, Murilla Kindergarten, Condamine P&C Association and Chinchilla Rotary Club. Mr Cottee said that, with the assistance of Synergy Marketing & Public Relations, co-owned by Ms Fuller and her husband Paul Ewart, the future success of Drama at the Gasfields was assured. Ms Fuller, 43, attended Chinchilla's state primary and high schools and worked at the then family-owned Chinchilla News during holidays. She was president of the stu-

William, and loved the family atmosphere and how much the local community was involved in the event.” Mr Ewart, who will manage next year's festival, has extensive experience in event management, including many years organising the Queensland Tourism Awards, co-ordinating the international media centre for US President Bill Clinton's visit to Port Douglas and organising the Queensland Media Centre at the 2000 Olympic Games in Sydney. They are looking forward to working with local schools, community groups and suppliers to co-ordinate a successful event in 2009. “We know QGC is committed to ensuring this community event is bigger and better every year,” Mr Ewart said.

Managing director commits for another six years Managing director of Queensland Gas Company, Richard Cottee, has committed to remain in the position for a further six years, ensuring certainty and stability as QGC embarks on a major growth phase. Mr Cottee’s reappointment will see him continue as managing director until 30 June 2014 — at least six months after the first scheduled delivery in late 2013 of liquefied natural gas (LNG) from QGC’s world-class LNG project with BG Group. Mr Cottee will focus on QGC’s strategy of

PAGE 32

becoming Australia’s leading integrated energy company, ideally positioned to meet rising demand in Australia for coal seam gas and gas-fired power stations, and international demand for LNG from the Queensland Curtis LNG Project. “We are delighted that the winning formula we struck in late 2002 will continue for another six years with Richard agreeing to remain at the helm,” QGC chairman Bob Bryan said. “Richard Cottee’s commitment will max-

Surat Basin NEWS Thursday 25 September 2008

imise QGC’s prospects of fulfilling its promise. “When Richard was appointed in October 2002, the company’s shares were trading at just 21 cents, and production capacity and gas reserves were zero whereas today we see quite a different picture. “Shareholders in QGC have benefited tremendously in recent years and they have every reason to be satisfied that the driver of much of the success will see through the company’s transformation.’’

Stepping out of the office to drive the Surat Basin

The less work the better for all concerned

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DES CALING DRILLING

Grant Mintram’s employer is happiest when he is doing less. Mr Mintram works as a production control officer on the Kogan Creek Power Station and is responsible for recording any mishaps that occur. “When we have problems, I record it all,” he said. “If the plant has some hiccups, I’ll record all that. If we have a trip, something goes wrong, I record all that.” Mr Mintram’s working life started in the Navy based in Sydney but when family life beckoned, he made the move to Adelaide. From there, he used his qualifications as a mechanical fitter to become an operator on a 500megawatt gas fired power station. The industry, or more specifically the end product, is something he has always been passionate about. “I love steam and power — I always have,” he said. Mr Mintram and his wife Debbie moved to the Chinchilla district to expand both professionally and personally.

CS Energy From the Kogan Creek Power Station administration building, Grant Mintram keeps an eye on the power station. The couple purchased a 1300-acre property near Kogan and have settled into a more relaxed and comfortable way of life. “It’s nice,” he said. “We’re enjoying ourselves.” As part of a 30-person team of production control officers, Mr Mintram must ensure the 750megawatt power station is operating as safely and effectively as possible. The sheer scale of the Kogan Creek Power Station makes that no easy task. “It’s keeping us very busy,” Mr Mintram said.

Todd Hult is a general manager who doesn't mind getting his hands dirty. Almost weekly, he travels to gas fields across the Surat Basin where his company's equipment is driving a modern day gold rush. Mr Hult grew up in the heartlands of the Canadian oil fields before his experience in artificial lift systems, hydraulics and gas fired engines sent him around the world. After working in Colombia, Trinidad and Venezuela, he arrived in Australia to work in a coal seam gas industry on the brink of massive expansion. “I could see then the industry was primed for explosive growth,” Mr Hult said. Mr Hult helped start the Australian division of Oil Lift Technology from Canada in early 2006, but returned to Australian shores to manage and support the company's Brisbane manufacturing and field service branches across the Surat Basin. With his wife Cristina and daughter Sydney, Mr Hult lives

Oil Lift Technologies Oil Lift Technologies general manager Todd Hult visiting Queensland Gas Company’s Berwyndale South. in Brisbane where Oil Lift Technology manufactures a wide range of products for the Australian coal seam gas industry, but he is very rarely confined to his office. “I like to come out and get my hands dirty — work-

ing with the equipment and with the local people,” Mr. Hult said. “There are a lot of positive attitudes and I've met some great people out this way. “To be honest, I just really enjoy coming to the field.”

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PAGE 33

QGC’s resident architect

Queensland Gas Company QGC’s Rolf Schulte checks on his latest and largest project to date — the 20km pipeline linking the Berwyndale South gas field to the Condamine power station.

Since 2004, Rolf Schulte has laid enough pipe to make it from Chinchilla to Brisbane and back again. He manages Queensland Gas Company's gathering systems, linking wells to stations, stations to stations and gas fields to gas fields. Last week, Mr Schulte was slightly distracted as work progressed on his most challenging project to date — linking Berwyndale South with the Condamine Power Station. The 20km gas pipeline must cross a river and some pretty rugged terrain. But for someone who has been one of the architects behind QGC's expansive Surat Basin operations, Mr Schulte is not fazed. And neither is his employer. “They give you the independence to get it done,” he said. “They say we need this done and you go get it done.” Not too long ago Mr Schulte knew down to the millimetre the length of

his pipe network and every acre of soil it passed under. But it's not surprising in the wake of QGC's rapid expansion he is struggling to keep count. While he estimates he has laid 500km of pipe, that's only a guess and a figure that is spiralling upward with every passing day. “Over the next few years it's going to increase immensely,” Mr Schulte said. The former Lockyer Valley farmer faces quite a few hurdles when it comes to connecting a constantly growing operation. He has a few basic starting points and from there it is a matter of planning ahead. “You try and do it in a grid,” he said. “The wells decide where everything else goes and you decide the easiest and most effective route to get pipe back. “You've got to work around landholders — what they require and where they don't want pipe and where they want pipe.”

Oil Lift Technologies

From oil fields to gas fields In Brazil, Gustavo Metz (pictured) aimed for barrels but in Australia his target is petajoules. Gustavo, or Gus as he is known by colleagues and friends, was born in a small town in south Brazil. From a young age, he was immersed in the oil industry courtesy of his father who worked with Petrobras, one of the largest oil and gas companies in the world. Gus spent eight years as a technical leader in the South American oil industry, focussing on pumping systems for down-hole and surface projects. In 2005 he came to Australia to “enjoy life, learn a bit of English” and explore the potential of a burgeoning coal seam gas industry. Immediately, he discovered while the end product was different, getting it out of the ground was much the same. “The difference between here and there is that there we worked with oil production but here the core business is gas,” he said. “Much of the equipment is the same but the concept’s a little different.” This year, Gus brought his vast experience to Oil Lift Technology as a technical sales representative, which has resulted in regular visits to the gas fields of the Surat Basin.

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Surat Basin NEWS Thursday 25 September 2008

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Sharing secrets with global repercussions Willem du Plessis may be employed by Linc Energy but his knowledge is set to benefit the rest of the world. Mr du Plessis is process control operations manager at the company’s Chinchilla site, responsible for managing the gas-to-liquids (GTL) plant. Linc Energy’s project is a world first for combining underground coal gasification with a gas to liquids process. The technique should go a long way to easing strain on global energy needs. Mr du Plessis arrived in Australia from South Africa in September last year with his wife Estelle and two of his four children, Elri and Markus. With 25 years experience with Sasol, a leader in the GTL industry, he has been pivotal in paving the way to this month’s start up of Linc Energy’s demonstration project. “This is something I’ve been looking forward to for many years,” Mr du Plessis said. “Where I worked previously I knew everything, from what to do, where to go and where to fetch it. “In my heart I knew if I ever got a chance to pass on

my knowledge to anyone who ever needed it, I would go for that.” Mr du Plessis was involved from the initial stages of GTL construction and today he awaits for the first liquids to flow from the plant. “I’m very excited about what is happening here at Linc Energy and I look forward to putting the first diesel in the drum,” he said. While Linc Energy is pioneering the technology from its Chinchilla site, the implications are set to be felt around the world. Mr du Plessis believes the opportunities are endless. “We are going to show to the world we can take underground coal to gas and make diesel and jet fuel out of it,” he said. “This is going to be a huge thing for the community — it’s going to be a huge thing for Australia.”

“This is going to be a huge thing for the community — it’s going to be a huge thing for Australia.”

the iconic Fishtank, the spiritual home of the Condamine rugby club. “It was another excuse to get home — it’s a great club, great atmosphere and just a good place to play footy,” he said. While in Brisbane, Dan worked for Roadtech, a government owned company, and admits he was fortunate to get work in the highly competitive metropolitan job market. But at the same time he found the work to be selective and repetitive. “After about a year, I’d done everything I was going to do and it was just the same stuff over and over,” he said. Back home and working for Surat Basin Electrical, Dan has embraced the diversity offered by the job. “Here it’s a different type of work and a greater range, from

“Your just getting your teeth into such a wider range of things and experience so many different things.”

On Demand and in Demand Log on to... suratbasin.com.au

s s i m Don’t ates! d e s e th Linc Energy Willem du Plessis doesn’t mind sharing secrets.

Dan returns hook, line and sinker Like so many 20somethings, Dan Johnson thought to make it in the world he had to make it in the city. But at the start of the year, he saw the glow of the Fishtank and followed it back to his rural beginnings. Dan is a fourth year apprentice electrician with Surat Basin Electrical based out of Miles. During the week he runs wire and twists cable, but the real sparks fly when he pulls on the famous green and white strip of his beloved Condamine Cods. On winter weekends, Dan plays flyhalf for the Cods, a rugby club he could not turn his back on even when working in Brisbane. Every weekend, he would pack his kit and make his way back to

Wherever you are...whatever you’re doing... The Surat Basin News will be there.

working with Queensland Gas and doing the mining and gas work, to doing refurbs, renovations and domestic,” he said. “Your just getting your teeth into such a wider range of things and experiencing so many different things.” But while feeling at home on the Western Downs, Dan would never begrudge someone looking for the city experience. “It just comes down to opportunity,” he said. Dan just asks for them to keep an open mind and never, ever rule out a return home. “I’d had m y Brisbane experience for three years and the time had come,” he said. “I’ve done the Brissy thing and I felt drawn back.”

Future Editions will be inserted into Chinchilla News December 18, 2008 March 26 & June 25, 2009 Dalby Herald & Roma Western Star December 23, 2008 March 31 & June 30, 2009 Editorial Submissions: John Farmer editorial@suratbasin.com.au Advertising: Laurell Ison advertise@suratbasin.com.au Design: Beth Walker prepress@suratbasin.com.au

Dan Johnson in action for his beloved Condamine Cods.

Surat Basin NEWS Thursday 25 September 2008

PHONE 4662 7368 FAX 4662 8474 PAGE 35

Linc Energy

Swept away by the vision Home for Greg Coase and his family is a personal first. Work for the fitter by trade is a world first. Since February, Mr Coase has worked as supervisor of underground coal gasification at Linc Energy’s research and development station near Chinchilla. He is responsible for managing the gasification process, leading a team of seven and maintaining site safety. Eight months into his new job and the father of three admits he has been swept up in Linc Energy’s innovative vision. “The company here, it’s vision on safety, where it wants to go, it’s just second to none,” he said. “It’s world leading. Best industry practice is what we’re putting in place here.” For Mr Coase, who holds an Advanced Diploma of Engineering, a sense of the unknown provides some of his greatest challenges on the job. “Our’s is a world first and we’re inventing and implementing technology as we go,” he said. But with the sense of discovery and adventure comes some of his greatest rewards. “I prescribe to the belief that if you know everything you’re lying,” he said. “If you can’t learn something new

Greg Coase is all about new experiences. everyday there’s something wrong with you.” When Mr Coase isn’t helping realise the world-first aspirations of Linc Energy, he is at home on the family’s working cattle property near Tara. The family purchased the property — their fist foray into the rural way of life — five years ago with intentions of moving to rural Queensland. But that did not happen until Mr Coase became part of the Linc Energy team. “We’ve spent a lot of time in the country and it was always the plan to get back out here,” he said.

With the power to grow While wells can be sunk, pipeline laid and gas let to flow, there is not much point if the product is not getting to the customer. Paul McClelland is the man responsible for making sure it does. As Queensland Gas Company's compression superintendant, he ensures the gas flowing from wells reaches the point of sale. Mr McClelland started with QGC a year before the company went into production. His responsibilities have soared as QGC's customer base has expanded to include power generators, industrial facilities and energy retailers. “I have to deal with a lot of groups of people and a lot of expansion issues — issues we refer to as growing pains,” he said. “I'm not saying that's a negative thing. It's just something we

Paul McClelland is QGC’s compression superintendant.

Queensland Gas Company deal with.” Mr McClelland spent 20 years working in the coal seam gas industry before arriving at Berwyndale South. While responsible

for infrastructure across a vast network of gas fields, he admits people remain the key. Mr McClelland takes great pride in building his own strong, proactive and

committed team, which includes several locals. “It's exciting. There are a lot of growing people, it's not just a growing business, there are growing people as well,” he said.

“It's exciting. There are a lot of growing people, it's not just a growing business, there are growing people as well.”

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Surat Basin News

Roma burns for industries Page 39

THE TOWNS

www.suratbasin.com.au

VOICE YOUR OPINION: editorial@suratbasin.com.au

SQUIT opens gateways for trainees across the Surat PAGE 38

Councils meet in Dalby In June, the Dalby Chamber of Commere brought two councils together representing very different sectors but facing the same issues and challenges. PAGE 34

QGC lights the BBQ for local landholders Landholders brave a chilly night for barbecue at Berwyndale South courtesy of Queensland Gas Company.

o u t h e r n Q u e e n s l a n d Institute of TAFE has helped ensure workers on the Gateway Upgrade Project in Brisbane have all the relevant and up-to-date

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structing seven kilometres of new Motorway north of the Gateway Bridges to Nudgee Road including second access to Brisbane Airport.

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New direction for Roma Chamber of Commerce This month, the Roma Chamber of Commerce became about more than just Roma and its executives. After five lacklustre years, the chamber's direction was passed to the businesses of the Roma region, which includes the towns of Surat, Mitchell and Wallumbilla. Former president Bob Fulton said a lack of involvement had seen the chamber struggle in recent years despite a definite need for its leadership and guidance. “There's always a need because the chamber of commerce really is the voice of the business community,” he said. “Collectively, we can lobby parliamentarians, the council and have a voice or opinion in council on behalf of the businesses.”

Mr Fulton hopes allowing businesses to determine the direction of the chamber results in members becoming “more interested, active and involved”. A steering committee took a number of recommendations to the annual general meeting which were presented to members for consideration. “It is now up to the business community to decide what they want to achieve,” Mr Fulton said. Mr Fulton believes an effective chamber

of commerce may help the business community grapple with many of the challenges caused by Roma's buoyant resources sector. He also hopes it can provide solutions where government can not. “With the issues that there are, they’re not always being addressed by the federal government, state government or council," he said. “If there isn't a collective voice to raise issues to the attention of government they're never going to get resolved.”

“There's always a need because the chamber of commerce really is the voice of the business community.”

Surat Basin NEWS Thursday 25 September 2008

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THE TOWNS

BEST OF BOTH WORLDS Whether it’s people or resources, these councils have it all before them ne represents almost 30,000 people while the other lobbies for Queensland’s multi billion-dollar energy and mineral sectors. Both were front and centre at a Dalby Chamber of Commerce and Industry event in June to reveal their plans in a time of upheaval for both. The chamber’s regional update dinner was headlined by Dalby Regional mayor Ray Brown and Queensland Resource Council communications director Jim Devine. Cr Brown said balancing the region’s rural heritage with “a high influx of new industries” was challenge for a local government with stretched resources and limited specialist knowledge. But he said the council’s focus remained on consolidating the region’s livability. “We need to look after our communities and make sure our lifestyle is protected also,” he said. “That’s where we come in.” Cr Brown said Dalby Regional Council was working closely with the State Government and industry to nail down figures on people, projects and infrastructure needs. “We don’t have all the solutions but we’re trying to make sure there aren’t

any barriers there either,” Cr Brown said. “Our main game is to try to pull some of those barriers down and make it easier for people to live here. The reason we’re here is because we like to live here. “And that’s what we must encourage across our communities because this is the best spot to be.” Mr Devine admitted the Queensland Government was struggling to support the long term sustainability goals of the QRC, the sector it supported and councils like Dalby Regional. “We need competitively priced infrastructure, it needs to work, it needs to be delivered on time,” he said. “We need long term planning and there’s been a little bit of a shortfall in that area. “There’s an awful lot of catch up attached to what’s happened over the last month in particular. “We need to sustain and grow a highly skilled and diversified workforce.”

Midwest Fabrication’s Amy and Martin Schutt, Dalby Shoppingworld’s John and Karen Russell and Our Lady of Southern Cross College principal John Hegarty at the regional update dinner held in Dalby in June.

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Surat Basin NEWS Thursday 25 September 2008

THE TOWNS

A century on, the flame still shone Fire and light displays brought the Santos Food and Fire Festival to a stunning close this month.

Roma celebrates the past and future of two dynamic industries A century after the embers of ‘The Big Fire of 1908’ dimmed, 2000 people illuminated the Big Rig Parklands in Roma with candles and lanterns providing a stunning backdrop for the inaugural Santos Food and Fire Festival. In an amazing fire and light display that would have satisfied the most ambitious of arsonists, people from Roma and surrounding areas came in droves to celebrate the future and reflect on the past of the booming oil and gas industries in the region. The Santos Food and Fire Festival also celebrated the diversity of cultures in the Surat Basin with multicultural chefs delving into their collective mixing pots to feed the hungry crowd. Tourism development officer Perry Bacon said the support shown by the community had exceeded all of the organising committee’s wildest expectations. “We sold over 800 meals from our stands in no time at all, because it was the first time we have held the festival it was hard to estimate num-

BY Ryan Groube bers but obviously next year we will prepare for more,” he said. “I am absolutely wrapped the community got behind the festival and pretty much everyone seemed to be wowed.” Historical tours to the scene of the ‘Big Fire’ kicked off the event at 2pm with visitors also being shown key sites of the fire at Hospital Hill as well as a photographic exhibition of the event at the Walk of Art Gallery. Hospital Hill also held a fire torch relay that wound its way through the streets of

Roma with community representatives taking it to its final destination — setting alight the bonfire at the parklands. Local Kim Taber was astonished with the fire art on display, which depicted scenes of the Big Fire getting put out. “Everyone who helped put this event on did an amazing job – this is the first event we have been to in a long time that all the motley crew enjoyed,” she said. Aside from the buzz of the crowd and the crackle of burning wood, Kiwi band “Fiddlesticks” kept the crowd entertained with their funky blend of folk, fusion and world music. Initially the festival was planned to be held bi-annually but following the huge success this year the event is set to run again next year.

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Surat Basin NEWS Thursday 25 September 2008

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QGC throws a prawn on the barbie More than 300 people braved a chill winter's night in early August for the biggest barbecue held by Queensland Gas Company for its landholder partners. Landholders, including many families, turned out in unprecedented numbers at the company's Windibri property, near Chinchilla, for a pig on the spit, prawns and oysters and an opportunity to meet and talk with QGC staff and its contractors. QGC established a tradition last year of holding landholder barbecue evenings at Windibri, the heart of its Berwyndale South gas field, in appreciation of those who allow QGC to conduct its business on their property. The events, held three or four times a year, were covered earlier this year by The 7.30 Report on ABC TV and are attended by Richard Cottee, QGC's managing director, and his managers whenever possible. “We've always held the view that our relationship with landholders, and the community in general, should go beyond mere business,” Mr Cottee said. “Through our Drama at the Gasfields festival and other sponsorships and activities, we're putting some of the goodwill that we receive back into the life of the local area. “It's important that our staff and landholders to get to know each other — and what better way than over a good meal in a relaxed atmosphere.”

Cheryl-Lee Robinson of "Sunny Glen", Chinchilla and Marion Rixon of Chinchilla.

Next time in the Surat Basin News

THE TOWNS

ISSN 1835-6400

DALBY PLANT

Dalby ethanol plant opens Catch a glimpse of what Dalby BioRefinery’s ethanol plant will mean to the region.

BOWEN MIGHT

What the future holds While the Surat Basin is constantly compared to the Bowen Basin, what does that mean? What drives the Bowen Basin’s prosperity?

Bruce and Margaret Uebergang of "Berwyndale", Miles.

Finance Brokers with Real Solutions “I would highly recommend the services of Ashley, Keith, Paul, Mark and Kathleen at AAA+ Financial Solutions. They have all been in the finance game for over 20 years and if you are looking for Equipment Finance, Business Finance, Home Loans or Rural Finance they are the people to contact” Nigel De Veth - De Veth Drilling Qld Pty Ltd.

“Whilst we are based in Townsville, we are expanding our services and have many clients interstate also. One of our brokers, Mark Bloxsom lived in Dalby for over four years and is very familiar with the industries in the district. We have just placed a loan writer in Cairns, and with the development in the Surat Basin area we can see the potential of doing the same there in time.” Ashley Evans Director AAA+ Financial Solutions

Call the team at

If you are looking for... • Equipment Finance • Business Finance • Home Loans • Rural Finance

AAA+ Financial Solutions Phone: 07 4721 4700 Fax: 07 4721 4711 Web: www@aaafs.com.au PAGE 40

Surat Basin NEWS Thursday 25 September 2008