BP Publishes Sustainability Report 2011-12

BP Australia today published its Sustainability Report for the financial year 2011-12.

The report is externally verified and provides a balanced and reasonable view of key sustainability issues relating to BP’s operations across the country.

Paul Waterman, President, BP Australasia, said that the company was continuing to pursue growth opportunities.

“Over the period, the Australian economy has shown solid growth. While this has benefitted our commercial fuel sales business, the strength of the dollar and increased labour and maintenance costs continue to adversely impact our refineries.”

Safety-related metrics were broadly unchanged from 2011 although the number of severe traffic accidents and the incidence of minor fires did increase. Plans are in place to improve performance in both areas.

While total greenhouse gas emissions trended downwards, there were significant reductions in the emissions of Sulphur and Nitrogen oxides (NOx and SOx) and significant reductions in the use of potable water.

The volume of oil spilled in the period increased, partly due to a large spill from an underground diesel tank which was damaged by an earth tremor.

Financial performance saw historical cost profits increase to $1.972 billion

BP Australia is a major employer and the total headcount has risen to some 7,700. The company remains committed to building diversity of thought, experience, perspective and gender within the organisation and the company is proud to have been awarded a citation as an Employer of Choice for Women.

Following the award of offshore licences in the Great Australian Bight the company’s Exploration and Production business is expanding as exploration activity in the area continues. Subject to regulatory approval drilling will begin in summer 2015/16.

BP Australia’s 2012 Sustainability Report can be found at:www.bp.com.au/sustainability

Andy Holmes to Lead BP Australasia

Andy Holmes has been named President of BP Australasia with effect from 1st July, 2013 the company announced today.

He succeeds Paul Waterman who has been appointed head of BP’s global lubricants business and will be based in the UK.

“BP Australasia is one of the largest and most significant businesses in BP’s global portfolio,” Mr Waterman said. “I am confident that Andy Holmes has the skill and experience to ensure BP Australasia continues to operate safely and reliably and to continue as a major energy provider and employer in Australia and New Zealand.”

Andy Holmes was born in Sheerness, UK in 1962 and after graduating as a chemical engineer joined BP in 1985. Over the years Andy has held many roles in refining, marketing and other areas. Most recently Andy led the global fuels business (Air BP and Global LPG) and prior to this led BP’s refining and marketing operations in Continental Europe.

“BP Australasia’s upstream and downstream businesses are important contributors to BP’s current and future business plans. I’m looking forward to building on the strong foundations left by Paul and looking forward to getting to know our people and settling in Melbourne,” said Mr Holmes.

BP Investment in Queensland Infrastructure Continues

New Townsville Facilities Opened by David Crisafulli, Queensland Minister for Local Government.

BP’s new multi-million dollar bitumen import and manufacturing facility located within the Port of Townsville was today officially opened by David Crisafulli, Minister for Local Government.

“Regional Queensland needs to continue to promote the economic opportunities that are available in our part of the world.” Mr Crisafulli said.

“With a population nearing 200,000 and an ideal location to service the northern part of the state, there are golden opportunities for businesses to invest in Townsville.”

Project activity began in 2009 and 4 new storage tanks have been built and significant upgrades to the product wharf have been completed.

The facility can now supply up to 120,000 tonnes of bitumen each year to help meet strong demand for road building materials in Northern Queensland.

“Townsville’s strength lies in its diversity of industry and it is always pleasing to see another trade that will further support local and regional growth, jobs, and business come online,” Mr Barry Holden, Port of Townsville CEO said.

“BP Australia has been proactive in investing in the new infrastructure required to make this bitumen trade a reality and we congratulate the company on the initiative.”

The $50 million project was completed safely and supported some 80 jobs during the construction and commissioning phase.

Mike Bailey, BP Australia’s National Bitumen Manager said; “We can see strong growth in Northern Queensland for both paving grade bitumen and our speciality products designed for roads subject to high stress and wear. We are delighted with the performance of our new plant and are pleased to be contributing to Queensland’s prosperity.”

BP has recently begun operations at a new combined bitumen and marine oil import facility in Brisbane. Taken together the Brisbane and Townsville projects represent an investment of over $100 million and BP now has the capacity to seal or pave approximately 10,000 kilometres of Queensland roads per annum.

BP Goodna Re-Opens For Business

$2.7 Million Re-build Complete

BP today announced that its service station at Goodna had re-opened for business.

The service station was formally re-opened by Ipswich Councillor, Paul Tully.

The Queensland floods of 2011 saw the service station completely submerged under water as the Bremer River overflowed.

Peri Hunter, BP’s retail manager said that the service station had been rebuilt at a cost of $2.7 million and would welcome customers with an attractive design that includes wide and convenient refuelling positions and a bright, clean atmosphere.

In addition to a full range of BP advanced fuels and lubricants, the sites will offer a BP Connect convenience store and BP’s award-winning Wild Bean Café which offers gourmet coffee.

Denise Strange, store manager at BP Goodna, said; “I’m delighted to back at work at Goodna and I’m really looking forward to welcoming both old and new customers to our site.”

BP Australasia Welcomes Energy White Paper

Energy Security, Competitive Markets, Lower GHG emissions all Critical for Future Prosperity

BP today congratulated The Hon Martin Ferguson AM, Minister for Resources, and Energy, for producing a well thought-out energy policy which should improve the resilience of Australia’s energy sector and deliver competitively priced energy into the future.

BP’s Energy Outlook 2030 forecasts that global energy demand is likely to grow by 39 per cent by 2030, or 1.6 per cent annually and that global energy will remain dominated by fossil fuels. By 2030 today’s energy importers will need to import 40 per cent more than they do today, but the experience will vary by region.

Paul Waterman, President of BP Australia said that White Paper was a forward looking framework and should ensure Australia’s energy security in a rapidly changing regional and global environment. “BP has consistently contended that in order to enjoy energy that is sufficient, secure and sustainable into the future, Australia should have a market-based policy framework which encourages innovation and efficiency.”

BP Largs North Terminal Expansion Activity Underway

The Hon Tom Koutsantonis Breaks First Ground

BP today announced that construction activity on the planned expansion of its Largs North fuel terminal in Adelaide had begun.

To mark the occasion the Hon Tom Koutsantonis, Minister for Manufacturing, Innovation and Trade, turned the first sod.

The expansion project was announced in April 2011 and since then BP has been refining its plans and carrying out site clearance and ground works.

The first phase of this proposed $20 million expansion will see the construction of a new 30 million litre storage tank. Once completed it will allow larger volumes of diesel to be stored on site, providing greater operational flexibility and increased security of supply.

In addition to the new storage capacity, BP has recently carried out a $4 million upgrade to the terminal’s fire-fighting system and spent $2 million on installing a vapour recovery unit.

Over the next five years, BP plans a further $20 million of investment at the Largs North terminal. Subject to final approvals, this investment will improve reliability, reduce risk and further improve environmental performance.

Commenting on the activity Mr Paul Waterman, President BP Australasia, said: “Adding to our storage capacity in Adelaide will allow us to further optimise shipping operations from our Kwinana refinery in WA and capture the opportunities presented in South Australia.”

“We also plan to continue to invest in our terminal infrastructure to reduce risk and ensure our operations are safe, reliable and able to meet the needs of our customers.”

BP’s Award Winning Building Formally Opened By Queensland Premier

The Hon Campbell Newman opens Bulwer Office Building.

BP’s award winning office building at the Bulwer Island Refinery in Brisbane has been formally opened by the Premier of Queensland, the Hon Campbell Newman MP.

Prior to the construction of the new office building refinery staff were located in different buildings several kilometres apart. Co-location significantly improves efficiency and teamwork.

Built at a cost of $33 million, the Bulwer office building provides 3 levels and 4,500 sq metres of blast and gas resistant office accommodation. Other key features include a large number of meeting rooms along with break-out spaces and a purpose built video-conferencing facility.

Commenting on the new facility Paul Waterman, President, BP Australasia, said: “BP regards Queensland as its home state. The founder of the company which eventually became BP made his fortune from a gold mine outside Rockhampton, and since its formation in 1920, BP Australia has continued to play a major role in keeping the state moving.”

“Over the past 18 months, BP has invested some $200 million in improving safety and reliability at the Bulwer Island refinery, new bitumen and marine fuel import facilities in Brisbane and Townsville, upgrades to our extensive network of wholesale and retail facilities and, of course, the new office building.”

“I’d like to thank the Premier for agreeing to formally open our new building and I’d also like to say a special thank-you to all refinery staff for reaching last week’s significant milestone of completing a year without a lost time accident.”

Shell Australia expands Mackay Diesel facilities

Shell has continued to invest in expanding the facilities, capacity and product availability at its Mackay terminal.

The recent commissioning of a larger and fully-automated diesel loading gantry has allowed Shell to extend availability of Shell Diesel Extra to Mackay, helping to provide security of supply and offering more choice to customers in the region.

This project follows the launch of two new diesel tanks at Mackay last July, which increased diesel storage capacity at the terminal by 38 million litres.

The $5M expansion project involved the construction of an additional gantry bay dedicated to diesel supply and specific dosing equipment to allow the supply of Shell Diesel Extra.

With four fuel-loading arms capable of loading various diesel products simultaneously, and configuration to allow B-double access, it significantly increases the loading capacity.

“The new gantry will load a B-double in 15 minutes, compared to 25 minutes in the existing bay,” said Scott Wyatt, Shell’s General Manager, Supply & Distribution.

“This gives us a 40% quicker turnaround, effectively reducing congestion and waiting times in and around the terminal,” he said.

The investment in new infrastructure and storage aims to meet the growing customer demand for diesel in the Bowen Basin region.

“This state of the art facility will improve and accelerate the distribution of Shell diesel products to our customers throughout the greater Mackay region, and it also gives Shell better ability to respond to demand peaks,” said Scott.

The project, which took approximately six months to construct, involved over 50 people from 20 contracting companies including more than 10 local businesses.

Throughout the construction Shell maintained uninterrupted supply to customers by ensuring the existing gantry and delivery facilities were available 24 hours a day.

Shell Australia lays keel for world’s first floating LNG project

In an important step, Shell has laid the keel for Prelude FLNG, the world’s first floating liquefied natural gas (FLNG) project. When complete, Prelude is expected to be the largest offshore floating facility ever built. The hull will now be assembled and lifted into place before the turret and the topsides are fitted at Samsung Heavy Industries’ Geoje shipyard in South Korea.

“This is a key milestone in Prelude’s story,” said Rob Kretzers, Shell Executive Vice President Projects. “Innovative thinking and leading edge technology, as well as hard work from those at Shell and our partners, have helped us reach this significant point in construction. Prelude’s size and scale is unprecedented and I look forward to seeing this enormous structure take shape. Shell is pioneering FLNG which has the potential to revolutionise the way natural gas resources are developed”.

FLNG will allow Shell to produce natural gas at sea, turn it into liquefied natural gas and then transfer it directly to the ships that will transport it to customers. It will open up new opportunities for countries looking to develop their gas resources and bring more natural gas to market.

Large steel sections known as “blocks” that will form the hull are being manufactured in the Geoje shipyard, with more than 1,600 already complete. One section can be the size of a large house. The 93-metre high turret mooring system is under construction in Dubai and will be transported to Geoje in five parts. The turret will run vertically through one end of the facility and will be anchored to the seabed by four groups of mooring lines. It will allow the facility to rotate with the direction of the wind.

Once complete, the 600,000 tonnes facility will be almost half a kilometre in length (488 metres or 1,601 feet), which is longer than four soccer fields, and will displace six times as much water as the largest aircraft carrier. It will be moored and hooked up to the undersea infrastructure, around 475 kilometres north-east of Broome, Western Australia.

Despite its huge dimensions, the facility is only one-quarter the size of an equivalent plant on land. Shell’s technology has been adapted for floating LNG, and engineers designed components that will stack vertically to save space. The cooling plant, for example, will be placed above the vast storage tanks that have a capacity equivalent to around 175 Olympic swimming pools. Specially designed tubes, known as risers, will draw 50 million litres of cold water from the ocean every hour to help cool the natural gas.

Shell has started to build the organisational capacity in Australia to support the installation and operational phases. Deliveries of equipment to support the drilling operations are under way and Shell has awarded the contract for the Prelude supply base in Darwin, while the recruitment of operations staff began in March 2013.

Shell is leading the delivery of this mega project, working with long-term strategic partners Technip and Samsung Heavy Industries (the Technip Samsung Consortium). Prelude is the first of what is expected to be multiple Shell FLNG projects. The expertise gained from the Prelude project will help develop potential future floating facilities.

Melbourne City Council releases statement regarding MapData Services

The City of Melbourne has a responsibility to maintain over $3.3 billion in assets for the use, safety, and comfort of our residents, workers and visitors. This includes many streets, lanes, street furniture and trees, and often involves working with other agencies like utility and telecommunication companies. New technology helps us do this is in the most efficient and effective way.

MapData Services is a company that has been appointed to capture images along public roads controlled by the City of Melbourne for internal use only. It uses one vehicle to capture the imagery. Earthmine imagery refers to a proprietary system to capture ground level images with greater accuracy. This is the first time that Earthmine imagery capture has been undertaken for the City of Melbourne. In this instance residents were not notified as the project is intended to capture City of Melbourne assets and property frontages visible from public roads only.

This technology provides a tool for City of Melbourne staff to view scenes along Council controlled roadways. The technology enables council to locate and measure assets and surfaces such as street furniture, parking signs, poles and trees that are located within the road reserve, as well as external building facades that front onto the road. There is no intention to capture, use or display any image data which cannot normally be seen from the street and faces and vehicle number plates are automatically blurred out during the processing phase.

The area covered by this project includes public roads within the City of Melbourne municipal area. The contract was awarded to MapData Services on 17 June 2013 and the image capture component of the project is expected be completed within a fortnight. The cost of the project is $93,860 ex GST. This is for ongoing asset maintenance and not specifically related to a major project.