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Bonaparte Basin Barossa Appraisal Drilling Campaign

ENVIRONMENT PLAN SUMMARY

ALL/HSE/RPT/044

ConocoPhillips Bonaparte Basin Barossa Appraisal Drilling Campaign ALL/HSE/RPT/044 Environment Plan Summary

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Table of Contents

1 INTRODUCTION 3

2 LOCATION OF THE ACTIVITY 3

3 DESCRIPTION OF THE RECEIVING ENVIRONMENT 6

3.1 PHYSICAL ENVIRONMENT 6

3.2 BIOLOGICAL ENVIRONMENT 6

3.3 SOCIO-ECONOMIC ENVIRONMENT 7

4 DESCRIPTION OF THE ACTION 9

5 MAJOR ENVIRONMENTAL HAZARDS AND CONTROLS 9

6 SUMMARY OF MANAGEMENT APPROACH 10

7 CONSULTATION 11

8 CONTACT DETAILS 11

9 REFERENCES 11

Index of Figures

Figure 1 Regional Location of the Drilling Area 4

Figure 2 Detailed Map Showing the Drilling Area Regional Features 5

Index of Tables

Table 1 Bonaparte Basin Barossa Proposed Appraisal Well Locations 3

Table 2 Threatened and Listed Migratory Species that May Occur within the Drilling Area 7 Appendices

Appendix A. Summary of Key Environmental Hazards and Control Measures for the Bonaparte Basin Barossa Appraisal Drilling Campaign. 13


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1 INTRODUCTION

ConocoPhillips Australia Exploration Pty Ltd (ConocoPhillips) will be drilling up to three appraisal wells within the NT/RL 5 lease area (drilling area). This lease area is within petroleum exploration permit NT/P69 located in the Bonaparte Basin, in Commonwealth waters offshore the Northern Territory (NT). These appraisal wells comprise the Bonaparte Basin Barossa Appraisal Drilling Campaign (drilling campaign).

The drilling campaign will be conducted in accordance with the Bonaparte Basin Barossa Appraisal Drilling Campaign Environment Plan (EP), which has been prepared to comply with the Offshore Petroleum and Greenhouse Gas Storage (Environment) Regulations 2009 (the Environment Regulations). The EP has been accepted by the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA).

This document (EP Summary) provides an overview of the drilling campaign and key elements of the Environment Plan, consistent with requirements under Regulations 11(7) and (8) of the Environment Regulations.

2 LOCATION OF THE ACTIVITY

Figure 1 shows the regional location of the drilling area within permit NT/P69, located approximately 300 km north of Darwin. The nearest land mass to the drilling area is Melville Island (located approximately 140 km to the south). The shallow sub-tidal and intertidal areas of the Tiwi Islands (Melville and Bathurst Islands) have rocky and coral reef features. There are no reefs within 230 km of the drilling area that are listed as having conservation protection status.

Table 1 provides the co-ordinates for four proposed appraisal well locations, also shown on Figure 2. The ultimate position and sequence of the appraisal wells is still under consideration and may change depending on drilling results and continued interpretation of geophysical and geological data. The maximum number of wells drilled, however, will not exceed three, and all drilling is proposed to be conducted within the drilling area subject of assessment and approval in the EP.

Table 1 Bonaparte Basin Barossa Proposed Appraisal Well Locations

Appraisal Well Latitude (South) Longitude (East)

Degrees Minutes Seconds Degrees Minutes Seconds

Barossa - 2 09 50 19.83 130 20 40.17

Barossa - 3 09 50 55.23 130 13 11.2

Barossa - 4x 09 47 57.2 130 25 40.71

Barossa - 4z 09 47 44.22 130 13 40.69


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Figure 1 Regional Location of the Drilling Area


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Figure 2 Detailed Map Showing the Drilling Area Regional Features


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3 DESCRIPTION OF THE RECEIVING ENVIRONMENT

3.1 PHYSICAL ENVIRONMENT

The region has a tropical monsoonal climate with two distinct seasons known as the North-west Monsoon “wet season” (late October to mid-March) and the Southeast Monsoon or “dry season” (May to mid-October). The variation in seasonal air temperature is small, with regional mean summer and winter air temperatures recorded as ranging from approximately 31 °C to 33 °C.

The drilling area lies in the Northern Marine Region, specifically within the “Timor Transition” bioregion on the outer continental shelf, locally known as the ‘Arafura Shelf’. Water depths within the drilling area range from approximately 200 m to 320 m. Based on previous regional studies, the drilling area is expected to relatively featureless, with low topographic relief. There are no sub-tidal shoals ‘seamounts’ or pinnacles occurring within the drilling area, the nearest submerged shoal is Evan Shoal, which lies approximately 60 km to the west.

Surface sediments in the drilling area are typically soft silty sands.

Tides in the region are typically semi-diurnal (two highs and two lows per day). The primary ocean current is the Indonesian Throughflow, which drives cooler oceanic water southerly direction. Regional surface currents show a strong tidal influence with a net westward drift during the monsoon season and a new eastward drift during the dry season.

3.2 BIOLOGICAL ENVIRONMENT

Benthic assemblages in the drilling area are light restricted due to the depth of the sea floor. Regional surveys indicate that the soft sandy silts of the drilling area support a range of benthic infaunal (mobile burrowing species) invertebrates, primarily polychaetes (annelid worms) and crustaceans.

A search of the EPBC Act Protected Matters Database has identified ten Threatened species and eleven listed Migratory species that may occur within a 10 km radius of the drilling area (comprising 17 distinct species). These species include dolphins, turtles, dugongs, seabirds and migratory shorebirds (Table 2). No Threatened Ecological Communities were identified.

The drilling area does not contain recognised important or critical habitat (ie. significant breeding, resting, feeding grounds or constricted migratory pathway) for any of these Threatened or Migratory species. The drilling area is located more than 150 km from recognised migration routes for Threatened whale species and more than 200 km from any recognised cetacean aggregation areas. The drilling area is located approximately 130 km from the nearest known turtle nesting beach (Melville Island).

There are no conservation areas within or immediately surrounding the drilling area, the nearest protected area is Cobourg Marine Park approximately 230 km south-east. Given the distance and highly localised nature of potential effects no impact to these areas is likely. The Oceanic Shoals Commonwealth marine reserve lies to the east, south and south west of the drilling area.

Other ecological features in the broader area include a number of shoals ‘seamounts’ with associated biological communities, the closest being Evans Shoal 60 km to the west.


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Table 2 Threatened and Listed Migratory Species that May Occur within the Drilling Area

Category Scientific Name Common Name Status

Threatened Species

Sharks, Skates and Rays

Pristis zijsron Green sawfish, dindagubba, Narrowsnout sawfish

Vulnerable

Rhincodon typus Whale shark Vulnerable

Cetaceans

Balaenoptera musculus Blue whale Endangered

Megaptera novaeangliae Humpback whale Vulnerable

Turtles

Caretta caretta Loggerhead turtle Endangered

Chelonia mydas Green turtle Vulnerable

Dermochelys coriacea Leatherback turtle Endangered

Eretmochelys imbricata Hawksbill turtle Vulnerable

Lepidochelys olivacea Olive Ridley turtle Endangered

Natator depressus Flatback turtle Endangered

Listed Migratory Species

Birds

Calonectris leucomelas Streaked shearwater Migratory

Puffinus leucomelas Streaked shearwater Migratory, Marine

Sharks Skates and Rays

Rhincodon typus Whale shark Vulnerable, Migratory

Isurus paucus Longfin mako Migratory

Cetaceans

Balaenoptera musculus Blue whale Endangered, Migratory

Megaptera novaeangliae Humpback whale Vulnerable, Migratory

Balaenoptera bonaerensis Antarctic minke whale Migratory

Balaenoptera edeni Bryde’s whale Migratory

Orcinus orca Killer whale Migratory

Physeter macrocephalus Sperm whale Migratory

Turtles

Caretta caretta Loggerhead turtle Endangered, Migratory

3.3 SOCIO-ECONOMIC ENVIRONMENT

There are no known shipwreck protected zones or shipwrecks in the vicinity of the drilling area, according to the Australian National Shipwreck Database. The nearest shipwreck (an Indonesian fishing vessel which sunk in 1997) lies approximately 100 km to the south-west of the drilling area.

The Royal Australian Navy undertakes frequent patrols of fishing areas to Australia’s north and north-west, primarily in order to control illegal use of resources in the Australian Fishing Zone (AFZ). There are no designated military / defence exercise areas in the immediate vicinity of the drilling area.

In general, the Timor and Arafura Seas support a variety of shark, pelagic finfish and crustacean species of commercial and recreational game-fishing importance.


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The Timor Sea is an active commercial fishing area used by both Australian and Indonesian fishermen. There are seven main Australian commercial fisheries operating in the areas that encompass or are immediately adjacent to the drilling area including:

Northern Prawn Fishery. Activities in the area of interest are generally limited to water more than 200 m deep in areas immediately north of current Timor Reef fishing grounds. Although the drilling area is between 200 m and 320 m water depth, the Northern Prawn fishery has confirmed that the drilling activity will have no impact on the fishing operations.

Timor Reef Fishery. The principal target species is the gold-band snapper, but important secondary species such as red snapper, red emperor, cod and saddletail snapper are also caught. The main fishing ground is in water-depths between 80-120 m.

Northern Territory Demersal Fishery. The Fishery includes half of the drilling area. Within the Northern Territory Demersal Fishery, 95% of the fishing effort occurs in the area adjacent to the Timor Reef fishery to longitude 131° east, targeting gold-band snapper, saddletail snapper, red snapper, red emperor and cods. Only a small number of operators actually work the Fishery and typically do not fish consistently throughout the year. Drilling operations are not expected to have any impact on the NT Demersal Fishery.

Northern Territory Spanish Mackerel Fishery. The Spanish Mackerel Fishery operates throughout the year in Northern Territory waters seaward of the coast and river mouths, to the outer limit of the AFZ. Since the drilling area is located in an open sea location, it is not expected to be a target area for this Fishery.

Northern Territory Shark Fishery. Only a few vessels operate further offshore in the Arafura Region, which encompasses the drilling area. Drilling operations are not expected to have any impact on NT Shark Fishery.

Northern Territory Finfish Trawl Fishery. The drilling area is not identified as a significant catch area for the Finfish Trawl Fishery.

Western Tuna and Billfish Fishery. The fishery overlaps the drilling area, but impacts are expected to be minimal given the small size of the MODU and short duration of the drilling campaign.

The drilling area does not transverse any commercial shipping routes (National Oceans Office 2004). Consultation with the Australian Maritime Safety Authority (AMSA) confirmed that there are no major shipping routes in the vicinity of the drilling area.

There are a number of oil and gas companies holding petroleum permits in the vicinity of the drilling area. These include:

The Abadi – Inpex Masela (Indonesia) project, in progress.

MEO Australia’s proposed Methanol plant to be located at Tassie Shoal. The location is adjacent to several undeveloped gas resources in the region, including the Blackwood and Heron discoveries in the nearby NT/P68 exploration permit (MEO 50%, with Eni).

The Evans Shoal gas discovery, operated by Shell, lies directly adjacent to NT/P69.

Woodside and its joint venture partners have proposed a Floating LNG development option for the gas resource located at Greater Sunrise, which partly lies within the Joint Petroleum Development Area cooperatively administered by Australia and Timor-Leste.


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4 DESCRIPTION OF THE ACTION

The appraisal wells will be drilled by a mobile offshore drilling unit (MODU) to target depths of up to 4,500 m below the seabed. The target reservoir is a dry gas. Once drilling is completed wells will be evaluated, then plugged and abandoned. Well evaluation will comprise vertical seismic profiling and dependent on the results, well flow testing.

The MODU will be supported by up to three support vessels. A minimum of one vessel is planned to be on location at all times. Helicopters will transfer personnel to the MODU.

The drilling program is scheduled to commence in Quarter 3 2013 (subject to weather and drill rig availability) and conclude by Quarter 4 2014 i.e. over a 12 -14 month period. Active drilling of each hole is planned to take approximately 40 days, with 104 days in total being spent at each location.

Drilling of the appraisal wells includes the following steps:

1) Drilling of conductor hole using seawater and high viscosity sweeps.

2) Installation and cementing of conductor casing and low pressure wellhead housing.

3) Drilling of surface hole using seawater and high viscosity sweeps.

4) Installation and cementing of conductor casing and high pressure wellhead housing.

5) Installation of blowout preventer on well head.

6) Installation of marine riser.

7) Drilling of production hole with synthetic based drilling fluid.

8) Installation and cementing of production casing.

9) Drilling of bottom of hole section to target depth.

10) Permanent well plugging and abandonment of wells (post well evaluation).

5 MAJOR ENVIRONMENTAL HAZARDS AND CONTROLS

As required by Regulation 13(3)(b) of the Environment Regulations, ConocoPhillips conducted an Environmental Risk Assessment for the drilling campaign. This process was used to identify and detail source of risk, existing controls, possible additional/alternate controls, and provide an assessment of inherent and residual risk. ConocoPhillips’ corporate risk management process as outlined in the Australian Business Unit (ABU) Risk Management Overview Procedure and the ConocoPhillips Risk Assessment Guidelines for Upstream Operations, developed by ConocoPhillips Corporate in Houston. This process reflects the risk management process detailed within Australian Standard AS/NZS ISO 31000:2009 (AS/NZS, 2009) and HB 203:2006 (AS/NZS, 2006).

The final stage of this process reviewed risks and controls to ensure that risk was managed to As Low As Reasonably Practicable (ALARP). The ConocoPhillips Risk Matrix identifies ALARP when the residual risk can demonstrate that any potential benefit gained from additional controls would be disproportionate to the cost of implementation. In this case, cost can refer to an impact (e.g. environmental, social) as well as a direct financial cost. In all cases, residual risk must be reduced to ConocoPhillips Risk Matrix Level I or II.

Examples of key environmental hazards and controls for the drilling campaign are presented in Appendix A. All control measures detailed in the EP will be implemented to ensure risk is managed to ALARP.


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6 SUMMARY OF MANAGEMENT APPROACH

The Drilling Campaign will be managed in accordance with the Bonaparte Basin Barossa Appraisal Drilling Campaign Environment Plan (EP) accepted by NOPSEMA.

The EP has been prepared in compliance with relevant environmental legislation. It is also in compliance with ConocoPhillips’ Health Safety and Environmental Management System (HSEMS) and ConocoPhillips’ Corporate Environment Policy, which provide fundamental governance for all ConocoPhillips activities worldwide. (Note: The corporate HSEMS standard is closely analogous to the A/NZS ISO 14001:2004 Environment Management Systems Standard).

The EP is designed to be a practical implementation/management tool. The purpose of the EP is to allow the completion of the drilling campaign in a manner that poses the lowest risk to the environment as practicable.

A systematic risk management approach has been followed. For each source of risk identified in the Environmental Risk Assessment, the EP defines an environmental performance objective, identifies relevant standards and establishes controls. A range of measurement criteria for each source of risk have been established to demonstrate that the performance objectives have been achieved. The EP identifies the key responsible and accountable personnel who will ensure the measurement criteria are captured and reflected in internal and external compliance reports. Compliance and environmental performance against the objectives, standards and measurement criteria will be monitored throughout the drilling program.

In accordance with the Environment Regulations 14(1), (2) and (10) the EP includes an implementation strategy ‘to direct, review and manage drilling activities so that environmental impacts and risk are continually being reduced’ and ‘performance objectives and standards are achieved’. Key components of the implementation strategy detailed further within the EP include:

ConocoPhillips systems, practices and procedures to conduct operational activities in accordance with relevant legislation, EP commitments and ConocoPhillips standards.

Definition of the roles/responsibilities of personnel involved in different project activities, such as: emergency response preparedness, risk management, monitoring, reporting and management of project change.

Training/competency requirements of project personnel (including contractors).

Auditing and review program.

Management of non-conformance investigations and corrective actions.

Reporting and record keeping requirements.

In accordance with Regulation 14 (8) of the Environment Regulations, an Oil Spill Contingency Plan (OSCP) has been developed to accompany the EP. The OSCP sets out spill preparedness measures and emergency arrangements. It provides the information required for an effective response in the unlikely event of an unplanned release of chemicals. It is based on credible spill scenarios specific to the drilling campaign (detailed within the OSCP). The OSCP is managed through separate performance objectives, standards and measurement criteria. In addition monitoring, response arrangement testing, as well as audit and review processes are in place to assure the OSCP. Responsibilities for OSCP planning and key response actions are defined within the OSCP.


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7 CONSULTATION

Since the commencement of the drilling campaign stakeholder engagement program in June 2012, ConocoPhillips has actively engaged with more than 75 different stakeholders. All feedback has been carefully considered and, where possible, has influenced the development of the Environment Plan and associated OSCP.

Prior to the development of the EP, ConocoPhillips undertook a detailed stakeholder identification exercise. Consistent with Regulation 11A of the Environment Regulations, stakeholders were identified due to their level of “likely impact” in the drilling campaign and ongoing operations at the drilling area, but also in accordance with their position in the event of an oil spill, during the campaign.

Key stakeholder groups identified included Commonwealth and Northern Territory Government Departments and Agencies, fishing industry councils and commercial fisheries operating close to the drilling area. Spill response agencies with a role to play should an incident occur at the field during periods of construction or operation were also consulted during preparation of the draft OSCP.

Consultation with the NT Department of Resources (Fisheries), fishing operations companies (e.g. Austral Fisheries), NT Department of Resources (Fisheries), the NT Seafood Council, the Northern Prawn Fishery and the Australian Fisheries Management Authority (AFMA) have determined that the drilling campaign is not likely to either have a significant impact on local fisheries or preclude fishing operators from undertaking normal business activities.

ConocoPhillips is committed to open and proactive engagement with stakeholders for the duration of its drilling campaign. Stakeholders will be notified following the acceptance of the EP and kept up-to-date with the progress of the drilling activity. ConocoPhillips has dedicated channels of enquiries and on-going communication with its stakeholders.

8 CONTACT DETAILS

Further information regarding the Bonaparte Basin Barossa drilling program can be obtained from the projects nominated liaison person:

Jack Williams ConocoPhillips Browse Project Integration EIA Coordinator W92/L1 53 Ord Street West Perth, WA 6872 Phone: +61 (0)8 6363 2520 Mobile: +61 (0) 419 677 690

9 REFERENCES

AQIS (2008) Australian Ballast Water Management Requirements, 31 March 2008.

AS/NZS, 2006. Australian Standard HB 203:2006. Published by Standards Australia, 2006.

AS/NZS, 2009. Australian Standard AS/NZS ISO 31000:2009. Published by Standards Australia, 2009.

Commonwealth of Australia, 2004. Approved Criteria for Classifying Hazardous Substances - NOHSC:1008 (2004), 3rd Edition. ISBN 1 920763 61 9.

Commonwealth of Australia, 2008. National Biofouling Management Guidance for the Petroleum Production and Exploration Industry.


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DMP, 2010 Drilling Fluids Management – Petroleum Guidelines. Department of Industry and Resources, Government of Western Australia.

National Oceans Office (NOO). 2004. Map: Multiple Use—Petroleum and Whales (North-west). Neptune Record Number: 572, ANZLIC Identifier: ANZCW1205000572. Custodian: Alicia Mosbauer, National Oceans Office, GPO Box 2139, Hobart, TAS Australia.


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Appendix A. Summary of Key Environmental Hazards and Control Measures for the Bonaparte Basin Barossa Appraisal Drilling Campaign. Note: For a full comprehensive outline of all relevant risks and management controls, refer EP Section 6.

Source of Hazard (Risk) Potential Environmental Impact Control Measures

MODU positioning, anchor deployment and retrieval

Sea bed disturbance resulting in localised change to benthic communities

Credible Receptors Benthic communities

Design Controls Seabed at the potential well locations is expected to consist predominantly of soft sediments with no sensitive habitats within or adjacent to the anchor spread. Engineering Controls Anchors will be deployed and retrieved using support vessels to minimise drag. Continuous monitoring of anchor tensions Administrative Controls Site Anchoring Plan including analysis of seabed contours obtained from the previous Caldita/Barossa seismic data, anomalies are avoided during anchor placement No additional controls were identified.

MODU and associated exclusion zone

Interference with commercial fishing vessels, commercial shipping, and other marine users

Business interruption (abnormal) due to damage to commercial vessels or fishing gear

Credible Receptors Commercial fishing

Design Controls No major commercial shipping routes pass through the drilling area. The excluded area relative to the available fishing area is small Administrative Controls A 500 m radius petroleum safety zone will be maintained around the around the drill rig as required under the OPGGSA. The Offshore Installation Manager (OIM)/ Master of the rig will manage vessel access and activities within this zone. The MODU will provide the required information (e.g. rig location, duration of drilling activities, etc.) to AMSA which will issue Maritime Safety Information (MSI) notifications (coastal warnings and NAVAREA X) and to the Australian Hydrographic Service which will issue a Notice to Mariners. The supply vessel on standby at the MODU will undertake continuous


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surveillance of marine traffic in the area of the drilling activity and warn off any vessels attempting to transit within an agreed distance with the MODU. Consultation with commercial fishers has commenced and will be ongoing

throughout the drilling campaign. No additional controls were identified.

Noise emissions into the marine environment through the operation of the support vessels, MODU and helicopters

Behavioural disturbance to marine fauna

Credible Receptors

Marine fauna

Design Controls Drilling area does not contain significant feeding, breeding or resting areas for protected or migratory species. Administrative Controls The interaction of the support vessels and helicopters with whales will be consistent with part 8 of the EPBC Regulations 2000 which: Requires that a vessel will not travel greater than 6 knots within 300 m of a

whale (caution zone) and not allow the vessel to approach closer than 100m of a whale; and

Helicopters shall not operate lower than 1650 feet or within the horizontal

radius of 500 m of a whale known to be present in the area. No additional controls were identified.

Atmospheric emissions - use of MODU, supply vessel and machinery engines

Minor deterioration in local air quality due to emissions (NOX, SOX, VOC and CO)

Contribution to the incremental build-up of greenhouse gas in the atmosphere

Credible Receptors No credible receptors were identified.

Administrative controls: Compliance with International Convention for the Prevention of Pollution

From Ships, 1973 as modified by the Protocol of 1978 (MARPOL 73/78) Annex VI (as implemented in Commonwealth waters by the Commonwealth Protection of the Sea (Prevention of Pollution from Ships) Act 1983)

Use of low sulphur fuel in MODU and support vessel engines when it is available to minimise emissions from combustible sources

Emissions managed by the implementation of the MODU and vessel contractor’s preventive maintenance system.

No additional controls were identified.


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Transport/ introduction of invasive marine species (IMS) in MODU/vessel ballast water or from biofouling

Introduction and establishment of IMS and displacement of native marine species

Credible Receptors Benthic communities

Administrative controls: The MODU contractor will adhere to the Australian Ballast Water

Management Requirements: As a minimum, all vessels mobilised from outside of Australia must undertake ballast water exchange > 50 nm from land and >200m water depth; and Ballast water exchange records maintained on rig/vessel

The MODU contractor will comply with Australian Quarantine and Inspection Services (AQIS) requirements and guidelines, including the National Biofouling Management Guidance for the Petroleum Production and Exploration Industry (Commonwealth of Australia, 2008), the Operator Guidelines for Vessels 25 m and Greater Arriving in Australia (AQIS, 2008)

Contractor HSE Requirements will be followed which will include an IMS risk assessment process that will apply to all vessels, MODU and immersible equipment planning to enter and operate within Australian waters. Near shore areas include all waters within 12 nautical miles of land and in all waters less than 50 metres deep at lowest astronomical tide

No reasonable alternate controls could be identified in addition to the existing controls.

Routine discharges: sewage, grey water and putrescibles wastes

Localised nutrient enrichment of surrounding waters in offshore open waters

Credible Receptors Fish

Engineering controls: All sewage waste to be treated in the MODU’s sewage treatment facility

and macerated to not larger than 25 mm prior to disposal, in accordance to MARPOL Annex IV, prior to discharge.

Food scraps to be macerated to a diameter of less than 25 mm prior to disposal in accordance with MARPOL Annex V

Administrative controls: All waste will be managed in accordance with MODU specific waste

procedures and ConocoPhillips ABU Waste Management Plan No overboard discharge of sewage whilst any vessel is in harbour Provision of waste segregation bins on MODU Garbage Record Book maintained in accordance with MARPOL 73/78

Annex V Regulation 9 No additional controls were identified.


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Routine discharges: operational

Toxic effects to marine biota Oiling of marine mammals, reptiles

and seabirds Oiling of coastlines/islands Localised burial and smothering of

benthic habitats Localised reduction in water quality

(turbidity increase) Contamination of marine sediment

with cement and cement additives Localised smothering of benthic

environment Credible Receptors Benthic communities Migratory shorebirds Cetaceans Marine fauna Fish Commercial Fisheries

Design controls: WBM system will consist of a low toxicity drilling fluid Engineering controls: Positively locking dump valves will be used (including trip tanks and mud

pits) to reduce the risk of unplanned discharges. Valves will be locked when SBM is in use – only unlocked with a permit-to-work

Volumes of drill fluids and cuttings will be minimised through the use of solids control equipment

Well sections that require SBM will be drilled using a closed riser system. WBM cuttings will be recycled during the drilling program using cuttings

shaker equipment on the MODU Volumes of drill fluids and cuttings will be minimised through the use of

solids control equipment Dry cement is transported and stored in bulk storage tanks Use of mechanical means (filtering/separator) or dilution to the specified

maximum limit of hydrocarbon contamination to allow discharge of interface fluids from the rig.

Interface fluids from the hole or oily water mixtures from pit washings will be treated through a MARPOL approved oily-water separator prior to discharge (to 15 ppm)

If treatment systems are not available or cannot meet the oil-in water specification, the contaminated interface fluids will be stored in suitable containers for transport and treatment/disposal to shore by a certified waste oil contractor.

Administrative controls: All chemicals discharged to the marine environment will be selected to be

least hazardous and will have an OCNS grouping of D or E or a Hazard Quotient (HQ) colour banding of Silver or Gold

Lead Drilling Engineer approval is required for use of any non-rated, HQ bandings other than gold or silver, or in OCNS categories A to C.

Assessment and subsequent approval will be based on: - An identical CHARM/OCNS ‘type’ evaluation - Technical justification for the usage - Additional controls - How each chemical may be used

Operational discharges are managed under the rig and vessel/s Permit to Work (PTW) system


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Drilling fluids contractor procedures for discharge of cuttings. SBM will not be deliberately discharged overboard, and will be recovered to

a containment tank for future re-use by the drilling fluids contractor. Target of average residual base fluid on cuttings less than 10%, by dry

weight, in accordance with Petroleum Guidelines: Drilling Fluids Management (DMP 2010).

Drilling fluids contractor procedures for discharge of cuttings Excess bulk cement only discharged in the event of an emergency All hazardous substances (as defined in NOHSC:1008 (Commonwealth of

Australia, 2004) – Approved Criteria for Classifying Hazardous Substances) will have a Material Safety Data Sheet (MSDS) available on board.

BOP fluids are reviewed and assessed based on technical suitability and low toxicity in the marine environment.

All waste will be managed in accordance with MODU specific waste procedures and ConocoPhillips ABU Waste Management Plan

Possible additional/alternative controls: Skip and ship to offshore disposal location Slurrification and pumping of cuttings to tanks on the support vessel’s and disposal at alternative offshore location.

Routine discharges from deck drainage and bilge to marine environment

Localised change in water quality in offshore open water waters

Credible Receptors Migratory Shorebirds Marine fauna Fish

Engineering controls: Secondary containment including a functioning deck drainage system capable of controlling the content of discharges for areas of risk of fuel / oil / grease or hazardous chemical contamination. Functional drain system includes: Bunding (coaming) for isolated point sources of contamination and the

perimeter of larger, generic areas Appropriately identified and functioning drains (those directly overboard

and those draining to a controlled collection tank or oil in water treatment system)

Appropriate bungs for drains (i.e. provide an adequate seal) Scupper plugs in all drainage points at all times, removed only for planned

discharges. Procedures for the management of bung removal and housekeeping of

bunded areas. Fuels, oils and chemicals to be stored within contained and bunded areas


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and in accordance with their MSDS and relevant Australian Standards Contaminated drainage from decks, machinery spaces or bunded areas will

be treated through a MARPOL approved oily-water separator prior to discharge (to 15 ppm) If treatment systems are not available or cannot meet the oil-in water specification, the contaminated water will be stored in suitable containers for transport and treatment/disposal to shore by a certified waste oil contractor

No additional controls were identified.

Unplanned release of hydrocarbons from a refuelling incident scenario - An instantaneous surface release of 10 m3 of marine diesel fuel tracked for 10 days, to represent a refuelling incident.

Toxic effects to biota Oiling of marine mammals, reptiles

and seabirds Credible Receptors Migratory Shorebirds Cetaceans Fish Commercial Fisheries

Engineering Controls Dry break or breakaway couplings will be used where available and practicable. Double wall, tanks internal side of pontoons on MODU. Administrative Controls Fuel/drilling fluid bunkering to be carried out under the MODU contractor’s written procedure for bunkering. Minimum requirements include: Refuelling will be undertaken during daylight hours, except where safety considerations take priority. Refuelling will be undertaken when sea conditions are sufficiently calm, as determined by the MODU and master of the support vessel involved in the refuelling procedure, Radio contact will be maintained between MODU/support vessel during refuelling operations Tank levels will be continuously monitored to prevent overflow MODU and support vessels will have a Shipboard Oil Pollution Emergency Plan (as per MARPOL 73/78 Annex 1) for managing spills aboard During refuelling personnel will be required to maintain continuous observation allowing for rapid shutdown of fuel pumps and spill response


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Refuelling will be undertaken by trained staff using defined MODU procedures. This procedure will be reviewed by ConocoPhillips prior to commencing the drilling campaign. Spill response in accordance with the accepted OSCP. Preventative maintenance system is in place and effective to ensure the integrity of hoses, dry break couplings and other equipment used for fluid transfers. No reasonable alternate controls could be identified in addition to the existing controls.

Unplanned release of hydrocarbons from a vessel collision/tank rupture scenario - A 6 hour surface release of 80 m3 of diesel tracked for 20 days, to represent a supply vessel collision and a single fuel tank rupture.


and seabirds Oiling of coastlines/islands Credible Receptors Benthic communities on the shoals Migratory Shorebirds Cetaceans Fish Commercial Fisheries

Engineering Controls Double wall, tanks midships. Supply vessels will be equipped with dynamically positioned (DP) thrusters and thus have highly controlled manoeuvrability. Vessels will use approved navigation systems and depth sounders. Double wall, tanks internal side of pontoons on MODU Administrative Controls A 500 m radius petroleum safety zone will be maintained around the drill rig as required under the OPGGSA. The Offshore Installation Manager (OIM)/ Master of the rig will manage vessel access and activities within this zone. Adherence to standard maritime safety/navigation procedures. Support vessels will have a Shipboard Oil Pollution Emergency Plan (as per MARPOL 73/78 Annex 1) for managing spills aboard. Spill preparedness measures and response procedures will form part of the accepted Oil Spill Contingency Plan (OSCP). Stakeholder Engagement Plan.


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Storm paths will be plotted and monitored. If the storm is likely to intercept the MODU/ support vessels, the cyclone response plan will be activated, as per the contractor’s plan. All navigation laws adhered to. No reasonable alternate controls could be identified in addition to the existing controls.

Unplanned release of hydrocarbons from a blowout scenario - An 80 day subsurface release of condensate (32,000 m3 or 400 m3/d) tracked for 90 days, to represent a long-term blowout scenario.


and seabirds Oiling of coastlines/islands

Credible Receptors Benthic communities on the shoals Migratory Shorebirds Cetaceans Fish

Commercial Fisheries

Engineering Controls Casing and mud systems in place. A well blow out preventer will be installed and tested in accordance with regulatory and company requirements. Administrative Controls Key elements which form the foundation to ensure safe well design and drilling operations through ConocoPhillips Wells Management System include: Global standards. Global well design and delivery process. Critical well review process. Training and competency requirements. Risk identification and mitigation. Management of change. Real time monitoring. All well design and control activities to be undertaken in accordance with an approved WOMP. Implementation of a Source Control and Containment Plan covering the equipment and processes critical to source control in the event of a loss of source containment, which includes: Initiating a response to contain the blow out within the 80 day time period

forecast as being a worst case scenario (see Error! Reference source not

found.). Well and well design for credible spill scenarios Roles, responsibilities and response actions Relief Well Planning and drilling.


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Spill preparedness measures and response procedures will form part of the accepted Oil Spill Contingency Plan (OSCP). Response equipment preparedness and staging. Spill response training and spill drills and exercises. Competent and experienced MODU personnel. Stakeholder Engagement Plan, including stakeholder engagement and consultation on spill prevention and response. Operational Monitoring Program in order to initiate adaptive response management to the spill. Scientific monitoring to verify that key sensitive receptors have not been affected by the spill. Possible additional/alternative controls: Engineering Controls Globally available cap and containment equipment and response. When the technology becomes readily accessible this will become incorporated into the response strategy. Administrative Controls Stakeholder engagement to identify response resource availability and appropriateness. Scenario specific drills and exercises that utilise adaptive spill response techniques to ensure the response is appropriate to the nature and scale of the impact to the environment. Identification of sensitive receptors and appropriate response strategies and minimise environmental impacts. Development of NEBA of response strategies. Implementation of Operational Monitoring that is used in an adaptive response framework to inform the Incident


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Commander (IC) of the fate, trajectory and weathering of the spill . This information will support informed response decisions to be made by the IC and the response team.

Documents

Bonaparte Basin Barossa Appraisal Drilling Campaign ... · ConocoPhillips Bonaparte Basin Barossa Appraisal Drilling Campaign ALL/HSE/RPT/044 Environment Plan Summary 2 of 22 Table