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INDUSTRY BRIEFING Contract: 206/10 BROWSE LNG PRECINCT ACCESS ROAD: JAMES PRICE POINT PROJECT INFRASTRUCTURE DELIVERY DIRECTORATE 21 March 2011

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INDUSTRY BRIEFING

Contract: 206/10

BROWSE LNG PRECINCT ACCESS ROAD:

JAMES PRICE POINT PROJECT

INFRASTRUCTURE DELIVERY DIRECTORATE

21 March 2011

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BRIEFING PURPOSE• Overview of Project

– Michelle Andrews, Executive Director, State

Initiatives - Browse, Department of State

Development– Menno Henneveld, Managing Director of Main

Roads WA

• Key Aspects of Evaluation Process

– Jeff Anderson, Project Director, Main Roads WA

• Questions

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PROGRAM ALLIANCE CONTRACT

• Browse LNG Precinct Access Road: James Price Point Project

• Prequalification level R4: Contractor plus partners

• Mandatory and Optional sections

• Proposal submission date: 5pm WST on 6 April 2011.

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A PROGRAM ALLIANCE

What is a Program Alliance?

• An Alliance with a series of discrete sections and

Direct Cost Targets (DCT’s)

Benefits to this Project:

• Early start – whole of project DCT doesn’t need approving

before commencement

• Project development – flexibility to assess performance in

development of further sections

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THE BENEFITS OF AN ALLIANCE CONTRACT

• Aligned objectives, all parties working together

• Cost effective, value for money

• Best for Project Basis for decisions

• No blame/no disputeNo wasted effort protecting legal positions

• Rigorous contracting arrangement

Transparent cost management

Flexibility to accommodate changing circumstancesEnvironment, community requirements, landholder issues, roadbuilding materials issues

• Resource certainty

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PROJECT BACKGROUND

• The State Government of Western Australia is proposing to develop a

Liquefied Natural Gas (LNG) Precinct approximately 60 km north of 

Broome;

• The Department of State Development is leading the development of 

the proposed Precinct;

• Woodside is the proposed foundation commercial proponent; and

• Main Roads WA is responsible for providing all weather sealed accessto the proposed Precinct from Broome Highway (44 km).

Mandatory requirement is to achieve this June-December 2011.

Unsealed sections only!

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PROJECT LOCATION

PLAN

• Broome-Cape LevequeRoad (0 - 12.7 SLK).Includes Broome Hwy

intersection

• Broome-Cape LevequeRoad (12.7 - 25 SLK)

• Browse LNG PrecinctAccess Road

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PROJECT OBJECTIVES

• Provide sealed access to the proposed Browse LNG Precinct

from Broome Highway by June 2012. The majority of 

construction will need to be completed May to December 2011

due to seasonal weather;

• Ensure strong and active liaison with stakeholders, particularly

local government and indigenous groups;

• Maximise local employment, including indigenous employment;

• Provide local training opportunities, including indigenous

training;

• Support local business.

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PROJECT OBJECTIVES• To adopt an approach to planning, project management, design and construction that will:

– Provide sealed access to the proposed Precinct by June 2012;

– Provide a Value for Money solution to the upgrade of the Broome-Cape Leveque Road;

– Minimise the whole of life cost of the roads;

– Build collaborative relationships with Project stakeholders;

– Incorporate Visual Quality Management objectives within the planning and design to

maximise the visual enjoyment of travelling along the road and blend the road into the

landscape;

– Build in innovation as a key component;

– Work with industry in a collaborative manner to expand industry capability; and

– Minimise adverse impacts on the environment, heritage and the travelling public.

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KEY ISSUES• Main Roads Regional Involvement

• High initial rates of delivery

required:

– Delivery of sealed AccessRoad by June 2010

– Full delivery by December

2013

• Anticipated funds available for

Alliance approximately $100M(subject to State Government

approval)

• Early Woodside access to

proposed Precinct development

site

• Pavement materials

• Community Consultation

• Environmental clearances

• Aboriginal heritageHeritage issues may impose

some conditions on design and

constraints

• Water & bores required early

• Land acquisition – probably afterbuilt!

• Seasonal constraints

Working out of wet season (May

– December)

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STAKEHOLDERS• The Department of State

Development

• Woodside

• MRWA, Kimberley Region• Shire of Broome

• Department of Transport

• Department of Planning

• Public Transport Authority

• Broome Ports, Sea & Land

• Kimberley Development

Commission

• Department of Environment

& Conservation

• Dampier Peninsular

Indigenous communities

• Broome community

• Emergency Services

• PLUS......

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DESIGN PARAMETERS

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SCOPE OF

WORKS

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PROJECT SCOPE• Investigation, design and construction, including (as a minimum):

Road SLK Length Description

Broome-Cape Leveque Road(including Broome Hwy

intersection)

0 to 12.7 12.7 km Design, widen, overlay,reconstruct or realign

Broome-Cape Leveque Road 12.7 to

25

12.3 km Design and construct

(brownfields)

Browse LNG Precinct Access

Road

0 to 19 19 km Design and construct

(greenfields)

Total 44 km

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POTENTIAL ADDITIONAL WORKS• Additional Projects may include (subject to available funds):

Road Description Approximate

Length

Broome Highway Construct dual carriageway from Gubinghe Roadto Broome-Cape Leveque Road 6 km

Access Road

Accommodation

Construct access into proposed accommodation

area

0.5 km

Access Road Light

Industrial Area

Construct access into proposed light industrial

area

0.5 km

Manari Road

Northern Access

Realign Manari Road around the Precinct

development area from the Access Road to

Manari Road (north)

8 km

Manari Road

Southern Access

Realign Manari Road around the Precinct

development area from the Access Road to

Manari Road (south)

6 km

Proposed Browse LNG

Precinct Entrance Road

Construct entrance road into the proposed

Precinct

1 km

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PROJECT STATUS• State and Federal Environmental Referrals submitted and at public comment

stage;

• Aboriginal Heritage

Work Party Clearances are being negotiated for three distinct sections:

0 to 12.7 SLK: Rabibi Community (Yawuru People)

12.7 – 25 SLK: DSD/KLC

Access Road: DSD/KLC

• L1 Flora and Fauna Survey has been completed and L2 scheduled for April

2011• Community Engagement. Activities co-ordinated with DSD and Woodside.

MRWA have access to established focus groups and stakeholder contacts.

• Geotechnical investigations – to be advised and may commence early; and

• Materials investigations – to be advised and may also commence early.

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Browse LNG Precinct Access Road: James Price

Point ProjectINDICATIVE PROGRAM

• Proposal submission date: 5pm WST on 6 April 2011

• Aiming to notify the shortlisted proponents by the 21 April 2011

• Interview/workshops to take place between 2 – 6 May 2011

• Announce preferred proponent 13 May 2011

• Legal and commercial finalization during 16-27 May 2011

• Execute Alliance Agreement 28 May 2011• On ground activities to commence late June 2011.

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BROWSE LNG PRECINCT ACCESS ROAD: JAMES

PRICE POINT

PROJECT TEAM

• Project Director (Main Roads Representative) – Jeff Anderson

• Project Manager Development – David Clarkson• External member of the Evaluation Team will be named shortly,

prior to the closing of the EOI.

• Independent Probity Auditor - Gary Gliddon of Braxford

Consultancy with Wade Dunstan is the nominated

representative.

• Legal Advisors – Allens Arthur Robinson

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INFORMATION PACKAGE• Request for Proposal Document Part A & B

• Locality Plan (replaced in Addendum 1)

• Evaluation Plan

• Route Review and Alignment Selection Report, September 2010

Part A, B & C

• Desktop Hydrogeological Assessment, October 2010 plus

Amended Location memorandum, 14 December 2010 (issued in

Addendum 1)

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SELECTION PROCESS

Issue RFP

Proponent Briefing

ProponentsPrepare Proposals

ProponentsSubmit Proposals

DesktopEvaluation

ShortlistProponents

–Min

of 2

Issue InterviewQuestions &

Workshop Agenda

Interview and

Workshops

CommercialEvaluation

Select PreferredProponent

Legal andCommercialfinalisation

SuccessfulTerminatePreferred

Proponent Status

Invite 2nd PreferredProponent

Establish Alliance

No

Yes

Obtain MinisterialApproval

AnnouncePreferredProponent

CombinedCapability andCommercialEvaluation

Finalise

Evaluation

Execute Alliance

Agreement

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EVALUATION PANEL

The desktop Evaluation Panel comprises Main Roads’ staff and an independent external member.

The desktop Evaluation Panel is:

• Jeff Anderson – (Project Director Main Roads);

• David Clarkson – (Project Manager Main Roads);

• Independent Alliance/Industry Specialist (TBC); and

• Main Roads Kimberley Representative - TBC

The interview/workshop Evaluation Panel members will be advised at the time of 

invitation to shortlisted proponents.

External advisors may include:

• 2020 Global - Financial Advisor;

• Allens Arthur Robinson – Legal Advisor;

• Utilibiz – Alliance and procurement consultant; and

• IQE – Estimating Consultant.

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QUESTIONS?