Woomera Advisory Board Annual Report 2013

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Woomera Prohibited AreaAdvisory BoardAnnual Report

5 October 2012 - 30 September 2013


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Commonwealth of Australia 2014

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may

be reproduced by any process without prior written permission from the Department of Defence.


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Woomera Prohibited AreaAdvisory BoardAnnual Report

5 October 2012 - 30 September 2013


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ContentsChairs Report........................................................................................... 2

Executive Summary .................................................................................. 3

1. Introduction .......................................................................................... 4

2. WPA overview ...................................................................................... 7

3. Economic potential ............................................................................. 11

4. Legislative package ............................................................................ 13

5. Advisory Board meetings .................................................................... 15

6. Facts and Figures ............................................................................... 17

7. Defence use ....................................................................................... 21

8. Users views on co-existence .............................................................. 24

9. Conclusion ......................................................................................... 24

Attachment A - WPA Advisory Board Terms Of Reference ...................... 25


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Chairs ReportThe inaugural meeting of the Woomera Prohibited Area Advisory Board (the Board) was held on 18 December

2012. The Board was established to oversee the implementation of the coexistence policy framework as

endorsed through the Hawke Review and to monitor and report on the balance of national security and

economic interests as applied to the Woomera Prohibited Area (WPA).

A further and key function of the Board is to foster strategic relationships between Defence and non-Defence

users of the WPA. Establishment of these relationships has been one of our priorities over the past twelve

months and the Board meetings during this time have allowed us the opportunity to strengthen these ties.

It has been a productive rst year. Our initial two meetings were held in Canberra and a third in Woomera in

April 2013. The Woomera meeting was useful in providing us all with a rst-hand look at this vast and unique

area of land. Our visit also enabled us to improve our understanding of the role and scope of Defence and

non-Defence activities within the WPA. As part of this meeting, the Board toured OZ Minerals Prominent Hill

mine site. This visit brought yet another perspective on the complexity of the region and having the chance

to gain an insight into the workings of a mine was particularly informative for those of us with less direct

experiences of the resource sector.

A visit to the Naval Air Warfare Centre Weapons Division in China Lake, California in March 2013 afforded me

a further opportunity to aid my understanding of another approach to range management issues and military

evaluation and testing, in an area as similarly complex and sensitive as Woomera.

Maintaining successful coexistence on the WPA requires both Defence and non-Defence users alike to show

cooperative mutual respect and continued awareness in realising individual and shared goals. The principles of

coexistence call for all parties to work hand-in-hand to understand each others needs and roles so that each

can share a continued and successful presence throughout the WPA.

The Board will continue its consultation with a wide range of stakeholders in the year ahead and I look forward

to meeting with the various WPA non-Defence users groups and hearing their views and experiences of the

WPA. The coming year will also see the introduction of new legislation and accompanying management

arrangements for Woomera. In turn, this will bring about increased certainty for stakeholders and non-Defence

users regarding access arrangements for the area and will also encourage further investment by our valuable

resource industry.

I would like acknowledge the hard work of the Australian Government Departments of Defence; Finance;

and Industry; and the South Australian Government through the ofces of the Department of Manufacturing,

Innovation, Trade, Resources and Energy (DMITRE) and Defence SA in their efforts to develop the legislation

and supporting activities that will enable the new coexistence arrangements to work.

I also acknowledge the contribution by the Boards Deputy Chair, the Hon Paul Holloway, the Chief of AirForce, AIRMSHL Geoffrey Brown AO, and the other members of the Board over the past year and I thank them

for their continued support and cooperation. Finally, my sincere thanks to Ms Samantha Higgins, Executive

Director Woomera Prohibited Area Coordination Ofce (WPACO) and the staff of WPACO.

Stephen Loosley

Chair

Woomera Prohibited Area Advisory Board



Executive SummaryOn 17 May 2010 the Government commissioned a Review to consider how to use the Woomera Prohibited

Area (WPA) in a way that ensured that both its national security and full economic potential were realised.

The Review recommended the establishment of the WPA Advisory Board.

The Australian Government subsequently established the WPA Advisory Board in October 2012. In accordance

with the Boards Terms of Reference this report fulls the requirement to report annually on the balance of

interests in the WPA.

The Review concluded that the WPA is an important asset in the national interest, but that its full potential is not

being realised. It was evident that introducing a comprehensive range management framework would improve

the co-existence of national security and economic interests in the WPA.

The South Australian Government and Geoscience Australia have assessed that over the next decade about

$35 billion worth of iron ore, gold and other mineral resources are potentially exploitable from within the WPA.

Most of the WPA is South Australian Crown land and is covered by pastoral leases and exploration and

mining tenements granted by the South Australian Government. The WPA contains Indigenous freehold title,

recognised traditional owners and claimants and signicant Indigenous heritage sites. There are native title

rights, interests and claims over most of the WPA.

Key transport infrastructure, including the Stuart Highway and the Adelaide to Darwin railway bisect the WPA.

To implement the co-existence approach, the Review recommended that access be regulated by a model

of zones and exclusion periods that recognises the frequency and location of Defence testing, its safety and

security requirements, and that some areas within the WPA are used more often than others. These provisions

would give non-Defence users greater certainty by granting guaranteed access to parts of the WPA for set

periods of time.

It is necessary to suspend WPA access to ensure safety and/or security during Defence test and evaluation

activities. During the reporting period a combination of pastoralist evacuation and/or activity restrictions were

undertaken including road blocks for both major and minor roads.

During the reporting period work has continued on the development of a legislated permit scheme which would

contribute to the co-existence framework. Defence has also been working with existing users to clarify their

access arrangements.

The Board invited non-Defence users of the WPA to provide their views on access to and operating in the

WPA during the reporting period. Overall the comments were positive, with comments largely focussing on

the communication with, and support given by, the Woomera Test Range (WTR) and WPACO. Concerns were

minimal and focussed on: arrangements for emergency access; Approved Personnel applications, evacuation

periods, future mine feasibility given evacuation requirements, and the request for continued consultation.



1. IntroductionHawke ReviewOn 17 May 2010 the Government commissioned a Review to consider how to use the WPA in a way that

ensured that both its national security and full economic potential were realised. The Review was undertakenby Dr Allan Hawke AC and staffed by a team comprising representatives from the Departments of Defence,

Prime Minister and Cabinet, and Resources, Energy and Tourism.

The review proposed a system to maximise the co-existence between Defence and non-Defence users of

the area. The review recommended that Defence remain the primary user of the area, but acknowledged that

exploitation of the WPAs considerable minerals resources would bring signicant economic benet to South

Australia in particular and Australia in general. The review proposed that the WPA be accessible for resources

exploration to the maximum extent possible, but within the connes of its primary use for defence purposes.

This was to allow Australians to take advantage of the resources potential of the WPA while ensuring its future

viability as the most important test and evaluation range supporting the Australian Defence Force.

The Review recommended the Australian Government negotiate with the South Australian Government

to establish an Advisory Board. It recommended that the Advisory Board be headed by an independent

Chair agreed to by the Ministers of the following: Defence; Resources, Energy and Tourism and Finance

and Deregulation (as they were then known); and by the Premier of South Australia. The Review further

recommended that the Chair of the Advisory Board should have the power to refer Defence access conditions

to the Secretaries of Defence and Resources, Energy and Tourism to seek their review by Defence where

necessary. The Advisory Board Terms of Reference are at Attachment A.

Establishment of the Advisory Board

MembershipThe Australian Government established the WPA Advisory Board in October 2012 and, following consultation

with the South Australian Government, appointed an independent Chair, Mr Stephen Loosley, and Deputy

Chair, the Hon Paul Holloway. The Board includes ex ofcio representatives from relevant Australian

Government and South Australian Government agencies as follows:

Deputy Secretary Strategy, Department of Defence

Chief of Air Force, Department of Defence

Deputy Secretary Resources, Department of Industry

Deputy Secretary Business, Procurement and Asset Management, Department of Finance

Chief Executive Ofcer, Defence SA

Deputy Chief Executive, Resources and Energy, SA Department for Manufacturing, Innovation, Trade, Resources

and Energy (DMITRE)



Functions

The Board has initially met on a quarterly basis, with secretariat support provided by the WPACO.

As outlined in its Terms of Reference, the Advisory Board is to:

a) monitor and recommend amendments to co-existence policies and procedures;

b) develop high-level relationships between Defence and the resources sector;

c) resolve disputes between Defence and non-Defence users;

d) report annually on the balance of interests in the WPA; and

e) conduct a review every seven years of the balance of interests in the WPA.

This report fulls the requirement to report annually on the balance of interests in the WPA. In preparing

the annual report on the balance of interests in the WPA and in assessing extant co-existence policy and

procedures, the Terms of Reference require the Board to:

call for submissions from non-Defence users on their experience with obtaining access to and operating

in the WPA;

assess Defence use of the WPA for the preceding 12 months and anticipated use for the subsequent 12 months

as provided by the Coordination Ofce; and

assess:

the number of tenements renewed or granted in the past 12 months and the number anticipated in the next

12 months; and

updates on the resources potential of the WPA as provided by the Coordination Ofce.

Remuneration

The remuneration for the Chair is determined by the Remuneration Tribunal in its Principal Determination

Remuneration and Allowances for Holders of Part Time Public and tier two travel entitlements under the

Remuneration Tribunals Determination Ofcial Travel by Ofce Holders. The Minister for Defence determined

that the Deputy Chair would be paid 80% of the Chairs base rate, plus the meeting fee only when acting for

the Chair, and Tier 2 travel entitlements. There was no additional remuneration payable for ex-ofcio members

of the Board.

1 November 2012 to 30 September 2013

Remuneration Paid

(GST Inclusive)

Meeting Fees

(GST Inclusive)

Chair Mr Stephen Loosley $9,466.43 $4,000.00

Deputy Chair Mr Paul Holloway $7,572.95 Nil

The Remuneration Tribunal conducts reviews on the rates within the Determinations and if an increase is

to be made a Statement will be issued advising the increase to the rates along with the justication.

Copies of current and previous Determinations can be located on the Remuneration Tribunal Website

http://www.remtribunal.gov.au/.



Terms of appointments

The term of appointment for the Chair and the Deputy Chair is for a three year period and commenced on

1 November 2012 and concludes on 31 October 2015.

Ex Ofcio members relinquish membership on ceasing their substantive appointments with their respective

government departments. Membership normally transfers to the new incumbents.

Establishment of the Woomera Prohibited AreaCoordination OfceWPACO was established in late May 2011 within Defence as a central point of contact for non Defence access

to the WPA. It is responsible for implementing the recommendations of the Review and to provide Secretariat

support to the Advisory Board.

WPACO is located in Canberra and includes physical representation from Defence, and virtual representation

from other Australian Government departments (Industry Resources Division, and Finance) and the South

Australian Government (Department of Manufacturing, Innovation, Trade, Resources and Energy (DMITRE)

and Defence SA).

A Department of Finance ofcial was seconded for a period of six months to assist with the establishment of

the WPACO. Ofcials from the then Department of Resources, Energy and Tourism were also seconded to the

WPACO from the commencement through to June 2013.

Reporting PeriodThis Report covers the year since the moratorium on new access was lifted (5 October 2012 to

30 September 2013).



2. WPA overviewThe importance of the WPA to DefenceThe WPA covers nearly 124,000 km2 in South Australia, approximately 450 km NNW of Adelaide. It comprises

extensive lands north of the Indian Pacic railway, from Maralinga in the south-west up to its north-west cornerin the Great Victoria Desert (that stretches across the SA-WA border), across to Coober Pedy, and west of

Roxby Downs down to Woomera in the south-east.

The WPA is globally unique, and Australias most important military testing range. It is used for the testing of

war materiel under the management of the Royal Australian Air Force and is the largest land-based test range

in the world, comparable in size to England, with a centre line of over 600 km.

The size, remote location, low population density and quiet electromagnetic environment of the WPA make it an

ideal test and evaluation site for Australia and its allies and partners.

The WPA was established as a long-range weapons testing facility by the United Kingdom and Australia under

the Anglo-Australian Joint Project, which wound down during the 1970s. The use of the WPA by Defence

declined during the 1980s and 1990s at which time its use by non-Defence users including the resources

sector, dominated the area. Changes in the strategic environment since the late 1990s have resulted in an

increasing requirement for access to WPA facilities for the testing and evaluation of weapons systems.

The range is now, in parts, in near constant use.

Defence is responsible for ensuring the safety of people and security of trials during all defence activities

inside the WPA. Current and future weapons systems are increasing in range and lethality and require larger

exclusion areas during the critical trials and evaluation phase undertaken at Woomera. The ability to evacuate

large portions of the WPA during the 2013 Joint Air to Surface Standoff Missile (JASSM ) launch was a criticalcomponent of the safety case for the trial and is indicative of the weapon templates for future generation

weapons. Increasingly Defence will rely on new generation weapons which will focus on electronic effects

Test activity explosion Woomera Prohibited Area



rather than traditional kinetic ones. Whilst not having the same dynamic or explosive potential of traditional

kinetic weapons (bombs and missiles), lasers and jammers require larger safety templates, bounded only by

radio frequency horizons, to ensure personal safety and protecting electronic equipment which can create

an indirect safety hazard to range users. Providing access to an electronically quiet environment in the WPA

provides a unique capability for Australia and our strategic partners to test new generation electronic systems,

affording high levels of safety and protecting the sensitive nature of many of these trials and tests. Security of

Defence trials provided inside the WPA remains a critical part of Australias continued access to leading edgeweapons and systems.

This area has been declared as a Prohibited Area in accordance with regulation 35 of the Defence Force

Regulations. This regulation allows the Minister to declare a place to be a prohibited area which is a place

necessary, expedient or in the interest of safety or defence of Australia:

to carry out operations for the testing of war materiel; and

that special precautions be taken to prevent the entry of unauthorised persons into that place.

In addition, a person must not access the WPA without the Ministers permission, which may be subject to

any condition necessary for the protection of persons, property and ofcial secrets. The authority to grant

permission to the WPA has been delegated to ofcials in the Department of Defence, including key positions

located in Woomera. This allows access decisions to be made in a timely manner.

Heron Remotely Piloted Aircraft at Woomera Prohibited Area



The importance of the area fornon-Defence usersThe WPA overlaps a major part of South Australias potential for signicant minerals and energy resources,

including 30 per cent of the Gawler Craton, one of the worlds major mineral domains, and the Arckaringa,

Ofcer and Eromanga Basins for hydrocarbons and coal. Olympic Dam is adjacent to the WPA and is part

of the Gawler Craton.

There are currently four operating mines in the WPA: the Challenger gold mine, operating since 2002,

produces over 85,000 ounces of gold a year; the Prominent Hill copper-gold mine, operating since 2010,

is a medium-sized, high quality copper-gold mine producing around 75,000 tonnes of copper a year and

around 140,000 ounces of gold; the Cairn Hill magnetite (iron ore) mine, operating since 2010, is one of

Australias few magnetite mines, producing around 1.7 million tonnes of premium quality magnetite-copper

direct shipping ore a year at full capacity; and the Peculiar Knob iron ore mine, operating since October 2012,

is, contributing approximately 3.6 million tonnes per annum of high grade iron ore to Arriums processing and

export facilities in Whyalla.

The South Australian Government and Geoscience Australia have assessed that over the next decadeabout $35 billion worth of iron ore, gold and other mineral resources are potentially exploitable from

within the WPA.

Most of the WPA is South Australian

Crown land and is covered by pastoral

leases and exploration and mining

tenements granted by the South

Australian Government. The WPA

contains Indigenous freehold title,

recognised traditional owners and

claimants and signicant Indigenousheritage sites. There are native title

rights, interests and claims over most

of the WPA.

Key transport infrastructure, including

the Stuart Highway and the Adelaide

to Darwin railway bisect the WPA.

Visits to the area by tourists

also increased in recent years.

Tourists both from interstate and

overseas visit Coober Pedy north of

the WPA, dubbed as the Opal Capital

of the World, for its opals, opal

mines and local attractions such as

the underground homes and museums and outback activities. Adventure seekers and nature lovers visit and

traverse the Tallaringa Conservation Park (northwestern WPA) which provides 4WD access to Western Australia

along the Anne Beadell Highway. The Woomera Village with its Rocket Park and museum is also an attraction

for tourists travelling through the area.

Cairn Hill Mine (Courtesy of IMX Resources; DMITRE photo 413546)



Co-existence modelThe Review concluded that the WPA is an important asset in the national interest, but that its full potential is not

being realised. It was evident that introducing a comprehensive range management framework would improve

the co-existence of national security and economic interests in the WPA.

Accordingly, the Review proposed that access to the WPA be facilitated for resources exploration to the

maximum extent possible, while ensuring Defence primacy for the testing of war materiel. This would allow

Australians to take advantage of the resources potential in the WPA while ensuring its future viability as the

most important test and evaluation range that supports the Australian Defence Force.

To implement the co-existence approach, the Review recommended that access be regulated by a model

of zones and exclusion periods that recognises the frequency and location of Defence testing, its safety and

security requirements, and that some areas within the WPA are used more often than others. These provisions

would give non-Defence users greater certainty by granting guaranteed access to parts of the WPA for set

periods of time.

The zones were determined according to Defence use of the WPA, and have been in place since

31 March 2012. They are:

Red Zone: encompassing the area of high frequency Defence use;

Amber Zone: encompassing the area of periodic Defence use and, together with the Red Zone, comprises the

previously dened Core Area of Operations as described in the Defence Ministers statement of 17 May 2010;

and

Green Zone: encompassing the area of infrequent Defence use.

The number of exclusion periods available for Defence depends on the zone within the WPA. The exclusion

periods are each of seven days duration during which non-Defence users are required to evacuate the

designated areas:

Red Zone (continuous Defence use): a total exclusion of new non-Defence users.

Amber Zone (periodic Defence use): Defence can exclude new non-Defence users for 20 windows each of

seven days in the Amber Zone (Zone 1), and 10 windows each of seven days in the Amber Zone (Zone 2) - the

corridor - every year. Defence will give at least three months notice before the beginning of the nancial year in

which the exclusion period begins. There will be a break of at least six weeks between the exclusion periods.

Green Zone (infrequent Defence use): Defence can exclude new non-Defence users up to 56 days.

The exclusions will be for up to eight windows of seven days each year after giving permit holders with

permanent facilities a minimum of six months notice, and other permit holders 14 days notice.

Exclusion period notices have been exercised since 1 July 2012.

WPA Opal Fields (Courtesy of DMITRE, photo 405408)



3. Economic potentialSA Government economic/resourcepotential assessmentThe WPA covers over 30 percent of the Gawler Craton, one of the worlds major mineral domains, and the

Arckaringa, Ofcer and Eromanga Basins that contain conventional and unconventional hydrocarbons and

coal. Geoscience Australia has estimated that 62 percent of Australias known copper resources, as well as

78 percent of the countrys known uranium resources are located within the WPA and immediate surrounds.

With potential mineral development value estimated at more than $35 billion, including iron ore, gold, copper

and uranium prospects, the WPA already hosts four major operating mines: the Challenger gold mine by

Kingsgate Consolidated Ltd, the Prominent Hill copper-gold mine by OZ Minerals, the Cairn Hill iron ore-

copper mine by IMX Resources, and the Peculiar Knob iron ore mine by Arrium. These four operating mines

employ over 1,500 people and contribute more than $20 million per annum to the State in royalties. Arrium is

actively progressing another iron ore mine project at Hawks Nest, which lies south of Peculiar Knob. Increasing

condence in the new WPA regulatory framework is demonstrated by OZ Minerals 2012 investment of

$135 million to its Ankata project to expand Prominent Hills underground mining operations and Arriums

investment of $86 million into the construction and operation of its Peculiar Knob iron ore mine.

Aerial photo of Peculiar Knob mine (courtesy of Arrium Mining; DMITRE photo 412828)

Since the moratorium on granting new access was lifted in October 2012, DMITRE has granted 61 new mineral

exploration licences within the WPA, lifting the total number of ELs within the WPA to 205. These licences

are held by 62 different companies investing several millions of dollars per annum on the search for new

copper, gold, coal, uranium and iron ore deposits in this remote area. There are also a number of Petroleum

and Geothermal Energy Act 2000 (SA) tenements held by nine different companies that are evaluating the

considerable potential of the region to host oil, conventional and unconventional gas reserves and hot rocks

at depth that could support geothermal power generation. Large international explorers including Teck

Cominco, Vale and Antofagasta Minerals have been attracted to the area due to its high mineral prospectivity

and currently hold exploration licences in the area.



To further assess the economic and resource potential of the WPA, the $2 million PACE 2020 Woomera

Geoscience (gravity) Survey was successfully completed from June to September 2013 involving collaboration

between DMITRE, Geoscience Australia and Defence personnel at the WTR. The project is part of DMITREs

Plan for Accelerating Exploration (PACE 2020) Gawler Craton Enhanced Exploration Initiative which includes

a follow-up geochemical program mostly across the area of the gravity survey and consolidation and

re-processing of existing magnetics data for the region. The data and images generated from these exploration

programs in the WPA will facilitate renewed exploration investment into the region, supporting discovery ofSouth Australias next series of world-class mines.

Aerial Gawler Craton - (Woomera Prohibited Area) gravity survey (photo courtesy of DMITRE)



4. Legislative packageOverviewThe Review recommended the development of a legislated permit scheme which would contribute to the

co-existence framework. The intention of the legislation is to establish a scheme that provides non-Defenceusers within the WPA a greater level of certainty over Defence activity in the area and greater clarity on access

arrangements. It allows users to make commercial decisions with some assurance as to when they will be

required to leave the area because of Defence activity.

The framework maintains the primacy of the WPA as a national security and defence asset and sets up a

co-existence scheme that allows access by non-Defence users subject to conditions that protect the safety of

all users in the WPA and ensures the appropriate national security protections for an area used to test defence

capability.

As recommended by the Review, existing users will continue to access and operate in the WPA under

their current arrangements. These include Indigenous groups, pastoralists, the railway and existing mining

operations in the WPA. The co-existence scheme to be established by the Bill would apply to new users of

the WPA. Existing mines in the area would have the option of voluntarily joining the co-existence scheme to

be established by the legislative package.

Consultation on the Defence LegislationAmendment (WPA) Bill 2013The Defence Legistation Amendment (WPA) Bill 2013 (the Bill) (and associated Rules) built upon the

consultation activities that occurred during the conduct of the review in 2010-2011, together with the public

consultation regarding the Minerals Exploration Deed of Access developed during the moratorium period in

2012 and operational trialing of the access zone/exclusion window procedures which commenced in July2012.

As part of the public consultation process on the Bill, an information paper on the proposed legislative

framework for the WPA was released and distributed widely to stakeholders and interested parties in April

2013. The paper provided a general overview of the policy framework proposed for implementation in the

legislative package.

Concurrently, the draft Bill was developed and referred to Australian Government and South Australian

Government stakeholder agencies for review and comment, with proposed amendments being incorporated

where appropriate. The principal agencies consulted were:

The Department of the Prime Minister and Cabinet;

The Department of Resources, Energy and Tourism;

The Attorney-Generals Department;

The Treasury;

The Department of Finance;

The Department of Families, Housing, Community Services, and Indigenous Affairs;

South Australian Department for Manufacturing, Innovation, Trade, Resources and Energy;

DefenceSA;

South Australian Crown Solicitors Ofce; and

South Australian Department of the Premier and Cabinet.



The then Ministers for Defence and Resources and Energy released an exposure draft of the Bill for stakeholder

and other public consultation on 8 May 2013. The draft was brought to the attention of all other identied

stakeholders and interested parties, and published on the WPACO website. The South Australian Government

hosted a public consultation workshop, chaired by WPACO, on 10 May 2013 to discuss the Bill. Stakeholders

and interested parties provided feedback through the workshop and by written submission.

The exposure Bill was amended to take feedback into account.

The then Minister for Defence, Stephen Smith, introduced the Defence Legislation Amendment (Woomera

Prohibited Area) Bill 2013 into the Parliament on 30 May 2013. It was passed by the House of Representatives

on 6 June 13 and entered the Senate on 17 June 2013. The legislation was referred to the Senate Committee

on Foreign Affairs, Defence and Trade on 18 June 2013 by both the Coalition and the Australian Greens.

The Senate Committee requested submissions and proposed to hold a hearing in Adelaide on 7 August 2013.

However, a Federal election was called and the Committee decided to cancel the hearings during the caretaker

period. On 20 August 2013 the Committee issued its report stating that it had decided not to continue with its

inquiry at this stage. Two Coalition senators had made a dissenting report, suggesting that the hearing should

have progressed. The Committees report stated that should the bill be reintroduced in the 44th Parliament

and referred to the committee, the committee would resume its consideration of the legislation.

The Bill lapsed when Parliament was prorogued on 5 August 2013.

Consultation on the RulesThe exposure draft of the Rules was released for public consultation on 30 May 2013, with interested

stakeholders and parties to consider and provide feedback by 12 July 2013. The draft Rules were also

distributed by Defence to its list of identied stakeholders and interested parties, and published on the

WPACO website.

A public consultation forum was held in Adelaide on 1 July 2013 with attendees representing mining,

petroleum, defence industry, rail operators and Indigenous groups.

Targeted consultations were also undertaken with Indigenous groups conducted by Department of Defence

and South Australian Government ofcials in Adelaide on 2 July 2013. Parties included representatives of the:

Maralinga Tjarutja;

Anangu Pitjantjatjara Yankunytjatjara;

Kokatha Uwankara claimant group;

Antakarinja Matu-Yankunytjatjara Aboriginal Corporation; and

Gawler Ranges People.

A meeting was also held in Coober Pedy on 3 July 2013 for licensed Opal Miners and Extractive Minerals Deed

holders. Attendees at the meeting included the President and Deputy President of the Opal Miners Alliance

and a representative of an operating mine. Discussions were also held with the Chair of the Antakarinja

Matu-Yankunytjatjara Aboriginal Corporation.

On 6 August 2013 in Adelaide, Defence and South Australian Government representatives met to discuss

future access arrangements with the three companies involved with the railway: the Australian Rail Track

Corporation, AustralAsia Railway Corporation, and Geneseee & Wyoming Australia.

The parties agreed to recognise the rail as an existing user, inclusive of all associated infrastructure,

and to develop a protocol covering consultation and notication arrangements.

The consultation process also identied a number of issues relating to existing users, not caused by the Bill.

Defence is working with existing users to address these, including to formalise working agreements.



5. Advisory Board meetingsThe Terms of Reference for the Advisory Board included meeting quarterly initially, then moving to half yearly.

Three meetings were held during the reporting period - the meeting proposed for September 2013 was

subsequently cancelled. This was due to the 2013 Federal election and consequent lapsing of the legislation.

18 December 2012 Canberra Inaugural meeting

The inaugural meeting of the WPA Advisory Board was held in Canberra on 18 December 2012. At this

meeting the Board endorsed its Terms of Reference, as proposed in the Hawke Review. The Board received

briengs on the Defence activities and Resources industry in the WPA. The Board also reviewed the work

plan and timeline for implementing the Review and discussed the Boards Business Rules and reporting

requirements.

9-11 April 2013 Woomera

The second Board meeting was held in Woomera from 9-11 April 2013. The Board discussed an information

paper on the proposed legislative framework, which was then published on the WPACO website to assist withthe public consultation process. The Board also discussed the process and timelines for accessing the WPA

and advised on providing greater clarity to industry about how processes at DMITRE and WPACO interrelate.

The Woomera visit and Royal Australian Air Force demonstration provided Board members with a greater

awareness of Defence use of the WPA to assist in the Boards future discussions. Board members also toured

OZ Minerals Prominent Hill mine site to gain an understanding of the mines operations.

Advisory Board visit to OZ Minerals Prominent Hill mine site



13 June 2013 Canberra

The third meeting was held in Canberra on 13 June 2013. Discussions focussed on the legislation,

and associated issues such as the compensation and demerit point regimes.

The members attendance at meetings during the reporting period is listed in the table below.

Name of Member Position Meeting eligibility Meetings attended

Mr Stephen Loosley Chair 3 3

Hon Paul Holloway Deputy Chair 3 3

AIRMSHL

Geoffrey Brown AOChief of Air Force 3 2*

Mr Andrew FletcherChief Executive Ofcer,

Defence SA3 3

Dr Paul HeithersayDeputy Chief Executive,Resources and Energy,

DMITRE

3 3

Mr Martin HoffmanDeputy Secretary,

Department of Industry3 2*

Ms Jan Mason

Deputy Secretary,

Business, Procurement

and Asset Management,

Department of Finance

3 3

Mr Brendan Sargeant

Deputy Secretary,

Strategy, Department of

Defence

3 2*

* A representative was provided for the meeting not attended.

Brieng to Advisory Board members Woomera Prohibited Area



6. Facts and FiguresSA Government tenements and licences - Mineral,Petroleum and Geothermal ExplorationDuring the year a number of mineral, petroleum, and to a lesser extent geothermal exploration tenements

were active in the WPA area (refer table over).

Exploration activities were dominated by the mineral exploration companies which conducted a number of

geoscientic surveys and programs during the year to search for new mineral deposits. Activities included

airborne surveys, Indigenous heritage surveys, ground sampling and mapping programs, exploratory drilling

and site rehabilitation works.

Tenement / Application Current Granted RenewedAnticipated over the

next 12 months

ELA ExplorationLicence Application

32 - - 32 ELAs may be granted

EL Exploration Licence 205 61 60Up to 95 ELs may be

renewed

MC Mineral Claim 3 0 0

Anticipated to be similar

to previous year.

RL Retention Lease 2 0 0

GEL Geothermal

Exploration Licence3 0 0

GELA - Geothermal Exploration

Licence Application1 - -

GSEL Gas Storage


GSELA Gas Storage Exploration

Licence Application21 - -

PEL Petroleum


5 PELs will be renewed over

a reduced area

PELA Petroleum Exploration

Licence Application15 - - 2 PELAs may be granted



Existing minesFour metallic mines currently operate within the WPA, together with several small extractive mines which supply

construction materials locally, often on an as needed basis. Information on the major mines in the WPA is

provided in the table below.

Mine Name Commodity Company Status

Term of

Mining

Lease

Life of

Mine1

(years)

Production

FY 2012/13

Prominent Hill

Copper (Cu),

Gold (Au),

Silver (Ag)

OZ Minerals

Operating;

underground

(Ankata), open

cut (Malu)

ML 6228 15

years from

2006 to 2021

1086,887t Cu

130,192oz Au

The mineral exploration licences (ELs) granted in the Woomera Prohibited Area (WPA) between 1 October 2012

and 30 September 2013 are shown in the following gure.



Challenger Gold (Au)

Kingsgate

Consolidated

Ltd

Operating;

underground

ML 6103 17

years from

2001 to 2018

7 66,216oz Au

Cairn Hill

Magnetite iron

ore (Fe3O4),

Copper (Cu),Gold (Au)

IMX Resources

Ltd through

subsidiary

Termite

Resources NL

Operating;

open cut

ML 6303 10

years from

2008 to 2018

61.7Mt ore

mined

Peculiar KnobHematite iron

ore (Fe2O3)Arrium Ltd

Operating;

open cut

ML 6314 14

years from

2008 to 2022

62.4Mt ore

mined

1 Published information based on currently dened reserves

In line with the co-existence model for the area, both the exploration and mining operators work in close

communication with Defence in relation to their operations and the scheduling of activities relevant to

supporting Defence tests.

During the year OZ Minerals and Defence jointly ran a safety training exercise involving a mock plane crash.

The exercise tested coordination with emergency services and the activation of emergency response

procedures at the mine. The exercise was a success with both organisations learning lessons for

future operations.

New exploration deeds and other forms of accessInformation on the types of Deeds of Access and total numbers held are provided in the table below.

Period Total Number of Deeds of Access held

As at 31 Dec 12

16 mineral exploration

4 mineral lease

3 extractive mineral

1 petroleum

0 geothermal

As at 31 Mar 13


4 mineral lease


1 petroleum

0 geothermal

As at 30 Jun 13


4 mineral lease


1 petroleum

0 geothermal

1 infrastructure/other

As at 30 Sep 13


4 mineral lease


1 petroleum0 geothermal

1 infrastructure/other



The table below provides a summary of applications and access requests during the period.

Item5 Oct 12

to 31 Dec 12

1 Jan 13

to 31 Mar 13

1 Apr 13

to 30 Jun 13

1 Jul 13

to 30 Sep 13Total

Deeds of Access executed 8 13 8 4 33

Deeds of Amendments issued 0 0 3 1 4

Non-compliance 1 0 0 0 1

Approved Personnel lodged

in period154 181 468 345 1148

Total number of Approved

Personnel currently approved- - - 1469 1469

Approved Personnel denied 0 0 0 0 0

Escorted Personnel lodged inperiod

0 19 2 14 35

Escorted Personnel denied 0 0 0 0 0

Number of Tourist Permits

issued5 95 247 142 489

Number of tourists processed

on Permits20 150 518 269 957

Tourist Permits denied 0 0 0 0 0

Opal Permits issued 19 9 14 17 59

Opal Permits denied 0 0 0 0 0

Exploration Access Requests

processed13 16 9 33 71

Total number of personnel

processed on Access

Requests

282 185 114 131 712

Access Requests denied 0 0 0 0 0

Negotiations underway for miningNegotiations are underway with a company interested in a Deed of Access for new mining operations in the

WPA. As with the exploration deed, the mining deed would provide for company access to the WPA prior

to commencement of new legislation. The deed would contain a dened transition period for moving to a

legislated permit.

Opal Mining

The Coober Pedy Proclaimed Precious Stones eld covers approximately 4,954 square kilometres, of this48% is within the WPA. There are currently 48 registered precious stones tenements within the WPA producing

approximately $1.2 million worth of opals annually (estimated from the Opal production report).



7. Defence useRange of unclassied testing undertaken overlast 12 monthsDuring calendar year 2013, the WTR level of activity was consistent with the previous two years. The number of

tasks cancelled throughout the year was higher than usual, which led to a subsequent restriction on available

planning resources. Analysis of the cancelled events shows that the vast majority came from within Defence,

and were due to continuing issues with importing equipment and signicant budget cuts across Defence.

The reduced level of activity also reects some reduction in operational support with the drawdown of

operations in Afghanistan.

Royal Air Force C-17 at Woomera Aireld

The lower number of overall trials did not equate to less range activity, however, due to the higher than usual

number of highly-complex, complex and highly-technical trials conductedtrials of these complexity levels

have a high demand on WTR resources. The different types of trials on the WTR are dened in the table below.

WPA Trial Type Description

Highly complex Full operations and engineering support

Complex Signicant to very high operational inputs and signicant engineering input

Highly Technical Signicant operations inputs and some engineering input

Technical Lower level of operational inputs and little or no engineering input

Non-Technical Task administration/planning in nature



Key 2013 gures for WTR are as follows:

Tasks. 69 Planned, 1 Rejected, 34 Cancelled, and 34 Completed.

Complexity. Of the 34 completed, the breakdown of task complexity was: two Highly Complex,

two Complex, one Highly Technical, 24 Technical and ve Non-Technical.

Range usage. 869 Actual Trial days (not including setup/redeployment), over 2200 trials personnel deployed into

Woomera (excluding WTR staff), around 67,000 Bednights (Eldo 65,000, Camp Rapier 2000).

Ofcial Visits.103 visits conducted involving 515 persons.

A number of important classied Defence trials were also carried out on the WTR in 2013.

Exclusion Windows exercised over the reporting periodWPA non-Defence users were advised of the WPA exclusion periods for the 2012-13 nancial year on

30 March 2012 and for the 2013-14 nancial year on 21 March 2013. The exclusion periods for Amber Zone 1,

Amber Zone 2 (the corridor) and the Green Zone during the reporting period are provided in the

following tables.

Amber Zone One Planned

Exclusion period

Exclusion

exercisedComment

15 October 18 November 2012 NoCancellation notied to WPA non-Defence

users by email on 21 September 2012.

18 February - 24 March 2013 Yes

6 May 2013 9 June 2013 Yes

Part of a large scale closure affecting the Green

zone Pastoral Stations, the Stuart Highway,

public roads and the Darwin to Tarcoola

Railway were affected.

22 July - 25 August 2013 Yes

Amber Zone Two Planned

Exclusion period

Exclusion

exercisedComment

15 October 28 November 2012 NoCancellation notied to WPA non-Defence

users by email on 21 September 2012.

4 March 24 March 2013 NoCancellation notied to WPA non-Defence

users by email on 22 February 2013.

13 May 2 June 2013 Yes Part of large-scale Green Zone closure

12 August 25 August 2013 NoCancellation notied to WPA non-Defence

users by email on 15 July 2013.

Green Zone Planned

Exclusion period

Exclusion

exercisedComment

20 May 2 June 2013 Yes

Closure notied to WPA non-Defence users

by way of letter dated 24 April 2013 and

through advertisements in regional press in

late April 2013



Nature of exclusions and non-Defence users affectedIt is necessary to suspend WPA access to ensure safety and/or security during Defence test and evaluation

activities. During the reporting period a combination of pastoralist evacuation and/or activity restrictions was

undertaken including road blocks for both major and minor roads.

For the JASSM tests between 20 May 2013 and 2 June 2013 Defence closed the Green Zone. This included

closing the Stuart Highway and Darwin to Tarcoola Railway for limited times over this period - in the case of

the railway, for three 3-hour periods which were all scheduled to work in with the railway operators timetable.

All suspensions were minimised where possible and were advertised in advance to reduce the disruption to

users. Defence coordinated with state authorities as required, for example gaining permission from the SA

Department of Planning, Transport and Infrastructure to temporarily close the Highway, and assistance from

the SA Police to conduct road closures.

Loading the Joint Air to Surface Standoff Missile (JASSM) on to an FA-18 Hornet

Exclusion zone management plan under developmentDefence is currently preparing an Exclusion Zone Management Plan. The plan is an integral part of the

improved WPA range management framework. The plan will set out procedures for improved management of

zone closures and protocols for communicating with WPA stakeholders affected by Defence test activities.

The draft plan is expected to be completed in 2014.



8. Users views on co-existenceIn accordance with the Terms of Reference, the Board invited non-Defence users of the WPA to provide their

views on access to and operating in the WPA during the reporting period.

Twelve submissions were received, including from a mining company, opal miner, exploration companies,

emergency services, rail, and tourism. Overall the comments were positive, with comments largely focussing on

the communication with, and support given by, the WTR and WPACO. Concerns were minimal and focussed

on: arrangements for emergency access; Approved Personnel applications; evacuation periods; future mine

feasibility given evacuation requirements; and the request for continued consultation. The Advisory Board noted

the submissions received and thanked those who contributed.

9. ConclusionThe Advisory Board believes it has made a valuable and constructive start in carrying out its responsibilities in

relation to the implementation of co-existence between Defence and non-Defence users within the WPA.



Attachment A

WPA Advisory Board Terms Of Reference

Objectives1. Monitor and report on the balance of national security and economic interests in the WPA.

2. Oversee the implementation of the coexistence policy arrangements.

3. Foster strategic relationships between Defence and non-Defence users of the WPA.

Membership

4. An independent Chair to be agreed by the Ministers for: Defence; Resources and Energy; Finance; and the

Premier of South Australia.

5. Members: The Commonwealth (the Department of Defence and the Department of Resources, Energy and

Tourism, and the Department of Finance) and the South Australian Government (Department for Manufacturing,Innovation, Trade, Resources and Energy (DMITRE) and Defence SA).

a. Members should be senior-level (Deputy Secretary/Deputy Chief Executive) representatives of their

respective organisations.

Roles and Functions

6. Monitor and recommend amendments to co-existence policies and procedures.

7. Develop high-level relationships between Defence and the resources sector.

8. Resolve disputes between Defence and non-Defence users.

9. Report annually on the balance of interests in the WPA.

10. Conduct a review every seven years of the balance of interests in the WPA.

Operating Procedures11. The Chair should guide discussions but is not the arbitrator on decisions.

12. The Chair should only endorse proposed amendments to coexistence policy and processes that have been

agreed by both Defence and DMITRE.

a. Each agency representative would be responsible for achieving the necessary changes in their own

organisations to effect coexistence policy outcomes.

13. The Board should meet quarterly at the beginning, moving to half yearly, to discuss issues arising from the

implementation and execution of coexistence policies and processes and the balance of national interests in

the WPA.

a. Issues could be discussed and resolved out of session with the agreed action appropriately minuted in the

subsequent Board meeting.

b. The Board should invite external persons as they relate to the issues being considered.



14. Consistent with legal authority, and as the primary user of the WPA, Defence should have the nal authority on

granting non-Defence access, but the Board would operate in a collegiate manner to resolve all reasonable

impediments to Defence authorising a permit.

a. The Board may request that Defence reconsider its decision to deny access in light of any additional

substantial information not previously considered by Defence.

15. In preparing the annual reports on the balance of interests in the WPA and in assessing extant coexistence policy

and procedures the Board should:

a. call for submissions from non-Defence users on their experience with obtaining access to and operating in

the WPA;

b. assess Defence use of the WPA for the preceding 12 months and anticipated use for the subsequent 12

months as provided by the Coordination Ofce; and

c. assess:

i. the number of tenements renewed or granted in the past 12 months and the number anticipated in the

next 12 months; and

ii. updates on the resources potential of the WPA as provided by the Coordination Ofce.

16. The annual reports on the balance of interests in the WPA will be publicly available, with copies provided to the

heads of the relevant State and Commonwealth agencies and respective State and Federal ministers.

17. In conducting the seven-yearly review, the Board should consider, but not be limited to, the following:

a. Defence use of the WPA in the preceding seven years and anticipated use in the following seven years;

b. the ndings from the on-going South Australian Government geological assessment;

c. the views of non-Defence and Defence users in the WPA; and

d. the effectiveness of extant time-share arrangements and coexistence policy and procedures.

18. The ndings of the seven-yearly review should be provided to the heads of the relevant State andCommonwealth agencies, the Prime Minister, South Australian Premier and respective State and Federal

ministers, as well as being made publicly available.

Administration19. Each agency should be responsible for the resourcing of its contribution to the Board.

20. Secretariat support should be provided by the WPA Coordination Ofce with support from DMITRE.

a. Quarterly meetings should be held in Adelaide and Canberra alternately.


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Documents

Woomera Advisory Board Annual Report 2013