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1 trunkline The magazine about Woodside people | Q1 2011

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Page 1: trunkline - Woodside Energy | Home our Australia Day tribute to this iconic Australian organisation. Picture: Ross Swanborough 10 06 17 81365 Trunkline 40pp.indd 2 11/03/11 9:08 AM

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trunklineThe magazine about Woodside people | Q1 2011

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2 trunkline | Q1 2011

FEEDing the future 4

Browse team steps up to challenge 5

Gas enters Pluto plant 6-7

Making scents of oil and gas 8

Engines ready 9

Special delivery 10

Great expectations 11

Building up to big opportunities 12-13

EditorKellie Bombardieri t: +61 8 9348 4096

AdministratorKate McCallum t: +61 8 9348 5476

[email protected]

PhotographyAaron BunchRoss Swanborough

DesignSilverback Creative

PrintingQuality Press

Trunkline is published four times a year by Woodside Energy Ltd. Back issues of Trunkline are available for viewing on the Woodside intranet.

Salute to pioneer spirit 14-15

Getting the good oil 16

Warming to challenge 17

Shift in thinking pays off 18

On the cutting edge 19

On the cover

Waving the flag: A few of the many Woodsiders involved with local surf lifesaving clubs show their support during our Australia Day tribute to this iconic Australian organisation. Picture: Ross Swanborough

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Supplying a clear solution 20-21

Waging war on rust 22-23

Beating the heat 24-25

Planting seeds for success 26-27

One out of the Box 28

Showing the way at WY 29

Sunny start to SLSA partnership 30-31

Plenty of helping hands 32

Sunrise supports class act 33

Sustainable solutions lead way 34

Raising standards 35

Random Discoveries 36-38

Final Frame 39

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Trunkline is printed on New Life Recycled coated paper, which is sourced from a sustainably managed forest and uses manufacturing processes of the highest environmental standards. Trunkline is printed by a Level 2 Environmental Accredited printer. The magazine is 100% recyclable.

inour lives

theenergy

Just a few weeks into 2011 and Woodside is already making great strides.

The Browse LNG Development has entered the front-end engineering and design (FEED) phase and the Pluto LNG Project has gas pumping through some areas of the plant.

In the North West Shelf, the Cossack Pioneer floating production storage and offloading vessel (FPSO) is getting set to sign off for duty, while her replacement, the Okha, prepares to take over.

And the North Rankin redevelopment continues to make

good progress, remaining on budget and on schedule for start-up in 2013.

Over in the Australia Business Unit, new opportunities beckon and the team is out to make the most of them.

In fact, Woodsiders everywhere are busy working to achieve great results.

It is an important year for our company; one of major milestones and of setting the scene for sustained growth.

The following pages will show what a great start we are off to on this journey.

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Our Browse LNG Development has entered the front-end engineering and design (FEED) phase.

This marks an important milestone in the project described as a game changer for Woodside.

Browse, which targets 13.3 trillion cubic feet of dry gas and 360 million barrels of condensate in fields 425 km north of Broome, is expected to double our current equity share of LNG production.

It’s big.

And it is shaping up well.

Basis of design (BOD) was not only completed on time and on budget but with good momentum.

Independent Project Analysis, a leading assessment group, concluded that

FEEDing the future

Browse’s status at the end of BOD was “consistent with mega-projects that had good outcomes.”

Michael Hession, senior vice president of Browse, is pleased.

He says it took many people a lot of hard work to deliver this outcome and it will take many more to achieve the aim of a final investment decision by 2012 and be ready for start-up in 2017.

About 400 Woodsiders and contractors are now working on Browse, including 50 on overseas’ assignment with FEED contractors. This is the biggest international mobilisation in Woodside’s history.

Offshore, the plan is to use tension leg platforms, firstly at the Calliance and Brecknock fields with the option for a third at Torosa. The central processing facility, in a similar way to the North Rankin 2 project, will feature two bridge-linked platforms.

Onshore, the foundation project will deliver up to three LNG trains with each producing about 4 million tonnes a year. And there is room to expand at the Browse LNG Precinct, with the possibility of another three trains if more gas is found. Michael says the Browse team is well positioned and well supported.

“The Browse team has done a fantastic job to get the development to this point,” he says.

“Of course, we could not have done it without the support of the functions across Woodside, which have made an enormous contribution.

“On behalf of the Browse team I’d like to thank everyone at Woodside who has helped, and I hope we can bring you more good news about Browse over the coming months.”

Making plans: An indicative schematic of downstream facilities for the Browse LNG Development.

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Imagine thousands of people lining up for an endurance race knowing they must all cross the finish line at the same time.

In fact, they should be striving to keep pace with one another every step of the way. This is how Maurice Merzian, executive project manager for Browse onshore, describes the task ahead of the Browse LNG Development team.

And he should know.

Maurice has spent most of his working life, including 36 years with Shell, overseeing the downstream component of hydrocarbon projects worldwide. He has worked everywhere from Oman to Malaysia, Holland to Japan.

The Eygptian-born engineer with Armenian and French background, who began his career in Canada, says the opportunity to join the Browse team was too good to pass up.

He is fond of Australia. He made it his home 32 years ago. His two sons were born here and he has spent many

steps up to challengeyears in the country working on varied projects, including involvement in some way on each of the Karratha Gas Plant’s five trains.

And he admires Woodside’s pool of talent.

“Browse marks something new for Woodside,” Maurice says. “So we are not only building assets, we are building capability. That is very attractive to me.

“I want to contribute to people’s development, sharing knowledge and experience I have gained in a career that has treated me well.

“That said, we are not doing Browse to learn but to create an environment of excellence.”

Maurice says he enjoys projects; that atmosphere of working together to create something special.

“Teamwork lifts you up,” he says. “It energises you.”

As the leader of Browse’s onshore team, he strives to provide clear focus

and direction and build pathways to success.

His experience allows him to spot stumbling blocks well before the team reaches them and to provide the support and latitude needed for the team to find effective ways to avoid them.

This, he says, is important for nurturing talent and delivering creative solutions.

Maurice and his offshore counterpart Jacobus Nieuwenhuijze are looking forward to executing the front-end engineering and design phase of Browse.

They have a good collaborative working relationship and are committed to keeping their teams well paced with one another.

“When the project is delivered, when we have put it all together and reliable, safe, steady production has been achieved, it will be rewarding for everyone involved to say I was here; I helped do that,” Maurice says.

“That is the legacy we want to leave; that is the joy of projects.”

Looking forward: Executive project manager for Browse onshore Maurice Merzian takes a few moments to reflect on the challenge ahead.

Browse team

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There is gas flowing through part of the Pluto LNG Plant.

On 27 February we successfully offloaded our first fill shipment of mono ethylene glycol (MEG).

Then in early March, gas was introduced to the plant in a key

Gas enters the Pluto plant

milestone on the way to the project’s scheduled start-up in August.

The gas will aid the commissioning of the gas turbine generators and be used to pressurise the trunkline ready for production.

Pluto’s foundation project, which is

expected to produce about 4.3 million tonnes per annum, is now entering the countdown to first gas.

Project manager Tom Brennan says the sense of anticipation is mounting.

“Getting gas in really is a significant step,” he says.

“We’re approaching the home straight and we can see the finish line.

“There is still a way to go but we’re close. It’s a good feeling.”

Other milestones to look forward to in coming months include preparing the offshore platform to receive gas from the wells, getting that gas to shore and the first rundown of LNG to the storage tanks.

The first cargo of LNG should be achieved in the month after start-up.

Pluto is now 95% complete, and it has come a long way since construction began in late 2007. Chief executive officer Don Voelte recently visited the site of the plant with Tom and vice president of Pluto

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production Farid Bogani to get a sense of just how much had been achieved in this short space of time.

As Don made clear at our annual full-year results briefing to investors in February, he considers the Pluto LNG Project to be a global success story; one that all Woodsiders should be proud of.

“Our road to production is one shared by many hundreds of people across Woodside, from exploration to installation, construction to commissioning, and managing our relations with communities and governments,” he said at the briefing.

“This team effort will result in a world-class production facility, supported by positive commercial arrangement in pricing and delivery.

“It is world class.”

Countdown begins: Gas has been introduced to the Pluto LNG Plant, now more than 95% complete. (Left) Farid Bogani, Tom Brennan and Don Voelte inspect the site. (Right) Tom and Rob MacKinnon celebrate the milestone.

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Whiff of success: Senior geophysicist Andrew Lockwood, Greater Western Flank subsurface manager Tom Ridsdill-Smith and vice president reservoir development Tammie Sebire get a clearer picture

Oil and gas exploration could be described as a blind man’s game. We can’t actually see what is below the surface, so we have to use other “senses” to predict where there may be hydrocarbons.

Over the past 90 years we have become very good at “listening” through seismic surveys for the geological conditions where hydrocarbons might be. Now there is another sense that Woodside is using to discover hydrocarbons and subsequently monitor them.

Controlled Source ElectroMagnetics (CSEM or EM) is a new technique that effectively “sniffs out” hydrocarbons.Through Woodside’s Strategic Technology Plan, senior geophysicist Andrew Lockwood has been working on CSEM – understanding how to best use it and how to interpret and display the data so it is easily read by our geoscientists and reservoir engineers. “CSEM is like smell because the physics of smell is all about diffusion and with EM we are measuring the diffusion of the electromagnetic signal through the earth, whereas the physics of seismic is all about reflection,” Andrew says. “That’s why we can’t form an image with EM like we can with seismic, but it can give us information that seismic can’t.”

Seismic can indicate the structure of a reservoir, but isn’t as clear as

of oil and gasto what might be in the reservoir. CSEM surveys measure how quickly an electro-magnetic signal passes through the earth, so it can indicate the presence of hydrocarbons (which give out a strong signal as they are natural insulators) or water (which the signal will travel through slowly as it is a conductor).

The surveys are acquired by towing a transmitter sending out high-powered, low frequency electromagnetic radio waves close to electric and magnetic field antennae placed on the seafloor. The antennae are incredibly sensitive – they can detect 0.0000000001V – so not only can a survey indicate the presence of hydrocarbons, it can indicate the ratio of hydrocarbons to water for example. This has obvious benefits for exploration, but may be an even more powerful tool for reservoir monitoring.

“When you extract oil and gas from a reservoir, water flows in to replace the hydrocarbons,” Andrew says. “There is a point at which the water enters the producing wells, and you need to have the facilities installed to deal with it. That’s a very significant investment in CAPEX, which you don’t want to make earlier than you need to.

“We can use CSEM to spot early water movement because it is so sensitive. Seismic can spot water, but can’t detect how much. When you combine the two techniques, seismic and EM are incredibly powerful.”

To get an idea of how sensitive it is, if 0.0000000001V is equivalent to the height of a person, 1V is the equivalent of the distance to the sun. That means it can pick up a lot of noise, and how to filter that out is part of our learning curve. “We are basically using lab-grade equipment in one of the most hostile environments in the world,” Andrew says.

Woodside, which is already an accomplished user of 4D (time lapse) seismic surveys, will be one of the first companies in the world to conduct 4D CSEM surveys for reservoir monitoring. Elsewhere CSEM has been used as an exploration tool – particularly to narrow down exploration drilling where there may be a large number of prospects.Woodside chief geophysicist Tom Ridsdill-Smith says Woodside is taking the right approach in investing in this technology early.

“We conducted trials over Pluto prior to production start-up and have a lot of experience in exploration CSEM,” Tom says. “Both seismic and CSEM can throw up false positives and negatives, but when you have the two techniques saying the same thing, you are likely to be onto something as they are measuring completely different properties.”

Tammie Sebire, vice president of reservoir development, is also excited about CSEM’s potential.

“We are at the forefront of using CSEM for reservoir monitoring and that’s where we need to be right now,” Tammie says. “This is an area of technology where getting a baseline is extremely important and so you have to effectively preinvest. It is very exciting because it gives us the potential to save CAPEX in the future by understanding our reservoirs better to enable effective decision making.” Woodside will follow up the baseline CSEM surveys on Pluto with more CSEM surveys once production starts. CSEM research is being partially funded through Woodside’s Strategic Technology Plan which aims to respond to the challenges and opportunities facing Woodside now and in the future.

Making scents

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The Pluto foam pumper has arrived in the Pilbara.

This impressive fire truck carries 2700 litres of B class firefighting foam and 600 litres of high expansion foam.

It is not only perfectly equipped to combat hydrocarbon fires, which can generate intense howling heat, but to keep assets cool during and after such a blaze.

Emergency management coordinator Mario Fazio says the foam pumper is an excellent addition to the suite of tools being assembled to provide a comprehensive approach to emergency management at the Pluto LNG Plant.

“Of course, we hope we never have to use these things outside of testing and drills,” Mario says.

“But it is reassuring to know that we have the capability on hand to deal with a worst-case scenario.

“We are well equipped and well prepared.”

Engines readyThe foam pumper is state-of-the-art, featuring such innovations as a remote-controlled monitor that allows the truck’s foam or water to be directed wherever it is needed even if you are some distance away.

Trucking along nicely: Emergency management coordinator Mario Fazio puts the Pluto foam pumper through its paces.

Also on board are breathing apparatus and general firefighting equipment.

It joins a multi-purpose response vehicle, also a fire truck, in the Pluto’s emergency management fleet.

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Karratha played host to one of the world’s largest planes in February.

The Antonov 124 cargo jet touched down to deliver the first two helicopters in a fleet for Woodside.

And it received quite a reception.

Though the aircraft arrived very early on a Sunday morning, many people from town were there to greet it.

Special deliverySeveral lined the fenceline of the Karratha Airport hoping for a glimpse but, of course, you didn’t have to be close to see it.

The AN-124 is almost 70 m long and more than 20 m high.

Its cargo hold comfortably accommodates a couple of choppers, in this case two Augusta Westland 139s, themselves capable of carrying up to 12 passengers each.

The AW139s will start services to Woodside’s offshore facilities in March.

They and are part of a wider Woodside fleet of six helicopters that will be progressively introduced by CHC Helicopters throughout 2011.

These are all “new generation” helicopters which are built to higher safety and capability standards than the fleet they are replacing.

In plane view: The arrival of the Antonov 124, which delivered two helicopters, drew quite a crowd.

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Our North West Shelf Project enjoyed a record-breaking year in 2010.

It achieved record production – a total of 47.6 million barrels of oil equivalent (excluding oil) – and record revenue – $2.75 billion.

Liquified natural gas (LNG) played a big part in that, bringing in 23.2 MMboe and US$1,310 million.

And our Greater Western Flank (GWF) team are playing a significant role in keeping supplies topped up for the future – so too is our North Rankin 2 (NR2) project team, but more on that in the following story.

GWF is a development area containing 14 fields holding about 3 trillion cubic feet of recoverable gas and about 100 million barrels of condensate as well as oil.

Great expectations

“We are developing the first tranche of gas while actively pursuing the oil,” says GWF development manager David Reid.

The fields are positioned south-west of the Goodwyn A (GWA) platform and a sequence of subsea gas tiebacks to the GWA hub is planned.

The phased development makes efficient use of the two processing trains at GWA, allowing for a build-up in pipeline infrastructure as demand requires.

Concept select for GWF Phase 1, which targets the Goodwyn H and Tidepole reservoirs, was reached at the end of last year and entry into the front-end engineering design phase is scheduled for 2011.

Concept studies for the Lady Nora oil development are also progressing with

the team actively pursuing options in the search for an attractive way to harness this resource. Meanwhile, field studies and exploration continue for the latter development stages of GWF.

David describes it as a little like playing Tetris.

“All the blocks are different shapes and sizes and we need to bring them together to achieve the best fit for our existing infrastructure,” he says. “And we have to get them to fit together at the appropriate time.”

Looking beyond GWF and NR2, the North West Shelf continues to seek new opportunities.

Exploration targets include the Seraph Prospect underneath the Angel field and and Tidepole East, close to the future GWF Phase 1 infrastructure.

Picture this: GWF development manager David Reid (right) and other members of the team – Oscar Steinsvaag, Tom Ridsdill-Smith, Richard White and Doug Robertson – consider the possibilities.

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When Rachel Leong caught sight of the North Rankin B jacket during the ferry ride from Singapore to Indonesia, the reality of her new assignment hit home.

This was big.

Even lying on its side, the substructure was more than 80 m high, looming

Building up to

large in the Batam construction yard where Rachel was to be based.

Standing upright, it will reach to a height of 153 m, eventually forming part of an offshore platform that will be connected to the existing North Rankin A in a A$5 billion redevelopment aimed at recovering low-pressure gas and extending the field life to around 2040.

Rachel was visiting the PT McDermott yard to be site manager for a day. Her job? To spend a couple of weeks learning the ropes before being given a chance to lead the team.

All graduates had been invited to apply for the opportunity and many did.

Rachel initially hesitated before putting her name forward. The graduate process engineer, in her first year of work, didn’t think she was what the selection committee was looking for.

“Then one of my mentors said why not just just go for it,” she says. “What did I have to lose?”

In the end, Rachel gained more than she imagined.

“I earned so much from this experience. It was a privilege that has taught me much about leadership, engaging people and inspiring good results,” she says.

“I was determined to show I could contribute, particularly given that I would not be working in my area of expertise. This wasn’t the sort of thing they recruit a process engineer for.

“But everyone was so supportive, so willing to share their knowledge and to encourage me to get involved that I before I knew it I really felt like part of the team.”

big opportunities

How it’s shaping upAt the end of 2010, the North Rankin redevelopment project was tracking well.

Highlights at year end include:

• Project63%complete• Topsides80.3%complete• Substructure84.1%complete• NorthRankinAbridgelinkcompleted

ahead of schedule• Onbudgetandonscheduleforstart-

up in 2013• 12.8millionhoursofworkcompleted

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Rachel singles out Neil Maxfield, the site manager, for special mention. She says his personalised style of leadership brings out the best in people.

“He has a lot going on but finds the time to make sure his expectations and appreciation are clear,” she says.

“In fact, everyone on site was great.

“I learnt a lot about what goes on at a construction yard; its challenges and demands, particularly in an environment where the culture and language is different.

“The level of detail involved in ensuring every little piece of the jacket is tested and verified is mindblowing.

“But the most important lesson I learnt was a universal one – that good management is all about people and nurturing their skills and attitudes.”

If the chance to be site manager for a day is offered again, Rachel encourages all eligible to enter.

With an open mind and a willingness to learn, it delivers an opportunity not to be missed.

big opportunities

Thinking big: Graduate Rachel Leong says the opportunity to be site manager for a day at the Indonesian construction yard where the North Rankin B platform’s jacket is taking shape was an amazing and eye-opening experience. She says site manager Neil Maxfield was generous with his advice and encouragement and the wider workforce was enthusiastic and helpful.

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The Cossack Pioneer floating production storage and offloading facility (FPSO) is set to depart for Singapore after 16 years of service to the North West Shelf Project.

And it leaves an impressive legacy.

As North West Shelf executive vice president Kevin Gallagher says, the vessel has certainly earned its place in our history books.

The Cossack, as she is colloquially known, was the first oil producing asset to be operated by Woodside.

It came online in 1995 and has produced about 424 million barrels of oil equivalent since start-up from the Cossack Wanaea Lambert Hermes (CWLH) fields, about 112 km north-west of Karratha.

Salute to Pioneer spirit“We have certainly realised the upside of the CWLH fields,” Kevin says.

“Production rates have been greater than originally predicted. In fact, they have far exceeded all early predictions and expectations.

“And the crew has done a great job operating the facility safely and efficiently, particularly as the vessel has approached its end of life at the field.”

Cossack operations manager John Jenkin echoes that sentiment, saying the ability of our people to adapt and keep “the old girl” going has been the vessel’s greatest asset.

“We expected her to be in operation for a certain number of years but, as

the reserves estimates were pushed out, we have had her in operation for longer than anticipated.

“Our people have worked extremely hard to ensure that production has been maintained at optimal levels. They have proved time and again an ability to adapt, which has resulted in a very successful operating asset.”

The Cossack is scheduled to sail away soon. She will be replaced by the state-of-the-art Okha FPSO, which is scheduled to begin producing from the CWLH fields in Q2 this year.

The Okha will extend the CWLH field life beyond 2020.

Trunkline will keep you updated on the arrival of the Okha.

On deck: Executive vice president of the North West Shelf Kevin Gallagher visits the crew of the Cossack Pioneer. (Below right) Joe Moran, Clerj Marson and Merv Nazareth reflect on their time aboard the vessel.

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Joe Moran, Mark Marson (aka Clerj) and Merv Nazareth have been with the Cossack Pioneer for all 16 years of her service in the North West Shelf.

They sailed down with the vessel from Singapore and were there to witness her hooking up to the Cossack Wanaea Lambert Hermes (CWLH) fields.

All three were experienced mariners when they came onboard and have enjoyed the experience of a blended culture of marine and production.

“We all have a merchant navy

Good things come in threesbackground and bring different areas of expertise to our roles, but we are also multi-skilled,” says Joe.

“On the Cossack if something needs to be done, we all pitch in to do it.”

Of course, the Cossack is a home away from home for its crew, so workmates become like extended family. Camaraderie, respect and the ability to have a good laugh are hallmarks.

“We all watch out for each other and respect that sometimes life away from home can be challenging,” says Clerj.

“Most of our team goes to the gym or plays darts after work, but I play music for relaxation. Everyone has different interests and again, we all respect that.

“The upside of life at sea is that we get to spend plenty of time at home with our families.”

Merv has been with the Cossack Pioneer since the project phase.

“I have had the privilege of working with a crew who have contributed enormously to make this an extremely successful venture,” he says. The Cossack was built in 1972 and as the time draws near to bid her farewell, the question remains: what next for these three?

Joe says they are going sail with the vessel to Singapore to make sure the “old girl” gets there safely.

“We’re going to celebrate in true sea-farer style as we say goodbye.”

While they are certainly looking forward to working onboard the state-of-the-art Okha, there is a genuine feeling of sadness that the Cossack is leaving.

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16 trunkline | Q1 2011

Shipshape: (from top) the Ngujima-Yin, Nganhurra and Northern Endeavour.

Want the good oil on our Australia Business Unit (AusBU)?

Well, it’s a busy place. As its vice president Jarvas Croome says, there are a lot of little things going on that add up to some pretty significant gains for the company.

AusBU takes in our oil operations at Enfield and Vincent off the coast of Exmouth, as well as the Laminaria-Corallina fields north-west of Darwin.

With safe and steady production as the focus, the team is working hard to maximise the potential of those operations.

They are looking at everything from tie-backs to well workovers. If there are opportunities out there, AusBU wants to make the most of them.

Getting the good oil“It’s a rewarding place to be,” says Jarvas. “There is a good sense of purpose and we have a lot of momentum behind us.

“Oil provides a fast turnaround and the opportunity to generate profits in the short term. Compared to gas you see your results more quickly.

“And we like to see results, particularly given the work that goes into meeting the challenges our different oil fields can present.

“It’s a good team – onshore and offshore.”

At Exmouth, which produces a premium quality crude oil that is highly sought after, 4D seismic surveys are playing a big part in shaping the way forward.

This technology employs a time-lapse technique that provides an important tool for understanding complicated reservoirs such as Enfield and Vincent.

In fact, Enfield was the first oil field in Australia to use 4D and Vincent has followed its lead.

Both operations are currently producing more than 25,000 barrels of oil a day, having each added two new infill wells last year. Our challenge is to maintain these levels as the fields naturally decline.

Vincent has just completed a major maintenance shutdown of its floating production storage and offloading vessel (FPSO) Ngujima-Yin that should pave the way for increased production in 2011. Another two, possibly three, infill wells targeting unswept parts of the reservoir will be drilled this year in a bid to a further enhance supply, with plans now being drawn up for the 2012 to 2014 period.

Enfield had its share of infill drilling last year and we are looking at more opportunities for 2012. Of greatest interest is our success on Cimatti-1, an exploration well that intersected a gross oil column of 15 m, and its sidetrack Cimatti-2, which crossed oil-bearing sand 7 m thick. Cimatti opens up other nearby opportunities, but in the meantime, AusBU is working on the possibility of a tieback during 2012.

Laverda also poses an interesting prospect. It’s a possible tieback to any of the other FPSOs in the region including Enfield’s Nganhurra or Vincent’s FPSO the Ngujima-Yin. Equally, a standalone FPSO may be an attractive option based on our latest analysis.

Further appraisal drilling is taking place in 2011, and engineering works, including subsea evaluation and assessment of optimal well locations, are well underway.

“It’s all about maximising the ultimate recovery from our reservoirs in a safe and sustainable way,” says Jarvas.

“Safe and steady production is what we are all about.”

Northern Endeavour, the FPSO connected to the Laminaria-Corallina fields, provides an excellent example of that. “It has a very good reputation for reliability,” says Jarvas. “It has consistently been one of Woodside’s most reliable assets and delivers some of the best figures you will find in the industry – in 2010 more than 98%.

“And coupled with that, the vessel has been used with great effect as a training ground. It’s a quiet achiever but an important one”

Here too, where an average production day brings in about 10,000 barrels of oil, future opportunities are being evaluated with a view to accelerating further reserves.

Jarvas says his first year as vice president of AusBU has been an excellent opportunity to gain greater exposure to the oil business and he has enjoyed being part of the team driving it.

“Because the cycle time is faster, there is never a dull moment,” he says.

“While it keeps you on your toes, we still manage to have a bit of fun and you always know tomorrow will come with a new challenge that makes it rewarding to be part of the team.”

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You could say that Jarvas Croome, our vice president of the Australia Business Unit (AusBU), had a warm welcome to the petroleum industry.

It was certainly hot, around 45 degrees, on that February day in 1994 when he touched down in Karratha, ready to take up a position on Woodside’s graduate program.

Fresh out of university and armed with a mechanical engineering degree, he was eager to get started. There had been offers to join other companies but Woodside is where he wanted to be.

“Being Perth born and bred, I liked that I could join a local company, Woodside, that was achieving fantastic outcomes up against the super majors,” Jarvas says.

“I wanted to contribute and be part of the team, I wanted to do real work and be right there where the action was.”

The Woodside-operated Karratha Gas Plant (KGP) then had three LNG trains (of course, there are now five) as well as established pipeline gas production. It had real operations that most of the other companies recruiting could only dream about and they were adding more with the introduction of the Cossack Pioneer floating production storage and offloading facility (FPSO)and an oil business only a few years later.

Warming to challenge There was also an experienced group of people who were always willing to share their knowledge.

Jarvas saw this as an exciting environment in which to hone his skills, particularly given the willingness of his new workmates to share their knowledge.

“I went in thinking maybe I could do projects and build something, or get involved with discovering an oil or gas field somewhere in the world,” he says. “And, of course, it is exciting to be a part of that.

“But to be honest I also have a real need to operate stuff . . . maybe it comes from my mum being involved in the manufacturing industry and having spent a few holidays working in factories.

“I just like the challenge of getting things to run safely and reliably and being able to deliver a quality product out into the market. You also get to work with a great group of people in these types of operating environments and it’s the characters at work that make it fun. Of course I have been lucky that the possibilities have just seemed to open up along the way.”

In fact, Jarvas has embraced every opportunity to learn different aspects of the business. He has taken on many roles, from design, through projects and production and into commercial, and worked with various companies

including Kvaerner Engineering and Shell.

I talked so much about how great it was to work at Woodside an old boss of mine in Shell said I should go back there – so I did. Back at Woodside, he has remained open to fresh challenges, eventually stepping into the position of vice president of technical services for our Production Division. From there, he went on to his current role co-ordinating the activities of AusBU.

“It’s been a fascinating career so far,” Jarvas says. “Pretty diverse, always interesting and with a few surprises here and there. I think you’ve just got to do what needs to be done and do it the best you can. Aim to make a difference, make your contribution count and see where that takes you.”

It’s a message he reinforces as a career sponsor for engineers in our graduate development program, where his clear no-nonsense advice and practical encouragement are highly valued.

Jarvas says he also gets a lot out of his involvement with the grads.

“I really enjoying seeing people realise their potential and achieve the results they are after,” he says. “And given our company’s size, its portfolio of opportunities and the great access we have to senior leaders, there are plenty of chances to do that if you are open to them and willing to stretch yourself.”

Chilling out: Jarvas Croome with wife Bel and daughter Tahlia unwinds after a day at the office.

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Joanna Salamaga’s role in the development of a tool to make completing the highly complex wells of our Vincent project safer and easier has earned recognition.

The drilling engineer recently won the Woodside Young Professionals’ innovation Award.

It was an unexpected accolade for Jo,

Shift in thinking pays off

who has only just finished her three-year stint in our graduate program.

“Helping to develop the dual-shifting tool was a great opportunity and important experience,” she says.

“We went from idea to prototype to development within the space of a few months because everyone was so well aligned and so focused.

“Put simply, it is like two tools fused together to create the flexibility and control we need.”

The dual-shifting tool can simultaneously open and close downhole valves in one drill pipe run, eliminating the need for coil tubing on multi-lateral wells. It is believed to be a world first.

A valve can be manipulated from 1.5 km away, which has been described as like unlocking a door with a key attached to a piece of wire 1500 m in the distance.

The ability to open and close the valves is crucial to ensuring drill mud remains solids-free during downhole completions.

Being able to do that without coil tubing brings health and safety, environmental and economic benefits.

No heavy lifts are required on the rig, fluids transfer from the boats is reduced minimising the risk of a spill and operating costs are cut by an estimated $A4 million for each multilateral well.

Jo says she feels lucky to have been part of the team behind the project. She describes the other members – Anthony Palmer, Ragan Stonier, Abdullah Eshtewi, Paul Swankie and Daniel Aleksandrow – as great mentors and support.

In fact, Jo who moved from Adelaide to take up a position with Woodside in Perth in 2008, has spent most of her graduate years in drilling and completions and considers it a great collaborative environment in which to learn.

“I never thought I would have as many opportunities as I have been given,” she says.

“My eyes have been opened to possibilities I had not previously considered.

“My studies were concentrated on chemical engineering, so this was almost a new world for me.

“It has been complex, challenging, exciting and rewarding.”Designed to help: Jo Salamaga helped create the dual-shifting tool for multi-lateral wells.

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Brett Darley entered drilling and completions (D&C) for the opportunity it offered to explore the world.

But he stayed because, quite simply, it is a dynamic, ever-interesting field to work in.

“D&C has a hands-on operational element that I really like,” he says.

“But there is also so much else going on. It pretty much covers all aspects of the business, from contract negotiations to safety and leading-edge technology.

“And because every reservoir is different, there really is no such thing as a routine job. The challenges keep coming.”

Brett, the vice president of our D&C team, decided it was the career for him while working as a vacation student for a petroleum drilling contractor during a university break.

He found the world of engineering operations in an ever-changing environment fascinating.

This wasn’t just a desk job. It took you places, made you think, kept you on your toes.

So what exactly does our D&C function do?

Well, it designs, constructs, maintains and abandons all of Woodside’s wells.

There are about 160 people in the team, supported by contractors, and they are achieving good things.

Take their 2010 results for example.

The team recorded their lowest incident frequency rate while delivering a comprehensive activity plan that included five development wells and the start of a deepwater frontier exploration program.

But the true test of the crew’s spirit came through when times were tough.

“We had some significant difficulties with one of the wells last year and the

Shift in thinking pays off On the cutting edge

strength of the function really shined,” Brett says.

“Everyone pitched in.

“There was a revolving roster to ensure someone was on hand 24 hours a day, seven days a week until the problem was solved.

“The team was ready to react and willing to help out, regardless of whether they had had any previous involvement with the well. It was phenomenal.”

Brett, who grew up in Queensland and has worked and trained throughout the

world, including the North Sea, Oman, Dubai, Thailand and France, joined Woodside in 2008.

The company’s ambitious projects and good portfolio of operating assets were the lure. Plus he liked the vibe of the team.

“There is a great sense of collaboration,” he says. “Not just within D&C but within the company at large.

“The challenge is to deliver safe and sustainable performance and my job is to create an environment where people can achieve their best.”

Well done: Brett Darley with a model of a sixth generation drill rig, the Maersk Discoverer.

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20 trunkline | Q1 2011

Getting the right materials to the right place at the right time for the right cost is a key focus of our Supply Chain team.

And thanks to the success of their Reliable Materials Management (RMM) campaign, we are right on track.

Not that it’s easy.

When you consider that more than 1300 materials are ordered by hundreds of people each week at Woodside, you get a sense of the size of the job.

Add to this the buying involved to support the company’s projects and it’s obvious just how enormous and complicated the task can get.

Vice president of supply chain Brad Russell-Lane launched RMM in early 2009 after a six-week diagnostic showed there was room for improvement.

He rallied troops of up to 300 people in a bid to find a better way.

RMM looked at the end-to-end process, from material demand, procurement, transportation, warehousing receipting and quality inspection, through to returns and disposal.

It took 42 projects and 266 individual activities to deliver $48 million in one-

Supplying a clear solutionoff savings or cost avoidance. Ongoing savings are estimated at about $A10 million each year.

“The intention is to make managing materials as simple, reliable and timely as possible for the person with the need,” says Brad.

“Production was our focus, where inefficiencies were identified.

“I’m glad to say that early feedback has been positive, and while we are only at the start of the journey, our KPIs show how our service is improving.”

RMM used Woodside’s continuous improvement methodology and some external expertise – a tailored combination of Lean and Six Sigma approaches – along with other tools necessary to advance the improvement journey. And there is more to come. This year mobile technology and barcoding will be introduced.

“2011 will see us launch Woodside into the 21st century,” Brad says.

“This is technology that the rest of the world has been using for years and will help us achieve best in class levels of material accuracy and timeliness all for lower cost. This is what matters to our internal customers.”

He says the achievements of the past couple of years are only the beginning.“This is just the start of the journey.

“RMM 2010 gave us a great head start and a focused launching pad. Now we will take this foundation and keep building success upon success.”

RMM highlights

• Introduction of staging – packaged up materials timed to support maintenance plans and work

• Stabilisation of all warehouses and distribution centres – through Lean 5S principles

• Introduction of an electronic vendor payment system – error-proofing invoice payment

• Bills of Materials (BOMs) process and clean-up – ensuring BOMs are accurate and complete for functional locations, with a process to maintain them

• Inventory accuracy improved from 85% to 97% at all locations

• Master data clean-up commenced in Q4 2010

• Quality inspection backlog of 5600 items cleared – current QI is on-time 85% vs 60%

• Process streamlining – elimination of non value-adding steps, standardisation

• Standardised work – ensuring documentation is in place and consistency in process

• Information centres – daily / weekly management of work and KPIs

• KPIs – determined in conjunction with customers and showing sustained improvement

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Material gain

About 1000 different materials flow through the Perth-based Receivals Centre in Welshpool on a weekly basis.

These materials are used for maintenance campaigns, emergency repairs, shutdowns and unplanned maintenance work.

Items are checked for quality as required and also to ensure they match the consignment note. Trucks carry the goods to Karratha regularly throughout the week, where supply vessels ship them offshore where required, with the rest stored in warehouse facilities.

How to save $48m in 20 months

Through a combination of cost avoidance, reduction and sales, RMM delivered an almost double return on the project budget. The figures below give you an idea of how the savings were made.

• Integrated off-shore vessel Co-ordination: Avoid chartering of additional offtake support vessel in Exmouth

SAVINGS: $7 million• Casing from Pluto project identified

during clean up, Casing can be used in other drill locations cost avoidance 104 lengths

SAVINGS: $1 million• NRB plan one platforms were

identified for disposal. Further use was found for the platforms, avoiding them being written off for scrap SAVINGS: $1.2 million

• Fuel tax credit claims SAVINGS: more than $2 million

• Disposals and recycling: SAVINGS: $1 million

What is 5S?

It’s shorthand for Sort, Set in order, Shine, Standardise and Sustain… key continuous improvement principles for an effective working environment.

What does that mean? • Existing items in a physical space

(eg a warehouse yard) are sorted to determine what should stay and what should go and what belongs together (Sort).

• The items to remain are organised and given a place (Set in Order).

• The space is then maintained, kept clean and tidy (Shine) and this will become the one ‘way of working’ (Standardise).

• Keepingimprovementsontrackandin place is managed through ongoing action plans, training and visual signals (Sustain) which will stop things from getting untidy.

Tidy effort: Supply Chain’s Reliable Material Management campaign has produced improvements throughout the business, including at the warehouses and wharves of the King Bay Supply Base and at storage facilities within the Karratha Gas Plant. It involved 42 projects and 266 individual activities.

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22 trunkline | Q1 2011

Emilyn Chan is a woman with rust on her mind, which is not to say that she has a rusty mind.

The PhD candidate has applied her very sharp thinking to the effects of CO2 on corrosion – specifically on the conditions in which CO2 dissolves in water to form carbonic acid, which depending on pressure and saturation, can be corrosive to carbon steel pipelines.

The young engineer from Malaysia was working on her PhD into CO2 corrosion at Curtin University when she was snapped up by Woodside before she had even completed it.

Mike Brameld, Production’s team lead principal and inspections engineer, hopes that Emilyn will be the first of many corrosion engineers to join Woodside.

“Corrosion is a major issue for industry in general and the oil and gas industry in particular,” Mike says.

“According to the World Corrosion Organisation, corrosion costs account for more than 3% of the world’s gross domestic product (GDP), which in Australia equals about $30 billion a year.

“At Woodside, one corroded bolt cost us $23 million when it caused an unplanned shutdown at Karratha Gas Plant in 2009. The Varanus Island incident was also caused by corrosion. So corrosion, and how to manage it, is a big issue; but there is a shortage of qualified corrosion engineers.”

As well as employing Emilyn, Woodside is taking further steps to address that shortage.

Through the Woodside Strategic Technology Plan, we are sponsoring the Chevron-Woodside Chair in Corrosion Engineering at Curtin University. One of the requirements of the sponsorship is that the university develops world-class post-graduate courses in corrosion engineering.

Waging war on rustThere are now only a handful of universities in the UK and the US that offer post-graduate courses in corrosion engineering and there are none in the Asia-Pacific region.

This year, Curtin will take the first step with a Graduate Certificate in Corrosion Engineering as an online course. Graduate diploma and masters courses will follow to meet growing industry demand for qualified corrosion engineers and quality research in this field. The Strategic Technology Plan is sponsoring five Woodside engineers to do the course.

Emilyn hasn’t regretted focusing on corrosion. “After I graduated I worked on oil and gas platforms in Malaysia where a lot of the platforms are affected by corrosion and I realised what an issue it is,” she says. “The solutions deployed there are really basic and I thought there must be better ways to deal with the problem.

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I really enjoyed working in oil and gas, so I looked for opportunities to learn more about corrosion.”

Emilyn studied at the School of Chemistry as the Corrosion Engineering Chair had not been established when she started.

“Traditionally, chemists study corrosion, but they tend to focus on the finer details, whereas engineers tend to take more of an overview and have a better idea of how it might be applied to industry,” Mike says.

“Emilyn’s background in engineering is very beneficial to us as she has an engineer’s understanding of design and operations.”

Corrosion is always going to be an issue, but the right mitigation and prevention strategies can have a positive impact on safety, production and maintenance costs and this is what Woodside is aiming for.

Combating corrosion: Emilyn Chan (left) and Mike Bramfield (above) are keeping a close eye on rust factors. (Right) Professor Rolf Gubner is the Chevron-Woodside chair in corrosion engineering, working out of Curtin University.

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24 trunkline | Q1 2011

Woodsiders work in some pretty hot and humid locations, which makes potential heat stress a significant occupational health issue.

Groundbreaking research, conducted in partnership with Edith Cowan University’s School of Exercise, Biomedical and Health Sciences, is helping us better understand the issues and inform decisions that will safeguard the health and wellbeing of our people.

Beating the heatHow heat affects people’s physiology during strenuous activity such as manual labour is an area where in-depth research is relatively sparse, particularly in relation to the Australian environment.

Woodside occupational health and hygiene adviser Sam Elkington says that while existing research and information has provided guidance, having the opportunity to develop a research project specific to Woodside’s

work and environments offers many more benefits.

“The partnership between Woodside and Edith Cowan University will lead to increased understanding of the issues and better management specific to Woodside’s activities, locations and people,” she says.

“The research from this project will help us develop practical steps to prevent exposure to heat stress, steps which are backed up by robust science.”

The study is using technology, such as telemetric pills and dermal patches, to ensure accurate data collection.

The telemetric pill is about the size of a multivitamin tablet. Once swallowed, it collects data on internal body temperature and transmits the information to an external reader. After a period of time, usually between 12 and 48 hours, the pill passes through the person’s body and is expelled.

The external dermal patch, which adheres to the skin, collects information about skin temperature in a similar way to the pill.

Participants also provide a range of physiological information such as height, weight and skin fold tests prior to the study and have their heart rate and estimated metabolic workload monitored throughout.

The first phase of the study, involving volunteers from King Bay Supply Base and the North Rankin A platform, has been completed with the data already helping to shape some decisions on managing potential heat stress issues.

For instance, the data showed that drinking slushies can be an effective way of cooling core body temperature and reducing the risk of heat-related illness. Consequently, slushy machines are being installed at all Woodside’s production facilities.

The research also showed that, in many cases, people were already dehyradted when starting their shifts, making them more prone to heat stress. This has led to refractometers,

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or urine hydration meters, being deployed on all facilities to ensure personnel are aware when their hydration levels are low and can take steps to remedy that.

The second phase of the research will involve people on the Northern Endeavour floating production storage and offloading vessel (FPSO) and others working at the James Price Point Precinct on the Browse Development. Increased participant numbers adding greater statistical validity to the research findings.

Edith Cowan University researcher Joe Mate says partnering with Woodside in this research is mutually beneficial.

“I’ve undertaken studies of heat stress in underground mines in Canada, but the research I’m undertaking with Woodside is the first of its kind in Australia,” Joe says.

“It will help increase understanding of the various unique factors and conditions that are relevant to heat stress in an Australian environment.

“The cooperation and enthusiasm of participants has been great and I am looking forward to continuing the research with the next group of participants.”

Fluid thinking: (left) Woodside’s Sam Elkington and Edith Cowan University’s Joe Mate consider strategies to manage the risk of heat stress; (top) Sam takes a close look at the telemetric pill; (above) Tony Aoun and Mick Longbottom from the North Rankin A platform get a taste of the cooling efforts of a slushy.

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26 trunkline | Q1 2011

Every crisis contains the seeds for success and the basis for failure. And it is this that guides the thinking of our general manager of security and emergency management Bill Forbes.

Woodside will this year face four crisis management exercises, each with its own realistic but challenging scenario.

For the first time, a new electronic information transfer system will be used, further enhancing the scope for learning.

Learning, of course, is what the exercises are all about . . . offering an opportunity to sharpen skills, refine procedures and set the scene for Woodside to not only survive but thrive in a crisis.

The exercises are about testing our individual and collective capabilities; ensuring we are well placed to protect our people, environment, assets, reputation and livelihood (in that order) if trouble strikes.

for successPlanting seeds

“Crises can come from any direction,” says Bill. “It is how well prepared you are to deal with them that makes the difference.

“Thankfully, we have a chief executive officer (Don Voelte) who puts great stock in being prepared.”

Bill says this year the focus will be on “skilling up” the people who make the decisions, encouraging good strategic thinking, clarity and alignment.

He describes five stages of crisis management – avoiding a crisis in the first place, managing one in the best way possible, recognising the core issues that have to be addressed and not being distracted from them, containing the crisis and benefiting from the experience.

“Yes, you can profit from a crisis,” Bill says. “You can enhance your company’s reputation by genuinely demonstrating your care, concern and capability during a crisis scenario.

“These are the goals we strive for; genuine empathy with the situation contains the seeds for success.”

Bill and his team put a lot of effort into organising and assessing the effectiveness of our crisis management exercises and say they are always grateful for the enthusiasm and sense of professionalism with which Woodsiders approach the training.

Up to 100 people may be called upon to play a part in any one exercise, devoting their day to dealing with the “here and now” of the scenario presented.

This collaborative pan-Woodside approach stands us in good stead.

“No one individual will get us through a crisis,” Bill says. “It has to be a team effort.”

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for success

Each emergency response exercise plays out as close to reality as possible. How we respond to the issues unfolding influences what happens next. This means the simulation team running scenario has to be adaptable.

Sure, they know what events will occur and in what order, for example a cyclone followed by damage to a rig, but they also know that how we react determines the degree to which the problem does or does not escalate.

As Bill Forbes says, mismanagement of a crisis is taking a bad situation and

making it worse. Good management is making it better.

Trunkline joined the simulation team for the last exercise of 2010.

The experience showed the level of planning that goes into running the exercise. Each element is carefully prepared to be a plausible play on a worst-case scenario.

Government departments, emergency agencies and other stakeholders may be involved.

But the simulation team also calls upon the expertise of Woodsiders.

The real dealNot only do Bill and his team come up with the scenario and oversee its delivery on the day, they recruit others from within the company to be part of executing it.

When our crisis management team acts, those within the simulation team will be asked for feasible consequences.

It is all about testing capability, not stretching the bounds of reality.

If offered the opportunity to take part in the simulation exercise, Trunkline recommends you seize it.

Team effort: The crew at King Bay Supply Base are put through their paces during an emergency response exercise simulating an oil spill. They worked in a well coordinated effort that involved specialised teams from throughout the business.

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28 trunkline | Q1 2011

Tegan Box’s honours thesis has the intriguing title of Guys, Girls and Global Warming.

The graduate environmental adviser, who has a degree in marine biology with a major in zoology, based the work on her study of flatback turtle hatchlings along the West Australian coast.

Knowing that the sand temperature at nesting beaches determined whether males or females emerged from recently-laid eggs, Tegan wanted to come up with a model to predict the sex ratio of new hatchlings under existing and future climate scenarios.

This would provide valuable information for assessing the viability of the species and fill a gap in available data (most previous studies have concentrated on flatback turtle populations in the eastern states).

The thesis, released last year, also offered some great grounding for the work she is doing with Woodside.

Tegan, who grew up in Dampier, joined the company as a vacation student three years ago.

She was then an undergraduate, recently returned from travelling overseas and looking for a role that would enhance her studies.

Her placement within the Pluto LNG Project’s environment team provided such an opportunity.

One out of the Box“I got to work with a very supportive, knowledgeable and enthusiastic team,” Tegan says. “And I was given some amazing opportunities.”

This included the chance to stay on in a part-time capacity, complementing her study with hands-on involvement in the Pluto pipeline dredging campaign; a campaign that received the Chairman’s prize at the 2009 Woodside Sustainability Awards.

Tegan, under the guidance of senior environmental adviser Nick Jones, played a part in marine monitoring, measuring the effect of dredging on water quality and the health of the nearby coral habitat.

She also contributed environmental support to construction for the Burrup Materials Facility and the Pluto expansion project.

This year, Tegan will concentrate on the Browse LNG Development.

Now a member of Woodside’s graduate program, she will take part in rotations aimed at sharpening her skills and opening up networking opportunities.

She is looking forward to the challenges the Browse role will bring.

The development, which aims to be in a position to make a final investment decision by mid-2012, is in a period of strong growth.

“I will be involved during a very interesting and busy time,” Tegan says. “As part of the approvals processes and in preparation for construction, there will be many good opportunities for me to contribute in a meaningful way to what will be a world-class development.

“Some people say: why do you want to work for an oil and gas company if your interest is in the environment?

“The answer is simple.

“Sustainable development is a key priority at Woodside. My role as an environmental adviser carries responsibility and is given respect. I have a real influence.

“Browse, in particular, is exciting to be a part of.

“There are many environmental studies that Woodside supports as part of the development that I am really keen to be involved in.”

She says extensive research is not only contributing much to the collective knowledge of the region but will also underpin sound decision making for the development.

For the young environmental adviser, there is no better place to be.

Close watch: Graduate environment adviser Tegan Box is fascinated by the wildlife along our coastline.

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One out of the Box

Erin Wilson has taken the Warramugardi Yirdiyabura (WY) path to employment.

The program, transformed in 2007 and supported by the Woodside-operated North West Shelf Project, aims to help lndigenous people from Roebourne find jobs within or close to their local community.

Ten people are offered places at a time, for up to 24 months each. They receive training, education and support to help them find their niche in the workplace.

Erin was part of the 2010 intake and has this year taken on permanent paid employment with the Department of Child Protection. She credits the WY program with giving her the skills and confidence to go for the office-based role.

“Through WY, I learnt so much,” she says.

“Budgeting, first-aid, communication skills, community development skills . . .

Showing the

all these are part of the program.

“It’s been a big help in making me feel independent and capable.

“Now I have the skills to achieve what I want for myself and my family.

“I feel more relaxed in what I do and what I know . . . it’s like nothing can stop me.”

Erin says WY program coordinator Lee Hayes is a big reason why she feels that way. Lee guided her to that feeling of independence.

Lee is pleased that the flexibility of the program is getting results.

“WY allows trainees to proceed at their own learning pace and includes time to incorporate other training areas if required,” she says.

“All trainees take part in accredited training of their choice, linked with a host organisation to support training in the workplace.

“It’s pretty holisitic.”

And you don’t have to look far for signs of success.

There is Madeline Sandy, who is studying for a Certificate III in hospitality while helping out at the local school canteen and at camp in Karratha, and Sharon Coppin, who is working at the Mawamkarra Medical Centre while studying for a Certificate III in primary Indigenous health.

“It is not the program’s intent to fast-track trainees into paid employment until they are ready and have gained enough skills to manage on their own,” Lee says.

“This is based around a stabilised home life and managing personal issues, reliability and attendance records, study progress and skills gained.

“WY is as much about life skills as it is getting a job. We want to put people on the pathway to ongoing and sustained success.”

Solid support: Erin Wilson thanks Lee Hayes guiding her through the WY program and on to paid employment.

way at WY

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At the start of the year, Woodsiders were asked: Are you Australian for life?

The response was an emphatic yes.

Surf Life Saving Australia (SLSA) uses the “Australian for life” slogan to sum up what it all about – protecting, saving and promoting life, primarily in and around our beaches but also more broadly than that.

Woodside supports SLSA’s efforts through the sun protection partnership.

In late December, the company provided wide-brimmed patrol hats,

sunscreen and sun safety posters to all 307 of the nation’s surf lifesaving clubs.

It was an initiative that filtered through to our people, who have been offered similar wide-brimmed hats in line with our health and safety objectives.

But some Woodsiders take their commitment to SLSA much further than that.

When asked if they were Australian for life, many wrote in to say that they, their children or another family member were involved with a local SLSA club.

Some were surf lifesavers or life guards, some were part of the nippers program for children and some assisted with other volunteering efforts, such as radio operations or manning the barbecues.

And speaking of barbecues, Woodside hosted a sausage sizzle at its Perth building on the week of Australia Day to raise funds for SLSA.

Woodside Plaza was emblazoned with a sign on its 24th floor bearing the SLSA slogan and the foyer was decked out in a beach theme.

SLSA also set up a merchandise stall to further boost its coffers.

Sunny startto our SLSA partnership

Surf’s up: Woodside has signed on as the national sun protection partner for Surf Life Saving Australia, an alliance celebrated on the week of Australia Day when Woodside Plaza was emblazoned with the SLSA slogan : Australian for life, which SLSA chief executive officer Paul Andrew and our senior vice president of corporate Tina Thomas stepped out to view together. Woodside teams have also been involved in SLSA first-aid sessions.

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The volunteer organisation, formed in 1907, relies heavily on donations and sponsorships to continue to provide not only its life saving service but community education and training as well.

Woodside’s corporate collegiate recently underwent a first-aid course run by SLSA, which covered everything from treating a snake bite to bandaging a broken limb. Other courses offered include basic surf rescue. Community education covers public beach and water safety campaigns, school education, and environmental initiatives.

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Working together: Teams from our human resources (top) and subsea functions are among the many active volunteers within Woodside.

Woodside is a leader in employee volunteering and participation.

This was confirmed in the 2010 report of the London Benchmarking Group (LBG).

Drawing on figures from 2009, it put our volunteering rate at 13.1%, well ahead of our resource sector peers and LBG membership, which recorded rates of 8.4% and 5.8% respectively.

The employee participation rate was equally impressive at 16.7%, with peers (10.5%) and LBG members (7.2%) trailing.

The result shows how highly Woodside values efforts to give back to the community.

Our Board has approved 12 hours of volunteering leave each year for each employee. The leave needs to be approved by the relevant vice president so that it can be recorded in quarterly scorecards.

We also have two partnerships in place to make things easier for teams to get

Plenty of helping handstogether to contribute in a meaningful and cohesive way.

These partnerships are with Conservation Volunteers Australia, which targets practical projects to enrich the environment, and Volunteering WA, which aims to build strong communities by offering a range of resources, services and support. You can start the process of organising your volunteering day by filling in a form on our Community Relations’ intranet page.

After that, all you need to do is turn up to catch the bus on the day. Transport, first-aid, a hat, T-shirt and lunch will be provided.

• Woodsiders proved again during the Queensland Premier’s Appeal just how generous they can be when times are tough. Employees chipped in just under $80,000 from their own pockets to help those affected by that State’s recent natural disasters. Another $50,000 was given by Woodside.

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Three 40-foot long shipping containers packed with school supplies were sent from Perth to Dili late last year for the children of Timor-Leste.

Desks, chairs, blackboards, computer equipment, books and more were delivered right in time for a new year of classes.

The project was an initiative of the Rotary clubs of Como and Bentley-Curtin, backed by the State School Teachers Union of Western Australia and buoyed by corporate sponsorship.

Those sponsors included the Sunrise joint venture participants – Woodside (operator), ConocoPhillips, Shell and Osaka Gas.

Education is a priority of Sunrise’s social investment program, along with health and the environment.

Woodside’s Timor-Leste country manager Brendan Augustin says the aim is to make a lasting positive impact in the community.

Sunrise supports class act

Since 2008, the team has been working with Australian and Timorese-based non-government organisations on projects to meet that aim.

These range from the provision of training for local primary school teachers to healthcare services for the mothers of newborn babies.

The building of toilets and water infrastructure in remote villages has also been high on the agenda.

Brendan says the range of initiatives aims to deliver a broad scope of sustainable benefits.

He cites as an example the difference that new water infrastructure has made to people of the Fatulia village in the remote central highlands.

“Now the villagers don’t have to spend hours a day getting water and to see the positive impact this has on their lives really is heartening,” Brendan says.

“The value of having a good reliable water supply close by is clearly evident.”

Among the organisations the Sunrise team works with is the Alola Foundation, a non-government agency based in Timor-Leste.

It was founded by Kirsty Sword Gusmao, the Australian-born wife of Prime Minister Xanana Gusmao, and focuses on improving the lives of women and children through such initiatives as access to nursing staffing a bid to encourage women to give birth at a hospital or clinic in an effort to reduce high infant mortality rates.

Other groups supported by Sunrise include World Vision, which aims to transform disadvantaged communities, and Junior Achievement Timor-Leste, which provides teaching for primary school teachers.

School rules: Woodside’s Martin Edwards (centre) helps pack one of the sea containers.

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Clever collaborative thinking was behind the initiative that claimed the Chairman’s prize at Woodside’s 2010 Sustainable Development Awards.

The entry, which also won the innovation and technology category, was titled LNG 5 MCHE tube inserts. That may sound simple but it was extremely complex.

The project involved a world-first modification to the cryogenic heat exchanger on train 5 at the Karratha Gas Plant. The aim was to improve its performance and the team involved delivered.

Their solution was inexpensive and novel but effective. Initial analysis shows the tube inserts, which rebalance energy distribution, are getting results.

solutions lead the wayNot only is this commendable but the timely execution of the fix also deserves praise.

From concept to implementation, it took just 13 weeks, allowing the tubes to be inserted during a planned maintenance shutdown, ensuring no unscheduled production downtime.

Vice president of environment Jill Hoffmann says the project provides an excellent example of what sustainable development is all about.

“Sustainable principles are at the heart of how we do business,” she says. “That’s simply our approach – to deliver the best outcome for lasting success.

“The tube inserts were seen as a way to improve performance and they did. But they also delivered health,

safety and environmental benefits, while remaining conscious of cost and schedule.

“A well rounded and worthy winner.”

The category winners were:

Health and SafetyWinner: Permit to Work – The Integrated Safe System of WorkFinalists:Our Safety Culture JourneyNR2 Project in Batam, Indonesia Enfield gravel pack boatRe-engineering fluids handling system

Innovation and TechnologyWinner :NWS LNG 5 MCHE tube insertsFinalists: Mixed refrigerant composition optimisation opportunity Tandem shifting tool for Vincent multilateral project

EnvironmentWinner: Implementation of environment in design principles for the Browse LNG PlantFinalists:Science underpinning the Browse development; the humpback whale monitoring and management programBurrup Air Quality

Leader and CapabilityWinner: Reconciliation Acton PlanFinalists:Drilling and Completions Ocean America start-upTechnical Training Acadaemy

Sustainable CommunitiesWinner: Karratha Education InitiativeFinalists:Participation in PreservationIndigenous Employment Strategy

Economic ContributionWinner: North West Shelf project – condensate pricingFinalists: Tambrey Early Learning CentreSuspended platform

Top prize: Derek Hodges and Siew-mung Ho accept their award from Woodside Chairman Michael Chaney.

Sustainable

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Woodsiders have a strong tradition of getting involved when it comes to health and safety.

And we’re generally not afraid to speak up when we have something to say.

So it should be no surprise that dozens of people from Woodside’s functions and business units have played their part in a project to review and revise our health, safety and security (HS&S) operating standards.

These standards, along with Our Safety Culture, are the foundations of Woodside’s approach to ensuring the health, safety and security of our people and the safe operation of our facilities and sites.

Drawing upon hundreds of years of combined experience in the oil and gas industry, plus many more in other fields and disciplines, the project is helping to ensure that our critical documentation captures the lessons of past events, good practices from across the industry and meets the requirements of the Woodside Management System.

Project coordinator Krysia Witty says she has been impressed by the range of skills, experience and enthusiasm that has been lent by Woodsiders and our contractors to the project.

“The success of this work, and ultimately its contribution to improving health, safety and security at Woodside, is directly attributable to the people that have generously given their time and put effort into the project,” she says.

“Woodsiders were able to draw upon a vast range of skills and experience developed working in Australia or overseas.”

For instance, health and safety manager John Hemsley, author of the Working at Heights Operating Standard and Procedure, applied the knowledge and experience he has gained in more than 24 years working in mining, petrochemical and oil and gas industries.

Most of this time, John has been involved in working at height activities, including training and performing rope rescues and emergency response, which have required a sound

Raising standards

understanding and practical application of working at heights principles.

“Working at heights is one of the most commonly performed activities where there is a high degree of potential risk,” he says.

“I’ve seen first-hand the consequences of when standards and procedures are inadequate or not complied with, so I was really pleased to be involved in the work to ensure our documentation was the best it could be.

“Surprisingly, working at heights is an activity that is not specifically governed by an Australian Standard or legislation.

“With no fallback to other documentation, it’s vital that Woodside’s Operating Standards and supporting procedure are robust.

“They needed to be prescriptive enough to ensure compliance, but sufficiently flexible to cover the wide breadth of activities undertaken throughout Woodside.

“’Road testing’ a draft of the operating standard and supporting procedure

with people who need to comply with the requirements outlined in the documents was important.

“Listening to the feedback has ensured that what we proposed works both in theory and in practice.”

Krysia says input from experts such as John and many others involved in the project helps ensure that the documents are the best they can be from a technical standpoint, but it was also important that they are written and presented in a way that makes them easy to use and understand.

“People will be using these documents all the time so they need to be clear and concise,” she says.

“Symbols and pictures have been used to draw attention to important information and to aid understanding.”

With the focus now shifting to effectively implementing the operating standards throughout Woodside, a range of engagement and communications activities will help our people apply the new documentation to their work and locations.

Sustainable

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random discoveries

Welcome to the column which attempts to put more Woodside people back on the pages of Trunkline.

Random Discoveries aims to be just that – the presentation of bits of information about your

colleagues that you probably did not know. The diary style calls for surprise, humour and, most of all,

brevity. Please send your contributions to [email protected].

Once again the crew of the North Rankin A (NRA) platform took a little time out on Christmas Day for a game of cricket on the helideck.

And once again it was the Aussies who triumphed.

As has been the tradition since the NRA started up, Australia took on The Rest of the World in this annual showdown.

Just beachySand, surf lifesavers, seagulls . . . these staples of an Aussie summer were all evident at Woodside Plaza on the week of Australia Day.

In a nod to one of our major community partners, Surf Life Saving Australia (SLSA), we gave the building a beach feel especially for the occasion.

The look, which complemented a fundraising event for SLSA (featuring snags on the barbie of course) was very effective.

Quite a few people were spotted attempting to tip-toe over the “sand” as they passed across a realistic-looking sticker of the shore.

But the biggest attraction was the sign on the 24th floor of the plaza, which asked: Are you Australian for Life?

The result was just as predictable. The home town won. In fact, it has never lost in the 26-year history of the event.

We can’t give you the exact score though. Apparently, they lost count.

Here’s to The Rest of The World breaking the drought this year.

Big hit

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random discoveries

Look closely at this photo of the Fremantle Dockers 2011 squad and you will find one of your colleagues.

Right there, rubbing shoulders with coach Mark Harvey and captain Matthew Pavlich is Richard Nolan, a management accountant with our exploration team.

Richard won a competition run through the Dockers@Woodside to earn his place alongside Freo’s best.

Looking upBy day, Andrew Lockwood spends a lot of time gazing at a computer screen analysing data that may reveal the secrets of the earth’s subsurface.

By night, the geophysicist is often found gazing up at the sky through WA’s biggest privately owned telescope in search of supernova.

In both cases, he is looking for things the naked eye cannot see – hydrocarbons beneath the ocean floor; exploding stars that can help reveal the size of the universe.

It’s a long way from milling his own telescope at age 12 while dreaming of a career as an astrophysicist.

In fact, Andrew did study astrophysics at university until his lecturers convinced him there were more career opportunities in geophysics.

Woodside’s gain isn’t necessarily astrophysics loss though. Andrew and fellow amateur stargazers find phenomena that professional telescopes can then hone in on.

Richard’s making his markAlthough he won’t appear in the official team photo, he does star in this exclusive shot.

Richard, who grew up in Ireland watching gaelic football, may be relatively new to AFL but feels an allegiance to the Dockers – and not just because the team is sponsored by Woodside.

“They were the first Aussie Rules team I ever saw play and I have been to quite a few of their games since,” he says. “So yeah, I’m a fan.”

Being part of the photo shoot has only reinforced that. Richard says the club was very professional, very welcoming and very good fun to be around.

The highlights? Having a chat with Harvey and seeing just how tall ruckman Aaron Sandiands really is.

High hopes: Andrew Lockwood searches the sky for supernova.

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random discoveries

When war was declared at Woodside USA’s Houston and Mandeville offices, feathers were ruffled.

Our branches in Texas and Louisiana held turkey wars to raise funds for their local Food Banks.

With the company agreeing to match employees’ contributions dollar for dollar, more than $10,000 was raised.

This is how it worked. Staff could buy paper turkeys at a price of two for $1 and stick them up at colleague’s workspaces.

Whoever had the most turkeys at the end of the campaign would receive the dubious title of King or Queen Turkey and a colourful Turkey crown.

Taking out the honours in Houston were Tom Murphy and Danielle Marthiljoni, while in Mandeville Tony Cuchinelli and Zelleigh Sanders were ahead of the flock.

Woodside has earned recognition for its support of army reservists.

The Defence Reserves Support Council acknowledged its contribution during a ceremony held at the Irwin Barracks in Karrakatta last year.

And right there to salute that effort were Flight Officer Jamie Chapeau,

Drawing on our Reservesa contract specialist in our corporate services division, and Captain Jon Broz, a commercial analyst for the Browse LNG Development team.

The pair had nominated Woodside for the award in appreciation of the fact that it offers leave for reserverist activities, despite being under no legislative obligation to do so.

The company offers two weeks of paid leave and provision to negotiate unpaid leave if required.

Jon took up this option, with the support of his manager and the relevant business unit’s vice president, for a peacekeeping mission in the Solomon Islands.

He says that the move, made at the peak of the global financial crisis, meant months away from Woodside.

But he returned a better worker for the experience.

“The work that I did was very similar to that which I do with analysts and forecasters within the business units,” he says.

It and other reservist activities have helped sharpen such skills as his critical thinking and teamwork.

Twelve Woodsiders applied for defence leave last year.

Jon and Jamie like to think of it as a win-win and are grateful that Woodside sees the value too.

Ian Munro, Browse commercial manager, accepted Woodside’s award of recognition from WA Governor Ken Michael and Brigadier Warren Chairperson of Defence reserves Support Council WA.

Earning their stripes: Flying Officer Jamie Chapeau, Kenneth Michael, Ian Munro, Brigadier Duncan Warren and Captain Jonathan Broz.

Ruffling feathers

Making it count: Tony Cuchinelli and Zelleigh Sanders add up the contributions.

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final frame

The view from the top of the Dampier Salt pans

sparked the interest of Karratha Gas Plant electrician

Dominik Marczak during a scenic flight last year. He

snapped this image showing the ponds in varying

stages of concentration and with contrasting colour.

The shot, taken east of Karratha Airport, shows just a

portion of the more than 10,000 hectare- operation that

produces 4.2 million tonnes of industrial salt each year.

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Woodside Energy Ltd.240 St Georges Terrace Perth, Western Australia G.P.O Box D188 Perth,Western Australia 6840t: +61 8 9348 4000 f: +61 8 9214 2777 www.woodside.com.au

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