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Eni Australia

WOOLLYBUTT SOUTH LOBE DEVELOPMENT PROJECT

SUMMARY ENVIRONMENT PLAN

WA25L-SL-HSE-PL-001

APRIL 2008

Woollybutt South Lobe Development Project Summary Environment Plan

WA25L-SL-HSE-PL-001 April 2008


Eni Australia Eni Australia

TABLE OF CONTENTS

ABBREVIATIONS....................................................................................................................1

1. INTRODUCTION.............................................................................................................2 1.1 Project Overview ...............................................................................................2 1.2 Scope and objectives of this Environment Plan ............................................2 1.3 Relevant Environment Legislation...................................................................3 1.4 Evaluation of the WBSL Development Project Against the EPBC Act.........3

2. PROJECT DESCRIPTION..............................................................................................5 2.1 Location And Timing.........................................................................................5 2.2 Overview Of Project Activities .........................................................................5 2.3 Project Support..................................................................................................7

3. DESCRIPTION OF THE ENVIRONMENT......................................................................8 3.1 Climate................................................................................................................8 3.2 Rainfall................................................................................................................8

3.2.1 Wind Patterns.............................................................................................................8 3.3 Oceanography ...................................................................................................9

3.3.1 Bathymetry .................................................................................................................9 3.3.2 Currents and Tides.....................................................................................................9 3.3.3 Sea and Swell ............................................................................................................9 3.3.4 Seawater Temperature ..............................................................................................9

3.4 Geomorphology and Geology..........................................................................9 3.5 Biological Environment ..................................................................................10

3.5.1 Regional Overview ...................................................................................................10 3.5.2 Flora and Fauna of the Woollybutt Field..................................................................11 3.5.3 Sensitive Flora and Fauna of Adjacent Areas .........................................................12 3.5.4 Timing of Breeding Activities....................................................................................14

3.6 SOCIAL ENVIRONMENT .................................................................................15 3.6.1 Shipping ...................................................................................................................15 3.6.2 Commercial Fishing .................................................................................................15 3.6.3 Aquaculture ..............................................................................................................15 3.6.4 Tourism and Recreational Fishing ...........................................................................16 3.6.5 Shipwrecks and Heritage Sites................................................................................16

4. ENVIRONMENTAL RISK ASSESSMENT ...................................................................17 4.1 Description of General Environmental Risks and their Mitigation .............17

5. IMPLEMENTATION STRATEGY .................................................................................25





5.1 Systems, Practices and Procedures..............................................................25 5.1.1 General.....................................................................................................................25 5.1.2 Emergency Response..............................................................................................25 5.1.3 OSCP and Resources..............................................................................................26

5.2 Training, Awareness and Competence .........................................................26 5.3 Monitoring, Auditing and Reporting ..............................................................26

5.3.1 Monitoring.................................................................................................................26 5.3.2 Auditing ....................................................................................................................27 5.3.3 Reporting and Recording .........................................................................................27

5.4 Management and Review of the EP ...............................................................27

6. REFERENCES .............................................................................................................28

FIGURES

Figure 1.1: Eni Australia HSE Policy .....................................................................................4 Figure 2.1 Woollybutt Field – Wells and Reservoirs .............................................................6



This document is the property of Eni Australia Limited. Confidentiality shall be maintained at all times. This document will be deemed uncontrolled when printed.

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ABBREVIATIONS AMOSC Australian Marine Oil Spill Centre AMSA Australian Maritime Safety Authority AQIS Australian Quarantine and Inspection Service APPEA Australian Petroleum Production and Exploration Association BOD Biological Oxygen Demand CAMBA China-Australia Migratory Bird Agreement CDU Control Distribution Unit CMT Crisis Management Team COD Chemical Oxygen Demand DoIR Department of Industry and Resources EMP Environmental Management Plan Eni Eni Australia Limited EP Environment Plan EPBC Act Environment Protection and Biodiversity Conservation Act 1999 FMS Technip Fleet Management System FPSO Floating Production Storage and Offloading vessel HLV Heavy Lift Vessel HSE Health, Safety and Environment JAMBA Japan-Australia Migratory Bird Agreement JV Joint Venture

MARPOL 73/78 International Convention for the Prevention of Pollution from Ships, 1973, as modified by the Protocol of 1978 relating thereto

MSDS Material Safety Data Sheet NDP Northwest Demersal Province NPI National Pollutant Inventory NWS North West Shelf ODS Ozone depleting substances OSCP Oil Spill Contingency Plan P(SL)A Petroleum (Submerged Lands) Act 1967 P(SL)(MoE)R Petroleum (Submerged Lands) (Management of Environment)

Regulations 1999 ROV Remotely Operated Vehicle SOPEP Shipboard Oil Pollution Emergency Plan TS7 Technip Oceania Subsea 7 Asia Pacific WBSL Woollybutt South Lobe




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1. INTRODUCTION

1.1 PROJECT OVERVIEW

Eni Australia Limited (Eni) proposes to implement the Woollybutt South Lobe (WBSL) Development Project, located at the Woollybutt Field in Lease Area 2SL/97-8, Northwest Shelf, Western Australia. Eni operates the Woollybutt Field and has 65% equity. Its joint venture (JV) partners are Tap West Pty Ltd (15%) and Mobil Australia Resource Co Pty Ltd (20%).

The Woollybutt Field currently comprises production from three subsea wells tied-back to the Four Vanguard floating production storage and offloading (FPSO) vessel. The Woollybutt Field was developed in 2001 and production initially comprised the Woollybutt-1 and Woollybutt-2A wells. The Scalybutt-1 well was tied into production in December 2005.

The WBSL Development Project comprises:

• The installation of a subsea manifold, a CDU (control distribution unit), flexible flowlines (gaslift line and production) and subsea control umbilical to connect the Woollybutt-4 (WB4) well to the FPSO; and

• Modification of the FPSO subsea control system to accommodate the WB4 well.

The WB4 well was drilled and completed in October 2007 so there is no further well drilling and completion required as part of the subsea installation. The WBSL Development Project is planned to commence in April 2008 and be completed in approximately 30 days.

1.2 SCOPE AND OBJECTIVES OF THIS ENVIRONMENT PLAN

The scope of this Environment Plan (EP) is all operational activities relating to the WBSL Development Project. The overall aim of the EP is to demonstrate to the Department of Industry & Resources (DoIR) that Eni has a sound understanding of how its operations interact with the environment and to demonstrate that it has implemented environmental safeguards to reduce the risks to as low as reasonably practicable.

This EP covers all activities relating to the installation and tie-back of the WB4 well to the Woollybutt Field FPSO including:

• Modification of FPSO subsea control system;

• Mobilisation of subsea equipment, materials and workforce to site;

• Installation of subsea manifold and CDU;

• Installation and tieback of flexible flowlines (production and gas lift lines) and subsea control umbilical from WB4 well to the Scalybutt manifold located nearby WB2 well;




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• Hydrostatic testing of flowlines and leak testing of umbilical system; and

• Commissioning of the WB4 well.

A revised Environment Plan for Woollybutt Field production, incorporating WB4 operations, will be submitted to DoIR prior to commissioning of WB4.

1.3 RELEVANT ENVIRONMENT LEGISLATION

As stated in Eni’s Health, Safety and Environment (HSE) Policy (Figure 1.1), Eni is committed to conducting operations in accordance with legislative requirements. To achieve this, , Eni maintains a database that describes the legislation relevant to the environmental management aspects of its operations. Eni shall ensure that the WBSL Development Project complies with all relevant Acts and regulations.

Eni shall review the environmental legislation database annually or when significant environmental legislation changes occur. The annual review will be confirmed during an annual environmental audit of Eni operations.

1.4 EVALUATION OF THE WBSL DEVELOPMENT PROJECT AGAINST THE EPBC ACT

Few significant environmental resources are expected to be located in the proposed WBSL Development area, as the project is located in the open ocean and the water depth is approximately 100m. Based on the lack of sensitive resources in the immediate vicinity of the drilling site and precedents from previous drilling activities in the area, Eni has decided not to refer the WBSL Development Project under the Environment Protection & Biodiversity Conservation Act 1999 (EPBC Act).




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Figure 1.1: Eni Australia HSE Policy




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2. PROJECT DESCRIPTION

2.1 LOCATION AND TIMING

The Woollybutt Development (Location 2SL/97-8) is located in Commonwealth waters within Production Licence WA-25-L in the Barrow sub-basin of the Carnarvon Basin. The field is approximately 40km west of Barrow Island and 80km north north-west of Onslow, Western Australia. Figure 2.1 shows the reservoirs that comprise the field and their corresponding wells. The latitude and longitude of the Woollybutt wells are presented in Table 2.1.

Table 2.1 Geographical coordinates of the Woollybutt Field wells

Well site Latitude Longitude

Woollybutt-1 20o54’15.72”S 114o54’31.48”E

Woollybutt-2A 20o55’08.89”S 114o54’17.52”E

Scalybutt-1 20o55’04.26”S 114o53’26.96”E

Woollybutt-4 20o57’16.20”S 114o52’06.10”E

2.2 OVERVIEW OF PROJECT ACTIVITIES

The WBSL Development Project comprises installing a subsea manifold at WB4 (WB4 Manifold) and tying back the WB4 well to a dedicated point on the existing Scalybutt subsea production manifold (Scalybutt Manifold). The Scalybutt Manifold is located approximately 900m south of the FPSO and the WB4 well is located approximately 5,600m southwest of the Scalybutt manifold. The WB4 well was completed in October 2007 so the Project does not involve drilling for production purposes.

Key Project activities to be carried out are:

1. Transport of Project infrastructure and materials from Singapore;

2. Modifying the FPSO to accommodate production from the WB4 well;

3. Installing the WB4 Manifold adjacent to the WB4 well;

4. Tying back the WB4 well to the WB4 manifold and Scalybutt Manifold;

5. Hydrotesting flowlines;

6. Vessel operations (including supply of provisions and construction materials from Dampier).




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Figure 2.1: Woollybutt Field – Wells and Reservoirs

4V




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2.3 PROJECT SUPPORT

Project infrastructure and materials would be marshalled to Singapore by the Heavy Lift Vessel (HLV) MV Daniella and transferred aboard Technip Oceanic Subsea 7 Asia Pacific’s (TS7) vessel Venturer, a purpose-built vessel used exclusively for TS7 deepwater subsea construction projects. Alternatively, the transfer of infrastructure and materials from the Daniella to the Venturer will occur in Dampier.

Ballast water exchange during transit between Singapore and Dampier would be carried out in accordance with Australian Quarantine and Inspection Service (AQIS) requirements (AQIS 2001).

In addition to the Venturer, the following vessels will also be on site:

• Hyperbaric Support Vessel

• supply vessels to transport catering supplies, fuel and waste containers to and from the Venturer to Dampier.




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3. DESCRIPTION OF THE ENVIRONMENT

The existing environment has most recently been described in the Woollybutt Field Environment Plan (Eni 2006a) and is briefly summarised here. This description was based on studies which include a geophysical survey (Fugro 2001) aimed at determining seabed characteristics, and an environmental field investigation which included Remotely Operated Vehicle (ROV) footage and sediment sampling to examine benthic fauna (URS 2001).

3.1 CLIMATE

The climate of the region is subtropical with moderate winters and very hot summers. The following description of climate is derived from observations made at Barrow Island, approximately 40km to the east of the Woollybutt Field. The island observations have been utilised because of the long period of recordings available (1967 to 1998).

In summer (December to February), the mean maximum daily temperature recorded is about 34.0°C and mean daily minimum temperature is 24.5°C (BOM 2007). In winter (June to August) mean daily maximum temperatures at Barrow Island are approximately 25.2°C, whilst mean daily minimums are approximately 17.5°C (Figure 3.1).

3.2 RAINFALL

Rainfall is low and unpredictable. The highest rainfall occurs during March and June. Average annual rainfall recorded at Barrow Island during the recorded period is 320.3mm (BOM 2007).

Rainfall in summer is often associated with tropical cyclones, which affect the region between November and April. On average, two tropical cyclones each year could be expected to affect the Woollybutt Field. However, the number of cyclones is highly variable between years.

3.2.1 Wind Patterns

During October to March, winds are predominantly south-westerly or southerly in the morning, tending more westerly in the afternoon. The strongest prevailing winds are generally experienced in October, November and December, with wind speeds often in the range 25km/hr to 40km/hr. During May to July, winds are mainly easterly, sometimes swinging southerly in the afternoon.

April is a transitional period when the winds are light and variable (mostly less than 20km/hr). Wind direction is southerly or south-easterly in the morning, turning either north-easterly or south-westerly in the afternoon. August is the second transitional period of variable winds with directions generally southerly or south-easterly in the morning, with south-westerly or north-easterly winds in the afternoon.




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3.3 OCEANOGRAPHY

3.3.1 Bathymetry

The water depth of the Woollybutt field is approximately 100m. To the north-west, the water deepens gradually across the outer continental shelf before falling more steeply to form the continental slope. To the east, the seafloor shallows slowly before rising to form the shoals and islands that include Barrow Island and the Montebello Islands, approximately 40km away.

3.3.2 Currents and Tides

The waters that encompass the Woollybutt Field lie at the head of the formation area of the Leeuwin Current that flows down the west coast of WA. In this region, the Leeuwin Current is not yet fully developed, but rather moves as a broad, poorly defined water mass.

Tides are semi-diurnal with ranges of about 0.7m on neap tides, increasing to 2.5m on springs. In the open water, with low amplitude tides, tidal currents are negligible. Tidal movement is generally east-west at 0.1m/s. In contrast to tidal currents, surface wind-driven currents range up to 0.8m/s. Internal waves in the lower water column may have speeds of up to 0.7m/s, and currents of up to 0.3m/s can be encountered near the bottom.

3.3.3 Sea and Swell

Swell waves consistently propagate from the southwest with heights of up to 2m, rising to 3m during the winter. Extreme swell conditions of greater than 8 m can be encountered during cyclones. Short period waves (1 - 10 seconds) propagate from the southwest in summer and the east in winter at heights of less than 2m, but this can increase and the direction change during storms. The largest seas (greater than 2m) occur during winter.

3.3.4 Seawater Temperature

Water temperatures in the vicinity of the Woollybutt Field vary due to seasonal conditions and depth. Temperatures close to the sea surface range from 22oC to 30oC, typical of tropical waters in this region. Temperatures close to the seafloor will be lower, ranging from 18.5oC to 29oC.

3.4 GEOMORPHOLOGY AND GEOLOGY

The Woollybutt Field is located on the outer part of the continental shelf. A detailed sonar survey of the development area was undertaken in August 2001 to assess bottom conditions in the area. The seabed in the vicinity of the well site slopes gently down towards the west at a gradient of 1:1,000 before dropping away more steeply beyond the western edge of the permit area.




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The seafloor in the vicinity of the well site is comprised of loose fine carbonate silty sand with occasional shell fragments overlying calcarenite at depths of between 1m and 5m. The geology of the Woollybutt Field is expected to comprise an upper Tertiary section of thin sands, marls and carbonates above a lower Cretaceous section, which is primarily shale in its upper area and sandstone inter-bedded with shale at the base of the wells.

3.5 BIOLOGICAL ENVIRONMENT

3.5.1 Regional Overview

Biogeographically, the region in which the Woollybutt Field is located is part of the Northwest Demersal Province (NDP) which extends from Exmouth Gulf northward to Cape Leveque, WA, and occupies an area of 156,400km2 (ANZECC 1998). The NDP supports a large suite of widespread tropical species forming part of the vast Indo-West Pacific tropical province, and superimposed on this, a small but ecologically important component of the biota that is endemic to WA. The proportion of endemic species in the NDP varies between groups, from about 10% for molluscs and fish to 25% for shallow water echinoderms (Wilson & Gillett 1971; Wells 1980, 1997; Wilson & Allen 1987). While there has been little detailed examination of distributions of species on the continental shelf, species are believed to be widespread with no major barriers to distribution (Holloway et al. 1985).

The outer continental shelf bottom (demersal) habitat surrounding the Woollybutt Field is predominantly flat and featureless and comprised of loose silty carbonate sands. This habitat is regionally common and the associated flora and fauna widespread. Biological productivity in this environment is low due to the water depth (50 – 200m), low nutrient availability and absence of hard substrates. The sediments support low densities of sponges, gorgonians, ascidians, echinoderms, crustaceans, bryozoans and soft corals. Burrowing molluscs, crustaceans and polychaete worms inhabit the sediments, also at low densities.

The overlying waters form part of the Northern Pelagic Province, a region extending from Exmouth Gulf northward around the northern coast of Australia to Dunk Island off the east coast of Queensland, and occupying an area of 1,390,000km2 (ANZECC 1998). A range of listed (Threatened and/or Migratory) pelagic and migratory fish, sharks (including whale sharks), turtles and cetaceans (whales and dolphins) are known to pass through the waters in the vicinity of the development site. In particular, the Humpback Whale migration route passes through the development area (Jenner et al. 2001). Migratory seabirds may also overfly the area.

There are a number of reefs, shoals and islands in the broad region in which the Woollybutt Field is located. The nearest, Barrow Island, is located approximately 40km distant to the east of the Woollybutt Field. Barrow Island is part of the Barrow/Lowendal/Montebello Islands complex. The waters around the Barrow/Lowendal/Montebello Islands are included in the Barrow Island Marine Management Area, the Barrow Island Marine Park or the Montebello Islands Marine Park.




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3.5.2 Flora and Fauna of the Woollybutt Field

Benthic Flora and Fauna

Species of animals or plants growing or living on the seafloor (not within the sediments) are called ‘epibenthic’ species. Seafloor communities in deeper waters are generally depauperate. Even with the relatively clear open ocean water conditions in the area, light penetration to the bottom at a depth of 100m is generally insufficient for the development of plants (seagrasses and algae) and scleractinian (reef building) corals. The absence of hard substrate is also considered a limiting factor for the recruitment of epibenthic organisms (Heyward & Smith 1996).

In August 2001, a survey of the benthic flora and fauna of the project area was conducted as part of a combined geotechnical, geophysical and scientific survey. The scientific survey included ROV video survey of the seafloor and existing wellhead structures and collection of sediment samples to describe the infauna (animals living within seafloor sediments) community (URS 2001).

Biota observed on the seafloor at the Woollybutt Field included sponges, gorgonians (sea whips and sea fans), soft corals, crinoids (feather stars), ophiuroids (brittle stars), crustaceans (e.g. hermit crabs) and bryozoans (lace corals). The predominant infauna recovered from sediment samples were burrowing and tube-dwelling polychaete worms, brittle stars, gastropods and bivalves (molluscs) and amphipods (crustaceans).

Mobile fauna observed at the seafloor during ROV surveys (particularly evening surveys) included crustaceans (shrimps, mantis shrimps, hermit crabs) and fish (scorpion fish, dragonets, gobies). A variety of other fish and shark species also occur in the area in which the Woollybutt Field is located.

Marine Reptiles

Sea snakes and sea turtles may migrate through the Woollybutt Field at various times during the year. However, the open oceanic conditions of the area mean that there are no particular features such as feeding or breeding grounds that would result in aggregations of these fauna in the development area.

Marine Mammals

As in the case of marine reptiles, the open oceanic conditions of the study area mean that there are no specific features such as feeding or breeding grounds that would cause marine mammals to aggregate in the area. However, the humpback whale (Megaptera novaeangliae), which migrates annually between summer feeding grounds in Antarctica and winter breeding grounds on the North West Shelf (NWS) and areas further north, can be expected to pass through the area in significant numbers during its northward and southward migrations. These occur in the vicinity of the Woollybutt Field in winter (June-July) and spring (September-October) respectively (Jenner et al. 2001). The timing of the proposed WBSL Development Project is therefore outside of period when humpback whales may be expected to occur in the area.

Several species of whales and dolphins may also be observed in the area of the WBSL Development project; however, most of these species tend to move singly or in small pods and do not aggregate.




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There is little information as to the presence of Dugongs (Dugong dugon) in deeper offshore waters, although the absence of food would suggest this is unlikely. The lack of dugongs observed during offshore whale watch surveys tends to support this statement (C Jenner, pers. comm., cited in LDM 1998).

Seabirds

The open oceanic conditions of the study area mean that there are no features such as feeding or breeding grounds that would result in concentrations of sea birds. Some 31 species of sea bird have been recorded on Barrow Island, the nearest site for which such records exist. Many of these species are listed under the JAMBA and CAMBA agreements and it is expected that some individuals of these species would pass near the Woollybutt Field during their annual migrations and may form temporary feeding aggregations, subject to the availability of food.

3.5.3 Sensitive Flora and Fauna of Adjacent Areas

The nearest sensitive marine habitats in the vicinity of the Woollybutt development are Barrow Island and the Barrow Shoals approximately 40km to the east, the Montebello Islands, more than 40km to the north-east, and the Rosily Shoals, approximately 30km to the south south-east. Shallow sub-tidal and inter-tidal habitats occur around each of the islands and shoals (URS 2001). Assemblages and species with high conservation and protection significance found in all of these areas are described below.

Seagrasses and Macroalgae

Seagrass habitats are important as a feeding ground for turtles and dugongs, nursery areas for juvenile fish and crustaceans, and as nutrient sinks and sediment traps. Macroalgae form the basis of many food webs in the marine environment and contribute to reef structure and to sediment formation. Algal meadows grow on shallow limestone pavement while seagrass beds are generally located on sandy patches in the lagoons.

Beds of macroalgae are extensive on subtidal limestone pavement and knolls in the shallow (< 5m) waters surrounding the Montebellos and Lowendals and south to the Barrow Shoals. Brown algae (Turbinaria spp., Sargassum spp. and Padina spp.) and green algae (Caulerpa spp. and Cladophora spp.) have been observed in the shallow (< 5m) waters surrounding the Montebellos and Lowendals and south to the Barrow Shoals. (WAM 1993).

Six species of seagrass have been recorded in the area: Cymodocea angustata, Halophila ovalis, Halophila spinulosa, Halodule uninervis, Thalassia hemprichii and Syringodium isoetifolium (Kirkman & Walker 1989). The distribution of seagrasses in deeper waters is unknown. However, at least one species, Halophila spinulosa, is known to occur to depths of 20m (LEC 1993).




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Corals

Coral reefs are an important component of the marine environment in the Lowendal - Montebello Islands areas but are less prevalent in the Barrow Island region. On the western coast of Barrow Island, the largest area of coral occurs at Biggada Reef. The Reef is comprised of an outer platform that surrounds the inshore rocky platforms and a sandy lagoon.

Coral reefs also occur as fields of large Porites spp. bioherms (bommies) with a patchy distribution between Shark Point on Barrow Island and the Barrow Island Shoals, and to the north of the “WAPET landing” (LEC, 1991). The bommies are between 2m and 20m in diameter, and between 1m and 5m in height. Coral also occurs as large intertidal and shallow subtidal reef flats in two areas near Barrow Island, at Dugong Reef and Batman Reef, which are located southeast of the island. Two smaller coral reefs are located approximately 5km east of Shark Point on Barrow Island.

There are no unique species of coral reported from the Barrow and Montebello Island region. At the Montebello Islands some 150 species from 54 genera have been recorded (Marsh 1993), whilst at Biggada Reef 77 species from 31 genera have been identified, with the possibility that continued sampling will reveal more coral taxa (APPEA 1997).

There is evidence also that the coral assemblages are highly dynamic, as a result of natural mortality, recruitment, growth, and competition for space between colonies. Natural mortality results from catastrophic events such cyclone-generated wave damage, population explosion of the coral-eating gastropod Drupella, regionally-widespread bleaching, major river discharges of turbid fresh waters causing sedimentation, and oxygen depletion caused by decomposing coral spawn slicks in calm waters (LeProvost and Gordon 1991).

Mass coral spawning occurs around 7 - 9 days after the full moon in March, during neap, nocturnal ebb tides. Although most of the corals spawn during March, a small percentage (usually less than 10 %) spawn after the full moon in February and April (Simpson, 1991).

Sea Turtles

Four species of marine turtle are known to occur in the region with essentially tropical distributions around the northern coasts from Western Australia to Queensland (Cogger 1996). These are the Flatback Turtle (Natator depressa), the Loggerhead Turtle (Caretta caretta), the Hawksbill Turtle (Eretmochelys imbricata) and the Green Turtle (Chelonia mydas). Of these four species, Green Turtles are by far the most numerous and are abundant throughout the region in all seasons.




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Green and flatback turtles use the sandy beaches of Barrow Island for nesting from October to February. Turtle hatching occurs from December to March. Major nesting sites occur on Middle and Boodie Islands, the western coast of Barrow Island and Trimouille and North West Island in the Montebello Group. The sandy shelving beaches of Barrow Island is a major nesting site for Green and Flatback Turtles, which also feed in surrounding waters. The Green Turtle is carnivorous when young, but becomes almost exclusively herbivorous as an adult. They feed on algae and seagrasses around the islands and on the limestone pavement of the region. Green Turtles mainly use beaches on the northern and western shores of Barrow Island for nesting. The Flatback Turtle is a carnivore that can often be observed foraging for crustaceans and other fauna around coral reefs.

All four species of turtle are classified as endangered on a worldwide basis. Australia is one of the few countries to still have relatively large turtle populations. Numbers of Green and Flatback turtles are high; however, the numbers of Hawksbill and Loggerhead Turtles are quite low (Prince 1990). It is difficult to monitor numbers as all species are migratory and subject to exploitation in traditional fisheries in northern Australia and neighbouring countries. Commercial fisheries may also impact on their numbers, with netting causing a significant mortality rate.

Dugongs

Dugongs (Dugong dugon) are found in the Indo-Pacific region and in Australia, occur in the shallow coastal waters (< 5m) from the Queensland/New South Wales border in the east to Shark Bay off the coast of Western Australia. In Western Australia, the largest population occurs in Shark Bay (between 10,000 to 14,000 individuals) and a smaller population occurs near Ningaloo Reef/Exmouth Gulf (approximately 1000 individuals). One aerial survey of the Pilbara coast (Exmouth Gulf to the De Grey River) carried out in April 2000 a population of 2000 individuals in this region.

Dugongs are usually found in shallow, tropical marine coastal waters where they feed on seagrasses, shelter from large waves and storms, and give birth to their young. The main seagrass species grazed by dugongs are Halophila spp. and Halodule spp. Breeding occurs throughout the year and peak months for birth vary geographically, though predominantly occurs in September and October in Australian waters (DDCE 1998). Given their preferences for shallow waters and diet based on seagrasses, dugongs are unlikely to occur in the Woollybutt Field.

3.5.4 Timing of Breeding Activities

WBSL Development Project construction activities are not expected to coincide with whale migration activities. Construction may coincide with the tail-end of turtle hatching, dugong breeding, coral spawning and bird nesting. However, given the distance of the WBSL Project site (over 30km) from the nearest islands, shoals and reefs where these activities would occur, construction is not expected to interfere with any of these biota.




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3.6 SOCIAL ENVIRONMENT

The level of human activity in the open ocean in the vicinity of the Woollybutt Field is low. Onslow is the nearest mainland town with a population of about 800. A small tourism industry is important in the area, but is mainly oriented towards fishing in the waters near coastal islands and conducted well away from the Woollybutt Field.

Most human activity within the region is associated with the oil and gas industry and general shipping, oil production on offshore and island bases, general cargo shipping, pearl culture in the Montebello Islands and commercial fishing, as described below.

3.6.1 Shipping

Most shipping that occurs in the vicinity of the Woollybutt Field is associated with the oil and gas industry, the area being located inshore of major shipping lanes. The Woollybutt Field is not located near to a major shipping route (the closest major ports to the field are the Dampier and Port Hedland ports to the north-east). It is possible that transient shipping traffic would move though the area en route between southern Australian ports and areas to the north of Australia. However, the small spatial and temporal scale of the construction activities represent minimal additional navigational hazard to shipping in the area.

3.6.2 Commercial Fishing

The commercial fisheries that operate in the waters of the North West Shelf (NWS) are centred in Onslow, 86km to the south-southeast; Exmouth, 120km to the southwest, and Dampier, 200km to the east. The focus of commercial fishing activity is the inner continental shelf and waters surrounding the offshore islands to depths of about 30m. The fisheries (extending northwards and eastwards from the North West Cape) are the:

• Pilbara Fish Trawl Interim Managed Fishery;

• Pilbara Trap Managed Fishery;

• North Coast Shark Fishery;

• North West Slope Trawl Fishery; and

• Western Tuna and Billfish Fishery.

The majority of effort from these fisheries is focused inshore of the Woollybutt Field, in waters of depth less than 100m (trap fisheries generally in less than 50m of water and trawl fisheries generally in less than 100m of water).

3.6.3 Aquaculture

A significant aquaculture industry based on open water culture of the pearl oyster, Pinctada maxima, is located in the sheltered waters of the Montebello Islands.




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3.6.4 Tourism and Recreational Fishing

As the Woollybutt Field has no bottom features (reefs, ridges etc.) that attract large numbers of reef fish, the area is of low interest to recreational fishermen. However, occasional tourist and fishing charter vessels may pass through the area in transit between Exmouth and the Montebello Islands.

A small tourism industry is important in the area, but is oriented towards fishing in the waters near coastal islands, particularly Thevenard Island which is located about 65 km south-west of the development site. No recreational fishing is known to occur in the deep-water areas around the Woollybutt Field, although fishers visit Barrow Island, the Montebello Islands and other surrounding islands.

3.6.5 Shipwrecks and Heritage Sites

Neither shipwrecks nor heritage sites are known to occur in the vicinity of the Woollybutt Field. The English ship Tryal was wrecked on what are now known as the Tryal Rocks just north of the Montebello Islands in 1622. This shipwreck is protected by the Marine Archaeological Act 1973 and has ‘National Estate’ status.

A further uncharted wreck (the 19th Century ship, Wild Wave) is understood to be located on the seaward side of the southwest section of the Montebello’s barrier reef. Two other wrecks, one believed to be of a lugger wrecked about 1915 and one of a more recent vessel, are reported in or near the vicinity of Willy Nilly Lagoon in the central part of the Montebellos.

There are no other sites of Aboriginal or European heritage or archaeological value in the vicinity of the Woollybutt Field.




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4. ENVIRONMENTAL RISK ASSESSMENT

4.1 DESCRIPTION OF GENERAL ENVIRONMENTAL RISKS AND THEIR MITIGATION

The identified potential environmental risks and their management measures and safeguards are presented in Table 4.1. The risks associated with hydrocarbon spills are presented in Table 4.2.

The risk assessment was based on extensive discussions with TS7 and an examination of TS7’s Environmental Management Plan for the project, as well as the known generic risks and effects based on Eni’s experience in conducting petroleum activities at the Woollybutt Field since 2001.

All risks associated with the WBSL Development Project were ranked as low apart from the risks involved with refuelling, chemical spills and vessel collisions, which were ranked as moderate.




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Table 4.1: WBSL Project: Potential Environmental Risks and Their Safeguards

Source of Risk Potential Environmental Effects Safeguards or Risk Management Measures

Likelihood of Consequences Being Realised

Consequence Risk

Vessel entry into Australian waters

Discharge of invasive marine pest organisms from vessel hull fouling and ballast water exchange

Loss of biodiversity in marine environment with infestation of invasive pest species

• Vessels to meet marine HSE standards, including MARPOL 73/78.

• Implementation of AQIS requirements and clearance (ballast water exchange in accordance with Ballast Water Management requirements)

• Reporting/monitoring of hull fouling undertaken annually (previous hull clean November 2007)

• Adherence to Technip’s Fleet Management System (FMS) – available on the Venturer

A 3 Low

Introduction of biocides into the environment from the antifouling system

Reduction in ambient water quality with potential for toxic leachate emissions

• No organotin or mercury based anti-fouling systems to be used

• Antifouling application records to be maintained showing that organotin or mercury based systems are not used – maintained by each vessel as per AQIS requirements

A 2 Low

Vessel mobilisation to work site

Use of non-designated shipping routes

Disturbance of sensitive areas within Carnarvon Basin and potential for ship grounding

• Use of and adherence to updated charts showing current shipping routes in the shipping area

0 2 Low

Subsea Installation/Vessel Operation

Introduction of artificial light

Disorientation of marine fauna

• Woollybutt location not in known feeding, breeding or aggregation areas for marine fauna

• Construction window is short and not considered to have long term impacts

A 2 Low




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Consequence Risk

Introduction of noise Disturbance to marine fauna


• Construction window is short and not considered to have long term impacts

A 2 Low

Physical presence of vessels

Disturbance to marine fauna


• Construction period outside of humpack whale migration period

• TS7 will follow cetacean interaction guidelines

• Environmental awareness program of cetacean for offshore and marine crews

• Report cetacean sightings to Eni Australia

A 2 Low

Discharge of desalination brine

Reduction in ambient water quality

• Relatively small volumes compared to discharge and dispersing area at site

B 1 Low

Discharge of deck drainage

Reduction in ambient water quality

• Bunded fuel and chemical storage areas – checked daily and maintained empty

• Closed drain system from process equipment areas to oily water separators

B 1 Low

Discharge of cooling water

Adverse effect on water quality

• Indirect cooling water system installed in accordance with MARPOL regulations

• Low volume of cooling water discharge

• Regular sampling, monitoring and analysis at discharge point using procedures as per the FMS

B 1 Low




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Consequence Risk

Discharge of sewage and grey water

Reduction in ambient water quality and adverse effects on marine life

• No sensitive resources in vicinity of Woollybutt location

• Onboard treatment of sanitary and domestic waste through sewage system in accordance with MARPOL regulations prior to disposal to sea

• No discharge of untreated sewage within Exmouth Gulf. Vessels to exit and steam 12 Nm prior to disposal

• Monitoring and analysis of sewage and domestic waste at discharge points with parameters including COD and BOD as per the FMS

B 1 Low

Discharge of bilge water


• Onboard treatment of bilge water through oily water separator in accordance with MARPOL regulations prior to discharge to sea

• Regular sampling and testing at discharge point

• Oil in water concentrations limited to 15 mg/L

B 1 Low

Discharge of ballast water

Introduction of marine pests • Segregated ballast water system installed in accordance with MARPOL regulations

• Adherence to ballast water management plan/procedures

• AQIS clearance

• Report/monitor ballast water management

B 1 Low

Exhaust emissions from diesel engines; diesel compressor engines; crane and ancillary diesel engines

Localised effect on air quality and global contribution to greenhouse gases

• Regular maintenance and function testing of plant and equipment – adherence to maintenance procedures

• Regular sampling and testing to include parameters such as NOx, SOx, CO2 and CO

C 1 Low




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Consequence Risk

Use of refrigeration and air conditioning (chlorofluorocarbons/hydrochlorofluoro-carbons) and fire extinguishers (Halons)

Increased addition of ozone depleting substances (ODS) to atmosphere

• Ozone depleting substances will not be used. A 1 Low

Subsea Equipment/Structure Installation

Physical disturbance of seabed communities

Reduced conservation values or impacts on sensitive areas

• Site selected to avoid sensitive habitats

• Flowlines laid directly onto seabed rather than trenched

B 1 Low

Introduction of biocides into the environment from antifouling system

Reduction in ambient water quality with potential for toxic leachate emissions

• No tributyltin or mercury based anti-fouling systems to be used on subsea structures

B 1 Low

Radioactive gamma sources (Caesium 137) at the two multiphase flowmeters at the WB4 manifold.

Radiation effects to fauna and flora

• Radioactive gamma sources enclosed in Roxar gauges. • Radiation Safety Management Plan being developed. • Meets the following international conventions/agreements:

o UN Number 3332 o ISO Classification C. 66546 o Special Form Approval USA/0634/S

D 1 Low

Vessel Waste Management

Food waste disposal Reduction in ambient water quality

• All food waste macerated to <25mm and discharge to sea at >12 Nm from land

• Adherence to FMS

B 1 Low




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Consequence Risk

Solid domestic, industrial, hazardous, toxic and/or chemical wastes


• Adherence to Vessel Waste Management Procedure and the FMS

• Onshore disposal of chemical and hazardous wastes to designated treatment facilities

• Recycling of wastes where practicable

• Segregation policy to be implemented

• Compaction and bagging onboard prior to removal to an approved onshore disposal facility.

A 3 Low

Overboard spill of liquid hazardous, toxic and chemical wastes


• Adherence to Vessel Waste Management Procedure and the FMS

• Onshore disposal of chemical and hazardous wastes to designated treatment facilities

• Recycling of wastes where practicable

• MSDS available to those handling and using materials

• Correct labelling and storage of hazardous and toxic substances will be in accordance with MSDS

A 3 Low

Bunkering and Hydrocarbon Storage

Spillage of diesel fuels, lubricants, etc.


• Correct storage and handling in accordance with MSDS

• MSDS available to those handling and using materials

• Implementation of bunkering procedures

• Existing Oil Spill Emergency Procedure in the Shipboard Oil Pollution Emergency Plan (SOPEP)

• Adherence to FMS

A 3 Low

Crew Changes

Noise emission from aircraft

Disturbance of marine wildlife

• Use of approved flight paths and minimum heights maintained to avoid disturbance to wildlife

• Flight paths in accordance with any restriction over national park airspace

A 1 Low




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Consequence Risk

Hydrotesting

Discharge of chemicals (biocide, oxygen scavenger, dyes, corrosion inhibitors)

Adverse effects on water quality and biological communities

• Test water discharged to the FPSO; quantities of hydrotest chemicals are small and will be discharged to the marine environment in controlled stages to ensure maximum dilution

• A very small portion of hydrotest chemicals directly released to the marine environment would have negligible impact given the open ocean and rapid dilution in the area

• The hydrotest chemicals do not contain any substances expected to be bioaccumulating

• Use of the United Kingdom Offshore Chemical Notification Scheme system with selection of chemicals with low potential for environmental harm

B 2 Low




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Table 4.2: Oil, fuel and chemical spills: potential environmental risks and their safeguards

Release Event Cause Maximum Spill Size (L) Safeguards Likelihood Consequence Risk

Refuelling incident Localised and temporary acute and chronic toxic effects to sensitive resources Adverse effects on water quality

1,000 • Refuelling will be undertaken only during periods of calm weather and in daylight hours

• Transfer hoses will be fitted with ‘dry break’ couplings

• Refuelling operations will be overseen by Venturer’s Master or First Officer

C 3 Moderate

Leak from fittings and connections

Equipment failure Negligible • Surface Controlled Subsea Safety Valve • Pressure tested equipment

B 1 Low

Leaks of hydraulic fluids

Localised and temporary acute and chronic toxic effects to sensitive resources

Adverse effects on water quality

50 • Preventative maintenance • Drip pans/bunds • Collection of oily solid wastes for disposal

onshore at approved facility • Diversion of oily liquid wastes to oily water

separator

D 1 Low

Chemical spills Spills during storage and handling

1,000 • MSDS available to those handling and using chemicals

• Correct labelling and storage of chemicals as per MSDS

B 3 Moderate

Vessel collision Localised and temporary acute and chronic toxic effects to sensitive resources Adverse effects on water quality

80,000 • Hydrocarbons i.e. diesel likely to have high evaporation and dispersion rates in NWS waters

• No sensitive resources permanent in area, spill unlikely to reach shorelines

• SOPEP • AMSA aware of location of vessel

A 4 Moderate




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5. IMPLEMENTATION STRATEGY

5.1 SYSTEMS, PRACTICES AND PROCEDURES

5.1.1 General

As the Operator, Eni will ensure that its personnel and contractors comply with all regulatory controls under the P(SL)A, EPBC Act, this EP and other relevant legislation.

Key aspects of Eni’s environmental management strategies include:

• Eni’s HSE Integrated Management System; and

• Eni’s Crisis Management Plan.

Key aspects of TS7’s environmental management strategies include:

• TS7’s Project Emergency Response Plan;

• TS7’s Project EMP;

• TS7’s Health & Safety Management Plan

• Technip’s Fleet Management System;

• Use of personnel with local area experience; and

• Compliance with the APPEA Code of Environmental Practice.

TS7’s EMP will be used as the working document on TS7 vessels during the implementation of the project.

All Eni and contractor personnel will receive an environmental induction prior to the commencement of construction and installation that addresses the issues and actions identified within this EP.

5.1.2 Emergency Response

Eni’s Crisis Management Plan (ENI-0000-PF-0501; Eni 2006b) provides high level coordination of crisis management emergency response. TS7 have developed a Project Emergency Response Plan which includes detailed response and investigative arrangements.




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5.1.3 OSCP and Resources

Oil spill emergencies will be managed in accordance with the Venturer’s SOPEP and the Woollybutt Licence (WA-25-L) Oil Spill Contingency Plan (OSCP) (ENI-WA25L-0000-PQ-0001; Eni 2007b). Equipment can be sourced locally through AMSA and through the Australian Marine Oil Spill Centre (AMOSC) in Geelong, Victoria. Eni, as a member of AMOSC, has priority access to equipment and training. The equipment includes booms, skimmers, vacuum units, storage systems, helicopter aerial spray systems, and a large quantity of dispersant. The equipment is designed to handle spills of up to about 11,000 cubic metres and is transportable, mostly by air, to any part of Australia. The oil spill equipment available at Dampier is listed in Appendix E of the OSCP.

5.2 TRAINING, AWARENESS AND COMPETENCE

Contractors and staff receive appropriate training on their environmental responsibilities in connection with the construction and installation activity. All Eni and contractor personnel receive an environmental induction. The induction follows induction procedures (Eni 2001b) and addresses the issues and actions identified within this EP.

5.3 MONITORING, AUDITING AND REPORTING

5.3.1 Monitoring

Table 5.1 shows how routine environmental risks will be monitored as well as the frequency of monitoring and review.

Table 5.1 Environmental Risk, Monitoring Criteria and Monitoring Frequency

Environmental Risk Criteria to be Monitored During Drilling Campaign

Frequency of Monitoring

Hydrotest chemicals Usage, concentration and total loading Ongoing

Deck drainage All drainage directed to slops tanks ahead of OIW separator Ongoing

Diesel usage Volume Ongoing

Oil spills Type and volume Ongoing

Chemical spills Type and volume Ongoing

Sewage discharge Correct operation of sewage treatment system

At start and once during campaign

General rubbish disposal Volume Prior to waste transfers

to supply vessels Hazardous waste disposal Type and volume Prior to waste transfers

to supply vessels

Separator sludge Disposal path and destination Prior to waste transfers to supply vessels

Waste oils Disposal path and destination Prior to waste transfers to supply vessels




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Record keeping of emissions and discharges shall be in compliance with the requirements of the P(SL)(MoE) Regulations.

5.3.2 Auditing

Auditing will ensure that the monitoring has been undertaken and the results of the audit will be used to review environmental targets and monitoring effectiveness. At least one HSE audit will be conducted during the project to ensure that the requirements of the EP, legislation and guidelines are being heeded.

Eni personnel shall conduct the audit in accordance with Eni’s HSE Auditing Procedure (Eni 2007a) and a report shall be produced.

5.3.3 Reporting and Recording

Eni will undertake routine and incident reporting in line with statutory requirements under the P(SL)(MoE)R.

If a Reportable Incident, the HSE Manger or Environmental Adviser notifies (verbally) the DoIR as soon as practicable, but within 2 hours. A written report is required to be submitted to DoIR within 3 days.

All environmental incidents or deviations from this EP will be reported in accordance with Eni’s Hazard and Incident Reporting and Investigations Procedure (Eni, 2007a).

5.4 MANAGEMENT AND REVIEW OF THE EP

This EP will be reviewed:

• when an environmental audit of the project finds significant breaches of the EP requirements; or

• if any significant new environmental risk or effect, or significant increase in an existing environmental risk or effect occurs that is not provided for in the existing environment plan.

Any significant incident occurring during the project would also trigger a review of the EP.




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APPEA (1997). Potential Arrangements for Multiple Use Management in the Montebello Islands –

Barrow Island Region, A Petroleum Industry Perspective. Australian Petroleum Industry Exploration Association Limited. Perth, Western Australia.

AQIS (2001). Australian Ballast Water Management Requirements. Australian Quarantine and

Inspection Service, Canberra, ACT. BOM (2007). Averages for Barrow Island, Bureau of Meteorology, Canberra, ACT. Online:

http://www.bom.gov.au/climate/averages/tables/cw_005058.shtml Cogger, H.G. (1996). Reptiles and Amphibians of Australia 5th Edition. Reed International Books

Australia Pty Ltd. Victoria, Australia. 796pp DDCE (Division of Distance and Continuing Education). 1988. Dugong Homepage.

http://www.ddce.cqu.edu.au/dugong. Central Queensland University. Eni (2001b). Woollybutt Development Induction Procedure. Document Reference W00-IN-PQ-

0007. Eni, Perth, Western Australia. Eni (2006a). Woollybutt Field Environment Plan. Document Reference ENI-WA25L-WB4H0-BN-

0001. Eni, Perth, Western Australia. Eni (2006b). Eni’s Crisis Management Plan. Document Reference ENI-0000-PF-0501. Eni,

Perth, Western Australia. Eni (2007a). HSE-PR-05 Procedure: HSE Auditing. Document Reference ENI-0000-PF-0509.

Eni, Perth, Western Australia. Eni (2007b). Woollybutt Licence (WA-25-L) Oil Spill Contingency Plan. Document Reference

ENI-WA25L-0000-PQ-0001. Eni, Perth, Western Australia. Fugro (2001). Woollybutt Project – Permit WA-234-P Geophysical Investigation Final Survey

Report Volume 1 – Text and Appendices. Report prepared for Eni Australia Limited by Fugro Survey Pty Ltd, Perth Western Australia. Document Number HY 16434.

Heyward, A. J. and Smith, l. D. (1996). Analysis of Timor Sea Macrobenthos from ROV Video –

Bayu-Undan. Produced at the request of BHP Petroleum Pty. Ltd. By the Australian Institute of Marine Science, Dampier, Western Australia: in Leprovost Dames and Moore (1997), Appendix C.

Holloway, P.E., Humphries, S.E., Atkinson, M. And Imberger, J. (1985). “Mechanisms for Nitrogen Supply to the Australian North West Shelf”. Australian Journal of Marine and Freshwater Research, 36(6):753–764.

Jenner, C., Jenner, M N. And McCabe, K. (2001). Geographical and Temporal Movements of

Humpback Whales in Western Australian Waters – a Preliminary Report and Description of




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a Computer Assisted Matching System. Centre for Whale Research (Western Australia) Inc., Fremantle.

LeProvost, M.I. and Gordon, D.M. (1991). Oilfield Development and Protection of Natural Resources Within the Tropical Marine Environment of the Rowley Shelf, Northwest Australia, Proceedings of the SPE Asia-Pacific Conference, Perth, Western Australia, 4-7 November 1991, Society of Petroleum Engineers, SPE 23002

LDM (1998). WA-271-P Resource Atlas, Unpublished report prepared for Woodside Energy Ltd.

By Leprovost Dames and Moore, Perth, Western Australia LEC (LeProvost Environmental Consultants) (1991). Roller Oilfield Development, Consultative

Environmental Review. Unpublished report to West Australian Petroleum Pty Limited. Report No. R342, LeProvost Environmental Consultants, Perth, Western Australia.

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Montebello Islands, report to the Department of Conservation and Land Management, Perth, Western Australia, pp. 23-26

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Simpson, C.J. (1991). Mass spawning of corals on Western Australian reefs and comparisons

with the Great Barrier Reef. J. Roy. Soc. WA. 74: 85-91. URS (2001). Woollybutt Field Development Environmental Field Investigation (Draft). Report to

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