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INTRODUCTION

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Arrow Bowen Gas Project EIS

1 Introduction

1.1 Overview
Arrow Energy Pty Ltd (Arrow) is seeking to develop gas reserves in the Bowen Basin for growing
overseas gas markets. The Bowen Gas Project (the Project) petroleum tenures cover an area of
approximately 8,000 square kilometres (km2) within the gas exploration acreage. The tenures are
located approximately 150 km south-west of Mackay, with the bulk of the area extending from
Glenden in the north to Blackwater in the south (Figure 1-1).
The reference case generated for the development of the EIS assumes that up to 6,625 production
wells are expected to be drilled throughout the Project area over its 40 year project life
(approximately). The Project area will be divided into development areas or gas fields allowing a
staged approach to development. Further developments are planned by Arrow as domestic and export
expansion opportunities arise in the energy market. In addition to providing ongoing supply to the
Queensland domestic gas market, Arrow is presently pursuing an export liquefied natural gas (LNG)
market opportunity, through the Arrow LNG Project on Curtis Island near Gladstone. It is expected that
much of the gas produced by the Project will be piped to the proposed LNG Plant. This LNG plant and
the transmission pipeline are subject to separate environmental approval processes and are not within
the scope of the Project.
Before the Project can proceed, Arrow must gain approval from the Queensland and Commonwealth
governments. Regulatory authorities must be satisfied that Arrow’s activities have been properly
assessed, to ensure that all potential impacts, direct and indirect, particularly environmental, social
and economic impacts, are fully examined and addressed. To do this, Arrow has prepared this
Environmental Impact Statement (EIS), which examines the entire Project development.
This EIS has been prepared to inform decision makers, affected parties, interest groups, and the
public about potential issues relating to the development and operation of the Project and how these
issues will be managed. The content of the EIS addresses those matters identified in the Terms of
Reference (ToR) (Appendix A of this EIS) issued by the Department of Environment and Heritage
Protection (EHP). A cross reference to the locations where each of the requirements of the ToR has
been addressed is given in Appendix B which references both the study chapters (Sections 1 through
34) and/or Appendices (A through EE).
This EIS has been made publicly available for comment, and submissions are sought from individuals
and organisations. After consideration of this EIS and submissions received, EHP will review the
Project EIS to identify any uncertainties or omissions. A supplementary report may be necessary to
cover any additional matters of concern and address stakeholder submissions. A final decision on the
overall acceptability of the Project will then be made on the basis of the information provided.

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147 148 149

This drawing is subject to COPYRIGHT.

/
0 10 20 40 60 Bowen Gas Project Tenements
km
1:2,000,000
Projection: Geographic (GDA94)

Source: This product may contain information that is © Mapinfo Australia Pty Ltd and PSMA Australia Ltd., © Copyright Commonwealth of Australia (Geoscience Australia) 2006 , © Copyright The State of Queensland (Department of Natural Resources and Water) 2008,
© The State of Queensland (Department of Mines and Energy) 2006-2008,© The State of Queensland (Department of Environment and Resource Management) 2010, Bing Maps © Microsoft Corporation and its data suppliers, Images from Client Feb 2012.
Whilst every care is taken by URS to ensure the accuracy of the digital data, URS makes no representation or warranties about its accuracy, reliability, completeness, suitability for any particular purpose and disclaims all responsibility and liability (including without limitation, liability in negligence) for any expenses,
losses, damages (including indirect or consequential damage) and costs which may be incurred as a result of data being inaccurate in any way for any reason. Electronic files are provided for information only. The data in these files is not controlled or subject to automatic updates for users outside of URS.

BOWEN GAS PROJECT EIS BOWEN GAS PROJECT

TENEMENTS

INTRODUCTION Figure: 1-1

File No: 42626960-g-1002.mxd Drawn: RG Approved: DS Date: 18-10-2012 Rev.A A4
Arrow Bowen Gas Project EIS

Section 1 Introduction

1.2 The Proponent

Arrow is an integrated energy company with interests in coal seam gas (CSG) field developments,
pipeline infrastructure, electricity generation and a proposed liquefied natural gas (LNG). In
Queensland, it operates gas projects at Moranbah in the Bowen Basin and around Dalby in the Surat
Basin. Arrow’s four operational gas producing projects currently account for about 20% of
Queensland’s overall domestic gas supply.
Arrow is a Queensland-based wholly owned subsidiary of Arrow Energy Holdings Pty Ltd, a 50:50 joint
venture between a subsidiary of Royal Dutch Shell plc (Shell) and a subsidiary of PetroChina
Company Limited (PetroChina). The joint venture took ownership of Arrow on 23 August 2010.
Shell has had a presence in Australia since 1901. Current operations include petroleum refining, sale
of petroleum products and retail businesses. The company maintains equity in the exploration and
development of large gas resources off the coasts of Western Australia and the Northern Territory.
Shell is an internationally recognised leader in LNG production and has delivered some of the world’s
largest and most complex LNG projects in the last 40 years, including facilities in Qatar, Nigeria,
Russia and Southeast Asia. Through its subsidiary, Shell International Trading and Shipping Company
Limited, Shell operates one of the largest LNG carrier fleets in the world.
PetroChina is a subsidiary of China’s largest state-owned oil and gas producer and distributor, China
National Petroleum Corporation, and is one of the world’s largest oil companies. PetroChina was
incorporated as a joint stock company in 1999 and has extensive experience in exploration, refining
and marketing of oil and natural gas in China and other countries.
Arrow’s domestic and international interests span gas field developments, pipeline assets, electricity
generation and proposed investment in LNG projects. Arrow currently operates, or is a major
participant in, a number of gas production facilities and supporting infrastructure as well as power
stations, within Australia. Arrow has interests in more than 50,000 km2 of petroleum tenures within
Queensland and New South Wales. A significant portion of these tenures are located within the Surat
and Bowen Basins, which are located close to Queensland’s three key markets: Townsville,
Gladstone, and Brisbane. The Moranbah Gas Project in the Bowen Basin and the Tipton West,
Daandine and Kogan North Projects in the Surat Basin near Dalby, are Arrow’s existing gas producing
projects.
Arrow supplies gas to the Daandine, Braemar 1 and 2, Townsville and Swanbank E power stations,
which participate in the National Electricity Market. With Arrow's full ownership of Braemar 2 and the
commercial arrangements in place for Daandine and Townsville power stations, Arrow has access to
supply 600 megawatts (MW) of power generation capacity.
Arrow and its equity partner for the Moranbah Gas Project, AGL Energy, have access rights to the
North Queensland Pipeline, which supplies gas to Townsville from the Moranbah Gas Project. They
also hold the pipeline licence for the proposed Central Queensland Pipeline between Moranbah and
Gladstone.
The Shell and PetroChina investment in Arrow means that it will be underpinned by significant gas
field development expertise, established LNG technology, production and supply experience, and
industry and market knowledge.

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Arrow Bowen Gas Project EIS

Section 1 Introduction

1.2.1 Current Operations in the Bowen Basin

Arrow’s existing petroleum operations in the Bowen Basin are located approximately 300 km south of
Townsville and 150 km south west of Mackay. The Moranbah Gas Project is one of the largest
operating CSG projects in Australia. Annual gas production is in the order of 17 petajoules (PJ). The
Moranbah Gas Processing Facility comprises inlet gas conditioning, four 2.6 MW reciprocating gas
engine compressor units, a triethylene glycol gas dehydration unit, and export gas metering and
monitoring. The facility is used to process gas for injection into the North Queensland Gas Pipeline,
which delivers gas to markets in Townsville including Queensland Nickel Industries, Copper Refineries
and the Townsville Power Station. The petroleum tenures that support the Moranbah Gas Project do
not form part of the Bowen Gas Project.

1.2.2 Environmental Record

Arrow is committed to continual improvement through their integrated health, safety and environmental
management system (HSEMS) (Refer to the Health and Safety chapter (Section 30) of this EIS).
Arrow Energy Holdings Pty Ltd and/or its subsidiaries have received two penalty infringement notices
(PINs) relating to non-compliances with Environmental Authority conditions issued under the
Environmental Protection Act 1994 (EP Act). The PINs are related to:
 Unauthorised clearing of a Category B Environmentally Sensitive Area; and
 Unauthorised release of CSG water to land.
Arrow is not aware of any other fines or prosecutions for breaches of environmental legislative
requirements in the past five years.
A copy of the Arrow Environmental Policy is provided in Figure 1-2.

1.2.3 Contact Details

Arrow’s registered office address in Australia is:
Level 19, AM60
42-60 Albert Street
Brisbane, Qld 4000
AUSTRALIA
All enquiries should be sent to:

Bowen Gas Project

Reply Paid 81
Hamilton, QLD 4007
Australia

Email: bowengas@arrowenergy.com.au

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BNE
This drawing is subject to COPYRIGHT.

Whilst every care is taken by URS to ensure the accuracy of the digital data, URS makes no representation or warranties about its accuracy, reliability, completeness, suitability for any particular purpose and disclaims all responsibility and liability (including without limitation, liability in negligence) for any expenses,
losses, damages (including indirect or consequential damage) and costs which may be incurred as a result of data being inaccurate in any way for any reason. Electronic files are provided for information only. The data in these files is not controlled or subject to automatic updates for users outside of URS.

BOWEN GAS PROJECT EIS ENVIRONMENTAL POLICY

INTRODUCTION Figure: 1-2

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Arrow Bowen Gas Project EIS

Section 1 Introduction

1.3 The Project

In April 2012, Arrow publically advertised the Project’s Initial Advice Statement (IAS). The IAS
identified the key components of the proposed Project to provide the authorities with sufficient
information about the Project and its potential environmental, social and economic impacts to
determine whether or not to accept Arrow’s application to prepare a voluntary EIS under the EP Act.

1.3.1 Location
The Project’s petroleum tenures currently cover an area of approximately 8,000 km2 within Arrow's
gas exploration acreage. These tenures are located approximately 150 km south-west of Mackay, with
the bulk of the area extending from Glenden in the north to Blackwater in the south (see Figure 1-1).
The Project area follows the Connors Range to the east and the Denham Range to the west and is
located within the Isaac River and Mackenzie River sub-catchments of the Fitzroy River catchment
and the Belyando Suttor sub-catchment of the Burdekin catchment.
A number of towns and built up areas fall within or adjacent to the Project area. These include the
towns of Moranbah, Glenden, Dysart, Middlemount and Blackwater. Project infrastructure, including
CSG wells, gas and water gathering systems and production facilities will be located throughout the
development area but not in any of the towns.
The Project area comprises Authorities to Prospect (ATPs) 1103, 1031, 1025, and a small portion of
759; and Authority to Prospect Applications (ATPAs) 742 and 749 (see Figure 1-1).

1.3.2 Scope
The EIS will assess the impacts from the construction, operational and decommissioning stages of the
Project, which includes the drilling of CSG wells and construction of associated infrastructure to treat
and transport the gas and associated water. For the first phase of development, supply is expected to
be approximately 520 terajoules per day (TJ/d) (inclusive of infield gas usage, which is approximately
10%). This is approximately equal to 35% of the total daily demand (plateau) flowrate required by the
Arrow LNG plant.
For Arrow to realise the potential of the Project as a viable commercial development, exploration has
been conducted across the Project area to identify and define the gas resource. Exploration is
governed under existing approvals (environmental authorities) and is therefore outside the scope of
this EIS. Exploration and appraisal pilots are ongoing and are at different stages of maturity across the
Project area.

Development of the Project will require significant infrastructure and facilities for the construction,
operations and decommissioning phases of the Project. Table 1-1 describes the facilities to be
constructed as part of the Project. Further details are provided in the Project Description chapter
(Section 4) of this EIS.

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Section 1 Introduction

Table 1-1 General Description of Proposed Facilities and Infrastructure

Key Component Description

Production wells  Up to 6,625 wells drilled throughout the life of the Project.
 Wells are typically drilled to between 150 to 800 m in depth.
Wellhead facilities  Separator vessel (if required), piping, valving and instrumentation.
 Electrical control panel at the wellhead to control the flow of the gas and
associated water from the well to the low pressure gathering systems.
Low pressure gas  Pipeline diameters between 63 mm and 630 mm.
and water gathering  High-density polyethylene pipelines.
systems
 Buried pipelines and associated infrastructure (low point drains and high point
vents) used to transport gas and water from the wellhead.
Field compression  Compression facilities where gas from an area of wells is compressed to increase
facilities (FCF) the pressure from low pressure (approximately 30 – 100 kilopascal gauge (kPag))
to medium pressure (approximately 1,000 – 2,000 kPag).
 FCFs may also include a water transfer station (WTS) (storage tank and pumps) to
facilitate transfer of water from the FCF to an integrated processing facility (IPF).
Medium pressure  Medium pressure buried pipelines constructed of lightweight plastic composite,
infield pipelines glass-fibre reinforced epoxy or lined steel used to deliver gas from FCFs to either
central gas processing facilities (CGPF) or IPFs.
Central gas  High pressure compression facilities where gas is dehydrated to sales specification
processing facilities and increased in pressure (approximately 10,200 – 15,000 kPag) to allow export to
(CGPF) the Arrow Bowen Pipeline via a pipeline lateral.
 CGPFs will also include a WTS to facilitate transfer of water from a CGPF to an
IPF.
Integrated processing  High pressure compression facilities where gas is dehydrated to sales specification
facilities (IPF) and increased in pressure (approximately 10,200 – 15,000 kPag) to allow export to
the Arrow Bowen Pipeline via a pipeline lateral.
 IPFs also include water treatment facilities (WTF) for the treatment of associated
water, storage of brine, and temporary storage of irrigation and associated waters.
Water treatment  Located at an IPF, WTFs include associated (feed) water dams, brine dams and
facilities (WTF) associated pumps and pipework.
Water transfer  Generally located at a FCF or a CGPF, these facilities include pumps and
stations (WTS) associated pipe work for the pumping of water to an IPF.
Supervisory control  Telemetry and control systems (hardware and software) for the remote operation
and data acquisition and monitoring of wells, pipelines and facilities from a central control room.
(SCADA)
Other infrastructure /  Including: power supply which may include local generation or powerlines, water
facilities monitoring bores, workshops, warehouses, offices, camps, depots, etc.

1.3.3 Project Phasing

The Project area will be split into a number of development areas allowing for progressive
development.
Initially the Project is expected to involve the development of several development regions, with
around 600 production wells being drilled in the first two years of ramp up.

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Section 1 Introduction

Arrow will stagger the development of subsequent resource areas to sustain the required production
rate, and increase it subject to the LNG plant demand. Production well installation, facility construction,
operation, decommissioning and rehabilitation will therefore occur concurrently at different locations
throughout the Project life.

The life of a production well will vary in accordance with the density of wells, the gas extraction rate
and the production performance of the well. Production performance is predominately dependent on
the physical characteristics of the coal. Modelling of well life is based on probabilities and averages.
Arrow’s current modelling suggests an average well life of 15 to 20 years. Once the wells cease
production, the wells and well sites are to be decommissioned and rehabilitated and new wells will be
established in new development areas.

1.3.4 Project Considerations

It is important to note that the nature of CSG development is such that at this stage, it is not possible
to establish the specific detail on the location of all infrastructure or its design and layout. This is due
to a number of factors including:
 The continuing identification of viable gas reserves through exploratory drilling and pilot well
programs;
 The economic and commercial risks that influence the extent and rate of field development.
These include proximity of new resources to existing infrastructure, market constraints, land
access, and long-term gas supply contracts with positive rates of return on capital invested.
 The extended timeframe over which field development will occur, including ongoing refinement of
the field development plan as new reservoir data from operating regions is collected and assessed;
 The application of new technology and innovations into the Project design and layout;
 The potential development of new techniques (including new standards and best practices) that
may emerge over the lifetime of the Project;
 The outcome of consultation with landowners to ensure Project activities are planned and
conducted with regard to existing land use activities; and
 The potential environmental and social impacts.
Conceptual designs have been developed as a reference case for the EIS with the purpose of
identifying, describing and assessing the likely impacts of the Project. The designs propose potential
development areas and sequencing stages rather than specific locations; and consequently,
uncertainty about the exact location of wells and associated infrastructure remains a limitation of this
EIS. The Project reference case as part of the conceptual design is discussed further in the Project
Description chapter (Section 4) of this EIS.
Although there is uncertainty about infrastructure site locations and timing, potential impacts have
been described based on the known typical construction and operational characteristics of each of the
separate Project activities and infrastructure types. Greater certainty about potential impacts has been
achieved by identifying areas that are not amenable to certain types of development and for other
areas where development may be acceptable, what management controls should be applied.

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Section 1 Introduction

This has been achieved through the identification of environmental constraints to development and the
establishment of management controls that apply to Project activities in constrained areas. Known as
the environmental framework, this approach is an internal planning process developed by Arrow for
optimising site locations for its various Project activities so that the environmental values of the Project
area are protected.
Constraints mapping, an integral part of the environmental framework approach, guides site and route
selection decisions based on the known level of environmental constraints in the area and the level of
impact posed by the Project activity. In this way Project planning will seek to avoid and minimise
impacts, thereby protecting environmental values. A detailed description of the environmental
framework approach is provided in the Environmental Framework chapter (Section 7) of this EIS.

1.4 Relationship to Arrow LNG Project

The relationship of the Project to the Arrow LNG Project is discussed below.

1.4.1 Arrow LNG Project

Following Shell’s acquisition of Arrow Energy Holdings, the Arrow and Shell Australia projects were
combined to form the Arrow LNG Project. Separate approval is being sought for each component of
the Arrow LNG Project, as described below:
 Arrow LNG Plant (formerly the Shell Australia LNG Project). This is the construction of an LNG
plant which will be located on Curtis Island, adjacent to Gladstone, on the Queensland east coast.
The current expectation is that the plant will consist of up to four LNG trains and associated
facilities and will produce approximately 16 million tonnes per annum (mtpa) of LNG, with a total
plant capacity of up to 18 mtpa. In the first phase of development it is anticipated that two
approximately 4 mtpa LNG trains, storage tanks, export jetty and amenities will be installed. The
Arrow LNG Plant Project also includes construction of a gas gathering station located on the
western side of Gladstone, and the associated delivery pipeline and subsea tunnel to deliver gas
for the gas gathering station to the Arrow LNG Plant on Curtis Island. The Arrow LNG Plant is
presently undergoing an EIS process in accordance with Part 4 of the State Development and
Public Works Organisation Act 1971 and is a controlled action under the Environment Protection
and Biodiversity Conservation Act 1999 (EPBC Act).
 Surat Gas Project. The proposed upstream field development is located approximately 160 km
west of Brisbane in Queensland's Surat Basin. The 8,600 km2 Project area extends from the
township of Wandoan in the north towards Goondiwindi in the south, in an arc through Dalby. The
Project is presently undergoing an EIS process in accordance with the EP Act. The project is a
controlled action under the EPBC Act.
 Arrow Surat Pipeline (formerly the Surat to Gladstone Pipeline Project). The proposed 470 km
(approximate), high-pressure gas transmission pipeline commences from the Kogan area of the
Surat Basin and terminates at Fisherman’s Landing at Gladstone. An EIS was completed on 15
January 2010 under the EP Act and a petroleum pipeline licence (PPL 144) was granted in
February 2010.

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Section 1 Introduction

 Arrow Bowen Pipeline. Construction of a proposed 475 km (approximate), high-pressure gas

transmission pipeline consisting of a main pipeline and several lateral pipelines to transport gas
from the Bowen Basin to the gas gathering station in Gladstone. The Arrow Bowen Pipeline project
is presently undergoing an EIS process under the EP Act.

The regional location of the different components of the overall Arrow LNG project described above,
including the Bowen Gas Project, are depicted in Figure 1-3.

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 148 150 152

MACKAY

SARINA

MORANBAH
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GLADSTONE
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!

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!
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!

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148 150 152

This drawing is subject to COPYRIGHT.

Bowen Gas Project Arrow Bowen Pipeline

Town

/
0 10 20 40 60 80 100 120 Tenements
km
Surat Gas Project Tenements Main Road Arrow Surat Pipeline
1:4,000,000
Projection: Geographic (GDA94) Arrow Curtis LNG Plant Arrow Surat Header Pipeline
Project Development Area
Source: This product may contain information that is © Mapinfo Australia Pty Ltd and PSMA Australia Ltd., © Copyright Commonwealth of Australia (Geoscience Australia) 2006 , © Copyright The State of Queensland (Department of Natural Resources and Water) 2008,
© The State of Queensland (Department of Mines and Energy) 2006-2008,© The State of Queensland (Department of Environment and Resource Management) 2010, Bing Maps © Microsoft Corporation and its data suppliers, Images from Client Feb 2012.
Whilst every care is taken by URS to ensure the accuracy of the digital data, URS makes no representation or warranties about its accuracy, reliability, completeness, suitability for any particular purpose and disclaims all responsibility and liability (including without limitation, liability in negligence) for any expenses,
losses, damages (including indirect or consequential damage) and costs which may be incurred as a result of data being inaccurate in any way for any reason. Electronic files are provided for information only. The data in these files is not controlled or subject to automatic updates for users outside of URS.

BOWEN GAS PROJECT EIS ARROW LNG

PROJECT

INTRODUCTION Figure: 1-3

File No: 42626960-g-1003.mxd Drawn: RG Approved: DS Date: 18-10-2012 Rev. B A4
Arrow Bowen Gas Project EIS

Section 1 Introduction

1.5 Environmental Impact Statement (EIS)

This section describes the objectives, process, methodology and structure of the EIS, and also
provides details on making submissions / comments on the content of the EIS as well as the timing of
the EIS process.

The EIS process allows for community consultation and ensures environmental protection by
comprehensive consideration of potential impacts and management strategies. The content of the EIS
addresses the environmental, social and economic aspects of the Project as identified in the ToR
(Appendix A) of this EIS.

1.5.1 Objective of the EIS

The objective of the EIS process is to ensure that all impacts, direct and indirect, particularly
environmental, social and economic are fully examined and addressed. The EIS aims to be a self-
contained and comprehensive document that provides for:
 Interested bodies and persons: a basis for understanding the Project, alternatives and preferred
solutions where possible, the existing environment that would be affected by the Project, the
potential impacts that may occur, and the measures to be taken to mitigate all adverse impacts;
 Regulatory agencies and the advisory bodies: a framework for assessing the impacts of the
Project, in view of legislative and policy provisions; and
 The Proponent (Arrow): a statement of measures or actions to be undertaken to mitigate any
adverse impacts during and following the implementation of the Project. An Environmental
Management Plan (EM Plan) is included in the EIS, describing potential impacts and environmental
management measures designed to meet agreed performance criteria.
The EIS relates to the whole life of the Project, including construction, operation, maintenance and
decommissioning. The EIS proposes reasonable, cost-effective and technically achievable conditions
to ensure that the potential environmental, social and economic impacts of the Project are reduced to
acceptable levels.

1.5.2 Steps of the EIS Process

The process for the EIS is governed by the EP Act and the steps can be generally defined as:
 Scoping and preparation of the EIS using the minimum expectations as outlined in the Project ToR;
 Submission and public exhibition of the EIS; and
 Assessment and approval.

Following any decision on the EIS, the Project will also need to obtain a range of planning and
environmental approvals and permits before construction can begin and the Project is approved for
operation. These approvals and permits will be in accordance with local, state and federal legislation.
A full outline of the project approvals is detailed in the Project Approvals chapter (Section 2) of this
EIS.

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Section 1 Introduction

1.5.3 Scoping and Preparation of the EIS

The EP Act requires a draft ToR to be developed as a first step in the EIS process. The ToR
establishes the potential impacts, environmental issues and requirements that need to be investigated
and addressed within the EIS. The process begins with the Chief Executive (EHP) preparing a draft
ToR based on the project-specific information provided in the IAS. The ToR is then released for public
comment.
On 2 July 2012, EHP published a notice in local and state newspapers advising the consultation
period during which interested persons could make written submissions on the Project draft ToR. The
consultation period extended from 2 July 2012 to 14 August 2012.
EHP received a total of 34 submissions consisting of 242 comments on the ToR from government
agencies, companies, landholders and private individuals. Arrow provided a written summary of all
comments and responses to comments made, to EHP.
Following consideration of the submissions, EHP, in consultation with the Department of
Sustainability, Environment, Water, Population and Communities (DSEWPaC), finalised the ToR. The
Project Final ToR was placed on the Department of Natural Resources and Mines (NRM) website for
public viewing and a notice was published in various newspapers.
Arrow commissioned a range of supporting studies to identify the environmental, social and economic
values that may be affected by Project activities and to address the final ToR. Supporting study
reports are contained in Appendices A to EE of this EIS. These studies are summarised in the
chapters of this EIS.

1.5.4 Method of the EIS

The EIS addresses all environmental, social and economic aspects of the proposed Project
throughout the Project life (including construction, operation and decommissioning). The methodology
of the EIS follows these key aspects:
 Project description;
 Baseline studies; and
 Impact assessment and environmental management.

1.5.4.1 Project Description

A detailed Project Description (Section 4 of this EIS) has been developed to provide sufficient
information to enable the reader to gain an understanding of the construction, operation and
decommissioning phases of the Project.

The Project Description is a reference case generated at the early stages of Concept Select phase of
the project to inform the EIS. Upon selection of the concept and as the Project moves into the detailed
design phase (front end engineering design (FEED)) some aspects of the Project will change. While
the nature of the field development is known, details of the specific locations of wells, gathering
systems and associated infrastructure require progressive determination.

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1.5.4.2 Baseline Studies

A major component for the preparation of the EIS was the collection of relevant baseline information
on the environmental and social values for the Project area. Some baseline data was available from
previous investigations and reports. A baseline assessment program was developed, which included
data gathering for the following environmental and social aspects:
 Climate;
 Air quality;
 Greenhouse gas (GHG);
 Contaminated land;
 Soils and land suitability;
 Geology;
 Groundwater;
 Surface water;
 Aquatic ecology;
 Terrestrial ecology;
 Landuse and tenure;
 Landscape and visual amenity;
 Roads and transport;
 Noise and vibration;
 Economics;
 Social and community;
 Cultural heritage;
 Hazard and risk;
 Waste management; and
 Decommissioning and rehabilitation.
Based on this baseline work, the existing environmental and social values of the Project area were
identified.

1.5.4.3 Impact Assessment and Environmental Management

The potential impacts of the Project on environmental values for each environmental aspect have
been assessed using one of three methods: significance assessment, risk assessment and
compliance assessment (for further details see the Impact Assessment Method chapter (Section 6) of
the EIS).
The methods detailed above ensure the EIS focuses on the most significant and important
environmental and social values and potential impacts relevant to the Project area. Under these
methods, the EIS study recommendations will be used to:
 Establish guidelines (including buffers, thresholds, trigger levels and appropriate environmental
controls) to inform site and route selection for infrastructure; and
 Prepare constraints to identify environmentally sensitive areas where development should not
occur or where it might occur under appropriate environmental controls that reflect the significance
of the affected value.

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Site selection and management procedures will identify the standard management requirements for all
project activities, as well as additional environmental protection required in areas identified as having
high environmental and social sensitivity. The methodology applied in this EIS is presented in more
detail in the Impact Assessment Method chapter (Section 6).

Mitigation and management measures have been identified in the EIS sections and have also been
summarised in the draft EM Plan (Appendix Z), and the summary table of commitments (Appendix D)
of this EIS. Each mitigation and management measure has been identified consistently throughout the
EIS with a unique identifier (e.g. [B001]) to facilitate cross referencing.

1.5.5 Structure of the EIS

The EIS has the following structure listed in Table 1-2 below.

Table 1-2 EIS Structure

Chapter Title Chapter Description

- Executive Summary Provides an outline of the proposed Project, its principal environmental
management strategies and commitments.
1 Introduction Provides a general description of the Project and information on Arrow. It
also summarises the objectives and methodology of the Project as well
as the EIS process.
2 Project Approvals Outlines the relevant legislation, approvals and policies applicable to the
Project.
3 Project Need Justifies the rationale for the Project, both in a domestic and international
context.
4 Project Description Provides a detailed description of the Project, including information on
Project components, design, construction and operation, schedule,
workforce and decommissioning.
5 Community Presents the community consultation and stakeholder engagement
Consultation carried out to identify community issues and concerns so Arrow can be
responsive in mitigating against issues, to proactively work with
stakeholders and to contribute a long-term relationship with the local
community.
6 Impact Assessment Describes the methods used by the EIS studies to undertake an
Method assessment of the potential impacts of construction, operation and
maintenance and decommissioning activities of the Project
7 Environmental Details Arrow’s environmental framework approach, and identifies and
Framework maps environmental constraints.
8 Climate Presents a summary of climate statistics local to the Project area, and
predicts future climate values under a number of GHG emission
scenarios. A climate change impact assessment for the Project is also
described.
9 Air Quality Outlines existing air quality values and assesses the Project’s potential
direct and indirect impacts on these values. Further, it describes impact
mitigation measures that may be implemented during construction and
operational phases.

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Chapter Title Chapter Description

10 Greenhouse Gas Estimates the GHG emissions resulting from exploration, construction,
Emissions operation and decommissioning of the Project; describes the potential
impact of these emissions and of climate change on the Project; and,
identifies methods to reduce or mitigate GHG emissions.
11 Contaminated Land Presents the desktop assessment carried out to determine if any previous
or current land uses have resulted in possible contamination issues.
Further, it describes Arrow’s approach to contaminated land within the
Project area.
12 Soil and Land Identifies the environmental values of soils and land suitability within the
Suitability Project area, provides an assessment of potential impacts, and outlines
mitigation measures where required. The section also provides a
description of topsoil resources, distribution, and suitability for
rehabilitation.
13 Geology Describes the geomorphologic features and site geology of the Project
area.
14 Groundwater Describes and characterises the groundwater resources and
hydrogeological environment of the Bowen Basin within, and adjacent to,
the Project leases. Groundwater quality and aquifer characteristics are
also evaluated to determine current uses and impacts and to establish
the environmental values of the groundwater resources within the Project
area. An assessment of potential impacts on groundwater resources and
impact mitigation measures are provided.
15 Surface Water Describes the surface water resources of the Project area and surrounds.
It includes descriptions of regional stream flows, existing draining
conditions, and existing water quality, among others. Impacts of the
Project on the surface water resources and water management measures
are identified.
16 Aquatic Ecology Describes the aquatic ecology of the Project area in terms of
environmental values and potential impacts and mitigation measures. The
status of aquatic ecological values are determined through searching of
relevant databases, review of other secondary data, and field surveys.
17 Terrestrial Ecology Identifies and describes the terrestrial ecology values within the Project
area, and potential impacts on these from the Project. The status of
terrestrial ecological values are determined through searching of relevant
databases, review of other secondary data, and field surveys. Potential
impact management and mitigation measures are also described.
18 Environmentally Describes the environmentally sensitive areas of the Project area
Sensitive Areas including any national parks, state forests and other registered national
estate properties, mapped essential habitat, significant vegetation
communities and wildlife corridors within the region of the Project.
19 Land Use and Provides a description of land use and tenure values within the Project
Tenure area, and assesses potential impacts on existing and planned future land
uses.
20 Landscape and Assesses the existing visual character of the Project area to determine
Visual Amenity the extent and nature of the Project’s potential visual impact on
surrounding areas. Further, it identifies measures and strategies to
mitigate any potential visual impacts.
21 Roads and Describes the existing traffic demands within and adjacent to the Project
Transport area, and outlines expected traffic impacts associated with each phase of
the Project. Impact management and mitigation measures are also
identified.

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Chapter Title Chapter Description

22 Noise and Vibration Identifies the environmental values of typical sensitive receptors,
investigates the Project’s potential impact on the existing acoustic
environment and recommends mitigation measures.
23 Economics Examines the likely impacts of the Project on the local and regional
economies, as well as impacts to the Queensland and Australian
economies as relevant. These potential impacts are quantified where
possible. Strategies have been provided to mitigate potential negative
economic impacts and maximise the potential economic benefits that
would potentially occur.
24 Social Assessment Presents a baseline study of the community’s existing social environment
developed by analysing demographic characteristics, social
infrastructure, social values and lifestyles. The predicted social impacts
the community, or changes that may occur to the existing social
environment, by introducing the proposed Project are presented.
25 Indigenous Cultural Presents a description of the process for identification and management
Heritage of indigenous cultural heritage associated with the Project.
26 Non-Indigenous Summarises non-Indigenous cultural heritage values within the Project
Cultural Heritage area and assesses potential impacts associated with the Project. Impact
mitigation and management measures are outlined, and cultural heritage
protection objectives presented.
27 Preliminary Hazard Analysis of hazards to identify any significant residual risks to human
and Risk health and safety
28 Waste Management Summarises the waste streams expected to be generated by the Project,
assesses environmental values that may potentially be impacted, and
outlines mitigation measures to achieve the stated environmental
protection objectives.
29 Decommissioning Details the Projects rehabilitation, decommissioning and closure
and Rehabilitation procedures and commitments are provided.
30 Health and Safety Assesses the health and safety issues associated with the Project’s
construction, operational and decommissioning phases. Mitigation
strategies are outlined where appropriate.
31 Cumulative Impacts Assesses the cumulative impacts that could be expected from the
construction of the Project and other projects identified within and
surrounding the Project area.
32 EM Plan (Summary) Outlines the objectives for protecting various environmental values, the
mitigation measures, how it will be audited and reported as well as
corrective action methods for the Project.
33 References Documents the references consulted by all studies of the EIS.
34 Glossary and Presents a glossary of technical terms, acronyms and abbreviations.
Abbreviations

1.5.6 EIS Schedule

Milestone and target dates for the Project are provided in Table 1-3. This program shows that the
environmental approvals process commenced in Q1 2012, with a decision on the EIS targeted for Q3
2013.

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Table 1-3 EIS Schedule

Milestone Target Milestone

IAS lodged with DERM (now EHP) 24 April 2012
EPBC Act Referral lodged with DSEWPaC 08 May 2012
EPBC Act Referral Decision 15 June 2012
Final Terms of Reference 2 November 2012
Draft EIS Submission to EHP Q4 2012
Public Notification and Submission Phase Q1 and Q2 2013
EIS Supplementary Report (if required) Q4 2013
Chief Executive of EHP’s Environmental Assessment Report Q4 2013
DSEWPaC EPBC Act Assessment Report Q4 2013

1.5.7 Document Submission and Public Exhibition

The draft EIS will be submitted to the Chief Executive of EHP, the Queensland Government
department that administers the EP Act. Following a compliance check against the final ToR, the EIS
will be placed on public exhibition for comment and referred to relevant State government agencies for
additional comments. A notice will be published in state and local newspapers to advise interested and
affected persons of the period in which the public can lodge formal submissions with the Chief
Executive of EHP. Public exhibition will be undertaken for a minimum of 30 business days.

1.5.8 Viewing the EIS

Viewing locations of the EIS are set out in Table 1-4 below.

Table 1-4 Viewing Locations for the EIS

Location Address
Isaac Regional Council
Middlemount Library Middlemount Shopping Mall, Middlemount, QLD 4746
Clermont Library Cnr. Karmoo and Herschel Streets, Clermont, QLD 4721
Dysart Library Council Premises, Shannon Crescent, Dysart, QLD 4745
Glenden Library Town Centre, Ewan Drive, Glenden, QLD 4743
Moranbah Library Grosvenor Complex, Batchelor Parade, Town Square,
Moranbah, QLD 4744
Nebo Library 10 Reynolds Street, Nebo, QLD 4742
Central Highlands Regional Council
Emerald Library 44 Borilla Street, Emerald, QLD 4720
Blackwater Library Wey Street, Blackwater, QLD 4717
Bluff Library 6 Church Street, Bluff, QLD 4702
Duaringa Library Elizabeth Street, Duaringa, QLD 4712
Whitsunday Regional Council

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Location Address
Bowen Customer Service Centre 7 Herbert Street, Bowen, QLD 4805
Collinsville Customer Service Centre Cnr. Stanley and Conway Streets, Collinsville, QLD 4804
Proserpine Customer Service Centre 3-85 Main Street, Proserpine, QLD 4800
EHP Regional Offices
Department of Environment and Heritage Floor 3, 400 George Street, Brisbane, QLD 4000
Protection (Brisbane)
Department of Environment and Heritage 99 Hospital Road, Emerald, QLD 4720
Protection (Emerald)
Department of Environment and Heritage 22-30 Wood Street, Mackay, QLD 4740
Protection (Mackay)

1.5.9 Obtaining Copies of the EIS

EIS documentation can be obtained:

 Via download from Arrow’s website at www.arrowenergy.com.au

 On DVD by contacting 1800 038 856 (free call) or emailing bowengas@arrowenergy.com.au
Hard copies can be ordered by phone or email at a small cost. Please see Arrow’s website for further
details.

1.5.10 Submissions
The public may make submissions on the EIS to the Chief Executive of EHP. The Chief Executive
must accept all properly made submissions and may accept submissions even if they are not properly
made. A properly made submission is one that:
 Is written and signed by or for each person (signatory) who made the submission;
 States the name and address for each signatory;
 Is made to the Chief Executive; and
 Is received on or before the last day of the submission period.
Please note that it is a statutory requirement that all submissions will be forwarded to the proponent
for consideration and provision of a response to EHP. Submissions should be addressed to:
The Chief Executive Department of Environment and Heritage Protection
Attention: The EIS Co-ordinator (Arrow Bowen Gas Project)
By Post GPO Box 2454, Level 8 400 George St, BRISBANE QLD 4001.

1.5.11 EIS Assessment Report

EHP will provide copies of relevant public and agency submissions to Arrow. Following the receipt of
submissions, Arrow will prepare a supplementary report that summarises and addresses the
submissions and responds to any additional matters identified by EHP.

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Following completion of the preparation of any supplementary information required, the Chief
Executive of the EHP will consider all public submissions as well as recommendations from advisory
agencies (listed below in Table 1-5) in preparing the EIS assessment report.
Subsequent to confirmation from EHP that the submissions and additional matters have been suitably
addressed; the Chief Executive (EHP) will prepare the assessment report, which will consider how
well the EIS has addressed the final ToR (and identifies any further information required). The report
may also make recommendations on the suitability of the Project and recommend conditions to be
applied to the Project should it proceed.
The report will be provided to DSEWPaC, who will approve, not approve, or approve the EIS with
conditions, under Part 9 of the EPBC Act.

Table 1-5 EIS Advisory Agencies

Jurisdiction Advisory Agency

Department of Communities, Child Safety and Disability
Department of Environment and Heritage Protection
Department of Natural Resources and Mines
Department of Energy and Water Supply
Department of National Parks, Recreation, Sport and Racing
Department of Science, Information Technology, Innovation and the Arts
Department of Community Safety
Department of Education, Training and Employment
Department of Housing and Public Works
Department of State Development, Infrastructure and Planning
State Department of Aboriginal and Torres Strait Islander and Multicultural Affairs
Department of Agriculture, Fisheries and Forestry
Department of Justice and Attorney-General
Department of Local Government and Planning
Department of Premier and Cabinet
Queensland Health
Queensland Police Service
Queensland Treasury and Trade
Department of Transport and Main Roads
Public Service Commission
Tourism, Major Events, Small Business and the Commonwealth Games
Isaac Regional Council
Central Highlands Regional Council
Whitsunday Regional Council
Regional / Local
Mackay Regional Council
Gladstone Regional Council
Rockhampton Regional Council

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Jurisdiction Advisory Agency

Federal Department of Sustainability, Environment, Water, Population and Communities

1.6 Public Consultation

Consultation with local regional councils, advisory agencies, members of the public, community
groups and other stakeholders will form an integral role to project approval as the Project progresses
and will continue during project construction and operations.
The community consultation phase of the EIS aims to ensure clear, transparent, two-way
communication between Arrow and any interested and potentially affected stakeholders. This will be
achieved by listening, recording and responding to any potential issues relating to the Project. Further
details are contained in the Community Consultation chapter (Section 5) of the EIS. Feedback already
obtained through public consultation has been taken into consideration in the impact assessment.
Sections of the EIS have utilised some of this collected information to define mitigation and monitoring
requirements for the Project.

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