ANNUAL REVIEW 2014/2015 We see things differently 2 2014/2015 Annual Review / CONTENTS

NATIONAL ACHIEVEMENTS 2 PEOPLE, SAFETY, ENVIRONMENT, 17 QUALITY, INDIGENOUS ENGAGEMENT Group 2 People 17 Western 2 Safety 18 Northern Territory 2 Environment 18 Northern 2 Quality 19 Southern Queensland 2 Indigenous engagement 19 New South Wales 3 YEAR IN REVIEW 20 Australian Capital Territory 3 BMD Constructions 20 Victoria 3 BMD Industrial 22 Tasmania 3 BMD Urban 22 South Australia 3 BMD Consulting 23 CAPABILITIES 4 JMac Constructions 24 CHAIRMAN’S REPORT 7 Urbex 25 THE BMD GROUP 8 BOARD 26 CORPORATE STRATEGY – OPERATIONS 9 GENERAL MANAGERS 27 CORPORATE STRATEGY – FINANCE 11 OFFICE LOCATIONS 28 PROJECT HIGHLIGHTS 12 12 Port of Melbourne – Roads and Services 14 Robinson Road Open Level Crossing Replacement 15

1 2014/2015 Annual Review / Contents NATIONAL ACHIEVEMENTS

GROUP NORTHERN QUEENSLAND SOUTHERN QUEENSLAND

The BMD Group expanded geographically Civil Contractors Federation (CCF) JMac Constructions worked consistently to become a truly national company with awarded the 2014 Earth Award to the throughout the year on Greater Springfield’s projects operating in every state and CairnsConnect Joint Venture, comprising Robelle Domain lagoon, the largest of its territory of Australia. of BMD Constructions and Albem kind in the Southern Hemisphere. Operations, for the design and construction BMD Urban’s annual revenue reached of the Bruce Highway Upgrade, Cairns. Completed APLNG’s Combabula Project record highs with the award of 114 This project also received the Engineers works recordable injury incident free as contracts, delivered by 550 staff. Australia Excellence Award for Category 7: well as engineering 20% in cost savings Project Infrastructure over $50 million. for APLNG. Secured position 14 in Brookfield Multiplex’s Top Construction 100 based Savings of $5 million were Contributing to JMac Constructions on contracts won for 2014/2015. highest turnover of $50 million, projects achieved on the Blakeys awarded included Karawatha Forest, BMD’s strategy of vertical integration Crossing Upgrade in Beenleigh Town Centre, Ripley Water Play, saw the highest levels of collaboration Commonwealth Games Parklands Project on projects across the Group’s five Townsville. The project and Roma Street Parklands. business units. was also delivered on time and Lost Time Injury free. Successfully completed and opened ’s WESTERN AUSTRALIA The Hay Point Expansion – Phase 3: Pre-reclamation, quarry and reclamation newest tunnel, the $1.5 Established BMD Constructions and BMD project was awarded the Time Saving billion Legacy Way. Urban presence in Western Australia with Initiative Award by Queensland Mining the opening of a Perth based office. Contractors. Built on BMD’s collaborative reputation to deliver the Robinson Road Open Level Appointment to key Western Australia Main Appointed to Aurizon’s $33 Crossing Replacement Project three Roads projects including Vasse Bypass. months ahead of schedule, as part of the million rail triplication, Geebung Overpass Alliance with partners Built on BMD’s existing capabilities in Aldoga Rail Project (WIRP and SMEC Australia. airport infrastructure with the successful Segment 2), completing delivery of the Busselton Airport’s apron BMD Constructions’ work on Brisbane expansion, facilitating further Fly In Fly Out the final segment of Airport Corporation’s New Parallel Runway (FIFO) operations in the region. the Wiggins Island Rail Phase 1 – Civil Works earned them the Engineers Australia (Queensland) Project (WIRP). Environmental Award. NORTHERN TERRITORY BMD Urban continued to secure repeat BMD Urban appointed to redevelop the JMac Constructions successfully work with Defence Housing Australia at former Gold Coast Parklands site into what collaborated with BMD Group companies to Bluewattle Estate, where more than will serve as the Athletes Village for the deliver landscaping works for multiple stages 150 lots were delivered. 2018 Commonwealth Games. of the Zuccoli Village, Tiger Brennan Drive and the City of Palmerston’s Goyder Square. 220 lots were delivered across a number of projects by BMD Urban for longstanding Appointed to our first Managing Contractor client, Stockland. role for the Tiger Brennan Drive upgrade which is a testament of BMD Constructions in house systems and commercial capability.

The Civil Contractors Federation Training Awards 2014 recognised the achievements of three BMD Urban staff taking out First Year Apprentice of the Year, Indigenous Trainee Award and Mature Age Achiever Award.

2 2014/2015 Annual Review / National achievements NEW SOUTH WALES AUSTRALIAN CAPITAL

Strengthened our reputation and capability TERRITORY in the New South Wales roads sector, Rolled out Construct Health’s ‘Switch on securing key new projects in ’s for Work’ safety initiative, working towards South West Growth Centre including the Zero Harm. $110 million Bringelly Road Upgrade – Stage 1 project. Completed more than 250,000 hours Lost Time Injury free in the ACT. Secured new works at Sydney Airport for Sydney Airport Corporation Limited Delivered multiple stages of the Lawson and continued to demonstrate our ability South Estate on behalf of the Land to safely deliver projects in high risk Development Agency, with the final stage operational environments whilst managing completed eleven weeks ahead of schedule. multiple interfaces and stakeholders. Teams from the ACT started works on Achieved more than Roads and Maritime Services’ Bridges for the Bush, $39 million Kapooka Bridge 250,000 man hours Lost replacement on the Olympic Highway near TASMANIA Time Injury (LTI) free at the Wagga Wagga. BMD Industrial commenced work on Camden Valley Way – Stage BMD’s first Tasmanian based project 3 project site. with the upgrade of eleven wastewater VICTORIA treatment plants on behalf of TasWater. Implemented the Southern Region Continued to expand our VicRoads Safety Improvement Plan (SIP) which portfolio, securing the $55 million Buangor has significantly contributed to reducing Bypass project and the $12 million High SOUTH AUSTRALIA incidents involving people and plant Street Road duplication. interaction. Appointed to construct the iconic $8.4 million Henley Square redevelopment in Zero environmental incidents while Focused our efforts on behavioural Adelaide. completing dredging activities at based safety leadership and increased Wyndham Harbour. the awareness of risk and change BMD Urban demonstrated our diverse management within our business. capabilities with the installation of an 18 Independently secured BMD’s largest metre tall granite Buddha statue at the Nan ever project, the $200 million container Welcomed more than 100 new staff into Hai Pu Tuo Temple in Sellicks Hill. terminal expansion for new client, Victorian the New South Wales BMD Constructions International Container Terminal (VICT) at and BMD Urban teams, successfully Following an Early Contractor Involvement the Port of Melbourne’s Webb Dock site. integrating them into ‘The BMD Way’. process, BMD Urban was appointed to the $4.5 million Kauri Parade, Seacliff Achieved more than 500,000 man Bringelly Road Upgrade – Stage 1 tennis court project on behalf of the City of hours Lost Time Injury (LTI) free at the repeatedly considered best practice Holdfast. Port of Melbourne Roads and Services example of erosion and sediment control package site. during site audits conducted by client, Roads and Maritime Services. JMac Constructions completed an $8 million landscaping project as part of the Port of Melbourne’s Road and Services package delivering soft landscaping, boardwalk, shared user path network, public fitness equipment and furniture including beach showers, seats and drinking fountains.

BMD Urban continues to be presented with additional stages at the Merrifield Project, now totalling almost 500 lots awarded. The Merrifield Project is to become Victoria’s largest fully master- planned mixed-use community.

3 2014/2015 Annual Review / National achievements CAPABILITIES

AIRPORT

BUILDING RAIL

DEFENCE INDUSTRIAL MAINTENANCE

OIL AND GAS

PORT AND MARINE

TUNNELLING

ROAD AND HIGHWAY

RESOURCES AND ENERGY

4 2014/2015 Annual Review / Capabilities URBAN DEVELOPMENT

WATER AND WASTEWATER

LAND DEVELOPMENT

REGIONAL AND REMOTE INFRASTRUCTURE

LANDSCAPING

BUILDING CONSTRUCTION

SPORTING AND RECREATIONAL

ENGINEERING DESIGN

5 2014/2015 Annual Review / Capabilities As we continue to grow and expand, our culture remains our point of difference.

6 2014/2015 Annual Review / CHAIRMAN’S REPORT

Our people continue to show their dedication to our shared Health, Safety, The achievements of the Environment and Quality goal of Zero BMD Group throughout Harm. We have once again reached new benchmarks in this space, proving that we this financial year have can continually improve and innovate to redefined our capabilities reduce, and ultimately remove, risk to our people, the community and environments in and established new which we operate.

benchmarks for our BMD’s approach to business is firmly operations. underpinned by a philosophy to ‘support the local communities in which we operate’ – a philosophy that we established in 1979, long This year has seen the successful before local industry participation initiatives completion of our largest project to date, the were formerly introduced into the industry. $1.5 billion Legacy Way tunnel in Brisbane, We are proud of the long-term, key supplier as well as our expansion into new regions relationships that have developed as a result and industry sectors. of this philosophy.

Applying our learnings over the past 36 Our ability to have a positive impact in years in business, these new ventures have the community is intrinsically tied with all been executed following careful planning our support for Aboriginal and Torres Strait and consideration. Our longevity in business Islander engagement. We continue to strive has allowed the BMD Group the courage to to provide tangible opportunities and this take calculated risks to sustain our growth, year the BMD Group has partnered with the and broaden our scope at a manageable Clontarf Foundation. The Foundation, and pace. With the full support of the BMD their school-based academies, advocate Board, our strategies have delivered to improve education, well-being and exceptional outcomes for our business and employment prospects for young our clients. Aboriginal men.

As we continue to grow and expand, our By striving to do better, the BMD Group culture remains our point of difference and this has continued to prosper, paving our way has once again seen us supported by our loyal to a sustainable future. client base. Few companies can boast having anything similar to our ‘20 Year Club’ with more than 64 employees having dedicated their careers to the BMD Group.

Mick Power AM Group Board Chairman and Managing Director

7 2014/2015 Annual Review / Chairman’s report THE BMD GROUP

BMD Constructions offers civil construction services for major infrastructure projects throughout Australia. Expertise, experience and resources are applied across the industry sectors of transport, water, rail, port, resources, and oil and gas. The company engages in projects ranging in value from $1 million to in excess of $1 billion as a principal contractor, managing contractor and in joint venture with other major contractor and design partners.

BMD Industrial, a division of BMD Constructions, is managed by a group of highly experienced industry executives who assemble professional project teams to deliver structural, mechanical, piping, electrical, fuel systems, water and wastewater solutions for a diverse range of clients and industries.

BMD Urban is a specialist civil and building contractor to the urban development industry. The company draws on over 36 years of experience from within the BMD Group and utilises robust management systems, delivery methodologies and a relationship based approach, specifically tailored to the needs of this industry. Integrated services can be offered in partnership with BMD Consulting, JMac Constructions and Urbex to achieve seamless and cost effective project delivery.

BMD Consulting provides civil, structural and geotechnical engineering design, project management services and Mechanical, Electrical and Civil (MEC) design via its strategic alliances. BMD Consulting’s experience includes residential, commercial and industrial developments, infrastructure and resource projects across metropolitan, regional and remote areas. Key services include planning and feasibility studies, trunk road corridor planning, water and sewer infrastructure network planning, flood studies, stormwater quality management, detailed design and documentation of infrastructure (roads, earthworks, stormwater, water and sewer), structural engineering and shoring and foundation design.

JMac Constructions specialises in landscape construction including residential, commercial, industrial, public infrastructure, environmental rehabilitation and long term care and maintenance. From streetscapes, boardwalks, public structures, stone entry statements, playgrounds and parklands, JMac Constructions has the ability to successfully construct and create unique landscapes of all shapes and forms.

Urbex is an innovator in residential and commercial development, undertaking wholly owned projects and joint ventures in developments of varying scale and size. Harnessing leading talent in project structuring, planning, management, delivery and marketing, Urbex delivers excellence in the creation of new communities to meet the lifestyle needs of Australians today and into the future.

8 2014/2015 Annual Review / The BMD Group CORPORATE STRATEGY OPERATIONS

The BMD Group has continued to demonstrate our business acumen through our foresight to expand our capabilities and geographical footprint as well as our resilience in spite of the downturn in key markets and regions.

This year saw BMD expand our offering to BMD Urban has once again excelled We have continued to apply our relationship Western Australia and Tasmania, making this year with record numbers of tenders based approach to our projects and clients. the BMD Group a truly national company. and projects delivered. The business Maintaining our culture and ‘The BMD Way’ Our entrance into Western Australia has significantly contributed to the BMD has been a key focus as we continue to has been well received by clients in our Group’s overall turnover of $1 billion. Since grow and expand, ensuring that each of traditional capabilities of roads, highways BMD Urban’s establishment in 2012, they our people understand what it means to do and land development. have worked on iconic projects throughout business with BMD. This comes through Australia and this year those include the investing in our new and existing workforce. BMD Industrial has continued to grow former Gold Coast Parklands site, the We have continued initiatives including and increase their market share delivering Boulevard project in Palmerston, Northern ‘new starter’ and graduate days for the mechanical, electrical and civil projects Territory and the Merrifield development record number of personnel we engaged for clients across Australia. With the in Victoria. this year. appointment of BMD Industrial to TasWater’s wastewater upgrade program, a site-based A major success of the past financial year To support our people in the delivery team was mobilised to Tasmania for our has been the successful, on time delivery of projects, BMD continues to invest in pioneer project in the state. of the Legacy Way tunnel in Brisbane, our systems and this year introduced Queensland. This project saw BMD a national Contractor Management In building the BMD Group, a major provide senior management coverage System to streamline the induction objective was to provide an integrated across all disciplines including BMD and procurement of service providers. service offering to our clients. This year systems used for the entire project, the Upgrades to the BMD Online Training has best demonstrated our vertical supply and maintenance of all information Program (BOLT) and Foreman’s App integration capabilities with multiple technology as well as management of throughout the year has ensured these BMD businesses collaborating to deliver all payroll for the Transcity Joint Venture. provide tangible and realistic training and projects such as Johnson Ridge and The project has been recognised by the assistance to our people. Zuccoli in the Northern Territory and industry with the award of numerous Capestone in south-east Queensland. accolades including the Infrastructure As we approach the coming year, BMD will continue to build upon our heightened These projects have seen each business Partnerships Australia Project of the Year, capabilities with existing and new excel at their core capabilities as Urbex the International Tunnelling Award and the clients across Australia with the primary delivered development management; BMD International Road Federation Global Road objectives of achieving Zero Harm, working Consulting undertook engineering design Achievement Award for Environment and collaboratively and increasing value for and project management; BMD Urban Community Mitigation. money by encouraging innovation and completed civil construction works and applying our learnings from 36 years in JMac Constructions provided landscaping business. and maintenance works.

Scott Power Group Executive Director - Operations

9 2014/2015 Annual Review / Corporate strategy – operations All business units have risen to their relevant challenges to deliver a solid result with a Group turnover exceeding $1 billion.

10 2014/2015 Annual Review / CORPORATE STRATEGY FINANCE

The BMD Group has been strengthened by confident growth in the southern region which has seen significant investments in infrastructure, as well as our planned geographical diversification as work commenced from our new Western Australian office. The success of our strategies has catered for the continued downturn in the resources sector impacting our northern region operations.

All business units have risen to their BMD Constructions has been impacted As BMD Industrial has been able to relevant challenges to deliver a solid result by the downturn in construction for the showcase their work to new clients, with a Group turnover exceeding $1 billion. resources sector during the year and the providing credible and tangible outcomes, increase in competition in all regions. The the business has grown their contribution This year BMD Urban has sought division also experienced delays between to the Group. opportunities for integration with other project award and the start of construction business units including Urbex, BMD across much of its business. This industry The BMD Group balance sheet remains Consulting and JMac Constructions. trend has cost implications for all parties, strong, based on the performance Record tender workload saw including detrimental impacts on margins, of all business units and the support appointments to projects that have which has impacted their financial of our financiers and bond providers. exceeded expectations. The current contribution to the Group. Our financiers continued to underpin strength of the property market is the growth of the Urbex development expected to continue into the new Despite this outcome, the strength of the business through continued financial financial year and BMD remains well market in New South Wales and Victoria support for all projects. positioned to benefit and leverage this. facilitated growth for BMD’s infrastructure operations in the southern region, which BMD’s corporate support units continue Defying the general industry trend, BMD in turn largely offset the effects of the to deliver upon their objectives, providing Consulting has delivered a solid outcome reduction in resources related works. strong back office support, while also for the Group and continues to expand continuing to challenge efficiencies to their service offering to both internal and Following our entry into the Western ensure economical solutions are found. external clients. Australian market in late 2014, these Automation of processes and the removal operations performed well throughout the of unnecessary activities continues to This year has seen Urbex continue its remainder of the year, making a positive be a focus across all corporate support expansion through land acquisition for financial contribution to the Group. We functions. future land developments in south-east remain confident that this expansion will Queensland, which has delivered strong reap significant benefits and build upon Looking forward, the forecast is for financial outcomes for the Group. Future the financial strength of the Group during another year of growth for the entire acquisitions are planned for development the upcoming financial year. Group with the economic outlook boding in the short to medium term. well for all market sectors in which the Group operates.

Craig Mortensen Group Executive Director - Chief Financial Officer

11 2014/2015 Annual Review / Corporate strategy – finance PROJECT HIGHLIGHTS

LEGACY WAY

In June 2015, BMD proudly opened HIGHLIGHTS: the $1.5 billion Legacy Way tunnel Strong safety performance with more to Brisbane motorists, easing than 9,000 employees, over 7 million man congestion between the Western hours worked and no major incidents on Freeway at and the Inner the project. City Bypass (ICB) at Kelvin Grove. High density urban setting – project Over four years in the making, with our involved major realignments and upgrades Transcity Joint Venture partners, Acciona of the Western Freeway and ICB. 90% and Ghella, this project took our people of work was completed behind barriers on a journey into the complexities of an offline, resulting in a seamless transition for internationally significant project. BMD motorists and limited night work. successfully adapted to the scale of technical problem solving and learnt from Minimised community impacts – working the rich experience of our Spanish and closely with the client, Brisbane City Italian partners. Council, Transcity implemented a community and stakeholder relations The result is a world-class, award winning strategy, achieving 100% of the costed KPI piece of infrastructure that has exceeded and $6 million in contractor bonuses. expectations and maintained high industry acclaim even amid the negative publicity Operation, maintenance and generated by previous Brisbane tunnel commissioning – large technically difficult projects. scope successfully commissioned, in line During the project tender, having seen with a prescriptive project deed and client Brisbane City Council’s vision for the requirements. project and Brisbane Botanic Gardens, our BMD team developed a plan to return Western Freeway Upgrade – additional the western worksite as an expansion of scope of work negotiated with the the gardens. Transcity constructed a 4.6 Department of Transport and Main Roads, hectare expansion with more than 31,000 with an expedited program to be delivered new plantings, new features, including an in line with tunnel opening. 18 mega-litre lagoon, forest and lagoon walks, picnic facilities, nature-themed Industry best practice in noise and vibration playground and an interactive kitchen modelling – vibration monitoring conducted garden. This was the largest upgrade of at more than 250 locations throughout the gardens since its opening in 1970. tunnelling activities, enabling tunnelling to occur under Queensland’s oldest and The successful delivery of the project can heritage listed Toowong . be attributed to our ability to deliver unique and innovative design and construction Collaboration with Brisbane City Council solutions for both surface and to change the project scope to include an underground activities as well as seamless underground conveyor tunnel to transport logistical operations required in the the one million cubic metres of excavated precast facility, underground excavation, spoil to the Mt Coot-tha Quarry. tunnel fit-out and commissioning.

With the project now open, the tunnel World record breaking excavation provides motorists with a four minute performance by two 12.4 metre diameter journey between the Western Freeway and double shield Tunnel Boring Machines. the ICB, and reduces traffic congestion on alternative routes.

12 2014/2015 Annual Review / Project highlights 13 2014/2015 Annual Review / PORT OF MELBOURNE – ROADS AND SERVICES

In partnership with BMD JMac Constructions regularly provided Constructions, JMac Constructions information to the Port of Melbourne’s Port Capacity Project Community Liaison completed the $8 million Group, ensuring the group was aware landscaping package as part of the of upcoming works in order to mitigate Port of Melbourne’s Webb Dock potential construction impacts. Port Capacity Project. The entire project team undertook safety The project was JMac Constructions’ training with certified external training largest landscaping contract to date in organisations and contributed to the Victoria, with invaluable constructability, joint JMac Constructions and BMD maintenance and durability input provided Constructions Lost Time Injury free during design development. achievement for the entire project.

To achieve the client’s brief of additional HIGHLIGHTS: screening, landscaping and improvements to parklands, JMac Constructions delivered The project was completed Lost Time a new boardwalk, shared user path Injury free. network, landscaping, fencing, public fitness equipment and furniture including beach Site based project team contributed to the showers, seats and drinking fountains. successful engagement of nearby residents during construction. Within the environmentally sensitive sand dune area at Perce White Reserve, All client stipulated program timeframes JMac Constructions established rigorous were achieved, allowing public access to environmental controls to manage the Perce White Reserve during summer. potential spread of weeds and erosion. The existing native vegetation was retained JMac Constructions’ design input saw and more than 150,000 new plantings innovations resulting in extensions to undertaken including new dunal species. design life, reduced maintenance and improved durability.

14 2014/2015 Annual Review / Project highlights “The ultimate success of the ROBINSON ROAD OPEN LEVEL CROSSING REPLACEMENT PROJECT project to deliver on time and to budget was a significant BMD Constructions successfully BMD Constructions is proud to have collaborated with Brisbane City delivered on all project objectives including challenge from the outset of improving safety, pedestrian and cycle Council and SMEC Australia to the project. The alliance model links, removal of the open level crossing, deliver the Robinson Road Open reducing traffic congestion and increasing was adopted to give the project Level Crossing Replacement Project rail efficiency. as the Geebung Overpass Alliance. the best chance to meet the HIGHLIGHTS: expectations of Council, and The alliance delivered on all client requirements, as well as completed the Excellent community and business the work performed by the project three months ahead of schedule stakeholder satisfaction evidenced by a GO Alliance has proven that and significantly under budget. BMD’s Key Performance Indicator result of 99.8%. most proud that these achievements were when the right people and reached while also delivering on all other Nil traffic accidents during construction organisations are involved, project objectives around safety, quality, and a Key Performance Indicator score for environment, community and traffic. traffic management of 99.1%. stretch targets and challenging timeframes can be met.” Project challenges included a constrained Practical completion achieved three work site incorporating the existing, months ahead of schedule. operational Geebung Train Station and Alan Evans, Executive Manager, open level crossing as well as a unique City Projects Office, Brisbane City Council Project delivered significantly under budget. mix of residential, industrial and retail stakeholders nearby. 12 months Lost Time Injury free working. The project was awarded the Public Relations Institute of Australia (Queensland) Golden Target Award for Community Relations, acknowledging the exceptional level of communication that was delivered to key stakeholders throughout construction.

15 2014/2015 Annual Review / Project highlights NATIONAL ACHIEVEMENTS

Our people continue to rise to the challenge of new project appointments across Australia.

16 2014/2015 Annual Review / PEOPLE, SAFETY, ENVIRONMENT, QUALITY, INDIGENOUS ENGAGEMENT

PEOPLE

BMD’s company motto of ‘our business is our people’ remains a key focus in the recruitment and retention of staff across Australia.

There has been significant growth in New South Wales and Victoria this year with more than 100 staff taking up new opportunities in the southern region. In addition to BMD’s standard induction process, these staff have been supported with a number of new starter days that provide an opportunity to build relationships with other new starters as well as senior management representatives.

We have been working to forecast resourcing requirements across Australia to ensure that we strategically approach our own people, as well as recruit new team members for these projects, ensuring appropriate lead times to properly instil the BMD culture.

Our people continue to rise to the challenge of new project appointments across Australia, trusting BMD to support their future development while building the business across every state and territory.

We are continuing to standardise our business operations across Australia, ensuring consistency and making transfer opportunities easier to embrace.

A record number of graduates were employed in 2015, all of whom attended BMD’s annual two day graduate initiative. This included team building activities at BMD Northcliffe Surf Life Saving Club where they competed against some of Australia’s best Ironmen and women.

We also proudly continued our annual staff recognition program, the Dare Awards, again this year. The awards, named after Mick Power’s father, Dare, showcased BMD’s unique culture and the loyalty and dedication of our people who strive for ongoing success.

17 2014/2015 Annual Review / People, safety, environment, quality, indigenous engagement SAFETY ENVIRONMENT

Zero Harm – A BMD HSEQ Initiative The BMD Group has continued to work towards our goal of The safety of our people, Zero Harm for environmental environments and communities management. Encouragingly, are our highest priority and BMD is the continued development of committed to improving our HSEQ our systems and people has culture, and striving to achieve the seen a 75% reduction in the goal of Zero Harm. Class 2 Environmental Incident Frequency Rate from 2.0 to 0.5. BMD continues to invest in our people We have also continued our and our systems with new initiatives aimed excellent track record of no at improving our safety performance and Continuing our commitment to investing regulatory prosecutions for Class 1 strengthening our service offering. in preventative strategies for health and safety, we have expanded our environmental incidents. This year BMD has launched Safety engagement of Construct Health and their Improvement Plans (SIP) for BMD ‘Switch on for Work’ readiness program. Understanding the importance of Constructions (northern and southern Construct Health ensures that our teams compliance, proactive key performance regions) and BMD Urban, detailing explicit are physically warmed-up to perform site indicators were set around environmental areas and activities to focus our efforts based, manual handling duties as well as inspections and communications, of which towards. Areas that sought improvement carrying out ergonomic assessments of 100% were achieved. included safety leadership, people and plant and equipment. Coupled with the significant growth in plant interaction, fitness for work and the Group’s southern region operations, improving inductions. This year BMD engaged Joanne Crottee to carry out a nationwide tour of our sites, there was an increase in environmental One of the biggest highlights of the year promoting the importance of sun safety resources engaged. This has resulted was the exemplary safety results that the through her ‘Danger Sun Overhead’ in industry best practice environmental SIPs delivered, including a record low Total presentations. BMD has also coordinated management being implemented across Recordable Injury Frequency Rate (TRIFR) free skin checks at a number of sites. our projects, including Webb Dock Roads of 5.0 for BMD Constructions northern and Services, Victoria, as well as Kapooka region while delivering key projects such The rates of suicide in the construction Bridge and the Bringelly Road Upgrade – as Legacy Way. industry remain devastatingly high and Stage 1 in New South Wales. BMD has continued our collaboration with Safety achievements Mates In Construction to provide support The geographical expansion of the and education to our people. Mates In Group has seen us meet the challenges Worked more than 6 Construction now operate in all BMD of undertaking projects in new Urban sites in southern Queensland with environmentally and climatically diverse million man hours across BMD encouraging interested individuals to areas such as the Vasse Highway in all projects, states and complete ‘Connector’ training – providing Western Australia, Tiger Brennan Drive in territories. a peer support system on sites. the Northern Territory and south-eastern Tasmania on behalf of Taswater. To assist with the treatment and 29% reduction in BMD management of workplace injuries, BMD, As we are now operating in every state in conjunction with our national medical and territory of Australia, we have proven Group’s Total Recordable provider JobFit, introduced the ‘JobFit our ability to adapt and continually Injury Frequency Rate Injury Assist Hotline’. This hotline provides improve our standards of environmental medical advice to project personnel for management, while meeting the (TRIFR). the immediate management of workplace requirements of each regulatory region injuries. It also provides a triage booking and a range of clients. system for medical treatment. This service has been well received by the project teams as processes are streamlined to increase efficiencies.

18 2014/2015 Annual Review / People, safety, environment, quality, indigenous engagement QUALITY INDIGENOUS ENGAGEMENT

Ensuring that BMD’s systems and BMD continues to focus on processes meet and surpasses the increasing our commitment to needs of our people, as well as our Indigenous Engagement across the clients and stakeholders, remains Group. With extensive experience a key focus for the Group. Ease of working in regional and remote use, consistency and accuracy areas and within Aboriginal have played a key role throughout and Torres Strait Islander (ATSI) the year in the development of communities, our policies, plans, new systems. initiatives and training programs support our commitment to In order to effectively grow our business, provide equal opportunities. An Indigenous Engagement and Training we are taking our contractors along Initiative was launched at our Gold with us with the rollout of the Contractor BMD has formed a working group to begin Coast Parklands project in late 2014 Management System (CMS). This allows formally establishing our commitment to that saw us partner with Boystown to the BMD Group to retain contractor’s reconciliation through a Reconciliation Action provide meaningful employment to those qualifications, training and other vital Plan (RAP). Our RAP will document what interested in the construction industry. information and share it across our five we will do within our sphere of influence This initiative has resulted in three full-time, companies. This has improved safety to contribute to reconciliation in Australia. permanent employees being engaged and environmental compliance though It will outline practical actions we can take on the project with further training awareness and consistency along to build strong relationships and enhanced opportunities, including Certificate III in with reducing repetition and increasing respect between ATSI peoples and other Civil Construction, being explored. efficiency in engagement. Australians, and it will set out BMD’s BMD is continuing its support of the The ‘Foremen App’ is now being utilised aspirational plans to drive greater equality Former Origin Greats (FOG) in their across the country, allowing field staff to by pursuing sustainable opportunities. commitment to inspiring and developing electronically enter dockets and track The Group will consider the issues that the next generation of ATSI leaders. training in one location. affect reconciliation and what can be FOG’s work towards ‘closing the gap’ done by BMD as an organisation to in education and employment remains make a positive contribution through closely aligned with BMD’s own goals for building relationships, gaining greater creating a more inclusive society. understanding of ATSI culture and We have also opened dialogue with contributions and opportunities to increase the Quandamooka people, traditional ATSI participation in our workforce. owners of the Bayside and Bay Islands in In early 2015, the BMD Group formalised south-east Queensland, with the strategic We have now expanded our BMD Online a partnership with the Clontarf Foundation intent to positively contribute to the Training (BOLT) covering the key topic that will assist the foundation in their creation of employment and development of quality and commercial awareness. school-based academies while also opportunities for local ATSI people and In the upcoming financial year we are providing mentorship opportunities, businesses, in our local area. programmed to release our self-orientation demonstrating vocational opportunities program for new starters to produce a within BMD and the broader construction more seamless on boarding process along industry. Several visits have been with compliance training around our key conducted across Australia where BMD procedures for all staff to increase their staff have attended academies and knowledge base. spoken with students.

19 2014/2015 Annual Review / People, safety, environment, quality, indigenous engagement YEAR IN REVIEW

The fruits of our labour in terms of BMD Constructions’ Northern BMD CONSTRUCTIONS Region Safety Improvement Plan has meant that at the end of the 2014/2015 financial year, we reached a record low This year has provided many challenges and Total Recordable Injury Frequency Rate (TRIFR) of 5.0. This opportunities for BMD Constructions across Australia. consistently excellent performance is across all projects, from The future proofing of the business in previous minor rail shutdown works for Aurizon in North Queensland to the completion of the $1.5 billion Legacy Way tunnel in Brisbane. years has allowed BMD to apply our geographical diversification strategy with great success. We have BMD Constructions’ appointment to our first Managing been well positioned in the southern region and new Contractor role for the Tiger Brennan Drive Upgrade in Darwin markets in Western Australia to provide new service has demonstrated the strength of our systems and commercial offerings while maintaining our reputation for safety capabilities of our business. The project team has worked collaboratively with our client and local contractors to motivate performance, quality and collaborative contracting. and enable them to take part in the project and has in turn expanded Darwin’s skills base. In the southern region, we have continued to diversify our capabilities, now applying our broad experience in project delivery, HIGHLIGHTS: effective stakeholder management and continuing to take a collaborative approach with clients into more complex operational Engineered more than 20% of cost savings on the earthworks environments. This has been most successful in our works at the scope on behalf of APLNG’s Combabula Gas Compression Facility. Port of Melbourne where BMD has been delivering the Roads and Services package, as well as the Victorian International Container Terminal (VICT) Webb Dock expansion. BMD Constructions appointed to the

In New South Wales we have maintained our drive to establish $200 million expansion of the Webb our position as contractor of choice in the burgeoning roads Dock container terminal at the Port market. With unprecedented investment in New South Wales of Melbourne. roads, BMD has worked across major projects including our largest New South Wales road project to date, the Bringelly Road All dredging activities at Wyndham Harbour were completed Upgrade – Stage 1. without environmental incident. At the outset of this financial year, it was apparent that the Queensland market would face significant downturn in Achieved a record low TRIFR of 5.0 in BMD’s northern region. expenditure. To ensure that our business remained competitive and resilient, we focussed on driving down our operating cost base and offered a wider scope of service to our trusted clients. The Legacy Way tunnel project was In particular this meant applying our expertise in project scope completed on time and opened to the and design management to our resource based clients. public in June. The less favourable market conditions in Queensland provided us with an opportune time to broaden our geographical footprint Delivered the Robinson Road Open Level Crossing Replacement by investing in a new regional business in Western Australia. At Project in Brisbane three months early, defect free and with more the outset of this endeavour, a more regional and sustainable than 90% of all Key Performance Indicators achieved. approach was adopted, ensuring our internal capabilities would be able to deliver for our new clients.

Our expansion into Western Australia has been welcomed by our new clients with four projects won in as many months including the Main Roads Western Australia Vasse Bypass Project and Busselton Airport apron works.

20 2014/2015 Annual Review / Year in review 21 2014/2015 Annual Review / BMD INDUSTRIAL BMD URBAN

BMD Industrial has continued to Consistent and sustainable growth for the coming year with a relentless drive adapt to the needs of the market, has always been one of our to safeguard the wellbeing of our people and the environments in which we work. expanding capabilities and underlying objectives and we have focusing on building experience surpassed our expectations this Our expansion into Western Australia in in fuel systems and wastewater. financial year with great support late 2014 confirms our capacity to provide from new and existing clients. cost effective locally based services to While the past financial year has seen local, regional and national clients in the resource sector slow down, BMD Throughout the year our growth has been every mainland state and territory. The Industrial has completed a record supported by strong relationships and our business has put considerable efforts into number of tender submissions seeing determination to consistently implement acclimating ourselves into the Western a geographical spread of projects and refine our business processes. This Australian marketplace with emphasis on undertaken. commitment has yielded significant geographical diversification and utilising benefits for our business and our partners our experience resourcing and delivering BMD Industrial entered the Tasmanian over the last twelve months. remote projects. market with the upgrade of eleven wastewater treatment plants. This design BMD Urban’s revenue reached a new The delivery of high quality service to our and construct project has exemplified record high with the award of 114 clients regardless of the location of their BMD’s ability to enter new markets, contracts delivered by 550 staff across project or its scope or scale is the primary effectively resourcing national projects Australia. The construction of 3580 means through which we will achieve and utilising our strong systems and residential allotments over the last twelve our consistent and sustainable growth processes. months confirms the importance of objective. We have had great success our relationships with our development with the selective movement of our people Fuel systems continues to be a focus as industry clients and our place as a across geographical boundaries as the we have completed projects in Sydney, major contributor to the growth and need and opportunity arises. We have Darwin and Canberra on brownfield fuel development of the Australian community. facilitated the sharing of knowledge and expansion and upgrades. better ways of doing things as well as In order to achieve our business Piping projects in the past twelve months the promotion of teamwork and ongoing objectives, we must ensure the safety, have included remote projects such as development of our staff. We have health and wellbeing of our people. This the Bingegang Pipeline Realignment continued to strive to position BMD Urban focus has always underpinned our goal in Middlemount, Queensland as well as a great place to work and a great of Zero Harm and BMD Urban is making as urban projects including Melbourne company to work with and these efforts steady progress in this area, achieving a Underground Rail Loop (MURL) Station have been returned with strong levels of 30% decrease in our twelve month rolling and Tunnel Fire Hydrant System Upgrade. staff retention and repeat business from average Total Recordable Injury Frequency our clients throughout the year. BMD Industrial remains well positioned Rate (TRIFR), nil class one environmental to service clients throughout Australia, incidents and six of our regions finished “Your five selected initiatives in strengthened by the support of, and the year Lost Time Injury free. the plan are great to see. These are opportunity to, collaborate with other BMD These achievements serve to put the a clear example of commitment Group business units. spotlight on the work that remains by a national contractor to if our ultimate goal is to be realised proactively improve safety and sustained. Our national Safety culture and practices,” Peter Improvement Plan (SIP) brought a sharp Squires, National Project Manager, focus to those areas where we need to Stockland Residential improve. We will adopt a similar approach

22 2014/2015 Annual Review / Year in review BMD CONSULTING

Our master planning team has applied their expertise to significant trunk road corridor planning projects within the growth corridor south of the Logan Motorway for Logan City Council, as well as further sewer planning peer review projects in the same areas.

While the resources sector has suffered a significant downturn this year, we have maintained our presence completing Ergon’s regional depot upgrades at Biloela, Monto, Mundubbera, Dalby, Kingaroy and Cunnamulla in Queensland.

This year we were excited to work on the remote Aboriginal and Torres Strait Islander community housing project in The success of our vertical During the past year, we have successfully Kowanyama on Cape York, working with integration strategy, partnering delivered design and construct projects various departments of the Queensland with BMD Group companies on for the private sector as well as local Government and the local community via numerous projects across land and federal government. This year saw the Kowanyama Aboriginal Shire Council. our largest design and construct project development, resources and This project will see the delivery of 25 new between BMD Consulting and BMD Urban land parcels for the community. road infrastructure, offset the with the successful completion of the turbulent start to the year as our design for the $12 million Chambers Flats A particular focus of the year has external clients determined their Road duplication and signalisation project been maintaining our core skills while requirements. in Queensland for Logan City Council. diversifying our service offering to clients. Also in partnership with BMD Urban, we Our efforts have seen us source a group Building on the previous years, the worked closely with Defence Housing of trusted design partners, who are able diversification of our sector capabilities Australia (DHA), to successfully establish to complement our suite of expertise, saw BMD Consulting deliver projects for their requirements and deliver the design and work collaboratively with us to deliver private investors, institutional investors and package for 80 lots at RAAF Base Darwin. client’s needs from a central source. all levels of government. Through this process our clients have Land development, the origins of our maintained confidence in our standards BMD’s design and construct capability, business, remained a steady source of and ability to deliver as we have sourced and capacity to respond quickly to client’s projects as we carried out engineering the best people for project teams. needs, has gained more interest over the design for external clients including Zuccoli past year. BMD continues to demonstrate in Darwin for the Land Development We look forward to building these alliances our ability and willingness to tailor a model Corporation and Urbex, and Teviot Downs and continuing to expand our diversified to meet corporate or project risk appetite. in Brisbane for the Lateral Property Group. service offering to our current and Our differentiated service offering for We also collaborated with BMD Urban for prospective clients in the coming year. design and construct projects includes their clients, providing integrated planning, intently understanding client needs, design and construction. transparent approach to managing risk and sharing our lessons learnt through options analysis of how we can best deliver requirements.

23 2014/2015 Annual Review / Year in review JMAC CONSTRUCTIONS

Despite difficult market conditions, JMac Constructions achieved our highest turnover this year through partnering with existing clients, extending service offerings into maintenance and successfully collaborating with BMD Group companies.

While achieving our highest turnover to date is a phenomenal achievement, we are most proud of achieving this while maintaining nil Lost Time Injuries (LTI) throughout the year. We have implemented new safety initiatives in order to achieve our LTI milestone including adopting a more rigorous Personal Throughout the year we have worked We continue to work with our longstanding Protective Equipment (PPE) policy. to complete Robelle Domain, an open clients in north Queensland including space, public parkland servicing Greater James Cook University, Townsville Hospital, This year has afforded JMac Constructions Springfield. This included the construction Mackay City Council and Stockland at their the opportunity to demonstrate our strong of a 3,660m2 lagoon, the largest of its kind North Shore Development. capabilities and diverse expertise on iconic in the southern hemisphere. Further to projects throughout Australia. the lagoon, the project included 3,500m2 The quality and attention to detail of our work in the Northern Territory continues In Victoria we successfully completed $8 of turf and gardens with 11,000 plants, a kiosk and facilities block. to deliver repeat work with existing clients million worth of work as part of the Port of across both residential developers and Melbourne’s Roads and Services project. In early 2015, Brisbane City Council local government. Throughout the year we The project included the delivery of appointed JMac Constructions to deliver have continued work on multiples stages landscaping improvements to parklands, the Karawatha Forest Discovery Centre. of Urbex’s Zuccoli Village. a new boardwalk, shared user path The purpose built centre will include network, public fitness equipment and meeting and theatre rooms, indoor and Following the successful delivery of furniture including beach showers, seats outdoor shelters, learning spaces inspired The Boulevard – Stage 1 for the City and drinking fountains. by nature as well as pathways and a of Palmerston in early 2015, we were carpark expansion. awarded the $5.4 million contract for Also in Melbourne, we completed the Goyder Square – Stage 2. What will be the Melbourne Zoo’s Predator Precinct. Working with BMD Urban, we started city centre’s ‘green heart’ includes water This was a highly specialised project site works for the Commonwealth features, shade structures, performance and is now the third enclosure JMac Games Athletes Village at the Gold Coast spaces and a large outdoor video screen. Constructions has completed for the Parklands in June. This collaboration will Melbourne Zoo. see us deliver seven hectares of open parkland, combined with the athlete’s village hub.

24 2014/2015 Annual Review / Year in review URBEX

Our business objectives, focussing on Urbex proudly opened the Northern owner-occupier buyers over the past Territory’s first all-inclusive, disability and 18 to 24 months, with the presentation able-bodied, park this year as part of the of our communities and purchaser Zuccoli Village community in Palmerston. endorsement by way of relocating from Built within a 1.5 hectare park, the facilities neighbouring communities, has resulted were well received by the community. in profitable outcomes. An eight home display village was also opened with a further two architecturally A key focus of our growth has been designed, sustainable homes being partnering with our preferred display constructed by the National Housing builders nationally. These strategic Affordability Taskforce. The village’s alignments have allowed all parties to retail centre site was acquired by Morris achieve growth and profitability through Property Trust with construction set to our shared values of commitment, commence in the new financial year. accountability and trust. As with all our residential communities the The display builders have presented point of sale experience offered by the their homes exceptionally well, and by Urbex delivery team remains the key to Maturing market conditions ensuring that home displays reflect market continued sales performance. We believe in Urbex’s operational regions requirements, Urbex has achieved strong our ability to understand client’s affordability has generated a solid platform sales in our communities. thresholds and housing requirements of projects. Strong, sustained In Brisbane’s north, Capestone at Mango place us in a unique position to continue to interest from residential investors Hill has seen Urbex complete four residential expand the Urbex experience. has driven record price growth, land releases and opened a 22 home Further exciting new communities are lowered residential return display village. The Mango Hill location currently underway, ready for release in expectations and confirmed that is also Australia’s only Transit-Orientated the new financial year including Minnippi at residential properties are the Development with the train station Cannon Hill in Brisbane and Turtle Sands preferred investment sector. positioned in the centre of the community. at East Point in Mackay. This affords all 8,000 residents access to the train station and retail centre within a ten minute walk.

Our $10.5 million community clubhouse and sports facility opened in June 2015 at Mandalay in Beveridge, Victoria. The first class recreational hub features a gymnasium, pool and tennis courts supplemented with a community bistro, restaurant and function facilities. The community’s Peter Thompson designed 18 hole golf course has been ranked in Australia’s top courses.

25 2014/2015 Annual Review / Year in review 1 2 3

4 5 6

BOARD

1. Mick Power AM, Group Board Chairman and Managing Director

2. Scott Power, Group Executive Director – Operations

3. Andy Marcos, Group Executive Director – Administration and Human Resources

4. Craig Mortensen, Group Executive Director – Chief Financial Officer

5. Paul Fogarty, Group Executive Director – Construction

6. David Young – Non-Executive Director

26 2014/2015 Annual Review / Board 1 2 3

4 5 6

GENERAL

MANAGERS 7 8

1. Peter Anusas, General Manager (Northern Region) – Constructions

2. Jeff Gallus, General Manager (Southern Region) – Constructions

3. Colin Mitchell, National General Manager – Strategy

4. David Moody, National General Manager – Urban

5. Matthew Beggs, General Manager – Consulting

6. Jason Lindsay, National General Manager – JMac Constructions

7. Wayne Rex, General Manager – Urbex

8. Paul Elliot, General Manager – Industrial

27 2014/2015 Annual Review / General managers NATIONAL ACHIEVEMENTS OFFICE LOCATIONS

Darwin

The BMD Group has more Cairns than 1,700 employees working Townsville throughout Australia Mackay

Emerald Gladstone

Chinchilla Toowoomba Brisbane Gold Coast

Perth

Adelaide Sydney Canberra

Geelong Melbourne

28 2014/2015 Annual Review / Office locations SOUTH EAST QUEENSLAND NORTH QUEENSLAND NEW SOUTH WALES

BRISBANE CORPORATE OFFICE CAIRNS SYDNEY 25 Cambridge Parade 2/110 Aumuller Street Level 3, 3 The Crescent Manly QLD 4179 Bungalow QLD 4870 Wentworth Point NSW 2127 T 07 3893 7000 T 07 4035 1544 T 02 9475 6900 E [email protected] E [email protected] E [email protected]

BMD CONSTRUCTIONS TOWNSVILLE 363 Montague Road Level 1, 57 Mitchell Street AUSTRALIAN CAPITAL TERRITORY West End QLD 4101 North Ward QLD 4810 T 07 3033 9400 T 07 4750 7000 CANBERRA E [email protected] E [email protected] Unit 7, 189 Flemington Road Mitchell ACT 2911 BMD URBAN MACKAY T 02 6123 8500 25 Cambridge Parade Level 1, 174 Victoria Street E [email protected] Manly QLD 4179 Mackay QLD 4740 T 07 3893 7000 T 07 4842 6900 E [email protected] E [email protected] SOUTH AUSTRALIA

BMD CONSULTING ADELAIDE 25 Cambridge Parade CENTRAL QUEENSLAND 45 Greenhill Road Manly QLD 4179 Wayville SA 5034 T 07 3893 7000 GLADSTONE T 08 8110 5111 E [email protected] 119 Toolooa Street E [email protected] South Gladstone QLD 4680 JMAC CONSTRUCTIONS T 07 4972 7391 2/53 Metroplex Avenue E [email protected] VICTORIA Murarrie QLD 4172 T 07 3902 9100 EMERALD MELBOURNE E [email protected] Level 1, 74 Egerton Street 24-30 Camberwell Road Emerald QLD 4720 Hawthorn East VIC 3123 URBEX T 07 4986 7888 T 03 9811 3444 25 Cambridge Parade E [email protected] E [email protected] Manly QLD 4179 T 07 3893 7000 CHINCHILLA GEELONG E [email protected] 41-43 B Emmerson Street Level 1, 65 Gheringhap Street Chinchilla QLD 4413 Geelong VIC 3220 GOLD COAST T 07 4672 7777 T 03 5224 6666 46 Price Street E [email protected] E [email protected] Nerang QLD 4211 T 07 5596 2400 E [email protected] NORTHERN TERRITORY WESTERN AUSTRALIA

TOOWOOMBA DARWIN PERTH 3/566 Ruthven Street 39 Georgina Crescent 44 Belmont Avenue Toowoomba QLD 4350 Yarrawonga NT 0830 Rivervale, WA, 6103 T 07 4632 4698 T 08 8930 4455 T 0438 783 756 E [email protected] E [email protected] E [email protected] NATIONAL ACHIEVEMENTS

BMD is a national group of companies engaged in engineering design, construction and land development for clients and partners in the urban development, transport and infrastructure, resources and energy sectors.

With approximately 1,700 staff throughout Australia, BMD has the resources and experience to deliver projects ranging in size from $1 million to over $1 billion. www.bmd.com.au

2014/2015 Annual Review /