Chairperson: Bob Ramsay Tumby Bay District Community 18 Liverpool St PORT LINCOLN SA 5606 Ph: 86826588 Consultative Group Minutes Mob: 0419826461 Email: [email protected] Minutes of the meeting held 23 July 2013, 7.40pm TBAS YR 12 Room Present: Ann Baillie, Don Baillie, Mark Dennis, Anya Hart, Ian McLean, , Damian Modra, Bob Ramsay, Mark Rawles, Alan Richardson, Sally Richardson, Rod Sutherland, Helen Ware Apologies: Peter Treloar, KymMason, Mark Pfitzner, Kingsley MacDonald, Anne Hall 1. Welcome 2. Minutes Moved IM/AB That the minutes be accepted. Carried 3. BAOOM Finalised Terms of Reference to be sent to members. 4. Meeting Protocol • Mobile phones to be turned to silent or be switched off • Courtesy to allow people to speak • Forum for discussion & exchange of info • Independent Chair as facilitator 5. Election of Officers Secretary: Sally Richardson volunteered and was elected. Treasurer: Ian McLean volunteered and was elected. Deputy Chair and/or 2 other members of the Executive: Rod Sutherland and Mark Dennis volunteered and were elected - either to act as Deputy Chair, if required. 6. Briefing from Eyre Iron [Anya Hart, Community Relations Manager] Presentation to be placed on Eyre Iron website and a link to be emailed to members. Link: http://www.eyreiron.com.au/documents/TBDCCG_EyreIron_230713.pdf Eyre Iron is a project management company for the Joint Venture between Centrex (40%) and Wuhan Iron and Steel Group (60%) at Fusion but not at the Port Spencer. Fusion: 50km magnetic anomaly - Magnetite – potential to support new long-term iron-ore industry on Southern EP and act as catalyst for other developments. Scoping study completed. Definitive Feasibility Study underway but paused. Due for completion 2013. Pipeline (2 lines < 30cm diam) possible routes suggested. Port Spencer: For dry bulk commodities, common user infrastructure (eg also available for grain). Deep enough water to load a cape-sized vessel - <200,000t @500tph. Major project status 2011. Land for infrastructure acquired. Approvals for magnetite, haematite and grain in place. Road delivery for grain and Wilgerup ore; pipeline for Fusion magnetite. Lipson Cove and shoreline to Roger’s Beach still available for public access. How vulnerable is the project to international fluctuations? Long-term projections show viability. Figures don’t take into account grain. Re Cape Hardy; there may only be one port, depending on economics and approvals process. Port proposals are part of preparing for the project. What processes will be used for negotiating with landowners about the pipeline? Port and pipeline are under Development Act for approval and processes. What does the major project status do to the pipeline, processing plant etc approvals process? Process not short-circuited by status. Processing plant would sit within the mine lease area. Area for mine (approximately 80% of area needed) is under “purchase options” at the moment -agreed deposit, price and timeline. What takes up the most area – eg tailings? Can’t compare to Iron Duke which commenced operation about 100 yrs old. Rock/overburden/tails disposal will form a major part of the proposed mine. What form it will be in and how big it will be is not yet known. Need to better understand the nature of the ore body to determine the options for storage. Once we have more detail, we will investigate the use of a “simulation tool” to visually illustrate what the mining operation might look like over time. The audit was on EI as the management company for Centex/Wuhan. Would not be reported to the stock exchange it did not have a major impact on the exploration program’s schedule. Also, EI not a listed company and the Project has no income stream. The scale of the audit was unusual against previous practice where minor breaches may have been identified through more regular, smaller-scale audits or inspections. Logistics: Open-pit. Concentrate magnetite in processing plant on mine site – crushed, water added, run over magnetic drums to separate. No chemicals involved. Yield 25-30% of ore. Admin and maintenance on site. Composition of the waste will determine how that is held – with overburden, tailings dam etc. Breaking down ore increases the volume. Rehabilitation, while country will never look the same, to blend in with the existing landscape. Slurry via pipeline – 40% solids. Shipped with <10% water – damp not dusty. 5GL desal plant proposed at the port (upgradeable to 20GL). Desal plant to be modular to be added to if needed. Will provide water for mine – whole process to be self-sufficient. Approximately 80% recycled (filtered from concentrate and returned to plant). The Regulator will determine what happens to the water de-watered from mining (eg. Reinjection, use in the process, for dust suppression, etc.).. This will be part of the approval with conditions, or non-approval. Impact on local springs on neighbouring farms and plan for compensation? (Anya to find out more about how this is handled when groundwater modeling work is complete and potential impacts are better understood.) Will be part of the submission for approval. Water matters are determined by State gov. EPBC is Federal gov and covers specific items deemed to be of national significance. Exploration: Licensed activity - purpose to determine financial viability. Temporary land use. Approval subject to stringent regulation processes focused on environmental and social impacts (risk-based approach). DMITRE Audit: Nov 2012. List of compliance directives imposed. Past practices no longer considered acceptable for local conditions. More rigorous systems and procedures – lighter environmental footprint. Tricky to do a good job of rehab in areas of shallow topsoil. Above ground tanks lowered impact on paddocks & soil disturbance. Using smaller rigs in hilly country. Assessment as to suitable process at any given drill site based on risk and should be “fit for purpose”. Mini environmental management plan for every hole drilled. Does the landowner have the right to know what is found in holes? Not where minerals are concerned, in relation to it’s monetary value. Concern over what has been brought to the surface eg salty water on paddock. Potential for bore water etc. Drilling Co provides a log for the gov. This can take years to be released to public. (Anya to investigate further). Timeline for mine approvals progress: has been pushed out due to assessment period and may still change further depending on decisions to be made about what the next steps for the project will be. (6-12 months). Not necessarily linear process. Feasibility 12/13, Final Design 13/14, Construction 14/15, operation15/35, closure 35/40, rehab 40/45. See ESIA Process slide – for submissions, EPBC referral and community consultations flow chart. Predict a lengthy and stringent approval process (Strathalbyn - 18 mths) due to sensitive environmental and social nature of this project. Environmental and Baseline studies: Air quality and meteorology ongoing, Indigenous and non-Indigenous heritage, Flora, Fauna and aquatic ecosystem surveys, water monitoring, soils monitoring, traffic survey, socio-economic survey, human health assessment. Noise/Vibration/ Visual amenity assessments as mine proposal develops. Approvals process: Federal – EPBC for port, (stage1), for pipeline, plant site and mine area (stage 2). State Gov – Development application for Stage 1&2, mine lease approval, Accommodation Village Approval, Approval for construction and operational environmental plans etc Local Gov – Roads Referrals (eg EPBC): SEWPAC publishes the referrals for the company. Anya can flag these for us. Current approvals process deals with Kapperna, Koppio and Brennand. Any other area, like Iron Mount, Carrow etc will be another process. Employment: 1000 people –construction. 600 -when operational. Aiming for residential workforce – 25% local, 50% new residents, 25% FIFO. Discussion re Accom village – like a housing development or cabin park – with DCTB. Potential housing estate options in Cummins, Pt Lincoln & TB but still early days for these discussions. Potential accommodation village situated north of cemetery. Will use PL Airport, not TB strip. Power upgrade: Fast tracking an upgrade that has already been tabled. Upgraded supply may attract other industries, infrastructure and services to area. Desal facility: Could supply Pt Lincoln eg reduce reliance on ground water. Port Spencer: Potential benefits for grain growers – reduced transport distances. Who is the liaison person for EI in Electranet? Anya will find out. Each needs the commitment of the other. Impact on farming: 3000ha =0.13% of EP arable land. (Arable land on EP 53%, Natural environment 43%, Other eg grazing, residential 4%) Other impacts: strain on local services, increased competition for labour, change in local demographic and ambience, visual amenity of the Koppio hills, increase in traffic. Community Engagement: Community & Council info sessions and newsletters, on-going landholder consultation, EI website, career expos, Field Days. BR thanked Anya for her presentation. 7. General Business Resolved that the following issues be covered at an Exec meeting: • Meetings and Advertising • Communications & Minute Distribution • Sub-committees • Banking and Finance How would members of the public gallery put something forward to the Group? Independent Chair has discretion . Can present questions or comments in writing or verbally through the Chair. The Chairman offered members of the gallery the opportunity to ask a question or make a comment. Peter Treloar as written to the appropriate Minister to ask how the money allocated to the Tod Reservoir in the Budget will be spent and its purpose. Discussion re advertising of meeting: Suggested that we use DMITRE & EI Websites and start our own. Also use free mediums to advertise meetings. Who do we want to hear from next? Suggested Electranet, Iron Road, DMITRE, Deloitt, Iron Road, Water [SAWater, DEWNR, Humenick etc). Resolved that Chairman liaise with Tilly from Iron Road to organise a presentation and suitable date for the next meeting. Meeting closed: 10.10pm .