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2010 Annual Report MOOMBA TO PORT BONYTHON LIQUIDS PIPELINE Pipeline Licence 2 Document Number S-34-102-AR-G-011

2010 Annual Report MOOMBA TO PORT BONYTHON LIQUIDS

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2010 Annual Report

MOOMBA TO PORT BONYTHON LIQUIDS PIPELINE

Pipeline Licence 2

Document Number S-34-102-AR-G-011

2010 PL2 Annual Report

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TABLE OF CONTENTS 1 PURPOSE ............................................................................................................ 4 2 SCOPE ................................................................................................................. 4 3 PIPELINE DESCRIPTION & TECHNICAL INFORMATION ................................. 4 4 OPERATIONAL & MAINTENANCE ACTIVITIES - 2010 ...................................... 6

4.1 Risk Assessment Review ............................................................................................. 6 4.2 Training ........................................................................................................................ 7 4.3 Operations & Maintenance Activities.......................................................................... 9

5 INCIDENT REPORTING .................................................................................... 14 6 LAND MANAGEMENT ....................................................................................... 14

6.1 Land Owner Liaisons ................................................................................................. 14 6.2 Pipeline Safety Awareness......................................................................................... 15 6.3 Pipeline Location and Referral Services .................................................................... 15

7 ENVIRONMENTAL MANAGEMENT .................................................................. 15 8 EMERGENCY RESPONSE ................................................................................ 16 9 REGULATORY COMPLIANCE .......................................................................... 16 10 RISK MANAGEMENT ..................................................................................... 17 11 MANAGEMENT SYSTEM AUDITS ................................................................. 17

11.1 Environmental Audits ............................................................................................ 17 11.2 Health and Safety Audits ....................................................................................... 18 11.3 Management Audit ................................................................................................. 18

12 REPORTS ISSUED DURING THE 2010 LICENCE YEAR ............................. 19 13 VOLUME OF PRODUCT TRANSPORTED .................................................... 19 14 PROPOSED OPERATIONAL ACTIVITIES FOR 2011 .................................... 19 15 STATEMENT OF EXPENDITURE .................................................................. 19 16 KEY PERFORMANCE INDICATORS ............................................................. 20 17 CONCLUSION ................................................................................................ 21 Appendix A – Assessment of Declared Objectives ................................................... 22 Appendix B – Pipeline Cathodic Protection Data ...................................................... 30

2010 PL2 Annual Report

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LIST OF ABBREVIATIONS

AFD Axial Flaw Detection Tool ALARP As Low As Reasonably Practical AS2885 Australian Standard 2885 Pipelines - Gas and Liquid Petroleum AVT Accuracy Verification Test CDP Corrosion Detection Pig CFS Country Fire Service CMMS Computerized Maintenance Management System (MAXIMO) CP Cathodic Protection CPU Cathodic Protection Unit Cu/CuSO4 Copper/Copper Sulphate DCGV Direct Current Voltage Gradient DNV Det Norske Veritas EGP Electronic Geometry Pig EMS Environmental Management System ERE Emergency Response Exercise ESD Emergency Shut Down FFS Fitness For Service GPS Geographical Positioning System HAZOP Hazard Operability HELM Heritage, Environment and Land Management HSE Health, Safety and Environment LMS Land Management System MAOP Maximum Allowable Operating Pressure MAPS Moomba to Adelaide Pipeline System MFS Metropolitan Fire Service MLV Mainline Valve NDT Non Destructive Testing PIRSA Primary Industries and Resources of South Australia PL2 Pipeline Licence 2 PS 1-4 Pump stations 1, 2, 3 & 4 POMS Pipeline Operating Management System ROW Right of Way RTU Remote Terminal Unit SCADA Supervisory Control and Data Acquisition SEO Statement of Environmental Objectives SES State Emergency Service SMS Safety Management System SRB Sulphate Reducing Bacteria SWER Single Wire Earth Return TJ Tera Joule UHF Ultra High Frequency VHF Very High Frequency

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1 PURPOSE This report is submitted in accordance with the requirements of Pipeline Licence 2 and the South Australian Petroleum and Geothermal Energy Regulations 2000.

2 SCOPE This report reviews operations carried out during 2010 and intended operations for 2011. In accordance with the Petroleum and Geothermal Regulations a performance assessment is also provided with regard to the Statement of Environmental Objectives for PL2.

3 PIPELINE DESCRIPTION & TECHNICAL INFORMATION The Moomba Port Bonython Liquids Line (MPBLL) conveys oil and natural gas liquids from Moomba Plant at the Cooper Basin to Port Bonython Terminal at Stoney Point, near the town of Wyalla on SA Spencer Gulf Coast (see Figure 1). The Moomba to Port Bonython Liquids Pipeline is owned by the South Australian Cooper Basin Joint Venture and is operated and maintained under contract by Epic Energy in accordance with AS2885 and other relevant standards. Table 1 summarizes the technical aspects of the PL2 and Figure 1 shows diagrammatically the pipeline system.

Table 1 - Moomba to Port Bonython Technical Data

Date Constructed 1983 Date Commissioned 1984 Length 659km External Diameter 355.6mm Wall Thickness: - Normal - Special Crossings (rivers, roads etc.)

7.14 mm 8.74mm

Pipe Grade API 5LX 52 MAOP 10,340kPa Coating Double layer polyethylene tape reinforced with

adhesive butyl rubber Depth of cover Nominal 900 mm

1200mm at road, rail and creek crossings Main Line Valves Adamson & Chronsiter Gate valves

(25 in total) Actuators Shafer

(17 in total) Actuators 8 Manual gear type operators Fluid Liquid Hydrocarbon Pump Stations 1 Active (Moomba)

1 Decommissioned (PS3 – 370kms south Moomba) Meter Stations 1 with 3 runs (Moomba) Corrosion Protection Secondary protection provided by an impressed

current CP system 12 transformer rectifier units installed

SCADA system Digital microwave link from Moomba to Port Bonython with VHF radio coverage for voice communication and

UHF from a number of valve sites.

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Figure 1 - Moomba to Port Bonython Pipeline

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4 OPERATIONAL & MAINTENANCE ACTIVITIES - 2010

4.1 Risk Assessment Review The last review of the AS 2885 Risk Assessment was carried out in late 2006, as part of this risk assessment review additional requirements of the Draft AS 2885.1 DR 04561] ref 3 was taken into consideration. The review of the risk assessment found that in most cases the workshop team considered there were sufficient and acceptable physical and procedural protection measures in place to protect the pipeline. Where there was any uncertainty to the suitability of the protection measures an action was raised and the risk left pending until the action was closed and the risk was then reassessed. One of the two remaining actions reported in 2009 was closed out in 2010. An AC mitigation ground-bed was installed south of the Lincoln highway where high voltage power lines cross and parallel the Moomba – Port Bonython Liquids pipeline for protection from induced AC and high transient voltage. The second action remaining from 2009 is still in progress due to extreme weather conditions in northern parts of South Australia. Low depth of cover caused by wind erosion identified in sections between Moomba and Pump Station 2 was scheduled and cancelled on several occasions due to heavy rains and flooding making access to the work area impossible. This work will be rescheduled into the 2011 work program. The next formal Risk assessment of the Moomba – Port Bonython Liquids Pipeline is scheduled for completion in 2012. A Fitness For Service assessment was carried out in 2009 as a result of an internal metal loss defect indentified from the Rosen AFD inline inspection tool run between Moomba and Pump Station No#2. Metal shavings detected in the pig receiver vessel after a pigging operation to remove a flow enhancer nozzle and a hot tap drill was the driver for running the inline inspection tool. An AFD inline inspection tool reported minor spirally orientated gouging anomalies with between 5%-9% wall loss. The Fitness For Service (FFS) assessment determined a pressure restriction be applied to the pipeline until the defect could be excavated and a NDT inspection be performed (phased array scan ultrasonic) to determine the full extent of the defect. Based on the NDT results, further assessments were performed (i.e. a second FFS calculations and a fatigue desktop analysis), recommending that the MAOP needs to be restricted from 10.38 Mpa to 9.60 Mpa until repairs are carried out. The replacement is expected to occur by the end of 2012. Additional road patrols between Moomba and PS2 have been scheduled monthly to monitor the pipeline, including the defected section. Six monthly NDT of the pipe were to be carried out in the effected areas. The inspection scheduled for mid year in 2010 was delayed on several occasions due to heavy rains and flooding restricting access to the area. The NDT scheduled for December was again cancelled with more rains in the area and work was rescheduled to 11th January 2011 but again cancelled due to rains in the area. This is a priority and will occur as soon as weather conditions improve.

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4.2 Training Epic Energy is committed to developing the skills of their employees and contractors to meet the operational needs of its business. During 2010 staff training was conducted in-house using a number of techniques which included training courses developed specifically for Epic Energy and delivered using self paced modules or as a group presentation using either a training service provider or suitably skilled Epic Energy staff. In addition to internal training, staff attended a range of external courses selected to further enhance their knowledge of the natural gas and liquid hydrocarbon pipeline transmission industry. The range of training staff attended during 2010 included: "A" Grade Electrical Worker's Licence "B" Grade Electrical Worker's Licence 2WD Defensive Driving 4WD Operate Light Vehicle PMASUP236A ACA Corrosion & Prevention 2010 Conference AS 2885.3 Pipelines Gas & Liquid Petroleum - O & M AS 2885 Introduction to AS 2885 and the Australian Pipeline Industry AutoCAD Essentials/Learning AutoCAD Basic Fire Prevention & Control (Extinguishers)/Refresher (Phase 3) Business Writing Certificate IV in Facilitation Certificate IV in Training & Assessment Certificate IV OH&S Part 1 Chem-cert Accreditation RTC3704A Prepare & Apply Chemicals & RTC3705A Transport Citect SCADA/Vijeo Citect Configuration Combustion Basics Confined Space Awareness CPR Crane (Pendant) Shift Loads Using Gantry Equipment TLID4307B Crane Operator Certificate of Competency CV HIAB CSG 2010 conference Daniels Introductory Gas Compressor Course Defect Assessment in Pipeline Dogging Certificate DG Drugs & Alcohol - Epic Energy 2010 Dry Creek Office Induction EEHA Installation and Maintenance Elevated Work Platform - Practical/Logbook EWP OHSCER235A Elevated Work Platform -Theory EWP OHSCER235A Emergency Pipeline Exercise - Liquid Line April 2010 Emergency Pipeline Exercise - SE Meter Station April 2010 Environmental Training 2010 Equal Employment Opportunity, Discrimination, Harassment & Bullying 2010 Excavation of Pipelines Fire Trial Evacuation Exercise (Phase 2) Fire/Floor Warden Training (Phase 1) Forklift Operator Certificate of Competency LF Fuelling Australia in 2020 to 2030 - April 2010 Future GAS 2010 Gas Detection - Santos (Epic SA & Qld) Gas Speak Colloquium 2010

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GBM Mobile Data Capture training Hazardous Materials (MSDS) Health & Safety Representative Level 1 – SA Heat Stress - Santos (Epic SA & Qld) Hot-Tapping of Pipelines, Practices and Procedures How to Effectively Manage Multiple Locations HSE New Starter Intro Hydrostatic Testing & Commissioning IBM Pulse Conference Instrument/Electrical Basics Introduction to Pigging Isolation & Tagging 2010 Job Hazard Analysis Job Hazard Analysis 2010 LMS Computer Training Low Risk Driving Course Low Voltage Rescue Manual Handling Maximo - CIM Planning and Scheduling Maximo 7.1 – FMO Maximo 7.1 - Reporting/SQL Melbourne Office Induction Mercury Awareness NACAP / Epic Inductions National Greenhouse & Energy Reporting (NGER) Workshop National Pollutant Inventory (NPI) - Online Reporting System Nipping Problems in the bud and complaint handling Operations Field Induction Permit to Work 2010 Permit To Work System / Refresher Personnel Movement Tracking Pipe Location - General Epic Module Pipeline Corrosion and Integrity Management 2010 Pipeline Crossing Practices & Procedures Pipeline Surveillance and Easement Activities Pipeline System Components Introduction Pipeline Voice Communications Presenting your Sock Off Preventing Discrimination & Harassment Process & Instrumentation Diagrams and Drawings Professional Presentations Rehabilitation & Return to Work Coordinator Santos - EHS Toolbox Santos - Hazard Management using Step back & JHA Santos ID Santos Level 1 Induction - QLD and SA Santos Level 2 - Moomba/Cooper Basin Induction Santos Port Bonython Induction - SA Santos Rev 7.3 - Permit to Work Scaffolding - Erect & dismantle RESTRICTED Senior First Aid Full Certificate SA Senior First Aid Refresher SA Snake Awareness Training – Online The Atmosphere & Working With Gases The Pipeline Industry - Essential to the Gas Industry

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Third Party Works Trimble Nomad - Defect Location or pipeline repair Understanding Pipeline Licensee & Owner Obligations Valve Training White Card - National OHS Common Industry Induction Working at Heights Working in Remote Locations Working Safely Near Pipelines & Pipeline Infrastructure Work zone Traffic Management Xinfo – User

4.3 Operations & Maintenance Activities Epic Energy have been engaged by the South Australian Cooper Basin Joint Venture group (Santos) to operate and maintain the Moomba to Port Bonython liquids hydrocarbon pipeline in accordance with AS2885 and other relevant standards. All Preventative, Corrective and Reactive maintenance can be identified in Epic Energy’s CMMS and are scheduled by this system which generates work orders for maintenance staff to complete. Some of the key items in the maintenance schedule include: • Six monthly CP system full line surveys • Two monthly CP system transformer rectifier unit inspections • DCVG survey (3 yearly) • Quarterly road & aerial patrols are been conducted with all action items identified during

the patrols rectified immediately by the patrolling officer or entered into the CMMS and scheduled for repair during other routine activities.

• Quarterly SCADA system MLV pressure & temperature transducer calibrations • Six monthly inspection and servicing of all portable fire extinguishers • Six monthly mechanical inspections, operational checks & servicing of equipment at all

MLV and scraper station sites • Six monthly Pig vessel and mainline valve bypass line relief valve checks • Pressure vessel inspections (using suitably accredited external contractors) on all vessels

on the Moomba to Port Bonython liquids hydrocarbon pipeline system. • Annual cleaning pigging operations • Communications system mast maintenance • Annual communications system un-interruptible power supply and battery maintenance • Annual communications system VHF, UHF and microwave bearer checks and tests • 3 yearly mast maintenance programs. • Excavation and repair of DCVG coating defects • Excavation and pipeline integrity inspections • Leak detection system testing • Low depth of cover restoration. • Creek erosion remediation. • Painting above ground facilities. • TRU switching unit replacements. A description of the Operations and Maintenance activities for 2010 is provided below.

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4.3.1 Patrol Activities Three monthly road and aerial patrols (aerial patrols are conducted between PS3 and the Port Bonython terminal only) scheduled to alternate at six weekly intervals were completed in 2010. The road and aerial patrols ensure that the following pipeline activities are addressed: • Signage is in suitable condition and if not, repairs are affected as soon as is practically

possible. Any issues not addressed during the patrol are fed back into the CMMS in the form of a work order and scheduled for repair as resources permit.

• to ensure there are no unauthorized activities occurring along the pipeline route or at any of the facilities

• restoration of any soil erosion due to wind and water is addressed • there are no leaks occurring at any of the pipeline facilities or along the pipeline route • all sites are secure, kept clean, neat and tidy • Items including above ground pipe coating condition, fences, gates, padlocks, signage, fire

extinguishers, weeding and other housekeeping activities are addressed at the mainline valve and scraper station facilities associated with the pipeline system.

In 2010 routine patrol activities reported several areas of the pipeline easement and Right Of Way (ROW) affected by water erosion after extensive periods of heavy rains and flooding, however no pipeline was exposed and reported ROW damage and areas of reduced depth of cover were repaired immediately. No other significant issues were identified during any of the patrols. An action resulting from a Santos risk assessment for an internal gouge defect at KP 78 required Epic Energy to conduct additional weekly road patrols between Moomba and Pump Station No# 2. The purpose of these patrols was to inspect the integrity of the Moomba to Port Bonython liquids pipeline and the safe condition of the defect excavation site left exposed for future pipeline integrity monitoring activities. Based on the FFP and Fatigue desktop analysis carried out, these patrols were reduced from weekly to monthly intervals from September 2009

4.3.2 Leak Detection The Epic Energy Transportation Services Control Centre (TSCC) located in Melbourne operates a SCADA system that continuously monitors the Liquids pipeline. Incorporated into the SCADA is the Pipeline Leak Detection System that provides real time leak detection capability based on line pack inventory, flows in and out of the system, hydrocarbon type and, pressure and temperature change rates. This provides alarms to allow the duty controller to respond to and action any anomalies that may be occurring and notify field maintenance personnel to investigate further onsite if and as required. The control centre staff can, if required, isolate the pipeline remotely using any one of 17 out of 25 valves, isolating sections of the pipeline to minimize any leakage should the need arise. The real time leak detection system is augmented by maintenance activities along the pipeline which assists in the identification of any pipeline leakage ensuring the appropriate resources are mobilized to address the problem in a timely manner. During 2010 Epic Energy fully operated the Liquids Line on the upgraded SCADA Telvent DNA7.4 System. Both SCADA and the Liquids Line SSI Leak Detection and Modelling software were successfully ported from the existing Telvent OASyS 5.2.2 SCADA System to the new Telvent OASyS DNA 7.4 platform in 2008. The original Telvent OASyS 5.2.2 SCADA System was finally disconnected and fully decommissioned in the first quarter of 2010.

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PL2 SCADA system has been 100% operative within TSCC using DNA7.4 platforms during 2010. Remote site connectivity has varied due to the effects of the microwave system reliability, power management and field equipment faults. Overall connectivity was 99%, with Moomba the lowest at 87% effected mostly by ageing equipment faults. As such, Santos are reviewing the replacement of the original Sarasota Flow Computers and flow metering equipment. The Liquids Leak Detection Model operated 96.6% of the time, with outages related directly to RTU communication problems at either Moomba or Port Bonython. A simulated test of the leak detection system is carried out annually in December in accordance with the annual maintenance plan. The one for 2010 was completed as required and validated as passed to meet the requirement of leak detection rate of less than 11m3/hr.

4.3.3 Coating Integrity The remaining six of most significant defects with %IR drops ranging from 15% to 45% reported in the 2008 survey were inspected and repaired in the 2010 program at the following locations,KP 161.900 (MLV 12), KP256.073, KP352.634 (6” Bypass Kicker), KP352.634 (Pilot Isolation valve) & KP352.695. All defects identified in the 2008 Gippsland Cathodic Protection Survey Report >15% have been excavated, inspected and repaired as recommended in the report. A DCVG survey is scheduled for 2011 in accordance with the Santos Integrity Management Plan and a new inspection repair program developed from the survey results. The pipeline coating system has performed well, the defects repaired to date have been in areas where boulders in trenches, handling of pipes during construction stage and absence of padding were the main causes of mechanical damages on the coating. Further coating issues were found where pipe work enters the ground, specially the sites with MLV. Epic Energy has completed all the defects with IR% > 15 from the refurbishments program since 2008, a new DCVG survey in 2011 will be carried out to maintain the coating condition and to avoid corrosion in the pipe line. No major corrosion and pitting and stress corrosion cracking was detectable on the pipeline. All corrosion defects were acceptable to the requirements of AS 2885.3. Under the 3 yearly DCVG inspection program for Liquids line next survey is planned for first quarter of 2011 and the coating inspection to be carried out based from the report.

4.3.4 Cathodic Protection Results from the full line cathodic protection surveys conducted in May-2010 and Oct-2010 are presented graphically in Appendix B. The Full Line on/off potential survey carried out in May-2010 provided a 100% compliance for pipeline protection in accordance with levels indicated in AS 2885 – 1997. The second cathodic protection survey was conducted in October-2010 with the exception of the section of pipeline north on Pump Station No 2 due to restricted access to this area caused by heavy rains and flooding. The results of the second survey indicated low potential recordings at KP 347.8 , KP 350.8 , KP 370.8 due to a switching problem in Transformer Rectifier Unit at CS3 (KP 255.9) and PS3 (KP 352.6). The results of the survey showed 94% of the pipeline potential is within acceptable limits of -0.85 V to -1.175 V OFF Potential versus Copper/Copper sulphate half cell. The Transformer Rectifier Unit at Martins Well (KP 402.6) is operating under temporary power Supply unit and not switching, a replacement unit is scheduled to be installed in early 2011.

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A discrepancy in the readings at Port Bonython during the October survey will require further investigations to check the condition of the ground bed at this site. During 2010 several power supply interruptions occurred when lightning strikes caused damage to the SWER line supplying AC power to KP 29. An AC mitigation earth bed was installed in 2010 to protect the pipeline from AC and transient voltage at a location south of the Lincoln Highway near Whyalla where the high voltage power lines cross and parallel the liquids pipeline. This additional ground-bed has also assisted in improving the cathodic protection levels in this area. Twelve "Ominitronics Synchronized Switching Units" were installed to the Liquids Line Transformer Rectifier Units to improve performance and improve survey results with more accurate data during 2010. Three units were purchased as spares. 4.3.5 Electrical and Instrumentation Routine quarterly pressure and temperature transmitter calibrations were carried out in 2010 to verify accurate data was fed into the SCADA system allowing accurate control of the liquids hydrocarbon transportation process ensuring it stays within the design parameters at all times. Six monthly mainline valve remote operational checks were carried out in conjunction with scheduled routine pressure and temperature transmitter calibrations. MLV sites north of Pump station No#2 were only tested once during 2010, this work has been delayed originally due to restricted access form heavy rains and flooding and has been rescheduled until after the intelligent pigging program has been completed. 4.3.6 Communications All process variables and valve control functions are communicated to the central control system located in Melbourne, Victoria via a microwave link that runs parallel to the buried pipeline system. In addition to the microwave link a VHF radio link to allow voice communications between staff and the control centre plus a UHF link to transmit process data and commands to the main microwave link from remote sites are also supported by the communications system. This system is essential for the safe monitoring and control of the pipeline and the following range of routine maintenance activities were carried out in 2010 to ensure the communications system provided a constnt level of availability and reliability: • Routine Microwave bearer, UHF and VHF communications system maintenance tasks. • Routine maintenance tasks associated with the SCADA RTU calibration. • Routine maintenance tasks associated with the communications system uninterruptible

power supply batteries and their associated charging system. • Routine maintenance tasks associated with the communications system solar generated

power supply batteries. • Six monthly communications equipment air conditioning unit maintenance. During 2010 the Martins Well emergency backup system was upgraded including the replacement of the stand-by generator unit. Several SWER faults caused by extreme weather conditions required both the Martins Well and KP29 emergency generator systems to become operational to maintain communications to the sites. All communication outages were minor in nature and for short periods, there were no significant communications issued reported in 2010.

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4.3.7 Mechanical Routine six monthly mainline valve and scraper station maintenance tasks were carried out in 2010. MLV sites north of Pump station No# 2 were only tested once during 2010, this work has been delayed originally due to restricted access form heavy rains and flooding and has been rescheduled until after the intelligent pigging program has been completed. All pipeline pressure regulator and over pressure protection devices were tested in accordance with the relevant Australian standard and the maintenance schedule. Ancillary equipment, such as pipe supports, pipe ground entry points, valves and pigging facilities, are routinely inspected as part of the facilities inspections or as a part of the mechanical maintenance routines. Pressure vessel inspections were carried out in late 2009 in accordance with AS 3788 and the reports made available in early 2010. There were no non conformances identified, nor any issues requiring follow up actions. Pump Station No# 3 Positive Isolation In the early 1990 flow enhancer was introduced into the pipeline to reduce head loss, and this, in combination with falling flow rates in the pipeline lead to Pump Station 3 being decommissioned in 1990. The pumps were blinded off at their inlets, leaving some 100m of buried suction and discharge pipework stagnant from flow and still pressurized. This was the situation at the start of 2010 presenting an integrity risk as “dead legs” such as the pipework could be prone to attack by sulphur reducing bacteria (SRB). The gas turbines driving the pumps were removed some time in the late 1990’s and their gas supply (which comes from the near by Moomba to Adelaide gas pipeline) had been blinded and de-pressured. Electrical supply to this station has been isolated but never disconnected. In 2010 a project was approved to mothball the station properly, including positive isolation to remove dead legs, and to provide electrical disconnection where required, in accordance with relevant codes, guidelines and standards. In November 2010 the work to positively isolate the pump station was completed, a summary of the work carried out include : • Purge all product from the pump station suction and discharge lines. • Excavate the DN300 suction and discharge lines to the pumps, remove a section of pipeline and install a set of flanges. • Install blind flanges to the upstream and downstream flanges welded into the suction and discharge pipework to provide positive isolation from the pipeline to the pump station. • Review electrical connections and disconnect them where required in compliance with AS 3000 • Remove regulators and meters from fuel gas skids and other sections of redundant pipework, and install blind flanges.

4.3.8 Pigging operations An intelligent pigging program was scheduled and completed in 2010 on three sections of the Moomba to Port Bonython Liquids Pipeline. Rosen Australia was engaged as the preferred supplier for this activity. The ILI pigging program included running a cleaning gauge pig over the entire pipeline and an AFD

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(Axial Flaw Detection) tool in three sections between Pump station #2 and Port Bonython. The section between Moomba and Pump station #2 was completed in 2009. The pigging program started in September 2010 and due to several delays with access restricted to sites from extensive heavy rains and flooding in northern areas of South Australia, the program extended to December for completion. In September a cleaning disc/gauge pig was run through the entire pipeline between Moomba and Port Bonython, the objective of this run was to clean and clear the passage for the ILI tool. In October 2010 the AFD tool was run between Pump station #3 and Pump station #4. Rosen have supplied a preliminary inspection report for this section indicating a total of twenty five (25) anomalies detected within the range of between 10 – 19% wall loss. In total nineteen (19) corrosion anomalies (ANOM – CORR), five (5) pipe mill anomalies (ANOM - MAIN)and one longitudinal weld anomaly (ANOM – LWAL)have been reported above the preliminary reporting threshold of ≥ 10%. In November 2010 the AFD tool was run between Pump station #4 and Port Bonython. Rosen have supplied a preliminary inspection report for this section indicating a total of 52 anomalies detected within the range of between 10 – 19% wall loss. In total one (1) corrosion anomaly (ANOM – CORR), twenty four (24) pipe mill anomalies (ANOM - MAIN) and Twenty seven (27) longitudinal weld anomalies (ANOM – LWAL) have been reported above the preliminary reporting threshold of ≥ 10%. In December 2010 the AFD tool was run between Pump Station #2 and Pump station No# 3. The Rosen preliminary inspection report for this section will not be available until January 2011. Rosen will then supply a fully functional Rosoft© Database application package loaded with the Data (including all necessary program manuals), to allow interpretation and analysis the entire pigging data. To confirm quality of results some dig outs will be carried out during 2011 Oil samples were taken at each pig vessel during the 2010 pigging program and forwarded to Santos laboratories for bacteria analysis, the results indicated an improvement from the levels recorded in 2009, higher levels of SRB were recorded at PS3 and PS4. In November 2010 the biocide injection rate at Moomba was increased from 10 minutes on/60 minutes off to 15 minutes on/60 minutes off as an additional precaution. An inhibitor (CORTRON IR2449) batching treatment slug is scheduled to be run through the pipeline from Moomba to Port Bonython in January 2011, immediately after the ILI pigging program is completed. Samples will be taken to measure the level of bacteria activity

5 INCIDENT REPORTING There were no serious or reportable incidents on the Moomba to Port Bonython liquids pipeline during 2010.

6 LAND MANAGEMENT

6.1 Land Owner Liaisons There are 44 landholders along the Moomba to Port Bonython Liquids Pipeline system. Every landowner on the pipeline was visited during 2010 and questionnaire was completed as part of each visit. The questionnaire is centred on confirming contact details, current and proposed land use, awareness of the pipeline location and their responsibilities with respect to works in the pipeline vicinity.

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As part of Epic Energy’s continuous improvement program for pipeline awareness the landowners were posted two letters and safety brochures during the year containing information covering pipeline and easement safety and the responsibilities landowners have to ensure no safety breaches occur on their properties. An Epic Energy year 2011 calendar reminding the landowner of pipeline safety was also forwarded in December 2010.

6.2 Pipeline Safety Awareness Epic Energy implements a Community Awareness Program, which entails holding awareness meetings with communities, government departments, utilities, emergency services and contractors along the pipeline route. Thirteen (13) of these meeting were held in the mid north with services in close proximity or associated directly with the Moomba – Port Bonython Liquids Line. The presentations focus on the general properties of the liquid hydrocarbons transported, the process of liquids hydrocarbon transmission by pipeline, location of the high pressure liquids pipeline in the regions concerned, correct procedures when working within pipeline easements, pipeline threats and dealing with emergency situations. (Note:-This presentation will be tailored to the specific audience and where appropriate Epic Energy will discuss the differences between Liquids Hydrocarbon and natural gas transportation as both pipeline systems exist in a number of areas within South Australia.)

6.3 Pipeline Location and Referral Services Epic Energy provides a free service to locate any pipeline that they own or operate on behalf of third parties. This service is primarily used by other companies and third parties carrying out civil works in the vicinity of the pipelines. During 2010 Epic Energy received and attended two enquiries via the free call 1100 “Dial Before You Dig” asset referral service in relation to third party activity in the vicinity of the Moomba to Port Bonython Liquids Line. 7 ENVIRONMENTAL MANAGEMENT During 2010 the Moomba – Port Bonython Liquids pipeline was monitored for compliance with the Statement of Environmental Objectives, the majority of environmental requirements as detailed in the Statement of Environmental Objectives were complied with. Appendix A contains the “Assessment of Declared Objectives” completed for the Liquids Line. A field inspection was carried out by Epic Energy environmental coordinator and Civil/Environmental Engineer early in 2010 to ensure compliance of the environmental assessment criteria in the Statement of Environmental Objectives and the greenhouse gas emission sources in line with the National Greenhouse gas Emission Reporting Scheme [NGERS]. Several facility stations and a part of ROW was inspected during the audit, minor activity improvements were identified and recommendation for changes in procedures. An additional field inspection was carried out after heavy rains and flooding to inspect the permanent erosion repair and Gabion walls installed during 2009 at KP509.2. The inspection confirmed the structure remained in a sound condition. During 2010 permanent erosion repairs in the form of box culvert, Reno-mattress and Gabions were installed at the most critical watercourse crossing (Mt Chambers Creek) identified in the “Low Depth

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of Cover Survey Report”. This crossing had a history of erosion issues and on occasions the pipeline has been exposed. Repairs were carried out in accordance with the recommendations of a “KBR Preliminary Erosion Control Study Report – 2009” Mulligan Spring Creek is another watercourse that requires permanent erosion repairs, however during 2010 continuous heavy rain and flooding has delayed this program. This program of permanent design river repairs will continue into 2011 with the aim to eventually eliminate further reoccurrences. Remediation work on the low depth of cover in the sand dune area between Moomba and CS2 has been heavily impacted by the rainfall and flooding in 2010. Epic Energy made several attempts with no success on completing this work in 2010. This program will be carried out in 2011. 8 EMERGENCY RESPONSE Pipeline Licence 2 states that an Emergency Exercise is to be conducted on the Moomba – Port Bonython Liquids Pipeline once every two years and in addition to this exercise a set of Emergency Response procedures is to be developed and maintained. These procedures are detailed in Epic Energy’s “Emergency Response Manual”.

An emergency response exercise was conducted on the 14th April 2010 using Dry Creek as the Incident Command Centre.

This scenario was conducted as a desktop exercise, as such notifications and communications were simulated. (except communication to PIRSA)

The scenario for this exercise, Epic Energy’s duty controller investigated alarms on the Moomba – Port Bonython Liquids Line leak detection software confirming a hydrocarbon leak between MLV4 and MLV5 [KP78]. An emergency was declared, an Incident Commander was appointed and an Incident Command Centre set up at Dry Creek.

For the purpose of this exercise no field response was initiated , .

The objectives of the emergency exercise was to test procedures and personnel in several areas, including:

• Response to Alarms generated from the SCADA System • A revised Emergency Response Plan • Accessing areas affected by adverse conditions (flooding) • Testing new personnel in designated positions understanding of roles and responsibilities

during an emergency The conclusion was the emergency exercise drill was deemed to be successful in meeting the objectives set out to test Epic Energy personnel and procedures. 9 REGULATORY COMPLIANCE Every endeavour is made to ensure that design, manufacture, construction, operation, maintenance and testing of all appropriate facilities, is carried out in accordance with the relevant Acts of Parliament, licence conditions and AS 2885. Epic Energy attends quarterly compliance meetings with PIRSA, where operational regulatory compliance is discussed in an open manner. Epic Energy maintains a compliance database, Safety Wise, which tracks legislative compliance

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throughout the organisation. Obligations are assigned to responsible staff, who must supply evidence that the obligation has been satisfied within a specified time period. Epic Energy is not aware of any regulatory non compliance for this pipeline, and believes it is fulfilling its obligations in relation to the following requirements: • The Petroleum & Geothermal Act & Regulations 2000 • The Pipeline Licence (PL2) • The Statement of Environmental Objectives Epic Energy maintains an action tracking system for improvements to its systems, which is fully traceable through to close out of individual items. Significant items are reported through to Santos and PIRSA, and would be raised at the quarterly compliance meetings held between PIRSA and Epic Energy. There have not been any significant items during this reporting period. Changes in legislation are tracked and communicated through a legal compliance committee which meets on a monthly basis. 10 RISK MANAGEMENT

Epic Energy incorporates risk management into operational processes and strategies in accordance with AS/NZS ISO 31000. An Enterprise Wide Risk Management approach is taken with the framework for risk management overseen by a Risk Management Committee. Epic Energy undertakes a variety of risk assessments from high level corporate approach through to operational level assessments. Epic Energy utilizes the following risk management strategies to minimize pipeline risks to ALARP. • Aerial and ground surveillance of the pipeline system • Induction processes, Safe Work Systems, including Permit to Work • Programmed routine maintenance activities to ensure all of the pipeline facilities are

maintained in accordance with best industry practices and the relevant codes and standards that apply

• Design change control • In accordance with AS 2885 Epic Energy conducts 5 yearly metre by metre risk assessment

reviews • Pipeline & Safety awareness program • Land ownership and use notification system • Landholder and stakeholder contact program • Participation in state forums for external risk management • Free “1100” Dial before You Dig information system

11 MANAGEMENT SYSTEM AUDITS

11.1 Environmental Audits An environmental risk assessment was completed in March, which has enabled the compilation of a comprehensive environmental risk register. This involved risk ranking the impact of Epic’s activities on the environment and identify priority areas for action. Environmental work procedures and work instructions have been reviewed and these have been rolled out via training of superintendents and field staff. Appendix A contains the “Assessment of Declared Objectives” completed for the Liquids Line.

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11.2 Health and Safety Audits A new Permit to Work and Job Hazard Analysis system has been introduced, with the commencement of training and roll out into the field taking place in 2010. Implementation of the system will continue into 2011. This new process improves the standard of risk assessment, hazard identification and the management of hazards within operational areas. Site Hazard Registers were developed for all the Compressor and Meter Stations across the Moomba to Adelaide Pipeline. A Health and Well Being program has been rolled out across Epic Energy, which includes personal health assessments, workshops and health information notice boards. A third party external audit report of the Safety Management System was completed in January 2010 by an independent audit service provider, Epic has prioritised the 94 actions were identified during this external audit (across all pipelines) and Epic Energy is gradually working its way through implementing these recommendations. In addition, internal audits of Epic Energy’s Safety Management System (SMS) continue on annual basis, with 8 of the 16 SMS Standards audited during the year. These included the following topics;

• SMS 5 Employee Involvement • SMS 7 Contract & Support Services • SMS 9 Safe Operational Procedures • SMS 10 Maintenance Inspection Testing • SMS12 Management of Change • SMS 13 Emergency Response • SMS 14 Health System • SMS 15 Incident Reporting and Investigation

The internal audits highlighted some areas for improvement which Epic Energy is in the process of undertaking. 11.3 Management Audit Epic Energy completed a number of audits during 2010, these were a combination of Epic’s internal audit program, external audits by industry experts initiated by Epic Energy. The following topic areas were subject to audit during 2010;

• Buried Compressor Station Pipe Integrity • MAOP Review • Management of Change – technical • Overpressure & Safety Critical Maintenance Audit • Emergency Management Equipment Audit • Safety Interaction Audits • CRS Audit (billing system) • Emergency Management Plan • TSCC Disaster Recovery • Pipeline Awareness Program Audit • Personnel Tracking Movement • Compliance with NGERS Reporting • SA Land Tenure audit

The auditing program offers the opportunity to identify and promote continual improvement within Epic Energy and completion of these audits is recognized as a key performance indicator by the board of directors.

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12 REPORTS ISSUED DURING THE 2010 LICENCE YEAR The following reports were generated and forwarded for the Liquids Line pipeline in 2010: • PL 2 Annual Report for 2009 (forwarded early 2010) • Monthly maintenance reports • 2009 Annual Maintenance Plan (for approval by Santos) • DCVG Defect – Investigation and Repair Report • Pump Stn No# 3 Mothballing Work Pack. • Rosen ILI Pipeline Preliminary Inspection Reports 13 VOLUME OF PRODUCT TRANSPORTED 1,046,224 tonnes of product was transported through the Liquids Pipeline in 2010, this equates to a gross volume of 1,479,684 m3 and a net volume of 1,460,725 m3 14 PROPOSED OPERATIONAL ACTIVITIES FOR 2011 During 2011 the following activities are proposed for the Liquids Line pipeline: • Complete all scheduled routine maintenance activities and corrective maintenance identified • Submission of a 2010 Annual Report in early 2011 • Conduct a Pipeline Cleaning Pig program. • Replace CP transformer rectifier at KP 402 • Excavate and verify ILI pigging defect data ( repairs as necessary) • Excavate and repair coating defects identified in the 2011 DCVG survey. • DCVG survey. • Paint one above ground facility (site to be determined) • Low depth of cover restoration between PS2 and Moomba • Permanent creek erosion repairs at Mulligan Springs Creek. 15 STATEMENT OF EXPENDITURE Confidential

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16 KEY PERFORMANCE INDICATORS The following key performance indicators have previously been established to monitor performance of operations and maintenance activities on the Liquids Line. Outlined below are the KPI results for 2010.

2010 Target 2010 Actual 2010 Comment Cathodic Protection Percentage of the pipeline protected to AS2832.1 level

100%

97%

Low Potential levels recorded at KP 347.8, KP 350.8 , KP 370.8 , KP 485.8 and Port Bonython.

Internal Corrosion SRB count from 100 ml sludge sample using serial dilution method

3 or less positive

>3 Positive

The analysis of the samples taken during the September 2010 cleaning/gauge pig run have indicated higher levels of bacterial activity in two samples in pig barrels at PS3 and PS4. Biocide dose rate doubled as a mitigation factor.Additionally, a corrosion Inhibitor batching treatment will be applied in Jan-Feb 11

Third Party Incident Number of times pipeline is damaged

0 0 No damaged occurred to the pipeline during the reporting period

Number of near misses (digging within 1m of pipeline)

0

0

No activities of this nature that involved Epic Energy the owner or a third party were identified during the reporting period

Exposure of pipeline due to washout and wind erosion

0

0

Heavy rains and flooding during 2009 caused water erosion in several areas, however the pipeline was not exposed at any location.

SCADA and Leak Detection Reliability of SCADA and Leak Detection System

100%

96.6%

SWER line faults and Santos plant faults accounted for the communication outages during 2010.

Environmental Number of uncontrolled hydrocarbon releases

0 0 There were no uncontrolled releases of hydrocarbons reported in 2010

Earth Tremor Surveillance Vehicular surveillance immediately after an earth tremor or flood

100%

100%

Patrols had to schedule in 2010 on several occasions immediately after heavy rain and flooding in areas associated with the liquids pipeline.

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17 CONCLUSION The maintenance and inspection programs carried out on the Moomba – Port Bonython Liquids in 2010 have ensure the pipeline is fit for service and capable of operating within the set parameters. The CP Survey results supplied in Appendix B indicate the protection levels are adequate to provide suitable protection for the pipeline. The pipeline is considered to be in good working condition and well maintained.

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Appendix A – Assessment of Declared Objectives

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ASSESSMENT OF DECLARED OBJECTIVES OBJECTIVE GOAL OBJECTIVE ACHIEVED OBJECTIVE

ACHIEVED YES / NO

SUPPORTING COMMENTS

1. To avoid unnecessary disturbance to 3rd party infrastructure, landholders or land use

1.1 To minimise disturbance or damage to infrastructure / land use and remediate where disturbance cannot be avoided

When disturbance to infrastructure (eg. such as fencing or access tracks) occurs less than once every five years.

Yes

No disturbance to third party infrastructure during 2010.

1.2 To minimise disturbance to landholders

If access to private property occurs more often than once a year in accordance with landowner agreements.

Yes

No disturbance to third party infrastructure during 2010.

2. To maintain soil stability/integrity

2.1 To remediate erosion as a result of pipeline operations in a timely manner

When the extent of soil erosion on the easement was consistent with surrounding land.

N0

Heavy rains and flooding caused areas of erosion and reduced depth of cover over the pipeline. Immediate temporary repairs have been carried out with ongoing restoration work scheduled for 2011. Wind erosion issues north of PS2 have been delayed to 2011 due to heavy rains and flooding of the area.

2.2 To prevent soil inversion

Annual land survey to look for soil discolouration, success of vegetation return as an indicator. Disturbance checklist signed off to indicate top soil/subsoil is stockpiled separately and soil profiles appropriately reinstated following the re-instatement of works/excavations.

Yes

During the reporting period Epic Energy carried several excavation activities for coating defect repairs and pipeline integrity inspections. Epic Energy staff supervising pipeline excavations is required to advise the plant operators to stockpile topsoil separate from the deeper spoil and return it to the top of the backfilled excavation. (see WM02-134) No soil inversion has taken place and therefore the objective has been met.

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OBJECTIVE GOAL OBJECTIVE ACHIEVED OBJECTIVE ACHIEVED YES / NO

SUPPORTING COMMENTS

3. To maintain native vegetation cover on the easement

3.1 To maintain regrowth of native vegetation on the easement to be consistent with surrounding area

Off ROW vegetation clearing limited to previously disturbed areas or areas assessed to be of low sensitivity. Area of disturbance has been minimised. In event of pipeline repair, open trenches are monitored daily and not left open for more than 72 hours.

Yes

The condition of the native vegetation within the pipeline easement is consistent with the surrounding vegetation. Heavy rains experienced in 2010 have increased the vegetation growth along the pipeline route.

3.2 To minimise additional clearing of native vegetation as part of operational activities

Off ROW vegetation clearing limited to previously disturbed areas or areas assessed to be of low sensitivity. Area of disturbance has been minimised.

Yes

During the reporting period t excavation activities were carried out, however care was taken to ensure damage to the local vegetation was minimal.

3.3 To ensure maintenance activities are planned and conducted in a manner that minimises impacts on native fauna

Species abundance and distribution in such areas was consistent with the surroundings. Follow-up restoration work was undertaken as necessary.

Yes

No maintenance activities during 2010 had identified any impact on the native fauna.

3.4 To minimise disturbance of marine habitats

Not relevant for this pipeline Yes

Not relevant for this pipeline

4. To prevent the spread of weeds and pathogens

4.1 To ensure that weeds and pathogens are controlled at a level that is at least consistent with adjacent land

The presence of weeds and pathogens on the easement was consistent with adjacent land.

Yes

The presence of weeds and pathogens on the easement was consistent with adjacent land.

5. To minimise the impact of the pipeline operations on surface water resources

5.1 To maintain current surface drainage patterns

Surface drainage has been restored and maintained to preconstruction condition.

Yes

During the reporting period no alterations have been made to the landscape through which the pipeline traverses and therefore current drainage patterns have been maintained.

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OBJECTIVE GOAL OBJECTIVE ACHIEVED OBJECTIVE ACHIEVED YES / NO

SUPPORTING COMMENTS

6. To avoid land or water contamination

6.1 To prevent spills occurring, and if they occur minimise their impact

Spill protection methods are used. All liquid waste is contained within impermeable containers or containment. No evidence of any spills or leaks from operations.

Yes

There were no incidents or reported spills on the Moomba to Port Bonython Liquids Line during 2010

6.2 To remediate and monitor areas of known contamination arising from pipeline operations

No evidence of rubbish or litter on ROW or at facilities. Waste material is appropriately contained and disposed of. There is not evidence of any contamination. Records are maintained for all hazardous waste disposals.

Yes

There are no areas of contamination occurring as a result of the pipeline operations.

6.3 To prevent the spread of contamination where the easement intersects known contaminated sites

Burns pits are no longer used to collect oil. Contractors are utilised for the collection of waste oil. These sites are audited and inspected on a routine basis.

Yes

The Pipeline does not traverse any contaminated sites .

6.4 To ensure that rubbish and waste material is disposed of in an appropriate manner.

Where practicable, recyclable waste is segregated and returned to Peterborough or sent to a recycling depot. Where not practicable to recycle, waste is disposed of in an appropriate manner.

Yes

All rubbish and waste material is removed from all of the pipelines facilities and the easement. This material is transported back to an approved refuse collection and disposal facility.

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OBJECTIVE GOAL OBJECTIVE ACHIEVED OBJECTIVE ACHIEVED YES / NO

SUPPORTING COMMENTS

6.5 To prevent impacts as a result of hydro-test water and waste water (water bath heaters and wash down water) disposal

Inspection of water disposal sites for evidence of water entering a watercourse or environmentally sensitive area. Testing of water quality prior to release/disposal of waste water. Records on source of water and discharge method/location. Water discharged onto stable ground, with no evidence of erosion as a result of discharge. Water disposed of in a manner that prevented discharge or runoff to watercourses or environmentally sensitive areas.

Yes

During the reporting period there were no operational requirements to dispose of any waste water.

6.6 To ensure the safe and appropriate disposal of grey water (sullage, sewage)

Compliance with the relevant local government regulations or relevant health and sanitation regulations.

Yes

All waste water at Epic Energy’s facilities is managed in accordance with statutory regulations and requirements.

7. To minimise the risk to public health and safety

7.1 To adequately protect public safety during normal operations

The pipeline easement was clearly identified by signs that had been installed in accordance with AS2885. A comprehensive landowner liaison program was implemented. An Emergency Response Plan is in place and personnel are adequately trained.

Yes

Signage compliant with As 2885 are in place and maintained. The use of approved work procedures and an intensive Pipeline Awareness program contributes to Epic Energy meeting this objective.

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OBJECTIVE GOAL OBJECTIVE ACHIEVED OBJECTIVE ACHIEVED YES / NO

SUPPORTING COMMENTS

7.2 To adequately protect public safety during maintenance

All affected and adjacent landowners were advised of the nature and schedule of maintenance activities. All potentially hazardous areas were signposted or marked with bunting. Adequate traffic management practices were implemented. There were no injuries or incidents involving the public.

Yes

All landowners and relevant authorities are advised whenever any work is scheduled on their property or land under their control. All potentially hazardous work sites are marked During the reporting period no activities were undertaken that required specific traffic management procedures to be in place. Epic staff are trained in traffic management practices and do employ these techniques whenever required. In addition to the comments above the comments for 7.1 apply.

7.3 To avoid fires associated with pipeline maintenance activities

Fuel load on the easement was consistent with adjacent land. All operations personnel were trained in fire safety procedures. No pipeline related fires have occurred.

Yes

No maintenance activities were performed during the reporting period that may have contributed to a fire situation.

7.4 To minimise oil losses during pigging and other routine pipeline operations

Spill protection methods are used. All liquid waste is contained within impermeable containers or containment. No evidence of any spills or leaks from operations.

Yes

No spill s have been reported during this reporting period.

7.5 To monitor the condition of the pipeline to ensure that potential pipeline leaks are identified and appropriate action implemented

Pipeline is pigged at least annually. Pipeline is chemically batch treated in conjunction with the cleaning pig run to control bacteria activity. Pig waste material is analysed for evidence of bacterial activity and appropriate action initiated.

Yes

The bacteria analysis completed after pigging operations in 2010 indicated positive vials >3 in two pig trap vessels. Chemical injection has been increased and additional pig cleaning runs scheduled to confirm bacterial activity levels are within acceptable limits.

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OBJECTIVE GOAL OBJECTIVE ACHIEVED OBJECTIVE ACHIEVED YES / NO

SUPPORTING COMMENTS

7.6 To prevent unauthorised activity on the easement that may adversely impact on the pipeline integrity

Inspection / Patrol reports and records. Comprehensive landholder liaison program and records of communications with landholders. Community education program implemented in Regional areas. ‘Dial before you dig’ number available and widely advertised. Clear identification of the pipeline by signs installed in accordance with AS2885. All reports of unauthorized activity are reported and investigated.

Yes

There was no reportable unauthorized third party activity on the Moomba – Port Bonython pipeline easement during 2010.

8. Minimise impact of emergency situations

8.1 To minimise the impact as a result of an emergency situation or incident

The pipeline is inspected, monitored, reviewed and appropriate records kept. All staff were trained in and aware of emergency response procedures.

Yes

A desk top Emergency exercise was carried out on the Moomba – Port Bonython Pipeline in 2010 to test the knowledge of emergency procedures.

8.2 To restore any damage that may occur as a result of an emergency situation

Refer to previous criteria (Objective 1, 2, 3 & 6).

Yes

No incident during 2010

9. To minimise noise due to operations

9.1 To ensure operations comply with noise standards

Operational activities comply with noise regulations, under the Environment Protection Act 1993. No complaints were received.

Yes

All maintenance tasks performed during the reporting period were of a nature that did not contribute to any increased levels of noise pollution.

10. To minimise atmospheric emissions

10.1 To eliminate uncontrolled atmospheric emissions

Spill protection methods are used during routine operations. Incident/Spill reports. Scheduled routine maintenance plan.

Yes

No spills or uncontrolled hydrocarbon releases recorded in 2010

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OBJECTIVE GOAL OBJECTIVE ACHIEVED OBJECTIVE ACHIEVED YES / NO

SUPPORTING COMMENTS

10.2 To minimise the generation of dust.

Incident reports. Compliance with work instructions.

Yes

Dust controlled measures are incorporated into work procedures during the excavation programs.

11. To adequately protect cultural heritage sites and values during operations and maintenance

11.1 To ensure that identified cultural sites are not disturbed

No impact to known or new sites Yes

No operations or maintenance activities occurred during 2010 that had any impact on cultural heritage sites. All excavations have cultural and heritage clearance prior to commencing.

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Appendix B – Pipeline Cathodic Protection Data

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Liquids Line Corrosion Protection On/Off Potentials 2010 Surveys On/Off potentials taken during the May-2010 and Oct-2010 full line surveys are presented in the graph below.