Sub-Contractor's perspective HOW A LOCAL CONTRACTOR HAS MANAGED TO WIN CONTRACTS WITH THE LARGER CONTRACTORS

Jason Varcoe

Managing Director NTC Contracting [email protected]

Outline

◦ Introduction ◦ How did we get there ◦ Company History, Growth & Development ◦ Key Points

Introduction

NTC Contracting has been very successful at gaining works on the Wheatstone Project. Major Contracts include: ◦ “Early Works Civil” for Bechtel ◦ ◦ ◦ ◦ ◦ ◦ “Non Permanent Works” for Bechtel “QMC Bridge Earthworks and Road Works” for McConnell Dowell “ISBL & OSBL Civil Works” for Laing O’Rouke “Aggregate Cartage” for Thiess “WWTP Irrigation Field Installation” for Monadelphous “Site Civil Works” for Energy Power Systems ◦ ◦ “Concrete Disposal” for Veolia “Underground Civil Works” for CB&I

Introduction

Minor Hire Works include: ◦ KEJV ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ ◦ John Holland Zinfra Mammoet ATCO Spinafex Outback Trees RockJV BestJV Keller Peak Workforce was 120 staff on the project and we have completed over 250,000hrs on the project LTI free to date.

How did we get there?

All of these works were not handed to us, we had to work for them.

Key Aspects: ◦ Prior to Wheatstone we were of medium size with 30-40 staff ◦ ◦ ◦ Had worked in mining environments but only as a minor subcontractor We spent time and money developing the company systems including ◦ ◦ ◦ ◦ ◦ Quality Safety Environmental Human Resources Financial We called, we researched, we networked, we tendered

Who We Are

NTC Contracting started as Northern Transport during the 1950s in Onslow. The company was established by the McAullay family (a local family living in Onslow) and provided the small township of Onslow transportation and general civil services.

The company was purchased by Chris and Richard Evans in May 1998 and later commenced a regular freight run from Perth to Onslow. Northern Transport Company grew through haulage and small civil contracts in the Pilbara often for mining clients NTC Contracting Pty Ltd (NTC) was officially formed in 2008 as a Civil Contracting branch of Northern Transport Company.

The Growth of NTC

NTC started evolving in the late 1990’s from running a regular freight service and working on local contracting jobs within Onslow into larger projects including mine site civil construction.

Late 1990

Loading for a trip to Perth

Late 1990

Prior to leaving for freight run to Perth

Early 2000 – Onslow Salt

◦ In early 2000 Onslow Salt started production in Onslow. ◦ NTC tendered for and won the cartage contract ◦ The contract involved carting salt from the crystallisers to the wash plant ◦ Was a 7 day a week 24 hour operation.

Early 2000 – Onslow Salt

Some of the first loads of salt

Early 2000 – Onslow Salt

Taking samples from the salt Stockpile

Mid 2000 – Cyclone Glenda

◦ ◦ ◦ ◦ In March 2006 Cyclone Glenda hit Onslow as a Category 3 cyclone. A lot of damage was caused to the Onslow Salt levee walls NTC tendered for and was awarded the head contract for the repairs NTC undertook HSE under the guidance of Onslow Salt. Cyclone Track

Mid 2000 – Cyclone Glenda

Excavating for Wall Repairs

Mid 2000 – Cyclone Glenda

Sorting Armour Rock

2008 – Sino Iron Project

◦ ◦ ◦ In June 2008 NTC commenced work on the Sino Iron project under VDM Group building the 1700 man camp 123. This evolved into a Site wide Services contract under MCC for Civil Construction services around the entire Sino Iron site NTC undertook their own HS&E, Quality Assurance and Human Resources Management AG Mill Construction

2008 – Sino Iron Project

Terex MT4400

2008 – Sino Iron Project

Causeway Construction

2008 – Sino Iron Project

Health and Safety ◦ NTC managed HSE in line with site requirements ◦ Used client supplied paperwork ◦ Human Resources Developed site greenfields agreement to meet site Industrial Relations requirements Environmental ◦ Started using a waste management system

2011 – Macedon Project

◦ ◦ ◦ ◦ In June 2011 NTC tendered for and was awarded subcontract under OTOC for earthworks 350 man camp. First Oil and Gas Contract On completion tendered Road Maintenance Contract under Technip EPCM Awarded Contract brought a great opportunity for NTC to upskill their management systems Macedon Project

2011 – Macedon Project

NTC Commenced the Camp Construction under OTOC

2011 – Macedon Project

All of NTC’s equipment had to meet the BHP Requirements for the site

2011 – Macedon Project

NTC introduced regular stretching into our prestart meetings

Q1-Q2 2011 Wheatstone Project

February 2011

NTC initiated communication with Bechtel and was able to undertake the project prequalification

April 2011

A large investment of time was required to update systems to reach the standard required. NTC completed the prequalification and was approved as a First Tier Contractor

Q2, Q3 & Q4 2011 Wheatstone Project

May 2011

NTC was invited to tender for “Early Works Civil” package

August 2011

NTC was awarded “Early Works Civil” package

November 2011

NTC Commenced work on the Wheatstone Project

Q1 2012 Wheatstone Project

18 Jan 2012

Ground was Broken on the CV Site creating access along Camp Road 1 into the site

Q2/Q3 2012 Wheatstone Project

June 2012

NTC reached 50,000 hours on site without a lost time injury

Q3 2012 Wheatstone Project

Sept 2012

NTC poured the very first permanent concrete for the project in the Communications Tower base

NTC Development

February 2013

NTC achieved accreditations in Quality and Safety Management Systems ISO9001 – Quality Assurance AS4801 – Occupational Health and Safety

Q3 2013 Wheatstone Project

July 2013

NTC was awarded our second major contract on Wheatstone titled “Non-Permanent Works” consisting of ◦ Road construction and sealing, ◦ ◦ Drain construction Various civil maintenance works

NTC Now

NTC works closely with environmental personnel such as Fauna Handlers to ensure appropriate management of the environment

NTC Now

NTC has systems in place to ensure correct barricading is always used

NTC Now

NTC promotes a family culture when it comes to completing JHA’s, prestart meetings and Take 5’s

NTC Now

NTC takes inspections of plant seriously; undertaking checks before any plant is started each morning

NTC Now

Heavy machinery has a lot of moving parts - NTC has systems and procedures to manage and clean-up spills

NTC Now

As per the NTC Fitness for work procedure, prestart meetings and breathalyser checks are mandatory for all staff every day and toolbox meetings held every week

NTC Now

NTC is currently undertaking our Environmental Management System Accreditation audit to achieve ISO14001 We hope to be able to display the below logo in our documentation soon

Key Points

◦ Don’t expect contracts to fall into your lap because of your location or expertise.

◦ Do your research about who is awarded what contract, start cold calling.

◦ Be prepared to invest in Plant and Equipment if required but don’t to this too early in case a lead falls through

Key Points

Start working on your company systems ◦ Health and Safety ◦ Environmental ◦ Quality Assurance ◦ Human resources Ask to become a prequalified supplier to some major contractors. This process will help guide you through what is needed to become compliant.

Questions?