Below is a list of frequently asked questions about the EIS and the proposed expansion of Olympic Dam.

Please feel free to contact us if you have any further questions or comments.

About The Project

• How likely is it that the expansion project will proceed?
• How big will the project be?
• Will it definitely be an open pit mining operation?

Environment

• How will BHP Billiton off-set the extra greenhouse gases resulting from the expansion project?

Roxby Downs & Local Region

• Who will take responsibility for ensuring that the Master Plan is funded and implemented according to plan?
• Will the proposed expansion lead to cheaper or more expensive living costs in Roxby Downs?
• Will BHP Billiton own the new accommodation or will this be privately owned?

Desalination

• Why build a desalination plant?
• Why build the desalination plant at Point Lowly on Upper Spencer Gulf?
• What impact will the desalination plant have on cuttlefish?

How likely is it that the expansion project will proceed?

This will depend on the successful completion of pre-feasibility and final feasibility studies and the securing of government approvals. Following the studies, if all required government approvals are received, the ultimate decision will be made by the BHP Billiton Board.

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How big will the project be?

The aim is to significantly increase copper production at Olympic Dam, however, the scope of the project is being developed during the pre-feasibility study. Results of this work will be explained in the Draft Environmental Impact Statement. For further details, please refer to the EIS Guidelines published by the State and Federal Governments.

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Will it definitely be an open pit mining operation?

The study work so far indicates that open pit is the likely mining method for developing the southern part of the ore body. There is also the possibility of utilising the ‘block cave’ mining method to mine parts of the ore body. The existing underground operation would continue for some time in conjunction with an open pit.

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How will BHP Billiton off-set the extra greenhouse gases resulting from the expansion project?

This very important issue is the subject of intensive work during the pre-feasibility phase. Results of this work will be explained in the Draft Environmental Impact Statement.

It is important to recognise that Olympic Dam needs a secure base load energy source which at present is only available from the state grid. However the project team is examining a range of options such as gas, wind and hot rocks.

At present the National Grid does not offer greenhouse credits for companies that use low emission energy sources. The future of a so called “Green Grid” will ultimately depend on the legislative and regulatory requirements set by government.

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Who will take responsibility for ensuring that the Roxby Downs Master Plan is funded and implemented according to plan?

The primary responsibility will be BHP Billiton’s but the Roxby Downs Council and the South Australian Government also will have important roles.

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Will the proposed expansion lead to cheaper or more expensive living costs in Roxby Downs?

BHP Billiton does not control the cost of living in Roxby Downs but will do what it can to ensure that housing remains affordable and that the provision of power and water to residents is at a cost no greater than in other regional communities in South Australia.

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Will BHP Billiton own the new accommodation or will this be privately owned?

It is BHP Billiton’s policy to encourage private ownership of housing.

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Why build a desalination plant?
The Olympic Dam mining and processing operations currently use up to 35 megalitres per day of water. This water is sourced from the Great Artesian Basin. The proposed expansion may require up to an additional 125
megalitres per day.
A range of primary water supply options were investigated, including:
• additional water from the Great Artesian Basin
• water from other local aquifers
• the purchase of River Murray water licenses
• partially treated effluent from Adelaide.

BHP Billiton has focussed on developing a coastal desalination plant in the Upper Spencer Gulf as its preferred water supply option. The other options were not progressed because of their environmental impacts, long-term sustainability and security of supply issues, cost or a combination of those factors.

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Why build the desalination plant at Point Lowly on Upper
Spencer Gulf?

Point Lowly, 15 km north east of Whyalla, is the preferred location for the desalination plant as it offers both deep and active water, which aid dispersion of seawater concentrate. Alternative locations in the Upper Spencer Gulf have been investigated but are inferior to the proposed site in these respects.

BHP Billiton has commissioned extensive hydrodynamic modelling
of tidal conditions in the Gulf and brine dispersion modelling to
determine:

the best location of the desalination, the intake pipeline and the discharge outlet
the potential short and long term impact of brine discharge, if any
The results of these studies and ecotoxicity studies of marine
species will be presented in the Environmental Impact Statement,
which is being prepared for the Expansion Project. The EIS will be
available to the public for review and comment before it, and a
response document addressing public comment is submitted to the
Federal and State Governments for approval to proceed with the
desalination plant and other elements of the proposal.

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What impact will the desalination plant have on
cuttlefish?

A unique breeding aggregation gathers near Point Lowly each year.
Detailed marine ecology studies are being undertaken as part of the
EIS to assess potential effects of brine on marine species and
communities. In particular, the EIS will examine if there will be
impacts on the Giant Cuttlefish near Port Bonython and juvenile and
adult prawns; and Yellow Tail Kingfish in aquaculture rings in
Fitzgerald Bay and neighbouring seagrass communities.
The species committed to being examined include:
• Giant Cuttlefish
• Macroalgae
• Microalgae
• Sydney Rock Oyster
• Yellow Tail Kingfish
• Pacific Oyster
• Blue Swimmer Crab
• Sea Urchin
• Tiger Prawn
• Western King Prawn
• Sardine
• Snapper