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T +61 8 8338 2833 | F +61 8 8338 2336 beachenergy.com.au

29 July 2020

By Email: [email protected] Environmental Protection Authority

Sandra Balcombe

Manager, Land & Oceans Applications Level 10, Grant Thornton House 215 Wellington Quay

Wellington 6011, New Zealand

cc: Jillian Kennemore Ben Moginie

Dear Sandra

Re: Section 54 Request for further information from Beach Energy – EEZ100019

Beach Energy Resources NZ (Holdings) Limited received a Request for Further Information from the Environmental Protection Authority on 21 July 2020. The request was with regards to the notified marine discharge consent application for the Canterbury Basin Exploration and Appraisal Drilling Programme (EEZ100019).

Please find attached our response to this request for further information.

Yours sincerely

Mat Quinn

Country Manager New Zealand and General Manger Operations

Enclosure 1: Further Information Request #1 Response.

If you have any furtherquestions,please don’t hesitate to contact Zoe Brooking on +61 (08) 8433 23675 or [email protected]

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ENCLOSURE 1 – Further Information Request #1 Response

Request One – Consultation and Engagement

The DMC requests information/records/evidence of Beach Energy’s consultation and engagement with Maori groups noted in the impact assessment and identification of how any concerns and outcomes were considered.

Introduction:

Beach Energy Resources NZ (Holdings) Limited (Beach Energy) is committed to engaging with Māori groups for the duration of the Canterbury Basin Exploration and Appraisal Drilling Programme (EAD Programme).

This consultation process aligns with Beach Energy’s core values which guide all of Beach Energy’s actions and decisions. Beach Energy is committed to establishing enduring relationships and transparency in terms of sharing of information. Beach Energy’s values include:

Safety – safety takes precedence in everything we do;

Creativity – we continuously explore innovative ways to create value;

Respect – we respect each other, our community and the environment;

Integrity – we are honest with ourselves and others;

Performance – we strive for excellence and deliver on our promises; and

Teamwork – we help and challenge each other to achieve our goals.

Even though the notified marine discharge consent application has been submitted, Beach Energy is committed in continuing to engage with Māori groups on the wider EAD Programme. Since the notified marine discharge consent application was submitted, Beach Energy has kept persons with existing interests, including Māori groups, updated on progress with the EAD Programme, including how Covid-19 has impacted on the timeframes of the drilling.

As background information, Beach Energy was a joint-venture partner with OMV GSB Limited (OMV) in a recently completed exploration well named Tāwhaki-1 in the Great South Basin (GSB). As joint-venture partners, Beach Energy gained an appreciation of the consultation that was undertaken as part of the GSB EAD Programme, particularly the rūnanga along the east coast of the South Island that were engaged with. Most of the Māori groups that Beach Energy is currently engaging with for the EAD Programme are the same as those OMV engaged with for the GSB EAD Programme. As a result, these Māori groups are familiar with the nature of the various proposed activities associated with an offshore EAD Programme as well as the mitigation measures that will be implemented.

A comprehensive set of consent conditions were developed for the GSB EAD Programme as a result of the OMV consenting process and engagement with Māori groups. Essentially very similar consent conditions were incorporated into Beach Energy’s application as proffered conditions to ensure consistency with OMV’s marine discharge consent granted by the Environmental Protection Authority (EPA).

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processes involved.

Additional Information Request – Marine Discharge Consent EEZ100019

On 29 April 2020, the EPA requested further information from Beach Energy for marine discharge consent EEZ100019 in accordance with section 54(1) of the Exclusive Economic Zone and Continental Shelf (Environmental Effects) Act 2012 (EEZ Act).

The EPA deemed Application EEZ100019 to be complete under Section 40 of the EEZ Act and on 29 April 2020 requested further information from Beach Energy regarding existing interests in light of the Trans-Tasman Resources Limited (TTRL) Court of Appeal decision released on 3 April 2020. Beach Energy provided its response to the EPA on 18 May 2020. This response covered matters relating to existing iwi interests in terms of both claims under the Marine and Coastal Area (Takutai Moana) Act 2011 (MACA) and kaitiakitanga interests.

Ngā Kaihautū Tikanga Taiao Report

The Decision-making Committee (DMC) requested advice under section 56(1)(b) of the EEZ Act from the EPA’s Māori Advisory Committee, Ngā Kaihautū Tikanga Taiao (NKTT), which subsequently provided a report to the EPA on 3 July 2020. The NKTT report focused on matters related to the discharge of harmful substances with respect to Māori existing interests, the key effects of the proposed activity that could be of concern to Māori/iwi, and whether the proffered conditions were appropriate to manage relevant effects of the proposed activities from a Māori/iwi perspective.

As part of its request, it is understood that the DMC provided NKTT with not only the Application but also Beach Energy’s response to further information request dated 18 May 2020 covering, inter alia, kaitiakitanga interests relevant to the Canterbury Basin. The NKTT report includes no acknowledgement that it reviewed Beach Energy’s 18 May 2020 response to the further information request. The NKTT report notes that

“Although the Impact Assessment provides bio-physical descriptions, it does not provide for, nor consider, the whanaungatanga and kaitiakitanga (the relationships between Māori/iwi and the natural environment), or broadly the holistic and integrated Māori/iwi worldview and the role and practices of kaitiaki, in the area and surrounding environment.” Beach Energy’s 18 May 2020 response to the EPA specifically covers these matters.

It is unclear whether this additional information was reviewed by NKTT.

Beach Energy has engaged widely with Māori groups throughout the development of the marine discharge consent application and has continued to do so since the application was lodged. An engagement register has been kept of all meetings; however, specific details of the discussions with Māori groups are unable to be provided as part of this process as these discussions have been held in confidence as part of developing a long-term enduring relationship. Beach Energy wishes to respect the engagement with these Māori groups and not make the minutes of such meetings part of the public record.

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Initial Engagement through the Canterbury Basin Environmental Baseline Survey

In an attempt to base the applications on the best available information, Beach Energy conducted an environmental baseline survey in the Canterbury Basin across the Wherry and Gondola Impact Assessment Areas to further understand the existing environment.

The environmental baseline survey was classified as marine scientific research in accordance with the Exclusive Economic Zone and Continental Shelf (Environmental Effects – Permitted Activities) Regulations 2013 (PA Regulations). Beach Energy notified the EPA on 2 December 2019 of their intention to undertake the activity and provided a completed Form 1 in accordance with Schedule 1 of the PA Regulations.

On 16 December 2019, NKTT, through the EPA, provided Beach Energy with the names and contact details of 57 different groups made up of iwi authorities, mandated iwi organisations, recognised iwi organisations, customary marine title groups, and protected customary rights groups that should be notified of the proposed marine scientific research permitted activity. NKTT considered the proposed permitted activities would have some impact on these Māori existing interests based on the information provided in Form 1 of the permitted activity notification process.

The Māori existing interests that were notified of the environmental baseline survey are listed in Appendix A.

However, in addition to these groups, a number of the rūnanga located inshore of Beach Energy’s petroleum exploration permit were not included in the NKTT list. Beach Energy, as a responsible operator, also advised these rūnanga of the proposed activities.

Beach Energy subsequently notified all 57 groups as well as the additional the rūnanga located inshore of the petroleum exploration permit area on 14 January 2020. The documentation that was provided to the Māori groups, along with the Form 1 – Pre-Activity Notice, is provided in Appendix B.

Beach Energy received no objection to the proposed permitted activities, nor was there any request for further information regarding the marine survey or Beach Energy’s exploration work in the Canterbury Basin.

Māori Groups Engagement

On 14 February 2020, Beach Energy provided a cover email and information sheet (Appendix C) to all relevant Māori groups and also provided a link to Beach Energy’s website where further information was available on the EAD Programme. The information sheet provided a project summary (as it was at February 2020) and Beach Energy invited questions and feedback on the proposed activities. The specific iwi, rūnanga, and Māori fisheries entities that were sent the information sheet were (none of which responded with any queries):

• Te Rūnanga o Ngāi Tahu;

• Te Rūnanga o Ōtākou;

• Kāti Huirapa ki Puketeraki (Karitane);

• Te Rūnanga o Moeraki;

• Te Ao Marama;

• Aukaha;

• Hokotehi Moriori Trust;

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• Te Rūnanga o Waihao Inc;

• Te Rūnanga o Arowhenua;

• Te Taumutu Rūnanga;

• Wairewa Rūnanga;

• Ōnuku Rūnanga;

• Aoraki Environmental Consultancy;

• Ngāi Tahu Seafoods;

• Moana New Zealand;

• Te Rūnanga o Ngāi Tahu – MACA application; and

• Te Maiharoa Whanau – MACA application.

Further correspondence was sent to these Māori groups which included a request to meet with them to introduce the Beach Energy team and to provide further information on the EAD Programme. Unfortunately, due to busy work schedules, a number of groups were unavailable to meet in February 2020.

Section 5.2 of the marine discharge consent application provides an overview of the meetings held with Māori groups, with Table 17 of the application providing a summary of the discussions and outcomes of these meetings. Meetings were held with the following.

• Te Rūnanga o Ngāi Tahu – 19 February 2020;

• Aukaha – 25 February 2020; and

• Te Ohu Kaimoana – 4 March 2020.

Aukaha are a regional environmental entity that provides resource management services on behalf of five Ngāi Tahu Papatipu Rūnanga, namely Te Rūnanga o Waihao, Te Rūnanga o Moeraki, Kāti Huirapa Rūnaka ki Puketeraki, Te Rūnanga o Ōtākou, and Hokonui Rūnanga. Beach Energy contacted each of these rūnanga/rūnaka individually with a request to meet; however, they advised that it was more appropriate that Aukaha represented their interests and meet with Beach Energy in the first instance.

During these meetings, Beach Energy went through a presentation that summarised the company, the petroleum exploration permit, the proposed activities, and likely timings of the EAD Programme. This presentation was provided electronically after the meeting. Aukaha advised they would provide the presentation and summary of meeting to the five rūnanga/rūnaka. The presentation presented to Aukaha, Te Rūnanga o Ngāi Tahu and Te Ohu Kaimoana, both in person and electronically is provided in Appendix D.

Beach Energy provided a draft of the marine discharge consent application to Aukaha, Te Rūnanga o Ngāi Tahu and Te Ohu Kaimoana at the beginning of March 2020 for an opportunity to provide comment on the application prior to lodgement. No comments were received that required any change to the submitted application. Beach Energy has always accepted that the Māori groups that it engages with would have the

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Page 6 of 7

opportunity to submit on a notified marine consent application such as this, in addition to any views that might be expressed through such engagement processes.

Covid-19 Impacts

The Covid-19 pandemic has had an impact on the EAD Programme and has subsequently resulted in the drilling programme being delayed from the original timeframes. Not only has Covid-19 impacted the timeframes but it has had a significant impact on the ability for Beach Energy to conduct face-to-face engagement, particularly with the travel restrictions that were in place during Alert Levels 3 and 4.

Trans-Tasman and national travel was stopped early by Beach Energy as part of its internal Covid-19 response measures. These restrictions meant that senior project team members from Beach Energy were not able to attend any engagement meetings in person. A number of meetings were scheduled for March 2020, but they had to be subsequently cancelled and, as a result, no further meeting requests were made as the impacts of Covid-19 were quickly ramping up.

Beach Energy contacted Te Rūnanga o Ngāi Tahu for guidance on engaging with rūnanga during the Alert Level 4 lock down period. Te Rūnanga o Ngāi Tahu advised that, during what was a stressful period, it would be wise to avoid contacting any rūnanga about the EAD Programme as everyone was under a lot of pressure with the Covid-19 situation. Te Rūnanga o Ngāi Tahu recommended that Beach Energy wait until Alert Level 1 or 2 restrictions came into force before contacting the rūnanga again.

On 15 May 2020 Beach Energy provided a cover email and information update sheet to the Māori interests listed in Appendix A. They were provided with an updated information sheet, a copy of which is included in Appendix E. Aukaha responded and advised that the best way to engage is to continue keeping it informed of the applications and anticipated timelines, and if anything changes a hui should take place.

A hui with Aukaha was held on 26 May 2020 via video conferencing to provide further updates on timings of the EAD Programme. This hui also allowed Beach Energy to gain an understanding of how rūnanga/rūnaka were coping during Covid-19. Beach Energy’s decision to leave all Māori interests alone during lockdown until New Zealand was back to Alert Level 2 was well received by Aukaha. Aukaha recommended it would be best to leave face-to-face hui until New Zealand was at Alert Level 1.

The only other response Beach Energy received from the information sheet distributed on 15 May 2020 was from Te Rūnanga o Moeraki who sent an email requesting a better location map be provided and asked what other rūnanga Beach Energy are engaging with. This information was subsequently provided and there were no further questions or responses received.

Once New Zealand reached Alert Level 1 Covid-19 restrictions, Beach Energy commenced organising face-to- face engagements. Again, there were a number of groups unavailable during this time, but Beach Energy has recently met with the following groups to discuss the updated EAD Programme:

• Waitaha Taiwhenua o Waitaki Trust – 21 July 2020; and

• Aukaha – 22 July 2020.

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and Waitaha Taiwhenua o Waitaki Trust after the meeting, which is included in Appendix F.

Waitaha Taiwhenua o Waitaki Trust provided a neutral submission on the marine discharge consent application and Beach Energy requested a meeting following close of submissions. The intention of the engagement was to provide further information on Beach Energy and the EAD Programme as well as provide Waitaha Taiwhenua o Waitaki Trust the opportunity to ask any questions.

Beach Energy is working closely with relevant Māori interests and, as part of the preparation of its non-notified marine consent and marine discharge consent application, Beach Energy has provided a very early draft of the cultural effects section of that application to Aukaha during the meeting held on 22 July 2020. This section was provided early to allow sufficient time for Aukaha to review and comment on it. This information will also be provided to other rūnanga and Māori interests at the end of July 2020.

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APPENDIX A

Permitted Activity Iwi Engagement List

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Iwi Authority

Te Rūnanga o Ngāi Tahu

MIO

Mandated iwi organisations (MIO)

Ngā Taonga o Ngai takoto Trust Ngāti Kurī Trust Board

Te Rūnanga Nui o Te Aupōuri Trust Te Rūnanga o Te Rarawa

Te Rūnanga-a-Iwi o Ngāti Kahu Te Rūnanga o Whaingāroa Te Rūnanga a Iwi o Ngāpuhi Te Rūnanga o Ngāti Whātua Ngāti Wai Trust

Te Whakakitenga o Waikato Incorporated Hauraki Māori Trust Board

Maniapoto Māori Trust Board

Te Runanaga o Ngāi Te Rangi Iwi Trust Ngāti Pūkenga Iwi ki Tauranga Trust Ranginui Fisheries Trust

Te Rūnanga o Ngāti Awa Te Rūnanga o Ngāti Manawa Tūhoe - Te Uru Taumatua Tūhoe Fisheries Charitable Trust Ngāitai Iwi Authority

Whakatōhea Māori Trust Board Te Rūnanga o Ngāti Whare

Ngāti Tūwharetoa Fisheries Charitable Trust

Te Kotahitanga o Te Arawa Waka Fisheries Trust Board Ngāi Tāmanuhiri Whānui Trust

Te Runanganui o Ngāti Porou Trust Rongowhakaata Iwi Trust

Te Aitanga ā Māhaki Trust Ngāti Kahungunu Iwi Inc

Te Ohu Tiaki o Rangitāne Te Ika a Māui Trust Ngāti Maru (Taranaki) Fisheries Trust

Te Rūnanga o Ngāti Mutunga Taranaki Iwi Trust

Te Kotahitanga o Te Ātiawa Trust Te Kaahui o Rauru

Ngā Hapū o Ngāruahine Iwi Inc Te Rūnanga o Ngāti Ruanui Trust Nga Tangata Tiaki o Whanganui Te Pātiki Trust

Ngāti Raukawa ki te Tonga Trust

Muaūpoko Tribal Authority Inc

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Te Rūnanga o Toa Rangatira Inc

Ātiawa ki Whakarongotai Charitable Trust

Te Ātiawa ki te Upoko o te Māui Pōtiki Trust Te Rūnanga o Rangitane o Wairau Trust Ngāti Koata Trust

Te Ātiawa o Te Waka-a-Maui Trust Ngāti Apa ki te Rā Tō Trust

Te Rūnanga o Ngati Kuia Trust Te Rūnanga o Ngāti Rārua Trust Ngati Tama Ki Te Waipounamu Trust Hokotehi Moriori Trust

Ngāti Mutunga O Wharekauri Iwi Trust

RIO

Recognised Iwi Organisations (RIO)

Te Runanga o Te Whānau

Te Rūnanga o Ngāti Tama

MACAs

Customary Marine Title Groups and Protected Customary Rights Groups

Melvin Hutchison Herbert Cain, Jasmine Kay Whaitiri Stewart and Christian Wayne Fife

Robert and Natalie Karaitiana

Te Rūnanga o Ngāi Tahu

Te Whanau o Topi

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APPENDIX B

Pre-activity Notice of Environmental Survey

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From: Beach Community <[email protected]>

Sent: Tuesday, 14 January 2020 7:48 PM To:

Cc: Beach Community <[email protected]>

Subject: Beach Energy - Pre-activity notice of environmental survey in offshore Canterbury basin

Tēnā koe,

Beach Energy Resource NZ (Holdings) Limited has engaged Fugro to conduct a marine survey within the Canterbury Basin exploration permit PEP 38264. The proposed survey will principally involve the mapping of the seafloor and benthic habitats, in addition to some oceanographic and water samples being collected. The map provided below gives an indication of the general location of the survey in relation to the exploration permit PEP 38264 and the east coast of the South Island.

The sample design, and number of samples will vary depending on the site being surveyed, with up to 200 sites being sampled as part of this survey. At each site, multiple sampling methods may be employed, including seafloor imagery (via video and capturing still images), coring, assessing the geotechnical properties of the sediment and oceanographic

sampling. Video footage of the sample sites will enable sensitive environments to be identified (if present) and their extent established, so that no sampling equipment is deployed into a known sensitive environment. The potential impacts associated with the survey will be highly localised and short-term in nature.

Further detail of the proposed survey can be found in the attached EPA Permitted Activity

Form, with the survey results being made available upon request.

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Please do not hesitate to contact me on REDACTED or

[email protected]

if you have any questions or concerns relating to this marine survey, or any other of Beach’s exploration work in the Canterbury Basin or anything else about our company.

Ngā mihi, Mat Quinn

Country Manager New Zealand and General Manager Operations

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FORM 1

www.epa.govt.nz

Permitted activities: Pre-activity notice

Form 1 of Schedule 5 of the Exclusive Economic Zone and Continental Shelf (Environmental Effects – Permitted Activities) Regulations 2013

How to use this form: This form must be completed by organisations planning to carry out a permitted activity (except seismic surveying) in accordance with:

· regulation 5, 6 or 8 of the Exclusive Economic Zone and Continental Shelf (Environmental Effects – Permitted Activities) Regulations 2013 (PA Regulations 2013); or

· regulation 7, 8 or 9 of the Exclusive Economic Zone and Continental Shelf (Environmental Effects – Discharge and Dumping) Regulations 2015 (D&D Regulations 2015).

This form fulfils the pre-activity reporting requirements under regulation 11(a) of the PA Regulations 2013 and regulation 12(2) of the D&D Regulations 2015.

Timeframe:You must provide this form to the Environmental Protection Authority (EPA) no less than 40 working days before starting the activity.

Note: Items marked initalics are not compulsory; however, including this information will help the EPA process the form.

This completed form, once received and processed by the EPA, will be posted on the EPA website.

Submitting in hard copy: If you wish to provide the completed form in hard copy, post it to Environmental Protection Authority, Private Bag 63002, Wellington 6140 or fax it to +64 4 914 0433.

Submitting electronically: If you wish to provide the completed form electronically, email it to [email protected].

Any form submitted electronically should be attached to an email that sets out:

· the details of the person undertaking the permitted activity (the operator)

· the name of the person supplying the completed form

· a statement that the person is authorised to supply the form on behalf of the operator.

Note: The EPA has an 8 MB limit on electronic files submitted by email.

You can find and download all forms prescribed by the PA Regulations 2013 and the D&D Regulations 2015, as well as suggested templates for providing other information, on our website at www.epa.govt.nz or request them from us by contacting:

Environmental Protection Authority, Private Bag 63002, Wellington 6140

Phone +64 4 916 2426 Fax +64 4 914 0433

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Email [email protected]

Operation name:

Name used by operator to reference the activity described in this form:

Details of person undertaking permitted activity Name of company,

organisation or person: Beach Energy Resources NZ (Holdings) Limited Contact person: Mat Quinn

Physical address:

Level 3, Energy House 32 Molesworth Street New Plymouth New Zealand

Postcode: 4310

Postal address (if different): Postcode:

General description of permitted activity Type of activity:

Marine scientific research

☒ Alteration, extension or removal of a permitted marine structure

Prospecting ☐ Discharge of sediments from iron sand prospecting and exploration

Exploration ☐ Incidental discharge of sediments from phosphate

nodule or placer gold prospecting and exploration

Placement or removal of submarine cables

☐ Discharge of sediments from seafloor massive sulphide prospecting and exploration

Description of methods to be used to undertake the activity:

General description

Beach Energy Resources NZ (Holdings) Limited has engaged Fugro to undertake an environmental survey in the Canterbury Basin in the vicinity of the Wherry and Gondola prospects in Petroleum Exploration Permit (PEP) 38264,. The planned survey will principally involve the mapping of the seafloor and benthic habitats, with some oceanographic and water samples being collected also.

Up to 200 sites could be sampled as part of this survey. At each site multiple sampling methods could be employed which include seafloor imaging (video), coring, and assessing the geotechnical properties of sediment (Cone Penetrometer Testing (CPT)), and oceanographic sampling.

Sampling design, and number of samples will vary depending on the site being surveyed. There will be two types of site: pre-drill site[s] and a regional survey area.

Pre-drill site

The purpose of the pre-drill sampling is to form a higher resolution baseline data set for the area in which the main effects of drilling are likely to occur. This will enable accurate

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3

Form 1 – Permitted activities: Pre-activity notice

December 2019

monitoring of adverse effects and recovery from drilling activities, should any drilling occur.

At any predrill site the station layout will be cruciform, with the centre of the crucifix being located over the approximate planned well location, and the main axis will be in alignment with the dominant current direction at that location. One video tow and three core deployments (triplicate sampling) will be carried out at each station. This sampling procedure will largely follow the Recommendations for an offshore Taranaki environmental monitoring protocol: Drilling and production related discharges (OTEMP:

Johnston et al., 2014), with some additional modifications which take into to account the differences in proposed survey area and offshore Taranaki.

No equipment will be left behind on the seafloor from these activities.

Regional survey area

The regional survey area will be surveyed at a coarser resolution than the pre-drill sites:

one video transect, and one core deployment per station. This is because the purpose of the regional survey is to characterise and map the habitats in a larger area around any locations at which drilling may occur. This kind of habitat characterisation does not require the same level of replication that would be required at monitoring sites such as pre-drill site[s].

No equipment will be left behind on the seafloor from these activities.

Seafloor Imaging

During the survey seafloor imaging will be obtained primarily by Deep Towed Imaging System (DTIS). This system is non-invasive, operating above the seafloor and capturing high resolution video and still imagery designed to cover a diverse range of seafloor habitats.

Coring Multi-corer

A multi-corer system is comprised of a metal frame with a number of short 10 cm diameter core barrels and a coring weight assembly (Figure 1). The multi-corer system to be used will have a maximum seafloor penetration of 0.9 m. This results in up to 8 x 10 cm diameter samples (each covering a surface area of 0.0078 m2) which equates to an ~ 0.078 m3 of seafloor being sampled and removed per deployment. However, depending on the sediment type encountered at the sites the number of core barrels attached to the instrument may be reduced (to six or even four), to allow better penetration, and as a result the total sample surface area would decrease. The multi- corer will be used for triplicate sampling (three deployments at one station) at approximately 50% of the stations with the remaining stations being sampled just once.

Box corer

Should the sediment at a sampling site be too coarse for the multi-corer (Figure 1) to penetrate the sediment surface, a box corer (Figure 1) will be used. The box corer operates in a similar way to the multi-corer, but samples ~ 0.25 m2 of seafloor per deployment (i.e., a 0.5 m x 0.5 m box), with a maximum seafloor penetration of 0.6 m.

Piston corer

Piston cores will be taken at up to four sites (potential well locations), with multiple deployments occurring at each site. Piston core systems comprise a trigger assembly, coring weight assembly (core head), core barrels, catcher and piston (Figure 2). The

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piston corer is lowered over the side of the vessel and allowed to free fall under its own weight from about 3 m above the seafloor to allow good penetration into the sediment.

The piston core will take a sediment sample 9 cm in diameter, thus sampling a surface area of up to 0.006 m2.

Cone Penetrometer Testing: CPT

A CPT is also proposed. This is a method used to determine the geotechnical properties of sediments and to assess stratigraphy in the sediments. CPT could be carried out at up to four sites (potential well locations), with multiple deployments at each site. The CPT system (Figure 2) has a seafloor footprint of 2.8 m x 2.3 m (6.44 m2). This 4.2 tonne instrument is deployed onto the seafloor and then pushes a narrow (5 or 10 cm2) rod down into the sediment subsurface to a maximum depth of 25 m. No sample will be taken from the seafloor during this process.

The total area that could be affected by Coring and CPT will depend on a number of factors such as the number of deployments at each site, which core systems are used, and how many cores are used during each deployment. If CPT is carried out four times, and the box core was deployed 200 times (highly unlikely) then the total affected area would be 75.76 m2.

Figure 1: Multi-corer (left) and box-corer (right) instruments used to obtain sediment samples from the sea bed.

Figure 2: Piston corer (left) used to obtain sediment samples from the sea bed, and CPT equipment (right).

Timing of permitted activity

Proposed start date: Q1 2020

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5

Form 1 – Permitted activities: Pre-activity notice

December 2019

Approximate duration of activity: One month (30 days)

Timetable: The planned activities are not subject to a strict timetable as the weather will determine when is possible to effectively and safely carry out the survey. However, there will be a schedule of activities for the full survey period which will be amended as necessary if delays arise due to weather or technical issues.

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Location of permitted activity

Co-ordinates of area where activity will be undertaken:Coordinates provided are in NZTM 2000 (Provide four sets of co-ordinates in latitude and longitude or submit a shape file or KML/KMZ file.)

Set 1

X:1499344.967 Y:5043826.366

Set 2

X:1688293.647 Y:5043826.366

Set 3

X:1437174.757 Y:4881289.867

Set 4

X:1630593.19 Y:4878851.82

☐ I have attached a shape or KML/KMZ file

Map:

(Provide a map that shows the location of your activity relative to the New Zealand coastline)

Describe the current state of the area and the surrounding environment, including any known sensitive environments:

The Canterbury Basin lies approximately 200 km east of the east coast of the South Island. The Canterbury Basin covers an area of 360,000 km2. Six offshore wells have been drilled in the Canterbury Basin since 1970.

The most recent well to be drilled is Anadarko’s Caravel-1 well, which was drilled in a water depth of 1,100 m in 2014.

Parts of the Canterbury Basin have been surveyed with the intention of providing data for other future voyages aimed at determining biodiversity and habitat characteristics. These surveyed areas predominantly lie in the southern region of the Canterbury Basin (as seen in the map above) and exist on the continental shelf to abyssal depths. The bulk of the data that exists for the parts of the Canterbury Basin encapsulated by the proposed survey area includes seismic data, backscatter data, bathymetric data.

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Form 1 – Permitted activities: Pre-activity notice

December 2019

The area where the proposed monitoring activity will be undertaken contains parts of the Otago fan complex which have been mapped and classified acoustically. The vast majority of the proposed survey area is classified as flat or gently sloping continental shelf muds and sands from this classification. However, some of the key seafloor features have been acoustically characterised as:

· Narrow V-shaped canyons;

· Broad U-shaped canyons;

· Low relief mounds or terraces;

· Cut-off orabandoned meanders; and

· Pockmarks.

There is a paucity of data on benthic fauna in the proposed survey area. This survey will provide the most significant volume of data collected on the benthic environment for this area of the Exclusive Economic Zone.

It is expected that the benthic fauna present in the area the activity will be undertaken will be similar to those recorded further south in the Great South Basin (GSB).

Benthic fauna in the GSB have been reported to be represented by anemones (including cerianthid anemones), echinoids (including cidaroid urchins), bryozoans, sponges (demosponges and hexactinellids), ophiuroids (brittle stars), holothurians (black corals), gorgonians (sea fan and sea whips), and anthoathecata (stylasterid hydrocorals). It is possible that Penatulaceans (seapens) will occur in the survey area too.

Due to the limited sampling effort, there are no known observations of sensitive environments in the proposed survey area. However, it is possible that sensitive environments may be observed during the planned survey if there are any seafloor features that provide suitable habitat for these species. If any sensitive environments are observed, the survey design will be amended accordingly to avoid disturbing or damaging these habitats or species.

Describe the likely effects of the activity on the environment:

The potential impacts associated with the monitoring programme in the Canterbury Basin would be highly localised and short in duration. Any effects that may arise will be restricted to small areas of sea bed at each sampling station that the coring system is deployed, or where CPT has occurred. Capturing video footage initially at each site will enable sensitive environments to be identified and their extent established, so that no sampling equipment is deployed into a sensitive environment.

Other information

Associated permit number (under the Crown Minerals Act 1991):

PEP 38264

(21)

Funding and cost recovery

The EPA recovers costs in accordance with section 143 of the Exclusive Economic Zone and Continental Shelf (Environmental Effects) Act 2012, Exclusive Economic Zone and Continental Shelf (Fees and Charges)

Regulations 2013, and EPA Cost Recovery Policy for the Exclusive Economic Zone and Continental Shelf (Environmental Effects) Act 2012 and Regulations. The policy specifies that the EPA will not recover costs for domestic or international marine scientific research where proof of government funding is provided.

To help the EPA determine whether you are eligible for cost recovery exemption under the policy, fill out the section below.

Is this activity receiving any government funding?

☐ Yes ☒ No (go to the next section)

If yes, provide details and attach any proof of such funding:

(22)

APPENDIX C

Initial Information Sheet

(23)

Cc: Beach Community <[email protected]>

Subject: Beach Energy – Wherry Project: Offshore Exploration Well - Canterbury Basin, New Zealand

Tēnā koe,

We’re writing to provide you with further information on our offshore project which will begin with

the marine survey we previously emailed you about on 14

th

January 2020.

We are planning to drill an exploration well to enable a detailed assessment of the sub-sea

prospect called ‘Wherry’, within the existing New Zealand Petroleum Exploration Permit PEP38264.

Operating in strict accordance with consent conditions, one vertical exploration well will be drilled to approximately 3,000m below the seabed. After completions, the well will be formally plugged and abandoned, and the data collected from the drilling activity will be assessed.

Please find attached a summary of key project information. This summary is also available online at https://www.beachenergy.com.au/canterbury-basin/.

We would like to meet with you within the next couple of weeks to understand any questions, concerns or feedback you may have. We are keen to introduce ourselves, establish relationships, and share information about Beach Energy and the Wherry project. If you have a day and time that is suitable, please feel free to contact us on 06 769 9649 or reply to this email at

[email protected]. Otherwise, we will be in contact within the next week to

organise a meeting.

Ngā mihi,

Mat Quinn

(24)

Project Summary | February 2020

PROJECT

Beach Energy is planning to drill an exploration well to enable a detailed assessment of the sub-sea prospect called ‘Wherry’, within the existing New Zealand Petroleum Exploration Permit PEP38264.

LOCATION

The proposed well is located approximately 168km from Timaru, at water depths of around 1,300m within the offshore Canterbury geological basin.

TIMING

A pre-drill Marine Survey to enable assessments and planning for the drilling project will be carried out between January and March 2020, and take around 30 days. The project is in its early planning and consultation phase, with drilling currently expected to commence late 2020 to early 2021 and take around 4 to 8 weeks. Timings will be subject to rig availability, weather conditions and approvals.

Beach Energy operates the Kupe Production Station in Taranaki, a critical part of the New Zealand’s energy infrastructure. Natural gas produced from the Kupe field meets 10-15% of New Zealand’s annual natural gas demand and 50% of its LPG demand.

Founded in 1961, Beach is headquartered in Adelaide Australia.

With a proud track record for safety and environmental performance, Beach operates onshore and offshore hydrocarbon facilities across New Zealand and Australia.

The Wherry Project is a joint venture between Beach Energy (37.5%), OGOG (1) Ltd (37.5%) and Discover Exploration (25%).

About Beach

Wherry Project

Offshore Exploration Well

HOW

Operating in strict accordance with consent conditions, one vertical exploration well will be drilled to approximately 3,000m below the seabed. After completions, the well will be formally plugged and abandoned, and the data collected from the drilling activity will be assessed.

(25)

Why is Beach drilling in this location?

The New Zealand Government granted the Wherry Petroleum Exploration permit PEP38264 on 8 November 2006, for a 15-year term. Stage 3 permit commitments require the drilling of one exploration well before 7 October 2021. The permit was acquired by Beach in 2018, along with the acquisition of New Zealand assets from Origin Energy.

What approvals are required?

The pre-drill Marine Survey is a permitted activity under the Exclusive Economic Zone and Continental Shelf

(Environmental Effects) Act 2012. The drilling requires numerous environmental and health and safety approvals which are granted, regulated and audited by EPA, Maritime NZ and WorkSafe NZ. Although this stage of the Wherry Project involves drilling only one exploration well, approvals will be sought for further exploration and appraisal wells that may be drilled in the future, should the Wherry exploration well prove viable.

Isn’t offshore exploration drilling banned in NZ?

The announcement in 2018 by the NZ government that no new offshore oil and gas exploration permits would be granted, specifically excluded existing permits which continue under their stated requirements and conditions.

What’s involved in the Marine Surveys?

Marine Surveys include mapping the surface and shallow sub-surface of the seafloor, determining suitable locations for the well, sampling and assessing benthic (seabed) habitats and oceanographic data, and confirming whether any sensitive environments are present. The results will be included in the consent application for the drilling project.

What’s involved in drilling?

A semi-submersible drill rig will most likely be used, depending on final well engineering design. A surface hole will be drilled and cased, followed by installation of highly specialised equipment called a ‘marine riser’ and ‘blow out preventer’ to ensure integrity of the well, safety of personnel and environment protection. The well will be drilled in sections gradually decreasing in diameter, with each section cased and cemented in place. Water based fluids or ‘muds’ will be used to lubricate and stabilise the wellbores in each section, and to remove material or ‘cuttings’ produced during drilling.

Are any seismic surveys required?

Beach will not be conducting a 3D marine seismic survey for this project. However, a process called Vertical Seismic Profiling (VSP) may be used to evaluate the exploration well.

A small seismic energy source would be generated near the well and returned signals will be recorded by receivers placed in the well. Sound energy levels from VSP are significantly lower than conventional 3D marine seismic surveys.

What consultation will occur on the project?

Beach is a trusted and respected operator among its existing communities. We’ve earned this reputation by operating safely, protecting our environment, as well as respecting and consulting with our communities.

Our engagement is proactive and transparent, we share information, acknowledge issues and actively listen to our communities. We value our relationships with local iwi and other community groups. Beach will consult broadly with relevant South Island communities, providing further detailed information and the opportunity to have meaningful input into our plans.

What about community benefits?

The Wherry Project is at the very early stages of assessment, so it is too early to set out the community benefits if the project was to proceed through to development. However, if successful, a comprehensive assessment of benefits and impacts would be undertaken before any further development. Our focus will include assessing opportunities for local community participation and identifying regional economic benefits.

How will you ensure that you drill safely?

Safety takes precedence in everything we do. Our values define us, guide our actions, and our decisions. Beach has over 50 years’ experience in drilling complex, high integrity wells and has a team of highly skilled industry professionals with extensive industry experience to deliver this project.

We will also engage competent and experienced contractors, who will keep our operations safe.

Isn’t natural gas contributing to climate change?

Natural gas is an important partner for renewable energy to ensure stability of affordable fuel supply to homes and industry whilst our economy transitions to a greater percentage from renewables. For more information on the role of natural gas in New Zealand’s energy mix see: energymix.co.nz Gas also plays an important role overseas in reducing emissions and improving air quality by helping countries transition away from coal. Electricity from gas-fired powered stations has around half the emissions from coal-fired power stations.

Beach’s Climate Change policy commitment ensures that our practices and procedures align and integrate climate risks into project decision making.

[email protected] 06 769 9649

We welcome your questions and feedback

(26)

APPENDIX D

Initial Presentation

(27)

Canterbury Basin PEP 38264

Introduction and overview of

environmental approvals

(28)

2 Private and confidential – not for distribution

Agenda

• Overview of Beach Energy

• Canterbury Basin PEP 38264 summary and location

• Planned exploration well & potential locations

• Environmental approvals & indicative timing

• Questions

(29)

3 Private and confidential – not for distribution

Beach Energy is an ASX listed oil and gas exploration and production company

headquartered in Adelaide, South Australia.

Beach has operated and non-operated,

onshore and offshore oil and gas production assets in five producing basins across

Australia and New Zealand.

Beach acquired Origin Energy/Lattice Energy

in 2018, resulting in substantial growth of

Beach’s asset portfolio across Australia and

into New Zealand. There are approximately

70 employees in NZ and 549 across both

Australia and New Zealand.

(30)

4 Private and confidential – not for distribution

Beach Energy

Beach’s asset portfolio includes ownership interests in strategic oil and gas

infrastructure, as well as a suite of high

potential exploration prospects. Beach’s gas exploration and production portfolio includes acreage in the Otway, Bass,

Cooper/Eromanga, Perth, Browse and

Bonaparte basins in Australia, as well as the Taranaki and Canterbury basins in New Zealand.

Kupe is a critical part of New Zealand’s energy infrastructure. At peak, the gas

produced from the Kupe field was predicted to meet about 10-15 percent of New

Zealand’s annual natural gas demand and 50

percent of New Zealand’s LPG supply.

(31)

5 Private and confidential – not for distribution

Our values define us, guide our actions, our decisions and our words. Our Vision gives us focus.

Safety – Safety takes precedence in everything we do

Creativity – We continuously explore innovative ways to create value Respect – We respect each other, our communities and the environment Integrity – We are honest with ourselves and others

Performance – We strive for excellence and deliver on our promises

Teamwork – We help and challenge each other to achieve our goals

(32)

6 Private and confidential – not for distribution

Our Commitment

To the Environment As a growing oil and gas explorer and producer, we recognise our responsibility to understand and respect the environment, to minimise our impact, and

remediate areas affected by past activities.

To Safety At Beach, safety takes precedence in everything we do.

To Sustainability Sustainability at Beach is about operating our business in a responsible and well considered manner, to deliver the maximum possible return to shareholders while sensibly managing the economic, social and

environmental risks inherent within our industry.

To Our Communities Beach seeks to create and maintain long-term relationships that ensure we make a positive contribution to our communities.

Beach’s community investment strategy focuses on three key areas; education, environment and health, safety and wellbeing. These categories are linked back to the United Nation’s Sustainable Development Goals (SDGs), which aim to improve society and the

environment for all people, through a collective

international response

(33)

7 Private and confidential – not for distribution

Interest

Beach Energy Resources NZ (Holdings) Limited 37.5% (Operator) OGOG (1) * 37.5%

Discover Exploration Canterbury NZ B\.V. 25%

Basin

Canterbury Basin, Offshore New Zealand

Asset

Canterbury Exploration - Wherry Block

Area

14,426 km²

Act / Regulator

Crown Minerals Act 1991 / New Zealand Petroleum and Minerals (NZP&M)

Original Grant Date

8 November 2006

Stage 3 – Commitments:

Drill and complete one well to economic basement unless geological and/or engineering constraints encountered whilst drilling make this unreasonable

Licence Term

Expiry date is 7 November 2021 (15 year term)

Water Depth

1300 metres

Proximity to land

158km to nearest land

Closest port

Port Timaru

(34)

8 Private and confidential – not for distribution

PEP 38264 – Permit History & Location

Origin* (100%)

• 2D Seismic & Repro

2006

• Anadarko* (50%) - Origin (50%)

• Waka 3D

2010

• Anadarko* (45%) - Origin (45%) – Discover (10%)

• Drill Caravel-1

2014

• Anadarko* (45%) - Origin (45%) – Discover (10%)

• Wherry 3D & Gondola 3D

• Basin Model

• Anadarko withdrawal

2015 - 2017

• Beach Energy* (65%) - Discover (35%)

• Wherry QI

2018-2019

• Beach Energy* (37.5%) – OGOG (37.5%) – Discover (25%)

• Committed to Stage 3 – 1 Firm Well

2019 – 2021

(35)

9 Private and confidential – not for distribution

The Canterbury Basin is located both onshore and offshore along the eastern coast of New Zealand’s South Island. It extends eastwards into the deep water of the Bounty Trough, to the south is the Great South Basin, and to the north it is bounded by the Chatham Rise.

Early exploration commenced in the onshore Canterbury Basin in 1941, whilst the first well drilled offshore was Endeavour-1 in 1970.

Only five other wells have been drilled since 1970 in the offshore Canterbury, with Clipper-1 and Galleon-1 resulting in sub-commercial discoveries of condensate rich gas in 1984 and 1985 respectively.

Planed drilling in late 2020/early 2021.

(36)

10 Private and confidential – not for distribution

PEP 38264 – Potential Well Locations

1km radius tolerance

Exploration Location (300m radius) Appraisal Location (300m radius) Wherry

Gondola

(37)

11 Private and confidential – not for distribution

• Publicly notified marine discharge consent – for deck drainage

• Non-notified marine consent – various activities associated with drilling such as seabed disturbance

• Non-notified marine discharge consent – discharge of harmful substances during drilling

• Spill Response Plan:

• Oil Spill Contingency Plan

• Well Control Contingency Plan

• Emergency Spill Response Plan

• Permitted Activity Notification and Marine Mammal Impact Assessment - Vertical Seismic Profiling

• Permitted Activity Notification and Initial Environmental Assessment and Sensitive Environments Contingency Plan - Marine survey

• Biosecurity requirements (if different rig is used)

• Float-off/float-on resource consent (if different rig is used)

(38)

12 Private and confidential – not for distribution

Environmental Approvals – Indicative Timing

• Marine Survey permitted activity notification:

• 40 working day notification submitted to EPA on Monday 2 December

• Marine discharge consent for deck drainage:

• Pre-lodgement review by EPA, Papatipu Rūnanga, and stakeholders (eg DoC and fisheries) in March 2020

• Final application lodged with EPA at the end of March 2020

• 170 working days - late November 2020

• Non-notified marine consent and marine discharge consent:

• Pre-lodgement review by EPA, Papatipu Rūnanga, and stakeholders (eg DoC and fisheries) in July 2020

• Lodge final consent application with the EPA mid-late August 2020.

• 70 working days – late November 2020

• Emergency Spill Response Plan/Oil Spill Contingency Plan:

• Lodge ESRP/OSCP to EPA and MNZ in July 2020

(39)

13 Private and confidential – not for distribution

(40)

Beach Energy Limited

Level 3, Energy House, 32-38 Molesworth Street New Plymouth 4310, New Zealand

beachenergy.com.au

(41)

APPENDIX E

Updated Information Sheet

(42)

From: Beach Community <[email protected]>

Sent: Friday, 15 May 2020 7:00 PM To:

Cc: Beach Community <[email protected]>

Subject: Beach Energy – Engagement on Wherry Project during COVID-19

Dear

We’re writing to you to seek your guidance on engagement with you during COVID-19, regarding Beach Energy’s Wherry Project.

Over recent weeks New Zealand and its people have been navigating our way through the extraordinary challenges of a National State of Emergency resulting from the COVID-19 pandemic and the lock-down restrictions imposed by our Government to help control the spread of the virus. As we begin to ease out of the tighter constraints of levels 4 and 3, and into level 2, we felt this would be a good time to reach out.

Please find attached a formal letter requesting your guidance on this matter and contact details for getting in touch.

Kind regards,

Mat Quinn

(43)

T : +64 6 769 9800

15 May 2020

Yours faithfully

Mat Quinn

Country Manager New Zealand and General Manager Operations | Beach Energy Dear

Over recent weeks New Zealand and its people have been navigating our way through the extraordinary challenges of a National State of Emergency resulting from the COVID-19 pandemic and the lock-down restrictions imposed by our Government to help control the spread of the virus. The pandemic has placed enormous pressure on our health sector, and our communities have been heavily impacted financially. The COVID-19 pandemic has also had a cultural impact, with all our traditional greetings having to cease, Marae and places of worship temporarily closing, and no ability to come together to farewell our loved ones who passed away during this time.

The nations priorities over recent weeks have rightly been, the health and wellbeing of family, whanau, friends and the wider community. As

an “essential service”

our business has continued during this period however we know that for many others it has been a significant challenge under the restrictions put in place to protect us all. The challenge of adapting quickly to the constraints designated by the Government’s National Emergency control framework has been substantial.

As we begin to ease out of the tighter constraints of levels 4 and 3, and into level 2, we felt this would be a good time to reach out. Whilst it is likely that it will be some time before face to face meetings are resumed, we would like your guidance on whether it would now be appropriate to engage with you and if so, how this should occur. Would you please advise us if you are ready and available to meet with Beach Energy in relation to the Wherry project, and if so, how it would be best for you to do this i.e. via video or phone conference, or email we are keen to understand what will work best for you. Our Community Relations Manager Vicki Meijer is happy to discuss this with you either by email at ([email protected]) or telephone (REDACTED).

At Beach we have always recognised the importance of having good working relationships consequently, we have tried to respect our communities during this very challenging time by limiting our contact particularly during the more restrictive of the alert levels. Equally, we understand the importance of continuing our communication and engagement, providing adequate information with enough time to review, discuss and respond.

We hope that you and your team are safe and well, and we look forward to hearing from you with

your guidance on this matter.

(44)

APPENDIX F

Updated Presentation

(45)

Canterbury Basin PEP 38264

Introduction and overview of

environmental approvals

(46)

2 Private and confidential –not for distribution

Agenda

• Overview of Beach Energy

• Canterbury Basin PEP 38264 summary and location

• Planned exploration well & potential locations

• Environmental approvals & indicative timing

• Questions

(47)

Beach Energy is an ASX listed oil and gas exploration and production company

headquartered in Adelaide, South Australia.

Beach has operated and non-operated,

onshore and offshore oil and gas production assets in five producing basins across

Australia and New Zealand.

Beach acquired Origin Energy/Lattice Energy

in 2018, resulting in substantial growth of

Beach’s asset portfolio across Australia and

into New Zealand. There are approximately

70 employees in NZ and 549 across both

Australia and New Zealand.

(48)

4 Private and confidential –not for distribution

Beach Energy

Beach’s asset portfolio includes ownership interests in strategic oil and gas

infrastructure, as well as a suite of high

potential exploration prospects. Beach’s gas exploration and production portfolio includes acreage in the Otway, Bass,

Cooper/Eromanga, Perth, Browse and

Bonaparte basins in Australia, as well as the Taranaki and Canterbury basins in New

Zealand.

Kupe is a critical part of New Zealand’s energy infrastructure. At peak, the gas

produced from the Kupe field was predicted to meet about 10-15 percent of New

Zealand’s annual natural gas demand and 50

percent of New Zealand’s LPG supply.

(49)

Our values define us, guide our actions, our decisions and our words. Our Vision gives us focus.

Safety – Safety takes precedence in everything we do

Creativity – We continuously explore innovative ways to create value

Respect – We respect each other, our communities and the environment Integrity – We are honest with ourselves and others

Performance – We strive for excellence and deliver on our promises

Teamwork – We help and challenge each other to achieve our goals

(50)

6 Private and confidential –not for distribution

Our Commitment

To the Environment As a growing oil and gas explorer and producer, we recognise our responsibility to understand and respect the environment, to minimise our impact, and

remediate areas affected by past activities.

To Safety At Beach, safety takes precedence in everything we do.

To Sustainability Sustainability at Beach is about operating our business in a responsible and well considered manner, to deliver the maximum possible return to shareholders while sensibly managing the economic, social and

environmental risks inherent within our industry.

To Our Communities Beach seeks to create and maintain long-term relationships that ensure we make a positive contribution to our communities.

Beach’s community investment strategy focuses on three key areas; education, environment and health, safety and wellbeing. These categories are linked back to the United Nation’s Sustainable Development Goals (SDGs), which aim to improve society and the

environment for all people, through a collective

international response

(51)

Interest Beach Energy Resources NZ (Holdings) Limited 37.5% (Operator) OGOG (1) * 37.5%

Discover Exploration Canterbury NZ B\.V. 25%

Basin Canterbury Basin, Offshore New Zealand

Asset Canterbury Exploration - Wherry Block

Area 14,426 km²

Act / Regulator Crown Minerals Act 1991 / New Zealand Petroleum and Minerals (NZP&M)

Original Grant Date

8 November 2006

Stage 3 – Commitments:

Drill and complete one well to economic basement unless geological and/or engineering constraints encountered whilst drilling make this unreasonable

Licence Term Expiry date is 7 November 2021 (15 year term)

Water Depth 1300 metres

Proximity to land 158km to nearest land

Closest port Port Timaru

(52)

8 Private and confidential –not for distribution

PEP 38264 – Permit History & Location

• Origin* (100%)

• 2D Seismic & Repro

2006

• Anadarko* (50%) - Origin (50%)

• Waka 3D

2010

• Anadarko* (45%) - Origin (45%) – Discover (10%)

• Drill Caravel-1

2014

• Anadarko* (45%) - Origin (45%) – Discover (10%)

• Wherry 3D & Gondola 3D

• Basin Model

• Anadarko withdrawal

2015 - 2017

• Beach Energy* (65%) - Discover (35%)

• Wherry QI

2018-2019

• Beach Energy* (37.5%) – OGOG (37.5%) – Discover (25%)

• Committed to Stage 3 – 1 Firm Well

2019 – 2021

(53)

The Canterbury Basin is located both onshore and offshore along the eastern coast of New Zealand’s South Island. It extends eastwards into the deep water of the

Bounty Trough, to the south is the Great South Basin, and to the north it is bounded by the Chatham Rise.

Early exploration commenced in the onshore Canterbury Basin in 1941, whilst the first well drilled offshore was Endeavour-1 in 1970.

Only five other wells have been drilled since 1970 in the offshore Canterbury, with Clipper-1 and Galleon-1 resulting in sub-commercial discoveries of condensate rich gas in 1984 and 1985 respectively.

Beach is working towards being able to drill within the current permit tenure.

(54)

10 Private and confidential –not for distribution

PEP 38264 – Potential Well Locations

1km radius tolerance

Exploration Location (300m radius) Appraisal Location (300m radius)

Wherry

Gondola

(55)

• Publicly notified marine discharge consent – for deck drainage

• Non-notified marine consent – various activities associated with drilling such as seabed disturbance

• Non-notified marine discharge consent – discharge of harmful substances during drilling

• Spill Response Plan:

• Oil Spill Contingency Plan

• Well Control Contingency Plan

• Emergency Spill Response Plan

• Permitted Activity Notification and Marine Mammal Impact Assessment - Vertical Seismic Profiling

• Permitted Activity Notification and Initial Environmental Assessment and Sensitive Environments Contingency Plan - Marine survey

• Biosecurity requirements (if different rig is used)

• Float-off/float-on resource consent (if different rig is used)

(56)

12 Private and confidential –not for distribution

Environmental Approvals – Indicative Timing

• Marine Survey permitted activity notification:

• 40 working day notification submitted to EPA on Monday 2 December

• Marine discharge consent for deck drainage:

• Pre-lodgement review by EPA, Papatipu Rūnanga, and stakeholders (eg DoC and fisheries) in March 2020

• Final application lodged with EPA at the end of March 2020

• 170 working days - late November 2020

• Non-notified marine consent and marine discharge consent:

• Pre-lodgement review by EPA, Papatipu Rūnanga, and stakeholders (eg DoC and fisheries) in July 2020

• Lodge final consent application with the EPA mid-late August 2020.

• 70 working days – late November 2020

• Emergency Spill Response Plan/Oil Spill Contingency Plan:

• Lodge ESRP/OSCP to EPA and MNZ in July 2020

(57)
(58)

Beach Energy Limited

Level 3, Energy House, 32-38 Molesworth Street New Plymouth 4310, New Zealand

beachenergy.com.au

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