Precinct 3, South Hedland

Project Description

Delivery of a 40-lot subdivision on land known as Precinct 3 at the Port Hedland International Airport (PHIA) in support of BHP Billiton Iron Ore’s (BHPBIO) proposed 4,000-man transit workers’ accommodation, a 10-hectare BHPBIO warehouse lot and 37 bulky goods retail/industrial lots for the Town of Port Hedland.

Our Role

NS Projects worked closely with BHPBIO’s strategic development team to identify land opportunities, negotiate a commercial outcome with the Town of Port Hedland and manage the project approval through the local government’s business plan process.

NS Projects then designed and documented the land development through to tender stage, for handover to BHPBIO’s internal execution team.

Challenges Overcome

  • Negotiation of a fair commercial deal between BHPBIO and the Town of Port Hedland while ensuring government process and probity needs were not compromised.
  • Creation of a design to ensure airport operations, present and forecast, would not be compromised, considering the site location within the PHIA’s operational boundaries.
  • Preparation of a development solution which considered and responded to the inherit land constraints including flooding, flora and fauna habitat and contamination.
  • Coordination of a traffic solution that integrates with Great Northern Highway including provision of Port Hedland’s first traffic signals.
  • Provision of scheme services to the site, which is some distance from the existing development.  In addition, the scheme services in place are mostly at capacity and required upgrading to service the development.

Project Details

  • Name: Precinct 3, South Hedland
  • Type: Land
  • Client: BHP Billiton Iron Ore
  • Date: 2011 to 2012
  • Role: Project Manager
  • Value: $135 million

Key Outcomes

  • Negotiation of a commercial outcome for Town of Port Hedland and BHP Billiton Iron Ore, enabling both parties to achieve their strategic objectives.
  • The timely provision of a key transit worker accommodation land parcel in support of BHPBIO’s FIFO construction workforce.
  • Successful negotiation with key utility providers for provision of scarce infrastructure services.
  • Securing all necessary agreements with the Town and servicing authorities to enable the project to proceed to construction.