Woodside camp request rejected

The State Government has knocked back oil and gas company Woodside's calls to renew the lease on its 2100-bed worker accommodation facility in Karratha.

The current lease on Gap Ridge Village expires in May, 2017 and Woodside has been negotiating with the Government seeking up to 20 years of further operation.

Minister for Regional Development Terry Redman said he had advised the company the Government had not agreed to its request for a new lease.

"The Gap Ridge (transient worker accommodation) camp was originally intended to accommodate the construction workforce for Woodside's Pluto Gas Plant, not for accommodating permanent operational fly-in, fly-out workforce," he said.

"It is my view there is more than sufficient capacity in Karratha to accommodate Woodside's operational and maintenance workforce needs over the next 15-year period."

Planning approval was granted for the village by the then Shire of Roebourne in 2007 to house the construction workforce for Woodside's Pluto LNG Project on the Burrup.

Lease conditions meant the village could also operate as a commercial accommodation provider to third parties.

A Woodside spokeswoman said the company had been a proud member of the community for more than 35 years and was perplexed by Mr Redman's response.

"In addition to our residential workforce, Woodside requires accommodation for its short-term maintenance and turnaround crews, which can peak as high as 1600 for about four weeks twice per year," she said.

"This maintenance work is fundamental to the safe and reliable operation of our facilities and is required to extend the life of the 30-year-old Karratha Gas Plant.

"In the current economic environment, it makes no sense that Woodside should be forced to close a perfectly good facility and be required to invest hundreds of millions of dollars in another facility."

City of Karratha Mayor Peter Long said the number of beds required to accommodate temporary workers had decreased.

"Council realises that FIFO workers are necessary for construction projects and maintenance periods such as plant shutdowns," he said.

"(However), council has made it clear that workforces should be integrated into the community as far as possible.

"This decision will provide support to local businesses and accommodation providers, plus the local community at large."