Original EA Amendment

Time-related factors; and

• Biases, assumptions, and beliefs of those involved.

7.3. Risk Analysis and Evaluation

The purpose of risk analysis is to comprehend the nature of risk and its characteristics, including, where

appropriate, the level of risk. Risk analysis can be undertaken with varying degrees of detail and

complexity, depending on the purpose of the analysis, the availability and reliability of information and

the resources available. Risk analysis techniques can be qualitative, quantitative or a combination of

these and should include:

The likelihood of events and consequences;

The nature and magnitude of consequences;

Complexity and connectivity;

Time-related factors and volatility;

The effectiveness of existing controls; and

Sensitivity and confidence levels.

Identified risks were classified in accordance with Heritage Mineral’s risk classification schema which

is described below. The risk assessment schema used is comparable to those used widely within the

mining industry and comprises the following components:

Likelihood classification descriptors (Table 57); and

Consequence classification descriptors (Table 58).

Following a determination of likelihood and consequence, the risk level was determined using the matrix

shown in Table 59. For any risks classified as ‘significant’ or above, mitigation and management

measures were identified and documented, including reporting and monitoring requirements where

relevant. Mitigation and management measures were also documented for some lower-level risks.

Table 57. Likelihood of Exposure of Hazard

Probability

Level of risk probability

Frequency

>80%

1 – Almost certain

Is expected to occur

33% - 80%

2 – Likely

Will probably occur in most

5% - 33%

3 – Possible

Should occur at some time

1% - 5%

4 – Unlikely

Could occur at some time

<1%

5 – Rare

May occur only once in 5 years

198

Wulguru Technical Services Pty Ltd – Supporting Information to Amend an Environmental Authority

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