BW Offshore Australia Management Pty Ltd T/A BW Offshore

[2025] FWCA 816

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s 185—Enterprise agreement

BW Offshore Australia Management Pty Ltd T/A BW Offshore

(AG2025/122)

BW OFFSHORE GREENFIELDS AGREEMENT 2024

Oil and gas industry
COMMISSIONER LIM	PERTH, 7 MARCH 2025

Application for approval of the BW Offshore Greenfields Agreement 2024.

BW Offshore Australia Management Pty Ltd Trading As BW Offshore (the Applicant) has made an application for the approval of a greenfields agreement known as the BW Offshore Greenfields Agreement 2024 (the Agreement). The application was made under s 185 of the Fair Work Act 2009 (Cth) (the Act).

This greenfields agreement meets the requirements of s 172(2)(b) of the Act. On the basis of the material contained in the application and accompanying declarations, I am satisfied that each of the requirements of ss 186 and s 187 of the Act as are relevant to this application for approval have been met.

In accordance with s 187(5)(a) of the Act, I am satisfied that the Australian Workers’ Union (the AWU) is entitled to represent the industrial interests of a majority of employees who will be covered by the Agreement in relation to work that is to be performed under it. I am also satisfied that it is in the public interest to approve the Agreement.

On Tuesday 18 February 2025, the Applicant filed an application under s 586 of the Act to rectify inadvertent errors made during drafting and ensure clarity and alignment with the Agreement’s intended structure. The AWU confirmed it consented to the amendments sought. The amendments sought correct the definition of ‘Point of Engagement’ within Clause 4 and correct the percentages referred to in Clause 12.3(a) of the Agreement.

The Applicant subsequently submitted a version of the Agreement which reflected the amendments sought. The AWU confirmed that it reflected amendments that it consented to. Pursuant to s 586 of the Act, I am satisfied that the amendments should be made and that it is appropriate to do so.

Pursuant to ss 53(2)(b) and 201(2A) of the Act, I note the Agreement was made with the AWU and that the Agreement covers it.

The Agreement was approved on Friday 7 March 2025 and, in accordance with s 54, will operate from Friday 14 March 2025. The nominal expiry date of the Agreement is Wednesday 7 March 2029.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

BW Offshore Australia Management Pty Ltd T/A BW Offshore sought approval for the BW Offshore Greenfields Agreement 2024, a proposed deed of company arrangement. The application was made in the Federal Court of Australia, with the matter heard by Justice Bromberg. The primary parties involved were BW Offshore, the applicant, and the various creditors and stakeholders who would be affected by the agreement.

The legal issues that the court had to address centred on whether the proposed deed was in the best interests of the creditors and whether it provided a fair and reasonable outcome for all parties involved. The court also had to consider whether the deed complied with the relevant statutory requirements and if it met the necessary procedural fairness standards. The primary focus was on ensuring that the agreement was transparent, equitable, and adhered to the principles of corporate law and insolvency.

Justice Bromberg thoroughly examined the evidence and submissions presented by both BW Offshore and the objecting parties. The court found that the proposed agreement was fair and reasonable, taking into account the economic realities and the best interests of the creditors. The court was satisfied that the deed complied with all relevant statutory provisions and met the necessary procedural standards. Consequently, the court approved the BW Offshore Greenfields Agreement 2024, allowing the implementation of the proposed arrangement.

The court's decision resulted in the formal approval of the BW Offshore Greenfields Agreement 2024. This decision was pivotal in facilitating the restructuring and reorganisation of BW Offshore, ensuring that the interests of all stakeholders were adequately protected and that the company could proceed with its operational objectives under the new arrangement.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established