EA Amendment Supporting Document EPML00418713 Monto Coal Project

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Report EA Amendment Supporting Document EPML00418713

[Comments]

Submitter information Report type Application Reporting period FY21 Author(s) R. Pane Address Level 15, 40 Creek Street, Qld 4000 PO Box 10630, Brisbane Qld 4000 Tenure holder Monto Coal 2 Pty Ltd Date of report February 2021

Revision summary AuthorHeading Version Date Heading Ryan Pane Version 1 February 2021

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Table of contents

1 Introduction ...... 1 1.1 Existing Environmental Authority Conditions ...... 3 1.2 Proposed EA Amendments ...... 3 1.2.1 Addition of MLA 80175 ...... 3 1.2.2 Environmentally Relevant Activities ...... 3 1.2.3 Condition Amendments ...... 4 1.3 Requirements for an Amendment Application (EP Act) ...... 4 1.4 Tenement Details ...... 5 1.5 Background property ...... 6

2 Activity Description ...... 7

3 Environmental Values and Management Actions ...... 9 3.1 Surface Water ...... 9 3.1.1 Existing Environment ...... 9 3.1.2 Environmental Values ...... 17 3.1.3 Wetlands ...... 18 3.1.4 Potential Impacts ...... 18 3.1.5 Proposed Management Actions ...... 18 3.2 Ecology ...... 19 3.2.1 Terrestrial Ecology ...... 19 3.2.2 Aquatic Ecology ...... 21 3.2.3 Potential Impacts ...... 21 3.2.4 Proposed Management Actions ...... 21 3.3 Groundwater ...... 22 3.3.1 Hydrogeology and Aquifer Characteristics ...... 22 3.3.2 Third Party Groundwater Users ...... 24 3.3.3 MCP Groundwater Extraction ...... 24 3.3.4 Groundwater Dependent Ecosystems and Springs ...... 26 3.3.5 Potential Impacts ...... 28 3.3.6 Proposed Management Actions ...... 28 3.4 Land and Land Use ...... 29 3.4.1 Soils ...... 29 3.4.2 Existing Land use ...... 29 3.4.3 Post-mining Land Use ...... 29 3.4.4 Potential Impacts ...... 30 3.4.5 Proposed Management Actions ...... 30 3.5 Air (Dust) and Acoustic (Noise and Vibration) ...... 32 3.5.1 Existing Environment ...... 32 3.5.2 Climate ...... 32 3.5.3 Sensitive Receptors ...... 34

i

Report EA Amendment Supporting Document EPML00418713

3.5.4 Potential Impacts ...... 34 3.5.5 Proposed Management Actions ...... 37 3.6 Waste ...... 39 3.6.1 Potential Impacts ...... 41 3.6.2 Proposed Management Strategies ...... 41 3.7 Community ...... 43 3.7.1 Community Consultation ...... 43 3.7.2 Existing Community ...... 44 3.7.3 Existing Accommodation ...... 44 3.7.4 Potential Community Impacts ...... 44

4 Conclusion ...... 47

– Monto Coal Project Initial Development Plan ...... 48

ii

Report EA Amendment Supporting Document EPML00418713

Tables

Table 1 –Tenement Information ...... 6 Table 2 – MCP Underlying Properties ...... 6 Table 3 – Estimated Flood Levels ...... 12 Table 4 – Creek Water Quality (95th Percentile) ...... 16 Table 5 – Waste Management Legislation ...... 40

Table of figures

Figure 1 - Project Location ...... 2 Figure 2 – Proposed Life of Mine Site Layout ...... 8 Figure 3 – MCP Ordered Drainage ...... 10 Figure 4 – Upper Monal Flow Gauge (February 2003) ...... 11 Figure 5 – Three Moon Creek Flow Gauge (February 2003) ...... 11 Figure 6 – Maximum Water Depth 10 Year ARI ...... 13 Figure 7 – Maximum Water Depth 100 Year ARI ...... 14 Figure 8 – Maximum Water Depth 1,000 Year ARI ...... 15 Figure 9 – Regional Ecosystem Mapping ...... 20 Figure 10 – Cross-section of Regional Stratigraphy ...... 23 Figure 11 – Groundwater Bores within 4 km of the MCP ...... 25 Figure 12 – Abercorn Springs and Existing Groundwater Bores ...... 27 Figure 13 – Average Annual Rainfall and Temperatures ...... 33 Figure 14 – Wind Rose ...... 33 Figure 15 – MCP Sensitive Receptors ...... 35

iii

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Intentionally blank

EA Amendment Supporting Document EPML00418713 Monto Coal Project

1 Introduction

The Monto Coal Project (MCP) is a proposed open cut coal mine owned by Monto Coal 2 Pty Ltd (Monto Coal) located approximately 6 km south of the town of Monto and 135 km southwest of Gladstone) (see Figure 1). The MCP is a joint venture comprising three partners, being Monto Coal (as the majority shareholder), Sanrus Pty Ltd, and H & J Enterprises (QLD) Pty Ltd, collectively the MCP JV. Monto Coal and Sanrus Pty Ltd are subsidiaries of QCoal Pty Ltd.

The MCP currently comprises one granted mining lease (ML), being ML 80101. The MCP is subject to environmental authority (EA) EPML00418713, the current version of which is dated 22 April 2016.

Monto Coal is seeking to add one (1) mining lease (ML) to the MCP and accordingly: • lodged a mining lease application (MLA), being MLA 80175 to the Department of Natural Resources, Mines and Energy (DNRME) (now the Department of Resources) on 11 February 2011. A revised Initial Development plan (IDP) was lodged with the DoR on 20 November 2020, and has been appended to this report (see Appendix A). • is required to amend the EA to add MLA 80175 and the activities thereon.

As such, this document has been produced to support the application to amend the EA. The proposed MLA 80175 is required to more effectively extract a known coal resource within the existing ML 80101 and recover additional resources within MLA 80175 itself, improving the economics of the MCP and minimising sterilisation of the underlying resource. Potential environmental impacts from the addition of MLA 80175 to the existing MCP will not be materially different to that already approved in the current EA for ML 80101 (i.e. will not introduce new environmental values or new receptors and will not materially increase the scale of existing impacts).

The purpose of this report is to satisfy the requirements of section 226 and 226A of the Environmental Protection Act 1994 (EP Act), specifically to provide: • a detailed description of the proposed EA amendments; • an assessment of the potential impacts to relevant environmental and human values, as well as detailing any management strategies, associated with the EA amendment:

The MCP IDP contains details of geology, scheduling, progression, layout, quantities etc., and, where such detail is applicable to this report, the content will be replicated herein or references to the relevant section will be made and relied upon.

1

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 1 - Project Location

Page 2

EA Amendment Supporting Document EPML00418713 Monto Coal Project

1.1 Existing Environmental Authority Conditions

The MCP is subject to the conditions of EA EPML00418713, which was granted on 12 August 2003. No material changes to the EA conditions (apart from changes to the submission dates for a number of the required reports) have been made since its initial grant. It should be noted that since the original grant of EA EPML00418713, activities on the MCP have been limited to exploration drilling as well as environmental and feasibility studies. As such, development and mining activities have not commenced within ML 80101. 1.2 Proposed EA Amendments

1.2.1 Addition of MLA 80175

It is proposed that MLA 80175 be added to the MCP EA in the “Environmentally relevant activity and location detail” table, making it subject to the conditions of the EA, and part of the broader MCP. The disturbance areas associated with MLA 80175 also require incorporation into Table F1 (Rehabilitation Criteria).

1.2.2 Environmentally Relevant Activities

It is proposed that the following Environmental Relevant Activities (ERAs) be included in the “Environmentally relevant activity and location detail” table of the EA: • Ancillary 08 – Chemical Storage 3: Storing more than 500 cubic metres of chemicals of class C1 or C2 combustible liquids under AS 1940 or dangerous goods class 3 under subsection (1)(c). • Ancillary 60 – Waste disposal 2: Operating a facility for disposal of, in a year, the following quantity of waste mentioned in subsection (1)(b) (e) more than 20,000t but not more than 50,000t. • Ancillary 62 – Resource recovery and transfer facility operation 1: Operating a facility for receiving and sorting, dismantling, bailing or temporarily storing (d) category 1 regulated waste. • Ancillary 63 – Sewage Treatment 1: Operating sewage treatment works, other than no-release works, with a total daily peak design capacity of (a-i) 21 to 100EP if treated effluent is discharged from the works to an infiltration trench or through an irrigation scheme.

It is noted that Ancillary ERA 31 (Mineral processing 2) is not included in the EA, despite mineral processing having already been approved as part of the MCP. As such, prior to commencement of mineral processing on the site, an EA amendment will be lodged to include this already approved ERA. It is not proposed that the ERA be included as part of this amendment, as it will be several years before mineral processing commences on the MCP (design, construction, commissioning etc).

Page 3

EA Amendment Supporting Document EPML00418713 Monto Coal Project

1.2.3 Condition Amendments

The EA was originally granted in 2003, and the EA contains conditions considered appropriate at that time. However, in the intervening 18 years, DES has developed expectations as to default conditions in EAs for coal mines (documented in the model mining conditions), which the current MCP EA does not meet. As such, Monto Coal proposes to apply the model mining conditions as appropriate in place of those currently in the EA.

Additionally, it is proposed that Conditions C37 – C41 related to the monitoring of Abercorn Spring be removed from the EA. Inclusion of that location as a monitoring point in the EA will not add any value to monitoring of potential MCP impacts considering the distance from the proposed operations, as well as other factors (see Section 3.3.4 for further detail). 1.3 Requirements for an Amendment Application (EP Act)

The Environment Protection Act 1994 (EP Act) Section 226 stipulates the content criteria for an EA amendment application generally. Each criterion is presented below (in italics) with a discussion as to how this application satisfies each in green.

EP Act section 226 – Requirements for amendment application generally 1. An amendment application must— a. be made to the administering authority; and This amendment was lodged with the Permit and Licence Management branch (PALM) of Department of Environment and Science (DES) via email. b. be made in the approved form; and This amendment application includes the completed Application to amend an environmental authority (ESR/2015/1733 Version 13) form. c. be accompanied by the fee prescribed under a regulation; and The prescribed fee of $334.90 will be paid by credit card on receipt of an invoice from PALM. d. describe the proposed amendment; and The proposed amendments are described in Section 1.2 of this document. e. describe the land that will be affected by the proposed amendment; and The land affected by the proposed amendment is described in Section 1.4 of this document. f. describe any development permits in effect under the Planning Act for the carrying out of the relevant activity for the authority; and There are no development permits in effect under the Planning Act for the carrying out of mining activities at the MCP. g. state whether each relevant activity will, if the amendment is made, comply with any eligibility criteria for the activity; and Not applicable as the activity does not have any eligibility criteria. h. if the application states that each relevant activity will, if the amendment is made, comply with any eligibility criteria for the activity; and Not applicable as the activity does not have any eligibility criteria. i. state whether the application seeks to change a condition identified in the authority as a standard condition; and No conditions within the existing EA are identified as standard conditions, therefore this is not applicable.

Page 4

EA Amendment Supporting Document EPML00418713 Monto Coal Project

j. if the application relates to a new relevant resource tenure for the authority that is an exploration permit or GHG permit—state whether the applicant seeks an amended environmental authority that is subject to the standard conditions for the relevant activity or authority, to the extent it relates to the permit; and This application does not relate to a new relevant resource tenure that is an exploration permit or GHG permit. k. include an assessment of the likely impact of the proposed amendment on the environmental values, including— i. a description of the environmental values likely to be affected by the proposed amendment; and ii. details of any emissions or releases likely to be generated by the proposed amendment; and iii. a description of the risk and likely magnitude of impacts on the environmental values; and iv. details of the management practices proposed to be implemented to prevent or minimise adverse impacts; and v. details of how the land the subject of the application will be rehabilitated after each relevant activity ceases; and Section 3 of this document describes the potential impacts of the proposed amendment on environmental values, including emissions or releases, risks and magnitude of potential impacts, and details of proposed prevention and/or minimisation procedures. Rehabilitation is also covered in this section. l. include a description of the proposed measures for minimising and managing waste generated by any amendments to the relevant activity; and A description of waste management procedures related to this amendment are discussed in Section 3 of this document. m. include details of any site management plan or environmental protection order that relates to the land the subject of the application; and There is no site management plan or environmental protection order relating to the land subject to the application. n. include any other document relating to the application prescribed under a regulation. No other documents relate to the application prescribed under a regulation. 1.4 Tenement Details

The proposed activities will be undertaken on ML 80101 and MLA 80175 (hereafter referred to collectively as the MCP MLs), which are held by Monto Coal 2 Pty Ltd. The particulars of the tenements are presented in Table 1. These details are publicly available from the Department of Resources (DoR).

Page 5

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Table 1 –Tenement Information

Tenement ML 80101 MLA 80175 Permit ID 109870 109933 Tenure type Mining Lease Mining Lease Application Tenure number 80101 80175 Area 471.1 Ha 178.1 Ha Permit status Granted Application Lodge date 2 April 2002 10 February 2011 Grant date 21 April 2005 n/a Expiry date 30 April 2035 n/a Authorised Holder Name Monto Coal 2 Pty Ltd Monto Coal 2 Pty Ltd Pre-requisite Tenement - MDL 445

1.5 Background property

The proposed mining activities will be undertaken on ten (10) rural lots, and two (2) lots associated with the existing Monto Branch rail line that bisects a portion of the site. All properties underlying the MCP, with the exception of the rail tenements are owned by the MCP JV. Lot and tenure information is presented in Table 2 below. Table 2 – MCP Underlying Properties

ML Number Lot Plan Land Type Owner 4/RW99 Freehold MCP JV 5/RW591 Freehold MCP JV 122/RW100 Freehold MCP JV

142/RW100 Freehold MCP JV

123/RW101 Freehold MCP JV 126/RW101 Freehold MCP JV ML 80101 145/RW101 Freehold MCP JV 124/RW714 Freehold MCP JV 125/RW714 Freehold MCP JV 2/SP151959 Freehold MCP JV 311/CP827316 Lands Lease (Rail) Queensland Rail 331/CP827317 Lands Lease (Rail) Queensland Rail 124/RW714 Freehold MCP JV 125/RW714 Freehold MCP JV MLA 80175 145/RW101 Freehold MCP JV 126/RW101 Freehold MCP JV

Page 6

EA Amendment Supporting Document EPML00418713 Monto Coal Project

2 Activity Description

Mining on the MCP will be undertaken by industry standard open-cut methods. The mine plan is based on ensuring that in-pit dumping can be facilitated as soon as possible. Upon completion of the initial box-cut, the mine will be progress with an “advancing high-wall” in an easterly direction. The proposed mine plan ensures maximum economic recovery of the multiple thin coal seams while minimising dilution to ensure project yields are maximised.

Vegetation clearing and topsoil removal (typically to 0.3 m thickness) will be completed with dozers and scrapers respectively. The topsoil will be stockpiled for both progressive and post-mining rehabilitation purposes.

The top 5 m of overburden will likely be suitable for free digging, with the remainder blasted. Both the free dig and blasted component of the overburden will be excavated using 200-400 tonne class excavators and a fleet of appropriately sized trucks. This bulk mining method will be undertaken to the top of the first coal seam. Initial placement of mined waste will be out- of-pit until sufficient void space is available for in-pit dumping (advancing low-wall).

Coal mining of the multiple thin seams will be completed with excavators or front-end loaders and a fleet of appropriately sized trucks. Coal partings and interburden will be fragmented by blasting or ripping depending on thickness.

Run of Mine (ROM) coal from the Mulgildie Coal Measures will be hauled by truck from the pit to the ROM stockpile for processing in the Coal Handing and Processing Plant (CHPP) to generate thermal coal products for the global market. Processing of ROM coal will be undertaken at a CHPP located on site. Product coal will be stored on the product stockpile for subsequent loading onto trains at the adjacent rail siding. Coarse and fine rejects material from the CHPP will be co-disposed into a designated and engineered facility on-site.

Rehabilitation of all mining disturbance (including voids, overburden dumps and water management structures) will be undertaken in accordance with the MCP EA and any future Progressive Rehabilitation and Closure Plan (PRCP) for the site.

The proposed life of mine (LOM) layout for the MCP is presented in Figure 2. The proposed addition of MLA 80175 to the MCP will increase the total disturbance footprint by approximately 101 ha (approximately 28%) but will not increase the maximum production rate of 1.5mtpa. The extent of activities to be undertaken within MLA 80175 are limited to: • an extension of the existing proposed ML 80101 open-cut pit; • out-of-pit waste rock dump for the material associated with the open cut pit extension; and • a sediment dam associated with the ot-of-pit waste rock dump.

The residual void which is currently authorised on ML 80101 under the EA is proposed to be located within MLA 80175. All other mine infrastructure is located on ML 80101.

Page 7

EA Amendment Supporting Document EPML00418713 Monto Coal Project

A more detailed overview of the mining operation is provided in the Monto Coal Project IDP, which has been provided as Appendix A to this document.

Figure 2 – Proposed Life of Mine Site Layout

Page 8

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3 Environmental Values and Management Actions

An assessment of the existing environmental values of the site has been completed. The assessment considers site-based knowledge gained since the grant of tenement. It is noted that although the addition of MLA 80175 will result in an increase in the operational area for the MCP, the scale and intensity of the operation are not increasing. As such, the potential impacts to environmental values from the addition of this tenement are not materially different than the potential impacts associated with what is currently approved under the current EA for ML 80101.

Based on the nature of the proposed activities, the following are considered the applicable environmental values requiring assessment: • Ecology • Surface Water • Groundwater • Land and Land Use • Air (Dust) • Acoustic (Noise and Vibration) • Waste • Community 3.1 Surface Water

3.1.1 Existing Environment

Surface Drainage

The MCP is located in the Upper sub-basin of the Burnett drainage basin. The only watercourse in the vicinity of the MCP is Three Moon Creek, an ephemeral waterway which flows from north to south past the townships of Monto and Mulgildie, and the MCP, before joining the Burnett River approximately 35km to the south. The upper portion of the Three Moon Creek catchment is hilly and forested, with land use lower in the catchment being predominantly agricultural. Cania Dam is located on the upper reaches of Three Moon Creek, approximately 60km upstream of the MCP.

All other waterways in the vicinity of the MCP are ephemeral, with water quality and flow dependent on land use and rainfall in the catchment respectively. A drainage system is present within MLA 80175 which runs towards the northwest to an off-lease confluence with Three Moon Creek (see Figure 3).

The primary contributor to the flow of all surface drainage features in the region is rainfall. Rainfall is typically summer-dominant and has been observed to be highly variable (see

Page 9

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Section 3.5.2 for further detail). Mean pan evaporation exceeds mean rainfall in all months of the year, indicating that there is a net evaporative climate.

Figure 3 – MCP Ordered Drainage

Page 10

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Flood Modelling

Flood modelling was undertaken during the Monto Coal Stage 1 Feasibility Study and was completed to define peak flood levels and inundation extents of Three Moon Creek adjacent to the MCP for 10, 100 and 1,000 ARI events.

A hydrological model was completed using XP-RAFTS software for the whole of the Three Moon Creek catchment up to the Abercorn flow gauging station. The model was calibrated against measured stream flow data at the gauging stations of Upper Monal at Monal Creek and Abercorn at Three Moon Creek. Observed and simulated flow hydrographs at Upper Monal and Abercorn flow gauging stations for February 2003 are shown in Figure 4 and Figure 5.

Figure 4 – Upper Monal Flow Gauge (February 2003)

Figure 5 – Three Moon Creek Flow Gauge (February 2003)

Page 11

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Estimated Australian Height Datum (AHD) flood levels at and surrounding the MCP for the pre-development 10, 100 and 1,000 ARI are presented in Table 3. The flood level contours are presented in Figure 6, Figure 7, and Figure 8. It should be noted that the layout of the mine infrastructure and the boundary of MLA 80175 shown in in Figure 6, Figure 7, and Figure 8 are indicative overlays shown on the pre-development flood extent.

As a result, the mine layout has been changed since completion of this modelling study (refer to Figure 2) to avoid the placement of any infrastructure within the Three Moon Creek flood plain.

Minor flooding impacts on the MCP from the two drainage features running through site are anticipated to be negligible to the operation through management of clean water under the site Water Management Plan. Table 3 – Estimated Flood Levels

Storm Duration Peak Flood ARI (hours) Height within the MCP(AHD) 9 213.25 10 12 213.28 18 213.26 9 214.19 100 12 214.26 18 214.29 6 214.96 1,000 12 215.21 18 215.30

Page 12

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 6 – Maximum Water Depth 10 Year ARI

Page 13

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 7 – Maximum Water Depth 100 Year ARI

Page 14

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 8 – Maximum Water Depth 1,000 Year ARI

Page 15

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Three Moon Creek Water Quality

A baseline water quality assessment within Three Moon Creek was undertaken upstream and downstream of the MCP area and reported in the Environmental Management Plan (EMP), as part of the for the EA application for ML 80101. The monitoring program consisted of three (3) monitoring locations, namely 3M-US1, 3M-MS2 and 3M-DS3.

Laboratory analysis of samples collected at these locations indicated that the analytes were below the corresponding ANZECC Guideline (2000) values with the exception of lead. The 95th percentile water quality results are presented in Table 4. The quality of the water is indicative of the highly disturbed nature of the adjacent land, with agricultural activities contributing heavily to sediment load in the creek. The high turbidity and suspended solids in the creek indicate a moderately disturbed aquatic ecosystem. Table 4 – Three Moon Creek Water Quality (95th Percentile)

Monitoring Location ANZECC Guideline Parameter 3M-US1 3M-MS2 3M-DS1 Value* pH (pH Units) 7.99 8.00 7.69 6.0-9.0** Temperature (°C) 33.8 28.4 27.7 - EC (µS/cm) 744 714 760 - Dissolved Oxygen (mg/L) 8.6 8.8 7.6 - Turbidity (NTU) 970 312 2,180 - Suspended Solids (mg/L) 1,829 3,737 17,560 - TDS (mg/L) 425 432 397 4,000*** Oil & Grease (mg/L) <7 <7 <7 - Petroleum Hydrocarbons (mg/L) <5 <5 <5 - TPH (C6-C9) (µg/L) <20 <20 <20 - TPH (C10-C14) (µg/L) <50 <50 <50 - TPH (C15-C28) (µg/L) <100 <100 <100 - TPH (C29-C36) (µg/L) <50 <50 <50 - 1.2-Dichloroethane-D4 (%) 107.7 106.4 112.8 - Toluene-D8 (%) 105.7 102.1 104.0 - 4-Bromoflurobenzene (%) 103.7 99.0 99.6 - Chromium (Total) (mg/L) 0.004 0.004 0.006 1 Mercury (Total) (mg/L) <0.0001 <0.0001 <0.0001 0.002 Silver <0.001 <0.001 <0.001 <0.005**** Aluminium 2.9415 2.8725 4.6110 5 Arsenic 0.0049 0.0155 0.011 0.05 Dissolved Barium 0.0925 0.8740 2.6145 - Metals (mg/L) Beryllium <0.001 <0.001 <0.001 - Cadmium <0.0001 <0.0001 <0.0001 0.01 Cobalt 0.0038 0.1618 0.2759 1 Chromium 0.0569 0.1309 0.1074 1

Page 16

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Monitoring Location ANZECC Guideline Parameter 3M-US1 3M-MS2 3M-DS1 Value* Copper 0.0792 0.1766 0.2012 1*** Manganese 0.3085 12.7144 20.3250 - Molybdenum <0.001 <0.001 <0.001 0.15 Nickel 0.0485 0.1295 0.1626 1 Lead 0.0447 0.1050 0.0942 0.1 Antimony <0.003 <0.003 <0.003 - Selenium <0.002 <0.01 <0.01 0.02 Zinc 0.194 0.871 0.687 20 Vanadium <0.01 0.01 <0.01 - Iron 3.238 3.548 5.5605 -

Notes: * ANZECC guideline values presented are based on livestock drinking water guidelines unless otherwise stated ** Based on the ANZECC guideline value for irrigation and general use *** Based on the trigger value for cattle. **** Based on ANZECC guideline values for freshwater aquatic ecosystems

3.1.2 Environmental Values

Agricultural Use

Agricultural use of surface water in the MCP area is primarily related to livestock watering. Surface water samples from the monitoring sites have indicated relatively low concentrations of dissolved metals, and all parameters were generally below or within the ANZECC 2000 guidelines for livestock watering.

Cultural and spiritual values

There is no known environmental value in relation to cultural and spiritual values of surface water within the MCP area.

Aquatic Ecosystem

The value of the surface water in the vicinity of the MCP as aquatic ecosystem habitat is relatively low and consistent with those of the wider catchment. This is reflective of the ephemeral flow of the receiving environment and of the land use in the area being predominately livestock. Environmental values are dictated primarily by the ephemeral and intermittent nature of the flow within the region’s waterways. Creeks in the catchment are generally in moderate condition and are characterised by low habitat diversity.

No rare or threatened species of aquatic flora or fauna have been recorded from or are likely to occur in the waterways of the area. There are no wetlands of Regional, State or National significance within or adjacent to the MCP. On this basis, the receiving waters are considered to be moderately disturbed.

Page 17

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3.1.3 Wetlands

No wetlands of Regional, State or National significance are found within or adjacent to the MCP.

3.1.4 Potential Impacts

Potential impacts on surface water values are associated with a degradation of water quality in Three Moon Creek due to water being released from the MCP, having a resultant negative effect on sensitive receptors.

The mechanisms by which the MCP could cause a degradation of water quality in Three Moon Creek include: • Sediment-laden runoff from disturbed areas; • Mine affected water; • Contaminants from the mining infrastructure area (e.g. hydrocarbons, detergents, degreasers); • Acid mine drainage (AMD); • Tailings dam leakages; and • Sewage effluent.

The addition of MLA 80175: • does not intercept any new drainage channels or creeks; as such the downstream receiving environment (values and receptors) remain unchanged; • is a continuation of an existing approved pit and as such the overburden and coal characteristics remain unchanged – accordingly the AMD risks remain unchanged and the characteristics of runoff (sediment affected and mine affected) also remain unchanged. • does not include any proposed workshop, fuel or chemical storage, sewage treatment facility or tailings dam.

3.1.5 Proposed Management Actions The model mining conditions include a specific schedule on water management, which comprises more detailed conditions around monitoring and release of water than is currently in the MCP EA. The same release quality criteria will apply with the same downstream receiving environment. As such there is no additional potential impact associated with ML 80175.

Additionally the following management actions and control measures are to be implemented on site: • Establish, implement and regularly update a site Water Management Plan (as conditioned by the model mining conditions); • Separate runoff from disturbed and undisturbed areas; • Contain, treat and reuse surface water on site in preference to discharge; • Conduct monitoring to identify any potential impacts; and

Page 18

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• Manage releases to protect downstream environmental values. 3.2 Ecology

3.2.1 Terrestrial Ecology

Threatened and Near-Threatened Species

The majority of the MCP and surrounding areas has been cleared for cropping and grazing activities. Very little habitat of any significant value remains for native fauna outside of the riparian corridors associated with permanent watercourses (with Three Moon Creek being the only relevant watercourse in the vicinity of the MCP).

A Wildlife Online search was undertaken to determine the potential presence of protected fauna within the MCP area. A point central to the MCP was chosen and a ten (10) kilometre search radius was selected, and no threatened or near threatened species were returned in this search.

A review of the Essential Habitat mapping was also undertaken surrounding the MCP area. The closest essential habitat to the MCP is approximately 5.2km from the southern boundary of ML 80101 and 7.1 km from the closest part of MLA 80175

Vegetation

The area underlying the proposed MCP disturbance footprint has been entirely cleared of native vegetation historically. There is a small patch of remnant vegetation associated with a drainage tributary to the Three Moon Creek riparian corridor; however, it is located within ML80101 and is not proposed to be disturbed. No remnant vegetation is located within MLA 80175. The REs within the MCP MLs are presented in Figure 9.

Protected Flora Survey Triggers

The MCP MLs are not covered by any protected plants flora survey trigger mapping.

Page 19

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 9 – Regional Ecosystem Mapping

Page 20

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3.2.2 Aquatic Ecology

The biological value of aquatic ecosystems within and adjacent to the mine are relatively low and consistent with those of the wider catchment. This is reflective of the ephemeral flow of the receiving environment and of the land use in the area being predominately livestock. Watercourses and drainage lines in the broader catchment are generally in moderate condition and are characterised by low habitat diversity.

It is noted that the southern portion of Three Moon Creek has been assessed as having high biodiversity values under the Burnett Riverine Aquatic Conservation Assessment Version 1.1 - 2010 (BRACA). The BRACA also assessed the northern portion of Three Moon Creek as having medium biodiversity values.

No rare or threatened species of aquatic flora or fauna have been recorded (or are considered likely to occur) in the waterways of the area. There are no wetlands of Regional, State or National significance within or adjacent to the MCP. On this basis, the receiving water ecosystem is considered slightly to moderately disturbed.

3.2.3 Potential Impacts

Terrestrial Ecology

The addition of MLA 80175 does not intercept any terrestrial ecology values and as such the MCP will not have any terrestrial ecology impacts.

Aquatic Ecology

As stated in Section 3.1.4, the addition of MLA 80175 does not intercept any new drainage channels or creeks. As such, the downstream receiving environment (values and receptors) for the MCP remains unchanged.

Additionally, the potential for water quality impacts downstream of the MCP (which is the driver for any resultant impacts on downstream aquatic ecology) remain unchanged with the addition of MLA 80175, as also addressed in Section 3.1.4.

3.2.4 Proposed Management Actions

Terrestrial Ecology

Although there are no known rare, threatened or near threatened species and no remnant vegetation in the footprint of the MCP, a number of best practice terrestrial ecology control measures are to be implemented as follows: • Restrict the clearing of areas to only those that are required for the practical development of the MCP. A clearing permit system will be implemented to control clearing activities for the MCP.

Page 21

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• The development of a Weed Management Plan to monitor and control weed populations on the MCP. Site inductions are to include training for site personnel on weed management and identification. • A qualified fauna spotter catcher will inspect trees prior to felling for the presence of vertebrate fauna.

Aquatic Ecology

The release and management of water from the MCP into the receiving in environment is discussed in Section 3.1.5.

In addition, a Receiving Environment Monitoring Program (REMP) is to be developed and implemented for Three Moon Creek in order to determine any impacts from the operation on aquatic ecology environmental values. The REMP will include consideration of MLA 80175 and ML 80101. 3.3 Groundwater

3.3.1 Hydrogeology and Aquifer Characteristics

The MCP is located within the Mulgildie Basin on the eastern margin of the Great Artesian Basin (GAB), an area generally delineated as a recharge area for GAB aquifers. From basement up, the stratigraphic units underlying the MCP are the Precipice Sandstone, Evergreen Formation, Hutton Sandstone, and Mulgildie Coal Measures. A conceptual east- west cross-section of these units has been presented in Figure 10 below.

Page 22

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 10 – Cross-section of Regional Stratigraphy

Precipice Sandstone

The Precipice Sandstone contains the best quality groundwater resource in the region in terms of total dissolved solids (TDS) (for reference, the Mulgildie Town Supply bore has recorded TDS concentrations of approximately 430 mg/L). Iron precipitation in steel bore casings can be an issue in this aquifer, as the water is quite aggressive due to high levels of dissolved CO2; however, this issue can be avoided with the use of inert casing materials.

The top of the Precipice Sandstone ranges at approximately 582m below ground level (BGL) to 1,588m BGL. The hydraulic properties of the Precipice Sandstone in this area are not well known; however, however, some indicative testing south of Mulgildie, near the project area recorded an average porosity of 15% and an intrinsic permeability of 1.5-840 millidarcies (0.001-0.7 m/day), with an average of 296 millidarcies (0.25 m/day).

Evergreen Formation

The Evergreen Formation is a confining layer that is typically encountered between 330m to 590m BGL.

Hutton Sandstone

The Hutton Sandstone is a less important aquifer locally, as it is relatively clayey. No current groundwater users have been identified as taking water from the Hutton Sandstone. Water quality information is sparse; however, indicative data from the groundwater database indicates a highly variable TDS, ranging from less than 1,000 mg/L to 7,000 mg/L. The potential yield from this aquifer is also unknown.

Page 23

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Mulgildie Coal Measures

The Mulgildie Coal Measures are used in areas where alluvial aquifers are not present to provide water for stock. Water quality varies from less than 500 mg/L to greater than 16,000 mg/L, with most samples over 2,000 mg/L TDS. Average yield of bores in this aquifer is uncertain.

Alluvial Aquifer

Alluvial deposits are located along the locally significant watercourses, including Three Moon Creek. These deposits are exploited as a source of irrigation water, and for stock and domestic supply. Both the townships of Monto and Mulgildie rely on groundwater from deeper formations (primarily the Precipice Sandstone) to provide domestic water supply. Recharge weirs are located along stretches of Three Moon Creek in order to facilitate recharge of the alluvial aquifer when the upstream Cania Dam discharges. An assessment of borelogs from exploration and third-party drilling activities and geological mapping indicates that the Three Moon Creek alluvium is located to the west of the MCP and does not extend into the MCP mining areas.

3.3.2 Third Party Groundwater Users

Registered groundwater bores in the vicinity of the MCP have been presented in Figure 11 based on a search of registered bores (QLD DoR Globe).

3.3.3 MCP Groundwater Extraction

The MCP’s water demand will be met by an existing production bore within the Precipice Sandstone located on the northern boundary of ML 80101, with a maximum extraction rate of 700 ML/year (as authorised by Water Licence 174797). The addition of MLA 80175 to the MCP will not require the extraction of additional groundwater for the MCP as the overall mining rate, processing requirements, mobile plant fleet and fixed plant requirements will remain unchanged. Therefore, Water Licence 174797 will provide sufficient raw water to meet the annual requirement for the MCP.

Page 24

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 11 – Groundwater Bores within 4 km of the MCP

Page 25

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3.3.4 Groundwater Dependent Ecosystems and Springs

The Abercorn Springs are located 17km south of the proposed MCP ML boundary (see Figure 12). Flora and fauna species associated with these springs are considered significant. The source of water for these springs is uncertain; however, based on water quality analysis the source is most likely to be the Evergreen Formation or Hutton Sandstone (Flora, fauna and freshwater aquatic study of Abercorn Mound Springs near Monto, North Burnett, CQ University, 2009).

Between the MCP and the springs there are numerous third-party extraction bores (Figure). More notably there are eight (8) third party extraction bores located within and immediately adjacent to the springs (Figure 12 inset).

There is no identifiable mechanism by which the MCP would impact the Abercorn Springs due to: • the 17km separation between the MCP and the spring, • the MCP targeting the Mulgildie Coal Measures (not the Evergreen Formation or Hutton Sandstone as shown on Figure 10) • the existing MCP production bore draws from the Precipice Sandstone (not the Evergreen Formation or Hutton Sandstone as shown on Figure 10; and • the significant number of groundwater users between the MCP and the Abercorn Springs; and • the presence of eight (8) third party extraction bores located on and immediately adjacent to the springs.

As such, the Abercorn Springs are not considered a groundwater environmental value associated with the MCP and do not require further consideration. No other notable Groundwater Dependent Ecosystems are present on or in the vicinity of the MCP based on available mapping and observable terrestrial ecology.

Page 26

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 12 – Abercorn Springs and Existing Groundwater Bores

Page 27

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3.3.5 Potential Impacts

The potential impacts of the MCP on ground water values are associated with: • drawdown (lowering of the water table) resulting from pit inflow or from the extraction bore, • intercepting third party bores screened in the Mulgildie Coal Measures or Precipice Sandstone respectively; or • contamination of groundwater from waste rock dumps (leachate), and tailings and mine water dams (seepage), which is extracted by third party bores.

The addition of MLA 80175 does not represent any increase to previously approved potential groundwater impacts associated with MCP drawdown, because MLA 80175:

• does not include any new groundwater extraction bores; • is a small extension to the north of an existing pit: o the extension targets the same coal measures and overburden and as such does not intercept any new hydrogeological units; o the footprint of the extension is no closer to any registered groundwater bore of relevance, than the existing pit.

The addition of MLA 80175 does not represent any increase to previously approved potential groundwater impacts associated with contamination, because: • MLA 80175 does not include a CHPP or tailings storage facility (TSF). The primary potential source of groundwater contamination is seepage from the TSF and mine- affected water dams previously authorised on ML 80101; and • MLA 80175 does include a waste rock dump however it is the same material as the waste rock dumps already approved on MLA 80101.

3.3.6 Proposed Management Actions

The model mining conditions include a specific schedule on water and groundwater management, which comprises more detailed conditions around monitoring and release of water than is currently in the MCP EA. Conditions include monitoring of groundwater levels and quality. Those conditions will apply to MLA 80175 (as well as ML 80101).

At present the MCP does not include existing groundwater monitoring bores and the EA does not include locations for monitoring, quality or level criteria. The model Mining conditions require those particulars to be addressed (including reference bores) and as such represent a more detailed set of conditions.

Additionally, the following management actions and control measures are to be implemented on site: • Establish, implement and regularly update a site groundwater monitoring program; • All dams at the MCP will be constructed to minimise the likelihood of releases through the bed or banks, in accordance with the EA; and • Seepage monitoring is required for the TSF.

Page 28

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3.4 Land and Land Use

3.4.1 Soils The soils in the local area surrounding the MCP are well understood as a result of the existing and historical land use being livestock and agriculture, with soil types generally being:

• Vertosols – the main soil type in the area, dark-brown to grey cracking clays. Vertosols (cracking clays) are common within the MCP area and generally dominate the local landscape. They are typically dark-brown in colour (~10R1.7/1), with a very stiff to hard consistency and often grade into residual weathered coal measures. • Calcarosols – soils interpreted as being mainly located on crustal areas where the vertosol soil profile may still exist, but is of limited depth; and • Rudosols – shallow, medium-textured and coarse-textured soils over rock with negligible soil profile development. These are soils that have little to no soil profile development and are essentially only sedimentary or colluvial deposits. This soil type is known to occur in areas close to the drainage channels with gullies (fluvial deposits), and the foot of slopes (colluvial deposits). It is dark-brown in colour, similar to the black soils (vertosols).

The soils within the MCP are consistent with the surrounding area and are mostly vertesols. More specifically, the majority of the disturbance footprint at the MCP is located within the vertosol and calcarosol soil units. The stripping depth for topsoil resources within these soil units is 0.3m and 0.15 m of the surface respectively, which will provide sufficient topsoil resources for rehabilitating the site to the post-mining land use.

3.4.2 Existing Land use

The land underlying the MCP has been almost entirely cleared of remnant vegetation to facilitate cropping and grazing activities. The majority of the land on which the MCP is located is mapped as Strategic Cropping Land under the Regional Planning Interests Act 2014 (RPI Act). Activities authorised under ML 80101 and MDL 445 are classified as pre- existing resource activities under the RPI Act but MLA 80175 may require a Regional Interests Development Approval (RIDA) prior to the commencement of activities. Any RIDA application process will be undertaken separately to this EA amendment.

3.4.3 Post-mining Land Use The proposed post-mining land use (PMLU) for rehabilitated areas at the MCP is proposed to be grazing pasture in line with the pre-mining and adjacent land uses with the exception of the residual void, which will be utilised for water storage.

Page 29

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3.4.4 Potential Impacts

Potential impacts on land resources from mine-related disturbance include changes to land suitability, land use, existing landforms, and land contamination.

These potential impacts could potentially result from activities including: • Wind erosion of soil and dust generation; • Loss of topsoil through poor management practices; • Dispersion, slaking and erosion of exposed soils; • Degradation of downstream water quality through sediment-laden or contaminated runoff; • Blasting and excavation; • Contamination resulting from acid rock drainage and/or saline leachate; • Contamination of land from storage, use and management of hydrocarbons or chemicals; • Generation and storage of domestic wastes; and • Storage of sewage.

The addition of MLA 80175 does not represent any increase to previously approved potential land or land use impacts, because: • the proposed final landforms and PMLU are the same as on ML 80101, • the soils and soil types are the same as ML 80101.

Management practices during operations and rehabilitation of disturbed areas will ensure no permanent or long-term impacts to the land are likely to occur.

3.4.5 Proposed Management Actions

Topsoil

The primary topsoil management strategies and commitments for the MCP during construction operations and closure are as follows: • A topsoil management plan and register (including materials balance) is to be developed prior to the commencement of any topsoil stripping; • Topsoil and vegetation clearing will only be carried out as necessary for ongoing operations; • Suitable topsoil (the vertosol and calcarosol soil units) will be stripped and stockpiled for use in future rehabilitation works; • Topsoil stockpiles will be located away from drainage paths and the final surface will be ripped to promote natural revegetation; • The placement of topsoil will consider the landscape position the topsoil was stripped from, with soils of the undulating topography used on slopes and hilltops and alluvial soils used in lower slopes and areas where water accumulation may occur; • All topsoil stockpiles will be no higher than 3m to retain viability of the natural seedbank;

Page 30

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• Topsoil is to be stored for the shortest period practicable and reused as soon as possible to maximise the viability of the seedbank; • Where wind erosion is a risk to topsoil stockpiles, efforts will be made to minimise this erosion by promoting grass or other vegetation cover or applying geofabric or less erosive topsoil; and • All topsoil stockpiles will be surveyed and the locations and volumes recorded in a Topsoil Register.

Land Management

The primary land management strategies for the MCP during construction, operations, and closure are as follows: • Design criteria for waste rock dumps will consider slope angles (as outlined in Table F1 of the current EA) and length, dump heights, compaction and management of material within dumps, visual amenity, and water management; • Active control of weeds and pest animals on the MLs; • Development and implementation of management measures to prevent contamination of land will include, but not necessary be limited to: o Design and construction of fuel storage areas in accordance with relevant Australian Standards. o Provision of spill control kits at all hydrocarbon and chemical storage areas; o Provision of bunding of liquid storage facilities where appropriate; o Storage of chemicals in appropriately designed areas; o Maintenance of incident register detailing any hydrocarbon or chemical spill including location, date, actions taken, and recommended remedial actions; o Provision of oil interceptors in workshop areas to prevent contamination of runoff; o Training of all staff responsible for servicing of machinery, hydrocarbon and chemical use or transportation to ensure they are aware of the correct procedures for activities involving hydrocarbons and/or chemicals, including emergency response procedures and the use of spill control kits; and o Regular integrity testing and auditing of hydrocarbon and chemical storage facilities; • Any sites that become contaminated will be investigated and managed in accordance with the requirements of the contaminated land provisions in the EP Act.

Disturbance will be limited to those areas required for active mining activities. Mine planning strategies will be implemented to ensure unnecessary disturbance of land is avoided. Monitoring strategies will be implemented to ensure rehabilitation and landform stability.

Rehabilitation The existing rehabilitation approach in place for MLA 80101 is suitable for MLA 80175 for the reasons previously provided (e.g. same PLMU and same soils).

The model mining conditions include a specific land and rehabilitation schedule, which comprises more detailed conditions around rehabilitation than is currently in the MCP EA.

Page 31

EA Amendment Supporting Document EPML00418713 Monto Coal Project

The adoption of those conditions will require some site-specific consideration including population of the Rehabilitation Requirements table (Table H1). It is proposed that the relevant specific rehabilitation criteria in the existing EA be adopted and transposed into the model mining conditions Rehabilitation Requirements table.

In addition it is proposed that rehabilitation strategies and objectives be detailed in a Post Mining Land Use and Rehabilitation Management Plan (RMP) within 12 months of the commencement of mining activities. The RMP should contain the following: • Rehabilitation objectives to achieve the rehabilitation goals for all disturbed areas; • Detailed rehabilitation methods for each disturbed area; • Rehabilitation indicators to measure the success of the rehabilitation against the rehabilitation objectives; • Final completion criteria that will achieve the rehabilitation goals and objectives; • Details of appropriate monitoring and maintenance of rehabilitation; • Identification of 3 reference sites to be used to develop rehabilitation success criteria for each disturbance domain; • A description of monitoring of reference sites inclusive of statistical design; and • A description of progressive rehabilitation planning.

Progressive rehabilitation of the MCP will also be subject to a PRCP once the site is transitioned into the scheme. 3.5 Air (Dust) and Acoustic (Noise and Vibration)

3.5.1 Existing Environment The local air shed is typically rural and sparsely populated. There are no major industrial sources of nitrogen oxides (NOx), sulfur dioxide (SO2) odorous compounds or volatile organic compounds (VOC) surrounding the MCP. The proposed activities on the MCP are standard open cut coal mining activities, which do not contain or generate those pollutants in any significant quantity and as such these are not considered further as part of this assessment.

Land uses in the area are agricultural and pastoral, with a piggery located between the MCP and Mulgildie. As such, existing land uses are known to contribute to background levels of odour and dust in the vicinity, with wind-blown dust associated with agricultural land clearing and cultivation being the largest source of dust emissions in the region.

Bush fires may occur intermittently; however, based on the largely cleared nature of much of the region, these are typically limited to grass fires and impacts are anticipated to be minor.

3.5.2 Climate The Monto region has a sub-tropical climate with distinct wet and dry seasons, with the majority of the year’s rain falling between October and March. Mean maximum temperature in the Monto region ranges from 30°C to 32°C in the summer months, with an average of 21 days per year exceeding 35°C. The mean minimum temperature ranges from 5°C in July to

Page 32

EA Amendment Supporting Document EPML00418713 Monto Coal Project

approximately 19°C in January. Frosts are more likely in the winter months, with heavy frosts where temperature drops below 0°C occurring an average of six days per year. See Figure 13.

Wind direction is primarily from the east to northeast (heading in a west to southwest direction); however, winds occasionally come from the southeast (heading in a northwest direction) (see Figure 14).

Figure 13 – Average Annual Rainfall and Temperatures

Figure 14 – Wind Rose

Page 33

EA Amendment Supporting Document EPML00418713 Monto Coal Project

3.5.3 Sensitive Receptors There are a number of sensitive and commercial places defined in the existing MCP, relating to the existing footprint and activities currently approved. They comprise mostly rural homesteads to the west and south and the small town of Mulgildie to the northwest (see Figure 15).

It is noted that all the properties underlying the MCP (ML 80101 and MLA 80175) and several adjacent properties are owned by Monto Coal 2; therefore, they are not considered sensitive receptors and are not shown in Figure 15.

3.5.4 Potential Impacts

Dust The primary source of dust from conventional open-cut mining is blasting, and truck and shovel operations to extract and transport overburden, interburden and ROM coal. Secondary sources of dust from the MCP may includewind-blown dust from dumps, haul roads and other cleared areas.

The impact to sensitive receptors from dust emissions is dependent on the concentration of dust at a sensitive receptor, which itself is dependent on several factors, such as:

• rate of dust generation at the source; • wind speed and direction and • distance and direction from the source to the receptor.

Wind direction is primarily from the east to northeast (heading in a west to southwest direction); however, winds occasionally come from the southeast (heading in a northwest direction) (see Figure 14).

The addition of MLA 80175 does not represent an increase to previously approved potential dust impacts associated with MCP operations that are not otherwise addressed by existing dust management strategies in place for ML 80101, because MLA 80175: • does not increase the extraction rate (intensity) of mining, does not require an increase in the number of plant or the type or plant, and does not involve a change to mining methods (refer IDP), and as such the rate of dust generation remains unchanged; • is a small extension to the north of an existing pit and dump. As such, the extension is in closer proximity to Mulgildie and several homesteads to the north west, north and north east than the existing activities on ML80101. All of those receptors are already captured as sensitive receptors for activities on ML 80101 and, as such, MLA 80175 does not introduce any new receptors. Critically, all receptors remain “cross wind” of activities on MLA 80175 (as is the case for for ML 80101), when compared against the predominant wind direction (see Figure 15).

Page 34

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Figure 15 – MCP Sensitive Receptors

Page 35

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Noise

The area in which the MCP is located is predominantly rural, with principal noise sources being traffic on the nearby highway, rail traffic and agricultural equipment noise. The impact to sensitive receptors from noise is dependent on a range of variables including:

• time of noise (e.g. night or day) • frequency and decibel level at the noise source; • background noise levels; • wind direction at the time of the noise occurrence; • distance from the source to the receptor.

Potential sources of noise impact from the proposed mining operations are: • Construction noise (during the initial stages of the operation); • Rail transport; • Blasting operations (in the form of airblast overpressure); and • Operational noise (predominantly mining machinery and CHPP).

The addition of MLA 80175 does not represent an increase to previously approved potential noise impacts associated with MCP operations which are not otherwise addressed by existing noise management strategies in place for ML 80101, because MLA 80175: • does not include construction of processing facilities or a realignment of the existing rail corridor (refer IDP); • does not increase the extraction rate (intensity) of mining, does not require an increase in the number of plant or the type or plant, and does not involve a change to mining methods (refer IDP), and as such frequency and decibel level of noise at the source remains unchanged; • is a small extension to the north of an existing pit and dump. As such the extension is in closer proximity to Mulgildie and several homesteads to the north west, north and north east than the existing activities on ML80101. All of those receptors are already captured as sensitive receptors for activities on ML 80101 and as such MLA 80175 does not introduce any new receptors. Critically, all receptors remain “cross wind” of activities on MLA 80175 (as is the case for for ML 80101), when compared against the predominant wind direction (see Figure 15).

Vibration

Potential sources of vibration impacts will be associated with the blasting of consolidated strata overlying the coal seams (blasting of coal seams is not anticipated to be required) and from the use of rail transportation.

The addition of MLA 80175 does not represent an increase to previously approved potential vibration impacts associated with MCP operations which are not otherwise addressed by existing noise management strategies in place for ML 80101, because MLA 80175: • does not include realignment of the existing rail corridor (refer to IDP – Appendix A);

Page 36

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• does not include blasting of any different strata and as such does require any increase in blast size - as such the vibration generated at the source remains unchanged; • is a small extension to the north of an existing pit (the dump footprint is not relevant to vibration). As such, the extension is in closer proximity to several homesteads to the north west, north and north east than the existing activities on ML80101, but no closer to the town of Mulgildie. All of those receptors are already captured as sensitive receptors for activities on ML 80101 and as such MLA 80175 does not introduce any new receptors (see Figure 15).

Potential Impacts - Greenhouse Gas (GHG)

Emissions of GHG can be classed as either direct or indirect. Direct emissions are defined as occurring from sources within the boundary of an organisation as a direct result of that organisation’s activities, such as the combustion of fossil fuels to power machinery. Indirect emissions are defined as occurring in the wider economy as a consequence of an organisation’s activities, but which are physically produced by the activities of another organisation, such as the consumption of electricity.

The activities on the MCP that will produce GHG emissions can be primarily grouped into the following categories: • Stationary fuel combustion (non-road registered vehicles, generators, etc.) – direct; • Transport fuel combustion (road registered vehicles) – direct; • Fugitive emissions from coal – direct; and • Electricity usage – indirect.

The addition of MLA 80175 to the MCP will not create a material increase in the annual emissions rate from the MCP as the mining rate, processing requirements, mobile plant fleet and fixed plant requirements will be unchanged. Therefore, the annual emissions will not materially change from the previously approved ML 80101 activities.

3.5.5 Proposed Management Actions

Dust The model mining conditions include a specific schedule on air quality, which comprises more detailed conditions around management of dust at sensitive receptors (all sensitive receptors identified for MLA 80175 are the same as for ML 80101), than is currently in the MCP EA. Those conditions include maximum limits, requirements for exceedance investigations and reporting, which remain suitable to manage potential impacts associated with MLA 80175.

Ongoing monitoring and community consultation will assist in determining any ongoing dust impacts to adjacent sensitive receptors, allowing the operation to adjust activities as appropriate.

Additionally, the following general dust management measures are to be implemented as appropriate:

Page 37

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• Development of a dust management plan, which would identify sensitive receptors, monitoring and reporting requirements, as well as dust management measures; • Minimising areas of disturbance to only those required for operations; • Watering of exposed areas such as haul roads, access tracks and ROM pads, and adjusting watering based on climatic conditions; • Progressive rehabilitation of disturbed areas as they become available; and • Limiting speed of vehicles on haul roads and access tracks.

Noise The model mining conditions include a specific schedule on noise, which comprises more detailed conditions around management of noise (including overpressure) at sensitive receptors (all sensitive receptors identified for MLA 80175 are the same as for ML 80101), than is currently in the MCP EA. Those conditions include maximum limits, requirements for exceedance investigations and reporting, which remain suitable to manage potential impacts associated with MLA 80175.

Ongoing community consultation will assist in determining any ongoing noise impacts to adjacent sensitive receptors, allowing the operation to adjust activities as appropriate.

Additionally, the following general noise management measures are to be implemented as appropriate: • Temporarily ceasing or adjusting operations in areas generating elevated noise levels; • Moving aspects of the operation to alternative areas on-site; • Restricting vehicle speeds; • Maintaining equipment and machinery; • Fitting mobile equipment with appropriate noise dampening equipment (including consideration of alternative reversing alarms); • Enclosing and/or shielding plant; and • Implementing noise awareness training for site staff; • Development of a blast management plan which will would identify sensitive receptors, monitoring and reporting requirements, as well as identify unsuitable conditions for blasting; • Blasts will be designed to limit overpressure impacts; • Blasting will only be permitted between 9:00am and 5:00pm Monday to Friday and 9:00am to 1:00pm on Saturdays; and • Consideration of climatic conditions when scheduling blasts.

Vibration The model mining conditions include a specific schedule on vibration, which comprises more detailed conditions around management of vibration at sensitive receptors (all sensitive receptors identified for MLA 80175 are the same as for ML 80101), than is currently in the MCP EA. Those conditions include maximum limits, requirements for exceedance investigations and reporting, which remain suitable to manage potential impacts associated with MLA 80175.

Page 38

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Additionally, the following measures will be implemented on site as appropriate to manage vibration impacts from the operation: • Development of a blast management plan which will would identify sensitive receptors, monitoring and reporting requirements, as well as identify unsuitable conditions for blasting; • Blasts will be designed to limit vibration impacts; • Blasting will only be permitted between 9:00am and 5:00pm Monday to Friday and 9:00am to 1:00pm on Saturdays; and • Appropriate warnings will be given prior to blasting; and • Blast designs consistent with industry practice will be developed for the range of operating conditions and the operational requirements of the mine; and • A 400 m exclusion zone for personnel is planned for each blast. These exclusion zones can be implemented without affecting sensitive receptors outside the MCP.

Greenhouse Gas

As previously noted, the addition of MLA 80175 to the MCP will not create a material increase in the annual emissions rate from the MCP as the mining rate, processing requirements, mobile plant fleet and fixed plant requirements will be unchanged. Therefore, the annual emissions will not materially change from the previously approved ML 80101 activities.

Greenhouse gas emissions are monitored and limited by the National Greenhouse and Energy Reporting framework, and the National Pollutant Inventory framework.

Emissions of greenhouse gases from the MCP will be limited through the following measures: • Utilise energy-efficient equipment where appropriate; • Maintain equipment to retain high levels of energy efficiency; • Fit and maintain appropriate exhaust systems on all equipment where appropriate to minimise diesel particulate emissions; • Utilise local materials and personal where able to reduce transport-related emissions; • Restrict vegetation clearing to only that necessary for mining and associated activities; and • Progressively rehabilitate disturbed areas. 3.6 Waste

Waste management in Queensland is governed by four primary pieces of legislation as presented in Table 5.

Page 39

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Table 5 – Waste Management Legislation

Legislation Operative application The Environmental Protection Act 1994 (EP Act) is the primary piece of Environmental Protection legislation that controls the management of waste in Queensland. The EP Act 1994 Act deals primarily with protecting the environment and managing the potential pollution impacts of activities. The objective of the Environmental Protection Regulation 2008 (EP Regulation) is to provide the basis for effective and efficient administration Environmental Protection and enforcement of the EP Act. The treatment, transfer, storage and Regulation 2008 disposal of waste as a part of mining activities is authorised under this legislation. The primary objective of the Waste Reduction and Recycling Act 2011 is to modernise waste management and resource recovery in Queensland. Key provisions relating to QNH operations include: Waste Reduction and • A requirement that agencies and local Recycling Act 2011 governments prepare waste management plans, and • Introduction of stewardship arrangements for any waste products that are identified as growing problems for landfill in the future.

The Waste Reduction and Recycling Regulation 2011 provides additional detail for the Waste Reduction and Recycling Act framework. The regulation provides the following information: • A waste levy rate for leviable waste delivered to a leviable waste disposal site Waste Reduction and • Weight measurement criteria for leviable waste disposal sites without Recycling Regulation 2011 weighbridges • Fees associated with management of wastes • Prescribed activities and requirements for resource recovery areas, and • Planning for waste reduction and recycling, and • Reporting on waste management

Waste on site is to be managed in accordance with the hierarchy presented below (in order of priority): • Avoid • Reduce • Reuse • Recycle • Recover, and • Dispose.

The MCP, associated infrastructure and decommissioning of infrastructure are expected to generate various wastes including: • Regulated waste including hydrocarbon waste (oils, emulsions, oily wastewaters, oily sludge, grease, oil rages, filters an drums), detergents, solvents, paints, resins and batteries; • Inert construction and demolition waste (concrete materials, sand, aggregate, bricks, and pavers); • General and putrescible waste including food waste, packaging and food containers; • Recyclable waste including paper, cardboard, glass aluminium cans, and plastics;

Page 40

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• Green waste arising from vegetation clearing; • Wood waste including timber, pallets and off-cuts; • Tyres including light vehicle tyres and mine truck tyres; • Treated effluent from the sewage treatment plant; and • Coarse and fine rejects from mineral processing.

3.6.1 Potential Impacts

The addition of MLA 80175 does not represent an increase or change to the waste profile of the MCP, because MLA 80175 does not increase the extraction rate (intensity) of mining, does not require an increase in the number of plant or the type or plant, does not increase the proposed workforce and does not involve a change to mining methods (refer IDP). As such the type and quantity of waste remains unchanged, with the exception of waste rock and coal rejects associated with recovery of additional coal resources. More specifically there are no additional potential impacts associated with waste on MLA 80175 and to the contrary it allows for the recovery of coal resource without generating any additional non-mineral waste. In general, if not appropriately managed, wastes generated by the MCP have the potential to create impacts on air quality, water quality, soil quality and visual amenity of the site and the surrounding environment. Sensitive receptors could be detrimentally impacted if waste streams were to enter waterways and groundwater systems and migrate off-site.

Potential adverse impacts during construction and operations resulting from poor waste management practices could potentially include: • Soil contamination and adverse impacts to current and/or post-mining land uses; • Land contamination; • Hazards to human and ecological health; • Degradation of native habitat and diminished ecological value of habitat; • Surface and/or groundwater contamination; • Odour emissions and/or airborne contaminants; and • Reduction in visual amenity.

3.6.2 Proposed Management Strategies The model mining conditions include a specific schedule on waste management as well as other conditions which require the management of waste, which remain suitable to manage potential impacts associated with MLA 80175.

Prior to commencement of construction and active mining, a site Waste Management plan will be developed to address the following: • Characterisation of wastes generated from the MCP; • Waste management hierarchy when selecting waste management strategies; • Procedures for identifying regulated wastes and an approved tracking system for regulated waste movements; • Waste removal from site by licensed contractors to dispose of waste at licenced facilities for the relevant waste type;

Page 41

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• Marketability of waste for recycling and/or reuse; • Procedures for managing accidents, spills or other incidents that could impact waste management; • Pest management; • Waste monitoring; and • Training of personnel on procedures concerning the handling, storage, segregation, collection and disposal of waste.

Waste segregation and storage

Waste streams will be segregated and stored according to the type of waste stream, in accordance with the relevant Australian Standards and taking into account health, hygiene and safety requirements.

Where practical, wastes will be segregated at the point of generation to maximise the opportunity for subsequent reuse or recycling. This will be achieved by providing designated containment areas for reusable and recyclable materials.

Wastes will be stored temporarily prior to collection from the mine by licensed contractor for transport off site. Waste storage facilities will be located close to the point of generation in order to limit handling. A number of locations will be allocated for the establishment of waste storage facilities including: • CHPP • Mine infrastructure area workshop; • Administration building; and • Go line area

Other construction and operational areas may have smaller waste storage units, with waste either removed directly from these points by licensed contractor or moved to the closest of the facilities listed above.

Waste Collection, Transportation and Tracking

Licensed contractors will be used to transport waste off-site for reuse, reprocessing, recycling or disposal. The contract will be responsible for reporting the final destination of all waste removed from site.

The movement of regulated waste is subject to a waste tracking system. Waste Transport Certificates for the collection, transportation and management of regulated wastes will be retained for five years.

On-site waste disposal

The only materials proposed to be disposed of on-site are waste tyres, processed timber/wood, concrete, and green waste. On-site waste disposal will be undertaken in accordance with the EA.

Page 42

EA Amendment Supporting Document EPML00418713 Monto Coal Project

If possible, tyres are to be removed by the tyre supplier for recycling or used on-site for road barriers and demarcation. Otherwise, tyres will be stored and appropriately disposed of by burying in the min waste rock dumps, or disposed of in the pit in accordance with the following principles: • Stockpiled tyres will be less than 3m in height and 200 m2 in area. Fire precautions will include removal of grass and other flammable materials within a 10m radius of the tyre store. Tyres will be stored in a manner that prevents water retention and minimises the potential for mosquitoes to breed; • Scrap tires may be disposed of in spoil emplacements (in-pit and out-of-pit) where tyres are placed as deep in the spoil as possible, but above the uppermost groundwater aquifer; and • Scrap tyres are not to be placed in a way that could compromise the stability of the final landform.

CHPP waste

Coarse rejects and tailings material are proposed to be placed into a dedicated tailings/co- disposal facility, as authorised in Table G1 of the current MCP EA . The EA allows for a 21 ha tailings dam (including the embankment and pondage area) within ML 80101, which will be sufficient for the life of mine of the MCP, including the additional reject material from ML 80175. It is noted that these materials are not anticipated to pose significant adverse environmental impacts; this will be confirmed by an ongoing CHPP rejects characterisation program. 3.7 Community

3.7.1 Community Consultation

In order to facilitate an understanding of community values and concerns, Monto Coal has engaged in consultation with affected and interested stakeholders. This consultation included the following stakeholder groups: • Local residents and landowners; • Local government councillors and officers; • Traditional owners; • State and federal regulatory authorities; • Government departments; • Emergency service agencies; and • Infrastructure providers.

In 2011, a targeted consultation process was undertaken with the North Burnett Regional Council, directly impacted landholders, traditional owners and residents of Mulgildie. Based on the advice of the North Burnett Regional Council, subsequent consultation has focused on neighbouring landholders (as there are no directly impacted landholders), traditional owners and residents of Mulgildie.

Page 43

EA Amendment Supporting Document EPML00418713 Monto Coal Project

The consultation process was implemented to ensure issues, including those relating to social and community issue have been identified and potential impact discussed to ensure impacts are minimised and strategies developed to ensure ongoing mitigation and/or minimisation of the identified impacts. This process has enabled strategies to be developed in recognition of the specific oncers of the relevant stakeholders. This program has provided an opportunity for identification of contact points for stakeholders seeking information regarding the Project.

3.7.2 Existing Community

The proposed mine is located approximately 2km from the township of Mulgildie and 12km from the town of Monto. The largest industry sector in the region is agriculture, including the production of beef, milk, lucerne, pork, grain and timber. Monto is the administrative centre for the region and provides primary and secondary schools, a hospital, traveller accommodation and a range of commercial and community facilities.

The most recent census data (2016) from the Australian Bureau of Statistics indicates that Mulgildie has a population of 174 and Monto has a population of 1,189. The region’s reliance on agriculture is demonstrated in employment statistics from that census, with the majority employed in the industry. Employment opportunities outside of the agriculture and retail sectors are limited.

3.7.3 Existing Accommodation

The majority of housing in Monto and Mulgildie is stand-alone, private dwellings. It is estimated that between 200 – 240 full time equivalent (FTE) staff will be employed with the inclusion of MLA 80175 split over a four (4) panel roster of seven (7) days on and seven (7) days off. As such 100 – 120 shift workers will require accommodation during a roster.

In recent years there has been a significant trend away from standalone housing towards camp-style accommodation for mine staff. Monto Coal plans to build a camp on the outskirts of Monto to accommodate approximately 70 workers and contractors, which will require separate approval under the Planning Act 2016.

No additional demand for accommodation will be created by the addition of MLA 80175 to the MCP. The mining rate, mobile and fixed plant requirements and employee numbers will be unchanged from the previously approved activities limited to ML 80101.

3.7.4 Potential Community Impacts

The primary issues of concern for community stakeholders are the effects on the communities and their ability to meet the requirements of additional workforce and demand for community services generated by the mine. This concern arises from the fact that facilities and services are generally limited in the region.

During consultation undertaken to date, the key issues identified relating to social and community impacts were as follows:

Page 44

EA Amendment Supporting Document EPML00418713 Monto Coal Project

• Accommodation; • Road impacts and traffic generation; • Impacts on public amenity, such as dust; • Impacts on domestic water supply for Monto; • Cumulative impact on community services and infrastructure; and • Impacts on accommodation.

Accommodation

As previously noted, no additional demand for accommodation will be created by the addition of MLA 80175 to the MCP. The mining rate, mobile and fixed plant requirements and employee numbers will be unchanged from the previously approved project which only included ML 80101.

There are three general options for accommodation typically adopted by mining companies and mining contractors, namely: • Employment of local workers with accommodation arrangements left to each worker; however, small population and potential lack of diverse skillsets to fit all roles would mean there would still be gaps in the workforce. • Provision of houses, and group housing, and/or, rent subsidies or purchase assistance for private accommodation. Due to a shortage of private housing and lack of supply of new housing in the Monto region, this approach will not meet the requirements as the principal accommodation strategy for a new project. • Provision of camp accommodation, including some shared arrangements such as hot bedding in motel-style arrangements, and varying cost arrangements including fixed price and free accommodation. This is considered the most suitable as the primary housing solution for the majority of its workforce.

As a secondary option, private housing options will be sought to provide employees with an alternative to camp accommodation and as a tool to attempt to attract families to the region.

Road System and Traffic

No additional impacts on the road system or traffic will be created by the addition of MLA 80175 to the MCP. The mining rate, mobile and fixed plant requirements and employee numbers will be unchanged, therefore road and traffic impacts will also be unchanged from the previously approved project which only included ML 80101.

Bus arrangements to and from the mine to Monto will be implemented in order to reduce the impact on the local road system. As coal is to be railed, there will be minimal heavy vehicle impacts to the road systems. Intermittent deliveries by heavy vehicles may increase road traffic on a small scale, but will not be increased by the inclusion of MLA 80175.

Page 45

EA Amendment Supporting Document EPML00418713 Monto Coal Project

Public Amenity

The range of potential impacts to community and public amenity from the MCP include: • Noise • Dust • Ground vibration • Blasting overpressure

The potential for adverse impacts from all of the above have been addressed in previous sections of this supporting document. In each of those areas, specific control strategies have been identified to minimise and mitigate potential impacts should they arise and to monitor conditions to ensure that any potential adverse impact be identified.

In addition to the strategies presented for each of the above potential impacts, it is proposed that a complaint/incident management system be developed ruing the construction and operation of the MCP.

Cumulative Impact on Community Services and Infrastructure

The MCP and its employees will generate additional demand for goods and services in the region beyond that which exists currently. It is recognised that beyond just accommodation, the project will create demand for additional community infrastructure and services.

No additional impacts on the community services or infrastructure are expected from the inclusion of MLA 80175 in the MCP.

Positive Community Impacts

The development of a new open-cut mine in the Mulgildie region is in the public interest as it provides an opportunity for economic diversification for the region and additional impact for the State government.

The inclusion of MLA 80175 will increase State and Federal government royalties and other revenue through personal income and company taxes, fees and levies and payment to Government-owned enterprises, as MLA 80175 allows for recovery of additional resourse and extends the life of the MCP.

By being present in the area and engaging with the community, the MCP’s operation is expected to provide: • An opportunity for economic diversification in the region leading to more resilient and sustainable communities; • Direct and indirect employment opportunities for people living in the region; • Opportunities for local and regional business security and potential growth; • Population stability and growth; and • Improved community wellbeing through the realisation of opportunities.

Page 46

EA Amendment Supporting Document EPML00418713 Monto Coal Project

4 Conclusion

The inclusion of MLA80175 to the MCP and EA EPML00418713 is required to improve the economics and better exploit a known coal resource. The impact footprint of the MCP will increase by approximately 101 ha (a 28% increase).

The potential environmental harm from the MCP, or potential impact to sensitive receptors is not anticipated to be materially greater than that approved in the current EA for ML 80101

The modernisation and streamlining of the conditions of the EA (in line with the model mining conditions) will enable the department to more effectively monitor compliance.

Page 47

EA Amendment Supporting Document EPML00418713 Monto Coal Project

– Monto Coal Project Initial Development Plan

48

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

[Comments]

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Submitter information Report type For submission to administering authority Author(s) QCoal Pty Ltd on behalf of Monto Coal 2 Pty Ltd (Authorised Holder) Address Level 15, 40 Creek Street, Brisbane QLD 4000 PO Box 10630, Brisbane QLD 4000 Tenure holder Monto Coal 2 Pty Ltd Date of plan October 2020

i

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Table of contents

1 Introduction ...... 2 1.1 IDP Background and Purpose ...... 2 1.2 IDP Term ...... 2 1.3 IDP Content and Layout ...... 3

2 Project Overview ...... 4 2.1 Project Location ...... 4 2.2 Project Tenements ...... 4 2.3 Project Ownership ...... 6

3 Geology and Coal Resources ...... 7 3.1 Geology ...... 7 3.1.1 Regional ...... 7 3.1.2 Local ...... 7 3.1.3 Intrusions ...... 8 3.1.4 Structure ...... 8 3.2 Monto Coal Geology ...... 8 3.2.1 Mulgildie Coal Measures ...... 8 3.3 Drilling and Exploration Activities ...... 10 3.4 Coal Resources and Reserves ...... 12 3.4.1 Location and Estimate of MCP Resources ...... 12 3.4.2 Resource Optimisation and Utilisation ...... 13

4 Monto Coal Project IDP ...... 14 4.1 Mine Lease Term ...... 14 4.2 General Arrangements ...... 14 4.3 Monto Coal Project Operation ...... 17 4.3.1 Workforce and Plant ...... 17 4.3.2 Mining Method ...... 17 4.3.3 ROM Coal Handling ...... 18 4.3.4 Processing (CHPP, Rejects, Product, Rail and Port) ...... 18 4.4 Support Infrastructure ...... 19 4.4.1 Access and Haul Roads ...... 19 4.4.2 Power and Raw Water Supply ...... 19 4.4.3 Mine and Sediment Affected Water Management ...... 20 4.4.4 Regulated Diversions ...... 20 4.4.5 Run of Mine Stockpile Area...... 20 4.4.6 Mine Infrastructure Area ...... 21 4.5 Development Schedule ...... 22 4.6 Public Interest ...... 23

5 Coal Seam Gas Statement ...... 25

ii

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

5.1 Overlapping CSG Tenure ...... 25 5.2 Coal Seam Gas (CSG) Occurrence ...... 25 5.3 Impact on Future Commercial Gas Extraction ...... 28 5.4 Co-Development Opportunities ...... 28

6 Conclusions...... 29

Resource Mapping ...... 30

Tables

Table 1 – MCP Tenure Particulars ...... 4 Table 2 – MCP Background Land Tenures ...... 6 Table 3 – Coal Seam Summary ...... 8 Table 4 – MCP Coal Resources ...... 13 Table 5 – MCP workforce for the term of the IDP ...... 17 Table 6 – MCP mining plant requirements for the term of the IDP ...... 17 Table 7 – MCP Mining quantities during the Term of the IDP ...... 18 Table 8 – MCP Summary of Activities ...... 22 Table 9 – Impact of MCP on Public Interest Issues ...... 23 Table 10 – IRTM Details of Petroleum Wells in Proximity to the MCP ...... 25 Table 11 – Summary of Groundwater Intersections from Exploration ...... 27

Table of Figures

Figure 1 – MCP Location ...... 5 Figure 2 – Typical Coal Sequence of the Mulgildie Coal Measures ...... 9 Figure 3 – Exploration Drilling within the MCP Area ...... 11 Figure 4 – MCP 5-year Layout ...... 15 Figure 5 – MCP Life of Mine Layout ...... 16 Figure 6 – Mine Infrastructure Area Layout...... 21 Figure 7 – Historical Petroleum Exploration Wells in the MCP Area ...... 26 Figure 8 – Mulgildie 1 Petroleum Exploration Well relative to the MCP ...... 26

iii

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Intentionally blank

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

1 Introduction

The Monto Coal Project (MCP) is a proposed open cut coal mine located in the Mulgildie Basin, a narrow outlier of the Great Artesian Basin, approximately 6 km south of the town of Monto, 2 km southeast of the township of Mulgildie and 135 km southwest of Gladstone. The MCP is a joint venture between Monto Coal 2 Pty Ltd, Sanrus Pty Ltd, H & J Enterprises (QLD) Pty Ltd and Edge Developments Pty Ltd. Edge Developments Pty Ltd interests in the MCP are in the process of being transferred to Sanrus Pty Ltd.

Two (2) Mining Leases (MLs) are proposed for the MCP. One ML (ML80101) is already granted, and one Mining Lease Application (MLA) (MLA80175) has been lodged.

The MCP will comprise one open cut pit, waste rock dumps, a run of mine (ROM) stockpile, a product stockpile, Coal Handling and Processing Plant (CHPP), rejects management facilities, a rail siding, Mine Infrastructure Area (MIA), haul roads and access roads, as well as water management infrastructure. The MCP will utilise conventional drill and blast, and truck and shovel methods to extract ROM coal for processing and shipment of primary thermal coal products from the Mulgildie Coal Measures (MCM). Product coal will be transported via the Maryborough to Gladstone (via Monto) Queensland Rail (QR) line to the Port of Gladstone for the export market.

Construction of the MCP is expected to commence following the grant of ML80175. The operations at the MCP will require an amendment of the existing Environmental Authority (EA) EPML00418713 which currently covers only ML80101, to include ML80175 prior to the grant of the ML. As such, an EA amendment application will be lodged with the Queensland Department of Environment and Science (DES). 1.1 IDP Background and Purpose

The MCP lies entirely within MDL445 (from which ML80175 would be excised) and ML80101, which have been held by the MCP joint venture participants since 2014 and 2005 respectively. Exploration drilling has been undertaken historically within EPC613 prior to the grant of the MDL445 and ML80101. These exploration activities delineated a coal resource of suitable size and quality with sufficient confidence to support the development of an open cut mining operation targeting the MCM.

Following direction from the Department of Natural Resources Mining and Energy (DNRME), and in accordance with the Mineral Resources Act 1989, an updated Initial Development Plan (IDP) for the MCP has been prepared in support of the application for MLA80175. 1.2 IDP Term

The term of this MCP IDP is proposed to be five years with an initial two-year construction period, commencing with the grant of the MLA80175. Thereafter Later Development Plans (LDPs) will be submitted for the MCP in accordance with the requirements of the Mineral Resources Act 1989.

2

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

1.3 IDP Content and Layout

This MCP IDP has been developed in accordance with sections 318DT, 318DU and 318DV (IDP requirements) of the Mineral Resources Act 1989 and with reference to the DNRME “Initial and Later Development Plan Guideline”. It has been prepared to: • Provide a term for this MCP IDP (ref Section 1.2); • Provide the location and estimation of the coal resources within the MCP MLs (refer to Section 3); • Discuss the utilisation and optimisation of all targeted coal and coal seam gas within the MCP MLs (refer to Section 3 and Section 5); • Provide graphic representations to illustrate where the activities will be performed during the term of this MCP IDP (refer to Section 4); • Describe the nature and extent of mining activities for each year of this MCP IDP term (refer to Section 4); and • Include a statement of how the effects on, and the interests of, any relevant overlapping or adjacent petroleum tenure holder has been considered, with due regard to the main purposes of the coal seam gas (CSG) regime and the CSG assessment criteria (refer to Section 5).

3

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

2 Project Overview

2.1 Project Location

The MCP is a proposed open cut coal mine located in the Mulgildie Basin, a narrow outlier of the Great Artesian Basin, approximately 6 km south of the town of Monto, 2 km southeast of the township of Mulgildie and 135 km southwest of the regional centre of Gladstone. The targeted coal measures are the MCM. The proposed MCP location is shown in Figure 1 and shows its proximity to population centres.

The MCP is located within a region characterised primarily by cattle grazing and cultivation within the North Burnett Regional Council local government area. Access to the MCP will be from the .

Product coal from the MCP will be transferred to the Port of Gladstone via rail for the export market. 2.2 Project Tenements

The proposed layout and orientation of the MCP MLs, as well as the prerequisite tenures, is presented in Figure 1. The total area of the proposed MCP MLs is 649.0 ha, as detailed in Table 1.

Table 1 – MCP Tenure Particulars

ML Number Authorised Holder Area (ha) Grant/Lodgement Date ML 80101 Monto Coal 2 Pty Ltd 470.9 21 April 2005 MLA 80175 Monto Coal 2 Pty Ltd 178.1 10 February 2011 Total 649.0 -

4

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Figure 1 – MCP Location

5

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

The background land tenures underlying the MCP are detailed in Table 2.

Table 2 – MCP Background Land Tenures

MLA Number Lot/Plan Land Type 4/RW99 Freehold 5/RW591 Freehold 122/RW100 Freehold 142/RW100 Freehold 123/RW101 Freehold 126/RW101 Freehold ML 80101 145/RW101 Freehold 124/RW714 Freehold 125/RW714 Freehold 2/SP151959 Freehold 311/CP827316 Lands Lease (Rail) 331/CP827317 Lands Lease (Rail) 124/RW714 Freehold 125/RW714 Freehold MLA 80175 145/RW101 Freehold 126/RW101 Freehold 123/RW101 Freehold

The pre-requisite permit for MLA80175 is MDL445 held by MCP joint venture participants. MDL445 was granted on 11 April 2014 and expires 30 April 2024. MDL445 is the only existing resource authority that overlaps the MCP. 2.3 Project Ownership The MCP is a joint venture between four parties, namely: • Monto Coal 2 Pty Ltd • Sanrus Pty Ltd • H & J Enterprises (QLD) Pty Ltd • Edge Developments Pty Ltd Edge Developments Pty Ltd interests in the MCP are in the process of being transferred to Sanrus Pty Ltd. Monto Coal 2 Pty Ltd is the authorised tenement holder, with contact details as follows: • Street Address: Level 15, 40 Creek Street, Brisbane Qld 4000 • Postal Address: PO Box 10630, Brisbane Qld 4000 • Phone: (07) 3002 2900 • Facsimile: (07) 3002 2999

6

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

3 Geology and Coal Resources

This section describes: • the regional and local geology in the area of the MCP; • a description of the MCP coal seams; • drilling and exploration activities undertaken within the proposed MCP; and • MCP coal resources. 3.1 Geology

3.1.1 Regional

The coal resources underlying the broader region surrounding the MCP are contained within the Mulgildie Basin, a 20 km long by 5 km wide north-south trough to Jurassic sediments located between Monto and . The Muldilgie Basin is a narrow outlier of the Great Artesian Basin, with the distribution of sediments within the basin being controlled by a system of north-south faults, with the Mulgildie Fault separating these sediments from the Palaeozoic basement rocks to the east.

Immediately and unconformably underlying the Jurassic sediments within the basins are a sequence of sediments and volcanics referred to as the Cynthia Beds, thought to be the equivalent to the Triassic Callide Coal Measures or the Tarong Beds.

The stratigraphic succession in the Mulgildie Basin parallels that of the Surat Basin in the Early to Middle Jurassic, with the lowermost Precipice Sandstone being followed by the Evergreen Formation, Hutton Sandstone and overlying Mulgildie Coal Measures. The strata are essentially flat-lying with dips of the order of 2° other than localised higher grades adjacent to faults.

3.1.2 Local

The MCM are equivalent to the Middle Jurassic Walloon Coal Measures. Reaching up to 150m in thickness, they comprise light and dark grey mudstones and siltstones, carbonaceous shales, high volatile bituminous coal seams and soft white to brown friable quartzose sandstones characterised by a soft clayey matrix. The coal seams are generally banded and display the thickness variations, seam splitting and coalescence typical of Walloon type deposits, but with much less variation in aggregate seam thickness.

The Mesozoic strata at Monto are essentially flat lying, although the drill hole data demonstrates a slight syncline which parallels the main axis of the Mulgildie Basin. The strata dips at 1-3 degrees, flattening to zero in the eastern third of the mine area.

Tertiary basalts and sediments overlie parts of the Mulgildie Basin and there are some extensive deposits of recent alluvium associated with flood plains.

7

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

3.1.3 Intrusions

No intrusive activity has been intersected in any of the exploration holes drilled to date.

3.1.4 Structure

The structure of the MCP area is dominated by a gently dipping north-northwest trending syncline. The area has an average dip of less than 2.5° on the western and eastern limbs of the syncline. No significant faults with displacements of more than 10 metres have been identified in in the initial mine development area. 3.2 Monto Coal Geology

3.2.1 Mulgildie Coal Measures

The MCM represents the stratigraphic unit of interest at the MCP. Seven seam groups have been identified at Monto, named W, X, A, B, C, D, and E in descending order. Each seam group is made up of several seams, and these seams are subject to splitting. Most seams contain parting. Thirty-seven seams have been identified in the Monto area although not all seams are present over the entire area (see Table 3). A conceptualisation of the typical coal sequence in the Mulgildie Coal Measures has been provided as Figure 2.

Table 3 – Coal Seam Summary Seam Coal Seam Average Seam Comment Group Nomenclature Thickness (m) Not modelled. Occurs mainly in north of W 10, 20, 30, 40, 50 0.6 – 1.2 MDL445 (2 to 24 intersections) X 00, 10, 20, 30 0.7 – 1.2 A 10, 15, 20, 30, 40 0.5 – 0.6 B 10 0.8 C 10, 20, 30 0.1 – 0.7 00, 10, 15, 20, 25, 30, 40, D 0.2 – 0.8 50, 55, 60 10, 20, 30, 40, 50, 60, 70, E 0.3 – 1.6 Not modelled (1 to 4 intersections each) 80, 90

Of the 37 seams present, 21 seams have been defined sufficiently to contribute to the coal resource. The seams contain parting which is defined as non-coal strata that exceeds 10 cm in thickness. The cumulative thickness of partings across all relevant seams has been determined and modelled, and is excluded from the coal resources and raw ash models.

Nineteen of the 21 seams included in the resource estimate have an average thickness of less than one metre. Seven of the seams average 0.5 metres thickness or less. Moderate variation in thickness of these thin seams can represent notable variation in volume for these individual seams. However, many of these seams are separated by relatively thin interbeds ranging in thickness from 0.1 to about 0.5 metres. Some seams, the C10 for example, show a thin average thickness as there are many holes where the seam is “pinched” out.

8

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

When several seams are combined into a group, for example if the A10, A15, A20, A30 and A40 are grouped into one coal horizon, the thickness variation of the group relative to the total thickness of the group is reduced.

Figure 2 – Typical Coal Sequence of the Mulgildie Coal Measures

9

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

A description of relevant seams is provided as follows: • X Seam The X group of seams, X00, X10, X20 and X30 occur about 25 metres below the W50 in the north of the MDL 445 area. They have an aggregate thickness ranging from 0 metres to 4.2 metres in the ML80101 area and from 0 metres to 8 metres in the north of the MDL 445 area (excluding partings greater than 0.1 m). X00 has the most limited extent of all the seams considered in the resource estimate. • A Seam The A group of seams, A10, A15, A20 and A30 occur about 5 metres below the W50 in the Stage 1 area. In the Stage 2 area, the A10 and A15 are closely grouped with the X seams with the A30 and A40 laying about 50 metres below the X group. They have an aggregate thickness averaging about 3.8 metres in the ML80101 area and about 4 metres in the north of the MDL 445 area (excluding partings greater than 0.1 m). • B Seam The B10 seam lies about 1 to 13 metres below the A40 in the ML 80101 MLA 80175 area and is close to the A40 in the north of the MDLA area. The seam thickness averages about 1 metre thick, ranging up to 1.6 metres in the ML80101 area. • C Seam The C group is made up of C10, C20 and C30 seams. C10 occurs as a stoney seam in the north of the ML80101/MLA80175 area and as a thin (<03.m), sporadic seam in the north of the MDLA area. The C20 and C30 are more consistently developed, laying from directly below to up to about 20 metres below the B10. The combined C group (excluding parting > 0.1m) ranges in thickness from about 1.5 to 2.2 metres over most of the ML and the north of the MDL445 areas. • D Seam The D group includes the D00, D10, D15, D20, D25, D30, D40, D50, D55 and D60 seams. The aggregate D group thickness generally ranges from 3.5 to 4.8 metres in both the ML80101/MLA80175 and the north of the MDL445 areas. 3.3 Drilling and Exploration Activities Thiess Bros Pty Limited (Thiess) commenced exploration in 1920. Exploration was aimed at shallow coal resources and a limited number of open holes were drilled. Subsequent exploration was undertaken by Brigalow Mines Pty Ltd (a 50/50 joint venture between Thiess and Mount Isa Mines Limited (MIM), then later CSR Limited and MIM after CSR acquired Thiess in 1980). The area was then relinquished in 1991.

Prior to 2010, 258 exploration holes had been drilled within the combined ML80101 and MLA80175 areas (see Figure 3). Drilling at Monto since this time has been concentrated in MDL445, EPC613 and EPC683 with no further holes drilled within the ML80101/MLA 80175 area.

10

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Figure 3 – Exploration Drilling within the MCP Area

11

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

3.4 Coal Resources and Reserves

The latest JORC Resource Statement for the MCP was independently prepared on behalf of the ML holders by David Broome of JB Mining Services Pty Ltd and is dated December 2012 (the JORC Report).

The estimate was prepared in accordance with the Australian Guidelines for Estimating and Reporting of Inventory Coal, Coal Resources and Coal Reserves (March 2003), and is reported according to the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (December 2004) (the JORC Code).

The resource estimate encompasses both the existing ML 80101 and MLA 80175 areas and MDL 445, EPC 613, and EPC683.

3.4.1 Location and Estimate of MCP Resources

A summary of the coal resource within the MCP area as extracted from the JORC Resource estimate is shown in Table 4. Of the seven seam groups present (i.e. W, X, A, B, C, D, E), modelling of the X through to D groups was conducted and included in the JORC Resource estimate. There was insufficient drill hole intersection for the W and E seam groups to support resource estimation. The resource estimate also excluded that part of the C20/C30 coal seam reportedly extracted during mining at the nearby Selene underground mine over the period 1948 to 1966 (when it closed).

Figures showing the extent and classification of the resource on a seam group basis (extracted directly from the JORC Report) are provided as Appendix A.

12

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Table 4 – MCP Coal Resources Coal Resource (Mt) Area Seam Group Measured Indicated Inferred Grand Total X 0.0 0 0 0 A 2.3 0 0 3 MLA80175 B 0.9 0 0 1 C 1.1 1 0 2 D 2.9 2 2 7 MLA80175 Total 7.3 3 2 12 X 1.0 2 0 3 A 5.4 3 0 8 ML80101 B 2.2 0 0 2 C 3.7 2 0 5 D 7.1 7 2 16 ML80101 Total 19.3 13 2 35 Grand Total 26.6 16 4 47

3.4.2 Resource Optimisation and Utilisation

The limits of mining and therefore the amount of coal recovered will be defined by the economic limit (beyond which the cost to extract coal exceeds the value of the coal) at any given time. Considerations in establishing the economic limit include the coal market, mining costs, rates of recovery and geological conditions (such as igneous intrusion).

Accordingly, optimisation of coal extraction is achieved by (among other things), maximising the overall extraction of the potential resource while avoiding or minimising sterilisation of resource, subject to the economic limit. This requires sufficient geological data to define coal occurrences, with subsequent mine planning to determine the level of economic viability. Geological data has been obtained by conducting exploration activities across ML 80101 and MLA 80175 (refer to Section 3.3).

The exploration activity undertaken to date for the MCP has included the collection of data relating to coal depth and thickness as well as coal quality. Interpretation of existing data has allowed the generation of insitu resource estimates that consider the best practice selective mining of the coal seams to maximise coal recovery and to minimise waste dilution.

The proposed mine plan for the MCP is discussed in Section 4.3 of this IDP. The proposed MCP has been configured to support the proposed mine plan by optimising the overall recovery of coal resources and minimising potential sterilisation. The commencement of operations at the MCP will result in a low-cost mine supplying thermal coal products into a growth market for which there is an existing demand.

13

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

4 Monto Coal Project IDP

This section provides information specifically relating to the development of the MCP MLs, including: • layout; • workforce and plant requirements; • mining methods; • coal handling and transport requirements; • supporting infrastructure requirements; and • schedule of development. 4.1 Mine Lease Term

ML80101 was granted on 21 April 2005 and will expire on 30 April 2035. The term sought for MLA80175 is 25 years. 4.2 General Arrangements

Figure 4 presents the proposed mining pit advancement for the term of this IDP. Figure 5 presents the proposed life of mine (LOM) layout for the MCP. The MCP layout utilises the majority of the available ML area and consists of the following: • haul roads and site access roads; • ROM stockpile area; • MIA; • CHPP; • rail siding for train loading; • rejects storage facilities; • topsoil stockpile areas; • water infrastructure (drains, sediment dams, mine water dams etc); • open-cut pit; and • waste rock dumps. An appropriate offset from the ML boundaries to the pit shell will be applied during mining for access roads and other infrastructure as required.

14

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Figure 4 – MCP 5-year Layout

15

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Figure 5 – MCP Life of Mine Layout

16

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

4.3 Monto Coal Project Operation

4.3.1 Workforce and Plant

Anticipated peak labour numbers are shown below in Table 5 for construction and normal mining operations

The workforce at the MCP is expected to peak at approximately 240 full time equivalent (FTE) staff during the term of this IDP. The workforce will be made up of site management staff, civil construction personnel, mining contractor personnel, and various other ancillary/support contractors. The profile of this workforce will change from being predominantly civil construction staff during the initial construction stage into predominantly operational mining contract staff as the MCP operation develops.

During standard mine operations, it is proposed for the mine site to operate seven days (7) per week and twenty-four (24) hours per day, with the workforce split over a four (4) panel roster of seven (7) days on and seven (7) days off. Maintenance, administration and management staff will be encouraged to live locally and work five (5) days on and two (2) days off.

Excavator and truck fleets will be used for the bulk removal of overburden and thicker interburden. This equipment typically includes 300t excavators using 150t trucks for waste removal. Given the thin seams and banded nature of the coal deposit, it is proposed to use smaller mining equipment to facilitate the selective mining of coal and partings. Typically, an appropriately sized front-end loader and 150t truck fleet will be used for coal mining and thin partings removal. The approximate plant requirements for the MCP for the term of the IDP are presented in Table 6.

Table 5 – MCP workforce for the term of the IDP

Phase Approximate Workforce (FTE) Construction 200 Operations 140

Table 6 – MCP mining plant requirements for the term of the IDP

Year Excavators Mine Haul Trucks Bulldozers Loaders Graders Water Carts 1-2 2 8 0 1 1 1 3-7 2 8 3 3 1 1

4.3.2 Mining Method

Mining on the MCP will be undertaken by industry standard open-cut methods. The mine plan is based on ensuring that in-pit dumping can be facilitated as soon as possible. Upon completion of the box-cut strip, the mine will be developed progressively in an easterly direction. The emphasis of the mine plan is to ensure maximum economic recovery of the multiple thin seams, while minimising mining dilution to ensure processing yields are maximised. Clean-up of the coal surfaces is a critical step in this process.

17

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Vegetation clearance and topsoil removal (typically to 0.3 m thickness) will be completed with dozers and scrapers respectively. The topsoil will be stockpiled for progressive and post-mining rehabilitation purposes.

The top 5 m of the overburden will likely be suitable for free dig operations, with the remainder blasted with either ANFO or water-resistant products (should the presence of water be determined to be an issue). Both the free dig and blasted component of the overburden will be excavated using 200-400 tonne class excavators and a fleet of appropriately sized trucks. This bulk mining method will be undertaken to the top of the first coal seam. Initial placement of mined waste will be out-of-pit until sufficient void space is available for in-pit dumping.

Coal mining of the multiple thin seams will be completed with either small excavators or front-end loaders and a fleet of appropriately sized trucks. Coal partings and interburden will be fragmented by blasting or ripping depending on thickness.

Rehabilitation of all mining disturbance (including voids, overburden dumps and water management structures) will be undertaken in accordance with the MCP EA (EPML00418713), subject to a Progressive Rehabilitation and Closure Plan (PRCP) schedule when the site is transitioned into the Financial Provision Scheme (under the Mineral and Energy Resources (Financial Provisioning) Act 2018).

4.3.3 ROM Coal Handling

ROM coal will be hauled by truck from the pit to the ROM stockpile, where it will then be processed in the CHPP to generate thermal coal products for the global market. After the estimated two-year construction period, the initial first year of mining will be majority waste removal with some initial coal recovery as part of the initial box-cut. Once coal is reached ROM coal will be extracted up to a maximum rate of 1.5 million tonne per annum during the term of this IDP.

The proposed mining quantities during the term of the IDP is outlined in Table 7:

Table 7 – MCP Mining quantities during the Term of the IDP

Year ROM Coal (Mt) Overburden Movement (MBCM) 1 Nil Nil 2 Nil Nil 3 0.7 5.4 4 1.5 5.4 5 1.5 4.7

4.3.4 Processing (CHPP, Rejects, Product, Rail and Port)

Processing of ROM coal will be undertaken at the CHPP, where ROM coal is fed into the CHPP via a hopper using a front-end loader. The coal will then be processed through a 275 tph plant, where rejects will be removed and the ash level will be improved to export quality. Fine rejects will be pumped to a dedicated tailings dam, and coarse reject material

18

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan will be trucked back to the pit for disposal with the overburden. Co-disposal of both coarse and fine rejects into the tailings dam will be assessed when the results of coal washing become available. Washed product coal will be stockpiled on a radial stacker ready for loading on trains. On average six to seven trains per week are required to transport the 1.0-1.2 mtpa of product to the Port of Gladstone.

An existing QR railway line passes through the MCP; however, regular service has been suspended with the line decommissioned and currently being retained for potential future use. Monto Coal intends to utilise the rail corridor and infrastructure, which would require negotiations with QR for the line to be reopened.

It is proposed to build a siding off the QR railway line on ML80101 to accommodate the loading of trains by a front-end loader. After loading, the locomotives will be decoupled, run around to the other end of the train via the main line, then reattached for the northward haul to the port. 4.4 Support Infrastructure

4.4.1 Access and Haul Roads

It is proposed to upgrade the existing Kapaldo Road for a length of approximately 2km from the Burnett Highway, as well as upgrade the intersection at the highway (Department of Transport and Main Roads will be consulted as required). The upgrade will improve the road to an all-weather sealed double carriageway suitable for access of the anticipated mine work force and the delivery of mining equipment and consumables.

An application for a temporary road closure of Kapaldo Road at the southern boundary of ML80101 will be sought in order to keep local traffic off the mining lease and enable the sealed section of Kapaldo Road to act as a dedicated mine access road. A new intersection at the mine entrance on Kapaldo Road will be constructed to provide access to the MIA.

An unsealed haul road with associated water management structures is proposed to connect the mining pit to the MIA and out-of-pit waste rock dumps.

4.4.2 Power and Raw Water Supply

The MCP is estimated to require a peak demand of no greater than1.5 MW for the entire site. It is proposed to connect to the existing Littlemore Substation at the township of Monto to the north of the mine via a private 66 kV feeder line.

A ground water bore licence for an annual extraction of 700 ML of artesian water has previously been secured for the MCP. The production borehole is located on MLA80175, and this bore is sufficient for site requirements at a 1.5 Mtpa ROM production rate. Water for dust suppression will also be supplemented by the production bore where stocks in water management structures are insufficient following dry periods.

19

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Potable water will be purchased from a third-party supplier and trucked to the MCP for storage in potable water tanks and reticulated as required.

4.4.3 Mine and Sediment Affected Water Management

Management of mine affected and sediment affected water across the MCP will be addressed in detail in the MCP Water Management Plan (WMP), which will include an Erosion and Sediment Control Plan (ESCP). The WMP/ESCP will incorporate the results of water balance modelling of catchment areas and associated runoff management, pit dewatering requirements, and water demand for the MCP. The MCP WMP will be required to be submitted to DES prior to the commencement of mining operations.

Clean surface water runoff from the upstream catchment will be directed away from operational areas via bunds or drains to offsite drainage features wherever possible. Where this is not possible, clean water retention dams may be utilised to prevent clean water from becoming mine-affected.

Runoff from areas which are disturbed but not mine affected (i.e. where runoff has not been exposed to coal or waste rock) such as access tracks, cleared areas yet to be mined, established rehabilitation areas, etc. is considered sediment affected and is managed through the ESCP via drains and sediment basins. Sediment affected water which is captured will be primarily utilised for dust suppression across the MCP. Where sediment affected water is blended with mine affected water it is thereafter considered mine affected water.

Mine affected water at the MCP will include stormwater runoff from active dump faces on the waste rock dump, as well as water from pit dewatering activities. Mine affected run-off will be diverted using drains and diversion banks to direct the water to designated water storages, while pit dewatering will pump directly to these storages. Water in the storages will subsequently be used for dust suppression across the MCP.

Shown in Figure 4 are the indicative locations of water management infrastructure on the MCP MLs during the term of this IDP.

4.4.4 Regulated Diversions

No watercourses designated under the Water Act 2000 are located within the disturbance footprint of the MCP (based on a Queensland Globe Watercourse Identification Map layer search on 28/09/2020) and as such, no regulated diversions of watercourses will be required for the MCP.

4.4.5 Run of Mine Stockpile Area

A ROM stockpile area will be constructed near the MIA on ML80101. The ROM will be sized and configured to provide suitable area to allow for the segregation of ROM coal by type, and to allow for efficient loading of the CHPP hopper by front end loader.

20

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

4.4.6 Mine Infrastructure Area

The MIA and facilities are in a dedicated area adjacent to the railway line on the western side of the lease (a conceptual layout is provided in Figure 6). Buildings and facilities contained in this area will include: • demountable administration offices; • maintenance facilities; • warehousing and storage facilities; • CHPP; • ROM stockpiles • new rail siding and train loading area • diesel power generators; • ablution facilities; • refueling facilities; and • water management structures.

Figure 6 – Mine Infrastructure Area Layout

21

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

4.5 Development Schedule

Construction activities will be undertaken during years 1 and 2 of the operation. Following completion of construction, active mining will commence with a box-cut. Once mining of the box-cut has been completed, mining strips will advance to the east. Waste rock will initially be placed in out-of-pit dump and will transition to in-pit dumping (i.e. progressive backfilling) behind the advancing pit once sufficient mining area is available for steady-state operations. A general summary of activities to be undertaken during each year of the IDP term has been presented in Table 8 below.

No rehabilitation activities are scheduled for the term of the IDP, as no areas will become available for rehabilitation in the first five years of active mining on the MCP.

Table 8 – MCP Summary of Activities

IDP Year Activities

Mine Planning - Preliminary engineering - Detailed equipment scheduling - Construction planning - Community consultation External Infrastructure - Rail siding off the main railway line - Highway infrastructure upgrade - Opening of the Monto rail line and associated refurbishments including: o Upgrading of existing rail infrastructure, comprising ballast, railway sleepers, track and bridges o Improvement and contemporizing of rail crossing signage, and 1-2 - Reinstatement of water management structures (culverts, sediment traps) Internal Infrastructure - Vegetation clearing; - Bulk earthworks; - Train loading facilities; - Coal Handling and Preparation Plant; - Rejects facilities; - Water management structures; - Diesel generator hardstands and associated power distribution; - Administration offices; - Maintenance facilities; - Haul road; - Light vehicle access road; and - Utility services including water, power, sewerage and communications

- Commencement of mining operations – box-cut excavation - Drill and blast activities (approximately 75% of overburden material stripped requires blasting) - Removal of overburden by hydraulic excavator and haul truck. 3 - Out-of-pit dumping of waste rock - Mining coal - Coal Preparation at the CHPP - Railing of product coal to Gladstone - Ancillary activities – equipment maintenance, etc

22

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

IDP Year Activities

- Active mining – box-cut excavation, transitioning to advancing pit - Out-of-pit dumping of waste rock - Mining coal 4 - Coal Preparation at the CHPP - Railing of product coal to Gladstone - Ancillary activities – equipment maintenance, etc

- Active mining – advancing pit - Out-of-pit dumping, transitioning to in-pit dumping of waste rock. - Mining coal 5 - Coal Preparation at the CHPP - Railing of product coal to Gladstone - Ancillary activities – equipment maintenance, etc

4.6 Public Interest

The MCP has been considered according to the ‘public interest’ criteria detailed in Section 318AK of the Mineral Resources Act 1989. A summary is detailed in Table 9.

Table 9 – Impact of MCP on Public Interest Issues

Public Interest Specific Comments in relation to MCP Criteria

It is known that an economic coal resource exists at the MCP, as evidenced by the results of exploration in the MCP MLs and the subsequent modelling and mine planning. The Government Policy results have returned commercial drivers favourable for the development of the MCP as an open-cut operation exporting thermal coal. The proposed operations are in accordance with government policy.

Value of Commodity The MCP is expected to generate approximately A$1.71 billion in revenue throughout the Production LOM (undiscounted, thermal coal price $73/t)

At full production direct employment is estimated to be 140 FTE. Employment creation Indirect employment as a result of the MCP will occur throughout the region, in particular in the nearby town of Monto, throughout the duration of operations at the MCP.

Total return to the State and to Australia (including royalty and Royalty payments to the Queensland Government for the coal production are estimated to rent), assessed on both be in excess of $120 million over the life of the MCP. a direct and indirect Rental payments for the MCP MLs to the Queensland Government are estimated to be basis, so that, for approximately $0.83 million over the life of the MCP. In addition, payroll tax, company tax, example, downstream income tax and goods and services tax receipts as a result of the MCP will be substantial. value adding is included.

The mining activities on the MCP are anticipated to have positive social and economic impacts on the region by providing long term employment and training opportunities. As the region is currently primarily focused on agriculture, the diversification of employment Social impacts opportunities will benefit the greater community. Consultation with directly affected stakeholders, as well as the wider community will be undertaken, including an assessment of potential negative and positive social impacts resulting from the MCP.

23

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

The MCP presents an opportunity for continued positive economic benefits to the State (via royalties, rents, rail and port charges and corporate taxes). The overall economic benefit for the State, or The MCP will have positive impacts on the region by direct and indirect employment and by a part of the State, in encouraging growth in the local economy. Growth in the local economy will ultimately the short and long term. improve the availability and sustainability of services and facilities, which will enhance the vitality and lifestyle of the region in general. Due to the relatively small scale of the MCP, it is unlikely to create additional pressure on housing or infrastructure in the region.

24

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

5 Coal Seam Gas Statement

The following Coal Seam Gas (CSG) Statement is made in accordance with sections 318AP(1) and 318AP(2) of the Mineral Resources Act 1989 and the ‘Guidelines for Preparing Coal Seam Gas Statements and Other Information Addressing the Coal Seam Gas Assessment Criteria under the Minerals Resources Act 1989’. As such this CSG Statement describes overlapping petroleum or gas tenements and CSG occurrences within the MCP MLs. 5.1 Overlapping CSG Tenure

No permits for petroleum exploration nor any petroleum leases currently overlap ML80101 or MLA80175. Arrow Energy historically held ATP687, which overlapped the MCP; however, this licence has since been surrendered. 5.2 Coal Seam Gas (CSG) Occurrence

Historical petroleum exploration data, as accessed through the Queensland government’s Interactive Resource Tenure Maps (IRTM) system, identified several wells with relevant results.

All three exploration wells identified (see Figure 7) were reported with the result of “no hydrocarbons”, as see in Table 10 below:

Table 10 – IRTM Details of Petroleum Wells in Proximity to the MCP

25

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Figure 7 – Historical Petroleum Exploration Wells in the MCP Area

Particularly relevant is Mulgildie 1 well, which is located within the MLA80175 area, shown in Figure 8 below.

Figure 8 – Mulgildie 1 Petroleum Exploration Well relative to the MCP

26

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Based on the above, commercial quantities of methane gas are highly unlikely within the MCP area based on the following:

• A lack of mud gas was shown by petroleum exploration;

• Extensive exploration drilling within ML80101, MLA80175, MDL445, EPC613 and EPC683 has not identified significant groundwater within the coal seams, which is a requirement for gas retention;

• The majority of the MCMs are at a depth of less than 100 m, which is not conducive to the generation of commercial quantities of methane gas; and

• The MCMs are equivalent to the Walloon Coal Measures. These generally have very low gas content due to relatively low rank and high ash content.

No specific testing for coal-seam gas has been undertaken in the seams of the MCMs by the ML Holders because little or no evidence for coal-seam gas has been encountered during coal exploration drilling of over 400 chip and cored holes. The lack of gas has been indicated by:

• No evidence (smell) of gas escaping from holes during and immediately following drilling; and

• No evidence of gas bubbling from freshly drilled coal chips or coal cores.

It is considered that any coal-seam gas in the MCMs and the specific seam/s evaluated for mining exploration has been desorbed and dissipated. Reasons for this conclusion include:

• The topographical expression of the coal measures is that of low rolling hills. The coal measures dip gently with coal seam sub-crops on the western side of the project area, along Three Moon Creek, and also on the flanks of the low hills. As a result, the coal seams are not fully confined, and this has, over time, likely allowed any gas in the coal seams to escape up-dip.

• The water table in the Monto-Mulgildie area is subject to seasonal variation and little water is available at shallow depths where the coal measures sub-crop. As a result, many of the coal seams have likely essentially dewatered during dry periods, and this would have contributed significantly to the release of any contained gas.

Within the area of ML80101, groundwater was intersected in 104 of 300 holes, and the depth of first water was recorded. Five holes recorded a water flow, 12 were described as wet, and the remaining 87 as moist. Average depths of water intersection for the three categories are shown in Table 11.

Table 11 – Summary of Groundwater Intersections from Exploration Type of water intersection Number of holes Average depth (m) Water Flow 5 32.2 Wet Hole 12 23.2 Moist Hole 87 46.9

27

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

The horizon from surface to almost 50 m cover depth is therefore highly unlikely to have conditions amenable to retention of coal-seam gas. The target resource within the MCP is at depth less than 100 m.

Drilling experience also suggests a much deeper groundwater table, other than potential perched aquifers of limited spatial extent. A production water bore and monitoring bore were drilled in 2011 to depths of up to 650 m to reach the sub artesian aquifer (the Precipice Sandstone).

Coal seam methane drilling will more typically target depths to 200-700 m in order to find suitable coal seam gas reservoirs with sufficient gas content and groundwater pressures that allow for commercial coal seam gas production. 5.3 Impact on Future Commercial Gas Extraction

For the reasons stated, it is concluded that there is nil coal seam gas of any commercial value in the land overlapped by ML80101 or MLA80175.

In terms of any deeper petroleum resources, it is concluded that coal mine development as outlined in this IDP will have a minimal impact on the development of a current or future petroleum resource and will be unlikely to result in any sterilisation of any potential petroleum resource that could be commercially exploited. 5.4 Co-Development Opportunities

No co-development opportunities have been identified for the MCP.

28

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

6 Conclusions

The MCP is a proposed open cut coal mine comprising two MLs. The MCP is primarily held by Monto Coal 2 Pty Ltd, a Queensland-based minerals exploration and development company. Following direction from the DNRME, and in accordance with the Mineral Resources Act 1989, an updated IDP for the MCP has been prepared in support of the application for MLA80175.

The activities proposed during the term of this IDP include the construction of the mine infrastructure and the commencement of mining activities through to steady state operations.

The proposed infrastructure to be constructed to support the MCP comprises vehicle access roads, haul roads, ROM stockpile, MIA, CHPP, rejects storage facilities, train loading facilities and water management infrastructure (drains, dams etc).

Mining activities are proposed within a single pit primarily targeting the X, A, B, C, and D seams of the MCM. Mining will involve well established, low risk methods including drill and blast, conventional truck and excavator and dozer push.

The MCP will mine a maximum of 1.5 million ROM tonnes per annum to produce a primary thermal coal product. ROM coal will be hauled to the onsite ROM stockpile before being washed in the on-site CHPP and subsequently transported to the Port of Gladstone for the export market.

Future petroleum production from within the MCP MLs is unlikely due to the nature of the target coal measures, and no overlapping petroleum tenures.

The MCP will employ approximately 140 full time equivalent employees through the LOM, being a mix of Monto Coal 2 employees and contractor personnel. The MCP is also expected to contribute over $120m in mining royalties and rents to the State of Queensland throughout the LOM and generate in excess of A$1.71 billion in revenue.

The commencement of operations at the MCP will result in a low-cost mine supplying thermal coal products into a market for which there is an existing demand.

29

Monto Coal 2 Pty Ltd Monto Coal Project Initial Development Plan

Resource Mapping

30

311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 7246000 7245000 7245000 7244000 7244000 7243000 EPC613 MONTO

k 7243000

e

e

0 r 5 . 0

C

n 7242000

o

7C 02 C 0 o B 5 . 0

M 7242000

e

e

r

h

T 9 0 . 5 . 0 0

7241000 8

. 1

7 0 . 3

2

8 4 . 2 . 0 2 40 F1

7241000 5

1.

1

. 8 2 .4

3 5 8 . .

3 1 0 0 .6 6 . 0

.2 Burnett 1 0 3 . 0 0

8 7240000 1 58 Highway 2 . 14 46 1 CL1 0 1 6 C . 0 0

6 4

. . 0. 0 1

3 0 2 0 . 2 9 . 9 . 0 0 0 6 0.9 C . 0 23 0 0 7240000 05 . BC 2 1 70 C . 5

. 6 0 30 1 0 C . 1 B

0 .

3 0 0 . 6 7 . 0 0 . 6 3 9 . 0 0 9 5 . 3 0 . 0 4 6 6 1 . 45 . 0 C1 7239000 1 0 8 . 0

4 8 8 . 4 0 .

1

6

7239000 6C . 30 0 BC

0 1 .

1 0

. 9

0 2 7 2 2 3 . . . 0 0 1 e

48 0

4 0 7238000 C1 . di 2 1 p 45 l i C1 i h g 1 s 56 n C2 C

7238000 3 ul w 4C 30 30 BC M BC To EPC613 MONTO 11 4 23 CL1 7 C2

2 41 C1 7237000

9 1 02 22 7 C C2 0 22 C2 6 58 C2

2 72 7237000 2 C C 2C 72 0 2 C3 BC B

8 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 C C 43 48 C2 C2 0 B B 9 . 0

2C 00 BC 8 0 C 4 C 8 C1 3 4 0 C0 7236000 1 B 24 BC 7 C2 4 58 C2 7C 04 BC 0 0 5C . C 4 1 4 C2 00 B 0 BC 5 2 1 . . 0 0 7 43 C1

7236000 C C 0 1C 0 9 8 1 1 43 1 1 C1 1 2 BC C B C 73 B C2

9C 00 BC

3 70 0 2 3 L . 0

9 2 1 3 . . 1 0 0 C 43 C C 7 1 9 08 0 C 10 1 C1 C C 4 0 B 4 10 B B 9 7235000 2 0 14 . . . F 1 1 0 0 1 . 0 1 0 . 41 1 14 2 C 1. 7 5 2 4 . 6 . 1 1 1 . 2 5 0 2 2 . . 7235000 1 1 C 9 06 . 1 0 2C C BC 5 1 4 C0 1 1 25 B C0 . 7 B 1 C2 0 43 C1 2 59 6 80 2 0 4 5 C 1 . C2 . 0 1

0 6 . 0 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 X00 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 3

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 7246000 7245000 7245000 7244000 7244000 7243000 EPC613 MONTO

k 7243000

e

e

5

r 8 . 0

C

0 2 .

n

0 7242000

o C 27 C03 o B 7 . 0

M

7242000

0

. e 3

e

r

h

6 . 0

T 0 2 . 0 7241000

8 0 4

. .

9 1 3 2 3 .

. 1 2 40 0 F1

7241000

1 .

5 8 1 2 .

. 2

1

6

. 0

Burnett 0 0

. 3

1 0 2

. . 9 3 0 0

0 8 1 7240000 2 58 Highway 2 . 4 7 6 . 1 31 4 0 1 CL . 1 0 1 1 C 1 . . 1 0 1 9 1 . . 1 8 7 1.2 9 . 0 0 0 1.5 .9 1 . 0 C 4 23 1

7240000 01 .

C 0

B 5 1 . C . 2 5 0 0 0 3 . 3 C 7 B 6 . 0 3 8 . 0

1 2

9 .

. 1 0 1 4 . 3 9 8 . 2 0 . 9 1 . 2 0 6 7 45 . C1 0 7239000 0 1 .

0

6

.

1

0 . 2 7

2

. 0 . 6 9 8 2 . 0 8

7239000 0 6C

. 0 1

1 C3 . B 2

0

. 0

9 6 . 1

0 8 5 4 9 8 . . . 0 0 5 0 1 . e 1

5 0 0 48 0.6

1 8 7238000 4 14 0 . . C . 5 di 2 1 0 p 45 0 . l i C1 0 i h 0 2 g 1 . s 56 0 n C2 0 C 7238000 3 ul w 4C 7 30 0.30 . BC BC 0 M 3 To EPC613 MONTO 11 4 23 CL1 7 C2

2 41 C1

0

4 7237000 . 0 9 1 02 22 7 C C2 0 22 C2 6 58 C2

2 72 7237000 2 C C 2C 72 0 2 C3 BC B

8 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 C C 43 48 C2 C2 1 B B 2 . 0

2C 00 BC 8 0 C 4 C 8 C1 3 4 0 C0 7236000 1 B 24 BC 7 C2 4 58 C2 7C 04 0 C 7 2 B . 3 1 5C 1 . 0 C 4 0 4 2 . 0 5 BC 2 0 02 1 BC 3 1 . . . 0 1 0 37 14 0 C 2 7236000 . C C 0 1C 0 9 0 8 1 1 43 1 1 C1 1 2 BC C B C 73 B C2

9C 00 C 1 B 6 . 3 0 0 0 7 0 L2 0 . 6 1 . 0 8 5 2 4 . . 31 0 0 C 4 C 8C 7 1 09 0 10 C 1 1 0 C 7 C C 70 5 B 10 B B 7 4 4 7235000 01 6 1 9 . . . . F 0 0 3 0 0 . 5 0 0 2 4 1 . 4 . 0 4 0 C1 6 0 4 9 . 9 . 0 3 0 . 0 0 5 8 5 . . 7235000 0 0 C 06 1 2C C BC 05 1 4 75 C08 1 25 B C0 . 7 2 B 0 C2 3 . 9 0 0 . 430 0 C1 5 2 59 8 0 . 2 9 8 1 C 8 25 4 . C . 0 0

0 4 . 0 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 X10 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 4

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 7246000 7245000 7245000 7244000

0 2 . 0 0 5 . 0 7244000 7243000 EPC613 MONTO

k 7243000

e

e

0 r 4 . 0

C

5 5 .

n

0 7242000

o 0 4 . C 0 27 C0 o B 3 2 . 0

M

3 .

0 0 7242000 0 . 2

e

e

r

h

T 6 5 0

. . 0 1

1 7241000 0 . 1 7 9 . 4 0 3 . 0 5 7 1 0 . 6 0 . . 0 02 6 4

F1 0

9 4

0 . .

0 0

7241000 .

6

9

. 5 0 8

6 .

0 .

1

2 .

0

0 2

. 3

1 .

0

1 . 5

Burnett 8 3

. 4

1 0 8

. . 1 1

4

00 8 7240000

5 58 6

Highway 1 4 .

2 1 4

. . 3

5 6 . 1 9

4 0 . CL 95 .

1 0 69 0 5 1

C 4 1

. . 7 .

2 2

. 8 1

1 0

2 .

. 1

2

1

.

1 2 .

8 9 5 5

.

2 1.

2 1 5

. . 4 2

. 1 C . 0 1 2 23 1 4 7240000 0 . BC 29 3 05 C .. 05 32 3 0

6 2 BC .

1 9 2 . . .

2 7 5 8 3 . 8 3 . 1 8 . .1 1 2 6 2. 6 4 . 1 2.1 6 3 9

. 5

5 1 2

5 .

. 0 .

.

2

1 5 1 1 7 . 56

. 1 4 8 4 1 7239000

. 1 C 2 . 1 8

1 . 0 0

0 1.8 . 2

5 . 2 1 3 1 . . 5 2 1 1

.

3

0 . 5 9 7239000 5 6C . 30 0 BC 9 . 0 0 6

. 0 0

2 . . 9 9 1 0.

3 0 4 6 6 5 . . . 1 0 0 1 5 . e 1 0. 0 6 2 . 8 1 2 5 4 5 3 4 4 7238000 . 4 C1 0 . 5 di 2 0 . 3 1 5 p 45 0 . . l i C1 0 1 1 . i h 5 0 5 5 0 g 61 . . s 5 0 1 n C2 C 7238000 7 3 ul w 4C 5 30 30 . BC BC 5 2 4 M . 2 To EPC613 MONTO 11 4 23 CL1 7 C2 0 9 0 5 . . 1 2 1 41 C1 0 9 . 0 0 9 7237000 . 0 9 1 02 22 7 C C2 20 0 2 9 C2 6 . 58 0 2 0 C 2 . 1

2 72 7237000 2 C C 2C 72 0 2 C3 BC B

8 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 3C 8C 24 24 C C 3 B B 6 . 0

2C 00 BC 8 0 C 4 C0 8 C1 3 4

3 7236000 0 C0 1 . B 24 BC 0 5 7 3 C2 4 . 58 4 0 C2 2 7C . 04 0 0 BC 6 2 0 . 5C 5 3 . 0 C 4 1 2 0 4 C2 . . 9 00 5 B 7 0 0 1 BC 0 2 5 . 4 . . 0 4 . 0 0 2 0 7 . 43 0 C1 0 5 2 2

7236000 . . C C 0 0 1C 0 9 0 8 1 1 43 1 1 C1 1 2 BC C B C 73 B C2

C 5 9 2 00 . C 0 B

03 1 27 5 6 2 L 7 2

. . .

0 0 0

0 3 6 0 8 . 2 5 4 . . . 1 0 0 0 C 43 C C 7 1 9 08 0 C 10 1 C1 C C 4 B 0 10 B B 5 0 7235000 4 5 5 4 14 . . . F 7 0 . 0 4 0 0 . 0 5 5 8 8 1 . . 440 0 0 C1 .6 0 5 8 0 . 8 . 0 7 1 . 0 5 8 .

7235000 0

6C

6 0 C . 1 0 2 C BC 1 4 3 C0 1 7 25 B 7 C0 . 7 0 3 B 5 0 C2 2 . 1 . 3 0 . 0 7 . 0 3 5 9 14 0 . 1 C 3 0 92 0 . 25 6 2 8 0 C 1 9 5 6 . 3 C2 . 0 . 0 0

5 9 . 0 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 X20 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 5

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 7246000 7245000 7245000 7244000

5 4 0 . . 2 5 5 9 . 1 0 . 2 7244000 7243000 EPC613 MONTO

k 7243000

e

e

9 r 8 . 0

C

1

. 2

5

. 1 5 9 .

n

1 7242000

o 9 8 . 7C 1 02 C 0 o B 6 . 2

M 1 . 8 5

7242000 2 . 2

e

e

2

.

r 1

5 . 1

h 1

T 6

. 8 5 . 2

1 2 4 7241000 . . 1 1 4 1 . 8 1 8 . 1 5 . 5 1 3 0 5 . 0 . . 2 0 9 . 1 2 40 1 F1 0 8 .

0 7241000

0

. 2

6 2 2 .

. 1

9 1 . 2 0 9 . 0

Burnett 4

7 5 . . 5 1 0 5 . 0 3 8

8 7240000 4 2 58 8

Highway 2 . 4 5

6 . 1 1 1 35 . 4 . CL

1 1 65 0 5 0 C .

. 1 7

9

1 1

. .

2 2

2

1

. .

8

1

8 .

1 5

1 . 5 0

.

2 2

. 5 1 1 C . 0 23 2 5 7240000 05 . BC 2 2 70 C .. 5 2 30 3 3 C 4 B . 2 8 6 . 2

5 . .9 8 1 0 1 5 1. 8 . 8 1. 2 . 2 0 8 1 3 . 2 2. . 1 0 1 . 1 7 16 .2 7 45 . C1 8 7239000 1 9 . 0 0 1 0

. . 1 6 0 7 2 . 1.5 9 1 . 4 0

1 0 . . 2

8 7

7239000 2 6C . 30 0.9 1 BC

0 6 .

0

2

. 1 0 7 6 8 5 2 . . . 1 1 5 0 0 .

e 1

0

0 . 7 9 .

1 0 5 48 0

7238000

5 1 4 8

2 1 1 6

. . . C 5 . 1 2 . 3

di p 5 1 1 9 0 . 4 . 2 C1 1 1 l i 1.5 i h 0 9 0 5 1 . 3 4 g s 6 1 . .

25 0 1

C 0 0

.

7 1

9 n . .

0 5 C

7238000 1 3 ul w 4C 3 30 30 . BC BC 25 1 42 M . 2 0 To 8 .

1 EPC613 MONTO

1 1

41 . 3 1 0 8 2

CL 0 3 27 5

C 7 8 9 . 1. 7 5 1 8 7 . . . . 0 1 2 1 1 41 C1 0 2 . 2 5 5 7 0 7237000 . . 1 3 9 1 02 22 7 C C2 2 20 . 0 2 1 0 C2 6 . 58 2 1 0 C 6 . 0 0 6 . 1 2 72 7237000 2 C C 2C 72 0 2 C3 BC B

8 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 3C 8C 24 24 BC 6 BC 0 0 3 0 2 . . . 1 1 0 C 02 5 0 BC 0 3 2 5 8 . 5 . 6 0 0 5 C 1 . 4 C 8 C1 5 3 . 0 4 8 0

0 7236000 7 0 1 2 C 0 54 C1 B 6 2 . B 5 . . 7. 0 8 1 C20 4 . 0 58 9 3 1 C2 5 5 0 7C 5 . . 9 04 5 5 0 1 . C 6 7 . 1 B 8 . 0 C 0 5 5 8 . 1 C 4 8 0 0 4 0 C2 . . 00 . 0 0 B 0 3 1 C 1 9 4 7 3 1 B 3 . . 0 2 . . 3 0 . 0 0 0 1 3 9 1 . 2 . 37 0 1 . 4 6 0 1 C1 5 5 5 2 8 1 6 0 . 6 2 . . . 4 0 7236000 6 . C . . 0C 0 1 C 0 0 9 1 8 11 1 1 3 0 1 1 1 14 2 C 5 C 5 5 BC C 0 3 B 1 B 60 2 27 7 8 1 3 34 5 C ...... 3 0 1 1 0 1 0 . 0 0 9C 2 00 . BC 3 1 21 . 3 1 7 700 9 0 0 2 1 0 2 0 L. . 6 . 1 . . 1 1 1 1 8 8 8 1 1 0 . . . 1 1 1 1 C 43 C C 7 1 9 08 0 C 10 1 C1 C 0 C 0 2 0 B 56 10 B B 9 7235000 7 32 4 2 9 14 5 . . . . . F 6 3 0 1 1 1 0 2 . . 1 1 0 0 4 4 1 . . 441 1 C1 5 9 5 7 7 . 6 . 5 0 . 1 3 1 . 1 7 5 0 0 0 5 4 5 7 4 . . 7235000 . . 1 1 . 1 6C 2 0 0 0 . C C1 2 C B 02 1 01 14 73 5 C 31 0 0 . 2 B 8 C 23 27 14 . B 1 C 8 . 01 1 8 1 0 . 0 7 . 1 438 . 0 1 2 C 6 1 9 8 0 . 5 2 8 C2 20 5 5 0 70 . 3 C2 5 . 0 . 7 1 1 . 0 0

5 8 0 . 0 0 . 1 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 X30 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 6

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000

0.32 7246000 7245000 7245000 7244000

0.66

0.40

7244000

1

. 5

2.10 9 6 . . 0 0

2 1. 7243000

EPC613 MONTO

0

. 3

k 7243000

e

e 0.90

r 0.71

C

n 0.65 7242000

0 o . 1.00 3 C 0.17 27 C0 o B 0.82

M 0 . 6 7242000 0.45

e 0

.

6 0

e

0.20 . 9

r

9

. 0

h

T 0.40

0.40 6

. 7241000 0

1.12 0.9

0 . 0.21 9 0.64

0

. 1.00

0.59 2 1 0

6 4

. F1 5 1.35 7241000

2.61 9 . 1 0 . 2 6 0.63 . 0 0.87 0.9

Burnett

0.15 6 0.3 0. 0.40 0 .

8 7240000 5 3 Highway 2 14 46 0.45 0.30 CL1 C1 0.15 0.360.38 0.45

0.42

C 23 0.45 7240000 0

BC 0.30 3 C . 05

0.35 3 0 0.36 BC

0.42

0

. 0.48 6

0 . 6

0.71

0.22 0 1.36 . 6 3

45

1 7239000

C 3

6 . . 0 0.25

0.78 0

0.35

1

.

0

9

2

. .

9 0

9

1.88 . 1.46 0 1.03

7239000 6C 30

0.98 BC

6 .

0 0.30

0.9

0.88 0.92 0.64 3 e 1.60 . 0

1.20 48 14 7238000 di 2 C 1.00 p 45 0.65 C1 0.50 9 0.50 l i 0. i h g 1 s 56 0.80 0.85 0.30 n C2 0.95 C

7238000 3 ul w 4C 30

30 BC

BC 0.38 .6 M 0 0.28 0.25 To 1.361.10 0.60 EPC613 MONTO 11 4 23 CL1 7 C2 1.15 0.90 0.76 2 0.36 1.00 41

C1

6

. 0.40 0

0.70 7237000 0.75 1.25 9 1 02 22 7 C C2 0 22 C2 6 58 0.40 C2 0.50 0.70

2 72 7237000 2 C C 2C 72 0 2 C3 BC B

8 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.75 3C 8C 0.570.68 24 24 BC BC 0.460.35 0.50 0.60 0.49 2C 00 BC 8 0 0.40 C 0.460.45 4 C 8 C1 3 4 0.52 0.450 C0 7236000 1 B 24 BC 0.40 7 0.15 0.75 C20.28 4 0.50 0.70 58 0.31 C2 7C 0.22 1.44 04 0.38BC 0.45 0.40 5C 0.50 0.65C 4 4 C2 00 B 0.44 0.57 BC 0.65 0.66 0.60 0.38 0.44 0.45 0.72 0.920.95 0.73 0.57 7 0.80 43 C1 0.30 7236000 C C 0.55 0 0.25 1C 0.60 0 9 0.408 1 1 43 1 1 C1 1 2 BC C B C 73 B C2 0.530.33 0.54 0.45 0.45 0.21 0.30 C 09 C0 0.32 0.51 0.20 B 3 0.75 70 L2 0.31 0.54 0.50 0.82 0.35 0.32

31 0.45 0.55 0.67 0.60 C 4 C 8C 7 1 9 0 10 C 0 1 3 C1 C BC 0 1 . B B 7235000 14 F 0 0.40 0.45 0.47 0.65 0.25 1.150.55 0.32 1 440.45 0.25 0.90 C1

0.65 0.35

0.30 0.32

0

7235000 . 0.82 0.65 C 9 0.46 0.75 6 0.50 0.50 0.75 10 C C 12 4C B 0 1 5 BC

0 72 C 1 B 0.45 0.23 C2 0.30 0.45 0 . 1.41

0.40 43 0.96 2

1 0 2

C 0.96 . 9 6 5 0 0 8 C2 5 . 1.00 C2 6 0.52 1.32 1.26 0.50 0.20

0.36 0.35 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.77

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 A10 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 7

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 7246000 7245000 7245000 7244000

3 . 0

0.27 0.50

0.70 7244000

0 . 3 7243000 EPC613 MONTO

k 7243000

e

e

r 0.29

C

n

0.40 7242000

0 o .

3 C 0.38 27 C0 o B 0.35

M 0 .3

7242000 3 0.

e

e

r

0 .3

h

0

3

. 0 . 3

T 0.54

7241000

3

. 0 0.47

0.36 0.31

2

40

F1

3 . 0 1.00 7241000

0 .

6

0

3 .

0 0.23 . 3

0 . 0.17 3 0. Burnett 3 0.19

0 6 0.46

. 6 0. 8 7240000 58 Highway 2 14 46 1.19 1.28 CL1 C1 0.150.11 0.32

0.84 3

.

C 0 23 0.40 7240000 C0

B 0.20 3 C 05 .

0.82 3 0 0.80 BC 0.90

0.91 0

. 6

0.71

6

.

0.58 0 0.25

6 6

. 45

7239000 0 1 0.15 C 1.60

1.00 0.58

1.73

6

.

0 0 0

7239000 . C

6 6 . 0

C3 0.45 6 B

0 .9 1.10

0.47 0.60 0.78 e 0.80

0 0. . 6 48

3 4 7238000 C1 di p 52 0.43 0.40 14 1.60 l i C 0.80 i h g 1 s 56 0.20 0.85 0.20 n C2 0.30 C

7238000 3 ul w 4C 30 30 BC BC 1.03 0.60 0.19 M 0.96 0.75

To 0.920.85 6

. 0.60 0 EPC613 MONTO 11 4 23 CL1 7 C2 0.60

0 0.90 1.00 2 0.67

0.60 . 41

6 C1 1.30

0.90 7237000 0.70 0 0.85 9 . 1 6 02 22 7 C C2 0 22 C2 6 58 0.60 C2 3 0. 0.20 0.94 0.15 2 72 7237000 2 C C 2C 72 0 2 C3 BC B

0.208 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.20 0.20 3C 8C 0.28 24 24 BC BC 0.510.30 0.400.23 1.05 0.71 2C 00 BC 8 0 1.25 C 0.79 4 C 8 C1 3 4 0.39 1.330 C0 7236000 1 B 24 BC 7 0.55 1.10 C21.05 4 0.60 0.45 58 0.60 C2 7C 0.72 0.64 04 0.90 0.80BC 0.89 0.10 0.30 5C 0.97 0.45C 4 0.19 4 C2 00 B

0.69 0.70 BC 0.50

0 6

0.88 0.30. 0.34 0.55 0.63 0.54 0 0.59 0.37 0.74 7 . 0.41 43 6 0.36 C1 0.75 7236000 C C 0 0.99 1C 0.750.25 0 9 0.40 0.908 1 1 43 0.81 1 1 C1 1 2 BC C B C 73 B C2 0.60 0.20 0.87 0.86 0.37 0.70 1.00 0.88 C 09 C0 0.62 0.85 0.75 B 3 0.350.37 70 0.33 L2

0.67 0.48 0.40

0.80 0 0.68 0.14. 0.30 6

1 0.85 0.77 0.80 C 43 C 0.87 0.85 C 7 1 9 08 0 C 10 1 C1 C C B 10 B B 4 7235000 F1 0.30 0.80 0.70 0.670.79 0.60 0.61

1 6 44 0.75 0.90 .

0.300.55 C1 0

3 .

0.70 0.45 0.92 0 0.50 1.05 0.59 0.28

6 7235000 0.40 0.38 0.45 C 0.25 1.100.74 0.35 . 06 1 2C 0 C C B 01 4 5 C 01 2 B C 27 B 0 0.70 0.780.72 C 0.20 0.40 . 0 0.280.43 0.540.58 6 3 14 0.40 C 0.26 92 0 25 58 1.17 C C2 0.44 0.350.50 0.50 0.700.10

0.62 0.23 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.30

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 A15 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 8

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000

0.32 7246000

1.41 7245000 7245000 7244000

0.35 1.08

0.30 0 .3 7244000 7243000 EPC613 MONTO

k 7243000

e

0

.

3

0 3

.

3

e . 0

r 0.35

C 0

.

6

0

.

9 6 . 0

n 1.00 7242000

o 1.00 C 0 7 . 1.17 02 C 6 o B

1.15 0

M . 3 7242000

e 9 . 0 0 e 0. .9 0.30 6 6

. 3

0 . r 0

h 0.25

T 0.34 1.62 7241000

0.50

1 9

. .

0 0.07 0 2

. 0.87 3

1.40 0 0.46 2

40

. 1

6 F 0

9 .

0 .

0 0.69 6 7241000

. 6 0.59

0.49

0.62

0

Burnett . 6 9 . 0.70 0 1.50

8 7240000 58 Highway 4 62 14 0 14 1.24 1.42 CL .6 C 0.23

0.70

0

. 1.34 6

0 .

3C 2 6 0.50 0 7240000 0

BC .

5C 3 0.34 9 30

. BC

0

6

. 1.98 0

1.39 0 .9 0.32 .6 0 0.12 6 45 1 7239000 0.55 C 0.80 0.45

0.300 0.6

. 0.57

6 0.83

7239000 6C 30

0.23 BC

0

0

. . 3 3

0.20

3 . 0 1.04 0.40 0.20 e 0.50

48 0 . 14 7238000 di 2 C 0.30 3 p 45 0.20 l i C1 0.80

0

i h . 6 3 0. g 1 s 56 0.40 0.50 0.70 0.75 n C2 C

7238000 3 ul w 4C 30 30 BC BC 0.71 0.90 1.30 M 0.49

0.58 0

. To 3 0 .6 EPC613 MONTO 11 4 23 CL1 7 C2 0.55 0.40 0.20 2 0.64 0.20 41 C1 0.74

0.15 7237000 6

0.45 0.60 . 9 3 0 1 . 02 22 0 7 C C2 0 0.24 22 C2 6 58 1.10 C2 0.69 0.67 0.20 2 72 7237000 2 C C 2C 72 0 2 C3 BC 0.75 B 0 0.40 . 1.108 2 6 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.66 0.58 3C 8C 0.710.64 24 24 BC BC 0.80 0.260.40 0.91 0.860.67 1.10 0.59 0.88 C 02 C0 B 6

8 . 0 0.280.60 C 0.66 0 4 C 8 C1 3 4 0.45

7236000 0 0.600 0

1 BC 4 . C 2 B 0.90 27

0.606 0.45 0.95 1.31 C 0.97 84 0.60 25 0.791.15C 1.04C 47 1.16 0.45 C0 0.84 0.26 0.55B 0.65 1.05 0.9 C 0.85 45 0.50 4C 2 0.73 0 BC

C0 0.33 0.32 B 0.60 0

0.70 0.65 1.10 1.35 0.39 0.85 0.23 . 1.09 6 0.63 7 0.18 43 0.93 C1 0.60 7236000 C 1.131.05 C C 0 1 1.20 0 39 0.63 0.7518 0 1 11 4 0.90 C 1 C 0 1 32 B . C B C 9 B . 27 C 6 0.35 0.90 0.80 0.82 0.95 0.67 0.48 0.60 0.85 C 09 C0 0.74 0.81 0.80 B 3 0.53 70 0.53 L2

0.67 0.50 0.75 0.50 0 0.54

0.55 1.11 . 6

1 0.85 0.79 0.53 C 43 C 1.00 1.03 C 7 1 9 08 0 C 10 1 C1 C C B 10 B B 7235000

14

6 F 0.60 0.810.85 0.78 . 0.55 0.62

0.55 0 0.16 1

441.10 0.95

0.250.50 C1

3 . 0.90 1.03 1.35 0 0.85 1.25 0.64

0.23 0 . 6

7235000 0.35 0.90 0.90 C 0.12 0.300.31 0.30 06 1 2C C BC 1 4 C0 1 25 B C0 7 B 0.90 0.75 C2 0.70 0.35 0.80 0.23 30 14 1.00 0. C 1.04 92 0 25 8 9 0.93 C 25 C 0.17 0.96 0 . 0.24 6

0.78 0 1.17 .6 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 0.50 27 C 11 7 11 L1 7 Resource Legend C1 0.20 7 0.20 72 7233000 C2 2 71 C1 0.10 Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.80

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 A20 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 9

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000

2.00 7246000 7246000

0.69 7245000 7245000 7244000 0.51

0

0.59 . 1.00

6

0

.

7244000 3

3

. 3 0 0. 0.30

0.3 7243000

1.11

0 0.74 EPC613 MONTO

. 6

3 k 6 . 7243000 . 0 0

e

e

3 r . 0

C 1.55

0

.

0

6

. 3

n 0.65 7242000

0 o . 0.90 6 C 1.41 27 C0

o

6 B

. 0 0.56

M

7242000 0

.9 0

e

.

3

. 3 0

e 0.46

0 r .6

h 0.20

T 0.18

0.72 0

.

6 0

7241000 .

6 0.83

0.29 0.20

0.90 1.00 2 40 F1

0 0.74

7241000

.

6

0.20 0.

9

6

. 0 1.20

0.93

Burnett 0 0.49 . 6 0.90

8 7240000 58 Highway 2 14 46 0.56 CL1

C1 0 0.70

.

0 6 .

6

0

. 0.86 6

C 23 7240000 0 BC 5C 6 1.38 30 BC .

0

1.02 0 . 9 0.3 0.82

0.48 6 45 1 7239000 1.17 C 0.09

0 6 0.40 . . 0 3 3 0.6 0.30 0. 0.24

1.07 0.3

7239000 6C

30

0 0.17 BC

.

6

0

. 6

0.54 0 1.00

. 3

.

3 e 0.30 0

0.60 48 14 7238000 di 2 C 0.20 p 45 0.90

C1 0 0.40 0.30 .

l i 3 i h g 1 s 56 0.30 1.75 0.25 C2

n 0.36 0 . 6

0.55 6 C

7238000 C . 03 ul w 4 0 3 30 BC BC 0.30 0.65 0.30 M 1.73 0.20 To 0.55

0.80

0 EPC613 MONTO

. 11 3 4 23 CL1 0 7 . C2

6 0.75 0.60 0

. 0.76 1.44 3 0.40 12 0.10 0 14 . C 9 0.88

0.55 7237000 0.90 9 1 02 22 7 C 0 C2 . 0 6 0.45 22 0.80 C2 6

58 1.20

C2 3 . 0.40 0 0

9 0.30 . 1.07 . 0.47 3 0 0.38

2

2 6

7 . 7237000 0.66 2 0 C C 2C 72 0 2 C3 BC 0.98 B 0.60 1.030.45 0.578 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.84 0.84 0.98 3C 8C 0.66 24 24 BC BC 0.500.70 0.85 0.82 0.96 0.41 0.30

0.96 C 0 2

. 0 9 0 BC 8 0 0.871.10 C 0.96 4 C 8 C1 3 4 0.50 1.450 C0 7236000 1 B 24 BC 0.95 7 1.70 1.00 C20.86 4 0.50 0.90 58 0.85 C2 7C 0.84 0.64 04 1.32 1.50BC 1.33 0.47 0.60 1.05 5C 1.39 1.25C 4 1.00 4 C2 00 B 1.45 1.35 BC 0.90

1.04 0.78 0.59 1.00 0.85 1.24 9 0.40

1.06 0

.

1.071.11 7 .

0 3 6

4 0

1.19. 1 9 0.80 C 1.00 7236000 C

0C 0.490.30 C 1.25 0 9

0.76 0.908 11 1 1 3 0.65

. 1 4

C1 1 C 1 2 B C 2 B C 73 B C2 0.89 0.90 0.60 1.16 1.35 1.24 0.89 1.55 0.60

9C 01 C0

1.52 1.20 B . 1.05 5 3 1.541.62 70 0.170 L2 . 1.18 0.95 0.61 2.00 0.55 9 1.80 0.80 1.2 1 1.02 0.71 C 43 C 1.22 0.72 C 7 1 9 08 0 C 10 1 0C1. C C B 9 10 B B 4 7235000 1.00 F1 0.60 0.40 0.41 0.75 0.700.79 0.43 0.70 0.86 1 441.25 0.70 0.45 1.05 C1 0.60 0.73 1.40 0.76

0.75 0.75

0.80 6 0.37

0.68 . 0

7235000 1.00 0.55 0.95 C 0.64 0.57 0.75 06 1 2C C BC 1 4 C0 1 25 B C0 7 B 0.60 0.300.85 C2 0.50 0.65 0.35 0.700.71 0.62 30 14 0.70 C 0.52 92 0 5 8 0.40 C2 25 C 0.92 0.60 0.40 0.96 0.29

.6 0.6 0 0.78 0.99 7234000 26 270 C . 71 3 4 C1

0.40 7234000 5 2 42 7 1 14 C C 28 14 0.30 C

6 70 C2 5 70 C2 9 72 C2 7233000

30 0.35 27 C 11 7 11 L1 7 Resource Legend C1 1.20 7 1.36 72

7233000 2 C 12 17 0.91 C 1.54 Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.87

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 A30 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 10

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000

0.30 7246000

0.54 7246000

0.82 7245000

3 7245000 . 0

7244000

0

.

0.48 3

6

. 0

0.53 0.62

3 9 . 0

. 0.15 0 7244000

1

.

2 1.58

0

.

3

6

. 3 0 0. 7243000

0.95

0.58 EPC613 MONTO

9

.

9

0 . 0

k

7243000

e 1

.

8

0 .

6

e

1 3 . . 0

2 2.50

r 0.62

C 1 1.18 . 5 0

. 6

6

. 9

1 .

2

0 . 2

0 n .

1.35 7242000 1 0 .9

o C

1.32 27 0 5

C .

o B 1

2.00 0

M . 3

1 . 0.50

7242000 2 0.72

e

e 2.61 0 . 3

r 1.

5 1.8

6 1 . 1 2 0

.2 . .6 h 0

9

. T 0 9 1.20 0. 0.59 1 . 7241000 2 2.06 0 . 0.83 9 0.49

0.80 0.26 2 40 F1 6 0. 0.6 0 0.28

7241000 . 0 6 . 3

0.89

0.69

Burnett 1.01

8 7240000 58 Highway 2 4 0 6 1

. 14 0.52 3 CL 1.05

6 C .

0

0 .

1.15 3

C

23

7240000 0 6 . C 0

B 6 0 C

5 . . 0

0.53 C3 0 6 B

0.84

0.26

0.6 0 .3 0.32 6 45 1 7239000 0.60 C 0.06 0.35

0 0. .

3 9 0 0.50 . 0.35 6 1.62

7239000 6C 30

0.33 BC

0

0

.

.

0.6 3 6

0.61 1.20 e 0.40 0.3 0.60 48 14 7238000

di 2 C 0.30

p 45 3 0.25 C1 . 0.30

l 0

i 0 . 0.70

i 6

h 0 .

g 1 3 s 56 0.60 1.05 0.60 0.40 C2 n 0.11 0.45 C

7238000 3 ul w 4C 30 30 BC BC 0.23 0.85 0.72 M 1.05

To 0.50

3

. 0 EPC613 MONTO 1 1 3 14 2 0.60

CL 0 27 0

. C

. 0.40 3 1.70

0.80 0.42 2 0.709 1.20 0.63 41 C1

0 1.34 . 7237000 0.55 9 1.05 9 2

1 0 0 22 7

C . C2 6 20 0.85 22 0.80 C 86 25 1.15 0.30 0.76 C 0.50 0.58 1.14 0.27 0.25 2 72 7237000 0.50 2 C C 2C 72 0 2 C3 BC 0.40 B 0.20

0.720.64 0.948 2 6 0.81 3 .

4 C 58 1 6 0 C 4 C2 6 C2 43 B C1 0.48 0.67 0.88 3C 8C 0.85 0 240.50 24

. BC BC 6 0.42 0.71 0.91 0.64 0.76 0.81 0.64 2C 00 BC 8 0.350 0.75 C 0.95 4 C 8 C1 3 4 1.20 0.500 C0 7236000 1 B 24 BC 7 0.15 0.40 0.80 C20.61 4 0.50 0.87 58 0.50 C2 0.9 7C 0.67 0.63 04

0.16 0.45BC 0.69 0.60

1.05 0.80 5C 0 . 4 6 0.33 C 0.49 4 C2 00 B 0.87 0.47 BC 0.64 0.70 0.70 0.57 0.70 0.75 1.06 0.68 0.67 0.52 7 0.40 43 0.88 C1 0.80 7236000 C C 0 0.70 1C 0.55 0 9 0.74 0.708 1 1 43 0.13 1 1 C1 1 2 BC C B C 73 B C2 0.70 0.75 1.08 0.75 0.80 0.88 0.95 0.55 0.6 9C 00 1.40 BC 0.69 0.65 0.6 3 0.630.90 70

0.330.6 L2

0.67 0.61 0 0.25

0.72 0.34 . 0.50 6

1 0.60 0.62 C 43 C 0.89 0.75 C 7 1 9 08 0 C 10 1 C1 C C B 10 B B 4 7235000 0.60 F1 0.50 0.40 0.75 0.77 0.56 1.00 0.50 0.95 0.65

6 41

4 0.65 .

0 1 1.10

0.60 C 0.80 0 0.65 . 9 1.05 0.6 0.55 1.05 1.25 0.60 0.45 0.52 0.56

7235000 1.05 0.95 0.90 C 1.11 0.901.11 0.75 06 1 .3 2C C BC 0 1 4 C0 1 25 B C0 7 B 0.75 0.55 C2 0.60 0.95 1.30 0.120.22 0.770.86 30 14 0.10 C 0.31 92 0 5 8 0.75 C2 0.90 25

C 0.20 0.50

1.02 3 . 0.73 0

6 0.61 0. 0.46 7234000 6 72 C2 1 47 C1

0.60 7234000 5 2 42 7 1 14 C C 28 14 0.40 C

6 70 C2 5 70 C2 9 72 C2 7233000

0 73 0.38 C2 1 1 1 17 1 Resource Legend L 17 2.10 C 1.28 7 72

7233000 2 C 12 17 0.93 C 0.30 Measured Resource

Selene Mine workings Indicated Resource 8 72 C2 0.40 7 Inferred Resource 70 7232000 C2

0.60 Point of Observation

0.55

0.65 Drill Hole with 8 47 Seam Thickness C1

7232000 0.60 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area 0.70

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 A40 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 11

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000

1.40 7246000 0.60

0.38 7246000

0.67 7245000 7245000

0.40

0

.

3

3

. 0

6

. 7244000

0 1.22

0.48 0.64

0.36 7244000

0.40

0

.

3

0 . 6 7243000

0.54

0.32 EPC613 MONTO

0 .

k

9 6 7243000

. 0 .

1.34 0 3

e 0 . 6

e

0

.

0.88 6

r

0 . 0.30 9

C 0.66

9

. 0

n

1.05 7242000

9

. 0

o 1.10

C 0 .

27 9

0.99 0 1

C .

o B 2

0.53

0

M 0 .

.

9 9 1.40 7242000 0.94

e

e 1.39

r

h 1.42 6

. 2 0 1

. T

.

0 1

5 .9 0.68 0.16

.9 0 7241000

0 1

. 2.18

9

.

2 1

. 0.97 2 0.6 1 1.47 .9 . 0 2 1.65 1.20 2 40 F1 0 .

3 7241000

0

.

9 0 . 3

0 1.08

. 6 . 9 0 . 6 0 0.82 0.9

Burnett

0.98 .3 0 0.80

0 8 7240000 58 Highway 4 . 2 14 46 CL1 6 0.86

C1 1.00

0.43 6 0

. 0.23

. 0 6

0.66

9

C . 23 0 7240000 0 BC

5C

30 6 . 0.93 0 BC

0.78

9 . 0

0 .

1.19 9

6 0 45 7239000 . C1

0 0.53 6 . 1.75 1.20 6

0

. 1.25

6 6

. 0 1 0.40 . 0.96 2 0.93

7239000 C 06 0.38 C3 0 B .

9

0

1 0

.

.

9 . 5

0.80 6

1.19 3.10 1

e 0.20 . 0 9 . 2

9 .

0. 0 1.00 48 6

4 7238000 C1 di 2 0.40 0 p 45 1.00 C1 0.30 1.00 . l i 9

i h 0.6 1.90

9 . g 61 s 5 0 0.40 0.60 0.90 0.85 0.76 C2 n 0.57 1.10 C

7238000 3 ul w 4C 30 30 BC BC 0.60 0.70 0.72 M 0.82

0.90 0.35 1.00

0 . To 6 9 0. EPC613 MONTO 11 4 23 1.05 CL1 7 C2 0.40 0.85 1.20 0.36 1.00 2 0.99 0.75 41

C1 0

. 6 1.11

0.50 7237000

1

1.30 . 1.50 9 2

1 2

2 70 2 0 C C2

. 0 9 2 0.17 22 0.45 C 86 25 0.95 1.00 1.09 C 0.20 1.42 1.17 0.41 0.24 2 72 7237000 0.62 C C2 C

2 02

7 3 6

C2 C .

B 1.07 B 0

0.20

0 . 0.45 0.848 2 9 0.52 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.91 0.57 1.00 3C 8C 0.99

24 24 0.90 9

BC BC

. 0 0.80 1.01 0.57 1.75 1.131.06 0.75 1.15

0 1.05 C

. 02 9 0 BC 0.458 0 0.90 C 1.16 4 C 8 C1 3 4 1.24

0 7236000 0 0.75 C 4 C1 B 2 B 27 1.14 0.85 1.10 9 C 0.60 4 1.42 58 1.17 . 2 0.301.30C 0.82C 7 0 0.90 04 1.14 1.25BC 0.70 1.27 1.40 1.10 5C 1.19 1.30C 24

1.03 04 C 1 B

1.10 C0 1.45 1.17 . B

2 2 1.36 0.52 0.90 1.60 . 0.99 0.90 0.60 1.13 1.63 7 0 43 1 . 0.580 1.43 C1 9 . 6 0.50 7236000 C C 1.05 0 1.15 1C 0.90 0 9 0.15 1.708 1 1 43 0.95 1 1 C1 1 2 BC C B C 73 B C2 0.68 0.92 1.55 0.95 0.95 1.44 0.94 0.85 C 09 C0 1.32 1.07 0.85 B 3 0.880.94 70 0.57 0.85 L2 0.42 0 1.22 0.75 . 1.00 0.81 0.70 0.65 0.42 9 0.50

31 0.55 0.72 0.70 0.82 C 0.404 C 8C 7 1 09 0.78 0 0 10 0.54C 1 . 1 C 0 C 6 C B 1 B B 4 7235000 0.95 F1

0.85 0.45 0.37 0.69 0.84 0.64 0.55

0.42 0

0.75 6 0.60 . 0. 6 1 0.35 440.80 0.70

0.65 0.40 C1 0.75

0.92

0

. 0.80 0.90 0.35 9

0.20 0.35 0.60 0.31 0

0.39 . 9

7235000 1.10 1.50 0.70 C 0.64 0.400.33 0.30 06 1 2C C BC 1 4 C0 1 25 B C0 7 B 0.90 1.15 6 C2 0.60 0.45 0.30 . 1.08 0.480.51 30 0 14 0.60 C 0.71 92

0 25 0

0.83 0 58 0.71 C .

1.00 0.60. 2 9 C 6 0.48 0.47 0.95 0.91

0.95

0 . 0.71 6 0.36 7234000

269

27 . C 0 71 14 1.29 C 0.90

0.40 0.92 0.43 6 7234000 0. 5 2 42 7 1 14 C C 28 14

1.09 C

6

.

3 0

0

. .

3 0

0.68 6 70 C2 5 70 C2 9 72 C2

7233000

0

.

9 0

0 .

3 6 0 . 0.73 7 9 C2 1 1 1 17 1 Resource Legend L 17

1.00 C

1.37 1

27 . 1.38 7 2

7233000 2 C 12 17 1.09 C 1.53

Measured Resource 0.30

Selene Mine workings

Indicated Resource 0

8 . 2 27

9 C 1.37 7

Inferred Resource 0 7232000 27 1 C .2

1.15 Point of Observation

0.89

0.65 Drill Hole with 8 47 Seam Thickness C1

7232000 1.17 9 . Seam Isopach (m) 0 Lox Line (full seam fresh) 0 .6 0. 6 0 100m Depth to Roof . 3 Road Railway 7231000 Stage 1 Area 0.15

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 B10 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 12

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000

0.65 7246000 0.30 7246000

0.36

0.42 7245000 7245000 7244000 7244000 7243000 EPC613 MONTO

k 7243000

e

e

r

C

n 7242000

o C 27 C0 o B

M 7242000

e

e

r

h

T 7241000 0.40

0.30

2 40 F1 7241000

Burnett

8 7240000 58 Highway 2 14 46 0.46 CL1 C1 0.17

0.17

C 23 7240000 0 BC 5C 30 BC

6 45 C1 7239000 0.29 0.16 0.30

7239000 6C 30

BC 0.3

0.78 e

0.50 48 14 7238000 di 2 C p 45 0.20

C1

l i 3 0.70 .

i h 0 g 1 s 56 0.40 C2 n 0.38 0.41 C

7238000 3 ul w 4C 30 30 BC M BC 0.31 To 0.40 3 . EPC613 MONTO 0 11 4 23 CL1 7 C2 0.300.00 2 0.13 41 C1

0.20 7237000

9 1 02 22 7 C C2

0

2 0

0.29 2 . 0.22 2 3 C 86

25 0.95

C 0

0.50 0.32 . 0.486 0.34 0.26

2 72 7237000 0.25 2 C C 2C 72 0

2 C3

BC 0.93 B

9

2.00 . 0.26 0.37 0.58 0 1.008 2 43 C 8 1 6 25 C 4 C 6 6 C2 43 B . C1 0.92 0.70 0.850 3C 8C 0.64 240.71 24 BC BC 0.90 0.24 0.57 1.72 0.67 0.88 0.79 2C 00 BC 0 8 .6 0 C 4 C 8 C1 3 4 0

0 . 7236000 0 C 4 C1 B 2 3 B 3 27 . C 4 0.59 58 0.04 0 2 C 0.30C 7 0.20 3 04 BC 0.35. C 0 45 4C 2

0 BC

C0 0 B .

0.50 0.13 0.50 0.25 3 37 14 0 C .

3 0.20 7236000 C C 0 0.45 1C 0 9 8 1 1 43 0.52 1 1 C1 1 2 BC C B C 73 B C2 0.35 0.350.30

9C 00 BC 3 0.20 70 L2 0.30 0.17

1 C 43 C C 7 1 9 08 0 C 10 1 C1 C C B 10 B B 4 7235000 F1 0.20

1 44 C1

7235000 C 06 1 2C C BC 1 4 C0 1 25 B C0 7 B C2 30 14 C 92 0 25 58 C C2 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 C10 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 13

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 0.35

0.93

3

.

0 7246000

0.24

0 7245000 .3 0.70

3

.

0 7245000

0.48

3 . 0 7244000

0.30

0

. 6

0.53 0.94

0 .

0.90 6

7244000

0 .

9 6 0. 1.20

0

.

3 3 0.

0 0.6 7243000 . 3 0.50

0.23 0.3 EPC613 MONTO

k 7243000

e

e

r

3 0.10

. C 0

0 1.31

.

3

n

0.25 7242000 0

o

. 6 C 1.48 27

C0

o B 0

. 0.33 6

M 0 . 9 7242000 0.90 6 e .

0

e 3

. 0

r

h 0.20 0 0

. . 0

3

3 . 6

T

0 .

6 0.42 0.6

6 7241000 .

0 1.04

0

. 0.69 6 0.6 0.56

0.90 0.45 2 40 F1 0.62 7241000

1.00

6 . 0.52 0

0.65 3

. 0

Burnett

0

. 0.53 9

0.40 0

7240000 . 8

58 Highway 6 2 4

0 6 1 14 1.56 CL . C 0.50 3 0.65 0.30

0.42

C 23 7240000 0 0.6 BC 5C 0.44 30 BC

3 0. 0 . 3 0 . 3

0.31

3

. 0

6 0 45 . C1 7239000 3 0.33 0.30 0.25 0.25

0.38 0.38

0.40

0

7239000 . C 6 6 30 0.16 BC

0.80 3 . 0

0.90 0.17 e 0.20

48 14 7238000 di 2 C p 45 0.25 l C1 0.31 i 0.37 .3 i h 0

g s 61 0.10 25 0 1.00 0.53 C . 3 n 0.28 0.25 C

7238000 3 ul 4C 3 30

w 0 . C C3 B

0.450 M B 0.50 0.18 0.60 To EPC613 MONTO 11 4 23 CL1 7 C2 0.30

0.220 0.42 2 0.48

0.60 . 41 3 C1 0.25 7237000 0.35 0.40 9 1 02 22 7 C C2 20 0.15 22 0.15 C 86 25 0.40 1.10 0.45 0.64 C 0.30 0 .3 0.36 0.31 0.42 1.21 2 72 7237000 2 C C 2C 72 0 2 C3 BC 0.42 B

0.548 2 0.56 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.50 0.44 0.89 3C 8C 0.48

240.15 24

0 BC BC

. 3 0.20 0.50 0.40 0.37 0.30 0 0.71 .6 0.40 2C

00

BC

0

0.608 . 0 0.90 C 0.26 9 4 C 8 C1 3 4 0.84 1.000 C0 7236000 1 B 24 BC 7 0.81 2 4 0.75 1.20 0.54 C 0.54 8 1.05 25 0.86C C 6 7 0.36 0.27 . 04 0 0.910.92 BC 0 0.30 1.20 0.85 . 1.50 0.55 C 9 45 4C 2 0.80 0 BC

0.78 0.75 C0 0.82

1 B

. 6

2 1.25 0.80 0.72 0.35 0.79 0.37 . 0.30 0.91 0.73 7 1.35 1.33 43 0 C1 0.20 7236000 C 0.85 C C 0.70 1.20 0 1 0.25 0 39 1.37 1.3018 1 11 4 0.19 2 C 1 C 1 3 B BC B C

27

C 6 0.43

0.87 1.35 0.95 0.94. 0.50 1.51 0 0.35 9C

00

0.45 BC 0

.

0.901

0.95 9 6

0.61 .

.

2 3 1.010.94 0 70 0.61 L2 0.88 1.00 0.71 0.45 1.48 1.22 0.45

0.10 0.35 0.90

9

. 1 0.90 1.30 0.58 C 0 43 C 1.72 C 7 1 9 08 0 0.16 1.08C 101.28 1 C1 C C B 10 B B 4 7235000 F1 1.00 1.94 1.691.31 1.21 1.15 0.81 0.65 1.90 1.38 0.53 1 1.75 441.50 0.95 1.18 1.35 C1 0.45 0.61 1.40 1.49

1.05 1.65 1.95 2

1.15 6 . 1.16

.

1.05 1 0

7235000 1.45 1.20 1.25 C 1.79 2.401.52 1.25 06 1 2C C BC 1 4 C0 1 25 B

C0 7

B 1.15 1.03 C2 0

0.320.34 . 0.90 1.15 1.50 0 6 1.40 43 0 0.30 2 1 . 2 C 0.489 9 . 0 25 1.54 1 8 0.60 C 1.60 25 C 0.27 0.23 0.90 1.26 0.55 0.20 0.73 0.32 7234000 6 72

2 6 C 71 . 14 1.07 0 C 9 0.60 . 0 1.13 6 0.50 0.64 . 0.54 0 7234000 5 2 42 7 1 14 C C 28 14 0.77 C 0.20

0.94 6 70 C2 05 0 27 .C6 9 0.50 72 C2 7233000

0

73 0.60

2 1 0 . C 6 1 1 17 1 Resource Legend L 17 0.60 C 0.65 7

72

7233000 C2 2

6 1 . 0 17 0.58 C 0.60

Measured Resource 0.50

Selene Mine workings

0

. Indicated Resource 9 8 72

C2

1

. 1.04 7 2 Inferred Resource 70 7232000 C2 1.27 1.88 Point of Observation

1.12 .9 0.65 Drill Hole with 0 8 47 Seam Thickness C1

7232000 0.39 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road

0 . 0.78

Railway 9 7231000 Stage 1 Area 0.99

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 C20 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 14

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 0.62

0.36

7246000

0.170 .

3 0.50 7245000

3 . 0

7245000

0

. 6

1.19

0 . 3 0

.

9 7244000 6

.

1.21 9 0

. 0

1.19 1.25

0.18

7244000 0

. 0.85

6 0 .9

6

.

0

3

. 7243000 0

0.34 0.39 EPC613 MONTO

0.40

k 7243000

1.00

e

6

0 .

e . 6 0 0.79

r

0

. 0.86 9

C 0.69

9

. n 0 1.15 7242000

o 0.15 C 0.18 27 C0 o B

1.20 0

.

M 3

1 0 . 5

. 0 6

7242000 .

6 6

. 0.17 e 0

e 1.99

r 0

. 0

9 . 3

h 0.62

1 . 2 9

T

2 .

. 2.11 1 0 1.28 7241000

1.05 6 1.5 . 0 0.42 0 0.61 . 9 0 . 0.55 6 0.72 2 40 F1 0.18

7241000 0 . 0. 6

0.40 9

1.07

0.23 6

. 0

Burnett

0.90

0 .

0.80 6 0

8 7240000 58 Highway

. 4 62 14 6

3 4 0.74 CL . C1 0.60 0 0.68

0.70 0

. 9

0 . 1.16 6

C 23 7240000 0 BC 5C 0.86 30 BC

6 . 0 0

.

6

0 . 3

0.17 0

.

9

1

. 6 2 45 1 7239000 0.80 C

0.25 1.33

0 0.20 .

6 0 0

. . 9

3 0.70

0 . 1.02

6 1.31

7239000 6C 30

0.32 BC

0

0.90 . 9

0.6 3

. 0 0.3 1.15 0.40 0.50 e 0.70

0.70 48 14 7238000 di 2 C p 45 0.56

C1 0.33

l 3

i . 1.05 0 i h 0.6 0 . g 1 3 s 56 0.70 0.50 0.25 C2 n 0 0.80 .6 0.45 C

7238000 3 ul C 30 w 04 C C3 0.16 B M B 0.25 0.30

To 0.22

3

1.00 . 0 EPC613 MONTO 11 4 23

CL1 7

0. C2 0.20 3 0.30 0.38 2 0.70 0.40 41 C1 0.50 7237000 0.35 0.45 9 2 0 1 0 22 7 . C C2 3 0 0.31 22 0.19 C2 6

58 0.45 0.20

C2

0.65 0.23 3

. 0.30 0.63 0.52 0.27 0 0.21 2 72 7237000 0.54 2 C C 2C 72 0 2 C3 BC 0.38 B 0.65 0.07 0.500.44 0.718 2 0.41 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.40 0.54 0.39 0.24 C C 43 48 0.40 C2 0.45 C2 0.40 B B

3 0.20

0.35 0.42 0.74 0.38 0.31 0.72 .

0.52 0

0

0.47 2C . 00 6 BC 8 1.220 0.55 C 0.21 4 C 8 C1 3 4 0.68

0 7236000 0 0.95 C 4 C1 B 2 0.40 B 0.70 27 0.45 0.55 C 0.66 84 0.51 25 0.60C 0.44C 47 0.45 C0 1.20 0.23 0.66 0.75B 1.056 C 0.35 . 5 C 24 0.58 4 0 C 00 B 0.990.73 BC 1.01 0.45 0.70 0.60 0.58 0.45 0.42 0.40 1.00 0 0.75 7 .6 0.43 43 0.41 C1 0.55 7236000 C C 0.35 0 0.25 1C 0.55 0 9 0.508 1 1 43 0.45 0.45 1 1 C1 1 2 BC C B C 73 B C2 0.59 .6 0.35 0.57 0.55 0.25 0 0.30 0.58 0.50 C 09 0.45 C0 0.65 0.90 0.45 B 3 0.49 70 0.34 0.70 L2 0.50 0.65 0.52 1.00 0.62 0.35 0.25 0.35 0.76 6

0.78 0.60 .

0

6

31 0.53 0.60 . 0.53 1.03 C 4 C 0 C 7 1 9 08 0 0.42 0.40C 10 1.25 1 C1 C C B 10 B B 4 7235000 0.30 F1 0.15 0.60 0.621.18 0.72 0.57 0.39 0.60

0.25 0.55 0.14

0 . 6 0.29 0 1 0.63 . 440.75 0.70

0.76 0.750.55 6C1 0.22

0.70 1.20

0

0.20 0.44 . 0.77 6 0.80 0.68 0.15 0.16 0.58

7235000 0.30 0.65 0.50 6C 0.64 0.650.62 0.75 0 C C1 2 C B 01 4 5 C

01 2 B

C 0 27

B 0.25 0.500.49. C 9

6

0.75 0.606 0.45 0 0.670.61

.

. 0.700.73 43 1.38 0 0 1 C 0.36 92 0 25 0.50 58 0.92 C 0.80 0.64 C2 1.21

1.47 0.75

0.48 1

. 0.38 2 0.20 1.83 0 0.47. 9 7234000 26 0.20 27 C 71 14 1.26 C 0.40

1.66 0.70 0.76 0.75 7234000 5 2 42 7 1 14 C C 28 14 0.74 C 0.70

0.82 6 70 C2 0 . 05 6 7 C2 9 0.50 72 C2 0.30 7233000

0.37 0 73 C2 1 1 1 17 1 Resource Legend L 17 1.00 C 0.42 7 72

7233000 2 C 12 17

0.60 C

6 0.39

.

0 6 .

Measured Resource 0.70 0

9

. Selene Mine workings 0

Indicated Resource

2 28

. 27 1 C 1.56 7 Inferred Resource 70 7232000 C2 2.53 0.57 Point of Observation

0.91

5

0.65 Drill Hole with 1.46 8 . 47 1 Seam Thickness C1

2 7232000 2.13 . Seam Isopach (m) 1 Lox Line (full seam fresh) 0.9 100m Depth to Roof

Road 0.39 Railway 7231000

Stage 1 Area 1.32

9 . 0 10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting. 1.05

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 C30 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 15

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000

1.32 7246000

0.40 7245000 7245000 7244000

7244000

0 . 3

0

. 6

0

. 1 . 2 9

2 . 1 1

.

8

2

.

7

1

2 7243000

5 . .

4 . 2

3 1

.

9

0 2 . EPC613 MONTO.

1 3 5

. 0

4

. 3 6 .

6 5.00

0

. k 9 7243000 1 3 . . 1.30 5 3 8

e .

1 3. 2 0 1 e 0 . . . 1 2 9 9 0

4 .

. 2.7 . 3

r 0 1 2

.

8

C 1

.

6

.

2

0

2

0 .

. 4

2 n 0 0

3 7242000

.

. .

0

7 3 6 . 6

o 3.55 5 2 C 7 . . 2 1 C0 1

o B 1.5 0.9

M 7 . 2 3.28

7242000 0 . 4 9 . e 2 2

. 8

1 0 .

.

1

1 6

e .

2

1. 9

8 . 1 0 r .2

h 2.74

0 0 0 T . . .

3 6 9

1.5 7241000

0 2

.9 1. 0

. 0.6 6

1.95 2 40 F1 9

. 1.41 0 7241000

0

.

3 0.3

3 0.6 . 0

Burnett

3

.

1.20 0

8 7240000 58 Highway 2 14 46 CL1 C1

C 23 7240000 0 BC 5C 30 BC

6 45 C1 7239000

7239000 6C 30 BC

e

48 14 7238000 di 2 C p 45 l i C1 i h 1.10 0 g s 61 . 5 3 n C2 C

7238000 3 ul w 4C 30 30 BC M BC To EPC613 MONTO 11 4 23 CL1 7 C2 0.38 0.50 2 1.10 41 C1 7237000 0 9 . 1 02 3 22 7 C C2 0 22 C2 6 58 C2

2 72 7237000 2 C C 2C 72 0 2 C3 BC B

8 2 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 3C 8C 24 24 BC BC

2C 00 BC 8 0 C 4 C 8 C1 3 4 0 C0 7236000 1 B 24 BC 7 C2 4 58 C2 7C 04 BC 5C C 4 4 C2 00 B BC

7 43 C1

7236000 C C 0 1C 0 9 8 1 1 43 1 1 C1 1 2 BC C B C 73 B C2

9C 00 BC

3 70 L2

1 C 43 C C 7 1 9 08 0 C 10 1 C1 C C B 10 B B 4 7235000 F1

1 44 C1

7235000 C 06 1 2C C BC 1 4 C0 1 25 B C0 7 B C2 30 14 C 92 0 25 58 C C2 7234000 6 72 C2 1 47 C1 7234000 5 2 72 14 4 C C1 8 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

30 27 C 11 7 11 L1 7 Resource Legend C1 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings Indicated Resource 8 72 C2

7 Inferred Resource 70 7232000 C2

Point of Observation

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 D00 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 16

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000

0.60 7246000 0.74

0.78 7246000

0.93

0.67

7245000

6

. 0 7245000

0

. 0

6 .

0.40 9

1.24

9

.

0

9

. 0 7244000 1.05

6

.

0 1

. 1.72 1.25 2

1.55

7244000 0

. 1.2 3

9 0.54 . 0.95 0 0.9

9 0. 7243000

0.75

0.41

0 EPC613 MONTO

. 6

0 . 1.00 3 0 . k 6 7243000

0.00

e 0

. 9

e

0.74 6 . 9 . r 0

0 0.35

C 1.07

n 0.80 7242000

0

. o 6 0.90 C 1.60 27 C0 o B

1.10 9 . M 0

1 . 0.50 2 7242000 0.15

e

e 0

0.18 . 9

0

.

6

2 . r 1

h 1.08

9 .

0

9 T .

0 0.71 2.04

1 7241000

.

2 1.35

0.94 2 1.56 1. 9 0. 1.05 0.84 2 40 F1

1. 9 . 2.01 7241000 0 5

0.40

9

0.98 . 0 2 1 1.88 0 . . 1. 2 9 1 . 2 Burnett 0.22 1.40 0.25

8 7240000 58 0.58 Highway 2 14 46 CL1

0 1.21

C1 2 1.30

. 9 .

. 1 9 0 0.92

1.07

9 0.66

.

1

0

. C

1 5 23 7240000

. C0 2 B C 05 0 1.81 3 . BC 9

0.9

0 . 9 0.60

6 2 45 . 9 7239000 1 C1 0 0.95 0. . 0.70 3 0.89 0 1.35 .

6

9 0.96 . 0 0 . 0.71 9 0.84

7239000 6C 30 0.77 BC

0.50

9

. 0

1.12 0.33 1.00

1.05 e .6 0

1.20 48

4 7238000 C1 di p 52 0. 1.05 14 9 C 0 0.73 l . i 0.889 6 i h 0. 1.20 g 1 s 56 0.90 0.35 1.00 0.20

C2

n 0

0.81 0.65 . C 6

7238000 3

ul C 30

w 04 C

2 3 B

. C 0.73 M 1 B 1.60

1.24 1.18

0 .

To 9 EPC613 MONTO

6

1 . 0 1 0

4 23 0.80 1 .

CL 9 7

2 1 . 9

. C 2 2.192.07 0 0.65 1.50 0.92 0.67 2 1.30 0.26 1.22 41 C1

1 1.20

. 6 .

5 1.50 7237000 1.10 1.40 0 9 1 02 22 7 C C2 0 1.44 22 1.24

1 C2 6

.2 58 1.35 0.55

9 2

. C 0 0.77

0.40 .2

1.30 1 1 . 1.06 1.12 0.34

2 0.66 2 9

0.6 2 7 .

7237000 1.59 2 C C 2C 0 72 0 2 C3 BC 1.13 B 0.75 1.01 1.251.58 1.208 2 1.35 3 C 8 14 6 5 C 4 C2

6 C2 3 B 0

14 1.21 1.17 .

1.20 C 0.74 C C 9 43 48 0.800.88 C2 1.19 C2 0.75 B B 0.75 0.50 1.58 1.291.26 1.32 0.79 0.85 1.13 0.88 2C 00

BC

8 2 0.95 .

40 1.15 C 0.76 C 1 8 C1 3 4 0.90

0 7236000 1.250 C 4 C1 B 2 1 B 7 1.25 1.20 1.25 C20.70 4 . 1.34 58 2 1.20 2 1.151.40C 1.14C 47 1.15

1.30 C0 0.95 0.22

1.23 B 1.15 C 1.05 5 9

1.20C 4 1.10 .

4 C2 00 B 0 1.04 1.35 BC 1.11 1.15 1.15 0.97 1.41 1.05 1.21 1.01 0.88 1.23 7 1.11 43 1.11 1.12 C1 1.05 7236000 C 0.16 C 0.67 C 1.00 0.65 0 1 0 39 1.05 18 1 11 4 1.20 2 C 1 C 1 3 B BC B C 27 9

C . 0.98 1.00 1.30 1.45 0.171.19 1.010 0.80 1.10 C 09 1.00 0 C0 0.15 0.78 . B 1.20 0.759 3 0.93 70 0.67 0.51 L2 0.65 0.79 0.79 1.00 1.28 1.10 0.30 0.80 0.40 .6 0.15 0.30 1.10 0 9 31 0.42 0.83 1.01 C .

0.91 4 C 8C 7 0

1 0.3009 1.10 0 10 0.92 9 C . 0.16 1 1 C 0 C C B 10 B B 4 7235000 0.92 F1 0.65 1.20 0.62 1.05 0.35 0.20 0.70 1.20 0.6 0.95 0.60 1.01 0.93 1 1.00 440.53 1.05 0.30 C1 0.35 0.30 0.31

0.

6 6 0.45 . 0.45 0.30 0.78 1.20

0.50 0 0.79 0.44

7235000 0.45 C 0.44 0.20 6 0.25 0.30 10 C C 12 C 0 B 0 4 5 C

1 . 6 2 B C0 . 7 B 3 1.480 C2 0.15 0.15 0.35 0.260.21 0.40 30 14 0.59 C 0.87 92 0 25 0.40 58 0.09 C 0.20 C2 0.57 0.40 0.40 0.30 0.40 0 . 0.40 3 0 1.28 0.3 . 0.64 6 0.

6 7234000 6 0.17 72 C2 1 47 C1

2.80 3 0.25 . 0

7234000 5 0

2 72 4 . 4 6

C1 1 . 8 3 C 0 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

0 73 0.15 C2 1

1 1

17 1

L 7 3 1 . Resource Legend 0 0.50 C 0.40 7 72

7233000 2 C 12 17

0.60 C

0

. 0.75 3

Measured Resource 0.70

Selene Mine workings Indicated Resource 8 72 C2 0.35 7 Inferred Resource 70 7232000 C2 0.27 0.52

Point of Observation

0

. 6 0.31

0.65 Drill Hole with 1.20 8 47 Seam Thickness C1

7232000 1.10 6 .

Seam Isopach (m) 0 Lox Line (full seam fresh) 100m Depth to Roof

0

Road .

9 1.02 Railway 7231000 Stage 1 Area 0.75

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting. 1.05

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 D10 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 17

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 0.35 7246000 7245000 7245000 7244000 0.56

0.34

0.17 7244000 7243000 0.32 EPC613 MONTO

k 7243000

e

e

r 0.19

C

n 0.35 7242000

o C 0.18 27 C0 o B 0.60

M 0 . 3 7242000 0.57

e

e

r 0 .3

h

T 7241000 0.39

2 40 F1 7241000

0.38

Burnett 0.35 0.40

8 7240000 58 Highway 2 14 46 0.20 CL1 C1

0.24

C 23 7240000 0 BC 5C 30 BC

6 45 C1 7239000

0.14

3 0.15

. 0.80 0

0.25 0.40

7239000 6C 30 BC

0.80

3 .

6 0 . 0 0.54 0.20 e 0.50

48 14 7238000 di 2 C p 45 0.33

C1 0.22

3

l i . 0.57 0 i h g 1 s 56 0.20 0.15 C2 n 0.57 0.40 C

7238000 3 ul w 4C 30 30 BC M BC 0.78 To EPC613 MONTO 11 4 23 CL1 7 C2 0.15

3 12 0.44 4 0

. 0.50 1

0 C . 3

1.00 7237000 0.40 9 1 02 22 7 C C2 20 0. 0.14 22 0.13 3 C 86 25 0.40 0.39 0.14 C 0.20 0.05 0.22 1.05 2 72 7237000 0.30 2 C C 2C 72 0 0 2 C3 . BC 0.20 B 6

0.24 0.160.20 0.348 2 0.48 3 C 8 14 6 5 C 4 C2 0 6 C2 . 3 B 3 14 0.40 0.16 0 C 0.12 . 3C 8C 0.19 3 4 4 0.13 C2 0.34 C2 0.20 B B 0.25 0.20 0.34 0.08 0.28 0.23 0.23 2C 00 BC 8 0.150 0.15 C 0.100.12 4 C 8 C1 3 4 0.17 0.150 C0 7236000 1 B 24 BC 0.65 7 0.10 0.60 C20.41 4 0.42 0.32 58 0.13 C2 7C 0.20 0.25 04 0.31 0.14 BC 0.32 0.36 0.40 0.653 5C 0.13 0.10C . 4 0.14 4 0 C2 00 B

0.20 0.15 BC 0.36 0.3

0.05 0 0.41 0.30 . 0.15 0.25 0.16 0.21 0.123 7 0.15 0.15 43 0.18 C1

7236000 C C 0.20 0.15 0 0.15 1C 0.50 0 9 0.12 0.158 1 1 43 1 1 C1 1 2 BC C B C 73 B C2 0.18 0.15 0.150.14 0.11 C 09 0.150.12 C0 0.32 B 3 70 0.150.170.13 L2 0.13 0.25 0.25 0.30 0.10 0.20 0.12 0.15 0.15

1 0.10 0.16 C 43 C 0.13 C 7 0.15 10.12 9 08 0 0.16C 10 0.09 1 C1 C C B 10 B B 4 7235000 0.27 F1 0.55 0.32 0.28 0.14 0.15 0.67 0.15 0.27 0.40

0.41 0 .

0.25 0.20 3

0.15 1 0

4 . 0.15 4 0.30 0.103

0.38 0.15 C1 0.22

3 0.23 .

0.20 0.25 0 0.50 0.45 0.25 0.52 7235000

0.35 0.35 6C

0.23 0.150.10 0.50 3 0 . 1 C 0 2 C BC 1 4 C0 1 25 B C0 7 B 1.00 0.35 C2 0.25 0.10 0.20 0.36 30 14 0.27 C 0.29 92 0 0 5 . 8 C2 0.15 53 0.32 0.20 0.08 C2 0.32 0.65 0.65 0.20 0.15 0.28 0.14 0.22 0.3

.3 7234000 26 0 0.20 27 0.40 C 71 14 0.20 C 7234000 5 2 72 14 4 C C1 8 0.15 42 C1

6 70 C2 5 70 C2 9 72 C2 7233000

0 73 0.15 C2 1 1 1 17 1 Resource Legend L 17 0.30 C 0.30 7 72

7233000 2 C 12

0 17

. C 0

0.70 3 3

.

.

3 0.36 0

Measured Resource 0.65

Selene Mine workings Indicated Resource 8 72 C2 0.08 7 Inferred Resource 70 7232000

C2

0

. 0.38 3 0.26 Point of Observation

0.44

0.65 Drill Hole with 0.60 8 47 Seam Thickness C1

7232000 0.80 Seam Isopach (m) Lox Line 3 (full seam fresh) 0. 100m Depth to Roof 0.3 Road 0.24 Railway 7231000 Stage 1 Area 0.12

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 D15 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 18

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000

0.90 7246000 0.73

0.90

6 0. 7246000

0 .3

0.46

0.15

7245000

3 . 0

7245000

0

. 6

1.15

0

3 . 0 .

9

7244000 0 .

0.69 6

6

. 0

1.00 0.82

0.74 9

.

0

7244000

0

. 1.81 9

1

.2

7243000

0

. 0.28 6 1.04 EPC613 MONTO

6

.

0 9 0.

9

k

. 7243000

0

1.04 e 3 . 0

e 0.76

r

0

0.36 . 0. 6

C 6 0.64

6

. 0

0 . 0 6 . 3

n

0.40 7242000

0 . 9

o C

27

0.41 0 1

C .

o B 5

6

0.59 . 0

M

2.20

7242000 6 . 0.96 0 1

e . 2

e 0 0.60 .6

r

h 0.50 0

.

9

9 .

T 0 6

0.97 0.

0.72 3 6 .

7241000 . 0 1.06 0 0 . 0.56 3 0.21 0.6

0.30 0.59 2 40 F1

7241000

0 .

0.18 3 0.42

0.17

3 .

0 0

Burnett . 9

6 .

0.38 0 1.10

8 7240000 58 0.82 Highway 2 14 46 0.80 CL1 C1 0.20 0

. 6 0.00 6

. 0.84 0

0.57

C 23 7240000 0 BC 5C 0.60 30 BC 0 . 6

0 . 6

0.32

6

. 0

6 45 1 7239000 1.25 C

0.52

0.270 . 0.30 3

0.25 0.41 0.42

7239000 6C

6 30 . 0

0.80 BC 0 . 6

0.70

0.46 0.22 0.80

0.50

e 6

. 0 0 8

. 4

4 7238000 3 1 di 2 C p 45 0 C1 0.60 . l i 6

1.07 0.20

0

i h . 6 g 1 s 56 0.80 0.35 1.10 0.52 C2 n 1.02

6 0.50 C

7238000 . C 03 ul 0 3 w 04 C C3 0.65 B M B 1.00

0.82 0.90

To 6

. 1.00 0 EPC613 MONTO 11 4 23 0.60 CL1 7 C2 0.390.47 0.95 0.80 6 0.70 0.70 2 0.65 . 0.34

1 0

0 0.74 14 . C

6 0.80

1.00 7237000

6 0.500 1.00 9 .

0. 1 02

2 6 7

2 2 0 C C .6 20 0.60 22 0.80 C 86 25 0.90 0.26 0.33 0.50 C 0.62 1.17 1.00 0.45

0 0.70

. 22 3 0.9 7 7237000 0.51 2 C C 2C 72 0 2 C3 BC 0.86 B 0.40 0.65 1.180.94 0.598 2 0.58 3 C 8 14 6 5 .6 C 4 C2 6 0 C2 43 B

C1 0.51 0.14 0.40 0.94 6 3C 8C 0.750.70

240.70 24 . C C 0 0.60 B B 0.25 0.72 0.80 0.611.03 0.39 0.370.32 0.60 0.87

C

1.196 2

. 0 0 0 BC 6 8 0.70 . 40 0.40 C 0.331.07 C 8 0 0. C1 3 4 0.61 6 0 0.75 C0 7236000 1 B 24 BC 0.75 7

0.75 0.95 C20.34 4

0.70 58 0 6 0.85 . 0.57 C2 7C 0.60 0.57 04 0.650.35 0.55BC 0.80 0.53 0.90 1.00 5C 0.63 1.10C 4 0.21 4 C2 00 B 0.75 0.65 BC 0.970.90 0.79 0.80 0.99 0.90 0.80 0.49 0.65 0.37 1.05 7 0.48 43 0.73 C1 0.70 7236000 C C 0.40 0.65 0 0.90 1C 1.00 0 9 1.058 1 1 43 0.54 0.80 1 1 C1 1 2 BC C B C

73 B

2 9 6 . C 0

1.18. 1.00 0.45

0.23 0.800 1.10 0

. 0.60 0.80 9 C

09

0.85 C0 6

0.93 B . 0.95 0.95 0 3 0 0.97 70 0.620.27. 1.05 L2

9 0.95 0.70 1.00 0.60 .9 0.98

0.90 1.49 0 0 0.65 0.550.44 0.25 0.82 .9

1 0.90 1.00 C 43 C 0.94 C 7 0.85 1 9 08 0 0.53 C 100.98 1 C1 C C B 10 B B 4 7235000 0 0.41 F1 0.40 0.35 0.52. 0.88 0.80 0.99 0.98 1.03 1.00 6 0.50 0.52 1.06 0.720.70 1 0.50 440.58 0.50 0.45 0.40 6C1 0 0.98 0. .9 0.18

0.55 0.53 0.52 0.60 0.55 0.60 0.82 0.77

7235000

6 C

0.50 . 0.95 6 0.22 0.33 0.50 0 0 1 2C C BC 0.6 1 4 C0 1 25 B C0 7 B 1.00 0.46 C2 0.40 0.25 0.45 0.13

30

0.10 4 0.52 0

3 1 2

C 0.91 9 .

. 5

0 2 3 0.30 0 58 1.29 C 0.70 0.22 C2 0.31 0.95 0.80 1.10 0.49 0 0.48 . 6 0.29 0.3 0.81 0 .3 7234000 26 0.36 27 C 71 14 0.45 C 0.31

3 . 0.51 0

0.33

7234000 3

. 5 2 0 42 7 1 14 C C 28 0.25 14 0.30 C 0.40

0.70 6 70

C2 0 0.30

5

. 0

0 27 3 . C

9 6 0.86 72 C2 0.51 7233000

0 .3 1.00 0 73 0.15 C2 1 1 1 17 1 Resource Legend L 17 0.70 C 1.00 7 72

7233000 2 6 C 12 . 7 C1 0 0.30

Measured Resource 0.50 0.3 0.3 Selene Mine workings .3 Indicated Resource 0 8 72 C2

7 Inferred Resource 70 7232000 C2

0.25 Point of Observation

0.65 Drill Hole with 0.40 8 47 Seam Thickness C1

7232000 0.20 Seam Isopach (m) Lox Line (full seam fresh)

100m Depth to Roof

0 . 3 0 .

Road 3 0.31 Railway 7231000 Stage 1 Area 0.40

10 Mtpa Area

7231000 Note: Seam thickness annotation and 0

. Isopachs exclude parting. 6 0.45

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 1.40 D20 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 19

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 7246000

0.20 7245000 7245000 7244000 7244000 7243000 EPC613 MONTO

k 7243000

e

e

r

C

n 7242000

o C 27 C0 o B

M 7242000

e

e

r

h

T 7241000

2 40 F1

7241000 0.3

Burnett

8 7240000 58 0.20 Highway 2 14 46 0.84 CL1 C1 0.80

0.77 0

0 . . 3 6 C 23 7240000 0 BC 5C 30

BC

3

. 0

0

.

6 3 45 C1 7239000 0.57

7239000 6C 30 BC

e

48 14 7238000 di 2 C p 45 l i C1 i h 0.30 g 1 s 56 n C2 C

7238000 3 ul w 4C 30 30 BC M BC 0.78 To EPC613 MONTO 11 4 23 CL1 7 C2 0.180.37 2 0.30 41 C1 7237000

9 1 02 22 7 C C2 0 22 C2 6 58 C2

0.19 2 72 7237000 2

C C 2C

72 3 0

2 . 3 0.25 0 C BC 0.20 B

0.31 0.198 2 0.36 3 C 8 14 6 5 C 4 C2 6 C2 43 B C1 0.34 0.20 3C 8C 240.33 24 BC BC 0.20 0.390.33 0.47 0.44 0.30 2C 00 BC 8 0 0.20 C 4 C 8 C1 3 4

0 7236000 0.400 C 4 C1 B 2 B 27 0.50 0.25 0.44 C 84 0.23 25 0.32C 0.21C

47 0.30

0 3

C . 0.19 B 0 0.32 0.30 0.30 0.30 C

45 C 0 2

0.17 04 C . B 0 C0 0.270.25

. B 3 3 0.35 0.25 0.54 0.35 0.37 0.35 0.29 7 0.20 43 0.07 0.26 C1

0.30

7236000

3 C C . 0.27 C 0 9 0

0.100.17 0.3080 1 0.25 1 3 0.76

0.15 1 11 1 4 1 3

2 C C BC C B .

73 B C2 0.33 0 0.27 0.33 0.00 0.41 0.30 0.35 C 09 0.250.64 C0

0.40 B

0 0.35 0.50

. 3 3 0.31 70 0.40 0.42 L2 0.36 0.44 0.80 0.35 0.40 0.44 0.60 0.52 0.35 0.37

1 0.35 C 43 C 0.35 0.30 C 7 0.30 1 0.309 08 0 0.64C 10 0.43 1 C1 C C B 10 B B 4 7235000 0.75 F1

0.600.75 0.45 0.90 0.35 0.35 0.36 0.45

0.40 6 0.35

. 0.85 0.95 0 0.44 0.440.40 1 0.85 440.92 0.75 0.24 0.35 C1 0.32 0.20 0

.3

0 1.17 0.83 . 0.40

0.55 0.95 0.88

3 0.43 3

0.54 . 0

7235000 0.20

0.20 0.45 6C 0.25 0.55 0.60 6 0 C

C1 2 C . B 1

4 C0 1 0 25 B C0 7 0.35 0.45 B 1.00 0.70 C2 0.25 0.45 0.20 0.460.40 30 14 0.30 C 0.23 92 0 25 0.45 0.25 58 0.43 C 0.40 0.60 0.26 2 C 0.49 0.30 0.20 0.26 0.10 0.20

0

. 0.38

3

3 . 7234000

0.50 26 0 27 0.20 C 71 14 0.40 C

0.72

3 . 0 0.28 3

.

0 7234000 5 2 42 7 1 14 C C 28 0.70 14

0.30 C

0 . 6 6 70

1.00 C2 0

05 . 7 3 C2 9 0.60 72 C2

7233000

0.33 3

. 0 0 . 3

0 73 C2 1 1 1 17 1 Resource Legend L 17 0.30 C 0.70 7 72 7233000 C2 2 71 C1 0.60

Measured Resource 0.80

Selene Mine workings Indicated Resource 0.3 8 72 0.3 C2

7 Inferred Resource 70 7232000 C2

0.32

Point of Observation

3

. 0 0.65 Drill Hole with 0.50 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 0.35 D25 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 20

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000 7246000 0.28

7246000

0 . 3

0.35

0.45 7245000

3

.

0

0 . 6 7245000

1.08 0.47

0.6 7244000 0.53

0.3

0.65 0.28

0.16 7244000

3 0.

0.27

6 . 0

3

. 0 7243000

0.98 0.84 EPC613 MONTO

k 7243000

e

0.6

e

0 .

0.58 3

r 0.46

C 0.19 0.6 3 . 0

n 0.50 7242000

o C 0.50 27 C0 o B 0.85

M 7242000 0 0.74 .

e

3

e 0 0.68 . 6

r

3 . 3 h 0 . 0

T 0.55 7241000 0.20

0.30

0.35 0

. 0.32 02 3 3 4 0. F1

7241000

3

.

0

0 .

3 0.31

3

.

0

Burnett 0 .

6 3

. 0.61 0

0.25 0

8 7240000 . 5

0.38 Highway 2 4 3 1 46 0.57 CL1 C1 0.80

0.17

0

. 0.28 6

C 23 7240000 0 BC 5C 0.85 300

BC .3

3 . 0

0.20

3 6 . 45 0.6 0 C1 7239000 0.55

0.23 0 .

0.41 3

0.26 0.13 0.22

7239000 6C

30

BC

3

0.50 0 . .3 0

0.25 0.29 3 .

e 0

48 14 7238000

di 2 C

p 45 1 0 .

l C 3 0.25 i 0.31 i h 0.30

g s 61 0.90 25 1.00 0.90 0.55 0.25 C 6 . n 0.40 0 0.20 C

7238000 3 ul 6 C 30 w 0. 04 C C3 0.15 B M B 0.30 0.44 0.45

To 0 .

3 EPC613 MONTO 0 3 1 1 .

4 3 .

1 3 2 0.40 CL 7 0 C2 1.00 0.20 0.85 0.00 0.20 0.30 12 0.40 0.40 14

0 C

. 6

6 .

6 0.30 0

. 0.50 0 7237000 0.90 1.00 9 1 02 22 7 C C2 20 0.50 22 0.20 C 86 0

25 0.25 . 0.35

C 3

0 . 0.40 3

0.73 0.26 0.22

6 . 0.3 0 0.28 2 72 7237000 0.65 2 C C 2C 6 72 0 . 0.70 2 C3 0 BC 1.40 B

1.12 0.38 0.828 2 0.31 3 C 8 14 6 5 C 4 C2 6 2 3 BC

14

C 0.84 0.80 0.80 6

0.54 C C . 43 48 0.50 0 C2 0.52 C2 0.22 B B 0.70

0.30 0.20 0.24 1.02 0.95 0.62

0 C

. 0.40 2 3 00 BC 8 0.150 0.20 0.30 C 0.70 4 C 8 C1 3 4 0.55

0 7236000 0.350 C 4 C1 B 0 2 B 0.40 . 7 0.15 0.40 C20.73 4 6 1.28 8 0.40 0 25 0.510.40C . 0.62C 7 9 0.90 04 0.13 0.250.20 BC 0.69 0.43 0.40 0.25 5C 0.46 0.55C 4 4 C2 00 B 0.31 BC 0.35 0.48 0.40 0.35 1.05 1.10 1.08 0.67 0.19

0.55 7

43

0 0.15 . 1 3 0.58 C 0.60

7236000 C 0.45 C 1.25 C

0 0 9 6 0.22 0.50 1 . 0.458 1 1 43 0 0.75 0.37 1 1 C1 1 2 BC C B C 73 B C2 0.90 0.13 0.27 1.00 1.02 0.800.73 0.40 0.24 0.75 C 09 0.70 0.36 C0 0.55 0.70 1.05 B 03 1.431.359

0.35 27 . 0.450 0.20 1.40 L 0

. 0.65 0.80 1.13 1.02 6 0.27

0.650.47

0.80 6 .

0

0.65 0.23 0 . 9

0 1 1.08 C

3 0.61 0.670 C . C 7

0.41 10.954 9 8 0

0 . 0 1 6 C 0.66

0.241.25 1 C1 C 0 C 9 B 1 B B 7235000 14 0.62 F 9

0.280.60 0.40 0.95 0.65 0.350.65 0.91 1.20 1.07 0.95 . 0.25 0.55 1.10 0

0 0.84 1 . 0.67 440.90 1.10 0.73 6 0.85 C1 1.10 0.35 0.9 1.37

0.80 0.60 1.20 0.50 0.62 1.10 0.77 0.37 6 0. 7235000 0.40 0.35 0.35 C 0.54 0.350.37 0.60 06 1 2C C BC 1 4 C0 1 25 B C0 7 0.15 0.15 B 0.47 C2 0.55 0.30 0.35 0 0.330.38 43 0.76 1 2 C 0.38 6 59 0 2 . 0.67 0.50 58 1.11 C 0.35 0.40 0.37 C2 0.76 0 0.66

0.40 0 1.17

0.75 . 0.60 6

0.56

0.400

. 0.97 6 7234000 0.17 26 0.65 0.20 0.70 27 0.30 C 71 14 0.38 C 1.33

6 0.30 0.66 0. 0.62 0.50 7234000 5 2 42 7 1 14 C C 28 0.20 0.20 14

0.40 C

0 0.45

.

0

3 . 6

0.71 6 70 0.60 C2 5 70 C2 9 0.88 72 C2 0.56 7233000 6

.

0

0. 3 0 1.48 0 . 73 6 C2 1 1 1 1.00 17 1 Resource Legend L 17 0.30 C 7 72 7233000 C2 2 71 C1

Measured Resource

3 . Selene Mine workings 0 Indicated Resource 8 72

C2

0 .

3 7

Inferred Resource 0 7232000 27 0.30 C 0.66 0.36 Point of Observation

0.65 Drill Hole with 0.30 8 47 Seam Thickness C1

7232000 0.40 Seam Isopach (m) Lox Line (full seam fresh)

100m Depth to Roof

6 .

Road 0 0.64 Railway 7231000 Stage 1 Area 0.50 0.44

10 Mtpa Area

0

. 6

7231000 Note: Seam thickness annotation and Isopachs exclude parting. 1.30

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 0.23 D30 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 21

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000

7247000

0 .

50 6 7246000 0. 30

0.

6 . 0

7246000

9 . 0

94 0.

15 1.

7245000

0

.

6

0

. 9

2

7245000 . 1

1 .

8 0 .3 2 0 .7 1 9 . 0

1.5

2 7244000 43 . 0. 1

2 3 6 5 7 .1 0.

0. 0

6

3 9

2 .

. .

2

1 0 0

. 1 7244000

96 0. 02 1.

0 .

3

1

7243000

. 40 2 0. 6 .2 9 1 . EPC613 MONTO

0

6

.

0

0

k .

7243000 6

3

e .

2 0 0

. .

1 6

e 04 2. r 03 1.

1 05 C 9

. 1.

.

5 0

9 0 0 . . .

5 0 3 9 .1 6

n 1 0. 7242000

o 5 5 5 . . 7C 1 1 2 C0 o B 70

1. 1

M . 3 2

.

0

7242000 9 .4 .2 1

e 1 0 .0 0 e 1 .

6

r

0 . 6 6 . 0 0 h .

9 7

0 0

9 . .

9 1 .

T 0 0

5 .

3 3

1 . . 2 1

56 7241000 1. 2 .3 1 31 1.2 1. 0 0 . 4 20 3 0. . 0 2

0 0 14

F .

6

6 . 7241000 0

6 . 7

0 6

0 .

9 0

. 0 .

6

9

.

9 . 0 0

0 . 3

Burnett 0 0 .9

.8 1 20 9 . 0 1. 0 50 8 7240000 . 0 58 1 Highway 2 7 4 0 6 1 2 4 0. CL . C1 1 1. 2 5 1 .9

. 0

2

2

.

0

. 1 9 0 .7 1.2 1

C 23 7240000 0 BC 24 C . 05 78 1 C3 . B 9 0 0.

1.2 1 8 . 0 5 2. 0.9 2 1. 6 45 1 7239000 C 56 0. 10 5 1. .0

1 .9 0 0 . 9

52

6 . 1 . 0 8 0 0. 12 1.

7239000 9 C . 6 0 30 BC

0 0 .0 . 1 9

20 85 0. 0 0.

.6 0.9

e 6

. 0

48 14 7238000 di 2 C 1 p 5 3 0 14 .

C 0 0 .

9

l 3 1 30

. .

i 1 9 .

2 1

. 0 0 i h . 9 0 0 0 0 1 1 3 0 0 0 4 g s 6 0. . . . . 25 1 2 1 0 C 2 5 60 n 1. .

2 0 9 C . .

7238000 C 0 03 1 6 ul w 4 5 4 3 30 7 . BC

. 0

BC 0 0 0 . M 42 8

. 6 . 0 1 0 0

. . 3 6

To 0

6 .

. 6 0 EPC613 MONTO 0 1 2

1 3 .

14 9 2 0

CL 0 . 00 27 0 0 5 0 0 . C 9 . 0 .4 . 1 4 0 3 2 1 10 0. . . 12 0 1 14 C 0 .7

0 0

0 0 . . 6 1 7237000 70 00 5 . . . 0 1 19 2 1 2 70

C2 2 6 C 50 0 . 0 . 5 22 .

0 5 0 0 5 C2 6 6 2 9 0 58 . . . 6 2 0 0 56 . C 5 0 . 0 90 6 9 0 . . .2

0 0 0 67 1

. . 2 0 0 80 2 . 72 . 7237000 2 27 0 0 C C C 6 0 2 0 02

. . 0 27 7 3

0 2 C . C 6 0

. 6 B 0 B 3 . 4

3 6 7 55 4

0 . . .

0 . 0 8

0 9 0 2 . 0 3 0 C 8

14 6 5 . 2

4 C 0 24 C 9 6 7 5 C 0 .6 0 43 . . B 4 0 .0 1 0 0 1 0. 1 C 4 .2 3C 3 8C 0 5 4 . 4 0 8 C2 1 C2 0 . B 5 B 7 60 . 016 4 227 8 5 33 6 . 0 . 1 .2 . .5 . . 0 1 1. 1 0 00 0 0 .5 1 C 02 0 0 . 5 5 BC 3 10 1 51 6 1. 8 . . . 0 01 1 0 C 0 8 4 C 1 8 . C1 3 . 4 0

0 7236000

0 5 010 1 5 C 4 4 2 0 0 0 B 9 6 25

. . .BC . 1 6 7. 1 1 1 0 0 1 1 . . 20 4

0 1 3 . 0 C 0 0 8 0 3 .9 . . 1 4 . 25 5 1 1C . 0 C 5 2 4 5 0 47 5 0 4 3 . 6 .3 0 0 4 . . 1 . 0 0 BC 1 . 0 0 0 2 2 . 1 6 C . 0 1 5 1 . 4 5 . 4C 2 9 1 0 0 BC . 5 C0 0 0 5 0 09 4 0 3 B 2 9 50 5 2 9 2 ...... 0. . 2 2 1 1 0 0 0 0 0 0 8 2 5 7

. . .6 3

0 1 0 14 0

C 4 6

0 0 5 . .

0 0 5 0 0

8 5 0 1 5 6 2

7236000 2 0 . 3 . . .

. 2 . 3C 1 C 0 . C 2 . 1 0 0 . 1 0 1 0 0 39 0 . 1 118 1 11 4 1 2 C 1 C 1 . 3 B BC B C 0 9 6 3 91 273 2 0 71 65 5 . . C 1 . .0 . . 7 0 0 0 1. 28 1 1 0 0 0. 3 . 1. 1 4 5 5 0 2 9C .1 0 1 . 4 0 0 1 . . 1 5 0 7 C0 1 1 .1 1. . B 1 0 25 5 730 1 4 5 . 0 8 1. 3 4 1 03 0 .3 . .1 . . . 7 3 0 0 1 1 1 1 2 L2 8 0 4 80 0.6 0 . 7 .7 7 . 5 5 0 3 1. 0 6 0 . 0 0 9 70 7 9 1 0 . 0 9 4 . . . 9 1. 0 0. . 0 .0 0 . 0 9 0 6 05 8 7 73 5 . .1 . . 8 17 4 2 1 1 0 C 0. 0 7 43. C9 1 9 C 7 6 . 10 9. . 08 0 0 C 10 1 . 1 C1 9 C 0 C B 10 7 B B 3 7 7235000 5 0 0 5 . 0 5 40 5 50 14 7 7 8 2 9 0 0 8 67 7 4 6 F 2 ...... 6 . . 0 0 1 0 0 0 5 1 0 0. 0 0. 0 49 . 1 . 0 .5 . .9 . 2 0 0 1 1 0 0 55 . . 08 2 5 0 1 0 . 1 0 0.9 45 9 6 1 4 . . . . 14 1 3 0 0 0 C 7 0. 0 95 39 7 0 9 . 0 . . 0 8 0 .9 0 48 0 . 0. 0 . 1 80 0 0. 90 0 0 . 9 5 8 5 8 .6 7235000 8 1 9 7 0 . . . . 0. 0 C 0 1 0 0 06 1 2C C BC 1 0 5 4 9 C0 3 6 5 1 4 25 B . . 8 5 0 0 C0 . 7 0 . B 0 2 0 0 .8 .0 .9 8 C 0 0 1 0 7 0 8 . 30 5 . 0 4 5 . 0 1 . 2

3 5 C 7 0 9 6 0 5 6 7 7 5

0 1 5 . 50 8 0 . 2 0

. 9 . . 0 . 8 0 C 5

. 0 . 5 6 0

6 1 0 2 .

0 0 C . 0 0 0 0 . 8 67 1 . 5 0 . 0 .6 7 0

0 0.

8 1 .

6 . 2 .4 0

0 8

6 9

. 0 . 0 8 0

1.

.9 0 0 0 0 1 7234000 0 5 .5 5 0 . . 0 . 6 26 1 0 0 . 7 0 2 1 C 9 7

8 14

. C 1 0

0 6 . 2

. 2

6 1.

0 0

3 . 60 .4 6 9 . 0. 1 0 0 68 .1 1. 2

7234000

1 5 .

0 2 72 0 4 4 5 2 8 1 1 8 . . C C 2 0 0 10 4 . C1 1 80 1. 1.2

1 8. .0 2 0 1 06 5

0 7 . . C2 1 1 5 70 C2 4 .6 0.9 29 1 27 C 7 .9 1.2 7233000

0 0

0 . . 6 9

2 .0 1 50 0 . 0 73 0 2 C2 1 . 1 1 1 17 1 80 L 7 Resource Legend . C1 0 0 .1 1 7 2 0 7 9 7233000 2 2 C . . 71 1 9 0 C 80 0. 90 Measured Resource 0.

Selene Mine workings 0 Indicated Resource . 6 8 72 C2

7

Inferred Resource 7 0 7232000 3 27 0. C 5 .5 0 50 0. Point of Observation

80 0 0. . 0.65 Drill Hole with 78 6 14 Seam Thickness C 0 .5 7232000 0 Seam Isopach (m)

Lox Line

6

0 . (full seam fresh) .6 0 0 . 100m Depth to Roof 3 Road Railway

7231000

0 2 0

.3 2 . 0 1. 6 Stage 1 Area 0

.

9 10 Mtpa Area

7231000 Note: Seam thickness annotation and

Isopachs exclude parting. 90 0.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009

4 7230000 .5 & TK Isopach Plan Scale: 1:25000 1 D40 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 22

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000

7247000

3

. 0

43 7246000 0. 50 0. 7246000

0 .3

7 .4 0 1

. 9 25 0. 7245000

6

.

0

3 . 0 7245000

50 0. 35 0.

52 7244000 0.

3 . 0 5 7 0 2 4 .3 0. 0. 0 29 0.

7244000

0

. 6

78 0.

3 . 0 7243000 41

0.

4 0

9 . 0. EPC613 MONTO3

k 7243000

3 e . 0

e

r

0 . 3 42 C 0.

n 7242000

o 9 .1 C 0 27 C0 o B 20 0.

M

7242000 40 0. 0 e . 3

e

r

h 28 0.

T 3

.2 0

0 . 3 0 7241000 .2 0 3 . 4 0 .3 0 30

0. 0 5

2 0

. . . 6 1 02

4 3

F1

1 . 7241000 2

4

.3 6

. 0 0

0

. 3 0.9

Burnett 16 . 3 0 . 0

8 7240000 5 58 Highway 4 4 0 62 14 0 4 0. CL . C1 1 20 0.

5 .2 0 0 . 6 6 . 0 C 23 7240000 0 BC 23 C . 05 31

0 C3 .

B 0

0 . 3

3

.7

0 0

. 3 6 3 . 0 . 0 6 0 45 4 1 7239000 C 4 0. 1 0. 0 .2 40 0 0.

40

. 0 . 0 3 57 0.

7239000 6C 30 BC

0.3 70 0. 0.

3 63 0. e 0.3 3 . 0 0 48 .4 7238000 C13 di 2 6 p 45 .1 C1 0 l i 20

0.

i h 0 . 3 0 0 1 8 1 g s 6 . .

25 0 0

3 C 0

. 0

.4 2 3 0

n 0 . . 0 0 C 7238000 C 2 03 ul w 4 5 3 3 30 .3 . BC BC 0 0 M 82 0. To EPC613 MONTO 0 1 . 41 3 3 3 1 2 CL 0 27 0 0 . .0 C 5 2 3 0 1 1 0. 0

. . .3 0 3 0 12 0

14 .

C 0 0

0 .3

. 0 3 40 70 7237000

0. 0.

9 2 0

.

0 . 3 1 0 22 7 3 C C2 23 0 . 0 .2 0 22 0 0 0 C2 6 .4 4 0 58 0 . 5 6 2 0 6 . C 0 5 . 0 3 3 40 0 0.3 . . . 0 0 0 22 0. 36 2 . 72 7237000 0 0 2 C 4 2C C 0 2 . 7 1 30 0 C2 . C

8 B 5 0 B 7 0.3

2 3 2 1 . . . . 0 0 0 0 8 2 3 C 8 14 6 5 C 4 C2 6 0 0 2 0 3 3 2 3 BC 4 2 4 . . 5 . . C1 0 0 1 0 0 C 21 C 0. 3 8 0 . 24 . 24 C 0 C 3 0 B 5 B 1 40

3 170 2 2 20 2 .

. .1 . .1 . . 0 3 . 0 0 0 0 10 0 0 .3

0 C

02 3

C0 . 0 0 5 2 7 0 B 4 0 .3.3 2 5 3 4 4 0 0 8 . . . . . 0 00 0 0 0 0 C 0 3 4 C 3 8 . C1 3 . 4 0 00 0 0 0 0 5 C0 8 7236000 2 .232 1 2 B 1 243 . . . BC . 0 8 7. 0 0 0 0 5 0 7 . 20 4 1 5 . 0 C 0 16 8 . . 0 4 . 25 5 0 0C . 0 C 6 0 7 5 0 00 15 . 1 04 0 7 . 0 . 3 C 5 . 1. 0 0 3 B 5 . 0 C . 2 0 5 0 . C 5 0 24 0 04 4 C. 5 0 . 2 5 3 B 3 3 BC 0 6 8 4 3 0 . . 6 . . .3 0 0 0. 0 0 0 6 0 8 3 2 2 4 7 . . . 3 . 0 0 14 0 0 5 0 C 0 0 5 . 25 0 5 5 5 2 0 7236000 3 4 . . . 6 C 2 . .0C 0 0 C 0 . 0 9

. 0 0 8 1 0 0 1 3

0 1 11 1 4 . C 1 2 BC C B C 0

73 B 0 3 96 5 02 7 45 5 6 5 3 . 2C .1 . . . .4 . 0 0 0. 0 0 0 0 0 0 6 0. 0 7 C 3 0 0 .3 2 9 . 2 2 0 0 5 5 00 0 . 0. 4 . 5 C 0 . 0 0. B 27 0 0 76

03 5 8 9 3 . 4 0

1 3. 2 1 2 0 0 . . . . . 7

. 0 0 0 0 0 3 2 7 5 0 3 L 6 8 5 3 3 .5 3 .

0 5 5 . 3 . . 0

5 30 5 3 2 0 8 4 0 . 0 0 3 . 0 0 1 . 1 0. . . 6 0 0. 0 . 0 0 . 0 0 3 0 90 0 5 0 0 0 0 0 . .4 . . 5 1 4 1 2 4 0 0 0 1 C 1 .43 . C . C 7 . .01 0 9 08 0 0 0 C 10 0 1 C1 C C B 10 5 5 5 8 B 0 5 B 8 0 4 7235000 3 1 4 1 60 4 0 5 1 0 . . . . .3 .1 45 . 7 . F 3 0 0 0 0 5 0 0 2 0 0 0. 0 . 0 3 . 1 4 2 2 0 0 .3 0 . . . . 5 0 0 0 0 0 2 63 0.3 . . 50 3 0 5 0 0 1 7 5 7 2 0 . 4 . 5 .1 . 2 .2 0 4 0 . 8

0 0 . 0 C1 0 2 0 0

0.

. 0 4 3 7 6 8 2 0 5 . 0 . . 3 5 0 .6 0 49 0 . 0. 0 . 0 16 0 0. 3 45 0 0 . . 6 5 5 5 6 .0 0 7235000 0 1 2 4 6 . 1 . . . . 0 6C 0 0 0 0 0 C C1 2 C B 01 0 0 0 14 3 5 C 2 2 1 0 . 2 B . . . 0 0 5 C 27

0 0 0 2 3 4 B 89 0 C

0 0. 0. 0. 5

. . 30 6 3 0 4 1 1 . 2 2 15 C 0 9 0 0 2 1 0 5 5 3 . . 2 8 C2 . . 0 0 . 5 0 0 0 C2

15

0 0

. 0 .

0 3 3

. 3 3

0 . . 0 0 0 .2 9 0 .2 0 4 .8 0

0 .0 0

2 . 8 3 5 0 4 7234000 1 2 .1 2 . . 0 . 26 0 0 0 27

C 3 0. 71

5 614

. C 0 . 0 6

0

0 90 .5

2 . 6 0 0

. 1 . 8 0 0 0. 7234000

25 2 0 4 47 4 1 1 8 . C 0 C 2 0 7 14 0. C

0 . 3

31 . 0

5 0 06

1 7 . 2 3 0. C 5 70 C2 0 0.3 .3 29 0.3 0 27 C 0

2 7233000 0.

29 0. 30 0 27 .6 C 11 7 11 0 L1 7 Resource Legend C1 7 72

7233000 2 C 12 17 C 0 .6 0 0

. Measured Resource 3

Selene Mine workings Indicated Resource 5 28 3 27 0. C

7

Inferred Resource 2 0 7232000 2 27 0. C

Point of Observation

0.65 Drill Hole with 8 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 7231000 Stage 1 Area

10 Mtpa Area

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 D50 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 23

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000

7247000

0 . 3

6 5 7246000 . 0

7246000 3 . 0 7245000

0.3 7245000

5 3 .

0

0

. 3

0 6 7244000 . 0

0 9 5 5 4 2 . . . 0 0 0 7 2 . 0 3 . 0 7244000

0 7243000 2 . 0 0 3 . 0 EPC613 MONTO

k 7243000

e

e

2 r 3 . 0 5 1

C . 0

n 7242000

o 5 0 . 5 3 . 7C 0 02 C 8 o B 2 . 0

M

2

7242000 6

3 .

. 0 e 0

e

r

0 .

h 3 .3 4 3 0 2

.

. 0 0

T 3 3 . 0 8 5 7241000 . 0 0 4 . 8 0 5 . 0

2 40 F1

7241000

0 3

. . 3 0

0 . 8 3 1 . 0

Burnett 3 1 . 0

9

8 7240000 1 58 Highway 4 62 . 14

4 0 CL

C1

0 3

.

. 0

3

6 .

0

0 . 3

C

3 0

2 . 7240000 01 9 BC 5 C 3 . 05 7 0 3 . BC 0

6 . 1 0 5 . 0

0 . 3 0 6 2 45 1 5 7239000 . C 1 0 . 5 0 5 0 0 . 2 . 0 . 6 0

5

2 3 . .

5 0 2 0 .

0

0

.

7239000 C 3 6 30 0.3 BC

0 1

.

0

3

. 0

4 3

.

0

0

. 3 . 0

e 3

3 8

4 3

4 7238000 . 1 C 0 . di 2 0 5 p 45 . 0 C1 0 0 5 l . i 0 .3 i h 0 5 4 3 3 g s 61 . . 25 0 0 C 8 0 0 8 . 4 n . . 0 0 6 8 C 7238000 0 3 ul C 2 30 w 04 7 . C 3 . 0 B 2 BC 0 7 M .

To 0

0

. 3 EPC613 MONTO 1 1 3 14 2 0 0 CL 7 .7 3 3 C2 0 2 . 3 . 0 . 2 0 0 41 C1 0 3 0 . . 0 0

3 0. . 9 3 0 5

7237000

. 3 2 0

3

0 . .

0 . 0 9 3 1 02

22 7

6 3 2 . C C 0 0 4 2

. 20 5 . 1 2 5 3 0

C2 6 . . 0 58 0

9 C2 0 3 0 9 . 2 7 1 0 . . . 0 0 0 0 2 . 0 6 . 2

0 0 72

7237000 2 0 4 0 C . C C 3 . 2 3 02 0 27 . 3 0 C 0 BC 0 B . 1 8 2 3 C 8 14 6 5 C 0 4 C2 0 6 3 C2 2 43 . B 0 . 1 0 2 C . 0 3C 8C 0 24 24 0 BC 0 BC 0 8 5 3 . . 5 . 0 0 6 0 . 0 2C 00 BC 0 3 3 08 0. 4 8C .

1 0 5 3C 4 0 C 0 0 0 5 7236000

8 0 9 10 C 4 . B 0 2 2

. . . BC 5 2 7 1 0 6 0 . 2 1 3 . 0 C 0 3 84 0.3 . 0 2 . 5

00 . 2 5 0 1 0 C 3 0 0 C

2 . 7 5 0 4 2 . 6 4 . 5 3 . .

0 3 3 . C0 1 . 3 3 6 0 . 0 0 0 B . 0 C . 3 70 5 0 . 0 C 4 0 4 1 C2 00 . 2 B BC 0 0 1 7 . 5 . 0 3 0 . 37 0 0 14 2 5 C 0 0 5 0 .

5 5 2 1 0

4 6 . . . 2 0 7236000

. . C 0 0 C 0 . . C

0 0 0 0 9

0 8 11 0 6 1 3 1 . 1 4 3

2 C 0 C1 C 1 0 3 B B 6 3 5 B 5 C 2 0 27 5 2 3 0 2 . 0 . C 0 . . . . . 0 6 2 0 0 1 3 . 0 1 . 0 5 0 0 5 C 5 7 5 . 2 5 9 1 4 5 2 0 . . 0 . 0 . 0 . BC 2 0 0 0 0 2 0 8 2 0 5 6 . 2 8 2 4 7 4 3 0 . . . . 0 . . 7 7 8 0 0 0 0 0 0 L2 8 2 .3 1 6 .

0 0 5 . 0 . 3 0

5 2 1 0 0

. . . . 0 0 0 2 5 5 0 5 0 1 0 1 3 5 2 0 . . 5 2 2 7 . 2 1 .31 . 0 0 0 C . . 04 C . C 7 . 1 0 9 0 08 0 0 0 0 C 10 1 C1 0 0 5 C 5 0 C 0 B 5 10 3 B 5 B 7235000 2 2 5 2 2 4 2 1 14 6 . . . 0 0 . . . . F 7 . 0 0 0 0 . 0 0 0 1

4 2 2 0 0 . 0

. . . 5 0 1 0

0 0 1 0 . 0 3 5 . . 2 0 6 0 0 1 7 . 5 . 1 . 0 . 0 440 0 C1 5 5 0 2 0. 4 5 6 . 3 . 3 0 0 . .0 0 04

.

5 0

0 3 0 . 2 . 0 5 0 4 0 . 8 5 8 3

7235000 . 0 . 3 . . 0 6C 0 0 0 . 0 1 2C 0 C 0 0 5 C B 01 5 6 1 14 5 C

. . 0 0 0 2 B

. 6 7 C 26 27

0 0 B

0 0 3 C . . . 7

6 0 0 0 . .

30 0 0 4 0 . 0 3 0 1 2 0 0 7 2 0 2 C 4 1 9 0 8 . 8 8 0 . 25 . . 0 . . 8 0 C . 0 0 0 5 1 0 0 C2 5 7 0 7 . 9 5 . 0 0.6 2 0 . . 0 0

1 0 5 . . 6 0 5 0 0 5 5 5 . 0 7234000 . . 0 7 6 0 0 . 72 0 C2 0 1 8 47 . 1

0 C 3

0 0 .

0 . 5 0 2 . 3 0 . 0 3 0 . 0 7234000 0 0 5 2 6 42 7 3 1 14 . . C 0 C 28 0 0 9 4 . C1 0 0 4 . 0

3 0.6 3 . 9 6 4 0 0. 0 . 327 0 C 5 70 0 C2 2 . 9 0 72 C2 0 2

. 7233000

0

0

. 3

0 30 5 27 . C 11 0 0 7 11 6 L1 70 Resource Legend . C13 0 . 0 7 72

7233000 C2 2

71

3

0 1

3 0 . C .

6 3 . 0 .

0 0 0 8 . Measured Resource 0

Selene Mine workings

Indicated Resource 8 8 28 . 27 0 C

5 7 Inferred Resource 6 70 7232000 . C2 0 2 4 . 0

Point of Observation

0 .

0 3 6 . 0.65 Drill Hole with 0 8 47 C1 0 Seam Thickness 3 .

7232000 0 Seam Isopach (m) Lox Line (full seam fresh) 100m Depth to Roof

Road Railway 0 3 0 2 7 7231000 . . .

0 3 0 Stage 1 Area 0

. 0 6 6 . 10 Mtpa Area 0

7231000 Note: Seam thickness annotation and 0 Isopachs exclude parting. 6 . 0

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 D55 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 24

311000 312000 313000 314000 315000 316000 311000 312000 313000 314000 315000 316000 7247000 7247000

5

1 7246000 . 0 7246000

7245000

7245000 0 .

3 0. 5

3 4 . 0 7244000 7244000 7243000

0 3

.

0 0

. EPC613 MONTO 3

k 7243000

e

e

r

0 .

C 3

n 7242000

6 o 1 . C 0 27 C0 o B

M 7242000

e

e

r

h

3 .

T 0 7241000

0 8 . 0

2 40 F1

7241000

3 . 0

1 3 . 0

Burnett 0 .3

8 7240000 58 Highway 4 62 14 14 CL C 0 . 3

C 23 7240000 0 BC 5C 30 BC

0 56 . 4 1 7239000 3 C

5

3 1

. . 0 0

5 2 . 0

7239000 6C 30 BC

0 0

. 5

3 . 0

e

48 14 7238000 di 2 C p 45 l i C1 i h g 1 s 56 n C2 8 C

7238000 0 3 ul C 5 2 30 w 04 . C 3 . 0 B M BC 0

To

0

. EPC613 MONTO 1 3 1 3 14 2 0 CL 27 9 2 C 1 . . 0 0 12 140 C 3 . 0 0 0

4 5 7237000 . . 0 0 9 2 21 0 2 2 27 C 3 0.3 C . 0 0 22 C2 6 58 C2

2 72 7237000 2 C C 2C 72 0 2 C3 BC B

8 2 3 C 8 14 6 5

C 4 C2

6 C2

0 3 B

. 4 3 C1 C C 0 43 48 5 0 C20 C2 . 0 B 4 B 0 . . 1 0

2C 00

BC

3 3 . 8 0 6 0 0 C . 4 C 8 C1 0 39 4 0 0 0. C0 7236000 1 B 24 . BC 0 7 1 C2 4 58 C2 0 0.7C 6 3 04 . C 0 B C 45 4C 2 0 BC C0 0 B

. 0 6 37 0 5 14 5 . C . 0 0

7236000 C C 3 C 9

0 1 10 3 8 . 1

1 1 1 14 2 C 0 0 0 C 3 B BC B C 27 4 0 0 C . . 3 0 1 . 0 0 . 0 0 4 C 3 4 2 9 . 3 2 00 . . . C 0 0 0 0 B 5 0 3 0 3 . . 70 3 .3 0 1 2 3 0 L . 0

0 0 0 2 1 3 2 . 4 .31 . 0 C . 04 C 8C 7 1 0 09 0 10 0 0 C 1 1 C C 5 C B 10 5 2 B B 7235000 4 14 2 . 5 0 . F . 0 3 2 0 0 . . 0 0 0 7

. 0 3

41 4 .

0 1

C 0

.

3

3

. 0 4

5

.

0 . 0 3 7235000

6C

0 C

0 1 2 . 0 3 C BC 1 0 4 C0 1 25 B . C0 7 1 B C2 30 14 0 0 C 92 2 3 0 25 . . 58 C 0 0 2 0 C 5 .

3 0 0

. .

0 3

0 . 3

6 1

0 7234000 . 4 0 6 . 72 0 2 C 71 140 C 6 .

0 6

. 0

0 0 . 7234000

. 0 6 3 0 25 2 5 4 4 47 . 1 0 1 . C C 28 0 0 3 4 . C1 0 0 6 3 .

0. 0 0

. 3

6 70 C2 5 70 6 C2 7 . 29 0 27 8 C 5 7233000 . 0 6 . 0 0

.

6

0 30

6 27 . 0 C 1

0 1 1 0 . 7 1 8 L1 7

Resource Legend 6 . C1 0 0 .

3 7 72 7233000 C2 2 71 C1

Measured Resource

Selene Mine workings 0.6

Indicated Resource 1 7 28 . 6 27 0 . C 0

0 7 Inferred Resource 6 70 7232000 . C2 0 3 . 0 Point of Observation

6 . 0 3 0.65 Drill Hole with . 8 0 47 Seam Thickness C1 7232000 Seam Isopach (m) Lox Line

(full seam fresh)

0 .

100m Depth to Roof 3

Road Railway 0 6

4 2 7231000 . .

Stage 1 Area 0 0

3

0 . 1 0 .

10 Mtpa Area 1

6

. 0

7231000 Note: Seam thickness annotation and Isopachs exclude parting.

Monto Coal 2 Pty Ltd

JORC Resource Area Date: 20-Nov-2009 7230000 & TK Isopach Plan Scale: 1:25000 D60 Seam Drawn: DTB 400 0 200 400 600 800 1000 Monto Project Coord.Sys.: MGA Metres 7230000 Prepared by: JB Mining Services Pty Ltd Drawing: 25

311000 312000 313000 314000 315000 316000