EXHIBIT 4.5

Execution version

White Mining (NSW) Pty Limited

Austral-Asia Coal Holdings Pty Ltd

Yancoal
Australia Limited

Ashton Coal Joint Venture

Sale Deed

5739652/1



©Corrs Chambers Westgarth



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|         |  |                             |  |  |    | 
|-------- |  | --------------------------- |  |  | -- | 
|Contents |  |                             |  | 
|         |  |                            
|1        |  | Interpretation              |  |  | 1  | 
|         |  |                            
|2        |  | Conditions Precedent        |  |  | 8  | 
|         |  |                            
|3        |  | Sale and purchase           |  |  | 9  | 
|         |  |                            
|4        |  | Conduct prior to Completion |  |  | 12 | 
|         |  |                            
|5        |  | Completion                  |  |  | 13 | 
|         |  |                            
|6        |  | Performance bonds           |  |  | 16 | 
|         |  |                            
|7        |  | Warranties                  |  |  | 18 | 
|         |  |                            
|8        |  | Guarantee                   |  |  | 19 | 
|         |  |                            
|9        |  | Confidentiality             |  |  | 20 | 
|         |  |                            
|10       |  | Notices                     |  |  | 21 | 
|         |  |                            
|11       |  | Goods and Services Tax      |  |  | 23 | 
|         |  |                            
|12       |  | General                     |  |  | 25 | 





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Date: / FEBRUARY 2011

Parties

White Mining (NSW) Pty Limited ACN 089 414 595 of Level 6, 316 Adelaide Street, Brisbane Queensland (Buyer)

Austral-Asia Coal Holdings Pty Ltd ACN 113 038 663 of Level 2, Citibank House, 37 St Georges Terrace, Perth Western Australia
(Seller)

Yancoal Australia Limited ACN 111 859 119 of Level 11, 68 York Street, Sydney New South Wales
(Guarantor)





Background



|A | The Ashton Coal Project is owned and operated by the Ashton Joint Venture, an unincorporated joint venture established pursuant to the Ashton JVA.
|- | --------------------------------------------------------------------------------------------------------------------------------------------------



|B | The current participation interests in the Ashton Joint Venture are as follows:
|- | -------------------------------------------------------------------------------

| | (a) | Buyer         60%
| | --- | -----------------

| | (b) | Seller          30%
| | --- | -------------------

| | (c) | ICRA          10%
| | --- | -----------------



|C | In accordance with the rights granted to the Seller under the Ashton JVA and in accordance with the terms of the Ashton JVA the Seller has required that the Buyer
purchase the Sale Interest on the terms of this document pursuant to the exercise by the Seller of its tag-along right arising from a change in control of the Buyer under clause 11.4 of the Ashton JVA.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|D | This agreement between the Buyer and Seller is a direct consequence of the rights and obligations contained in the Ashton JVA.
|- | ------------------------------------------------------------------------------------------------------------------------------



|E | The Guarantor is the Australian ultimate holding company of the Buyer and has agreed to guarantee the performance of the obligations of the Buyer under this document.
|- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------





Agreed terms



|1 | Interpretation
|- | --------------



|1.1 | Definitions
|--- | -----------

In this
document:

Act means the Mining Act 1992 (NSW).





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Accounting Principles means the accounting principles set out in Schedule 2.

ACM means Ashton Coal Mines Limited ACN 096 238 603 of Level 6, 316 Adelaide Street, Brisbane, QLD 4000.

ACM Shareholders Agreement means the shareholders agreement between ICRA, WML and ACM dated 4 April 2003, as acceded to by the
Buyer pursuant to a Deed of Accession dated 6 November 2003, amended by a Deed of Amendment between WML, ACM and ICRA dated 23 March 2005, acceded to by the Seller pursuant to a New Venturers Deed of Accession between the Buyer, the
Seller, ICRA and ACM dated 18 August 2005 and amended and restated on 18 August 2005 and on 26 June 2006.

ACM Shares means 30 shares in ACM held by the Seller.

ACOL means Ashton Coal Operations Pty Ltd ACN 078 556 500.

ACPH
means Australian Coal Processing Holdings Pty Ltd ACN 106 694 115 of Level 14, 213 Miller Street, North Sydney, NSW 2060.

ACPH Shareholders Agreement means the shareholders agreement between Itochu, WML, ACPH and Roberts & Schaefer Australia
Pty Ltd dated 13 November 2003, as acceded to by the Seller pursuant to a Deed of Accession between the Seller, WML, Itochu and ACPH dated 18 August 2005 and restated on 18 August 2005.

ACPH Shares means 2,040 shares in ACPH held by the Seller.

Agreement Letters means the letters from the Seller to the Buyer and Yanzhou dated 20 January 2010, 12 May 2010, 7 June 2010, 29 July 2010, 12 August 2010, 9 September
2010, 17 September 2010, 14 October 2010, 12 November 2010, 13 December 2010 and 12 January 2011.

Ashton Coal
Project means the Ashton coal project in New South Wales in respect of the Mining Tenements.

Ashton Joint Venture
means the unincorporated joint venture established pursuant to the Ashton JVA.

Ashton JVA means the Ashton Coal Joint
Venture Agreement between the Buyer, ICRA, WML and ACOL dated 4 April 2003, as amended by Deeds of Amendment between the Buyer, ICRA, WML and ACOL dated 23 March 2005 and April 2005, restated on 18 August 2005 and further amended by a
Deed of Assignment and Assumption between the Seller, the Buyer, ICRA, Itochu, WML and ACOL dated 23 February 2006.

Break Fee means US$10 million.

Business means the Sellers business associated with the Ashton Coal Project as carried on by the Seller.

Business Day means a day which is not a Saturday, Sunday or bank or public holiday in Western Australia and New South Wales, Australia.





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Business Contracts means all agreements and arrangements relating to the Ashton Joint
Venture to which the Seller is a party or relating to the Ashton Joint Venture and in respect of which the Seller is an undisclosed principal.

Called Sum has the meaning set out in the Ashton JVA.

CBA means
Commonwealth Bank of Australia ABN 48 123 123 124.

CBA Master Finance Lease means the Master Finance Lease
Agreement dated 23 March 2005 between CBA, the Buyer, ICRA, WML, ACM and ACOL as novated pursuant to a Deed of Accession, Amendment and Restatement dated 18 August 2005 between the Seller, the Buyer, ICRA, Itochu, WML, ACM, ACOL and CBA
and amended and restated pursuant to a Deed of Amendment, Restatement and Confirmation between the Seller, WML, ICRA, Itochu, WML, ACM, ACOL and CBA dated 2 February 2006.

Claims means liabilities, obligations, losses, damages, penalties, actions, judgments, suits, costs, expenses and disbursements of any kind or nature whatsoever.

Coal has the meaning set out in the Ashton JVA.

Completion means completion by the parties of the sale and purchase of the Sale Interest in accordance with clause 5.

Completion Date means the:



| | (a) | the last Business Day of the first month end from 1 January 2011 after the date on which the Conditions Precedent in clause 2.1 have been satisfied or
waived; or
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | such other date as the Buyer and Seller agree in writing.
| | --- | ---------------------------------------------------------

Corporations Act means the Corporations Act 2001 (Cth).

CP
Date means 30 April 2011 or such other later date as the Seller and the Buyer agree in writing.

Department means
the New South Wales Department of Primary Industries.

Encumbrance means any mortgage, lien, pledge, security interest
and any third party interest.

Effective Date means 12.01am 1 July 2010.

Expert means:



| | (a) | a person agreed to in writing between the Buyer and the Seller; or
| | --- | ------------------------------------------------------------------



| | (b) | failing agreement, a partner of a national chartered accounting firm with not less than 10 years relevant experience as a partner, appointed by the President for the
time being of the Institute of Chartered Accountants in Australia at the request of either the Seller or the Buyer.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Felix means Felix Resources Limited ACN 000 754 174.

FIRB Approval
means





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| | (a) | the Treasurer or his agent advises the Buyer that there are no objections to the acquisition of the Sale Interest by the Buyer in terms of the Commonwealth
Governments foreign investment policy; or
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | no order is made in relation to the Transaction under section 22 of the Foreign Acquisitions and Takeovers Act 1975 (Cth) (FATA) within a period of 40 days after
the Buyer has notified the Treasurer that it proposes to acquire the Sale Interest in accordance with the Transaction, and no notice is given by the Treasurer to the Buyer during that period to the effect that there are any objections to the
acquisition of the Sale Interest by the Buyer in terms of the Commonwealth Governments foreign investment policy; or
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | where an order is made under section 22 of the FATA, a period of 90 days has expired after the order comes into operation and no notice has been given by the Treasurer
to the Buyer during that period to the effect that there are any objections to the acquisition of the Sale Interest by the Buyer in terms of the Commonwealth Governments foreign investment policy.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Government Agency means a government or government department, a governmental, semi-governmental or judicial person or a person
(whether autonomous or not) charged with the administration of any applicable law.

Guarantee means the guarantee given
by the Guarantor to the Seller under clause 8.

ICRA means ICRA Ashton Pty Limited ACN 097 499 780.

ICRA Approval means the written consent of ICRA under the Ashton JVA to the sale by the Seller to the Buyer of the Sale Interest
whether or not actually required by the Transaction including the release contemplated by clause 5.2(c).

IMC
Holdings means IMC Holdings Limited.

IMC Resources means IMC Resources (Australia) Pty Ltd ACN 109 676 575
(formerly called Austral-Asia Mining & Shipping Pty Ltd).

Insolvency Event means any of the following:



| | (a) | a person is or states that the person is unable to pay from the persons own money all the persons debts as and when they become due and payable;
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | a person is taken or must be presumed to be insolvent or unable to pay the persons debts under any applicable legislation;
| | --- | ---------------------------------------------------------------------------------------------------------------------------



| | (c) | an application or order is made for the winding up or dissolution or a resolution is passed or any steps are taken to pass a resolution for the winding up or
dissolution of a corporation;
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (d) | an administrator, provisional liquidator, liquidator or person having a similar or analogous function under the laws of any relevant jurisdiction is
appointed in respect of a corporation or any action is taken to appoint
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





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| | any such person and the action is not stayed, withdrawn or dismissed within seven days;
| | ---------------------------------------------------------------------------------------



| | (e) | a controller is appointed in respect of any property of a corporation;
| | --- | ----------------------------------------------------------------------



| | (f) | a corporation is deregistered under the Corporations Act or notice of its proposed deregistration is given to the corporation;
| | --- | ------------------------------------------------------------------------------------------------------------------------------



| | (g) | a distress, attachment or execution is levied or becomes enforceable against any property of a person;
| | --- | ------------------------------------------------------------------------------------------------------



| | (h) | a person enters into or takes any action to enter into an arrangement (including a scheme of arrangement or deed of company arrangement), composition or compromise
with, or assignment for the benefit of, all or any class of the persons creditors or members or a moratorium involving any of them;
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (i) | a petition for the making of a sequestration order against the estate of a person is presented and the petition is not stayed, withdrawn or dismissed within seven days
or a person presents a petition against himself or herself; or
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (j) | anything analogous to or of a similar effect to anything described above under the law of any relevant jurisdiction occurs in respect of a person.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------

Itochu means Itochu Coal Resources Australia Pty Limited ACN 072 596 733.

Komatsumeans Komatsu Australia Corporate Finance Pty Ltd ACN 067 959 666.

Komatsu Lease Agreement means the Master Lease Agreement between Komatsu, the Buyer, ICRA, WML and ACOL dated 21 March 2005 as
amended pursuant to a Deed of Accession between Komatsu, the Buyer, ICRA, WML, ACOL, Itochu, Felix, IMC Resources, IMC Holdings and the Seller dated 18 August 2005.

Last Year Accounts means:



| | (a) | the audited balance sheet of the Ashton Joint Venture and ACM as at the Last Year Balance Date; and
| | --- | ---------------------------------------------------------------------------------------------------



| | (b) | the audited profit and loss accounts of the Ashton Joint Venture and ACM for the year ended the Last Year Balance Date.
| | --- | -----------------------------------------------------------------------------------------------------------------------

Last Year Balance Date means 31 December 2009.

Liabilities means all debts, obligations or liabilities (whether actual, contingent or prospective), losses, damages, costs and expenses of any description, including those the amount of which is
not ascertained or ascertainable of the Seller, relating to and only to the extent of the Sale Interest as of the Effective Date including:



| | (a) | Business Contracts not completed or discharged prior to the Effective Date;
| | --- | ---------------------------------------------------------------------------



| | (b) | trade creditors and other creditors of the Ashton Joint Venture and ACM as at the Effective Date and thereafter;
| | --- | ----------------------------------------------------------------------------------------------------------------





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| | (c) | all indemnities, bonds, land compensation claims and other capital liabilities (including performance bonds and guarantees) incurred by the Seller in respect of the
Ashton Joint Venture including in relation to any of their obligations under the Mining Tenements, the Customs Act 1901 (Cth), and other authorisations, licences or leases granted by any Government Agency in relation to the Ashton Joint
Venture;
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (d) | all obligations arising out of the land held by ACM on behalf of the Ashton Joint Venture and the Mining Tenements (including environmental rehabilitation and
remediation);
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (e) | the accrued entitlements of all employees engaged in the Ashton Joint Venture,
| | --- | ------------------------------------------------------------------------------

which are incurred in the ordinary course of the involvement of the Seller in the business of the Ashton Joint Venture.

Management Accounts means the unaudited balance sheet and profit and loss statements of each of the Ashton Joint Venture and ACM for the 6 month period ending on 30 June 2010 prepared in
accordance with the Accounting Principles, a copy of which is attached in Annexure A.

Management and Operating
Agreement means the Management and Operating Agreement dated 4 April 2003 between ICRA, WML, the Buyer and ACOL, as novated pursuant to a New Venturers Deed of Accession (Management & Operating Agreement) between the Seller,
WML, the Buyer, ICRA and ACOL dated 18 August 2005.

Manager has the meaning set out in the Ashton JVA.

Mining Tenements means ML 1529 (Mining Act 1992), ML 1533 (Mining Act 1992), ML 1623 (Mining Act 1992), EL 4918 (Mining Act 1992)
and EL 5860 (Mining Act 1992).

Minister means the Minister responsible for administering the Act.

Operator has the meaning set out in the Ashton JVA.

PRC Regulatory Approval means all approvals, consents and authorisations required in connection with the Transaction from:



| | (a) | the National Development and Reform Commission of China;
| | --- | --------------------------------------------------------



| | (b) | the Shandong Branch of State owned Assets Supervision and Administration Commission of China;
| | --- | ---------------------------------------------------------------------------------------------



| | (c) | the Ministry of Commerce of the Peoples Republic of China; and
| | --- | ---------------------------------------------------------------



| | (d) | the State Administration of Foreign Exchange of China.
| | --- | ------------------------------------------------------

Purchase Price means US$250,000,000.

Purchase Price Adjustment
means the net movement in the economic position of the Sale Interest from the Effective Date to the Completion Date, as described more fully in clause 5.3.

Rate means on any day, the rate equal to Australian dollar LIBOR, being the British Bankers Association Interest Settlement Rate for Australian dollars and





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the period of one month displayed on the appropriate page of the Reuters screen as at 11 am on the relevant day.

Related Body Corporate has the meaning given to that term in the Corporations Act.

Sales Agreement means the document so entitled dated 18 August 2005 between the Seller and ACM.

Sale Interest means the Sellers 30% interest in the Ashton Joint Venture including the rights (subject to the obligations attending to those rights) attributable to that 30% interest under
the Ashton JVA and includes the Coal, the ACM Shares and the ACPH Shares (provided ACPH is registered as a company at that time), details of which are set out in Schedule 1.

Termination Event means Completion not occurring on the Completion Date and this document is properly terminated by the Seller for
cause.

Transaction means the sale and purchase of the Sale Interest.

Warranties means the Sellers warranties set out in clause 7.1 and the Buyers and the Guarantors warranties
set out in clause 7.3.

WML means White Mining Limited ACN 009 713 893.

Wonnarua People Ancillary Deed means the ancillary deed between Thomas Oliver Miller on behalf of the Wonnarua People, the Wonnarua
Nation Aboriginal Corporation, ACOL, WML, the Buyer and ICRA dated 22 February 2003, as novated pursuant to a New Venturers Deed of Accession (Wonnarua People Ancillary Deed) between the Seller, ACOL, WML, the Buyer and ICRA dated
18 August 2005.

Yanzhou means Yanzhou Coal Mining Company Limited of 40 Fushan Road, Zoucheng, Shandong Province,
273500, Peoples Republic of China.



|1.2 | Terms used in Ashton JVA
|--- | ------------------------

Unless otherwise defined in this document, or unless the context otherwise requires, terms defined in the Ashton JVA have the same
meanings when used in this document.



|1.3 | Construction
|--- | ------------

In this
document:



| | (a) | any reference to this document or any other agreement or document includes any variation or any replacement of any of them;
| | --- | ---------------------------------------------------------------------------------------------------------------------------



| | (b) | any reference to a clause, schedule or annexure is a reference to a clause, schedule or annexure to this document all of which are deemed part of this document;
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | any reference to any person, includes a reference to any individual, partnership, unincorporated joint venture, company or corporation (including any incorporated joint
venture) or other entity and government agency, authority or enterprise;
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





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| | (d) | the words include and including are to be construed without limitation;
| | --- | -----------------------------------------------------------------------



| | (e) | a reference to this or other document includes the document as varied or replaced regardless of any change in the identity of the parties;
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------



| | (f) | a reference to writing includes all modes of representing or reproducing words in a legible, permanent and visible form;
| | --- | ------------------------------------------------------------------------------------------------------------------------



| | (g) | headings and sub-headings are inserted for ease of reference only and do not affect the interpretation of this document; and
| | --- | ----------------------------------------------------------------------------------------------------------------------------



| | (h) | where an expression is defined, another part of speech or grammatical form of that expression has a corresponding meaning.
| | --- | --------------------------------------------------------------------------------------------------------------------------



|2 | Conditions Precedent
|- | --------------------



|2.1 | Conditions Precedent
|--- | --------------------

The
sale and purchase of the Sale Interest is conditional upon:



| | (a) | the Buyer having obtained FIRB Approval;
| | --- | ----------------------------------------



| | (b) | the Buyer having obtained PRC Regulatory Approval; and
| | --- | ------------------------------------------------------



| | (c) | the Buyer and the Seller having obtained the ICRA Approval.
| | --- | -----------------------------------------------------------

(collectively, the Conditions Precedent).



|2.2 | Fulfilment of Conditions Precedent
|--- | ----------------------------------



| | (a) | The Buyer must use its best endeavours to take all actions necessary to fulfil the Conditions Precedent in clauses 2.1(a) and (b) as soon as
reasonably practicable after the date of this document.
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | In obtaining the necessary FIRB Approval, the Buyers best endeavours are to include, to the extent necessary:
| | --- | --------------------------------------------------------------------------------------------------------------



| | (i) | engaging with FIRB expeditiously in the negotiation of any undertakings; and
| | --- | ----------------------------------------------------------------------------



| | (ii) | procuring that Yanzhou reaffirms the undertakings made to the Treasurer on 22 October 2009.
| | ---- | -------------------------------------------------------------------------------------------



| | (c) | The Buyer and Seller must use their best endeavours to take all actions necessary to fulfil the Condition Precedent in clause 2.1(c) as soon as reasonably
practicable after the date of this document.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|2.3 | Failure to satisfy Conditions Precedent
|--- | ---------------------------------------

If the Conditions Precedent are not satisfied or waived under clause 2.4 by 5.00pm on the CP Date the Buyer or the Seller may give written notice of termination of this document to the other party.



|2.4 | Waiver of Conditions Precedent
|--- | ------------------------------

The Conditions Precedent referred to inclause 2.1 are for the benefit of both the Seller and the Buyer and may only be waived with the agreement of both the Seller and the Buyer.





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|2.5 | Notice
|--- | ------

The Buyer must
promptly notify the Seller in writing as soon as it becomes aware that the Conditions Precedent are satisfied or have become incapable of being satisfied. If the Conditions Precedent are satisfied, the Buyer must provide the Seller with evidence to
the reasonable satisfaction of the Seller that the Conditions Precedent are satisfied, including copies of the FIRB Approval and PRC Regulatory Approval.



|3 | Sale and purchase
|- | -----------------



|3.1 | Sale and purchase
|--- | -----------------

The
Seller must sell the Sale Interest to the Buyer and the Buyer must purchase the Sale Interest from the Seller, free from any Encumbrances with effect on and from the Effective Date.



|3.2 | Break Fee event
|--- | ---------------

The
Buyer must pay the Seller the Break Fee if:



| | (a) | a Termination Event occurs for any reason other than as a result of a default by the Seller; or
| | --- | -----------------------------------------------------------------------------------------------



| | (b) | where the Buyer has failed to fulfil its obligations under clauses 2.2 (a) and (b) and this document is terminated under clause 2.3.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------



|3.3 | Payment of Break Fee
|--- | --------------------

Any
payment required to be made by the Buyer to the Seller in satisfaction of clause 3.2 must be paid within 14 Business Days of the relevant event specified in clause 3.2 occurring.



|3.4 | Clause without prejudice
|--- | ------------------------

Nothing in clause 3.2 affects any rights a party may have to bring an action against the other in the event of any breach of this
document by the other party.



|3.5 | Consideration
|--- | -------------



| | (a) | On Completion the Buyer must pay to the Seller the Purchase Price together with the amount calculated under clause 3.8.
| | --- | -----------------------------------------------------------------------------------------------------------------------



| | (b) | Within 12 Business Days after Completion or, if there is a Calculation Dispute under clause 5.4, within five Business Days after the Calculation Dispute is
resolved or determined by the Expert, the Buyer or the Seller as the case may be, must pay the Purchase Price Adjustment to the other party together with interest under clause 3.9.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | The Purchase Price Adjustment must be paid as follows:
| | --- | ------------------------------------------------------



| | (i) | by the Buyer to the Seller, where the total adjustment made under clause 5.3(b)(i)andclause 5.3(b)(ii) exceed the adjustment made under clause
5.3(b)(iii); or
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------





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| | (ii) | by the Seller to the Buyer, where the adjustment made under clause 5.3(b)(iii) exceeds the total adjustment made under clause 5.3(b)(i) and clause
5.3(b)(ii).
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (d) | The Purchase Price Adjustment is to be apportioned on a pro rata basis across the values set out in Schedule 1.
| | --- | ---------------------------------------------------------------------------------------------------------------



|3.6 | Method of payment
|--- | -----------------

All
payments to be made under this clause 3 must be made in cash (whether by electronic transfer to the payees account or otherwise) or by unendorsed bank cheque drawn to a bank acceptable to the payee, or as may otherwise be directed by
the Seller prior to Completion.



|3.7 | Title, risk and assumption of Liabilities
|--- | -----------------------------------------



| | (a) | Legal and beneficial title to the Sale Interest passes to the Buyer on Completion with effect from the Effective Date.
| | --- | ----------------------------------------------------------------------------------------------------------------------



| | (b) | On Completion with effect from the Effective Date, the Buyer assumes responsibility for all Liabilities incurred and payments made on and after the Effective Date.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | On Completion with effect from the Effective Date, the Seller has no obligation in respect of the Sale Interest including any liability for Called Sums made on or after
the Effective Date.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|3.8 | Interest equivalent payment on the Purchase Price
|--- | -------------------------------------------------



| | (a) | The Buyer must on Completion pay to the Seller an amount (Purchase Price Interest) calculated as if interest is payable on the Purchase Price at the Rate from
the Effective Date until Completion.
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | The Purchase Price Interest paid under this clause 3.8 will be apportioned on a pro rata basis across the values set out in the Schedule 1.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | For the purposes of clause 3.8(a), the Purchase Price Interest:
| | --- | ---------------------------------------------------------------



| | (i) | is calculated on a daily basis and compounded at the end of each month;
| | --- | -----------------------------------------------------------------------



| | (ii) | is to be computed from and including the Effective Date until but excluding the day of payment of that amount referred to in clause 3.8(a); and
| | ---- | -----------------------------------------------------------------------------------------------------------------------------------------------



| | (iii) | is to be calculated on the actual number of days elapsed on the basis of a 365 day year.
| | ----- | ----------------------------------------------------------------------------------------



|3.9 | Interest payment on the Purchase Price Adjustment
|--- | -------------------------------------------------



| | (a) | Interest must be paid on the Purchase Price Adjustment at the Rate from Completion until the date of payment of the Purchase Price Adjustment as follows:
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------





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| | (i) | by the Buyer to the Seller, where the total adjustment made under clause 5.3(b)(i) and clause 5.3(b)(ii) exceed the adjustment made under clause
5.3(b)(iii); or
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ii) | by the Seller to the Buyer, where the adjustment made under clause 5.3(b)(iii) exceeds the total adjustment made under clause 5.3(b)(i) and clause
5.3(b)(ii),
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------------------------

and all such interest must be paid together with the payment of the Purchase Price Adjustment.



| | (b) | Interest:
| | --- | ---------



| | (i) | is calculated on a daily basis and compounded at the end of each month;
| | --- | -----------------------------------------------------------------------



| | (ii) | is to be computed from and including the Completion Date until but excluding the day of payment of that amount referred to in clause 3.9(a); and
| | ---- | ------------------------------------------------------------------------------------------------------------------------------------------------



| | (iii) | is to be calculated on the actual number of days elapsed on the basis of a 365 day year.
| | ----- | ----------------------------------------------------------------------------------------



|3.10 | Interest equivalent payment on payments made prior to Completion
|---- | ----------------------------------------------------------------



| | (a) | If at any time after the Effective Date but before Completion:
| | --- | --------------------------------------------------------------



| | (i) | the accumulated amounts received by the Seller under clause 5.3(a)(ii) from the Effective Date (excluding the amount to be received by the Seller under
clause 5.3(b)(ii)) is insufficient to enable the Seller to pay the amounts under clause 5.3(a)(i), resulting in a shortfall (Shortfall); and
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ii) | the Seller must contribute additional funds to pay for the Shortfall,
| | ---- | ---------------------------------------------------------------------

then:



| | (iii) | the Seller must give to the Buyer written notice of an amount (Shortfall Interest) calculated as if interest is payable on the Shortfall calculated in accordance
with clause 3.10(c) within 5 Business Days after Completion; and
| | ----- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (iv) | the Buyer must pay to the Seller the Shortfall Interest within 10 Business Days after Completion.
| | ---- | -------------------------------------------------------------------------------------------------



| | (b) | All Shortfall Interest paid under this clause 3.10 is to be apportioned on a pro rata basis across the values set out in Schedule 1.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------



| | (c) | For the purposes of clause 3.10(a), the Shortfall Interest:
| | --- | -----------------------------------------------------------



| | (i) | is calculated on a daily basis and compounded at the end of each month;
| | --- | -----------------------------------------------------------------------



| | (ii) | subject to clause 3.10(c)(iii), is to be computed from and including the date of payment of the Shortfall by the Seller under clause 3.10(a)(ii) until but
excluding the day:
| | ---- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------





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| | (A) | such Shortfall is repaid in full to the Seller out of the amounts received by the Seller under clause 5.3(a)(ii); or
| | --- | --------------------------------------------------------------------------------------------------------------------



| | (B) | of Completion,
| | --- | --------------

whichever is
earlier;



| | (iii) | if any part of the Shortfall is repaid to the Seller from time to time, the Shortfall Interest is to be computed on the unpaid amount of such Shortfall for the period
during which it remains unpaid; and
| | ----- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (iv) | is to be calculated on the actual number of days elapsed on the basis of a 365 day year.
| | ---- | ----------------------------------------------------------------------------------------



|3.11 | Acknowledgement
|---- | ---------------

The
Seller and the Buyer acknowledge that the sale of the Sale Interest by the Seller to the Buyer is pursuant to the exercise by the Seller of its tag-along right under clause 11.2(c)(ii) of the Ashton JVA arising from a change in control of the Buyer
under clause 11.4 of the Ashton JVA.



|4 | Conduct prior to Completion
|- | ---------------------------



|4.1 | Sellers obligations
|--- | --------------------

Until Completion the Seller must carry on its affairs in the ordinary course of business and must:



| | (a) | unless otherwise provided in this document, observe and perform its obligations and duties under the Ashton JVA and must not knowingly incur or assume any liability in
connection with the Sale Interest except in the ordinary course of business;
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | request the Manager to provide to the Buyer with copies of any reports, correspondence or information received by the Seller in respect of the Sale Interest or the
Ashton Joint Venture; and
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | notify the Buyer in writing if the Seller becomes aware of any fact or circumstance that the Seller knows will cause or constitute a breach of any of the Warranties of
the Seller as of the date of this document.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|4.2 | Approval for transfer of Mining Tenements
|--- | -----------------------------------------

The Seller must as soon as practicable after the execution of this document provide the Buyer with Forms AD2 under the Act (without any fees or stamp duty payable, which fees or stamp duty are payable by
the Buyer) for each of the Mining Tenements to apply for written approval from the Minister for the transfer of the Mining Tenements forming part of the Sale Interest to the Buyer.



|4.3 | Proceeds and outgoings
|--- | ----------------------

The Seller:



| | (a) | is entitled to the proceeds received from, and must pay all outgoings in respect of, the Sale Interest up to the Effective Date; and
| | --- | ------------------------------------------------------------------------------------------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 12



---

| | (b) | indemnifies the Buyer in respect of those outgoings up to the Effective Date.
| | --- | -----------------------------------------------------------------------------



|5 | Completion
|- | ----------



|5.1 | Time and place for Completion
|--- | -----------------------------

Completion will commence at l0am on the Completion Date, and will take place at the offices of Corrs Chambers Westgarth, Level 32 Governor Phillip Tower, 1 Farrer Place, Sydney New South Wales 2000 or at
such other time and place as the parties may agree.



|5.2 | Obligations at Completion
|--- | -------------------------

At Completion:



| | (a) | the Buyer must pay the Purchase Price and the Purchase Price Interest under clause 3.8 to the Seller in accordance with clause 3;
| | --- | ---------------------------------------------------------------------------------------------------------------------------------



| | (b) | the Buyer must execute the relevant documents referred to in clause 5.2(e) and provide the Seller with copies of all such documents executed by the Buyer;
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | the receipt by the Buyer of an ASIC Form 312 executed by ICRA to release the Sale Interest from ASIC registered charge no. 1198449;
| | --- | -----------------------------------------------------------------------------------------------------------------------------------



| | (d) | the Buyer must execute the ASIC Form 312 executed by ICRA under clause 5.2(c) to release the Sale Interest from ASIC registered charge no. 1198449 and lodge the
ASIC Form 312 for registration with ASIC;
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (e) | the Seller must deliver to the Buyer the following:
| | --- | ---------------------------------------------------



| | (i) | Form AD4 applications for registration of the transfer of an authority (without any fees or stamp duty payable, which fees and stamp duty are payable by the Buyer) in
favour of the Buyer of the Sellers interest in each of the Mining Tenements executed by the Seller;
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ii) | a transfer in favour of the Buyer of the ACM Shares executed by the Seller together with the relevant share certificate;
| | ---- | ------------------------------------------------------------------------------------------------------------------------



| | (iii) | a transfer in favour of the Buyer of the ACPH Shares executed by the Seller together with the relevant share certificate, provided ACPH is a registered company at that
time;
| | ----- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (iv) | the resignations of the directors nominated by the Seller on the boards of ACM and ACPH, provided ACPH is a registered company at that time;
| | ---- | --------------------------------------------------------------------------------------------------------------------------------------------



| | (v) | a deed of assignment and assumption of the Sellers interest in the Ashton Joint Venture Agreement substantially in the form annexed to the Ashton JVA as Annexure
H executed by the Seller;
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (vi) | a deed of assignment and assumption of the Sellers interest in the Management and Operating Agreement executed by the Seller;
| | ---- | ------------------------------------------------------------------------------------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 13



---

| | (vii) | a deed of assignment and assumption of the Sellers interests in the ACM Shareholders Agreement executed by the Seller;
| | ----- | -----------------------------------------------------------------------------------------------------------------------



| | (viii) | a deed of assignment and assumption of the Sellers interest in the ACPH Shareholders Agreement executed by the Seller, provided ACPH is a registered company at
that time;
| | ------ | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ix) | a deed of assignment and assumption of the Sellers interest in the Wonnarua People Ancillary Deed executed by the Seller;
| | ---- | --------------------------------------------------------------------------------------------------------------------------



| | (x) | a deed of assignment and assumption of the Sellers interest in the CBA Master Finance Lease executed by the Seller;
| | --- | --------------------------------------------------------------------------------------------------------------------



| | (xi) | a deed of assignment and assumption of the Sellers interests in the Komatsu Lease Agreement executed by the Seller;
| | ---- | --------------------------------------------------------------------------------------------------------------------



| | (xii) | ASIC Forms 312 executed by the Seller with respect to the following ASIC registered charges:
| | ----- | --------------------------------------------------------------------------------------------



| | (A) | no. 1198954;
| | --- | ------------



| | (B) | no. 1198451;
| | --- | ------------



| | (C) | no. 1319238; and
| | --- | ----------------



| | (D) | no. 1319242, and
| | --- | ----------------



| | (xiii) | any other documents reasonably required by the Seller or the Buyer by written notice to each other and mutually agreed within 15 days after the date of this document,
| | ------ | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------

each in a form to be mutually agreed by the Seller and the Buyer prior to Completion.



|5.3 | Purchase Price Adjustment
|--- | -------------------------



| | (a) | The economic benefit and risks of the Sellers Sale Interest is intended to accrue to the Buyer with effect from the Effective Date. However, this general position
is to be varied so that the Seller:
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (i) | is liable to pay all Called Sums and all other amounts that may need to be paid in respect of the Ashton Joint Venture from the Effective Date up to the Completion
Date; and
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ii) | is entitled to the proceeds from Coal sales from the Effective Date up to the Completion Date (including in respect of amounts receivable as at the Effective Date but
not paid).
| | ---- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | Consistent with the general proposition provided in clause 5.3(a), the Purchase Price Adjustment is the net amount of the following:
| | --- | ------------------------------------------------------------------------------------------------------------------------------------



| | (i) | an increase adjustment equal to any amounts paid by the Seller referred to in clause 5.3(a)(i). Any Called Sums that remain payable as at the Completion Date
will be paid by the Buyer;
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ii) | an increase adjustment of US$4,556,700.78, which is equal to the amounts receivable by the Seller as at the Effective Date in
| | ---- | -----------------------------------------------------------------------------------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 14



---

| | respect of Coal sales entered into prior to the Effective Date as reflected in the Management Accounts, and
| | -----------------------------------------------------------------------------------------------------------



| | (iii) | a decrease adjustment equal to any amounts received by the Seller referred to in clause 5.3(a)(ii) (net of any GST liability incurred or to be incurred by the
Seller in respect of such amounts and net of any bank fees and fees or charges payable to ACM),
| | ----- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

and which
amounts are to be calculated in the following currencies:



| | (iv) | the Called Sums and other amounts in clause 5.3(b)(i) in US$, being the US$ that were actually converted to A$ for such payment;
| | ---- | --------------------------------------------------------------------------------------------------------------------------------



| | (v) | the proceeds of sales of Coal in clause 5.3(b)(ii) in US$ as at the Effective Date; and
| | --- | ---------------------------------------------------------------------------------------



| | (vi) | the proceeds of sales of Coal in clause 5.3(b)(iii) in US$.
| | ---- | -----------------------------------------------------------



| | (c) | Within six Business Days after Completion, the Buyer must prepare an adjustment statement containing the Purchase Price Adjustment calculated in accordance with
clause 5.3(b) and deliver it to the Seller. An example of the adjustments referred to in clause 5.3(b) is set out in Schedule 3.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|5.4 | Calculation dispute
|--- | -------------------



| | (a) | If the Seller disputes the calculation of the Purchase Price Adjustment (Calculation) by the Buyer in clause 5.3(c) (Calculation Dispute), it must
deliver to the Buyer a notice specifying the nature of the dispute within five Business Days of receipt of the Calculation.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | If a Calculation Dispute between the Buyer and the Seller regarding the Calculation arises then if the Buyer and the Seller have not resolved the Calculation Dispute
within 15 Business Days, the Calculation Dispute must promptly be submitted for determination to the Expert who will determine the matter or matters in dispute.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | The Expert will be instructed to finish his or her determination no later than 10 Business Days after the date of his or her appointment.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------



| | (d) | The Expert will act as an expert and not as an arbitrator and his or her decision will be final and binding on the parties in the absence of manifest error and the
Calculation will then be deemed amended accordingly.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (e) | The cost of the determination by the Expert will be borne by the Buyer and the Seller in such manner as the Expert determines (having regard to the merits of the
Calculation Dispute). In the absence of any such determination, the costs of the Expert will be borne by the Buyer and the Seller equally.
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|5.5 | Completion not occurring by reason of the Buyers default
|--- | ---------------------------------------------------------

If Completion does not occur on the Completion Date by reason of the Buyers default and if the Buyer does not rectify the default within 14 days after





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 15



---

receiving written notice from the Seller specifying the default, then the Seller may seek specific performance of this document or terminate this document by notice given by the Seller to the
Buyer. If the Seller terminates this document, then in addition to any of the rights, powers or remedies provided by law:



| | (a) | each party is released from its obligations to further perform this document except those imposing on it:
| | --- | ---------------------------------------------------------------------------------------------------------



| | (i) | obligations of confidentiality;
| | --- | -------------------------------



| | (ii) | obligations of the Buyer to pay to the Seller the Break Fee; and
| | ---- | ----------------------------------------------------------------



| | (iii) | obligations of the Guarantor guaranteeing the payment of the Break Fee; and
| | ----- | ---------------------------------------------------------------------------



| | (b) | each party retains the right it has against any other party in respect of any past breach.
| | --- | ------------------------------------------------------------------------------------------



|5.6 | Completion not occurring by reason of the Sellers default
|--- | ----------------------------------------------------------

If Completion does not occur on the Completion Date by reason of the Sellers default and if the Seller does not rectify the default within 14 days after receiving written notice from the Buyer
specifying the default, then the Buyer may seek specific performance of this document or terminate this document by notice given by the Buyer to the Seller. If the Buyer terminates this document, then in addition to any other rights, powers or
remedies provided by law:



| | (a) | each party is released from its obligations to further perform this document except those imposing on it obligations of confidentiality; and
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | each party retains the rights it has against any other party in respect of any past breach.
| | --- | -------------------------------------------------------------------------------------------



|5.7 | Completion not occurring for any other reason
|--- | ---------------------------------------------

If Completion does not occur on the Completion Date for any other reason other than those set out in clauses 5.5 or 5.6, then in addition to any other rights, powers or remedies provided by
law:



| | (a) | each party is released from its obligations to further perform this document except those imposing on it:
| | --- | ---------------------------------------------------------------------------------------------------------



| | (i) | obligations of confidentiality;
| | --- | -------------------------------



| | (ii) | obligations of the Buyer to pay to the Seller the Break Fee; and
| | ---- | ----------------------------------------------------------------



| | (iii) | obligations of the Guarantor guaranteeing the payment of the Break Fee; and
| | ----- | ---------------------------------------------------------------------------



| | (b) | each party retains the rights it has against any other party in respect of any past breach.
| | --- | -------------------------------------------------------------------------------------------



|6 | Performance bonds
|- | -----------------



| | (a) | The Buyer must, to the extent of the Sale Interest, provide to the Seller replacements for the performance bonds or guarantees currently provided by
the Seller or any Related Body Corporate to the Department
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 16



---

| | or to any other party in relation to the Ashton Joint Venture on Completion. The performance bonds or guarantees include the following:
| | ---------------------------------------------------------------------------------------------------------------------------------------



| | (i) | performance bonds provided to the Department;
| | --- | ---------------------------------------------



| | (ii) | bank guarantee in favour of Rail Infrastructure Corporation;
| | ---- | ------------------------------------------------------------



| | (iii) | bank guarantee in favour of the Department of Mineral Resources (NSW);
| | ----- | ----------------------------------------------------------------------



| | (iv) | bank guarantee in favour of Port Waratah Coal Services Ltd;
| | ---- | -----------------------------------------------------------



| | (v) | guarantee by IMC Resources in favour of Komatsu under a Guarantor Deed of Accession dated 18 August 2005 between the IMC Resources and Komatsu;
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------



| | (vi) | guarantee by IMC Holdings in favour of Komatsu under a Guarantor Deed of Accession dated 18 August 2005 between IMC Holdings and Komatsu; and
| | ---- | ---------------------------------------------------------------------------------------------------------------------------------------------



| | (vii) | the guarantee by IMC Holdings in favour of CBA under a Guarantee and Indemnity dated 10 February 2006.
| | ----- | ------------------------------------------------------------------------------------------------------



| | (b) | If the Buyer is not able to provide the replacement performance bonds or guarantees under clause 6(a), then:
| | --- | ------------------------------------------------------------------------------------------------------------



| | (i) | the Buyer must on Completion pay the Seller a cash amount equal to the full value of the amounts secured by such performance bonds or guarantees as security for the
performance or payments required under those performance bonds or guarantees;
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (ii) | the Seller may deduct from such cash amount any payments that may need to be paid by the Seller under or arising from those performance bonds or guarantees; and
| | ---- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (iii) | the Seller must refund to the Buyer without interest any cash remaining after the deductions in clause 6(b)(ii) above as soon as practicable after the
replacement performance bonds or guarantees have been provided to the relevant parties and the performance bonds or guarantees previously provided by the Seller have been returned to it for cancellation.
| | ----- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | The Buyer indemnifies the Seller against all liabilities, claims, demands, actions, suits, proceedings, costs, damages, expenses or losses of any nature suffered by or
occasioned to the Seller arising directly or indirectly in connection with any breach by the Buyer of any obligation secured by the performance bonds or guarantees referred to in clause 6(a) from the Effective Date.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (d) | If any of the performance bonds or guarantees referred to in clause 6(a) are due for renewal between the date of this document and Completion, then the Buyer
must arrange for new performance bonds or guarantees to replace those that are expiring before their expiry dates.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





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|5739652/1 |  | page 17



---

|7 | Warranties
|- | ----------



|7.1 | Warranties by the Seller
|--- | ------------------------

The Seller warrants to the Buyer that each of the following statements is true, complete and accurate at the date of this document:



| | (a) | (owner and holder) the Seller is the sole legal and beneficial owner and registered holder of the Sale Interest;
| | --- | ----------------------------------------------------------------------------------------------------------------



| | (b) | (power) the Seller has full legal capacity and power to enter into this document and to complete the sale and purchase of the Sale Interest;
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | (no Insolvency Event) the Seller is not affected by an Insolvency Event and neither execution of this document nor Completion nor any other transaction which
this document contemplates will be or become a transaction which is voidable under part 5.7B of the Corporations Act; and
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (d) | (at Completion) at Completion, the Buyer will receive absolute ownership of the Sale Interest and title to the Sale Interest free from any Encumbrance.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------



|7.2 | Indemnity by Seller
|--- | -------------------

The
Seller indemnifies the Buyer against all liabilities, claims, demands, actions, suits, proceedings, costs, damages, expenses or losses of any nature arising out of or in relation to any inaccuracy in or breach of any Warranty in clause 7.1.



|7.3 | Warranties by the Buyer and the Guarantor
|--- | -----------------------------------------

The Buyer and the Guarantor warrant to the Seller that each of the following statements is true, complete and accurate at the date of this document:



| | (a) | (power) the Buyer and the Guarantor have full legal capacity and power to enter into this document and to complete the sale and purchase of the Sale Interest;
and
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | (no Insolvency Event) the Buyer and the Guarantor are not affected by an Insolvency Event and neither execution of this document nor Completion nor any other
transaction which this document contemplates will be or become a transaction which is voidable under part 5.7B of the Corporations Act.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|7.4 | Indemnity by Buyer and Guarantor
|--- | --------------------------------

The Buyer and the Guarantor jointly and severally indemnify the Seller against all liabilities, claims, demands, actions, suits, proceedings, costs, damages, expenses or losses of any nature arising out
of or in relation to any inaccuracy in or breach of any Warranty in clause 7.3.





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|5739652/1 |  | page 18



---

|7.5 | Each of Buyer and Guarantor Warranties is separate
|--- | --------------------------------------------------

Each of the Warranties by the Buyer and the Guarantor is separate and independent and is not limited by reference to any other clause or anything in this document.



|8 | Guarantee
|- | ---------



|8.1 | Guarantee
|--- | ---------

The Guarantor
guarantees to the Seller:



| | (a) | the payment of any money the Buyer is liable to pay under this document; and
| | --- | ----------------------------------------------------------------------------



| | (b) | the performance by the Buyer of all its obligations under this document.
| | --- | ------------------------------------------------------------------------



|8.2 | Liability of Guarantor
|--- | ----------------------

The liability of the Guarantor under this Guarantee is not affected by:



| | (a) | the granting of time or other indulgence or concessions to the Buyer;
| | --- | ---------------------------------------------------------------------



| | (b) | the compounding, compromise, release, abandonment, waiver, variation, relinquishment or renewal of any of the rights of the Seller against the Buyer or by any neglect
or omission to enforce those rights;
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | the insolvency, death or supervening contractual incapacity of the Buyer or the Guarantor;
| | --- | ------------------------------------------------------------------------------------------



| | (d) | the administration in equity or otherwise of the estate or assets in whole or in part of the Buyer or the Guarantor, as the case may be; or
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------



| | (e) | the entering into of any scheme of arrangement or composition with creditors or by the appointment of a liquidator, provisional liquidator, receiver or receiver and
manager, administrator or controller of the Buyer or any of its assets.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|8.3 | Continuing guarantee
|--- | --------------------

This Guarantee is a continuing guarantee and remains in effect until the payment of all money and the performance of all obligations to be
performed by the Buyer under this document.



|8.4 | Indemnity
|--- | ---------

To the extent
(if any) that this Guarantee may be void or unenforceable by reason of the fact that all or any of the obligations of the Buyer under this document may not be or may cease for any reason to be enforceable against the Buyer or otherwise, the
Guarantor indemnifies the Seller against all liabilities, claims, demands, actions, suits, proceedings, costs, damages, expenses or losses of any nature suffered by or occasioned to the Seller as a result of any failure by the Buyer to perform its
obligations under this document.





|          |  |        
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|5739652/1 |  | page 19



---

|8.5 | Insolvency
|--- | ----------

If the Buyer
is liquidated or enters into a deed of company arrangement:



| | (a) | the Guarantor will not prove in such liquidation or deed in competition with the Seller; and
| | --- | --------------------------------------------------------------------------------------------



| | (b) | the Guarantor authorises the Seller to prove for all money which the Guarantor has paid under this Guarantee and to retain any amounts received until the Seller, with
the aid of any amount received, has been paid one hundred cents in the dollar in respect of all money secured by this Guarantee.
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|8.6 | Reimbursement to Seller
|--- | -----------------------

The Guarantor must reimburse the Seller for any money that the Seller may have to pay or elect to pay to any liquidator, including any
legal and adviser fees, in response to any claim by such liquidator for payment to him or her of any moneys received by the Seller from the Buyer pursuant to this document.



|9 | Confidentiality
|- | ---------------



|9.1 | Confidentiality
|--- | ---------------

Each
party must keep confidential, and must ensure that each of its advisers and representatives keeps confidential:



| | (a) | until the Completion Date (or forever if Completion does not occur) all confidential information of each other party; and
| | --- | -------------------------------------------------------------------------------------------------------------------------



| | (b) | the existence and content of:
| | --- | -----------------------------



| | (i) | this document; and
| | --- | ------------------



| | (ii) | the negotiations in connection with it,
| | ---- | ---------------------------------------

unless, subject to clause 9.3, compelled to do otherwise by law (or by an authority such as a governmental agency, court, tribunal or stock exchange).



|9.2 | Permitted disclosure
|--- | --------------------

A
party may disclose information:



| | (a) | on a confidential basis to its advisers or representatives if they need to know that information to enable them to advise in connection with this document (including
its administration or enforcement) or otherwise evaluate this document or the transaction contemplated by it;
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | with the consent of each other party;
| | --- | -------------------------------------



| | (c) | in connection with any Claim relating to this document; or
| | --- | ----------------------------------------------------------



| | (d) | if this document expressly requires it to disclose information.
| | --- | ---------------------------------------------------------------

If a party intends to disclose information under this clause 9.2, it must, as far as practical, consult with each other party beforehand as to the content and timing of the disclosure.





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 20



---

|9.3 | Compulsory disclosure
|--- | ---------------------

If
a party is or may be compelled by law (or by an authority such as a governmental agency, court, tribunal or stock exchange) to disclose confidential information of another party, it must:



| | (a) | immediately notify the other party in writing and provide the other party with a copy of the proposed disclosure or announcement and provide the other party reasonable
time to give its comments before the disclosure or announcement is made;
| | --- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | if requested by the other party at the other partys expense, assist and permit the other party to oppose or restrict disclosure of that confidential information
to the maximum extent permitted by law; and
| | --- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (c) | subject to clause 9.3(b), make disclosure, to the extent possible, on terms that will preserve the strictest confidentiality of that confidential information.
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------------------------



|9.4 | Continuing obligations
|--- | ----------------------

Other than as provided in clause 9.1, this clause 9 continues to bind the parties after Completion and after each
partys other obligations under this document terminate and has no effect on the parties obligations under clause 18.2 of the Ashton JVA.



|10 | Notices
|-- | -------



|10.1 | General
|---- | -------

A notice,
demand, certification, process or other communication relating to this document must be in writing in English and may be given by an agent of the sender.



|10.2 | How to give a communication
|---- | ---------------------------

In addition to any other lawful means, a communication may be given by being:



| | (a) | personally delivered;
| | --- | ---------------------



| | (b) | left at the partys current address for notices;
| | --- | ------------------------------------------------



| | (c) | sent to the partys current address for notices by pre-paid ordinary mail or, if the address is outside Australia, by pre-paid airmail;
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------



| | (d) | sent by fax to the partys current fax number for notices; or
| | --- | -------------------------------------------------------------



| | (e) | sent by email to the other partys email address.
| | --- | -------------------------------------------------



|10.3 | Address for service
|---- | -------------------



| | (a) | The addresses and facsimile numbers are initially:
| | --- | --------------------------------------------------



| | (i) | in the case of the Seller:
| | --- | --------------------------



|        |  |                                                                              
|------- |  | -----------------------------------------------------------------------------
|Seller  |  |                                                                              
|Address |  | Level 2, Citibank House, 37 St Georges Terrace, Perth, Western Australia 6000





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 21



---

|                |  |                                                                                  
|--------------- |  | ---------------------------------------------------------------------------------
|                | 
|Fax:            |  | +61 8 9226 4766                                                                  
|                | 
|Tel:            |  | +61 8 9422 8800                                                                  
|                | 
|E-mail:         |  | johnmorton@imcresources.com.au                                                   
|                | 
|Attention:      |  | John Morton (Chief Portfolio Manager)                                            
|               
|with a copy to:
|                | 
|Address:        |  | IMC Corp Limited, 5 Temasek Boulevard #12-01, Suntec Tower Five, Singapore 038985
|                | 
|Fax:            |  | +65 6337 9803                                                                    
|                | 
|Tel:            |  | +65 6336 2233                                                                    
|                | 
|E-mail:         |  | woohingyew@imccorp.com                                                           
|                | 
|Attention:      |  | Woo Hing Yew (Regional Legal Counsel)                                            



| | (ii) | in the case of the Buyer and the Guarantor:
| | ---- | -------------------------------------------



|           |  |                                                      
|---------- |  | -----------------------------------------------------
|Buyer      |  |                                                      
|Address    |  | Level 11, 68 York Street, Sydney New South Wales 2000
|           | 
|Fax:       |  | +61 2 8243 5399                                      
|           | 
|Tel:       |  | +61 2 8243 5388                                      
|           | 
|E-mail:    |  | mbailey@yancoalaustralia.com.au                      
|           | 
|Attention: |  | Murray Bailey (Director)                             
|           | 
|Guarantor  |  |                                                      
|Address    |  | Level 11, 68 York Street, Sydney New South Wales 2000
|           | 
|Fax:       |  | +61 2 8243 5399                                      
|           | 
|Tel:       |  | +61 2 8243 5388                                      
|           | 
|E-mail:    |  | mbailey@yancoalaustralia.com.au                      
|           | 
|Attention: |  | Murray Bailey (Director)                             



| | (b) | A party may from time to time change its address or numbers for service by notice to the other party.
| | --- | -----------------------------------------------------------------------------------------------------



|10.4 | Service by post
|---- | ---------------

Subject
to clause 10.9, a communication given by post is deemed to be received:



| | (a) | if posted within Australia to an Australian address, on the third Business Day after posting; and
| | --- | -------------------------------------------------------------------------------------------------



| | (b) | in any other case, on the tenth Business Day after posting.
| | --- | -----------------------------------------------------------





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|5739652/1 |  | page 22



---

|10.5 | Service by facsimile
|---- | --------------------

Subject to clause 10.9, a communication given by facsimile is deemed received when the senders facsimile machine produces a
transmission report indicating that the facsimile was sent in full to the addressees facsimile number. That transmission report is conclusive evidence that the addressee received the fax in full at the time indicated on that report unless the
message is not fully received in legible form and the addressee immediately notifies the sender of that fact.



|10.6 | Service by email
|---- | ----------------

Subject
to clause 10.9, a communication given by email is deemed received when the email containing the notice left the senders email system, unless the sender receives notification that the email containing the notice was not received by the
recipient.



|10.7 | Service personally
|---- | ------------------

A
communication served personally or left at the persons address is deemed received upon service.



|10.8 | Process service
|---- | ---------------

Any
process or other document relating to litigation, administrative or arbitral proceedings in relation to this document may be served by any method contemplated by this clause in addition to any means authorised by law.



|10.9 | Service after hours
|---- | -------------------

If a
communication to a party is received by it:



| | (a) | after 5.00pm in the place of receipt; or
| | --- | ----------------------------------------



| | (b) | on a day which is not a Business Day,
| | --- | -------------------------------------

it is to be taken to have been received at 9.00am on the next Business Day.



|11 | Goods and Services Tax
|-- | ----------------------



|11.1 | Interpretation
|---- | --------------

In this
clause:



| | (a) | GST Law has the meaning given to that expression in the A New Tax System (Goods and Services Tax) Act 1999;
| | --- | -----------------------------------------------------------------------------------------------------------



| | (b) | expressions which are not defined, but which have a defined meaning in GST Law, have the same meaning; and
| | --- | ----------------------------------------------------------------------------------------------------------



| | (c) | GST has the meaning given to it in GST Law.
| | --- | -------------------------------------------



|11.2 | Amounts for payment expressed exclusive of GST
|---- | ----------------------------------------------

Unless otherwise expressly stated, all prices or other sums payable or consideration to be provided under or in accordance with this document are exclusive of GST.





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 23



---

|11.3 | Supply of a going concern
|---- | -------------------------



| | (a) | The Seller and Buyer acknowledge and agree that:
| | --- | ------------------------------------------------



| | (i) | the Purchase Price does not include any amount for GST;
| | --- | -------------------------------------------------------



| | (ii) | the supply of the Sale Interest is the supply of an identifiable enterprise carried on by the Seller and is a Supply of a Going Concern which is GST-free;
| | ---- | ----------------------------------------------------------------------------------------------------------------------------------------------------------



| | (iii) | the Seller supplies to the Buyer all of the things that are necessary for the continued operation of the Business; and
| | ----- | ----------------------------------------------------------------------------------------------------------------------



| | (iv) | the Seller will carry on the Business until the day of supply of the Sale Interest to the Buyer.
| | ---- | ------------------------------------------------------------------------------------------------



| | (b) | The Buyer warrants to the Seller that it is registered for GST and will remain registered for GST until Completion.
| | --- | -------------------------------------------------------------------------------------------------------------------



|11.4 | Recovery of any GST payable on the supply of the Sale Interest
|---- | --------------------------------------------------------------

If the Australian Tax Office, a court or tribunal determines that the supply of the Sale Interest does not constitute the Supply of a Going Concern which is GST- free and GST is imposed on the supply, the
Buyer must pay to the Seller an amount on account of GST plus any interest and penalties payable by the Seller in addition to the Purchase Price.



|11.5 | Payment of GST on any other supplies
|---- | ------------------------------------

If GST is imposed on any supply (excluding the supply of the Sale Interest) made under or in accordance with this document, the recipient of the taxable supply must pay to the supplier an additional
amount equal to the GST payable on or for the taxable supply. Payment of the additional amount is to be made at the same time as payment for the taxable supply is required to be made in accordance with this document.



|11.6 | Tax invoice
|---- | -----------

A party is
not obliged underclauses 11.4 or 11.5 to pay an amount for GST in respect of a taxable supply made to it until given a valid tax invoice for the supply.



|11.7 | Adjustment of GST Amount
|---- | ------------------------

If the additional amount on account of GST recovered from the recipient differs from the amount of GST payable at law by the supplier, the
amount of the difference must be paid by, or refunded to, the recipient, as the case may be and an Adjustment Note issued by the supplier.



|11.8 | Reimbursements
|---- | --------------

Where a
party is required under this document to pay or reimburse an expense or outgoing of another party, the amount to be paid or reimbursed by the first party is the sum of:



| | (a) | the amount of the expense or outgoing less any input tax credits in respect of the expense or outgoing to which the other party, or to which
| | --- | --------------------------------------------------------------------------------------------------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 24



---

| | the representative member for a GST group of which the other party is a member, is entitled; and
| | ------------------------------------------------------------------------------------------------



| | (b) | if the payment or reimbursement is subject to GST, an amount equal to that GST.
| | --- | -------------------------------------------------------------------------------



|12 | General
|-- | -------



|12.1 | Duty
|---- | ----

Other than as
expressly stated in this document, the Buyer is liable for and must pay all duty (including any fine or penalty), registration fees and other government charges on this document, any document executed under it or any dutiable transaction evidenced
or effected by it whether or not it is assessed against the Buyer, the Seller or both.



|12.2 | Legal costs
|---- | -----------

Except as
expressly stated in this document, each party must pay its own legal and other costs and expenses of negotiating, preparing, executing and performing its obligations under this document.



|12.3 | Waiver and exercise of rights
|---- | -----------------------------



| | (a) | A single or partial exercise or waiver by a party of a right relating to this document does not prevent any other exercise of that right or the exercise of any other
right.
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | A party is not liable for any loss, cost or expense of any other party caused or contributed to by the waiver, exercise, attempted exercise, failure to exercise or
delay in the exercise of a right.
| | --- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|12.4 | Rights cumulative
|---- | -----------------

Except
as expressly stated otherwise in this document, the rights of a party under this document are cumulative and are in addition to any other rights of that party.



|12.5 | Further steps
|---- | -------------

Each party
must promptly do whatever any other party reasonably requires of it to give effect to this document and to perform its obligations under it.



|12.6 | Counterparts
|---- | ------------

This
document may consist of a number of counterparts and, if so, the counterparts taken together constitute one document.



|12.7 | Entire understanding
|---- | --------------------



| | (a) | This document and the Agreement Letters contain the entire understanding between the parties as to the subject matter of this document.
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------



| | (b) | Except for matters set out in the Agreement Letters, all previous negotiations, understandings, representations, warranties, memoranda
| | --- | --------------------------------------------------------------------------------------------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 25



---

or commitments concerning the subject matter of this document are merged in and superseded by this document
and are of no effect. No party is liable to any other party in respect of those matters. Nothing in this document will be deemed or construed to vary, affect, terminate or limit the rights granted under the Agreement Letters.



| | (c) | No oral explanation or information provided by any party to another:
| | --- | --------------------------------------------------------------------



| | (i) | affects the meaning or interpretation of this document; or
| | --- | ----------------------------------------------------------



| | (ii) | constitutes any collateral agreement, warranty or understanding between any of the Parties.
| | ---- | -------------------------------------------------------------------------------------------



|12.8 | Governing law and jurisdiction
|---- | ------------------------------



| | (a) | This document is governed by and is to be construed in accordance with the laws applicable in New South Wales.
| | --- | --------------------------------------------------------------------------------------------------------------



| | (b) | Each party irrevocably and unconditionally submits to the non-exclusive jurisdiction of the courts of New South Wales, and any courts which have jurisdiction to hear
appeals from any of those courts, and waives any right to object to any proceedings being brought in those courts.
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



|12.9 | Legislation
|---- | -----------

In this
document, a reference to a statute includes regulations under it and consolidations, amendments, re-enactments or replacements of any of them.



|12.10 | Amendment
|----- | ---------

This document
may only be varied or replaced by a document duly executed by the parties.



|12.11 | No assignment
|----- | -------------

A party
must not:



| | (a) | sell, transfer, novate, delegate, assign, licence; or
| | --- | -----------------------------------------------------



| | (b) | mortgage, charge or otherwise encumber,
| | --- | ---------------------------------------

any right or obligation under this document to any person without the prior written consent of the other parties to this document.



|12.12 | Time
|----- | ----

Time is of the
essence as regards all dates, periods of time and times specified in this document.



|12.13 | Survival of indemnities
|----- | -----------------------

Each indemnity in this document is a continuing obligation, separate and independent from the other obligations of the parties and
survives termination of this document.



|12.14 | Enforcement of indemnities
|----- | --------------------------

It is not necessary for a party to incur expense or make payment before enforcing a right of indemnity conferred by this document.





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 26



---

|12.15 | No merger
|----- | ---------

The
warranties, undertakings, agreements and continuing obligations in this document do not merge on completion.



|12.16 | Business Day
|----- | ------------

If a
payment or other act is required by this document to be made or done on a day which is not a Business Day, the payment or act must be made or done on the next following Business Day.



|12.17 | Number
|----- | ------

In this document,
a reference to the singular includes the plural and vice versa.



|12.18 | Announcements
|----- | -------------



| | (a) | No party (and each will procure any Related Body Corporate) may, before or after Completion, make or send a public announcement, communication or circular concerning
the sale and purchase of the Sale Interest unless it has first obtained the consent of the other parties (not to be unreasonably withheld or denied).
| | --- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------



| | (b) | Subject to law and regulation, the Seller and the Buyer (and each will procure any Related Body Corporate) will consult in good faith with a view to agreeing the form,
content and timing of any press release, statement or announcement to be issued jointly or by either of the Seller, the Buyer or any Related Body Corporate, on or after the date of this document or Completion, in relation to the sale and purchase of
the Sale Interest.
| | --- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 27



---

Schedule I

Apportionment of Purchase Price

The Purchase Price is apportioned to include the following
headings:

Part I



|(a) | 30% interest in the Ashton Joint Venture
|--- | ----------------------------------------



|                                                                                                                       |  |                                   |             | 
|---------------------------------------------------------------------------------------------------------------------- |  | --------------------------------- | ----------- | 
|Ashton Joint Venture                                                                                                   |  | Purchase Priceapportionment (US$) |            
|Current Assets                                                                                                         |  |                                   |             | 
|Coal Inventory/Stock on Hand                                                                                           |  |                                   | 5,500,000   | 
|Consumables/Other Inventory                                                                                            |  |                                   | 3,000,000   | 
|Non Current Assets                                                                                                     |  |                                   |             | 
|Mining Information                                                                                                     |  |                                   | 3,000,000   | 
|Owned Plant and Equipment                                                                                              |  |                                   | 72,000,000  | 
|Construction in Progress                                                                                               |  |                                   | 1,000,000   | 
|Land                                                                                                                   |  |                                   | 2,000,000   | 
|Buildings                                                                                                              |  |                                   | 1,000,000   | 
|Leased Plant and Equipment                                                                                             |  |                                   | 5,300,000   | 
|Port Access Rights (including all contracts associated with the transportation of the coal through the relevant
ports) |  |                                   | 18,000,000  | 
|Rail Access Right (including the contracts with QR National in respect of the transportation of the coal by rail)      |  |                                   | 9,000,000   | 
|Mining Development and Leasehold Improvements                                                                          |  |                                   | 14,000,000  | 
|Mining Tenements (ML 1529, ML 1533, ML 1623, EL 4918 and EL 5860)                                                      |  |                                   | 113,099,900 | 
|Total                                                                                                                  |  |                                   | 246,899,900 | 





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 28



---

|(b) | ACM Shares
|--- | ----------



|           |  |  |           |  |  | 
|---------- |  |  | --------- |  |  | 
|ACM Shares |  |  | 3,100,000 | 



|(c) | ACPH Shares
|--- | -----------



|                     |  |  |             |  |  | 
|-------------------- |  |  | ----------- |  |  | 
|ACPH Shares          |  |  | 100         | 
|                     | 
|Total Purchase Price |  |  | 250,000,000 | 





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 29



---

Schedule 2

Accounting Principles

The Management Accounts must:



| | 1. | incorporate all the assets and liabilities of the Ashton Joint Venture and ACM, as applicable;
| | -- | ----------------------------------------------------------------------------------------------



| | 2. | be prepared in accordance with generally accepted accounting principles in Australia;
| | -- | -------------------------------------------------------------------------------------



| | 3. | be prepared in accordance with the requirements of any applicable laws consistently applied; and
| | -- | ------------------------------------------------------------------------------------------------



| | 4. | be on a consistent basis with the Last Year Accounts.
| | -- | -----------------------------------------------------





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 30



---

Schedule 3

Example of Purchase Price Adjustment



|               |  |               
|-------------- |  | --------------
|Purchase Price |  | US$250,000,000



|(a) | Increase Adjustment for Cash Calls
|--- | ----------------------------------

Increase adjustment being the amount of cash calls paid by the Seller in the period between Effective Date and Completion converted to US$ at the then
prevailing exchange rate at the date of payment of each cash call.



|                                            |  |              |              |  |                               |  |        |            |  |   |              |    
|------------------------------------------- |  | ------------ | ------------ |  | ----------------------------- |  | ------ | ---------- |  | - | ------------ | ---
|                                            |  | A$ Cash Call |              |  | Exchange Rate@ Date ofPayment |  |        | US$ Amount | 
|31 July 2010                                |  | $            | 7,200,000.00 |  |                               |  | 0.8698 |            |  | $ | 6,262,560.00 |    
|31 August 2010                              |  | $            | 7,800,000.00 |  |                               |  | 0.9071 |            |  | $ | 7,075,380.00 |    
|30 September 2010                           |  | $            | 7,800,000.00 |  |                               |  | 0.9028 |            |  | $ | 7,041,840.00 |    
|31 October 2010                             |  | $            | 6,450,000.00 |  |                               |  | 0.9738 |            |  | $ | 6,281,010.00 |    
|30 November 2010                            |  | $            | X            |  |                               |  | x.xx   |            |  | $ | Y            |    
|31 December 2010                            |  | $            | X            |  |                               |  | x.xx   |            |  | $ | Y            |    
|31 January 2011                             |  | $            | X            |  |                               |  | x.xx   |            |  | $ | Y            |    
|28 February 2011                            |  | $            | X            |  |                               |  | x.xx   |            |  | $ | Y            |    
|31 March 2011                               |  | $            | X            |  |                               |  | x.xx   |            |  | $ | Y            |    
|                                            |  |              |             
|Total clause 5.3(b)(i) increase adjustment: |  |              |              |  |                               |  |        |            |  | $ | YY           | (a)



|(b) | Increase Adjustment for Receivables
|--- | -----------------------------------

Increase adjustment being the value of the Sellers interest in the trade receivables of the Ashton Joint Venture as at 30 June 2010.











|          |  |        
|--------- |  | -------
|5739652/1 |  | page 31



---

|                                                           |  |          |              |  |                              |  |        |              |     |   |              | 
|---------------------------------------------------------- |  | -------- | ------------ |  | ---------------------------- |  | ------ | ------------ | --- | - | ------------ | 
|                                                           |  | A$ Value |              |  | Exchange Rate@ EffectiveDate |  |        | US$ Amount   |    
|30% of Trade receivables as at 30 June Management Accounts |  | $        | 5,243,010.91 |  |                              |  | 0.8691 |              |     | $ | 4,556,700.78 | 
|                                                           |  |         
|Total clause 5.3(b)(ii) increase adjustment:               |  |          |              |  |                              |  | $      | 4,556,700.78 | (b)



|(c) | Decrease Adjustment for Coal sales
|--- | ----------------------------------

Coal sales being the actual cash receipts relating to the Sale Interest received in the period from Effective Date up to Completion (including cash
receipts relating to receivables outstanding as at Effective Date).



|                                              |  |            |               |    
|--------------------------------------------- |  | ---------- | ------------- | ---
|Cash received from coal sales                 |  | US$ Amount |              
|July 2010                                     |  | $          | 7,788,886.20  |    
|August 2010                                   |  | $          | 8,286,632.29  |    
|September 2010                                |  | $          | 13,724,849.74 |    
|October 2010                                  |  | $          | 9,660,229.22  |    
|November 2010                                 |  | $          | Z             |    
|December 2010                                 |  | $          | Z             |    
|January 2011                                  |  | $          | Z             |    
|February 2011                                 |  | $          | Z             |    
|March 2011                                    |  | $          | Z             |    
|less                                          |  |            |               |    
|                                              | 
|- bank fees                                   |  | ($         | XX            | )  
|                                              | 
|- margin fees                                 |  | ($         | XX            | )  
|                                              | 
|Total clause 5.3(b)(iii) decrease adjustment: |  | $          | ZZ            | (c)
|                                              | 
|Net Purchase Price Adjustment                 |  |            |               |    





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 32



---

Net purchase price adjustment = (a) + (b) - (c)





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 33



---

Executed as a deed



|                                   |  |   |  |                         
|---------------------------------- |  | - |  | ------------------------
|EXECUTED by                        |  | ) |  |                         
|White Mining (NSW) Pty Limited     |  | ) |  |                         
|                                   |  | ) |  |                         
|                                   |  |  
|                                   |  |   |  |                         
|Company Secretary/Director         |  |   |  | Director                
|                                   |  |  
|                                   |  |   |  |                         
|Name of Company Secretary/Director |  |   |  | Name of Director (print)
|(print)                            |  |   |  |                         
|                                   |  |  
|EXECUTED by                        |  | ) |  |                         
|Austral-Asia Coal Holdings Pty Ltd |  | ) |  |                         
|                                   |  | ) |  |                         
|                                   |  |  
|LOGO                               |  |   |  | LOGO                    
|Company Secretary/ Director        |  |   |  | Director                
|                                   |  |  
|LOGO                               |  |   |  | TAI SOOK YEE            
|Name of Company Secretary/Director |  |   |  | Name of Director (print)
|(print)                            |  |   |  |                         
|                                   |  |  
|EXECUTED by                        |  | ) |  |                         
|Yancoal Australia Limited          |  | ) |  |                         
|                                   |  | ) |  |                         
|                                   |  |  
|                                   |  |   |  |                         
|Company Secretary/Director         |  |   |  | Director                
|                                   |  |  
|                                   |  |   |  |                         
|Name of Company Secretary/Director |  |   |  | Name of Director (print)
|(print)                            |  |   |  |                         





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 34



---

Annexure A

Management Accounts





|          |  |        
|--------- |  | -------
|5739652/1 |  | page 35



---

ASHTON COAL JOINT VENTURE

STATEMENT OF FINANCIAL POSITION AS AT June 2010

(Comprising Ashton Coal Operations Pty Ltd and Ashton Coal Mines Limited)



|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|---------------------------------------------- |  | ----- | ---------- | - | ----- |  | -------- | ----- |  |  | ---------- | -
|                                               |  | TOTAL |            |   | ACOL  |  |          | ACML  | 
|                                               |  | $000 |            |   | $000 |  |          | $000 | 
|Current Assets                                 |  |       |            |   |       |  |          |       |  |  |            |  
|Cash on Hand                                   |  |       | 2          |   |       |  | 2        |       |  |  | 0          |  
|Current Account                                |  |       | 1,428      |   |       |  | 954      |       |  |  | 474        |  
|Other Cheque Accounts                          |  |       |           |   |       |  |         |       |  |  |           |  
|Deposits - At Call                             |  |       | 6,553      |   |       |  | 6,553    |       |  |  |           |  
|Foreign Currency Accounts - USD                |  |       | 10,844     |   |       |  |         |       |  |  | 10,844     |  
|Trade Receivables, Net, Current                |  |       | 17,477     |   |       |  | 806      |       |  |  | 16,671     |  
|Intercompany Receivables                       |  |       |           |   |       |  | 15,923   |       |  |  | (15,923    | )
|Other Receivables, Net, Current                |  |       |           |   |       |  |         |       |  |  |           |  
|Other Receivables, Net, Current                |  |       | 20         |   |       |  | 20       |       |  |  |           |  
|Production Supplies                            |  |       | 3,704      |   |       |  | 3,704    |       |  |  |           |  
|Overburden in Advance                          |  |       | 5,297      |   |       |  | 5,297    |       |  |  |           |  
|Coal Stocks                                    |  |       | 20,671     |   |       |  | 20,671   |       |  |  |           |  
|Prepayments, Current                           |  |       | 606        |   |       |  | 606      |       |  |  |           |  
|Deposits                                       |  |       | 3          |   |       |  | 3        |       |  |  |           |  
|Current Tax Receivables                        |  |       | 1,480      |   |       |  | 1,335    |       |  |  | 145        |  
|Exploration - Current                          |  |       | 5,143      |   |       |  | 5,143    |       |  |  |           |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|Total Current Assets                           |  |       | 73,228     |   |       |  | 61,015   |       |  |  | 12,212     |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|                                               |  |       |           
|Non-Current Assets                             |  |       |            |   |       |  |          |       |  |  |            |  
|Construction in Progress                       |  |       | 3,392      |   |       |  | 2,557    |       |  |  | 834        |  
|Land & Buildings                               |  |       | 23,339     |   |       |  | 3,359    |       |  |  | 19,980     |  
|Leased Plant & Equipment                       |  |       | 6,759      |   |       |  | 6,759    |       |  |  |           |  
|Plant & Equipment                              |  |       | 131,679    |   |       |  | 131,658  |       |  |  | 20         |  
|Fixtures and Fittings                          |  |       | 87         |   |       |  | 41       |       |  |  | 46         |  
|Leasehold Improvements                         |  |       | 52,890     |   |       |  | 52,880   |       |  |  | 10         |  
|Other Property, Plant and Equipment            |  |       | 5          |   |       |  | 5        |       |  |  |           |  
|Exploration Evaluation Expenditure Non Current |  |       | 2,904      |   |       |  | 2,904    |       |  |  |           |  
|Patents, Trademarks and Other Rights           |  |       | 854        |   |       |  | 854      |       |  |  |           |  
|Computer Software                              |  |       | 29         |   |       |  | 29       |       |  |  |           |  
|Other Intangible Assets                        |  |       | 1,619      |   |       |  |         |       |  |  | 1,619      |  
|Intercompany Receivables NC                    |  |       | (8         | ) |       |  | 7,483    |       |  |  | (7,491     | )
|Deferred Tax Assets                            |  |       | 172        |   |       |  |         |       |  |  | 172        |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|Total Non-Current Assets                       |  |       | 223,719    |   |       |  | 208,529  |       |  |  | 15,191     |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|Total Assets                                   |  |       | 296,947    |   |       |  | 269,544  |       |  |  | 27,403     |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|                                               |  |       |           
|Current Liabilities                            |  |       |            |   |       |  |          |       |  |  |            |  
|Trade Payables, Current                        |  |       | 31,944     |   |       |  | 6,299    |       |  |  | 25,645     |  
|Finance Leases, Current                        |  |       | 4,912      |   |       |  | 4,912    |       |  |  |           |  
|Other Provisions, Current                      |  |       | 8,197      |   |       |  | 8,197    |       |  |  |           |  
|Group Tax Payable                              |  |       | 19         |   |       |  |         |       |  |  | 19         |  
|GST on Sales                                   |  |       | 159        |   |       |  | 14       |       |  |  | 145        |  
|General Accruals                               |  |       | 14,145     |   |       |  | 13,356   |       |  |  | 790        |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|Total Current Liabilities                      |  |       | 59,376     |   |       |  | 32,777   |       |  |  | 26,599     |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|                                               |  |       |           
|Non Current Liabilities                        |  |       |            |   |       |  |          |       |  |  |            |  
|Finance Leases, Non Current                    |  |       | 1,629      |   |       |  | 1,629    |       |  |  |           |  
|Provisions Non Current                         |  |       | 6,605      |   |       |  | 6,605    |       |  |  |           |  
|Deferred Tax Liabilities                       |  |       |           |   |       |  |         |       |  |  |           |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|Total Non-Current Liabilities                  |  |       | 8,234      |   |       |  | 8,234    |       |  |  |           |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|Total Liabilities                              |  |       | 67,610     |   |       |  | 41,011   |       |  |  | 26,599     |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|                                               |  |       |           
|Net Assets Under Control of Manager            |  |       | 229,337    |   |       |  | 228,533  |       |  |  | 804        |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|                                               |  |       |           
|Issued Capital                                 |  |       | 0          |   |       |  | 0        |       |  |  | 0          |  
|                                               |  |       |           
|Contributions Received                         |  |       |            |   |       |  |          |       |  |  |            |  
|White Mining (NSW) Pty Limited                 |  |       | 751,053    |   |       |  | 751,053  |       |  |  |           |  
|ICRA Ashton Pty Limited                        |  |       | 325,298    |   |       |  | 325,298  |       |  |  |           |  
|Austral-Asia Coal Holdings Pty Ltd             |  |       | 139,453    |   |       |  | 139,453  |       |  |  |           |  
|                                               |  |       |           
|Coal Sales                                     |  |       |            |   |       |  |          |       |  |  |            |  
|Total                                          |  |       | (1,614,398 | ) |       |  |          |       |  |  | (1,614,398 | )
|                                               |  |       |           
|Earnings                                       |  |       |            |   |       |  |          |       |  |  |            |  
|Accumulated Profit/(Loss) - Prior Period(s)    |  |       | 559,143    |   |       |  | (752,638 | )     |  |  | 1,311,781  |  
|                                               |  |       |           
|Profit/(Loss) - Current Period                 |  |       | 68,788     |   |       |  | (234,633 | )     |  |  | 303,421    |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  
|                                               |  |       |           
|Joint Venturers Interest in Net Assets         |  |       | 229,337    |   |       |  | 228,533  |       |  |  | 804        |  
|                                               |  |       |            |   |       |  |          |       |  |  |            |  



---

Ashton Coal Joint Venture (incl ACML)

Consolidated Profit Statement



|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|------ | ------- |  | ---------- |  | ------------------- | ------------------ |  | --------------- | ---------- | - | --------- | ----- | ---------- | ---------- | --------- | ------------------------- | ----- |  | ---------- | ---------- |  |  | ------ | - |  |  | ------- |  |  |  | ------ | 
|Jun-10 |         |  |            |  | 12 Months to June10 |                   
|Budget |         |  | Actual     |  |                     | Coal Sold (Tonnes) |  | Actual          |            |   | Budget    |      
|       | 82,347  |  |            |  | 103,114             |                    |  | Opencut         |            |   | 1,104,543 |       |            |            | 1,190,414 |                          
|       | 187,653 |  |            |  | 21,001              |                    |  | Underground     |            |   | 1,570,873 |       |            |            | 1,929,587 |                          
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                          
|       | 270,000 |  |            |  | 124,115             |                    |  | Total Coal Sold |            |   | 2,675,416 |       |            |            | 3,120,000 |                          
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                          
|       |         |  |            |  |                     |                    |  |                
|Rate$  |         |  | Amount$000 |  |                     | Rate$              |  |                 | Amount$000 |   |           |       |            | Amount$000 |           |                           | Rate$ |  |            | Amount$000 |  |  | Rate$  |  
|       |         |  |            |  |                     |                    |  |                
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           | Revenue - Sales           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 103.90  |  |            |  | 28,052              |                    |  |                 | 212.12     |   |           |       | 26,328     |            |           | Coal sales                |       |  | 307,497    |            |  |  | 114.93 |   |  |  | 323,818 |  |  |  | 103.79 | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 103.90  |  |            |  | 28,052              |                    |  |                 | 212.12     |   |           |       | 26,328     |            |           | Total Revenue             |       |  | 307,497    |            |  |  | 114.93 |   |  |  | 323,818 |  |  |  | 103.79 | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           | Selling Costs             |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 3.88    |  |            |  | 1,047               |                    |  |                 | 2.65       |   |           |       | 329        |            |           | Rail                      |       |  | 9,725      |            |  |  | 3.64   |   |  |  | 12,097  |  |  |  | 3.88   | 
|       | 3.52    |  |            |  | 951                 |                    |  |                 | 5.93       |   |           |       | 736        |            |           | Port                      |       |  | 10,475     |            |  |  | 3.92   |   |  |  | 10,982  |  |  |  | 3.52   | 
|       | 7.53    |  |            |  | 2,034               |                    |  |                 | 15.78      |   |           |       | 1,959      |            |           | Royalties - Govt          |       |  | 23,741     |            |  |  | 8.87   |   |  |  | 23,721  |  |  |  | 7.60   | 
|       | 0.48    |  |            |  | 129                 |                    |  |                 | 0.64       |   |           |       | 79         |            |           | Levies                    |       |  | 1,622      |            |  |  | 0.61   |   |  |  | 1,489   |  |  |  | 0.48   | 
|       | 1.35    |  |            |  | 365                 |                    |  |                 | 2.03       |   |           |       | 252        |            |           | Demurrage / (Despatch)    |       |  | 4,790      |            |  |  | 1.79   |   |  |  | 4,213   |  |  |  | 1.35   | 
|       | 3.12    |  |            |  | 842                 |                    |  |                 | 5.72       |   |           |       | 710        |            |           | Management Fees           |       |  | 9,030      |            |  |  | 3.38   |   |  |  | 9,715   |  |  |  | 3.11   | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 19.88   |  |            |  | 5,368               |                    |  |                 | 32.75      |   |           |       | 4,065      |            |           | Total Selling Costs       |       |  | 59,382     |            |  |  | 22.20  |   |  |  | 62,217  |  |  |  | 19.94  | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       | 84.01   |  |            |  | 22,684              |                    |  |                 | 179.37     |   |           |       | 22,263     |            |           | FOR Revenue               |       |  | 248,115    |            |  |  | 92.74  |   |  |  | 261,602 |  |  |  | 83.85  | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           | Cost of Production        |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 30.27   |  |            |  | 8,172               |                    |  |                 | 63.25      |   |           |       | 7,850      |            |           | Mining Costs - UG         |       |  | 90,649     |            |  |  | 33.88  |   |  |  | 91,697  |  |  |  | 29.39  | 
|       | 15.94   |  |            |  | 4,304               |                    |  |                 | 42.01      |   |           |       | 5,215      |            |           | Mining Costs - OC         |       |  | 60,338     |            |  |  | 22.55  |   |  |  | 59,413  |  |  |  | 19.04  | 
|       | 7.57    |  |            |  | 2,043               |                    |  |                 | 12.59      |   |           |       | 1,563      |            |           | CHPP                      |       |  | 22,499     |            |  |  | 8.41   |   |  |  | 25,377  |  |  |  | 8.13   | 
|       | 2.58    |  |            |  | 696                 |                    |  |                 | 18.02      |   |           |       | 2,237      |            |           | Change in O/B in Advance  |       |  | 8,205      |            |  |  | 3.07   |   |  |  | 5,934   |  |  |  | 1.90   | 
|       | (9.48)  |  |            |  | (2,560              | )                  |  |                 | 2.40       |   |           |       | 298        |            |           | Change in Coal Stocks     |       |  | (5,995     | )          |  |  | (2.24  | ) |  |  | 10,840  |  |  |  | 3.47   | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 46.87   |  |            |  | 12,655              |                    |  |                 | 138.28     |   |           |       | 17,163     |            |           | Total Cost of Production  |       |  | 175,696    |            |  |  | 65.67  |   |  |  | 193,262 |  |  |  | 61.94  | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           | Off site costs            |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 0.59    |  |            |  | 158                 |                    |  |                 | 0.63       |   |           |       | 79         |            |           | Brisbane Overheads        |       |  | 1,823      |            |  |  | 0.68   |   |  |  | 1,901   |  |  |  | 0.61   | 
|       | 0.21    |  |            |  | 57                  |                    |  |                 | 0.47       |   |           |       | 58         |            |           | Marketing Overheads       |       |  | 691        |            |  |  | 0.26   |   |  |  | 690     |  |  |  | 0.22   | 
|       | 0.21    |  |            |  | 57                  |                    |  |                 | (0.08      | ) |           |       | (10        | )          |           | Property Management       |       |  | 413        |            |  |  | 0.15   |   |  |  | 681     |  |  |  | 0.22   | 
|       | 0.31    |  |            |  | 84                  |                    |  |                 | 0.34       |   |           |       | 42         |            |           | Leased equipment Interest |       |  | 840        |            |  |  | 0.31   |   |  |  | 1,009   |  |  |  | 0.32   | 
|       |        |  |            |  |                    |                    |  |                 | 3.87       |   |           |       | 480        |            |           | Finance other             |       |  | (102       | )          |  |  | (0.04  | ) |  |  |        |  |  |  |       | 
|       |        |  |            |  |                    |                    |  |                 | (0.11      | ) |           |       | (13        | )          |           | (Profit)/loss disposal    |       |  | (34        | )          |  |  | (0.01  | ) |  |  |        |  |  |  |       | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       | 1.32    |  |            |  | 356                 |                    |  |                 | 5.12       |   |           |       | 636        |            |           | Total Off Site costs      |       |  | 3,631      |            |  |  | 1.36   |   |  |  | 4,280   |  |  |  | 1.37   | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       | 48.19   |  |            |  | 13,012              |                    |  |                 | 143.41     |   |           |       | 17,799     |            |           | Total Production Cost     |       |  | 179,327    |            |  |  | 67.03  |   |  |  | 197,542 |  |  |  | 63.31  | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       | 68.07   |  |            |  | 18,380              |                    |  |                 | 176.16     |   |           |       | 21,864     |            |           | Total Cost                |       |  | 238,709    |            |  |  | 89.22  |   |  |  | 259,758 |  |  |  | 83.26  | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       | 35.82   |  |            |  | 9,672               |                    |  |                 | 35.97      |   |           |       | 4,464      |            |           | Profit / (Loss)           |       |  | 68,788     |            |  |  | 25.71  |   |  |  | 64,060  |  |  |  | 20.53  | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       |         |  |            |  |                     |                    |  |                 |            |   |           | Check |            |            |           |                           |       |  |            |            |  |  |        |  
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       | 5,515.662  |            |           | OC                        |       |  | 24,950.115 |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       | -1,051.492 |            |           | UG                        |       |  | 43,837.909 |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       | 4,464.170  |            |           | Total                     |       |  | 68,788.024 |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       |            |            |           |                           |       |  |            |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                     |                    |  |                
|       |         |  |            |  |                     |                    |  |                 |            |   |           |       | -0.00      |            |           |                           |       |  |           |            |  |  |        |   |  |  |         |  |  |  |        | 



---

Ashton Coal Joint Venture (incl ACML)

Profit Statement - Opencut



|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|------ | ------ | - | ---------- |  | -------------------- | ----- |  | ------------------ | ---------- | - | --------- |  | ------ | ---------- | --------- | ------------------------- | ----- |  | ------- | ---------- |  |  | ------ | - |  |  | ------- |  |  |  | ------ | 
|Jun-10 |        |   |            |  | 12 Months to June 10 |      
|Budget |        |   | Actual     |  |                      |       |  | Actual             |            |   | Budget    | 
|       |        |   |            | 
|       | 82,347 |   |            |  | 103,114              |       |  | Coal Sold (Tonnes) |            |   | 1,104,543 |  |        |            | 1,190,414 |                          
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                          
|       |        |   |            |  |                      |       |  |                   
|Rate$  |        |   | Amount$000 |  |                      | Rate$ |  |                    | Amount$000 |   |           |  |        | Amount$000 |           |                           | Rate$ |  |         | Amount$000 |  |  | Rate$  |  
|       |        |   |            |  |                      |       |  |                   
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Revenue - Sales           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 104.34 |   |            |  | 8,592                |       |  |                    | 160.85     |   |           |  | 16,586 |            |           | Coal sales                |       |  | 126,950 |            |  |  | 114.93 |   |  |  | 123,577 |  |  |  | 103.81 | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 104.34 |   |            |  | 8,592                |       |  |                    | 160.85     |   |           |  | 16,586 |            |           | Total Revenue             |       |  | 126,950 |            |  |  | 114.93 |   |  |  | 123,577 |  |  |  | 103.81 | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |        |   |            |  |                      |       |  |                   
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Selling Costs             |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 3.88   |   |            |  | 319                  |       |  |                    | 3.17       |   |           |  | 327    |            |           | Rail                      |       |  | 4,015   |            |  |  | 3.64   |   |  |  | 4,616   |  |  |  | 3.88   | 
|       | 3.52   |   |            |  | 290                  |       |  |                    | 4.87       |   |           |  | 502    |            |           | Port                      |       |  | 4,324   |            |  |  | 3.92   |   |  |  | 4,190   |  |  |  | 3.52   | 
|       | 8.23   |   |            |  | 678                  |       |  |                    | 12.48      |   |           |  | 1,287  |            |           | Royalties - Govt          |       |  | 10,752  |            |  |  | 9.73   |   |  |  | 9,789   |  |  |  | 8.22   | 
|       | 0.48   |   |            |  | 39                   |       |  |                    | 0.62       |   |           |  | 64     |            |           | Levies                    |       |  | 670     |            |  |  | 0.61   |   |  |  | 568     |  |  |  | 0.48   | 
|       | 1.35   |   |            |  | 111                  |       |  |                    | 1.90       |   |           |  | 196    |            |           | Demurrage / ( Despatch)   |       |  | 1,977   |            |  |  | 1.79   |   |  |  | 1,607   |  |  |  | 1.35   | 
|       | 3.13   |   |            |  | 258                  |       |  |                    | 4.48       |   |           |  | 462    |            |           | Management Fees           |       |  | 3,728   |            |  |  | 3.38   |   |  |  | 3,707   |  |  |  | 3.11   | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 20.59  |   |            |  | 1,696                |       |  |                    | 27.53      |   |           |  | 2,838  |            |           | Total Selling Costs       |       |  | 25,467  |            |  |  | 23.06  |   |  |  | 24,477  |  |  |  | 20.56  | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |        |   |            |  |                      |       |  |                   
|       | 83.75  |   |            |  | 6,896                |       |  |                    | 133.33     |   |           |  | 13,748 |            |           | FOR Revenue               |       |  | 101,483 |            |  |  | 91.88  |   |  |  | 99,100  |  |  |  | 83.25  | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |        |   |            |  |                      |       |  |                   
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Cost of Production        |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 52.27  |   |            |  | 4,304                |       |  |                    | 50.57      |   |           |  | 5,215  |            |           | Mining Costs              |       |  | 60,338  |            |  |  | 54.63  |   |  |  | 59,413  |  |  |  | 49.91  | 
|       | 8.46   |   |            |  | 696                  |       |  |                    | 21.69      |   |           |  | 2,237  |            |           | Change in O/B in Advance  |       |  | 8,205   |            |  |  | 7.43   |   |  |  | 5,934   |  |  |  | 4.98   | 
|       | 7.27   |   |            |  | 599                  |       |  |                    | 10.22      |   |           |  | 1,054  |            |           | CHPP                      |       |  | 8,980   |            |  |  | 8.13   |   |  |  | 11,005  |  |  |  | 9.25   | 
|       | (9.22  | ) |            |  | (759                 | )     |  |                    | (5.80      | ) |           |  | (598   | )          |           | Change in Coal Stocks     |       |  | (2,959  | )          |  |  | (2.68  | ) |  |  | 5,327   |  |  |  | 4.47   | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 58.77  |   |            |  | 4,840                |       |  |                    | 76.68      |   |           |  | 7,907  |            |           | Total Cost of Production  |       |  | 74,564  |            |  |  | 67.51  |   |  |  | 81,679  |  |  |  | 68.61  | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |        |   |            |  |                      |       |  |                   
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Off site costs            |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 0.59   |   |            |  | 48                   |       |  |                    | 0.66       |   |           |  | 68     |            |           | Brisbane Overheads        |       |  | 753     |            |  |  | 0.68   |   |  |  | 726     |  |  |  | 0.61   | 
|       | 0.21   |   |            |  | 18                   |       |  |                    | 0.36       |   |           |  | 37     |            |           | Marketing Overheads       |       |  | 285     |            |  |  | 0.26   |   |  |  | 263     |  |  |  | 0.22   | 
|       | 0.21   |   |            |  | 17                   |       |  |                    | 0.04       |   |           |  | 4      |            |           | Property Management       |       |  | 171     |            |  |  | 0.15   |   |  |  | 260     |  |  |  | 0.22   | 
|       | 1.02   |   |            |  | 84                   |       |  |                    | 0.41       |   |           |  | 42     |            |           | Leased equipment Interest |       |  | 838     |            |  |  | 0.76   |   |  |  | 1,006   |  |  |  | 0.84   | 
|       |       |   |            |  |                     |       |  |                    | 1.81       |   |           |  | 186    |            |           | Finance other             |       |  | (42     | )          |  |  | (0.04  | ) |  |  |        |  |  |  |       | 
|       |       |   |            |  |                     |       |  |                    | (0.13      | ) |           |  | (13    | )          |           | (Profit)/loss disposal    |       |  | (34     | )          |  |  | (0.03  | ) |  |  |        |  |  |  |       | 
|       |       |   |            |  |                     |       |  |                    |           |   |           |  |       |            |           | Sundry income             |       |  |        |            |  |  |       |   |  |  |        |  |  |  |       | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 2.03   |   |            |  | 167                  |       |  |                    | 3.15       |   |           |  | 325    |            |           | Total Off Site costs      |       |  | 1,970   |            |  |  | 1.78   |   |  |  | 2,255   |  |  |  | 1.89   | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |        |   |            |  |                      |       |  |                   
|       | 60.80  |   |            |  | 5,007                |       |  |                    | 79.83      |   |           |  | 8,232  |            |           | Total Production Cost     |       |  | 76,533  |            |  |  | 69.29  |   |  |  | 83,934  |  |  |  | 70.51  | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |        |   |            |  |                      |       |  |                   
|       | 81.39  |   |            |  | 6,702                |       |  |                    | 107.36     |   |           |  | 11,070 |            |           | Total Cost                |       |  | 102,000 |            |  |  | 92.35  |   |  |  | 108,411 |  |  |  | 91.07  | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |        |   |            |  |                      |       |  |                   
|       | 22.95  |   |            |  | 1,890                |       |  |                    | 53.49      |   |           |  | 5,516  |            |           | Profit / (Loss)           |       |  | 24,950  |            |  |  | 22.59  |   |  |  | 15,166  |  |  |  | 12.74  | 
|       |        |   |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                           |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 



---

Ashton Coal Joint Venture(incl ACML)

Profit Statement - Underground



|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|------ | ------- |  | ---------- |  | -------------------- | ----- |  | ------------------ | ---------- | - | --------- |  | ------ | ---------- | --------- | --------------------------------- | ----- |  | ------- | ---------- |  |  | ------ | - |  |  | ------- |  |  |  | ------ | 
|Jun-10 |         |  |            |  | 12 Months to June 10 |      
|Budget |         |  | Actual     |  |                      |       |  | Actual             |            |   | Budget    | 
|       |         |  |            | 
|       | 187,653 |  |            |  | 21,001               |       |  | Coal Sold (Tonnes) |            |   | 1,570,873 |  |        |            | 1,929,587 |                                  
|       |         |  |            |  |                      |       |  |                   
|Rate
$ |         |  | Amount$000 |  |                      | Rate$ |  |                    | Amount$000 |   |           |  |        | Amount$000 |           |                                   | Rate$ |  |         | Amount$000 |  |  | Rate$  |  
|       |         |  |            |  |                      |       |  |                   
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Revenue - Sales                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 103.80  |  |            |  | 19,478               |       |  |                    | 463.86     |   |           |  | 9,742  |            |           | Coal sales                        |       |  | 180,547 |            |  |  | 114.93 |   |  |  | 200,241 |  |  |  | 103.77 | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 103.80  |  |            |  | 19,478               |       |  |                    | 463.86     |   |           |  | 9,742  |            |           | Total Revenue                     |       |  | 180,547 |            |  |  | 114.93 |   |  |  | 200,241 |  |  |  | 103.77 | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Selling Costs                     |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 3.88    |  |            |  | 728                  |       |  |                    | 0.10       |   |           |  | 2      |            |           | Rail                              |       |  | 5,710   |            |  |  | 3.64   |   |  |  | 7,481   |  |  |  | 3.88   | 
|       | 3.52    |  |            |  | 661                  |       |  |                    | 11.16      |   |           |  | 234    |            |           | Port                              |       |  | 6,150   |            |  |  | 3.92   |   |  |  | 6,792   |  |  |  | 3.52   | 
|       | 7.23    |  |            |  | 1,356                |       |  |                    | 31.98      |   |           |  | 672    |            |           | Royalties - Govt                  |       |  | 12,989  |            |  |  | 8.27   |   |  |  | 13,932  |  |  |  | 7.22   | 
|       | 0.48    |  |            |  | 90                   |       |  |                    | 0.73       |   |           |  | 15     |            |           | Levies                            |       |  | 953     |            |  |  | 0.61   |   |  |  | 921     |  |  |  | 0.48   | 
|       | 1.35    |  |            |  | 254                  |       |  |                    | 2.64       |   |           |  | 55     |            |           | Demurrage / (Despatch)            |       |  | 2,812   |            |  |  | 1.79   |   |  |  | 2,606   |  |  |  | 1.35   | 
|       | 3.11    |  |            |  | 584                  |       |  |                    | 11.79      |   |           |  | 248    |            |           | Management Fees                   |       |  | 5,302   |            |  |  | 3.38   |   |  |  | 6,007   |  |  |  | 3.11   | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 19.57   |  |            |  | 3,673                |       |  |                    | 58.40      |   |           |  | 1,226  |            |           | Total Selling Costs               |       |  | 33,916  |            |  |  | 21.59  |   |  |  | 37,739  |  |  |  | 19.56  | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       | 84.23   |  |            |  | 15,806               |       |  |                    | 405.46     |   |           |  | 8,515  |            |           | FOR Revenue                       |       |  | 146,632 |            |  |  | 93.34  |   |  |  | 162,502 |  |  |  | 84.22  | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Cost of Production                |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 43.55   |  |            |  | 8,172                |       |  |                    | 373.81     |   |           |  | 7,850  |            |           | Mining Costs                      |       |  | 90,649  |            |  |  | 57.71  |   |  |  | 91,697  |  |  |  | 47.52  | 
|       |        |  |            |  |                     |       |  |                    |           |   |           |  |       |            |           | Change in O/B in Advance(OC Only) |       |  |        |            |  |  |       |   |  |  |        |  |  |  |       | 
|       | 7.70    |  |            |  | 1,445                |       |  |                    | 24.23      |   |           |  | 509    |            |           | CHPP                              |       |  | 13,520  |            |  |  | 8.61   |   |  |  | 14,372  |  |  |  | 7.45   | 
|       | (9.60)  |  |            |  | (1,801               | )     |  |                    | 42.68      |   |           |  | 896    |            |           | Change in Coal Stocks             |       |  | (3,036  | )          |  |  | (1.93  | ) |  |  | 5,513   |  |  |  | 2.86   | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 41.65   |  |            |  | 7,816                |       |  |                    | 440.72     |   |           |  | 9,256  |            |           | Total Cost of Production          |       |  | 101,132 |            |  |  | 64.38  |   |  |  | 111,582 |  |  |  | 57.83  | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           | Off site costs                    |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       | 0.59    |  |            |  | 110                  |       |  |                    | 0.51       |   |           |  | 11     |            |           | Brisbane Overheads                |       |  | 1,070   |            |  |  | 0.68   |   |  |  | 1,175   |  |  |  | 0.61   | 
|       | 0.21    |  |            |  | 40                   |       |  |                    | 1.02       |   |           |  | 21     |            |           | Marketing Overheads               |       |  | 406     |            |  |  | 0.26   |   |  |  | 426     |  |  |  | 0.22   | 
|       | 0.21    |  |            |  | 39                   |       |  |                    | (0.70      | ) |           |  | (15    | )          |           | Property Management               |       |  | 243     |            |  |  | 0.15   |   |  |  | 421     |  |  |  | 0.22   | 
|       |        |  |            |  |                     |       |  |                    |           |   |           |  |       |            |           | Leased equipment Interest         |       |  | 3       |            |  |  |       |   |  |  | 3       |  |  |  |       | 
|       |        |  |            |  |                     |       |  |                    | 13.98      |   |           |  | 294    |            |           | Finance other                     |       |  | (60     | )          |  |  | (0.04  | ) |  |  |        |  |  |  |       | 
|       |        |  |            |  |                     |       |  |                    |           |   |           |  |       |            |           | (Profit)/loss disposal            |       |  |         |            |  |  |       |   |  |  |        |  |  |  |       | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       | 1.01    |  |            |  | 189                  |       |  |                    | 14.81      |   |           |  | 311    |            |           | Total Off Site costs              |       |  | 1,661   |            |  |  | 1.06   |   |  |  | 2,025   |  |  |  | 1.05   | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       | 42.66   |  |            |  | 8,005                |       |  |                    | 455.53     |   |           |  | 9,567  |            |           | Total Production Cost             |       |  | 102,794 |            |  |  | 65.44  |   |  |  | 113,608 |  |  |  | 58.88  | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       | 62.23   |  |            |  | 11,678               |       |  |                    | 513.93     |   |           |  | 10,793 |            |           | Total Cost                        |       |  | 136,710 |            |  |  | 87.03  |   |  |  | 151,347 |  |  |  | 78.43  | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 
|       |         |  |            |  |                      |       |  |                   
|       | 41.57   |  |            |  | 7,801                |       |  |                    | (50.07     | ) |           |  | (1,051 | )          |           | Profit / (Loss)                   |       |  | 43,838  |            |  |  | 27.91  |   |  |  | 48,894  |  |  |  | 25.34  | 
|       |         |  |            |  |                      |       |  |                    |            |   |           |  |        |            |           |                                   |       |  |         |            |  |  |        |   |  |  |         |  |  |  |        | 



---

Ashton Coal Operations Limited

Opencut Detail Cost Report



|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  |                                      |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|---------------------- | ------ |  | ------ |  | --------- | ---------------------- | -------------------- |  | ------ | - |  |  | --------- | - |  | ------------------------------------ |  | -------- | ---------------------- |  | ---------- | ------ |  |  | ---------------------- | - |  |  | ---------- | - |  |  | ----- | -
|Jun-10                 |        |  |        |  |           |                        | 12 Months to June 10 | 
|Unit Cost perROM tonne |        |  | Budget |  |           | Unit Cost perROM tonne |                      |  | Actual |   |  |  |           |   |  | Actual                               |  |          | Unit Cost perROM tonne |  |            | Budget |  |  | Unit Cost perROM tonne |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       |        |  |        |  | 696,832   |                        |                      |  |        |   |  |  | 707,858   |   |  | Overburden Removed (BCM)             |  |          |                        |  | 8,966,321  |        |  |  |                        |   |  |  | 8,470,757  |   |  |  |       |  
|                       |        |  |        |  | 154,305   |                        |                      |  |        |   |  |  | 186,545   |   |  | Opencut ROM Mined (Tonnes)           |  |          |                        |  | 1,840,478  |        |  |  |                        |   |  |  | 1,889,466  |   |  |  |       |  
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  |                                      |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Mine Management Open Cut             |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 0.16   |  |        |  | 24,835    |                        |                      |  | 0.15   |   |  |  | 28,669    |   |  | Mine Management Open Cut             |  | 301      |                        |  | 353,474    |        |  |  | 0.19                   |   |  |  | 289,920    |   |  |  | 0.15  |  
|                       | 0.16   |  |        |  | 24,835    |                        |                      |  | 0.15   |   |  |  | 28,669    |   |  |                                      |  | OCMM     |                        |  | 353,474    |        |  |  | 0.19                   |   |  |  | 289,920    |   |  |  | 0.15  |  
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Overburden Removal (per BCM)         |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 0.07   |  |        |  | 49,889    |                        |                      |  | 0.07   |   |  |  | 48,612    |   |  | Overburden - Supervision             |  | 310      |                        |  | 617,176    |        |  |  | 0.07                   |   |  |  | 582,059    |   |  |  | 0.07  |  
|                       | 1.03   |  |        |  | 717,133   |                        |                      |  | 1.08   |   |  |  | 766,493   |   |  | Overburden - Drill & Blast           |  | 315      |                        |  | 9,414,556  |        |  |  | 1.05                   |   |  |  | 9,343,281  |   |  |  | 1.10  |  
|                       | 3.03   |  |        |  | 2,114,343 |                        |                      |  | 3.04   |   |  |  | 2,149,325 |   |  | Overburden - Removal                 |  | 316      |                        |  | 27,631,573 |        |  |  | 3.08                   |   |  |  | 28,338,844 |   |  |  | 3.35  |  
|                       | 0.35   |  |        |  | 243,851   |                        |                      |  | 0.57   |   |  |  | 400,541   |   |  | Mine Support Services                |  | 377      |                        |  | 5,088,660  |        |  |  | 0.57                   |   |  |  | 3,961,783  |   |  |  | 0.47  |  
|                       | 4.48   |  |        |  | 3,125,216 |                        |                      |  | 4.75   |   |  |  | 3,364,971 |   |  |                                      |  | OVERBURD |                        |  | 42,751,966 |        |  |  | 4.77                   |   |  |  | 42,226,067 |   |  |  | 4.98  |  
|                       | 20.25  |  |        |  | / ROM t   |                        |                      |  | 18.04  |   |  |  | / ROM t   |   |  |                                      |  |          |                        |  | / ROM t    |        |  |  | 23.23                  |   |  |  | / ROM t    |   |  |  | 22.35 |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Coal Mining                          |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 0.11   |  |        |  | 16,407    |                        |                      |  | 0.07   |   |  |  | 13,219    |   |  | Coaling - Supervision                |  | 320      |                        |  | 209,730    |        |  |  | 0.11                   |   |  |  | 191,312    |   |  |  | 0.10  |  
|                       | 2.49   |  |        |  | 383,697   |                        |                      |  | 2.34   |   |  |  | 436,341   |   |  | Coaling - Mine Coal to ROM           |  | 323      |                        |  | 5,467,233  |        |  |  | 2.97                   |   |  |  | 5,745,702  |   |  |  | 3.04  |  
|                       |       |  |        |  |          |                        |                      |  |       |   |  |  |          |   |  | Coaling - Coal sampling & analysis R |  | 391      |                        |  |           |        |  |  |                       |   |  |  |           |   |  |  |      |  
|                       | 2.59   |  |        |  | 400,104   |                        |                      |  | 2.41   |   |  |  | 449,561   |   |  |                                      |  | COALING  |                        |  | 5,676,963  |        |  |  | 3.08                   |   |  |  | 5,937,014  |   |  |  | 3.14  |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Rehabilitation                       |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       |       |  |        |  |          |                        |                      |  |       |   |  |  |          |   |  | Rehabilitation - Supervision         |  | 330      |                        |  |           |        |  |  |                       |   |  |  |           |   |  |  |      |  
|                       |       |  |        |  |          |                        |                      |  | 0.40   |   |  |  | 75,410    |   |  | Reshape Waste Dumps                  |  | 331      |                        |  | 76,801     |        |  |  | 0.04                   |   |  |  | 175,500    |   |  |  | 0.09  |  
|                       |       |  |        |  |          |                        |                      |  |       |   |  |  |          |   |  | Spread Topsoil                       |  | 332      |                        |  |           |        |  |  |                       |   |  |  |           |   |  |  |      |  
|                       |       |  |        |  |          |                        |                      |  |       |   |  |  |          |   |  | Construct & Maintain Drainage Struc  |  | 333      |                        |  |           |        |  |  |                       |   |  |  |           |   |  |  |      |  
|                       |       |  |        |  |          |                        |                      |  | 0.09   |   |  |  | 17,505    |   |  | Seeding & Revegetation               |  | 335      |                        |  | 127,932    |        |  |  | 0.07                   |   |  |  | 767,590    |   |  |  | 0.41  |  
|                       |       |  |        |  |          |                        |                      |  | 0.50   |   |  |  | 92,915    |   |  |                                      |  | REHAB    |                        |  | 203,733    |        |  |  | 0.11                   |   |  |  | 943,090    |   |  |  | 0.50  |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Technical Services                   |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 0.38   |  |        |  | 59,094    |                        |                      |  | 0.33   |   |  |  | 61,676    |   |  | Supervision                          |  | 371      |                        |  | 664,317    |        |  |  | 0.37                   |   |  |  | 690,081    |   |  |  | 0.37  |  
|                       | 0.29   |  |        |  | 44,200    |                        |                      |  | 0.32   |   |  |  | 59,028    |   |  | Mine Plan & Scheduling               |  | 372      |                        |  | 348,279    |        |  |  | 0.19                   |   |  |  | 193,400    |   |  |  | 0.10  |  
|                       |       |  |        |  |          |                        |                      |  |       |   |  |  |          |   |  | Environmental Monitoring             |  | 374      |                        |  | 2,270      |        |  |  | 0.00                   |   |  |  |           |   |  |  |      |  
|                       | 0.01   |  |        |  | 2,000     |                        |                      |  |       |   |  |  |          |   |  | Geological Modeling                  |  | 375      |                        |  | 116,900    |        |  |  | 0.06                   |   |  |  | 24,000     |   |  |  | 0.01  |  
|                       | 0.68   |  |        |  | 105,294   |                        |                      |  | 0.65   |   |  |  | 120,704   |   |  |                                      |  | OCTS     |                        |  | 1,151,766  |        |  |  | 0.63                   |   |  |  | 907,481    |   |  |  | 0.48  |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Safety and Training                  |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 0.18   |  |        |  | 27,682    |                        |                      |  | 0.19   |   |  |  | 34,604    |   |  | Opencut Safety                       |  | 392      |                        |  | 345,307    |        |  |  | 0.19                   |   |  |  | 332,180    |   |  |  | 0.18  |  
|                       |       |  |        |  |          |                        |                      |  |       |   |  |  |          |   |  | Opencut Training                     |  | 393      |                        |  |           |        |  |  |                       |   |  |  |           |   |  |  |      |  
|                       | 0.18   |  |        |  | 27,682    |                        |                      |  | 0.19   |   |  |  | 34,604    |   |  |                                      |  |          |                        |  | 345,307    |        |  |  | 0.19                   |   |  |  | 332,180    |   |  |  | 0.18  |  
|                       |       |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  |                                      |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       |       |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Other                                |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 0.18   |  |        |  | 28,500    |                        |                      |  | 0.21   |   |  |  | 39,341    |   |  | Open Cut Facilities                  |  | 355      |                        |  | 492,441    |        |  |  | 0.27                   |   |  |  | 342,000    |   |  |  | 0.18  |  
|                       | 0.18   |  |        |  | 28,500    |                        |                      |  | 0.21   |   |  |  | 39,341    |   |  |                                      |  |          |                        |  | 492,441    |        |  |  | 0.27                   |   |  |  | 342,000    |   |  |  | 0.18  |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  | Maintenance                          |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 0.65   |  |        |  | 100,191   |                        |                      |  | 0.47   |   |  |  | 88,807    |   |  | Supervision                          |  | 340      |                        |  | 1,208,663  |        |  |  | 0.66                   |   |  |  | 1,202,288  |   |  |  | 0.64  |  
|                       | 0.23   |  |        |  | 36,200    |                        |                      |  | 0.21   |   |  |  | 38,611    |   |  | Workshop General                     |  | 341      |                        |  | 546,459    |        |  |  | 0.30                   |   |  |  | 434,400    |   |  |  | 0.23  |  
|                       | 0.20   |  |        |  | 31,168    |                        |                      |  | 0.10   |   |  |  | 18,920    |   |  | Mechanical Maintenance - General     |  | 342      |                        |  | 1,069,317  |        |  |  | 0.58                   |   |  |  | 373,992    |   |  |  | 0.20  |  
|                       | 0.19   |  |        |  | 30,000    |                        |                      |  | 0.13   |   |  |  | 24,463    |   |  | Electrical Maintenance - General     |  | 343      |                        |  | 483,697    |        |  |  | 0.26                   |   |  |  | 360,006    |   |  |  | 0.19  |  
|                       | 0.22   |  |        |  | 33,378    |                        |                      |  | 0.11   |   |  |  | 21,224    |   |  | Maintenance Facilities               |  | 344      |                        |  | 246,389    |        |  |  | 0.13                   |   |  |  | 400,536    |   |  |  | 0.21  |  
|                       | 0.19   |  |        |  | 29,778    |                        |                      |  | 0.17   |   |  |  | 31,048    |   |  | Purchasing Stores & Logistics        |  | 345      |                        |  | 411,612    |        |  |  | 0.22                   |   |  |  | 357,338    |   |  |  | 0.19  |  
|                       | 0.59   |  |        |  | 90,600    |                        |                      |  | 0.32   |   |  |  | 59,225    |   |  | Servicing                            |  | 346      |                        |  | 936,186    |        |  |  | 0.51                   |   |  |  | 1,087,201  |   |  |  | 0.58  |  
|                       |       |  |        |  |          |                        |                      |  |       |   |  |  |          |   |  | Demob/Mob Plant Equipment            |  | 347      |                        |  |           |        |  |  |                       |   |  |  |           |   |  |  |      |  
|                       |       |  |        |  |          |                        |                      |  | 0.20   |   |  |  | 37,821    |   |  | Accident Damage                      |  | 348      |                        |  | 318,649    |        |  |  | 0.17                   |   |  |  |           |   |  |  |      |  
|                       | (2.28) |  |        |  | (351,313  | )                      |                      |  | (1.66  | ) |  |  | (309,849  | ) |  | Plant Recovery                       |  |          |                        |  | (4,856,948 | )      |  |  | (2.64                  | ) |  |  | (4,215,761 | ) |  |  | (2.23 | )
|                       | (0.00) |  |        |  | (0        | )                      |                      |  | 0.05   |   |  |  | 10,070    |   |  |                                      |  | MAINT    |                        |  | 364,025    |        |  |  | 0.20                   |   |  |  |           |   |  |  |      |  
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  |                                      |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       |        |  |        |  |           |                        |                      |  |       
|                       | 24.05  |  |        |  | 3,711,630 |                        |                      |  | 22.20  |   |  |  | 4,140,834 |   |  | Opencut Costs (ex Depreciation)      |  |          |                        |  | 51,339,675 |        |  |  | 27.89                  |   |  |  | 50,977,752 |   |  |  | 28.98 |  
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  |                                      |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 1.11   |  |        |  | 171,246   |                        |                      |  | 2.19   |   |  |  | 407,602   |   |  | Administration                       |  |          |                        |  | 2,862,538  |        |  |  | 1.56                   |   |  |  | 3,019,778  |   |  |  | 1.60  |  
|                       | 0.36   |  |        |  | 55,210    |                        |                      |  | 0.80   |   |  |  | 148,763   |   |  | Environmental Mgt                    |  |          |                        |  | 973,825    |        |  |  | 0.53                   |   |  |  | 1,064,364  |   |  |  | 0.56  |  
|                       | 2.37   |  |        |  | 365,954   |                        |                      |  | 2.77   |   |  |  | 517,467   |   |  | Depreciation                         |  |          |                        |  | 5,161,698  |        |  |  | 2.80                   |   |  |  | 4,351,214  |   |  |  | 2.30  |  
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  |                                      |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  
|                       | 27.89  |  |        |  | 4,304,041 |                        |                      |  | 27.95  |   |  |  | 5,214,666 |   |  | Total Opencut Cost                   |  |          |                        |  | 60,337,736 |        |  |  | 32.78                  |   |  |  | 59,413,107 |   |  |  | 31.44 |  
|                       |        |  |        |  |           |                        |                      |  |        |   |  |  |           |   |  |                                      |  |          |                        |  |            |        |  |  |                        |   |  |  |            |   |  |  |       |  



---

Advanced overburden stripping calculation



|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|----------------------- |  | ------ | --------- |  | -------------------- |  | ------- | ------ |  |  | ---------- |  |  | ---- | ---------- |  | ------ |  | ----- |  |  |  | ------------ | 
|                        |  | Jun-10 |           |  | 12 Months to June 10 | 
|VALUE $000s            |  | BCM    |           |  | Rate                 |  |         | $000s |  |  | BCM        |  |  | Rate |            |  | $000s | 
|Opening Stock           |  |        | 1,566,232 |  |                      |  | 4.81    |        |  |  | 7,533,574  |  |  |      | 2,727,636  |  |        |  | 4.95  |  |  |  | 13,501,798   | 
|Removed - value         |  |        | 707,858   |  |                      |  | 4.75    |        |  |  | 3,364,971  |  |  |      | 8,966,321  |  |        |  | 4.77  |  |  |  | 42,751,966   | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|Subtotal                |  |        | 2,274,090 |  |                      |  | 4.79    |        |  |  | 10,898,545 |  |  |      | 11,693,957 |  |        |  | 4.81  |  |  |  | 56,253,764   | 
|                        |  |        |           |  |                      | 
|Closing stock 30/06/10  |  |        | 1,105,775 |  |                      |  | 4.79    |        |  |  | 5,296,662  |  |  |      | 1,105,775  |  |        |  | 4.79  |  |  |  | 5,296,662    | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      | 
|Consumed - value $000s |  |        | 1,168,315 |  |                      |  | 4.79    |        |  |  | 5,601,883  |  |  |      | 10,588,182 |  |        |  | 4.81  |  |  |  | 50,957,102   | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      | 
|INVENTORY               |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  | Jun-10 |           |  | 12 Months to June 10 | 
|UNDERGROUND
ROM         |  | Tonnes |           |  | Rate                 |  |         | Total  |  |  | Tonnes     |  |  | Rate |            |  | Total  | 
|Opening Stock           |  |        | 10,555    |  |                      |  | 29.47   |        |  |  | 311,036    |  |  |      | 117,416    |  |        |  | 16.24 |  |  |  | 1,906,408    | 
|ROM Production          |  |        | 6,156     |  |                      |  | 1284.72 |        |  |  | 7,908,753  |  |  |      | 2,690,667  |  |        |  | 33.71 |  |  |  | 90,707,412   | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        | 16,711    |  |                      |  | 491.88  |        |  |  | 8,219,789  |  |  |      | 2,808,083  |  |        |  | 32.98 |  |  |  | 92,613,620   | 
|Washed                  |  |        | -13,989   |  |                      |  | 481.88  |        |  |  | -6,880,909 |  |  |      | -2,805,361 |  |        |  | 32.97 |  |  |  | -92,498,835  | 
|NRV Adj                 |  |        |           |  |                      |  |         |        |  |  | -1,223,894 |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|Closing stock 30/06/10  |  |        | 2,722     |  |                      |  | 42.24   |        |  |  | 114,986    |  |  |      | 2,722      |  |        |  | 42.24 |  |  |  | 114,986      | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      | 
|Production              |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|Opening Stock           |  |        | 208,088   |  |                      |  | 56.70   |        |  |  | 11,799,480 |  |  |      | 157,286    |  |        |  | 39.87 |  |  |  | 6,271,326    | 
|Product                 |  |        | 5,472     |  |                      |  | 1257.48 |        |  |  | 6,880,909  |  |  |      | 1,615,492  |  |        |  | 57.26 |  |  |  | 92,498,835   | 
|Washing Costs           |  |        | 0         |  |                      |  |         |        |  |  | 508,807    |  |  |      |            |  |        |  |       |  |  |  | 13,519,602   | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        | 213,561   |  |                      |  | 89.85   |        |  |  | 19,189,196 |  |  |      | 1,772,778  |  |        |  | 63.34 |  |  |  | 112,289,765  | 
|Coal sales              |  |        | -21,001   |  |                      |  | 89.85   |        |  |  | -1,886,969 |  |  |      | -1,570,972 |  |        |  | 63.34 |  |  |  | -101,190,650 | 
|Adj +/-                 |  |        | 819       |  |                      |  | 0       |        |  |  | 0          |  |  |      | -8,428     |  |        |  | 0     |  |  |  | 0            | 
|NRV Adj                 |  |        |           |  |                      |  |         |        |  |  | -6,203,113 |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|Closing stock 30/05/10  |  |        | 193,378   |  |                      |  | 57.40   |        |  |  | 11,099,114 |  |  |      | 193,378    |  |        |  | 57.40 |  |  |  | 11,099,114   | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      | 
|OPEN CUT
ROM            |  | Tonnes |           |  | Rate                 |  |         | Total  |  |  | Tonnes     |  |  | Rate |            |  | Total  | 
|Opening Stock           |  |        | 15,762    |  |                      |  | 39.61   |        |  |  | 624,283    |  |  |      | 62,285     |  |        |  | 32.92 |  |  |  | 2,050,138    | 
|AOB Movement            |  |        | 0         |  |                      |  |         |        |  |  | 2,236,912  |  |  |      | 0          |  |        |  | 0.00  |  |  |  | 8,205,136    | 
|ROM Production          |  |        | 186,545   |  |                      |  | 28.17   |        |  |  | 5,254,526  |  |  |      | 1,840,478  |  |        |  | 32.81 |  |  |  | 60,377,596   | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        | 202,307   |  |                      |  | 40.12   |        |  |  | 8,115,721  |  |  |      | 1,902,763  |  |        |  | 37.12 |  |  |  | 70,632,870   | 
|Washed                  |  |        | -162,880  |  |                      |  | 40.12   |        |  |  | -6,533,943 |  |  |      | -1,863,318 |  |        |  | 37.06 |  |  |  | -69,051,093  | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|Closing stock 30/06/10  |  |        | 39,447    |  |                      |  | 40.10   |        |  |  | 1,581,778  |  |  |      | 39,447     |  |        |  | 40.10 |  |  |  | 1,581,778    | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      | 
|Production              |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|Opening Stock           |  |        | 109,674   |  |                      |  | 75.08   |        |  |  | 8,234,667  |  |  |      | 76,847     |  |        |  | 57.88 |  |  |  | 4,448,016    | 
|Production              |  |        | 95,623    |  |                      |  | 68.33   |        |  |  | 6,633,943  |  |  |      | 1,135,916  |  |        |  | 60.79 |  |  |  | 69,051,093   | 
|Washing Costs           |  |        |           |  |                      |  |         |        |  |  | 1,053,743  |  |  |      |            |  |        |  |       |  |  |  | 8,979,697    | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        | 205,297   |  |                      |  | 77.07   |        |  |  | 15,822,353 |  |  |      | 1,212,763  |  |        |  | 68.01 |  |  |  | 82,478,805   | 
|Coal sales              |  |        | -103,114  |  |                      |  | 77.07   |        |  |  | -7,946,971 |  |  |      | -1,104,605 |  |        |  | 68.01 |  |  |  | -74,603,423  | 
|Adj +/-                 |  |        | 48        |  |                      |  | 0       |        |  |  | 0          |  |  |      | -5,926     |  |        |  | 0     |  |  |  | 0            | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|Closing stock 30/06/10  |  |        | 102,232   |  |                      |  | 77.03   |        |  |  | 7,875,382  |  |  |      | 102,232    |  |        |  | 77.03 |  |  |  | 7,875,382    | 
|                        |  |        |           |  |                      |  |         |        |  |  |            |  |  |      |            |  |        |  |       |  |  |  |              | 
|                        |  |        |           |  |                      | 
|Total Inventory         |  |        |           |  |                      |  |         |        |  |  |            |  |  |      | 337, 779   |  |        |  |       |  |  |  | 20,671,250   | 



---

ASHTON COAL OPERATIONS PTY LIMITED

CAPITAL EXPENDITURE & JV RATIFICATON REPORT

12 Months to June10



|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|------------------- | -------- |  | ----------- | ---------------------------------------------------- | ------------------------------- | ----------------------------------- | ------ |  | ---------- | ----------- |  |  | ------------------- | - |  | ----------- | ------ |  | ------------------- |  | ----- |  |  |  | ------ | 
|CAPITAL EXPENDITURE |         
|COST
CODE           |          |  | DESCRIPTION |                                                      | Ratified by
Operating Committee |                                     | CERAMT |  |            | ACTUALMONTH |  |  | ACTUALYEAR TO 
DATE |   |  | BUDGETMONTH |        |  | BUDGETYEAR TO 
DATE | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            | $000s     |  |  | $000s             |   |  | $000s     |        |  | $000s             | 
|                    |          |  |             | 2008 / 2009 Program Carried forward approved Capital |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | UNDERGROUND                                          |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    | 20018109 |  |             | Rib Bolting Rigs for Miners                          |                                 | 15/06/2009                          |        |  | 343,872    |             |  |  | 0                   |   |  |             | 172    |  |                     |  | 0     |  |  |  | 350    | 
|                    | 20018110 |  |             | 1400 & 1600 Structure and Conveyor                   |                                 | 3rd Develop. Unit (Approved 2008)   |        |  |           |             |  |  | 2                   |   |  |             | 728    |  |                     |  | 0     |  |  |  |        | 
|                    | 20018112 |  |             | Submersible Pump Relocation                          |                                 | 15/06/2009                          |        |  | 280,000    |             |  |  | 0                   |   |  |             | 344    |  |                     |  | 0     |  |  |  | 280    | 
|                    | 20018113 |  |             | New Ventilation Shaft                                |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 220    | 
|                    | 20200112 |  |             | Shuttle Cars                                         |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 1,259  |  |                     |  | 0     |  |  |  | 1,350  | 
|                    | 20200131 |  |             | Personnel Transport                                  |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 314    |  |                     |  | 0     |  |  |  | 315    | 
|                    | 20200191 |  |             | Maingate Drive                                       |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 2,697  |  |                     |  | 0     |  |  |  | 2,486  | 
|                    | 20200192 |  |             | Northwest Mains Tripper                              |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 76                  |   |  |             | 1,398  |  |                     |  | 0     |  |  |  | 1,080  | 
|                    | 20200133 |  |             | 2MVA Section Transformer                             |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 165    |  |                     |  | 0     |  |  |  | 180    | 
|                    | 20200143 |  |             | Diesel Attachements                                  |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 56     |  |                     |  | 0     |  |  |  | 100    | 
|                    | 20200150 |  |             | Bat Bag Man Basket                                   |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 34                  |   |  |             | 34     |  |                     |  | 0     |  |  |  |        | 
|                    | 25405000 |  |             | Longwall (Final Settlement)                          |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             | 261    |  |                     |  | 0     |  |  |  |        | 
|                    | 20200114 |  |             | Trailer                                              |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 49     |  |                     |  | 0     |  |  |  |        | 
|                    | 20200132 |  |             | LHD                                                  |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 79                  |   |  |             | 79     |  |                     |  | 0     |  |  |  |        | 
|                    | 20200173 |  |             | Emergency Cache                                      |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 64                  |   |  |             | 77     |  |                     |  | 0     |  |  |  |        | 
|                    | 20200175 |  |             | Air Equipment                                        |                                 | 3rd Develop. Unit (Approved 2009)   |        |  |           |             |  |  | 0                   |   |  |             | 18     |  |                     |  | 0     |  |  |  |        | 
|                    |          |  |             | CHPP                                                 |                                 |                                     |        |  |            |             |  |  |                     |   |  |             | 0      |  |                     |  | 0     |  |  |  |        | 
|                    | 20018132 |  |             | Feeder/Breaker                                       |                                 | (CER Approval $1,431M)22/04/2009    |        |  | 250,000    |             |  |  | 0                   |   |  |             | 598    |  |                     |  | 0     |  |  |  | 250    | 
|                    | 20018130 |  |             | Tripper Power Control System                         |                                 | 15/06/2009                          |        |  | 85,000     |             |  |  | 0                   |   |  |             | 180    |  |                     |  | 0     |  |  |  | 85     | 
|                    | 20018115 |  |             | Train Loadout Weightometers                          |                                 | 15/06/2009                          |        |  | 90,000     |             |  |  | 0                   |   |  |             | 52     |  |                     |  | 0     |  |  |  | 90     | 
|                    |          |  |             | Administration                                       |                                 |                                     |        |  |            |             |  |  |                     |   |  |             | 0      |  |                     |  | 0     |  |  |  |        | 
|                    | 20018124 |  |             | Upgrade Toilet Facilities                            |                                 | 22/10/2009                          |        |  | 57,572     |             |  |  | 0                   |   |  |             | 70     |  |                     |  | 0     |  |  |  | 70     | 
|                    | 20018125 |  |             | VOP Equipment                                        |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             | 89     |  |                     |  | 0     |  |  |  |        | 
|                    | 20018122 |  |             | Main Office Refurbishment                            |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             |        |  |                     |  | 0     |  |  |  | 100    | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total 08/09 carried forward Capital                  |                                 |                                     |        |  | 1,106,444  |             |  |  | 255                 |   |  |             | 8,640  |  |                     |  | 0     |  |  |  | 6,956  | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |       
|                    |          |  |             | 2009 / 2010 Program                                  |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | OPENCUT (NEOC)                                       |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    | 20018511 |  |             | Two Way Radios                                       |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             |        |  |                     |  | 0     |  |  |  | 10     | 
|                    | 20018512 |  |             | Aluminum Work Platforms                              |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             |        |  |                     |  | 0     |  |  |  | 20     | 
|                    | 20018513 |  |             | Various Hydraulic Press Equipment                    |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             |        |  |                     |  | 0     |  |  |  | 20     | 
|                    | 20018514 |  |             | GPS Survey Unit                                      |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             | 68     |  |                     |  | 0     |  |  |  | 80     | 
|                    | 20018526 |  |             | Excavator Damage                                     |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             | 175    |  |                     |  | 0     |  |  |  | 0      | 
|                    | 20018527 |  |             | Purchase Hired D10 Dozer TD3073                      |                                 | 14/12/2009                          |        |  | 425,000    |             |  |  | 0                   |   |  |             | 400    |  |                     |  | 0     |  |  |  | 0      | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total Open Cut                                       |                                 |                                     |        |  | 425,000    |             |  |  | 0                   |   |  |             | 643    |  |                     |  | 0     |  |  |  | 130    | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |       
|                    |          |  |             | UNDERGROUND                                          |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Scheduled Overhauls/Replacement                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    | 20018506 |  |             | Replace Shuttle Cars No. 1, 2 & 3                    |                                 | 25/08/2009                          |        |  | 1,650,000  |             |  |  | 265                 |   |  |             | 1,276  |  |                     |  | 900   |  |  |  | 1,650  | 
|                    |          |  |             | Conveyors                                            |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  | 0      | 
|                    | 20018504 |  |             | 1400mm Conveyor Belt                                 |                                 | 25/08/2009                          |        |  | 480,000    |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 480    | 
|                    | 20018504 |  |             | 1400mm Structure                                     |                                 | 25/08/2009                          |        |  | 560,000    |             |  |  | 0                   |   |  |             | 1,132  |  |                     |  | 0     |  |  |  | 560    | 
|                    | 20018504 |  |             | 1600mm Structure and Conveyor Belt                   |                                 | 25/08/2009                          |        |  | 189,000    |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 189    | 
|                    | 20018504 |  |             | 1600mm Conveyor belt                                 |                                 | 25/08/2009                          |        |  | 144,000    |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 144    | 
|                    |          |  |             | Infrastructure                                       |                                 |                                     |        |  |            |             |  |  |                     |   |  |             | 0      |  |                     |  |       |  |  |  | 0      | 
|                    | 20018508 |  |             | Submersible Pump Relocation                          |                                 | 25/08/2009                          |        |  | 494,240    |             |  |  | 29                  |   |  |             | 414    |  |                     |  | 0     |  |  |  | 600    | 
|                    | 20018525 |  |             | ULD Access                                           |                                 | - $5.3M budgeted for FY 2010/11 - 1 |        |  | 12,650,000 |             |  |  | 751                 |   |  |             | 3,865  |  |                     |  | 1,768 |  |  |  | 5,300  | 
|                    | 20018509 |  |             | Back Road Ventilation Shaft                          |                                 | 25/08/2009                          |        |  | 450,000    |             |  |  | 0                   |   |  |             | 458    |  |                     |  | 0     |  |  |  | 450    | 
|                    | 20018516 |  |             | Power Distrubtion & Communications                   |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 250    | 
|                    | 20018505 |  |             | Compressor                                           |                                 | 25/08/2009                          |        |  | 480,000    |             |  |  | 0                   |   |  |             | 518    |  |                     |  | 0     |  |  |  | 350    | 
|                    | 20018507 |  |             | Road Sealing                                         |                                 | 25/08/2009                          |        |  | 376,452    |             |  |  | 0                   |   |  |             | 376    |  |                     |  | 0     |  |  |  | 400    | 
|                    | 20018530 |  |             | 6x 330MM 11KV Cables                                 |                                 |                                     |        |  | 228,676    |             |  |  | 229                 |   |  |             | 229    |  |                     |  | 0     |  |  |  | 0      | 
|                    |          |  |             | Safety                                               |                                 |                                     |        |  |            |             |  |  |                     |   |  |             | 0      |  |                     |  |       |  |  |  | 0      | 
|                    | 20018517 |  |             | Emergency Excape System                              |                                 | 22/10/2009                          |        |  | 145,000    |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 250    | 
|                    | 20018518 |  |             | Seal Goaf Inertisation                               |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 500    | 
|                    | 20018131 |  |             | Gas Chromatograph                                    |                                 | 25/08/2009                          |        |  | 67,950     |             |  |  | 0                   |   |  |             | 66     |  |                     |  | 0     |  |  |  | 140    | 
|                    | 20018519 |  |             | Geological Database Management System                |                                 | 25/08/2009                          |        |  | 25,000     |             |  |  | 0                   |   |  |             | 23     |  |                     |  | 0     |  |  |  | 25     | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  | 0                   |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total Underground                                    |                                 |                                     |        |  | 17,711,642 |             |  |  | 1,274               |   |  |             | 8,358  |  |                     |  | 2,668 |  |  |  | 11,288 | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |       
|                    |          |  |             | CHPP                                                 |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Mechanical                                           |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    | 20018510 |  |             | Crane inspection platform mod 2                      |                                 | 25/08/2009                          |        |  | 25,000     |             |  |  | 0                   |   |  |             | 17     |  |                     |  | 0     |  |  |  | 25     | 
|                    |          |  |             | Electrical                                           |                                 |                                     |        |  |            |             |  |  |                     |   |  |             | 0      |  |                     |  |       |  |  |  | 0      | 
|                    | 20018130 |  |             | Tripper cable reel and control panel                 |                                 | 15/06/2009                          |        |  | 85,000     |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 85     | 
|                    | 20018500 |  |             | High Voltage Swithroom PLC                           |                                 | 25/08/2009                          |        |  | 10,000     |             |  |  | (3                  | ) |  |             | 0      |  |                     |  | 0     |  |  |  | 10     | 
|                    | 20018521 |  |             | Thickener Bed Level Monitoring                       |                                 |                                     |        |  |           |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 30     | 
|                    | 20018502 |  |             | UPS for #1 415 volt switch room                      |                                 | 25/08/2009                          |        |  | 6,000      |             |  |  | 0                   |   |  |             | 6      |  |                     |  | 0     |  |  |  | 6      | 
|                    | 20018501 |  |             | MCC 6 Weather Protection                             |                                 | 25/08/2009                          |        |  | 9,000      |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 9      | 
|                    | 20018533 |  |             | Reloc 33 KV Power Lines Mac Gen                      |                                 |                                     |        |  | 110,000    |             |  |  | 110                 |   |  |             | 110    |  |                     |  | 0     |  |  |  | 0      | 
|                    | 20018534 |  |             | 4th Continuous Miner                                 |                                 |                                     |        |  | 5,239,466  |             |  |  | 786                 |   |  |             | 786    |  |                     |  | 0     |  |  |  | 0      | 
|                    |          |  |             | Operational                                          |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  | 0      | 
|                    | 20018503 |  |             | Bobcat                                               |                                 | 25/08/2009                          |        |  | 50,000     |             |  |  | 0                   |   |  |             | 45     |  |                     |  | 0     |  |  |  | 50     | 
|                    | 20018520 |  |             | Upgrade Fire systems for council approval            |                                 | 25/08/2009                          |        |  | 100,000    |             |  |  | 0                   |   |  |             | 0      |  |                     |  | 0     |  |  |  | 100    | 
|                    | 20018536 |  |             | Ravensworth Dam Lift 2                               |                                 |                                     |        |  | 2,400,000  |             |  |  | 839                 |   |  |             | 839    |  |                     |  | 0     |  |  |  | 0      | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  | 0                   |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total CHPP                                           |                                 |                                     |        |  | 285,000    |             |  |  | 1,732               |   |  |             | 1,803  |  |                     |  | 0     |  |  |  | 315    | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |       
|                    |          |  |             | ENVIRONMENTAL                                        |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    | 20018522 |  |             | Talings Dam Saddle Dam Wall                          |                                 | 14/12/2009                          |        |  | 627,000    |             |  |  | 0                   |   |  |             | 606    |  |                     |  | 0     |  |  |  | 500    | 
|                    | 20018523 |  |             | Bowmans Creek Pump                                   |                                 |                                     |        |  |            |             |  |  | 0                   |   |  |             |        |  |                     |  | 0     |  |  |  | 97     | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  | 0      | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total Environmental                                  |                                 |                                     |        |  | 627,000    |             |  |  | 0                   |   |  |             | 606    |  |                     |  | 0     |  |  |  | 597    | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |       
|                    |          |  |             | ADMINISTRATION                                       |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    | 20018524 |  |             | 7 x motor vehicle replacements                       |                                 |                                     |        |  |            |             |  |  | (8                  | ) |  |             | 361    |  |                     |  | 0     |  |  |  | 330    | 
|                    | 20018529 |  |             | Glennies Creek Rd Insurance Part 11                  |                                 |                                     |        |  |            |             |  |  | 281                 |   |  |             | 281    |  |                     |  | 0     |  |  |  | 0      | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  | 0     |  |  |  | 0      | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total Administration                                 |                                 |                                     |        |  | 0          |             |  |  | 273                 |   |  |             | 642    |  |                     |  | 0     |  |  |  | 330    | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |       
|                    |          |  |             | PROJECTS                                             |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    | 20025009 |  |             | Southeast Open Cut/West Pit & Other New Projects     |                                 | Project approval pending            |        |  |            |             |  |  | 1,824               |   |  |             | 11,196 |  |                     |  | 1,973 |  |  |  | 18,819 | 
|                    | 20018531 |  |             | Bengalia Coal Conveyor                               |                                 |                                     |        |  | 1,300      |             |  |  | 0                   |   |  |             | 41     |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             | 0      |  |                     |  |       |  |  |  |        | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total Projects                                       |                                 |                                     |        |  | 1,300      |             |  |  | 1,824               |   |  |             | 11,237 |  |                     |  | 1,973 |  |  |  | 18,819 | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 
|                    |          |  |             | Total 2009/ 2010 Program                             |                                 |                                     |        |  | 20,156,386 |             |  |  | 5,357               |   |  |             | 31,931 |  |                     |  | 4,641 |  |  |  | 38,435 | 
|                    |          |  |             |                                                      |                                 |                                     |        |  |            |             |  |  |                     |   |  |             |        |  |                     |  |       |  |  |  |        | 



---

Ashton Coal Operations Limited

Administration & Overheads Cost Report



|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  |                                           |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|---------------------- | ---- |  | ------ |  | ------- | ---------------------- |  | -------------------- | ------ | - |  |  | ------- | - |  | ----------------------------------------- | ------ |  | ----- | ---------------------- |  |  | --------- | - |  | ---------------------- | ----- | - |  |  | --------- |  |  |  | ---- | 
|Jun-10                 |      |  |        |  |         |                        |  | 12 Months to June 10 |       
|Unit Cost perROM tonne |      |  | Budget |  |         | Unit Cost perROM tonne |  |                      | Actual |   |  |  |         |   |  |                                           | Actual |  |       | Unit Cost perROM tonne |  |  | Budget    |   |  | Unit Cost perROM
tonne |      
|                       |      |  |        |  |         |                        |  |                      |       
|                       |      |  |        |  | 154,305 |                        |  |                      |        |   |  |  | 186,545 |   |  | Opencut ROM Mined (Tonnes)                |        |  |       |                        |  |  | 1,840,478 |   |  |                        |       |   |  |  | 1,889,466 |  |  |  |      | 
|                       |      |  |        |  | 407,052 |                        |  |                      |        |   |  |  | 6,156   |   |  | Underground ROM Mined (Tonnes)            |        |  |       |                        |  |  | 2,690,667 |   |  |                        |       |   |  |  | 3,056,548 |  |  |  |      | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  |                                           |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       |      |  |        |  | 561,357 |                        |  |                      |        |   |  |  | 192,701 |   |  | Total ROM (Tonnes)                        |        |  |       |                        |  |  | 4,531,145 |   |  |                        |       |   |  |  | 4,946,014 |  |  |  |      | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  |                                           |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  | Administration                            |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       | 0.16 |  |        |  | 88,465  |                        |  |                      | 0.63   |   |  |  | 12,1425 |   |  | Salaries                                  |        |  | 80510 |                        |  |  | 1,178,406 |   |  |                        | 0.26  |   |  |  | 1,031,535 |  |  |  | 0.21 | 
|                       | 0.00 |  |        |  | 2,500   |                        |  |                      | 0.03   |   |  |  | 6,471   |   |  | Recruitment Costs                         |        |  | 80710 |                        |  |  | 88,055    |   |  |                        | 0.02  |   |  |  | 30,000    |  |  |  | 0.01 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Staff Relocation                          |        |  | 80715 |                        |  |  | 82        |   |  |                        | 0.00  |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Temporary Staff                           |        |  | 81090 |                        |  |  |          |   |  |                        |      |   |  |  | 52,500    |  |  |  | 0.01 | 
|                       | 00.4 |  |        |  | 22,000  |                        |  |                      |       |   |  |  |        |   |  | FBT                                       |        |  | 80760 |                        |  |  |          |   |  |                        |      |   |  |  | 264,000   |  |  |  | 0.05 | 
|                       | 00.0 |  |        |  | 1,000   |                        |  |                      | 0.00   |   |  |  | 294     |   |  | Staff Pvt Accomodation                    |        |  | 80766 |                        |  |  | 3,582     |   |  |                        | 0.00  |   |  |  | 12,000    |  |  |  | 0.00 | 
|                       |      |  |        |  |         |                        |  |                      | (0.00  | ) |  |  | (39     | ) |  | Luxury Car Tax                            |        |  | 80755 |                        |  |  | (534      | ) |  |                        | (0.00 | ) |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Employee Gifts                            |        |  | 80780 |                        |  |  | 76,845    |   |  |                        | 0.02  |   |  |  |          |  |  |  |     | 
|                       | 0.04 |  |        |  | 23,000  |                        |  |                      | 0.11   |   |  |  | 22,119  |   |  | Contractors - General                     |        |  | 82000 |                        |  |  | 217,321   |   |  |                        | 0.05  |   |  |  | 276,000   |  |  |  | 0.06 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Contractors - Wonnarua                    |        |  | 82037 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      | (0.02  | ) |  |  | (4,138  | ) |  | Materials, Consumables & Spare            |        |  | 83010 |                        |  |  | 12,396    |   |  |                        | 0.00  |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      | 0.22   |   |  |  | 43,350  |   |  | Stocktake Adjustment                      |        |  | 83110 |                        |  |  | (68,460   | ) |  |                        | (0.02 | ) |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Safety                                    |        |  | 83410 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Vehicles                                  |        |  | 84010 |                        |  |  | 1,194     |   |  |                        | 0.00  |   |  |  |          |  |  |  |     | 
|                       | 0.01 |  |        |  | 3,000   |                        |  |                      | 0.01   |   |  |  | 1,360   |   |  | Electricity                               |        |  | 84510 |                        |  |  | 16,619    |   |  |                        | 0.00  |   |  |  | 36,000    |  |  |  | 0.01 | 
|                       | 0.02 |  |        |  | 9,000   |                        |  |                      | 0.01   |   |  |  | 2,768   |   |  | Water                                     |        |  | 84520 |                        |  |  | 95,044    |   |  |                        | 0.02  |   |  |  | 108,000   |  |  |  | 0.02 | 
|                       | 0.01 |  |        |  | 4,000   |                        |  |                      | 0.02   |   |  |  | 4,407   |   |  | Cleaning                                  |        |  | 84530 |                        |  |  | 46,943    |   |  |                        | 0.01  |   |  |  | 48,000    |  |  |  | 0.01 | 
|                       | 0.00 |  |        |  | 2,000   |                        |  |                      | 0.05   |   |  |  | 9,383   |   |  | Security                                  |        |  | 84535 |                        |  |  | 110,531   |   |  |                        | 0.02  |   |  |  | 24,000    |  |  |  | 0.00 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Rates                                     |        |  | 84540 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Rental Expense                            |        |  | 84545 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       | 0.02 |  |        |  | 12,500  |                        |  |                      | 0.05   |   |  |  | 10,119  |   |  | Office Consumables                        |        |  | 85010 |                        |  |  | 120,082   |   |  |                        | 0.03  |   |  |  | 150,000   |  |  |  | 0.03 | 
|                       | 0.01 |  |        |  | 5,000   |                        |  |                      |       |   |  |  |        |   |  | Printing and Stationery                   |        |  | 85015 |                        |  |  |          |   |  |                        |      |   |  |  | 60,000    |  |  |  | 0.01 | 
|                       | 0.00 |  |        |  | 2,500   |                        |  |                      | 0.01   |   |  |  | 2,000   |   |  | Courier Charges                           |        |  | 85025 |                        |  |  | 25,817    |   |  |                        | 0.01  |   |  |  | 30,000    |  |  |  | 0.01 | 
|                       | 0.04 |  |        |  | 25,000  |                        |  |                      | 0.01   |   |  |  | 1,620   |   |  | Subscriptions                             |        |  | 85040 |                        |  |  | 274,390   |   |  |                        | 0.06  |   |  |  | 300,000   |  |  |  | 0.06 | 
|                       | 0.02 |  |        |  | 10,000  |                        |  |                      | 0.04   |   |  |  | 6,996   |   |  | Computer Operating Costs                  |        |  | 85125 |                        |  |  | 139,610   |   |  |                        | 0.03  |   |  |  | 120,000   |  |  |  | 0.02 | 
|                       | 0.01 |  |        |  | 7,500   |                        |  |                      | 0.06   |   |  |  | 11,653  |   |  | Telephones - Fixed                        |        |  | 85210 |                        |  |  | 81,405    |   |  |                        | 0.02  |   |  |  | 90,000    |  |  |  | 0.02 | 
|                       | 0.02 |  |        |  | 9,000   |                        |  |                      | 0.04   |   |  |  | 6,618   |   |  | Telephones - Mobile                       |        |  | 85015 |                        |  |  | 82,248    |   |  |                        |       |   |  |  | 108,000   |  |  |  | 0.02 | 
|                       | 0.01 |  |        |  | 5,000   |                        |  |                      | 0.03   |   |  |  | 4,830   |   |  | Travel - Domestic                         |        |  | 85410 |                        |  |  | 42,723    |   |  |                        | 0.01  |   |  |  | 60,000    |  |  |  | 0.01 | 
|                       | 0.00 |  |        |  | 2,000   |                        |  |                      | 0.00   |   |  |  | 631     |   |  | Entertainment                             |        |  | 85430 |                        |  |  | 51,400    |   |  |                        | 0.01  |   |  |  | 87,000    |  |  |  | 0.02 | 
|                       |      |  |        |  |         |                        |  |                      | 0.01   |   |  |  | 1,200   |   |  | Public Relations                          |        |  | 85620 |                        |  |  | 52,548    |   |  |                        | 0.01  |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Donations Allow                           |        |  | 85630 |                        |  |  | 3,772     |   |  |                        | 0.00  |   |  |  | 30,000    |  |  |  | 0.01 | 
|                       | 0.00 |  |        |  | 2,500   |                        |  |                      | 0.04   |   |  |  | 7,216   |   |  | Legal Fees - Allowable                    |        |  | 86010 |                        |  |  | 176,876   |   |  |                        | 0.04  |   |  |  | 30,000    |  |  |  | 0.01 | 
|                       | 0.25 |  |        |  | 140,667 |                        |  |                      | 1.24   |   |  |  | 239,568 |   |  | Insurance - Industrial                    |        |  | 86410 |                        |  |  | 1,458,205 |   |  |                        | 0.32  |   |  |  | 1,688,000 |  |  |  | 0.34 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Other Bank Charges                        |        |  | 87045 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      | 0.34   |   |  |  | 64,586  |   |  | Fringe Benefits                           |        |  | 87510 |                        |  |  | 240,447   |   |  |                        | 0.05  |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      | 0.07   |   |  |  | 12,833  |   |  | Other Expenses                            |        |  | 87899 |                        |  |  | 27,193    |   |  |                        | 0.01  |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      | 0.10   |   |  |  | 19,055  |   |  | Minor Capital                             |        |  | 88010 |                        |  |  | 105,245   |   |  |                        | 0.02  |   |  |  |          |  |  |  |     | 
|                       | 0.01 |  |        |  | 3,000   |                        |  |                      | 0.01   |   |  |  | 2,716   |   |  | Allocated Plant Costs                     |        |  | 90440 |                        |  |  | 30,890    |   |  |                        | 0.01  |   |  |  | 36,000    |  |  |  | 0.01 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Internal Service                          |        |  | 90660 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  | Minor Capital < $1000                     |        |  | 88010 |                        |  |  |           |   |  |                        |       |   |  |  |          |  |  |  |      | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  | Minor Capital > $1000 < $5000             |        |  | 88020 |                        |  |  |           |   |  |                        |       |   |  |  | 60,000    |  |  |  |      | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       | 0.68 |  |        |  | 379,632 |                        |  |                      | 3.11   |   |  |  | 599,240 |   |  |                                           |        |  | Total |                        |  |  | 4,690,873 |   |  |                        | 1.04  |   |  |  | 4,731,035 |  |  |  | 0.96 | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  | Environmental Management                  |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       | 0.07 |  |        |  | 41,768  |                        |  |                      |        |   |  |  | 99,523  |   |  | Salaries                                  |        |  | 80510 |                        |  |  | 714,286   |   |  |                        | 0.16  |   |  |  | 501,213   |  |  |  | 0.10 | 
|                       | 0.25 |  |        |  | 142,668 |                        |  |                      | 0.54   |   |  |  | 103,564 |   |  | Contractors - General                     |        |  | 82000 |                        |  |  | 1,497,391 |   |  |                        | 0.33  |   |  |  | 1,712,018 |  |  |  | 0.35 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Contractors - Wonnaru                     |        |  | 82037 |                        |  |  | 18,270    |   |  |                        | 0.00  |   |  |  |          |  |  |  |     | 
|                       | 0.01 |  |        |  | 8,333   |                        |  |                      | 0.15   |   |  |  | 29,350  |   |  | Materials, Consumables & Spare            |        |  | 83010 |                        |  |  | 118,841   |   |  |                        | 0.03  |   |  |  | 102,000   |  |  |  | 0.02 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Telephones - Fixed                        |        |  | 85210 |                        |  |  | 2,773     |   |  |                        | 0.00  |   |  |  |          |  |  |  |     | 
|                       | 0.01 |  |        |  | 7,083   |                        |  |                      | 0.00   |   |  |  | 280     |   |  | Public Relations                          |        |  | 85620 |                        |  |  | 36,114    |   |  |                        | 0.01  |   |  |  | 85,000    |  |  |  | 0.02 | 
|                       | 0.00 |  |        |  | 1,000   |                        |  |                      | 0.00   |   |  |  | 555     |   |  | Allocated Plant Costs                     |        |  | 90440 |                        |  |  | 9,823     |   |  |                        | 0.00  |   |  |  | 12,000    |  |  |  | 0.00 | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       | 0.36 |  |        |  | 200,852 |                        |  |                      | 1.21   |   |  |  | 233,272 |   |  |                                           |        |  | Total |                        |  |  | 2,397,497 |   |  |                        | 0.53  |   |  |  | 2,412,231 |  |  |  | 0.49 | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  | Safety and Training                       |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       | 0.04 |  |        |  | 22,083  |                        |  |                      | 0.18   |   |  |  | 35,387  |   |  | Salaries                                  |        |  | 80510 |                        |  |  | 328,180   |   |  |                        | 0.07  |   |  |  | 264,993   |  |  |  | 0.05 | 
|                       | 0.02 |  |        |  | 8,600   |                        |  |                      | 0.05   |   |  |  | 9,241   |   |  | Contractors - General                     |        |  | 82000 |                        |  |  | 88,933    |   |  |                        | 0.02  |   |  |  | 103,200   |  |  |  | 0.02 | 
|                       | 0.00 |  |        |  | 1,596   |                        |  |                      | 0.07   |   |  |  | 13,306  |   |  | Materials, Consumable & Spare             |        |  | 83010 |                        |  |  | 33,964    |   |  |                        | 0.01  |   |  |  | 19,150    |  |  |  | 0.00 | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Telephones - Fixed                        |        |  | 85210 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       |      |  |        |  |         |                        |  |                      |       |   |  |  |        |   |  | Other Expenses                            |        |  | 87899 |                        |  |  |          |   |  |                        |      |   |  |  |          |  |  |  |     | 
|                       | 0.00 |  |        |  | 1,000   |                        |  |                      | 0.02   |   |  |  | 3,172   |   |  | Allocated Plant Costs                     |        |  | 90440 |                        |  |  | 10,808    |   |  |                        | 0.00  |   |  |  | 12,000    |  |  |  | 0.00 | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       | 0.06 |  |        |  | 33,279  |                        |  |                      | 0.32   |   |  |  | 61,106  |   |  |                                           |        |  | Total |                        |  |  | 461,885   |   |  |                        | 0.10  |   |  |  | 399,343   |  |  |  | 0.08 | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  |                                           |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       | 1.09 |  |        |  | 613,762 |                        |  |                      | 4.62   |   |  |  | 893,619 |   |  | Administration Costs (ex Depreciation)    |        |  |       |                        |  |  | 7,550,256 |   |  |                        | 1.67  |   |  |  | 7,542,609 |  |  |  | 1.52 | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  |                                           |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       | 0.37 |  |        |  | 205,079 |                        |  |                      | (0.27  | ) |  |  | (52,513 | ) |  | Depreciation                              |        |  |       |                        |  |  | 1,894,637 |   |  |                        | 0.42  |   |  |  | 1,933,076 |  |  |  | 0.39 | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  |                                           |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       | 1.46 |  |        |  | 818,841 |                        |  |                      | 4.36   |   |  |  | 841,106 |   |  | Total Administration Cost                 |        |  |       |                        |  |  | 9,444,893 |   |  |                        | 2.08  |   |  |  | 9,475,685 |  |  |  | 1.92 | 
|                       |      |  |        |  |         |                        |  |                      |        |   |  |  |         |   |  |                                           |        |  |       |                        |  |  |           |   |  |                        |       |   |  |  |           |  |  |  |      | 
|                       |      |  |        |  |         |                        |  |                      |       
|                       | 1.11 |  |        |  | 171,248 |                        |  |                      | 2.19   |   |  |  | 407,602 |   |  | Opencut Share of Admin & Safety Costs     |        |  |       |                        |  |  | 2,862,538 |   |  |                        | 1.56  |   |  |  | 3,019,778 |  |  |  | 1.60 | 
|                       | 1.11 |  |        |  | 451,743 |                        |  |                      | 32.53  |   |  |  | 200,232 |   |  | Underground Share of Admin & Safety Costs |        |  |       |                        |  |  | 4,184,857 |   |  |                        | 1.56  |   |  |  | 4,043,677 |  |  |  | 1.32 | 
|                       | 0.14 |  |        |  | 55,210  |                        |  |                      | 0.80   |   |  |  | 148,763 |   |  | Opencut Share of Environmental Costs      |        |  |       |                        |  |  | 973,825   |   |  |                        | 0.53  |   |  |  | 1,064,364 |  |  |  | 0.56 | 
|                       | 0.36 |  |        |  | 145,643 |                        |  |                      | 13.73  |   |  |  | 84,509  |   |  | Underground Share of Environmental Costs  |        |  |       |                        |  |  | 1,423,673 |   |  |                        | 0.53  |   |  |  | 1,347,868 |  |  |  | 0.44 | 



---

Ashton Coal Operations Limited

Maintenance Cost Report



|                       |  |        |           |  |                        |  |  |                      |  |  |           |  |  |                                  |  |        |     |  |                        |  |            |        |  |  |                        |  |  |  |            |  |  |  |  | 
|---------------------- |  | ------ | --------- |  | ---------------------- |  |  | -------------------- |  |  | --------- |  |  | -------------------------------- |  | ------ | --- |  | ---------------------- |  | ---------- | ------ |  |  | ---------------------- |  |  |  | ---------- |  |  |  |  | 
|Jun-10                 |  |        |           |  |                        |  |  | 12 Months to June 10 | 
|Unit Cost perROM tonne |  | Budget |           |  | Unit Cost perROM
tonne |  |  | Actual               |  |  |           |  |  |                                  |  | Actual |     |  | Unit Cost perROM
tonne |  |            | Budget |  |  | Unit Cost perROM
tonne | 
|                       |  |        |           |  |                        |  |  |                      | 
|                       |  |        |           |  |                        |  |  |                      |  |  |           |  |  | EQUIPMENT                        |  |        |     |  |                        |  |            |        |  |  |                        |  |  |  |            |  |  |  |  | 
|                       |  |        | 2,080,324 |  |                        |  |  |                      |  |  | 2,540,777 |  |  | Mobile Equipment Expenditure     |  |        |     |  |                        |  | 27,460,381 |        |  |  |                        |  |  |  | 30,363,907 |  |  |  |  | 
|                       |  |        |           |  |                        |  |  |                      | 
|                       |  |        |           |  |                        |  |  |                      |  |  |           |  |  | Maintenance                      |  |        |     |  |                        |  |            |        |  |  |                        |  |  |  |            |  |  |  |  | 
|                       |  |        | 100,191   |  |                        |  |  |                      |  |  | 88,607    |  |  | Supervision                      |  |        | 340 |  |                        |  | 1,208,663  |        |  |  |                        |  |  |  | 1,202,288  |  |  |  |  | 
|                       |  |        | 36,200    |  |                        |  |  |                      |  |  | 38,811    |  |  | Workshop General                 |  |        | 341 |  |                        |  | 546,459    |        |  |  |                        |  |  |  | 434,400    |  |  |  |  | 
|                       |  |        | 31,166    |  |                        |  |  |                      |  |  | 18,920    |  |  | Mechanical Maintenance - General |  |        | 342 |  |                        |  | 1,069,317  |        |  |  |                        |  |  |  | 373,992    |  |  |  |  | 
|                       |  |        | 30,000    |  |                        |  |  |                      |  |  | 24,463    |  |  | Electrical Maintenance - General |  |        | 343 |  |                        |  | 483,697    |        |  |  |                        |  |  |  | 360,006    |  |  |  |  | 
|                       |  |        | 33,378    |  |                        |  |  |                      |  |  | 21,224    |  |  | Maintenance Facilities           |  |        | 344 |  |                        |  | 246,389    |        |  |  |                        |  |  |  | 400,538    |  |  |  |  | 
|                       |  |        | 29,778    |  |                        |  |  |                      |  |  | 31,048    |  |  | Purchasing Stores & Logistics    |  |        | 345 |  |                        |  | 411,612    |        |  |  |                        |  |  |  | 357,338    |  |  |  |  | 
|                       |  |        | 90,800    |  |                        |  |  |                      |  |  | 59,225    |  |  | Servicing                        |  |        | 346 |  |                        |  | 936,188    |        |  |  |                        |  |  |  | 1,087,201  |  |  |  |  | 
|                       |  |        |          |  |                        |  |  |                      |  |  |          |  |  | Demob/Mob Plant Equipment        |  |        | 347 |  |                        |  |           |        |  |  |                        |  |  |  |           |  |  |  |  | 
|                       |  |        |           |  |                        |  |  |                      |  |  |           |  |  |                                  |  |        |     |  |                        |  |            |        |  |  |                        |  |  |  |            |  |  |  |  | 
|                       |  |        | 351,313   |  |                        |  |  |                      |  |  | 282,097   |  |  |                                  |  |        |     |  |                        |  | 4,902,325  |        |  |  |                        |  |  |  | 4,215,761  |  |  |  |  | 
|                       |  |        |           |  |                        |  |  |                      |  |  |           |  |  |                                  |  |        |     |  |                        |  |            |        |  |  |                        |  |  |  |            |  |  |  |  | 
|                       |  |        |           |  |                        |  |  |                      | 
|                       |  |        | 2,441,638 |  |                        |  |  |                      |  |  | 2,822,874 |  |  | Total Costs (ex Depreciation)    |  |        |     |  |                        |  | 32,362,705 |        |  |  |                        |  |  |  | 34,579,668 |  |  |  |  | 
|                       |  |        |           |  |                        |  |  |                      |  |  |           |  |  |                                  |  |        |     |  |                        |  |            |        |  |  |                        |  |  |  |            |  |  |  |  | 
|                       |  |        |           |  |                        |  |  |                      | 
|                       |  |        | 2,441,638 |  |                        |  |  |                      |  |  | 2,822,874 |  |  | Total Cost                       |  |        |     |  |                        |  | 32,362,705 |        |  |  |                        |  |  |  | 34,579,668 |  |  |  |  | 
|                       |  |        |           |  |                        |  |  |                      |  |  |           |  |  |                                  |  |        |     |  |                        |  |            |        |  |  |                        |  |  |  |            |  |  |  |  | 



---

Ashton Coal Operations Limited

Underground Detail Cost Report



|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  |                                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|---------------------- | ----- |  | ------ |  | --------- | ---------------------- |  | -------------------- | -------- | - |  |  | --------- | - |  | ----------------------------------- | ------ |  | ---- | ---------------------- |  |  | ---------- |  |  | ---------------------- | ----- |  |  |  | ---------- |  |  |  | ----- | 
|Jun-10                 |       |  |        |  |           |                        |  | 12 Months to June-10 |         
|Unit Cost perROM tonne |       |  | Budget |  |           | Unit Cost perROM tonne |  |                      | Actual   |   |  |  |           |   |  |                                     | Actual |  |      | Unit Cost perROM tonne |  |  | Budget     |  |  | Unit Cost perROM tonne |      
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  | 407,052   |                        |  |                      |          |   |  |  | 6,156     |   |  | Underground ROM Mined (Tonnes)      |        |  |      |                        |  |  | 2,690,667  |  |  |                        |       |  |  |  | 3,056,548  |  |  |  |       | 
|                       |       |  |        |  | 2,035     |                        |  |                      |          |   |  |  | 255       |   |  | Development Meters                  |        |  |      |                        |  |  | 16.448     |  |  |                        |       |  |  |  | 22,216     |  |  |  |       | 
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  |                                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Mine Management                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 0.24  |  |        |  | 96,947    |                        |  |                      | 13.19    |   |  |  | 81,210    |   |  | Underground Mine Management         |        |  | 401  |                        |  |  | 1,167,193  |  |  |                        | 0.43  |  |  |  | 1,141,686  |  |  |  | 0.37  | 
|                       | 0.24  |  |        |  | 96,947    |                        |  |                      | 13.19    |   |  |  | 81,210    |   |  |                                     |        |  | UGMM |                        |  |  | 1,167,193  |  |  |                        | 0.43  |  |  |  | 1,141,686  |  |  |  | 0.37  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Technical Services                  |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 0.17  |  |        |  | 69,130    |                        |  |                      | 21.11    |   |  |  | 129,929   |   |  | Supervision                         |        |  | 421  |                        |  |  | 988,527    |  |  |                        | 0.37  |  |  |  | 814,301    |  |  |  | 0.27  | 
|                       | 0.05  |  |        |  | 20,000    |                        |  |                      | 8.71     |   |  |  | 53,638    |   |  | Bowman Crk Aquidude                 |        |  | 420  |                        |  |  | 1,287,543  |  |  |                        | 0.48  |  |  |  | 240,000    |  |  |  | 0.08  | 
|                       | 0.06  |  |        |  | 25,000    |                        |  |                      | 2.50     |   |  |  | 15,366    |   |  | Mine Planning and Scheduling        |        |  | 422  |                        |  |  | 104,724    |  |  |                        | 0.04  |  |  |  | 300,000    |  |  |  | 0.10  | 
|                       | 0.01  |  |        |  | 6,000     |                        |  |                      | 0.42     |   |  |  | 2,609     |   |  | Surveying & Mine Planning           |        |  | 423  |                        |  |  | 126,755    |  |  |                        | 0.05  |  |  |  | 72,000     |  |  |  | 0.02  | 
|                       | 0.05  |  |        |  | 20,000    |                        |  |                      | (1.30    | ) |  |  | (8,000    | ) |  | Multi Seam Assessment               |        |  | 424  |                        |  |  | 343,541    |  |  |                        | 0.13  |  |  |  | 240,000    |  |  |  | 0.08  | 
|                       | 0.14  |  |        |  | 58,000    |                        |  |                      | 1.92     |   |  |  | 11,792    |   |  | Exploration & Infill Drilling       |        |  | 425  |                        |  |  | 336,121    |  |  |                        | 0.12  |  |  |  | 696,000    |  |  |  | 0.23  | 
|                       | 0.00  |  |        |  | 1,000     |                        |  |                      |         |   |  |  |          |   |  | Geological Modelling                |        |  | 426  |                        |  |  |           |  |  |                        |      |  |  |  | 12,000     |  |  |  | 0.00  | 
|                       | 0.04  |  |        |  | 15,000    |                        |  |                      | 2.92     |   |  |  | 18,005    |   |  | Geotechnical Assessment Modelling   |        |  | 427  |                        |  |  | 252,165    |  |  |                        | 0.09  |  |  |  | 180,000    |  |  |  | 0.06  | 
|                       | 0.08  |  |        |  | 32,000    |                        |  |                      | (12.29   | ) |  |  | (75,672   | ) |  | Subsidence Assessment Modelling     |        |  | 428  |                        |  |  | 296,725    |  |  |                        | 0.11  |  |  |  | 384,000    |  |  |  | 0.13  | 
|                       | 0.02  |  |        |  | 8,000     |                        |  |                      | 2.07     |   |  |  | 12,750    |   |  | Ventilation Assessment Monitoring   |        |  | 429  |                        |  |  | 128,090    |  |  |                        | 0.05  |  |  |  | 96,000     |  |  |  | 0.03  | 
|                       | 0.82  |  |        |  | 254,130   |                        |  |                      | 26.06    |   |  |  | 160,416   |   |  |                                     |        |  | UGTS |                        |  |  | 3,864,191  |  |  |                        | 1,44  |  |  |  | 3,034,301  |  |  |  | 0.99  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Development Mining                  |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 0.10  |  |        |  | 41,600    |                        |  |                      | 1.23     |   |  |  | 7,542     |   |  | Stonedusting & Barriers             |        |  | 430  |                        |  |  | 313,223    |  |  |                        | 0.12  |  |  |  | 453,320    |  |  |  | 0.15  | 
|                       | 0.43  |  |        |  | 173,703   |                        |  |                      | 18.17    |   |  |  | 111,851   |   |  | Supervision                         |        |  | 431  |                        |  |  | 1,787,431  |  |  |                        | 0.66  |  |  |  | 2,044,432  |  |  |  | 0.67  | 
|                       | 4.80  |  |        |  | 1,955,471 |                        |  |                      | 386.51   |   |  |  | 2,379,354 |   |  | Development Mining                  |        |  | 432  |                        |  |  | 22,773,408 |  |  |                        | 8.46  |  |  |  | 20,910,607 |  |  |  | 6.84  | 
|                       | 0.10  |  |        |  | 40,700    |                        |  |                      | 6.86     |   |  |  | 42,234    |   |  | Ventilation                         |        |  | 433  |                        |  |  | 249,762    |  |  |                        | 0.09  |  |  |  | 444,320    |  |  |  | 0.15  | 
|                       | 5.43  |  |        |  | 2,211,473 |                        |  |                      | 412.76   |   |  |  | 2,540,981 |   |  |                                     |        |  | UGDM |                        |  |  | 25,123,824 |  |  |                        | 9.34  |  |  |  | 23,852,679 |  |  |  | 7.80  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Longwall Mining                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 2.36  |  |        |  | 960,797   |                        |  |                      | 41.28    |   |  |  | 254,131   |   |  | Longwall Mining                     |        |  | 434  |                        |  |  | 9,052,517  |  |  |                        | 3.36  |  |  |  | 12,508,536 |  |  |  | 4.09  | 
|                       |      |  |        |  |          |                        |  |                      | 138.75   |   |  |  | 854,144   |   |  | Longwall Relocation                 |        |  | 435  |                        |  |  | 5,692,860  |  |  |                        | 2.12  |  |  |  | 4,500,000  |  |  |  | 1.47  | 
|                       | 0.05  |  |        |  | 22,062    |                        |  |                      | 5.16     |   |  |  | 31,752    |   |  | Stone Dusting & Barriers            |        |  | 437  |                        |  |  | 227,230    |  |  |                        | 0.08  |  |  |  | 175,591    |  |  |  | 0.06  | 
|                       | 0.16  |  |        |  | 64,732    |                        |  |                      | 11.23    |   |  |  | 69,105    |   |  | Ventilation                         |        |  | 439  |                        |  |  | 947,986    |  |  |                        | 0.35  |  |  |  | 547,519    |  |  |  | 0.18  | 
|                       | 0.22  |  |        |  | 87,931    |                        |  |                      | 22.66    |   |  |  | 139,518   |   |  | Supervision                         |        |  | 481  |                        |  |  | 1,670,035  |  |  |                        | 0.62  |  |  |  | 1,035,077  |  |  |  | 0.34  | 
|                       | 2.79  |  |        |  | 1,135,521 |                        |  |                      | 219.08   |   |  |  | 1,348,650 |   |  |                                     |        |  | UGLM |                        |  |  | 17,590,627 |  |  |                        | 6.54  |  |  |  | 18,766,722 |  |  |  | 6.14  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Outbye Mining                       |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 1.88  |  |        |  | 764,052   |                        |  |                      | 96.49    |   |  |  | 594,018   |   |  | Outbye Mining                       |        |  | 438  |                        |  |  | 9,028,409  |  |  |                        | 3.36  |  |  |  | 9,047,090  |  |  |  | 2.96  | 
|                       | 0.37  |  |        |  | 151,400   |                        |  |                      | 29.42    |   |  |  | 181,091   |   |  | Roadworks                           |        |  | 438  |                        |  |  | 1,974,350  |  |  |                        | 0.73  |  |  |  | 1,671,800  |  |  |  | 0.55  | 
|                       | 0.47  |  |        |  | 191,177   |                        |  |                      | 18.95    |   |  |  | 116,654   |   |  | Supervision                         |        |  | 462  |                        |  |  | 1,585,208  |  |  |                        | 0.59  |  |  |  | 2,249,368  |  |  |  | 0.74  | 
|                       | 2.72  |  |        |  | 1,106,629 |                        |  |                      | 144.86   |   |  |  | 891,763   |   |  |                                     |        |  | UGDM |                        |  |  | 12,587,967 |  |  |                        | 4.68  |  |  |  | 12,968,257 |  |  |  | 4.24  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Underground Services                |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 0.60  |  |        |  | 245,967   |                        |  |                      | 23.59    |   |  |  | 145,235   |   |  | Coal Conveying                      |        |  | 440  |                        |  |  | 1,597,495  |  |  |                        | 0.59  |  |  |  | 1,875,992  |  |  |  | 0.61  | 
|                       | 0.10  |  |        |  | 40,700    |                        |  |                      | 15.25    |   |  |  | 93,861    |   |  | Water Supply                        |        |  | 441  |                        |  |  | 774,176    |  |  |                        | 0.29  |  |  |  | 444,320    |  |  |  | 0.15  | 
|                       | 0.11  |  |        |  | 43,200    |                        |  |                      | 2.35     |   |  |  | 14,494    |   |  | Compressed Air                      |        |  | 442  |                        |  |  | 243,856    |  |  |                        | 0.09  |  |  |  | 474,320    |  |  |  | 0.16  | 
|                       | 0.14  |  |        |  | 55,400    |                        |  |                      | 11.52    |   |  |  | 70,927    |   |  | Electrical Power Supply             |        |  | 443  |                        |  |  | 534,786    |  |  |                        | 0.20  |  |  |  | 662,400    |  |  |  | 0.22  | 
|                       | 0.10  |  |        |  | 40,700    |                        |  |                      | 1.33     |   |  |  | 8,211     |   |  | Communications / Monitoring         |        |  | 444  |                        |  |  | 372,186    |  |  |                        | 0.14  |  |  |  | 444,320    |  |  |  | 0.15  | 
|                       | 0.03  |  |        |  | 12,000    |                        |  |                      | 0.61     |   |  |  | 3,763     |   |  | Gas Monitoring                      |        |  | 445  |                        |  |  | 265,867    |  |  |                        | 0.10  |  |  |  | 144,000    |  |  |  | 0.05  | 
|                       | 0.02  |  |        |  | 8,000     |                        |  |                      | 0.04     |   |  |  | 270       |   |  | Fire Fighting                       |        |  | 446  |                        |  |  | 124,850    |  |  |                        | 0.05  |  |  |  | 98,000     |  |  |  | 0.03  | 
|                       | 0.02  |  |        |  | 8,000     |                        |  |                      | 5.24     |   |  |  | 32,230    |   |  | Emergency Escape System             |        |  | 447  |                        |  |  | 88,931     |  |  |                        | 0.03  |  |  |  | 306,000    |  |  |  | 0.10  | 
|                       | 0.19  |  |        |  | 78,050    |                        |  |                      | 3.05     |   |  |  | 18,747    |   |  | Dewatering and Pumping              |        |  | 448  |                        |  |  | 919,112    |  |  |                        | 0.34  |  |  |  | 870,480    |  |  |  | 0.28  | 
|                       | 0.33  |  |        |  | 135,000   |                        |  |                      | 24.36    |   |  |  | 149,937   |   |  | Underground Electricity             |        |  | 486  |                        |  |  | 1,566,767  |  |  |                        | 0.58  |  |  |  | 1,620,000  |  |  |  | 0.53  | 
|                       | 1.64  |  |        |  | 667,017   |                        |  |                      | 87.34    |   |  |  | 537,677   |   |  |                                     |        |  | UGUS |                        |  |  | 6,488,028  |  |  |                        | 2.41  |  |  |  | 6,937,832  |  |  |  | 2.27  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Surface Facilities                  |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 0.02  |  |        |  | 8,200     |                        |  |                      | 0.72     |   |  |  | 4,461     |   |  | Offices                             |        |  | 451  |                        |  |  | 95,842     |  |  |                        | 0.04  |  |  |  | 98,400     |  |  |  | 0.03  | 
|                       | 0.04  |  |        |  | 16,000    |                        |  |                      | 2.56     |   |  |  | 15,783    |   |  | Bath House & Ablutions              |        |  | 452  |                        |  |  | 210,593    |  |  |                        | 0.08  |  |  |  | 192,000    |  |  |  | 0.06  | 
|                       | 0.00  |  |        |  | 1,000     |                        |  |                      |         |   |  |  |          |   |  | Crib Room                           |        |  | 453  |                        |  |  | 4,785      |  |  |                        | 0.00  |  |  |  | 12,000     |  |  |  | 0.00  | 
|                       | 0.13  |  |        |  | 52,000    |                        |  |                      | 7.98     |   |  |  | 49,142    |   |  | Services                            |        |  | 454  |                        |  |  | 753,038    |  |  |                        | 0.28  |  |  |  | 624,000    |  |  |  | 0.20  | 
|                       | 0.12  |  |        |  | 48,000    |                        |  |                      | 11.23    |   |  |  | 69,145    |   |  | Diesel Fuel Station                 |        |  | 456  |                        |  |  | 419,649    |  |  |                        | 0.16  |  |  |  | 576,000    |  |  |  | 0.19  | 
|                       | 0.31  |  |        |  | 125,200   |                        |  |                      | 22.50    |   |  |  | 138,532   |   |  |                                     |        |  | UGSF |                        |  |  | 1,483,908  |  |  |                        | 0.55  |  |  |  | 1,502,400  |  |  |  | 0.49  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Maintenance                         |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 0.40  |  |        |  | 184,604   |                        |  |                      | 22.38    |   |  |  | 137,768   |   |  | Supervision - UG Maintenance        |        |  | 460  |                        |  |  | 2,061,686  |  |  |                        | 0.77  |  |  |  | 1,938,064  |  |  |  | 0.63  | 
|                       | 0.04  |  |        |  | 16,000    |                        |  |                      | 2.21     |   |  |  | 13,590    |   |  | Maintenance Facilities              |        |  | 461  |                        |  |  | 97,311     |  |  |                        | 0.04  |  |  |  | 192,000    |  |  |  | 0.06  | 
|                       | 0.03  |  |        |  | 12,000    |                        |  |                      | 4.03     |   |  |  | 24,838    |   |  | Workshop General                    |        |  | 462  |                        |  |  | 185,535    |  |  |                        | 0.07  |  |  |  | 144,000    |  |  |  | 0.05  | 
|                       | 0.02  |  |        |  | 8,000     |                        |  |                      | 1.02     |   |  |  | 6,257     |   |  | Maintenance Tooling                 |        |  | 463  |                        |  |  | 150,254    |  |  |                        | 0.06  |  |  |  | 98,000     |  |  |  | 0.03  | 
|                       | 0.01  |  |        |  | 5,000     |                        |  |                      |         |   |  |  |          |   |  | Demob / Mob Plan Equipment          |        |  | 464  |                        |  |  | 1,260      |  |  |                        | 0.00  |  |  |  | 60,000     |  |  |  | 0.02  | 
|                       | 0.22  |  |        |  | 90,891    |                        |  |                      | 12.95    |   |  |  | 79,725    |   |  | Servicing                           |        |  | 465  |                        |  |  | 914,462    |  |  |                        | 0.34  |  |  |  | 1,065,934  |  |  |  | 0.36  | 
|                       | 0.07  |  |        |  | 28,000    |                        |  |                      | 2.76     |   |  |  | 16,972    |   |  | Mechanical Maintenance- General     |        |  | 466  |                        |  |  | 196,864    |  |  |                        | 0.07  |  |  |  | 336,000    |  |  |  | 0.11  | 
|                       | 0.05  |  |        |  | 20,000    |                        |  |                      | 1.07     |   |  |  | 6,576     |   |  | Electrical Maintenance- General     |        |  | 467  |                        |  |  | 125,936    |  |  |                        | 0.05  |  |  |  | 240,000    |  |  |  | 0.08  | 
|                       | 0.05  |  |        |  | 20,000    |                        |  |                      | 3.29     |   |  |  | 20,272    |   |  | Cable Repairs                       |        |  | 468  |                        |  |  | 153,309    |  |  |                        | 0.06  |  |  |  | 240,000    |  |  |  | 0.08  | 
|                       | 0.01  |  |        |  | 6,000     |                        |  |                      | 0.50     |   |  |  | 3,105     |   |  | Lifting Equipment                   |        |  | 469  |                        |  |  | 54,935     |  |  |                        | 0.02  |  |  |  | 72,000     |  |  |  | 0.02  | 
|                       | 0.19  |  |        |  | 77,467    |                        |  |                      | 11.20    |   |  |  | 68,960    |   |  | Purchasing Stores & Logistics       |        |  | 470  |                        |  |  | 807,433    |  |  |                        | 0.30  |  |  |  | 923,544    |  |  |  | 0.30  | 
|                       |      |  |        |  |          |                        |  |                      |         |   |  |  |          |   |  | Damage Repairs                      |        |  | 471  |                        |  |  |           |  |  |                        |      |  |  |  |           |  |  |  |      | 
|                       | 1.10  |  |        |  | 447,962   |                        |  |                      | 61.41    |   |  |  | 378,064   |   |  |                                     |        |  | UGMA |                        |  |  | 4,748,984  |  |  |                        | 1.76  |  |  |  | 5,327,542  |  |  |  | 1.74  | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  | Safety and Training                 |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 0.10  |  |        |  | 40,172    |                        |  |                      | 9.18     |   |  |  | 56,501    |   |  | Underground Safety                  |        |  | 492  |                        |  |  | 616,655    |  |  |                        | 0.23  |  |  |  | 482,060    |  |  |  | 0.16  | 
|                       | 0.10  |  |        |  | 40,172    |                        |  |                      | 9.18     |   |  |  | 56,501    |   |  |                                     |        |  |      |                        |  |  | 616,655    |  |  |                        | 0.23  |  |  |  | 482,060    |  |  |  | 0.16  | 
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  |                                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       |       |  |        |  |           |                        |  |                      |         
|                       | 14.95 |  |        |  | 6,085,052 |                        |  |                      | 996.39   |   |  |  | 6,133,794 |   |  | Underground Costs (ex Depreciation) |        |  |      |                        |  |  | 73,671,378 |  |  |                        | 27.38 |  |  |  | 74,013,480 |  |  |  | 24.21 | 
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  |                                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 1.11  |  |        |  | 451,743   |                        |  |                      | 32.53    |   |  |  | 200,232   |   |  | Administration                      |        |  |      |                        |  |  | 4,184,857  |  |  |                        | 1.56  |  |  |  | 4,043,677  |  |  |  | 1.32  | 
|                       | 0.36  |  |        |  | 145,643   |                        |  |                      | 13.73    |   |  |  | 84,509    |   |  | Environmental Mgt                   |        |  |      |                        |  |  | 1,423,673  |  |  |                        | 0.53  |  |  |  | 1,347,868  |  |  |  | 0.44  | 
|                       | 3.66  |  |        |  | 1,489,767 |                        |  |                      | 232.61   |   |  |  | 1,431,946 |   |  | Depreciation                        |        |  |      |                        |  |  | 11,369,232 |  |  |                        | 4.23  |  |  |  | 12,292,430 |  |  |  | 4.02  | 
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  |                                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 
|                       | 20.08 |  |        |  | 8,172,205 |                        |  |                      | 1,275.26 |   |  |  | 7,850,480 |   |  | Total Underground Cost              |        |  |      |                        |  |  | 90,649,139 |  |  |                        | 33.69 |  |  |  | 91,697,454 |  |  |  | 30.00 | 
|                       |       |  |        |  |           |                        |  |                      |          |   |  |  |           |   |  |                                     |        |  |      |                        |  |  |            |  |  |                        |       |  |  |  |            |  |  |  |       | 



---

| |  |                                                 |  | 
| |  | ----------------------------------------------- |  | 
| |  | Ashton Coal Operations Limited CHPP Cost Report |  | 



|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|---------------------- | ---- |  | ------ |  | --------- | ---------------------- |  | -------------------- | ------ |  |  |  | --------- | - |  | ------------------------------- | ------ |  | --- | ---------------------- |  |  | ---------- | - |  | ---------------------- | ---- |  |  |  | ---------- | - |  |  | ---- | 
|Jun-10                 |      |  |        |  |           |                        |  | 12 Months to June 10 |       
|Unit Cost perROM
tonne |      |  | Budget |  |           | Unit Cost perROM
tonne |  |                      | Actual |  |  |  |           |   |  |                                 | Actual |  |     | Unit Cost perROM tonne |  |  | Budget     |   |  | Unit Cost perROM tonne |     
|                       |      |  |        |  |           |                        |  |                      |       
|                       |      |  |        |  | 154,305   |                        |  |                      |        |  |  |  | 162,860   |   |  | Opencut ROM Feed (Tonnes)       |        |  |     |                        |  |  | 1,863,316  |   |  |                        |      |  |  |  | 1,934,466  |   |  |  |      | 
|                       |      |  |        |  | 372,375   |                        |  |                      |        |  |  |  | 13,989    |   |  | Underground ROM Feed (Tonnes)   |        |  |     |                        |  |  | 2,805,361  |   |  |                        |      |  |  |  | 3,066,871  |   |  |  |      | 
|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|                       |      |  |        |  | 526,680   |                        |  |                      |        |  |  |  | 176,849   |   |  | Total ROM Feed                  |        |  |     |                        |  |  | 4,668,677  |   |  |                        |      |  |  |  | 5,001,337  |   |  |  |      | 
|                       |      |  |        |  | 95,266    |                        |  |                      |        |  |  |  | 95,623    |   |  | Opencut Product (Tonnes)        |        |  |     |                        |  |  | 1,135,916  |   |  |                        |      |  |  |  | 1,137,635  |   |  |  |      | 
|                       |      |  |        |  | 217,095   |                        |  |                      |        |  |  |  | 5,472     |   |  | Underground Product (Tonnes)    |        |  |     |                        |  |  | 1,615,492  |   |  |                        |      |  |  |  | 1,824,082  |   |  |  |      | 
|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|                       |      |  |        |  | 312,361   |                        |  |                      |        |  |  |  | 101,095   |   |  | Total Product                   |        |  |     |                        |  |  | 2,751,408  |   |  |                        |      |  |  |  | 2,961,717  |   |  |  |      | 
|                       |      |  |        |  | 62%       |                        |  |                      |        |  |  |  | 59        | % |  | Opencut Yield                   |        |  |     |                        |  |  | 61         | % |  |                        |      |  |  |  | 59         | % |  |  |      | 
|                       |      |  |        |  | 58%       |                        |  |                      |        |  |  |  | 39        | % |  | Underground Yield               |        |  |     |                        |  |  | 57.59      | % |  |                        |      |  |  |  | 59         | % |  |  |      | 
|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|                       |      |  |        |  | 59%       |                        |  |                      |        |  |  |  | 57        | % |  | Average Yield                   |        |  |     |                        |  |  | 59         | % |  |                        |      |  |  |  | 59         | % |  |  |      | 
|                       |      |  |        |  |           |                        |  |                      |       
|                       | 0.20 |  |        |  | 104,272   |                        |  |                      | 0.29   |  |  |  | 51,635    |   |  | Management CHPP                 |        |  | 501 |                        |  |  | 1,067,330  |   |  |                        | 0.23 |  |  |  | 1,251,260  |   |  |  | 0.25 | 
|                       | 0.64 |  |        |  | 440,306   |                        |  |                      | 1.42   |  |  |  | 250,872   |   |  | ROM Coal Handling               |        |  | 531 |                        |  |  | 4,216,897  |   |  |                        | 0.90 |  |  |  | 5,570,322  |   |  |  | 1.11 | 
|                       | 0.62 |  |        |  | 324,842   |                        |  |                      | 2.18   |  |  |  | 385,894   |   |  | Coal Processing                 |        |  | 532 |                        |  |  | 4,731,834  |   |  |                        | 1.01 |  |  |  | 4,633,481  |   |  |  | 0.93 | 
|                       | 0.48 |  |        |  | 252,568   |                        |  |                      | 1.01   |  |  |  | 177,794   |   |  | Product Coal Handling           |        |  | 533 |                        |  |  | 2,974,099  |   |  |                        | 0.64 |  |  |  | 3,261,017  |   |  |  | 0.65 | 
|                       | 0.31 |  |        |  | 161,354   |                        |  |                      | 0.55   |  |  |  | 96,471    |   |  | Rejects                         |        |  | 534 |                        |  |  | 1,377,996  |   |  |                        | 0.30 |  |  |  | 2,220,558  |   |  |  | 0.44 | 
|                       | 0.19 |  |        |  | 99,428    |                        |  |                      | 0.33   |  |  |  | 58,580    |   |  | Tailings Treatment              |        |  | 535 |                        |  |  | 1,059,507  |   |  |                        | 0.23 |  |  |  | 1,218,993  |   |  |  | 0.24 | 
|                       | 0.02 |  |        |  | 8,120     |                        |  |                      | 0.16   |  |  |  | 28,832    |   |  | CHPP Facilities / Services      |        |  | 543 |                        |  |  | 367,174    |   |  |                        | 0.08 |  |  |  | 328,629    |   |  |  | 0.07 | 
|                       | 0.06 |  |        |  | 30,612    |                        |  |                      | 0.13   |  |  |  | 23,088    |   |  | Purchasing, Stores & Logistics  |        |  | 544 |                        |  |  | 266,729    |   |  |                        | 0.06 |  |  |  | 367,340    |   |  |  | 0.07 | 
|                       | 0.21 |  |        |  | 111,315   |                        |  |                      | 0.51   |  |  |  | 90,939    |   |  | CHPP Electricity                |        |  | 586 |                        |  |  | 1,263,165  |   |  |                        | 0.27 |  |  |  | 1,421,409  |   |  |  | 0.28 | 
|                       | 0.09 |  |        |  | 45,000    |                        |  |                      | 0.24   |  |  |  | 42,896    |   |  | Coal Sampling & Analysis        |        |  | 591 |                        |  |  | 627,798    |   |  |                        | 0.13 |  |  |  | 540,000    |   |  |  | 0.11 | 
|                       | 0.03 |  |        |  | 14,143    |                        |  |                      | 0.11   |  |  |  | 19,761    |   |  | Safety/Training                 |        |  | 592 |                        |  |  | 123,114    |   |  |                        | 0.03 |  |  |  | 169,720    |   |  |  | 0.03 | 
|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|                       |      |  |        |  |           |                        |  |                      |       
|                       | 3.02 |  |        |  | 1,591,960 |                        |  |                      | 6.94   |  |  |  | 1,226,762 |   |  | CHPP Cost (ex Depreciation)     |        |  |     |                        |  |  | 18,075,643 |   |  |                        | 3.87 |  |  |  | 20,982,728 |   |  |  | 4.20 | 
|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|                       | 0.86 |  |        |  | 451,156   |                        |  |                      | 1.90   |  |  |  | 335,788   |   |  | Depreciation                    |        |  |     |                        |  |  | 4,423,655  |   |  |                        | 0.95 |  |  |  | 4,394,349  |   |  |  | 0.88 | 
|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|                       | 3.88 |  |        |  | 2,043,115 |                        |  |                      | 8.84   |  |  |  | 1,562,550 |   |  | Total CHPP Cost                 |        |  |     |                        |  |  | 22,499,299 |   |  |                        | 4.82 |  |  |  | 25,377,077 |   |  |  | 5.07 | 
|                       |      |  |        |  |           |                        |  |                      |        |  |  |  |           |   |  |                                 |        |  |     |                        |  |  |            |   |  |                        |      |  |  |  |            |   |  |  |      | 
|                       |      |  |        |  |           |                        |  |                      |       
|                       |      |  |        |  | 596,246   |                        |  |                      |        |  |  |  | 1,053,743 |   |  | Opencut Share of CHPP Costs     |        |  |     |                        |  |  | 8,979,697  |   |  |                        |      |  |  |  | 10,544,386 |   |  |  |      | 
|                       |      |  |        |  | 1,554,497 |                        |  |                      |        |  |  |  | 508,807   |   |  | Underground Share of CHPP Costs |        |  |     |                        |  |  | 13,519,602 |   |  |                        |      |  |  |  | 15,621,741 |   |  |  |      | 



---

| |  |                                                           |  | 
| |  | --------------------------------------------------------- |  | 
| |  | Ashton Joint Venture Cost per Tonne Sold Analysis Opencut |  | 



|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|------ | ------- |  | ------ |  | ---------- | - |  | ---------------------------------- |  |  | --------- |  |  |  | --------- | -
|Jun-10 |         |  |        |  | YTD Jun-10 |  
|Budget |         |  | Actual |  |            |   |  | Actual                             |  |  | Budget    | 
|       |         |  |        | 
|       | 154,305 |  |        |  | 186,545    |   |  | ROM Coal Mined                     |  |  | 1,840,478 |  |  |  | 1,889,466 |  
|       |         |  |        | 
|       | 82,347  |  |        |  | 103,114    |   |  | Net Tonnes Sold (Invoiced)         |  |  | 1,104,543 |  |  |  | 1,190,414 |  
|       |         |  |        | 
|       | 45.07   |  |        |  | 40.16      |   |  | OC Mining                          |  |  | 46.48     |  |  |  | 42.82     |  
|       | 0.00    |  |        |  | 0.00       |   |  | UG Mining                          |  |  | 0.00      |  |  |  | 0.00      |  
|       | 5.64    |  |        |  | 8.02       |   |  | Coal Processing                    |  |  | 6.53      |  |  |  | 7.32      |  
|       | 2.07    |  |        |  | 5.89       |   |  | Site Admin and Overheads           |  |  | 2.78      |  |  |  | 2.81      |  
|       | (0.76)  |  |        |  | 15.89      |   |  | Movement in OBIA and Coal Stocks   |  |  | 4.75      |  |  |  | 9.45      |  
|       |         |  |        |  |            |   |  | Finance Leases                     |  |  |           |  |  |  |           |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 52.02   |  |        |  | 69.96      |   |  | Total FOR Cash Costs per Tn Sold   |  |  | 60.54     |  |  |  | 62.41     |  
|       |         |  |        | 
|       | 3.88    |  |        |  | 3.17       |   |  | Rail                               |  |  | 3.64      |  |  |  | 3.88      |  
|       | 3.52    |  |        |  | 4.87       |   |  | Port                               |  |  | 3.92      |  |  |  | 3.52      |  
|       | 1.35    |  |        |  | 1.90       |   |  | (Despatch)/Demurrage               |  |  | 1.79      |  |  |  | 1.35      |  
|       | 3.13    |  |        |  | 4.43       |   |  | Management & Marketing Fees        |  |  | 3.38      |  |  |  | 3.11      |  
|       | 1.01    |  |        |  | 0.93       |   |  | Brisbane Corporate and Other Costs |  |  | 1.06      |  |  |  | 1.05      |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 64.91   |  |        |  | 85.31      |   |  | FOB Cash Costs per Tn Sold         |  |  | 74.33     |  |  |  | 75.32     |  
|       |         |  |        | 
|       | 8.71    |  |        |  | 13.10      |   |  | Royalties and Levies               |  |  | 10.34     |  |  |  | 8.70      |  
|       | 1.02    |  |        |  | 2.22       |   |  | Finance Costs                      |  |  | 0.72      |  |  |  | 0.84      |  
|       | 6.73    |  |        |  | 6.72       |   |  | Depreciation and Amortisation      |  |  | 6.97      |  |  |  | 5.81      |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 81.37   |  |        |  | 107.35     |   |  | Total FOB Costs per Tn Sold        |  |  | 92.36     |  |  |  | 90.67     |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | Input:  |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 49.52   |  |        |  | 45.18      |   |  | OC Mining                          |  |  | 51.15     |  |  |  | 46.48     |  
|       |         |  |        |  |            |   |  | UG Mining                          |  |  |           |  |  |  |           |  
|       | 7.24    |  |        |  | 10.22      |   |  | Coal Processing                    |  |  | 8.13      |  |  |  | 8.86      |  
|       | 2.75    |  |        |  | 5.40       |   |  | Site Admin and Overheads           |  |  | 3.47      |  |  |  | 3.43      |  
|       |         |  |        |  |            |   |  | Finance Leases (Principal)         |  |  |           |  |  |  |           |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 59.51   |  |        |  | 60.79      |   |  | FOR Cost per Tn Sold               |  |  | 62.76     |  |  |  | 58.77     |  
|       |         |  |        | 
|       | 366     |  |        |  | 517        |   |  | OC Mining D&A                      |  |  | 5,162     |  |  |  | 4,351     |  
|       |         |  |        |  |            |   |  | UG Mining D&A                      |  |  |           |  |  |  |           |  
|       | 132     |  |        |  | 226        |   |  | Coal Processing D&A                |  |  | 1,766     |  |  |  | 1,826     |  
|       | 56      |  |        |  | (51        | ) |  | Site Admin and Overheads D&A       |  |  | 770       |  |  |  | 738       |  
|       | 0       |  |        |  | 0          |   |  | Exploration Amortisation           |  |  | 0         |  |  |  | 0         |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 554     |  |        |  | 693        |   |  | Depn & Amortn [$000]              |  |  | 7,697     |  |  |  | 6,916     |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       |         |  |        |  |            |   |  | Cross Check to P&L                 |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 20.59   |  |        |  | 27.53      |   |  | Total Selling Costs                |  |  | 23.06     |  |  |  | 20.56     |  
|       | 60.80   |  |        |  | 79.83      |   |  | Total Costs                        |  |  | 69.29     |  |  |  | 70.51     |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | 81.39   |  |        |  | 107.36     |   |  | Total Costs per Tn Sold            |  |  | 92.35     |  |  |  | 91.07     |  
|       |         |  |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |  |        | 
|       | (0.02)  |  |        |  | (0.01      | ) |  | Difference                         |  |  | 0.01      |  |  |  | (0.40     | )



---

| |  |                                                               |  | 
| |  | ------------------------------------------------------------- |  | 
| |  | Ashton Joint Venture Cost per Tonne Sold Analysis Underground |  | 



|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|------ | ------- | - | ------ |  | ---------- | - |  | ---------------------------------- |  |  | --------- | - |  |  | --------- | 
|Jun-10 |         |   |        |  | YTD Jun-10 |  
|Budget |         |   | Actual |  |            |   |  | Actual                             |  |  | Budget    |  
|       |         |   |        | 
|       | 407,052 |   |        |  | 6,156      |   |  | ROM Coal Mined                     |  |  | 2,690,667 |   |  |  | 3,056,548 | 
|       |         |   |        | 
|       | 187,653 |   |        |  | 21,001     |   |  | Net Tonnes Sold (Invoiced)         |  |  | 1,570,873 |   |  |  | 1,929,587 | 
|       |         |   |        | 
|       | 0.00    |   |        |  | 0.00       |   |  | OC Mining                          |  |  | 0.00      |   |  |  | 0.00      | 
|       | 32.43   |   |        |  | 292.07     |   |  | UG Mining                          |  |  | 46.90     |   |  |  | 38.36     | 
|       | 6.45    |   |        |  | 19.02      |   |  | Coal Processing                    |  |  | 6.91      |   |  |  | 6.69      | 
|       | 2.39    |   |        |  | 13.64      |   |  | Site Admin and Overheads           |  |  | 2.85      |   |  |  | 2.18      | 
|       | (9.60   | ) |        |  | 42.68      |   |  | Movement in OBIA and Coal Stocks   |  |  | (1.93     | ) |  |  | 2.86      | 
|       |         |   |        |  |            |   |  | Finance Leases                     |  |  |           |   |  |  |           | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 31.67   |   |        |  | 367.41     |   |  | Total FOR Cash Costs per Tn Sold   |  |  | 54.74     |   |  |  | 50.09     | 
|       |         |   |        | 
|       | 3.88    |   |        |  | 0.10       |   |  | Rail                               |  |  | 3.64      |   |  |  | 3.88      | 
|       | 3.52    |   |        |  | 11.16      |   |  | Port                               |  |  | 3.92      |   |  |  | 3.52      | 
|       | 1.35    |   |        |  | 2.64       |   |  | (Despatch)/Demurrage               |  |  | 1.79      |   |  |  | 1.35      | 
|       | 3.11    |   |        |  | 11.79      |   |  | Management & Marketing Fees        |  |  | 3.38      |   |  |  | 3.11      | 
|       | 1.01    |   |        |  | 0.83       |   |  | Brisbane Corporate and Other Costs |  |  | 1.09      |   |  |  | 1.05      | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 44.54   |   |        |  | 393.93     |   |  | FOB Cash Costs per Tn Sold         |  |  | 68.56     |   |  |  | 63.00     | 
|       |         |   |        | 
|       | 7.71    |   |        |  | 32.71      |   |  | Royalties and Levies               |  |  | 8.88      |   |  |  | 7.70      | 
|       | 0.00    |   |        |  | 13.98      |   |  | Finance Costs                      |  |  | (0.04     | ) |  |  | 0.00      | 
|       | 10.56   |   |        |  | 73.31      |   |  | Depreciation and Amortisation      |  |  | 9.65      |   |  |  | 8.39      | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 62.81   |   |        |  | 513.93     |   |  | Total FOB Costs per Tn Sold        |  |  | 87.04     |   |  |  | 79.09     | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|      
|       | Input:  |  
|       |         |   |        | 
|       |         |   |        |  |            |   |  | OC Mining                          |  |  |           |   |  |  |           | 
|       | 40.37   |   |        |  | 360.25     |   |  | UG Mining                          |  |  | 54.14     |   |  |  | 44.73     | 
|       | 8.28    |   |        |  | 24.23      |   |  | Coal Processing                    |  |  | 8.61      |   |  |  | 8.10      | 
|       | 3.18    |   |        |  | 13.56      |   |  | Site Admin and Overheads           |  |  | 3.57      |   |  |  | 2.79      | 
|       |         |   |        |  |            |   |  | Finance Leases (Principal)         |  |  |           |   |  |  |           | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 51.83   |   |        |  | 398.04     |   |  | FOR Cost per Tn Sold               |  |  | 66.31     |   |  |  | 55.62     | 
|       |         |   |        | 
|       |         |   |        |  |            |   |  | OC Mining D&A                      |  |  |           |   |  |  |           | 
|       | 1,490   |   |        |  | 1,432      |   |  | UG Mining D&A                      |  |  | 11,369    |   |  |  | 12,292    | 
|       | 343     |   |        |  | 109        |   |  | Coal Processing D&A                |  |  | 2,658     |   |  |  | 2,705     | 
|       | 149     |   |        |  | (2         | ) |  | Site Admin and Overheads D&A       |  |  | 1,125     |   |  |  | 1,195     | 
|       | 0       |   |        |  | 0          |   |  | Exploration Amortisation           |  |  | 0         |   |  |  | 0         | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 1,982   |   |        |  | 1,540      |   |  | Depn & Amortn [$000]              |  |  | 15,152    |   |  |  | 16,192    | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       |         |   |        |  |            |   |  | Cross Check to P&L                 |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 19.57   |   |        |  | 58.40      |   |  | Total Selling Costs                |  |  | 21.59     |   |  |  | 19.56     | 
|       | 42.66   |   |        |  | 455.53     |   |  | Total Costs                        |  |  | 65.44     |   |  |  | 58.88     | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 62.23   |   |        |  | 513.93     |   |  | Total Costs per Tn Sold            |  |  | 87.03     |   |  |  | 78.44     | 
|       |         |   |        |  |            |   |  |                                    |  |  |           |   |  |  |           | 
|       |         |   |        | 
|       | 0.58    |   |        |  | (0.00      | ) |  | Difference                         |  |  | 0.01      |   |  |  | 0.65      | 



---

Ashton Coal Joint Venture(incl ACML)

Consolidated Cash Generation



|               |        |   |              |  |                     |              |  |  |        |   |              |                          |  |              |         |   |                |  |         |   |  |  |         |  
|-------------- | ------ | - | ------------ |  | ------------------- | ------------ |  |  | ------ | - | ------------ | ------------------------ |  | ------------ | ------- | - | -------------- |  | ------- | - |  |  | ------- | -
|Jun-10         |        |   |              |  | 12 Months to June10 |             
|Variance$000s |        |   | Budget$000s |  |                     | Actual$000s |  |  |        |   | Actual$000s |                          |  | Budget$000s |         |   | Variance$000s | 
|               |        |   |              |  |                     |             
|               | (5,208 | ) |              |  | 9,672               |              |  |  | 4,464  |   |              | Consolidated Profit      |  |              | 68,788  |   |                |  | 64,060  |   |  |  | 4,728   |  
|               |        |   |              |  |                     |             
|               |        |   |              |  |                     |              |  |  |        |   |              | Add back:                |  |              |         |   |                |  |         |   |  |  |         |  
|               | 152    |   |              |  | 366                 |              |  |  | 517    |   |              | O/C depn                 |  |              | 5,162   |   |                |  | 4,351   |   |  |  | 810     |  
|               | (58    | ) |              |  | 1,490               |              |  |  | 1,432  |   |              | U/G Depn                 |  |              | 11,369  |   |                |  | 12,292  |   |  |  | (923    | )
|               | (115   | ) |              |  | 451                 |              |  |  | 336    |   |              | CHPP Depn                |  |              | 4,424   |   |                |  | 4,394   |   |  |  | 29      |  
|               | (258   | ) |              |  | 205                 |              |  |  | (53    | ) |              | Admin Depn               |  |              | 1,895   |   |                |  | 1,933   |   |  |  | (38     | )
|               | (41    | ) |              |  | 84                  |              |  |  | 42     |   |              | Lease Interest           |  |              | 840     |   |                |  | 1,009   |   |  |  | (168    | )
|               | 1,540  |   |              |  | 696                 |              |  |  | 2,237  |   |              | Change in O/B in Advance |  |              | 8,205   |   |                |  | 5,934   |   |  |  | 2,271   |  
|               | 2,859  |   |              |  | (2,560              | )            |  |  | 298    |   |              | Change in Coal Stocks    |  |              | (5,995  | ) |                |  | 10,840  |   |  |  | (16,836 | )
|               |        |   |              |  |                     |             
|               | (1,130 | ) |              |  | 10,404              |              |  |  | 9,274  |   |              | Operating Cash Surplus   |  |              | 94,687  |   |                |  | 104,814 |   |  |  | (10,127 | )
|               |        |   |              |  |                     |             
|               |        |   |              |  |                     |              |  |  |        |   |              | Finance/Capital          |  |              |         |   |                |  |         |   |  |  |         |  
|               | 1,266  |   |              |  | 0                   |              |  |  | 1,266  |   |              | Lease Payments           |  |              | (6,065  | ) |                |  | (8,915  | ) |  |  | 2,850   |  
|               | (536   | ) |              |  | (4,641              | )            |  |  | (5,177 | ) |              | Capex                    |  |              | (31,931 | ) |                |  | (38,435 | ) |  |  | 6,504   |  
|               |        |   |              |  |                     |             
|               | (399   | ) |              |  | 5,763               |              |  |  | 5,364  |   |              | Total Cash Generation    |  |              | 56,691  |   |                |  | 57,464  |   |  |  | (773    | )



---

| |  |                                                               |  | 
| |  | ------------------------------------------------------------- |  | 
| |  | Ashton Joint Venture Cost per Tonne Sold Analysis Underground |  | 



|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|------ | ------- | - | ------ |  | ---------- | - |  | ---------------------------------- |  |  | --------- |  |  |  | --------- | -
|Jun-10 |         |   |        |  | YTD Jun-10 |  
|Budget |         |   | Actual |  |            |   |  | Actual                             |  |  | Budget    | 
|       |         |   |        | 
|       | 561,357 |   |        |  | 192,701    |   |  | ROM Coal Mined                     |  |  | 4,531,145 |  |  |  | 4,946,014 |  
|       |         |   |        | 
|       | 270,000 |   |        |  | 124,115    |   |  | Net Tonnes Sold (Invoiced)         |  |  | 2,675,416 |  |  |  | 3,120,000 |  
|       |         |   |        | 
|       | 13.75   |   |        |  | 33.36      |   |  | OC Mining                          |  |  | 19.19     |  |  |  | 16.34     |  
|       | 22.54   |   |        |  | 49.42      |   |  | UG Mining                          |  |  | 27.54     |  |  |  | 23.72     |  
|       | 5.90    |   |        |  | 9.88       |   |  | Coal Processing                    |  |  | 6.76      |  |  |  | 6.73      |  
|       | 2.27    |   |        |  | 7.20       |   |  | Site Admin and Overheads           |  |  | 2.82      |  |  |  | 2.42      |  
|       | (6.90   | ) |        |  | 20.42      |   |  | Movement in OBIA and Coal Stocks   |  |  | 0.83      |  |  |  | 5.37      |  
|       |         |   |        |  |            |   |  | Finance Leases                     |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       | 37.55   |   |        |  | 120.29     |   |  | Total FOR Cash Costs per Tn Sold   |  |  | 57.13     |  |  |  | 54.57     |  
|       |         |   |        | 
|       | 3.88    |   |        |  | 2.65       |   |  | Rail                               |  |  | 3.54      |  |  |  | 3.88      |  
|       | 3.52    |   |        |  | 5.93       |   |  | Port                               |  |  | 3.92      |  |  |  | 3.52      |  
|       | 1.35    |   |        |  | 2.03       |   |  | (Despatch)/Demurrage               |  |  | 1.79      |  |  |  | 1.35      |  
|       | 3.12    |   |        |  | 5.72       |   |  | Management & Marketing Fees        |  |  | 3.38      |  |  |  | 3.11      |  
|       | 1.01    |   |        |  | 0.91       |   |  | Brisbane Corporate and Other Costs |  |  | 1.08      |  |  |  | 1.05      |  
|       |         |   |        | 
|       | 50.43   |   |        |  | 137.53     |   |  | FOB Cash Costs per Tn Sold         |  |  | 70.94     |  |  |  | 67.48     |  
|       |         |   |        | 
|       | 8.01    |   |        |  | 16.42      |   |  | Royalties and Levies               |  |  | 9.48      |  |  |  | 8.08      |  
|       | 0.31    |   |        |  | 4.21       |   |  | Finance Costs                      |  |  | 0.27      |  |  |  | 0.32      |  
|       | 9.30    |   |        |  | 17.99      |   |  | Depreciation and Amortisation      |  |  | 8.54      |  |  |  | 7.36      |  
|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       | 68.06   |   |        |  | 176.15     |   |  | Total FOB Costs per Tn Sold        |  |  | 89.23     |  |  |  | 83.25     |  
|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|      
|       | Input:  |  
|       |         |   |        | 
|       | 15.10   |   |        |  | 37.53      |   |  | OC Mining                          |  |  | 21.12     |  |  |  | 17.73     |  
|       | 28.05   |   |        |  | 60.96      |   |  | UG Mining                          |  |  | 31.79     |  |  |  | 27.66     |  
|       | 7.57    |   |        |  | 12.59      |   |  | Coal Processing                    |  |  | 8.41      |  |  |  | 8.13      |  
|       | 3.03    |   |        |  | 6.78       |   |  | Site Admin and Overheads           |  |  | 3.53      |  |  |  | 3.04      |  
|       |         |   |        |  |            |   |  | Finance Leases (Principal)         |  |  |           |  |  |  |           |  
|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       | 53.76   |   |        |  | 117.86     |   |  | FOR Cost per Tn Sold               |  |  | 64.84     |  |  |  | 56.57     |  
|       |         |   |        | 
|       | 366     |   |        |  | 517        |   |  | OC Mining D&A                      |  |  | 5,162     |  |  |  | 4,351     |  
|       | 1,490   |   |        |  | 1,432      |   |  | UG Mining D&A                      |  |  | 11,369    |  |  |  | 12,292    |  
|       | 451     |   |        |  | 336        |   |  | Coal Processing D&A                |  |  | 4,424     |  |  |  | 4,394     |  
|       | 205     |   |        |  | (53        | ) |  | Site Admin and Overheads D&A       |  |  | 1,895     |  |  |  | 1,933     |  
|       | 0       |   |        |  | 0          |   |  | Exploration Amortisation           |  |  | 0         |  |  |  | 0         |  
|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       | 2,512   |   |        |  | 2,233      |   |  | Depn & Amortn [$000]              |  |  | 22,849    |  |  |  | 22,971    |  
|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       |         |   |        |  |            |   |  | Cross Check to P&L                 |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       | 19.88   |   |        |  | 32.75      |   |  | Total Selling Costs                |  |  | 22.20     |  |  |  | 19.94     |  
|       | 48.19   |   |        |  | 143.41     |   |  | Total Costs                        |  |  | 67.03     |  |  |  | 63.31     |  
|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       | 68.07   |   |        |  | 176.16     |   |  | Total Costs per Tn Sold            |  |  | 89.23     |  |  |  | 83.25     |  
|       |         |   |        |  |            |   |  |                                    |  |  |           |  |  |  |           |  
|       |         |   |        | 
|       | (0.01   | ) |        |  | (0.01      | ) |  | Difference                         |  |  | 0.00      |  |  |  | (0.00     | )