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CCG MeetingAngaston 3rd June 2009

Mine Operation Update – June 2009

Eastern Area

Dressing of upper levels of west face to reduce colour variation

Seed bombs being used to grass the upper levels (see photograph)

Recent rain has allowed tree planting to commence

Completed crushing of upper aggregate inventory & moved the mobile crusher down to the next lower level – see photo

Western MPL 118

Rain has delayed topsoil removal but continuing, expected to be completed now by mid June

The accessible topsoil mound is continuing to be sown with sterile rye grass

Overburden being placed in first level (see photo)

Overburden volume moved 417,500t

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Eastern Area Sheeting of western slopes to reduce visual impact Seeding of western slopes on eastern dump Donovans Earthcare innovating seeding method using clay ‘bombs’

Mine Operation Update

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Mine Operation Update

Eastern area

Mobile crusher moved from RL394 to lower level RL384. Buffer height lifted to limit visual impact.

Due to heavy NEXY demand we are short in crusher capacity – assessing options to increase crushing rate

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Mine Operation Update

MPL 118 Development

Topsoil removal continuing when weather conditions permit

437,000 tonnes removed to date

Overburden 417,500 tonnes placed in area

Jaeckeli Creek management plan submitted to NRM Board

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Truck Tarp Survey

Conducted Monday 1st June 2009

Full compliance with tarps in place -- 88%

Non Compliance no tarps – 6.5%

Partial compliance (either truck or trailer not tarped in dual configuration) – 5.4%

Entry Exit Road tarping & parking lanes for safe traffic movement requires movement of the telecom line, 3 new lights and removal of 9 trees subject to Native Vegetation Act requirements with a new plantings ratio of 5 – see photo

Tarp Commitment – Adelaide Brighton Cemento Trucks to have and use tarps for movements to ABC Angaston –

recommended by 30th June 2009

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Front Entrance upgrade

Intermediate actionso Widen road for truck tarping area - narrow entrance safety concerno 9 trees to be removed, replaced with 45 new plantings – this is compliant with

Native Vegetation Act o Telstra and power cable relocationo Street lighting installation at front gate and truck wash area

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Front Entrance Upgrade

Design plans submitted to Council for approval Refer handout for details Drag out control Road Sweeper minimum daily sweep (more if required) Washing down of entrance

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Community Environmental Issues

o Refer handout for Complaintso Glass limestone compressor room

Mine Operation Update – June 2009

Other

Meeting requested with PIRSA to finalise the Overburden options report with KRC including a site visit

Agreed to new $140k rehabilitation work for FY2010 covering Kalimna rd, West MPL 1st level, MPL vehicle track, West side rail embankment, & west side of east mound

Still chasing NRM Board approval of Jaeckeli Ck Management Plan to commence

Later train loading continuing

EIP Dust mitigation plan - see later

Investigating Mine closure concept plans (subject to hydrology outcome) – see later

Mine Planning study continuing with a visit from geotechnical experts (KRC) to better determine pit shape into the future

Mine Operation Update – June 2009

Other

New Mine manager & Maintenance manager positions to be filled to strengthen management, planning, maintenance and project work, a further commitment to the mine and the community. Preference is for living locally

Increased activity due to derailment and ABC Birkenhead increased drag out

Remedial Action – limited use of truck-wash due to water drag out

Use of water cannon several times to wash road, with apologies to council

Results taken from the Silt Trap Overflow: 28/4/09

Criteria Result Element Parts Per Million

(ppm) Silt Trap Results

Aluminium (soluble) 3 .17 Cadmium (total) 0.005 < 0.0002 Iron (total) 5 0.10 Mercury (total) 0.001 < 0.0001 Selenium (total) 0.01 .0001 Thallium (total) < 0.005 < 0.001 Zinc (total) 0.5 0.003 Suspended Sediment 100 6 Total Nitrogen (as nitrogen) 20 2 Turbidity (NTU) 100 35 Organochlorine Pesticides 0.0001 detection limit < 0.0001 Organophosphorous Pesticides 0.001 Detection Limit < 0.002 pH 6.5 – 11 8.13 Conductivity 1000 uS 409 uS (salinity 0.1) Dissolved Oxygen 10 7.55

Penrice Community ParkConcept Mine Closure Plan

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Dust Emission Reduction Initiatives - EIP

No Plant Item Target Completion Date

Impact Action

1 Front entrance Road watering, only water to gate 1/4/09 Reduce water/drag out to Penrice Rd Completed

2 Penrice Road Change to Envirosweep street sweeper

6-04- 09 Improve sweeping of drag out Completed 27/4/09

3 Truck wash Upgrade water recycle system 31/07/09 Improve washing efficiency Quotes still to be received

4 Osborne train loader

Commence water sprays to Osborne stone ½ hour prior to loading

2/04/09 Reduce emissions at return circuit Commencing water sprays 1/4hour prior to loading (mud problem with ½ hour) Moving to automatic PLC

5 Osborne train loader

Maintain chute water sprays with polocitrus

Serviced quarterly

Comments from residents this is working Completed

6 Osborne plant Apply water sprays on tertiary plant & Q10 at all times

1/04/09 Reduce dust at these handling points Aligned to No11- Completed 1/5/09

7 PC1 Crusher Auto water spray on trucks entering to unload

31/07/09 Negates manual activation by operator Automation using PLC, have parts will be installed by 30/6/09

8 PC1 Crusher Shroud unload bin in shade cloth 31/07/09 Improve effectiveness of water sprays Barossa engineering still to quote

9 ABC Stockpiles Shroud perimeter 15/06/09 Reduce dust emission through wind erosion

Cyclone fence with shade cloth on order for 6 months trial to be installed 13th June 2009

10 ABC Stockpile Spray completed pads with green covering

30/04/09 Reduce dust emission from stockpiles Trialled, very expensive, looking at more cost effective alternatives

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Dust Emission Reduction Initiatives

11 Fine Mill Plant Close down from 1/5/09 1/5/09 Customers to be notified Completed

12 Top Soil Stockpile

Spray stockpile with green covering 30/04/09 Reduce possible dust emission from wind & rain?

Seeded sterile Rye grass, finish when accessible

13 Aggregate PlantComplete auto water sprays of working area around plant

30/08/09 Reduce dust from vehicle movements Requires PLC Being quoted

14 Aggregate plant feed stock piles

Erect a overhead water spray system for all trucks to pass under before unloading to stockpiles

30/9/09 Reduce dust in crushing plants Designs being considered

15 Aggregate PlantIncrease water application during start up/shut down and when empty with automatic sprays

30/06/09 Currently a chimney effect of dust; designing the PLC control at present

Requires new design of chutes with PLC control

16 Aggregate Plant Bins

Automate sprays to be on all day 15/04/09 Reduce dust in strong wind conditions Completed

17 Aggregate PlantImprove water sprays at sand output end

30/06/09 Reduce dust in string winds Alternative spray nozzles being assessed

18 OI Glass Plant Assemble foam spray applicators 30/09/09 Reduce dust emission in strong winds Investigating foam options

19 Aggregate PlantReview use of shade cloth in this area to reduce wind impact

31/07/09 Reduce dust emission in strong winds Under review along with No 9

20 Osborne train Review ability to stop return <50mm stone

30/6/09 Reduce dust emissions at return bins May trial delayed until June

21 Front entrance Seal roads from entrance to weigh bridge

30/10/09 Reduce drag out to Penrice Rd See design including new tarp and parking lanes

No Plant Item Target Completion Date

Impact Action

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TSP & PM10 Dust results May

TSP Limits: 120 µg/m3`

Date TSP (µg/m3) High wind Sp (km/h) Wind direction

1/5/09 10.4 40.2 NNW

4/5/09 20.0 35.4 SSW

7/5/09 37.2 33.8 SSW

10/5/09 24.4 51.5 S

13/5/09 15.2 48.3 SW

16/5/09 8.8 69.2 NNW

19/5/09 46.8 43.5 S

22/5/09 49.8 59.5 SSE

22/5/09 6.9 51.5 NW

PM10 Limits: 50 µg/m3

Date PM10 (µg/m3)High wind Sp

(km/h) Wind direction

1/5/09 4.9 40.2 NNW

4/5/09 2.8 35.4 SSW

7/5/09 4.9 33.8 SSW

10/5/09 3.6 51.5 S

13/5/09 6.6 48.3 SW

16/5/09 5.1 69.2 NNW

19/5/09 14.8 43.5 S

22/5/09 21.4 59.5 SSE

22/5/09 4.2 51.5 NW

Dust Emissions – on site monitoring

Dust Emissions - Angaston

0.0

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/02

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26

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9

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PM10

TSP

PM10 standard

TSP standard

Dust Suppression & Noise Abatement Initiatives

Penrice Rd residents meeting with residents

Site Noise Modeling by Bassett Acoustics – commence in 2nd week June.

This will include the new mobile crusher location in the east mound

Crushing capacity not been met within the current hours – longer hours will be investigated subject to environmental footprint, safety and labour requirements

Dust suppressant trials – see photo

Green dust suppressant (as per photo) has worked well and not affected by rain. It forms a crust on the stockpiles and prevents the stockpiles from eroding (water and wind). This is not a cost efficient option and we will continue to trial products that best meet common objectives

4 products have been trialed to dateo Tallow not effective on roads and will be assessed for stockpileso Polocitrus is in use on train and aggregate crushing plant successfullyo Green dust suppressant effective for stockpiles but cost prohibitiveo Polycom has been applied to selected routes around the weighbridge

successfully and trials are ongoing

Dust Suppressant Trial – ABC stockpiles

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The Barossa Council – Better Development Plan

• Submission tendered by PIRSA, EPA and Penrice

• Will be able to be viewed via the Council web

• Public hearing 10th June 2009

• Key Penrice Issues

• Extractive Industry is a legitimate land use

• The EPA guidelines for Separation should be followed in any building activity including current zones – see photo

• The proposed rezoning will conflict with the mine operations

• Penrice opposes key elements of the Better Development plan

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Traffic CounterFlow Stacked by Class

ClassStack-1 (Metric) Site:AT78PG0Y.0S Description: MetroCount Factory Test SetupFilter time: 11:39 Tuesday, 5 May 2009 => 14:12 Monday, 25 May 2009 Filter: Cls(1 2 3 4 5 6 7 8 9 10 11 12 ) Dir(NESW) Sp(10,160) Headway(>0)Scheme: Vehicle classification (ARX)

< 0:00 Tuesday, 5 May 2009 (Day)Class

121110987654321

Time05-May

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Derailment meant truck haulage to Osborne from 17/5 to 23/5 resulting in approx 80 extra truck movements per day

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