Thiess Mining Capability Brochure, 2011

A HISTORY OF FIRSTSPIONEERINGThe first Australian miningcontractor to export coalto Japan in the 1960sand the first to exportcoal from Queensland’sGalilee Basin.INNOVATIVEWE THINKOUTSIDE THE BOXOur team has developednew technologies andworked hand-in-hand withLiebherr to help developultra-class plant.DYNAMICWE’RE POISEDAND READYExperienced in coal, ironore, copper, nickel andgold amongst others.More than $3B of plantand equipment.WE’RE HERE FORTHE LONG HAULSTRONG$9B work-in-hand over thenext five years. Producingmore than 110M tonnes ofcoal/ore and moving morethan 530M cubic metres ofoverburden per year.ONE TEAMEVERYONE SAFE,EVERY DAYWe value each and everyone of the 10,500 peoplethat make up our diverseteam and the partnersand community memberswho visit our sites.

WORLD LEADERSIN MININGOPERATIONSTHE SCOPE OF OUR OPERATIONS IS MATCHEDBY THE STRENGTH OF OUR REPUTATION FORDELIVERING SUSTAINABLE OUTCOMESOVER THE LIFE OF A MINEMT OWEN COMPLEX, HUNTER VALLEY, NSW

MINE PLANNING& SCHEDULINGINFRASTRUCTUREDESIGN & CONSTRUCTIONFIXED PLANTMOBILE PLANTOPERATIONSAs one of the world’s leading mining contractors, Thiess is delivering resultsfor mining companies across Australia and overseas. Our experience inthe sector is unparalleled and through smart planning, ground breakingtechnology and innovation, we continue to set new industry benchmarks.

PROVIDING GREATERMINE PLANNING& SCHEDULINGINFRASTRUCTUREDESIGN & CONSTRUCTIONFIXED PLANTMOBILE PLANTOPERATIONS

We develop effective mine plans andschedules for greenfield and brownfieldoperations for dragline, rope shovel, largeexcavator and truck mining operations,including deep terrace mining.We specialise in economical mine planningthrough smart design, operationalimprovements, due diligence studies andstrategic reviews. Our team consistentlyachieves the strongest results acrossa broad range of variables and interdependenciesthrough planning andscheduling phases.Our mine planning and operations havebeen refined and tested over decades,offering mine owners greater certaintywith less risk. Our capabilities ensure thatthe extraction process is fully integratedinto the overall mine plan to provide themost efficient production.Thiess has overcome the planning andoperational risks associated with steeplydipping seams, variable seams andinter-burden thicknesses in mines onceconsidered too hard for large-scaleefficient mining.We provide expert advice,building on our capacity to deliver:» Margin ranking andpit optimisation» Mine design andreserve estimation» Scheduling, forecastingand modelling

MINE PLANNING& SCHEDULINGCASE STUDYPLANNINGFOR LIFE-OF-MINEIT TOOK FRESH EYES AND VISIONTO SEE WHAT LAY HIDDENUNDERGROUND AT STANWELLCORPORATION’S MEANDU MINE,IN QUEENSLAND’S SOUTHBURNETT REGION.When Thiess assumed operations ofthe mine in 2008, it began a review andanalysis of Meandu’s remaining reservesand the nearby Kunioon coal reserves.As a result, the team found considerablecoal available in Meandu, leading toStanwell Corporation’s decision tocontinue its operations for another 15 years,rather than their earlier plans to expeditethe development of the Kunioon Mine.The first move toward this dramatic,profitable outcome was to remove allleased equipment and mothball two olderexcavators to reduce immediate miningcosts. Excess coal inventory built over theprevious year was used to meet deliverieswhile conducting a full review of the mine.Thiess then checked all previous Meanduexploratory drilling logs and data,supported by an extensive review of thefault locations and structures in the field.This led to a new interpretation of theremaining reserves including new seamcorrelations and fault identification.Two years of studies, a flexible approachto equipment application and miningconcepts, hundreds of metres of additionalexploratory drilling and myriads of mineplans allowed Meandu to continue operatingand reliably feeding one of South EastQueensland’s largest power stations.MEANDU

MINE PLANNING& SCHEDULINGINFRASTRUCTUREDESIGN & CONSTRUCTIONFIXED PLANTMOBILE PLANTOPERATIONS

DELIVERINGEFFICIENCIESOur civil team works with us to deliverspecific project components including thedesign, procurement, construction andcommissioning of access roads, utilities,facilities and ancillary infrastructure.Offering the full suite of capabilitiesleads to an integrated network ofinfrastructure across mine sites,delivering maximum efficiencies forhigh performing mine operations.Our ‘one team’ approach removesinterface risk and integration difficultiesbetween civil, building, mechanical,electrical, commissioning and operationalcomponents of mines.This includes the establishment of earlyworks infrastructure for site evaluation,test pits or exploration programs throughto civil works and construction.We deliver:» Access roads and rail lines» Offices, camps andworkshop facilities» Fuel and oil facilities» Water management andpumping infrastructure» Dams and drains for wastewater and tailings management

WILPINJONG

INFRASTRUCTUREDESIGN & CONSTRUCTIONCASE STUDYSTATE-OF-THE-ARTINFRASTRUCTURETHIS INFRASTRUCTURE, BUILT TOSUPPORT THE WILPINJONG COALPROJECT IN NEW SOUTH WALES,IS A TRIBUTE TO THIESS’ FIRST RATECONSTRUCTION CAPABILITIES.With a design life of 20 years, thedevelopment delivers a solid, high-qualityfoundation for the duration of the project.The multi-million dollar industrial areaincludes state-of-the-art buildings andsupport facilities which sustain theprocessing and delivery of 9.5 Mtpaof coal to market.An all-embracing suite of mineinfrastructure has been rolled outfor the project including earthworks,tailings dams, roads and rail loop.Thiess also delivered beyond clientexpectations with the development offirst-class site offices and workshops.Our experience and detailed managementensured the project was delivered ontime and without lost time injuries.

SETTING NEW PRODUCTIVITYMINE PLANNING& SCHEDULINGINFRASTRUCTUREDESIGN & CONSTRUCTIONFIXED PLANTMOBILE PLANTOPERATIONS

Our total mining solutions include themanagement and operation of mineralprocessing plants, including CoalHandling Preparation Plants (CHPPs).We have an impressive 20-year historyin designing, procuring, constructing,commissioning and operating CHPPsfor our clients across Australia.Our Thiess Sedgman Joint Venture (TSJV)is a recognised industry leader in thedesign and delivery of coal processingfacilities; this partnership has built aformidable reputation for providingsafe, high-quality, robust plant.Each CHPP is unique and designed tomeet the particular needs of each mine.We often start by helping the clientdefine the performance requirementsand then use our experience to influencethe constructability of the plant.We are currently upgrading the BengallaMining Company’s CHPP in New SouthWales and expanding the Lake VermontCHPP in central Queensland.

FIXED PLANTCASE STUDYINNOVATIONS IN FIXED PLANTA THIESS SEDGMAN JOINT VENTURE(TSJV) RESOURCE PROJECT HASSET NEW STANDARDS IN COALPROCESSING PLANT CONSTRUCTION.This is achieved by applying an innovativeBay Plant design, fabricating large partsof the major new plant off-site andpreassembling large floor sectionsof vertical structures on the ground.The Lake Vermont CHPP can receive andhandle coal at a rate of up to 5.6 milliontonnes per annum (800 tonnes perhour) and is capable of producing twoproducts – a coking coal product anda pulverised coal injection (PCI) product.Previously, CHPPs had required extensivedesign and drafting to develop eachnew plant, as well as extensive ‘stick’erection work at heights.The application of the Bay Plant designprovided certainty to Lake VermontResources in plant performance, cost andtime management at project definitionas well as a significant reduction inengineering man-hours and projecttimeframe. The joint venture is expandingthe CHPP to further increase the annualoutput of the mine in a bid to reflectrecent increases in shipping demand.

LAKE VERMONTTSJV CHPP PROJECTS & THROUGHPUT TONNESHail Creek Coal Project08/038.2565Saraji Upgrade06/06420Hail Creek Expansion Project08/063.7518Wilpinjong Coal Project03/0710.546Dawson Coal Project09/072077Lake Lindsay Coal Project09/08514Lake Vermont Coal Project03/095.613Bengalla CHPP Expansion*12/115Lake Vermont Expansion Project*10/125.6* Denotes currentlyunder constructionName plate capacity(million tonnes per annum)Name plate throughput tonnes sincecommissioning (million tonnes)

PLANT FOR THE LONG HAULMINE PLANNING& SCHEDULINGINFRASTRUCTUREDESIGN & CONSTRUCTIONFIXED PLANTMOBILE PLANTOPERATIONS

We have one of the largest, mostdiversified fleets of mining and constructionplant in Australasia which is maintainedin-house for optimum efficiency, reliabilityand performance.Our fleet includes some of the biggestgear in the business including Liebherr’sR9800 backhoe hydraulic excavators andT282 ultra-class trucks, and our fleet ofCaterpillar 797 off-highway dump trucks –the biggest in Caterpillar’s imposing fleet.As industry leaders we provide plantand related services that are suitablyequipped, reliable and competitivelypriced. We own and deploy advancedheavy equipment operator trainingsimulators that present a varietyof scenarios, including weatherconditions, different road surfacesand emergency situations, providinga safe environment for training.Through our strong relationships,we work with the largest manufacturersof plant in the world, in forums suchas innovation workshops, to guideproduct improvement and productivity.These relationships, backed by our ownfinancial capacity, allow us to operatelong-term projects with a reliablepipeline of equipment.

MOBILE PLANTCASE STUDYOPTIMALPERFORMANCEA productive mine demands the rightplant. Thiess has built a reputation fordelivering greater value and certainty byintroducing efficiencies and continuallystriving for lower cost mining methods.Using ultra-class mining equipment offersgreater economies of scale – integral tolowering costs.THE BIGGEST GEARNothing illustrates the strength of therelationship between Thiess and clientPeabody Energy Australia better than thelatest contract to operate the enduringBurton Coal Mine in North Queensland.The secret to our success at the mineis the commitment to using the biggestgear in the business. A second LiebherrR9800 is operating at the mine and beingserviced by a fleet of Caterpillar 797 dumptrucks. The result of this muscle is the costeffective removal of overburden, nearly30 per cent of which is being removedfor the second time as we go back intoareas of Burton first mined in 1996.10,000 HOURS OF TYRE LIFEThe Thiess Tyre Life Improvement Programis another example of the way our teamconstantly looks to improve performance.The program has achieved more than10,000 hours of tyre life on our Caterpillar793 haul trucks at Lake Vermont. A numberof tyres from across our sites have lastedmore than 13,000 hours.

OUR FLEETEXCAVATORSRANGING IN 100TO 800 TONNERANGE

MINE PLANNING& SCHEDULINGINFRASTRUCTUREDESIGN & CONSTRUCTIONFIXED PLANTMOBILE PLANTOPERATIONS

DELIVERING SUPERIORAND VALUEWith more than 60 years experience inthe mining industry, we provide clientswith the reliable delivery of commodities.Our ability to develop leading-edgeinnovations and provide cost savings isevident in our approach to all of our miningoperations – open-cut mining, overburdenremoval, crushing and stockpiling.Through our operations we are able tofill a 150 tonne truck every three seconds,24 hours a day, seven days a week –boosting industry productivity andstrengthening the Australian economythrough exports. We produce enoughcoal to generate a year’s worth of powerin Australia and enough coking coal tomanufacture 14 million tonnes of steel.We draw on the right mixof techniques including:» Dozer pushing» Dragline» Truck and shovel» Cast blasting

OPERATIONSCASE STUDYA PROMINENTAPPROACH TO MININGIN AUGUST 2006, THIESS WASSELECTED AS THE MININGCONTRACTOR FOR THE PROMINENTHILL COPPER-GOLD PROJECTIN SOUTH AUSTRALIA.The $800 million contract with client OZMinerals Limited involves setting up mineinfrastructure including construction ofthe workshop, offices and fuel facilities,and undertaking mining activities on-sitefor six years. Now in full swing, Thiess iscurrently mining 2.5 million bank cubicmetres (BCM) per month.The plant fleet includes five Liebherr 996excavators, 43 Caterpillar 793 dump trucks,seven Caterpillar 789C dump trucks and arange of ancillary equipment. We currentlyemploy 242 staff, 87 per cent of whom live inSouth Australia. Thiess has placed a strongfocus on employing local workers and hasheld local community information meetingsto communicate job opportunities.IN THE DRIVER’S SEATIn an Australian first, Thiess is operatingthe Bucyrus 495HR2 Electric Rope Shovelat the Wesfarmers-owned Curragh NorthMine in the Bowen Basin. Manufactured inthe US, it brings ease of maintenance andincreased productivity to our operations.

PROMINENT HILL

WE PROVIDE KEY TECHNOLOGYPLATFORMS THAT YIELD LONG-TERM SUSTAINABLE OUTCOMESIN SAFETY, PRODUCTIVITY,HUMAN RESOURCES ANDMAINTENANCE MANAGEMENTNEXT GENERATION MININGKEEPING PACE WITH TECHNOLOGY WILL ALLOW US TO GROW AT A TIMEWHEN SKILLS ARE IN SHORT SUPPLY.Our next generation mining capabilities willlook at teaming resources and innovationsto enable better mining processesincluding automation. This is findingsolutions for mines that combine peopleand technologies in order to increaseproductivity and deliver certainty.This improves our sustainable developmentperformance in several areas and resultsin greater efficiencies, lower costs,improved health and safety, and betterworking conditions for our employees.The future involves minimising ourfootprint through improved capability;relying more on technology throughautomation including remote dozing;and ensuring our environmentalpractises are second to none.

ADVANCED THROUGH-SEAM BLASTINGOur experience in combiningtechnologies, including high precisiondrill guidance, strata recognition andElectronic Blasting Systems (EBS),supported by specific software toolsand techniques, yields an effectivethrough-seam blasting regime.IVOLVE PAMSA production and maintenance time andproductivity tracking tool that providesa level of control over specific machinefunctions to reduce harm to bothoperators and machines, and is expectedto yield a step change in critical eventmanagement across the mobile fleet.INFOMINEA Thiess developed mine reportingplatform that integrates operationaland maintenance data to provide acomplete record of activity, equipmentutilisation and reliability. This productis continually being improved to ensureit meets requirements and has thecapacity to adopt new data captureand reporting technologies.CBLASTA Thiess proprietary drill and blast designsoftware package that enables ourengineers to produce reliable, repeatableblast results for efficient excavation andimproved resource recovery.

WE ARE COMMITTEDSAFETY INNOVATION SUSTAINABILITYThe health and well-being of our peopleis at the forefront of everything we do.Our objective – everyone safe, every day –is founded on our belief that safeprojects are successful projects andthat all injuries are preventable.With a dynamic safety programin place on all of our mining sites,we are creating safer work attitudesand encouraging behavioural changeas a way of life. We are also intent onforward planning to ensure that asmuch as possible, we design outactivities that involve high risk.A number of recent initiatives includeSafe Spine, pre-placement medicalassessment, weight loss programs,stress relief programs, nutrition andgeneral well-being strategies, alcoholawareness, skin cancer checks andgender specific health programs.We operate a Health, Safety andEnvironment Reporting Database tomanage and monitor our performanceat all levels.We have a long history of leading thedevelopment of new mining methods,technologies and delivery techniques thatover time have become industry standards.Our teams have the capacity tocontribute to best practice at all stages ofour clients’ projects. Collaborative designworkshops, cutting edge equipment,enhanced remote technology applicationprograms and new approaches to teamhealth and safety, are just a snapshot ofthe tools we leverage on behalf of ourclients to support great mining projects.Our thinking is not just limited to on-siteinnovative techniques. From humanresources, to data analysis, to purposedesignedintelligent software solutions,we take every opportunity to leverageworld-class innovation to deliver greatervalue during project work.Sustainability is more than justimplementing a policy or coming upwith an energy saving idea. It permeateseverything we do; we strive to leave apositive legacy for future generations.We implement full environmentalcontrols for the life of the mine and takea hands-on approach to rehabilitation.We also take proactive steps to reduceenvironmental impacts during operationsby using solar power to run fixed andmobile plant, among other initiatives.Our sites are thinking green bymonitoring carbon output againstmonthly productivity figures, identifyinginefficient production practices andenabling measurable improvement.We reduce the impact of our miningoperations on all aspects of theenvironment including:» Implementing dustsuppression techniques» Using alternative energy sources» Recycling the bulk of wasteproduced on-site» Protecting areas of historicand cultural interest

COMMUNITYPEOPLEThrough good relationships and opencommunication with local communities,we are able to deliver tangible localbenefits as well as smart projects andsuccessful business outcomes.Where possible we seek to ensure highlevels of local industry participation,encouraging strong employmentoutcomes for communities.We are directly investing back intothe communities in which we work byemphasising local employment. We developsmart ideas to ensure our solutions helpcreate sustainable communities. Throughprizes, scholarships, educational andemployment programs and our people’spassion for fundraising and volunteering,we are proud to be making a difference.We are working with communities toprovide practical support:» Raising more than $48,000 for theNational Breast Cancer Foundationthrough Burton Coal Mine’s pinkCAT 789C» Creating a ‘Secret Garden’ for theresidents of Pioneer House aged carefacility in Mudgee, New South Wales,through the team at Wilpinjong Mine» Upgrading the local cinema atBlackwater in Central Queenslandthrough Curragh North Mineteam effortsWe are committed to employingand developing a workforce thatreflects the diverse society in whichwe operate. Our teams are strongbecause we attract and retain a widespectrum of talented people. We seekopportunities to ensure a motivated,engaged and productive workforce.We understand the broaderworkforce challenges facing themining industry and maintain afundamental belief that investingin our team is critical to remainingat the forefront of our industry.Our policies promote respect andfair treatment for all regardless ofage, gender or race. Building ourIndigenous workforce and attractingwomen to the mining industry isa strong focus.For Indigenous Australians,we have created proactive programs,anchored in a supportive learningand training structure, to providethem with career opportunities.Our key initiatives include theunique 20-week Indigenous preemploymentprogram and theWomen in Hard Hats program.WE ARE COMMITTEDTO EXCELLENCE INEVERYTHING WE DO

PAKRI BARWADIHNORTH-EAST INDIAMELAK COAL MINEEAST KALIMANTANSANGATTA COAL MINEEAST KALIMANTANSATUI COAL MINESOUTH KALIMANTANWORLDLEADERSIN CONTRACTMININGSENAKIN COAL MINESOUTH KALIMANTANSERVICESNote: mine locations approximate onlySOLOMON IRON ORE MINEPILBARA REGION, WARTL VICTORIALATROBE VALLEY, VIC

COLLINSVILLECOAL PROJECTCENTRAL QLDBURTON COAL PROJECTCENTRAL QLDPROMINENT HILLNORTH SAMEANDU MINESOUTH EAST QLDSOUTH WALKER CREEKCOAL PROJECTCENTRAL QLDCURRAGH NORTHCENTRAL QLDLAKE VERMONTCENTRAL QLDAUSTRALIAN MININGLevel 7, 189 Grey StreetSouth Bank QLD 4101Ph: (+61 7) 3121 8500MACKAYCnr Farrelly’s Roadand Interlink CrtPaget QLD 4740Ph: (+61 7) 4944 4500Fax: (+61 7) 4944 4554RUTHERFORD125 Racecourse RoadRutherford NSW 2320Ph: (+61 2) 4932 4311Fax: (+61 2) 4932 4311MT OWEN COMPLEXHUNTER VALLEY, NSWPERTHLevel 19,221 St Georges TerracePerth WA 6000Ph: (+61 8) 9214 4200Fax: (+61 8) 9214 4244WESTSIDE COAL MINEHUNTER VALLEY, NSWCORPORATE OFFICELevel 5, 179 Grey StreetSouth Bank QLD 4101Ph: (+61 7) 3002 9000Fax: (+61 7) 3002 9009WILPINJONGCOAL PROJECTCENTRAL NSWTHIESS.COM.AU11925

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