LOUDON PTY LTD

MINING EXPERIENCE

Harry Loudon's 30 years of mining industry experience is as consultant (project manager, engineering manager, commercial manager and financial analyst) and employee (engineer, project manager and commercial manager). His main projects are summarised below:

Togara North Coal Project - This project plans to mine 5.5 Mtpa of high quality thermal coal for the export coal market by underground mining methods using a combination of place change and longwall mining methods. Harry Loudon prepared the financial assessment model for the initial feasibility study and the subsequent "bankable" Feasibility Study for the Project. He also provided commercial support during negotiations for infrastructure agreements (e.g. rail and port) and native title clearances.

Ensham Coal Project - This project planned to develop an export coal mine capable of producing up to 3 million tonne of steaming coal per annum. Harry Loudon was the Engineering Manager for the first feasiblity study. When another bankable feasibility study was undertaken two years later, he provided commercial and economic evaluation services. Ensham Coal Mine has become one of the most productive and profitable open cut coal mines in Australia.

Blair Athol Coal Mine - Harry Loudon was engaged by Pacific Coal (Rio Tinto) as the Project Co-ordinator through the investigation, planning, feasibility study and subsequent design and development of Blair Athol Coal Mine, Australia's largest open cut coal mine. He was responsible for project administration, reporting and time/cost control.

Calliope Nickel Project - Harry Loudon provided engineering, commercial and financial evaluation consultancy services to Calliope during the investigation, planning and feasibility study phases of this greenfield project based in Gladstone, Queensland. The project was to involve the importation of 1.0 Mtpa of nickel laterite ore for treatment using the PAL process and to produce 20,000 tonne of nickel metal and 2,000 tonne of cobalt metal annually. When nickel prices more than halved during 1997/98 the project was abandoned.

Greenvale Nickel Project - Harry Loudon was a Project Engineer during the commissioning phase of this greenfield laterite nickel project in 1974/76. The project comprised a 3 Mtpa mine at Greenvale and the Yabulu Treatment Plant on the coast in Townsville, Queensland. This treatment facility uses the ammonia leach process to recover the nickel and cobalt from the ore. Harry held senior management positions in maintenance and then administration with the operator, QNI from 1976/80.

Canala Nickel Project - Harry Loudon was Engineering Manager for Argosy Minerals for the investigation into a new greenfield laterite nickel mine and processing plant at Canala, New Caledonia in 1998/99. This facility was to use the pressure acid leach (PAL) process to recover nickel and cobalt from the ore. The work included negotiation of joint venture agreements and Protocol D'Accord with the local tribes.

Selwyn Gold Project - Harry Loudon was a project manager with Cyprus Gold for the investigation, planning, development and operations phases of this project in Queensland during 1987/88. Selwyn produced 100,000 oz per annum of gold in bullion and gold/copper concentrates over a 10 year period.

Harry has also prepared financial models and economic assessments for mining projects. This work was done as a specialist commercial consultant to Kvaerner Metals, BHP Engineering, Queensland Government and Junior Miners. The projects include:

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