Bundi Project

(EPC 1164, 1251 and 1609)

The Bundi Project Area is located in the northern part of EPC1164 and includes several sub blocks from the adjoining EPC1251. The Juandah project area is also located in EPC 1164, adjacent to the south east corner of the Bundi Project.

The proposed Bundi mining area is focussed on the down dip extensions of the Kogan and Macalister coal seams immediately south of Xstrata's proposed Wandoan Open Cut Mine development and New Hope Coal's proposed Elimatta Mine.

The seams will be mined underground utilising a modern high productivity longwall techniques producing approximately 5 Mt per year of medium ash, low sulphur thermal coal suitable for steam raising in thermal power plants.

Underground development is expected to commence in 2015 with longwall production following in 2017.

Based on successful exploration programs, the integration of coal quality analysis and drilling data, the Bundi Project coal resource estimate is 1561.8 Mt (1410.9 Mt Inferred and 150.9 Mt Indicated).

A stringent environmental assessment process continues for Bundi, where MetroCoal is committed to regular ongoing consultation with local residents and landholders.