An agreement has been reached between Gloucester Resources Limited (GRL) and the Speldon Partnership which will enable the dairying industry to prosper and grow in the region.

The agreement, which took 2 years to negotiate, will see the Maslen family stay on the land and continue to operate and manage their dairying business well into the future.

The family will also have access to neighbouring properties owned by GRL, expand the dairy operation’s footprint by more than 50%, and enable investment in new equipment and technologies.

The Maslen family has been farming in the Gloucester area for more than 75 years and believes this agreement will allow their business to stay at the forefront of dairying best practice and continue to grow.

GRL CEO Grant Polwarth welcomed

the partnership and said both parties believe that the proposed Rocky Hill Coal Project and agriculture can successfully operate side by side.

‘Rocky Hill represents about one quarter of our land holdings in the Gloucester District,” said Mr Polwarth.

“It is our intention that any land owned by GRL which is not part of proposed mining activities will continue to be used for agriculture”

“The Maslen family are well respected and acknowledged leaders in the dairy industry and operate a number of related businesses in Gloucester which provide important services to the community.”

“We believe this is a win-win for both parties and look forward to a long, co-operative and mutually beneficial association.”

NEW PARTNERSHIP AGREEMENT SECURES DAIRY FUTURE IN GLOUCESTER

Community NewsletterSeptember 2012, No.2

Department of Planning and Infrastructure issues Director-General’s requirements

and places them on the Department’s websitewww.majorprojects.planning.nsw.gov.au

Applicant lodges Development Applicationand Environmental Impact Statement.

Department of Planning and Infrastructuredetermines whether application and

EIS meet their requirements.

Department of Planning and Infrastructure places Development Application and EIS on

public exhibition and seeks submissionsfrom the public, Council and agencies.

Applicant provides responses toand clari cation of issues arising

from the exhibition phase, togetherwith any amendment to the EIS.

Department of Planning and Infrastructure prepares its assessment report in consultation

with Council and agencies.

Department of Planning or Planning Assessment Commission make determination.

Notice of Determination issued.

Department of Planning and Infrastructure prepares Director-General’s requirementsin association with Council and agencies.

Applicant requests Director-General’s requirements

We are here

Chris Maslen (right) on his dairy farm at Gloucester with GRL CEO, Grant Polwarth.

Local people using Gloucester Hospital will benefit from a $10,000 donation from the directors of GRL.

The donation was made with no strings attached and the hospital has issued a list of items purchased with the donation.

The Hospital’s Executive Officer, Peter Barber, says the contribution was very much appreciated and has been used to target areas of immediate need.

Among the items purchased were two medication/procedural trolleys valued at nearly $4000 each.

Supporting the local hospital

The process leading to a decision by the NSW Government as to whether the Rocky Hill Coal Project can go ahead is extensive and will include a rigorous review of GRL’s assessment of the environmental, social and economic impacts/costs and benefits of the proposal.

On the front page of this Newsletter is a timeline which identifies the nine principle steps in this process.

At present, the Project lies between steps 3 and 4, with the specialist consultants currently using the outcomes of the baseline studies and details of the Project to assess the impacts of the planned mine and advise as to the need for Project refinements.

The outcomes of these investigations will be compiled into the EIS for

submission to Government and subsequent public exhibition.

Throughout and beyond the EIS preparation process, members of the community will continue be consulted and have the opportunity to provide input. When the EIS goes on public exhibition, the community will have the opportunity to make a submission supporting or objecting to the application.

Rocky Hill Progress Report

In May this year GRL placed an advertisement in the Gloucester Advocate asking for expressions of interest from people wanting to work on the Rocky Hill Coal Project or pursue a career in farming.

The advertising was limited to the Gloucester area to determine the level of local interest and to assist in gaining an understanding of the skills base in the Shire.

The response has been overwhelming with more than 200 people submitting their resumes for consideration to date. The variety of skills has impressed and is welcomed by GRL management.

The number of respondents with extensive mining experience, including some currently working elsewhere and wanting to return or relocate to the Gloucester area exceeded expectations while others have impressive skills in management, safety, transport, plant operations and farming to name a few.

Letters have been sent to each applicant, acknowledging their expression of

interest and advising of GRL’s plans and timing for face to face discussions.

GRL is creating a database and will use this resource to recruit workers as required, with a clear preference to offering jobs to locals first.

GRL is continuing to receive expressions and encourages anyone interested in potential employment in the fields of mining or agriculture to register by forwarding a resume and covering letter to GRL Admin, PO Box 174 Rutherford 2320 or email grladmin@ldo.com.au.

EMPLOYMENT OPPORTUNITIES at the Rocky Hill Coal ProjectGloucester Resources Limited (GRL) is seeking approval to develop a small, modern open cut coal mine in the Gloucester region to be known as the Rocky Hill Coal Project. The application process has commenced including rigorous evaluation and extensive consultation. GRL also owns extensive agricultural lands.

In order to assess the skills available in the local area we invite expressions of interest from people seeking jobs in our mining and agricultural businesses. GRL estimates The Rocky Hill Coal Project will create more than 100 jobs during construction and 150 jobs in production when fully operational.

Should the mine application be successful we will be looking for people to � ll many roles, including:

• Plant/Machine Operators • Environmental Specialists• Tradespersons • Mining Professionals and Support Sta� • Apprentices • Administrative Support

We will also be seeking people who want to pursue a career in farming.

Both men and women are encouraged to be part of the team, with or without relevant skills or training. Attitude is everything and we will provide extensive training and upskilling opportunities.

A register of applicants will be created. Further information and interviews will be conducted as the mine application progresses.

To register your interest please send your resume and covering letter to:GRL Admin, PO Box 174, Rutherford NSW 2320 OR email grladmin@ldo.com.au

www.rockyhillproject.com.au

INTEREST IN LOCAL JOBS RUNS HIGH

In March this year GRL announced details of its proposed community grants program for the Gloucester area, which will provide direct and indirect benefits during and beyond the life of the mine.

The Company confirmed that on approval of the Rocky Hill Coal Project, a special fund will be established to support initiatives and activities within the community.

The Company’s annual donation to the fund will be at the rate of 50 cents per tonne of product coal sold from the Project.

Based on the projected production schedule, the grant would equate to around $200,000 in the first year of operations and increase in subsequent years in proportion to mine production. At a maximum approved production capacity this would equate to $875,000 each year.

In addition to the production-related grant, should the Project be approved GRL will also:

• Sponsor up to three tertiary education scholarships annually in fields such as mining, engineering, agriculture and environmental science;

• Further assist the provision of enhanced medical services and facilities to the local area. The details of this assistance package will be determined in consultation with local health professionals;

• Provide trade apprenticeships for local youth at the Rocky Hill Coal Project;

• Provide competency training and certification on mining related equipment to assist local men and women gain employment in mining or other related fields; and

• Provide training and employment for local people through its farming enterprises.

Details of the structure of the fund and its administration will be determined in consultation with Council and the community, with the Company’s key objective being funding of initiatives that are considered important to the community as a whole.

It is expected that the Rocky Hill Coal Project will generate up to 100 jobs during the construction phase and up to 150 jobs when operational.

Supporting the local hospital

COMMUNITY GRANTS PROGRAM

The Community Grants Program will provide long term benefits.

Left to right: Martha Long, Sue Cossar, Deborah Buckton and Anita Reid inspect the new equipment in Roma Ward at Gloucester Hospital.

A mobile finger oximeter probe and a glucometer unit were also added to the hospital’s inventory of equipment with the money left over used to purchase five flat screen televisions for use by recovering patients.

Mr Barber said the new equipment would be used every day to improve the experience of patients in their care.

This donation is over and above the Community Grants scheme announced earlier this year.

In Early 2012, GRL started a major tree planting program on some of its properties in Gloucester Shire.

More than 6,000 seedlings of locally occurring native species have been planted which will, in time, create and/or extend flora and fauna corridors.

The plantings also form part of a multi-faceted approach to softening any visual impacts of the Rocky Hill Coal Project, should the development be approved by the State Government.

GRL CEO, Grant Polwarth says tree planting is just one of many strategies

being devised by the company to lessen any potential environmental impact.

“We have engaged 3D modeling experts to take the engineering designs of the actual mine development and convert them to 3D plans to show the community how the mine fits in with the exisiting environment.”

The assessment of visibility and visual impact is just one of the aspects which will be included in a rigorous and scientific Environmental Impact Statement (EIS) which will be released for public comment later this year.

Further InformationFurther detail on the Rocky Hill Coal Project can be found on the Department of Planning and Infrastructure’s website: majorprojects.planning.nsw.gov.au. A copy of the supporting documentation can also be found on the Rocky Hill Coal Project website: www.rockyhillproject.com.au, along with Information and Fact sheets, the Project timetable, Community Information including Community Consultative Community meeting minutes and summaries from the Company’s meteorological station, and a mechanism for you to provide feedback, comments and questions about the Project.This newsletter is printed on environmentally friendly paper. 1222

FREQUENTLY ASKED QUESTIONS

What specific studies are currently underway?

Since mid-2010, GRL has commissioned specialist consultancies to undertake investigations in the fields of surface water, groundwater, terrestrial and aquatic ecology, cultural and European heritage, noise and blasting, air quality, visibility, soils and land /agricultural capability, socio-economic matters, traffic and transport and geochemistry. A meteorological station was also installed. These specialists, who commenced with baseline assessments to understand the existing environment, are now identifying and quantifying any potential negative impacts from the Rocky Hill Coal Project, with the outcomes to be used to assess the need for Project refinement and/or the development of measures to minimise those impacts. The outcomes of these studies, including the positive impacts, will be presented in EIS submitted for consideration by Government and open for public comment.

What level of monitoring will occur for dust?

GRL has an existing network of seven dust deposition gauges, two high volume samplers which collect PM10 data for a 24 hour period on a six day rotational cycle, and 2 TEOMs which continuously monitor PM10 and PM2.5 particles in the air. PM10 and PM2.5 particles are particles which are less than 10 microns and 2.5 microns in diameter, a micron being one thousandth of a millimetre. The monitors have been positioned to assess existing local air quality and reflect the prevailing wind conditions.

The necessity or desirability for further monitoring stations to verify compliance with the relevant criteria during the life of the mine will be determined following receipt of the air quality modelling results, and recommendations of the air quality specialists, together with the outcomes from the social assessment being undertaken by Key Insights.

What will be done to screen mining activity from residences and minimise impacts on views of the valley?

From the outset, GRL has recognised that the picturesque nature of the Gloucester valley is one of the attributes which attract residents and tourists to the area. In addition to the screen plantings on GRL-owned land, the mine design includes a series of vegetated barriers which will be constructed to obscure the coal preparation plant, coal stockpiles and mining operations from local residences and public vantage points and tourist routes such as The Bucketts Way. GRL has also engaged a consultant who specialises in visual matters to assist in the development of measures to minimise any potential impacts. A 3D model of the Project’s development will enable GRL and the public to visualise the development and the effectiveness of these measures.

TREE PLANTING PROGRAM BEGINS

Just some of the 6,000 trees planted so far.

Since the announcement of its intention to proceed with a development application for the Rocky Hill Coal Project, a number of questions have often been raised with the GRL management team or its specialists. The following represent a selection of those questions. Responses to these and other frequently asked questions can also be found on the Rocky Hill website.