Leighton Holdings’ subsidiary, Thiess Contractors, forms strategic alliance with Portman Mining

Issue Date:  09 June 1999
Issued By:  Leighton Holdings Limited

Leighton Holdings Limited today announced that its wholly owned subsidiary, Thiess Contractors Pty Limited, has formed a strategic alliance with Portman Mining Limited to undertake future resources projects. The alliance will combine the operating and technical mining skills of Thiess with the resource development and ownership, marketing and asset management skills of Portman.

Thiess will subscribe for 16 million ordinary shares in Portman Mining Limited through a private placement valued at $12.5 million. Thiess will also participate in the 5 for 11 renounceable rights issue, announced by Portman earlier today.

Leighton Holdings’ Chief Executive Officer, Mr Wal King AM, said that participating in the placement and rights issue was consistent with the Group’s strategy of using its capital to facilitate project development and mine operation opportunities.

“Generally, alliancing has a single project focus. This broader strategic alliance between Thiess and Portman has established a framework for negotiating future contract mining work,” said Mr King, “and builds on Thiess’ reputation for delivering integrated design, construction and mining services to the resources sector.”

The alliance is committed to maintaining high standards of management quality and capacity in an environment of best practice, innovation and continuous improvement for the mutual benefit of all stakeholders.

“The alliance will ensure that the strong working relationship between Thiess and Portman, established on the very successful Burton Coal project in Queensland, will continue,” said Mr King.

“Portman will utilise the operating and technical mining skills of Thiess when assessing new resource development opportunities.

“Thiess will be recognised as the preferred contract miner and infrastructure provider for any new or existing mines. This will increase Thiess’ ability to provide effective mining solutions and increase efficiencies for Portman,” said Mr King.

ENDS

Issued by:
Leighton Holdings Limited
ACN 004 482 982

For more information:
Mr Wal King AM
Chief Executive Officer
Ph: (02) 9925 6912

Mr Dieter Adamsas
Director, Finance & Administration
Ph: (02) 9925 6923