Thiess Enters Agreement for North Goonyella Coal Mine

Issue Date:  08 September 2000
Issued By:  Sumisho Coal Development Pty Ltd, RAG Australia Coal Pty Ltd & Thiess Pty Ltd

Sumisho Coal Development Pty Ltd (a wholly owned subsidiary of the Sumitomo Corporation of Japan) has today entered into an agreement with a consortium comprising RAG Australia Coal Pty Ltd and Thiess Pty Ltd for the sale of its 100% interest in the North Goonyella coking coal project in central Queensland.

The sale is conditional on obtaining various approvals, including Australian Commonwealth and State Governments and the European Commission. Subject to achieving these approvals, sale completion is expected by mid October 2000.

A Bowen Basin underground longwall mining operation, North Goonyella produces high quality coking coal for export to steel mills in Japan, other parts of Asia and to Europe. The mine produced 2.4 million tonnes in the financial year 1999/2000.

RAG will manage the project, and will take all responsibility for coal sales. Thiess will be the operator under contract to the project.

Both RAG and Thiess have extensive coal mining experience, which they will draw upon to continue to improve North Goonyella’s productivity and competitiveness. The two companies own and operate the nearby Burton opencut coal mine and expect to be able to achieve synergistic benefits through co-ordinated management of both of these projects.

Sumitomo Corporation will continue, as coal marketing channel, to assist the new consortium to service North Goonyella coal sales to customers in Japan.

Ends.

Released by Sumisho Coal Development Pty Ltd, RAG Australia Coal Pty Ltd & Thiess Pty Ltd

For further information contact:
SUMISHO
Mr Mark Shibahara
Managing Director
617 3229 2111

RAG COAL INTERNATIONAL
Dr Gerd Stolte
Director
49 201 177 3500

Mr Wolfgang Unterkoetter
Corporate Communications
49 201 177 4027

THIESS
Mr Murray Fox
General Mgr Qld/NT/Pacific
617 3368 0200

Ms Fiona Murcott
Public Affairs Manager
617 3368 0537/0419 758 196