1. Australia-China Mineral Exploration Investment Seminar 2011 Australia-China Mineral Exploration Investment 2011 South Australia: Australia’s next mining frontier – Achieving accelerated outcomes for exploration and development projects in South Australia Dr Ted Tyne Executive Director Mineral Resources, PIRSA

2. Australia-China Mineral Exploration Investment Seminar 2011 Outline of Presentation 1. South Australia’s Mineral and Energy commodities 2. South Australia welcomes resource partnerships with China 3. PIRSA’s geoscience partnership with CNNC – Beijing Research Institute of Uranium Geology 4. South Australia’s Mining Pipeline Iron Ore – Uranium – Copper and recent discoveries 5. Olympic Dam expansion 6. South Australia’s PACE 2020 initiative – supporting growth and investment in our mineral and energy resources 7. South Australia’s streamlined Mining Approvals

3. Australia-China Mineral Exploration Investment Seminar 2011 Snapshot of South Australia’s Mineral Exploration, New Mines and the Mining Pipeline

4. South Australia’s Major Mines 2011 1.Olympic Dam Mine - Cu-Au-U 2.Beverley Uranium Mine - U 3.Middleback Ranges Mines – Hematite and Magnetite 4.Leigh Creek Coal Mine – Thermal Coal 5.Challenger Gold Mine – Au 6.Beltana Zinc Mine – Zn 7.Angas Zinc Mine – Zn-Pb-Ag 8.Prominent Hill Mine – Cu-Au 9.Honeymoon Uranium Mine – U 10.Jacinth-Ambrosia Mine – Zircon + other mineral sands 11.White Dam Gold Mine – Au 12.Cairn Hill – Iron Ore – Au 13.Iron Chieftain – Iron Ore 14.Kanmantoo – Cu-Au 15.Beverley North – U 16.Ankata Mine – Cu-Au

5. Australia-China Mineral Exploration Investment Seminar 2011 South Australia’s New Mines, Advanced Projects and Prospects

6. *Arckaringa (CTL) Bramfield (Fe2O3) Beverley South (U3O8) *Bird-in-Hand (Au) *Carrapateena(Cu-Au) Clinton (CTL) Crocker Well (U3O8) Flinders-Reliance (Zn) *Four-Mile (U3O8) FuturGas (CTL) Gum Flat (Fe2O3) Hawks Nest (Fe2O3) Hillside (Cu, Au) *Kalkaroo (Cu-Au-Mo) *Menninnie Dam (Pb-Zn-Ag) *Mullaquana (U3O8) Mutooroo (Cu-Co) Mutooroo (Fe2O3) Oban (U3O8) Olympic Dam Expansion (Cu- U-Au-Ag) Poochera (Kaolin) *Portia (Au) Project Magnet P2 (Fe2O3) Razorback (Fe304) Tripitaka (HM) *Tunkillia (Au, Ag) Warramboo (Fe304) Wilcherry Hill (Fe304) *Arckaringa (CTL) Bramfield (Fe2O3) Beverley South (U3O8) *Bird-in-Hand (Au) *Carrapateena(Cu-Au) Clinton (CTL) Crocker Well (U3O8) Flinders-Reliance (Zn) *Four-Mile (U3O8) FuturGas (CTL) Gum Flat (Fe2O3) Hawks Nest (Fe2O3) Hillside (Cu, Au) *Kalkaroo (Cu-Au-Mo) *Menninnie Dam (Pb-Zn-Ag) *Mullaquana (U3O8) Mutooroo (Cu-Co) Mutooroo (Fe2O3) Oban (U3O8) Olympic Dam Expansion (Cu- U-Au-Ag) Poochera (Kaolin) *Portia (Au) Project Magnet P2 (Fe2O3) Razorback (Fe304) Tripitaka (HM) *Tunkillia (Au, Ag) Warramboo (Fe304) Wilcherry Hill (Fe304) Major Mines Major Projects 1.Olympic Dam 2.*Challenger 3.Beverley 4.Middleback Range’s 5.Leigh Creek 6.*Malu 7.*Angas 8.*Honeymoon 9.Jacinth- Ambrosia 10.Beltana 11.White Dam 12.Cairn Hill 13.Iron Chieftain 14.Ankata 15.Kanmantoo 16.Beverley North 17.Peculiar Knob 18.*Wilgerup Acropolis (Cu-U-Au-Ag) *Alvey (Pt, Pd) Atacama (HM) *Aphrodite (U3O8) Aristotle (Zn) Armchair (U3O8) Aroona 2 (Zn, Pb) *Baggy Green (Au) Bagot Well (Cu) Bald Hill Iron (Fe) *Barns (Au) *Barton West (HM) Becaroo (U3O8, REE) Big Lake 20 ((U3O8) Big Lake 28 (U3O8) *Black Hills (Au) Blanchewater (U3O8) Blinman (Cu) *Blue Rose (Cu, Au) Bungalow (Fe304) Burra (Cu) Carrow (Fe) *Claude Hills (Ni) *Coolybring (Fe304) Deloraine (Au) *Dromedary (HM) *Emmie Bluff (Cu) Emmie North (Cu) Eurelia (Diamonds) Eurinilla Dome (Cu, Au) Flinders Island (Diamond) Giffen Well (Fe2O3) Glenrae (Iocg) Golf Bore (Au) Goulds Dam (U3O8)) Greenpatch (Fe304) *Hercules (Fe304) Hicks Hill (Fe) Jamieson Tank (Mn) *Junction Dam (U3O8) *Jungle Dam (Ag, Au, Fe) *Kangaroo Dam (Pt, Pd, Au) Kenmore II (Ni, Cu) Kopi (Fe) Lady Jane (Au) Lilydale (Fe) Lock (Coal) Mainwood (Au) Malache (Zn, Pb) Maldorky (Fe) Melton (Cu, Au) Minbrie (Fe) Miranda (Cu) Mojave (HM) *Mongolata (Au) Monsoon (Au) *Moonta (Cu) Moorilyanna (Cu) Mount Brady (Fe, Cu, REE) Mount Cora (Fe) Mount Davies (Ni) *Mount Woods (IOCGU) *Mount Caroline (Ni, Cu, Pt, Pd) Mount Christie Siding (Cr203) Mount Distance (U3O8) *Mount Gunson (Cu, Co) Mount Torrens (Cu-U-Au-Ag) Mulyungarie (U3O8) Mutooroo Iron (Fe) Netherleigh Park (Cu) *Netley Hill (Cu, Mo) North Kalkaroo (Cu, Au) North Portia (Cu, Au) Notrab (HM) *Oakdale (Zn, Cu) Parara (IOCGU) *Parkinson Dam (Ag, Zn, Cu, Au) Pindari (Ni, Cr) Pollinga (Mn) Princess Royal (Cu) *Prospect Hill (Sn) *Pundinya (U3O8) Punt Hill (Cu, Au) Radium Hill (U3O8, Th, Ra) Sequoia (Fe, U3O8) Sheoak (Au, Ag) Shylock (Cu, Au) Skye (Au, Ag) Snaefell (Fe) Springfield (Diamond) *Stuart (IOCGU) Taurus (Pt, Pd, Cu) Telephone Dam (Pb, Zn) *Titan (Cu, Au) Tomahawk/Tunkillia (Au) Toondulya (Cu, Au) Torrens South JV (Cu, Au) Typhoon (HM) Typhoon (Au) Ultima Dam (Au, U3O8) Victory (U3O8, REE) *Vulcan (Cu, Au, U3O8) Weednanna (Pb, Zn, Ag, Cu, Au) Wheal Ellen (Zn, Pb, Ag) Willamulka (Cu, Au) Willy Willy (HM) Winjabbie East (Cu, REE) Wirrda (Cu, Au) * Yadglin (U3O8) Yanyarrie (Ba) Yarramba (U3O8) Zeus (Cu, Ni) Major Prospects South Australia’s Mining Pipeline October 2011 * PACE Co-funded

7. MINES Middleback Ranges: OneSteel Ltd Cairn Hill: IMX Resources Iron Chieftain: OneSteel Ltd PROJECTS Bramfield – Lymex Ltd Gum Flat – Lincoln Minerals Ltd Hawks Nest – Western Plains Resources Ltd Mutooroo – Sumitomo Metal Mining Oceania Pty Ltd/Minotaur Exploration NL Peculiar Knob – Western Plains Resources Ltd Project Magnet P2 – OneSteel Ltd Razorback – Royal Resources Ltd Warramboo – Iron Road Ltd Wilcherry Hill – Ironclad Ltd Wilgerup – Centrex Metals Ltd PROSPECTS Lilydale – Havilah Resources NL Maldorky – Havilah Resources NL IRON ORE

8. MINES Olympic Dam (Cu-U-Au-Ag) Malu (Prominent Hill Open Cut) (Cu-Au) Ankata (Prominent Hill Underground) (Cu-Au) Kanmantoo (Cu,Au, Ag) PROJECTS Carrapateena( Cu-Au): Hillside (Cu, Au): Kalkaroo (Cu-Au-Mo): Mutooroo (Cu-Co): Olympic Dam Expansion (Cu-U-Au-Ag): PROSPECTS Punt HillCOPPER

9. MINES Olympic Dam: Olympic Dam: BHP-B Beverley: Beverley: Heathgate Resources Beverley North: Honeymoon: Beverley North: Heathgate Resources Honeymoon: Uranium One/Mitsui PROJECTS Beverley South: Beverley South: Heathgate Resources Crocker Well: Crocker Well: Sinosteel PepinNini Curnamona Management Four-Mile: Four-Mile: Alliance Resources/Quasar Resources Mt Gee: Mt Gee: Marathon Resources Mullaquana: Mullaquana: Uranium SA Oban: Oban: Havilah Resources Olympic Dam Expansion: Olympic Dam Expansion: BHP-BPROSPECTSAcropolis Wirrda Well Yarranna Oak Dam Cane Grass Radium Hill URANIUM

10. MINES Jacinth/Ambrosia: Jacinth/Ambrosia: Iluka Resources Mindarie: Murray Zircon PROJECTS Tripitaka: Iluka PROSPECTSAtacamaBalmoral Barton West DerrickDromedaryGulliversImmarna Overland Corner Typhoon HEAVY MINERALS

11. Australia-China Mineral Exploration Investment Seminar 2011 Update on Olympic Dam… World’s Largest Uranium Resource

12. Australia-China Mineral Exploration Investment Seminar 2011 Olympic Dam – BHP Billiton Ltd Copper-Gold-Uranium-Silver Largest uranium deposit, fourth largest remaining copper deposit and fifth largest gold deposit in the world. Also contains significant quantities of silver Total Resource 9 075 Mt at 0.87% Cu, 0.027% U 3 O 8, 0.32 g/t Au and 1.5 g/t Ag Gold only resource 151 Mt at 0.99 g/t Au Total Ore Reserve (54 year life) 598 Mt at 1.84% Cu, 0.058% U 3 O 8, 0.71 g/t Au and 3.44 g/t Ag Production 2009/10 – 103 300 t Cu, 2279 t U 3 O 8, 65 494 oz Au, 500 000 oz Ag Olympic Dam January 2011

13. Australia-China Mineral Exploration Investment Seminar 2011 Slide 13 Olympic Dam: a world class deposit Million tonnes CopperThousand tonnes U 3 O 8 ~1100 Million oz Gold Sources: Company Annual Reports, press releases and International Atomic Energy Agency (as at April 2010). Witwatersrand figure is BHP Billiton estimate and is approximate only. # Based on reported mineral “inventory” at 0.2% Cu cut-off grade. Chart depicts Mineral Resources for Olympic Dam and Escondida on a 100% basis. The Mineral Resource information on this slide pertaining to Olympic Dam and Escondida was sourced from and should be read together with and subject to the notes set out in the BHP Billiton 2009 Annual Report. The Mineral Resource information pertaining to Escondida referenced on this slide is based on information known to Richard Preece who is a Fellow of the AusIMM and a full-time employee of BHP Billiton. Mr Preece has sufficient experience which is relevant to this style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’ (The JORC Code). Mr Preece consents to the inclusion in this slide of the matters based on his information in the form and context in which it appears. Largest uranium deposit in the world 4th largest copper deposit in the world 4th largest gold deposit in the world

14. Australia-China Mineral Exploration Investment Seminar 2011 Slide 14 Expansion components From Australia’s largest underground to an open pit mine at 72Mtpa ore production Ore processing plant ~ 7 times capacity of existing Waste heat power station ~250MW Electricity transmission line ~ 270km Option for a gas pipeline from Moomba to Olympic Dam and on-site power station ~100km rail line, Olympic Dam to Pimba

15. Australia-China Mineral Exploration Investment Seminar 2011 PACE 2020 – Fostering Discovery and Development of New Mines

16. SOUTH AUSTRALIA’S MINING POLICY & PACE 2020 INITIATIVE supporting growth and investment in our mineral and energy resources PACE 2020 is designed to: unlock new areas for mineral and energy exploration further streamline the approvals and regulatory process from exploration through to mine development and production provide even better data delivery services to the resources industry

17. Australia-China Mineral Exploration Investment Seminar 2011 South Australia’s PACE 2020 … PACE Mining Initiative

18. PACE 2020 PACE ExplorationPACE MiningPACE Global Data Pathways SA Resources Analysis Building Awareness Discovery to Development Next Generation Policy Water for Mining Communities Pathways to Prospectivity Pathways to Discovery Innovation through Integration PACE Partnerships PACE Energy SA Geothermal Unconventional Gas Resources Uranium CO 2 CRC

19. PACE Mining Facilitate a robust and transparent mining approval process, balancing industry and community needs PACE Mining Discovery to Development Next Generation Policy Water for Mining Communities Develop and implement leading practice regulation and management of exploration, mining and quarrying activity Establish key partnerships to address the location, use and management of the State’s water resources. Promote engagement between an effective government, socially aware industry and an informed community.

20. Australia-China Mineral Exploration Investment Seminar 2011 PACE Mining Streamlining Exploration to Production Shared value approach balancing development / conservation / sustainability Focus on land use, approval procedures, community engagement, assessment processes Streamlining the approval process: 6 Month target for Mining Lease Application Discovery to Development PIRSA One-Stop-Shop Case Management of Major Mining Projects On-Line Toolkits [through SARIG] o application lodgement and status tracking o report submission and tenement management

21. Australia-China Mineral Exploration Investment Seminar 2011 South Australia’s Case Management Framework for all Major Mining Projects

22. Australia-China Mineral Exploration Investment Seminar 2011 South Australia’s Case Management Framework for Major Mining Projects PARTNERING to move projects from Discovery to Development Dedicated SINGLE POINT OF CONTACT in government RISK ORIENTED, commercially aware approach COORDINATION AND INNOVATION through best practice project management ensures that the approvals process is not the rate-limiter!

23. Australia-China Mineral Exploration Investment Seminar 2011 South Australia’s Case Management Framework for Major Mining Projects The one-stop-shop approach … Coordinate proponent interaction with all relevant government agencies Work proactively to identify and eliminate delays in government processes Provide advice on government process Alert proponents to key challenges that need to be worked through in the early stages of a project Identify emerging risks within the government process, and work with the proponent and key stakeholders to a resolution of these issues. Brokering innovative solutions to project issues Escalate issues to the highest levels for resolution when necessary

24. Australia-China Mineral Exploration Investment Seminar 2011 Mining Developments - achieving streamlined approvals and best practice regulation

25. Australia-China Mineral Exploration Investment Seminar 2011 South Australian Government Objective Target of 6 months for Mineral Lease grant (timing from formal lodgement of lease application) achievable for major mines in SA Major mine - Prominent Hill (Oxiana) approved in 5 months (2006) Major Mine – Jacinth Ambrosia (Iluka) approved in 7 months (2009) Small mine - White Dam (Exco) approved in 3 months (2007) May be longer for uranium mines & mines that trigger EIS and/or EPBC processes However, most recent uranium mine – Beverley North – coordinated State & Commonwealth process – Mining Lease granted in 6 months Compares to national benchmark * of 1- 2 years for “major” mine 6-12 months for “small” mine * “National Audit of regulations influencing mining exploration and project approvals processes”, report prepared by URS for MCA, February, 2006

26. Australia-China Mineral Exploration Investment Seminar 2011 Mining Assessment and Approval Process under the Mining Act Mining Act, 1971 - New Major Amendments and Mining Regulations 2-Stage process Mining Lease Details of mining concept and risks to environment Statutory consultation is required Lease conditions set to protect environment Mining and Rehabilitation Program (MARP) Details of how environmental risks will be managed May be reviewed during mine life Some projects require approval by the Federal government, particularly uranium mines PIRSA is the lead agency for assessment, approval and regulation of mines under the Mining Act

27. Australia-China Mineral Exploration Investment Seminar 2011 Performance Based Principles Regulatory Processes aim to be: Fair, equitable, consistent Transparent Predictable Practical Adaptable Efficient Inclusive Objective (science based – rational)

28. Australia-China Mineral Exploration Investment Seminar 2011 Approval is required for all new Uranium mines under the EPBC Act 1999 The Commonwealth determines the level of assessment – often to be at PER level Commonwealth has the ability to endorse the SA Mining Act process for assessment The mine proposal must demonstrate it meets Best Practise – for ISR mines this means conforming with the ISR Best Practise Guide The Commonwealth and State approval conditions are consistent EPBC Act

29. Australia-China Mineral Exploration Investment Seminar 2011 Practical Guidelines

30. Australia-China Mineral Exploration Investment Seminar 2011 DELOITTE ACCESS ECONOMICS APRIL 2011 “One day South Australia will be a titan of the global resource landscape. It is a world class minerals province, with almost 40% of the globe’s known recoverable uranium reserves, as well as significant volumes of copper, gold and silver.” “the State’s comparative advantage in mining lifted further in the past decade” “The result is the State has the potential to be a big player in global resource markets.”

31. Australia-China Mineral Exploration Investment Seminar 2011 Our Key Messages Mining Approvals in South Australia South Australia is PRO-EXPLORATION, PRO-MINING & PRO-ENVIRONMENT PACE 2020 initiative targets further streamlining and case management Mining Act has integrated environmental approvals. Ensures balance between environmental impacts and economic benefits Environment definition in Mining Act requires appropriate economic, environmental and social impacts relevant to mining to be effectively managed Performance, risk based regulation focus on environmental values and outcomes ensures stakeholder engagement is at right level and does not get bogged down on subjective best practice and strategies streamlines assessment time as detailed analysis of strategies not required Focus on early stakeholder engagement – to resolve major issues prior to mining application. Transparency builds trust with communities -> achieving social licence

32. Australia-China Mineral Exploration Investment Seminar 2011 Disclaimer The information contained in this presentation has been compiled by the Department of Primary Industries and Resources (PIRSA) and originates from a variety of sources. Although all reasonable care has been taken in the preparation and compilation of the information, it has been provided in good faith for general information only and does not purport to be professional advice. No warranty, express or implied, is given as to the completeness, correctness, accuracy, reliability or currency of the materials. PIRSA and the Crown in the right of the State of South Australia does not accept responsibility for and will not be held liable to any recipient of the information for any loss or damage however caused (including negligence) which may be directly or indirectly suffered as a consequence of use of these materials. PIRSA reserves the right to update, amend or supplement the information from time to time at its discretion.