1. 1 Assessment Process for new Mining Leases (SA Mining Act 1971) May,2006

2. 2 Outline Legislative requirements Assessment process –Mining and Rehabilitation Proposal Document submitted (completed) –Statutory Public consultation (completed) –PIRSA and whole of government assessment of proposal (current step) –Minister considers to offer or reject lease (still to come) –Mining and Rehabilitation Program and Environmental Bond assessment (still to come)

3. 3 Legislative requirements -2 Stage Assessment Process 1. Mining Lease Application –Application details mining concept and risks to environment, public health and amenity –Statutory consultation is required –PIRSA and whole of government assessment –If to be offered, set rigorous lease conditions to protect environment, public health, safety and amenity 2. Mining and Rehabilitation Program (MARP) –Specification of constructing, operating, closing and rehabilitating mine site in accordance with lease conditions –Details of how environmental risks will be managed in perpetuity –Regularly reviewed during mine life (Approvals and licences are also required under other environmental and safety Acts before mine construction and throughout life of mine)

4. 4 Assessment process Mining and Rehabilitation Proposal Document Public Consultation PIRSA Assessment & Minister lease offer/rejection MARP / Bond Assessment

5. 5 Mining and Rehabilitation Proposal Document Mine closure and rehabilitation plan (post mine land use) Submitted by Terramin in November, 2005 Description of environment and landscape (detail) Description of proposed operations (conceptual) Environmental, public health and amenity risk assessment Environmental, public health and amenity outcomes to be achieved (control measures)

6. 6 Assessment process Mining and Rehabilitation Proposal Document Public Consultation PIRSA Assessment & Minister lease offer/rejection MARP / Bond Assessment

7. 7 Public consultation Statutory consultation on mining proposal –Landowner, council, public, other govt. agencies –6 weeks (10 November 2005 - 23 December 2006) –Summary of all issues raised compiled by PIRSA (Issues document released at CCC 18 May) –PIRSA recommended actions to be taken by applicant to address all issues raised –Issues document publicly available on 19 May (www.pir.sa.gov.au/minerals) Applicant directed by PIRSA to respond to issues raised in consultation (Terramin’s response document publicly available on 19 May (www.pir.sa.gov.au/minerals)

8. 8 Assessment process Mining and Rehabilitation Proposal Document Public Consultation PIRSA Assessment & Minister lease offer/rejection MARP / Bond Assessment

9. 9 PIRSA Assessment PIRSA undertakes comprehensive review using independent technical experts PIRSA prepares assessment report in consultation with other government agencies (EPA, Health, DWLBC (groundwater, River Murray), Transport, Planning, Safework SA) PIRSA considers lease conditions that would be required to address all identified issues (draft currently being prepared) Reviewed by PIRSA’s Tenement Review Committee and recommendation made to Director of Mines and to Minister for Mineral Resources Development

10. 10 Review of assessment report Statutory referral for formal review of whole of proposal and lease conditions by Development Assessment Commission (DAC) DAC recommendation to Planning Minister Statutory referral to Minister for River Murray If Planning and River Murray Ministers agree with Mineral Resources Development Minister, Government proceeds with offer of lease If no agreement, lease application is referred to Cabinet for decision

11. 11 Assessment process Mining and Rehabilitation Proposal Document Public Consultation PIRSA Assessment & Minister lease offer/rejection MARP / Bond Assessment

12. 12 MARP assessment If a lease offer is made and accepted by the applicant: Detailed MARP prepared by applicant MARP approved or modifications requested by PIRSA in consultation with other government agencies and CCC Environmental bond determined (to cover full liability of rehabilitation of land) EPA work approval and licence issued Other licences E.g water extraction, dangerous substances are required

13. 13 Any questions?