PRESS STATEMENT 4 JULY 2011

The Receivers’ statement today regarding ongoing re-entry measures should culminate in sealing of the drift at the portal and the upper end, allowing “recovery” of the drift.

The sale process underway will take some time. If the process is completed before the drift is recovered, it is expected that a purchaser will be bound to complete recovery of the drift under a contract of sale, and as a matter of commercial commonsense in order to stabilise the mine.

Beyond that, for recovery of the men lost in the mine, a “best endeavours” clause in a contract of sale offers no guarantee, but is not without meaning. The Families expect to know the response of would be purchasers, and the intent that lies behind a “best endeavours” provision.

At a practical level it would be idle for a purchaser to ignore Union statements, both National, Australian, and International, which demand recovery, provided such can be safely achieved.

The Families expect further discussion with the Receivers in this regard and welcome the opportunity to speak with any would-be purchaser if that arose. They recognise confidentiality and commercial sensitivity may preclude that, so will look to the Receivers in the first place.

These steps generally are in line with the accord reached on 23 May 2011.

The Government is well aware of the necessity for safe and feasible recovery, as part of a sales process which will direct the future of this mine as a commercial proposition, and the fundamental needs of the Families.

for NICHOLAS DAVIDSON QC / RICHARD RAYMOND / COLIN SMITH / JESSICA MILLS

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