CONTENTS...The Mining (Ok Tedi Mine Continuation (Ninth Supplemental) Agreement) Act of 2001 was a decision taken by the Government of PNG and the people of the communities affected

1

CONTENTS

Chairman’s Report 2

Managing Director’s Report 4

Our Changing Business 6

Operation’s Highlights 8

Concentrate Sales 9

Safety Management 10

Major Projects 11

Environmental Management 15

Community Mine Continuation Agreement 16

Commitment to the Community 17

Ok Tedi Development Foundation 19

Providing Health Care 20

Financials 21

Resource and Reserve Statement 26

Summary Results 27

Management and Board 28

I am pleased to present this report of the activities of Ok Tedi Mining Limited (OTML) for 2007 on behalf of the Directors and shareholders of the Company.

OTML enjoyed another successful year of financial performance, mainly on the back of strong commodity prices. The health and well being of OTML employees and its contractors remains a high priority and the site recorded commendable safety performance for the year, reflected in a 0.26 Lost Time Injury Frequency Rate. Operational performance was mixed and concentrate production was adversely affected, however OTML continued to meet its customer requirements for the year.

In 2007, OTML commenced construction of the Mine Waste and Tailings Project (MWTP) to manage the growing threat of Acid Rock Drainage (ARD) along the Ok Tedi/ Fly River system. The MWTP has been designed to remove sulphur from tailings and to have the sulphide material safely and permanently stored in deep pits below the flood plain at the Bige dredge site. The project is well advanced with commissioning planned for mid 2008. An independent technical review of the project by a panel of experts, requested by the PNG Government as part of its governance process, endorsed the technical quality of the project. At a cost of Kina 450 million, the project signifies the continued commitment of the Board and the shareholders, to responsible management of the mining of the Mount Fubilan ore resource for the benefit of all stakeholders in the project.

The Board also approved investment in a further Kina 170 million in other capital projects over the past year, again demonstrating commitment to ensuring that the mine continues as a safe, efficient and world class operation. These projects include the purchase of a tunnel boring machine to drive a drainage tunnel below the final pit; a pre-feasibility study of an underground mine at the end of pit life; and a regional exploration program targeting mineralisation at depths not previously tested.

OTML’s importance to the economy of Papua New Guinea was reaffirmed in 2007 by record levels of contribution. In addition to contributing almost one third of the total value of exports from the country, the shareholders received Kina 1.4 billion in dividends, 82% of which ultimately benefited the people of PNG through shareholders PNG Sustainable Development Program Limited (PNGSDPL) (52%) and the Government (30%). Record total taxes and dividends of Kina 1.8 billion were received by the National Government with a further Kina 500 million going to the Western Province Government, communities and employees. Goods and services procured in PNG amounted to just over Kina 900 million.

The Mining (Ok Tedi Mine Continuation (Ninth Supplemental) Agreement) Act of 2001 was a decision taken by the Government of PNG and the people of the communities affected by the mine operations to continue mining as it was seen that the social and financial benefits outweighed the negative environmental impacts. It was agreed to review the benefits package after five years. The review coincided with community consultation about the MWTP and an exhaustive consultation process, assisted by high profile independent facilitators and observers, resulted in a four-fold increase in community benefits package that will exceed Kina 1 billion over the next six years. OTML is indebted to all stakeholders and friends – community, all levels of government, PNGSDPL, facilitators and OTML – who worked so hard to achieve an outstanding result.

OTML provides health services to the North Fly District through the Tabubil Hospital, which was awarded a Five Star Certificate of Attainment following a survey of hospital standards in PNG by the National Health Department.

The increase in project activity in 2007 has attracted a large number of contract employees and itinerant workers, which places considerable stress on the town services, particularly the hospital. Ensuring that Tabubil

2

CHAIRMAN’S REPORT

remains a safe, healthy township with an enviable reputation is a major focus of management.

Community health care in the North Fly District compares favourably with the best in PNG; it is the aim of the company to extend this level of health care to the Middle and Lower Fly districts through collaborative agreements with other health care authorities and providers. OTML’s progressive HIV/AIDS policies and programs include Platinum membership of the Businesses Against HIV and AIDS (BAHA) and partnership with the PNG Chamber of Mines and Petroleum and Kiunga’s Good Samaritan agency to combat the spread of this devastating epidemic.

In response to the demand for, and consequent shortage of, mining personnel throughout the mining industry, OTML has increased its commitment to train and develop employees and community members through trades apprenticeships, university graduates and professional development, and the training of local people in work and lifestyle skills. OTML is the single largest private-sector trainer of apprentices in PNG. Since the inception of the OTML Apprenticeship program in 1982, 780 apprentices have completed training with the company. OTML’s Graduate Development Scheme has also seen 292 university graduates benefit from the program. Eighty-four of these are still employed with the company.

The outstanding training programs offered by OTML’s corporate training centre, which has been incorporated into the Star Mountain Training Institute (SMTI), is being supported by the company’s major shareholder PNGSDPL. The aim of the new partnership is to ensure SMTI provides ongoing training for OTML operations as well as facilitates programs for new and emerging industries being developed in Western Province and elsewhere in PNG as a precursor to mine closure.

The SMTI is complemented by the establishment and

operation of the Australia-Pacific Technical College (APTC) which focuses on the technical trades areas that PNG and the rest of the South Pacific Island nations need to develop their economies.

Local North Fly and other mine-affected communities as well as employees of OTML and its business partners are also enjoying the benefits of having APTC and SMTI right here in the Star Mountains.

With the resource boom unlikely to falter in the foreseeable future the development and retention of local people is of primary importance.

I commend this report to you.

Alan Roberts

Chairman

3

CHAIRMAN’S REPORT

“Our challenge” proved to be just that in 2007 and I am pleased to report that we delivered in many areas of our operation. After “best ever” performance the previous year, Ok Tedi Mining Limited (OTML) improved on that performance in 2007 with an excellent safety result, recording 0.26 Lost Time Injuries per million man hours, and another record after tax profit, Kina 2 billion, predominantly on the back of record prices for both copper and gold.

Concentrate production was 10% lower than the previous year due to a combination of ore grade and quality issues. Higher fluorine levels in the skarn ore required blending of skarn with lower grade ore to ensure that customer requirements were met.

In 2007, sales revenue was Kina 5 billion, and shareholders received dividends totaling Kina 1.4 billion. Mining royalties paid to the Fly River Provincial Government and Mine area landowners totaled Kina 78 million while total taxes were close to Kina 1.3 billion.

Despite its remoteness, OTML was not immune to global costs pressures and experienced a 5% increase in

operating costs. Specific high costs areas included steel products and consumables and fuel. Despite deriving over 75% of its power requirements from the Ok Menga hydro power station, OTML consumed on average 300,000 litres per day of diesel, mainly at its power station in Tabubil and in operation of the mine’s mobile fleet. A weakening US dollar also resulted in higher cost of Australian and PNG sourced supplies.

Over the years, OTML has committed significant resources to upskilling and developing its employees, providing a wide range of in-house and external training programs. We take pride from the fact that our Papua New Guinea National employees, and specifically our professionals and leaders, are highly sought after by international mining companies. Many of our ex employees are now achieving success in all parts of the world.

There is a downside to this. Companies like ours are experiencing increasing shortages of skilled professionals and our key people have been in great demand, resulting in a significant increase in turnover of people in this category. Whilst it is a terrific pat on the back for OTML and the country, it is leaving a hole in our key roles.

MANAGING DIRECTOR’S REPORT

It is therefore even more essential that our industry and tertiary education programs intensify learning, training and development of our next batch of leaders and professionals. OTML is improving its training facilities and joining with training agencies to ensure that we skill our people to international standards.

Our communities are also important stakeholders in our business and the year opened with the review of the Community Mine Continuation Agreements (CMCAs) being well underway in the mine-affected villages. Over 500 village, regional and working group meetings were held to discuss new compensation rates and schedules of payments as well as the establishment of a new entity, the Ok Tedi Fly River Development Foundation (OTFRDF), to oversee management and administration of regional sustainable development projects.

At the end of this comprehensive and widely acknowledged process, community leaders signed the new Kina 1.1 billion agreement and compensation payment package in June 2007.

2007 also brought the start of construction for the Mine Waste and Tailings Project (MWTP). The new plant and pipeline has been designed to significantly lower the sulphur content of waste material and greatly reduce the longer term mine impacts associated with Acid Rock Drainage (ARD). The logistics and management of the project has been very complex but we are on track to start commissioning the new plant in August 2008.

OTML is a company that operates in a complex economic, social, political and environmental context. Apart from mining and processing ore from the Mount Fubilan resource, its employees work in harmony to ensure the health and wealth of our people and the surrounding communities.

As custodians of PNG’s largest single business, OTML management, its employees and its business partners are committed to ensuring that the wealth we create will

continue to be used to bring sustainable development to North Fly, the Western Province and PNG.

Alan Breen

Managing Director

5

MANAGING DIRECTOR’S REPORT

As custodians of PNG’s largest single business, OTML management, its employees and its business partners are committed to ensuring that the wealth we create is used to bring sustainable development to North Fly, the Western Province and PNG.

In 2007, OTML continued to perform strongly supported by record prices received for copper and gold in concentrates. The result was tempered by underperformance in mine and mill production as a result of grade issues associated with fluorine in the skarn ore and concentrates. Whilst patches of high fluorine can be expected in the future the overall levels will remain in-spec and sales will not be affected.

As mining closes in on the bottom of the Open Cut Pit mine planning will become more technically challenging and ore and waste movement increasingly more constrained. Reduced ability to blend harder and softer ores will limit the mill’s ability to maximize throughput and grade. Options to increase mill throughput by both incremental and transformational means are being investigated by OTML’s technical teams.

Increased sulphur grade in ore requires careful management to minimize the future impact of Acid Rock Drainage (ARD) on the Fly River system. The construction of the Mine Waste and Tailings Project (MWTP) will allow for the mining of high sulphur ore whilst delivering low sulphur tailings (

The commissioning of the K90 million In Pit Crusher screening plant in the middle of 2008 will allow the dismantling of the Taranaki crusher station and release high grade ore for mining and processing.

Due to be completed in December 2008, the Underground Mine Prefeasibility Study will review and assess the technical and practical issues associated with accessing some 100 million tones of ore beneath the current open cut pit. The UG Mine has the potential of extending mine life for a further 10 to 15 years albeit at around one third of current mining and processing throughput levels.

The construction of the K160 million Drainage Tunnel will see proven tunnel boring technology used in PNG for the first time to bore a 4 km tunnel through to the bottom of the open cut pit to improve drainage in the remaining years of mine life. The tunnel will also allow for extensive underground drilling to be conducted should the OTML Board approve outcomes from the Underground Prefeasibility proceeding to the Feasibility stage in 2009.

As the world comes to terms with the ever increasing demand for mineable resources, the demand for experienced and skilled people is similarly increasing. Like many organizations, OTML has been losing its well trained professionals, para-professionals and technicians to resource hungry Australian companies. More recently Asian and PNG mining companies have also started to attract OTML staff. This is of considerable concern to our company and, to manage the issue, OTML has been revamping its Leadership Development and Succession Planning programs to provide aspiring Papua New Guineans with the opportunity to grow their careers with OTML. Implementation of partnerships

with Australia Pacific Training College (APTC) and Star Mountains Training Institute (SMTI) will see OTML expand its training facilities and services to attract people to our company.

In an increasingly challenging industry climate, OTML’s management, employees and business partners are cooperating to bring about the changes the business needs to make to retain the company’s privileged position as PNG’s Nambawan business.

The RevenueSales Revenue K5.0 billion

Profit Before Tax K2.9 billion

Dividends Paid K1.4 billion

Total Taxes Paid K1.3 billion

The Benefits to the Western ProvinceThe People of Western Province

K138 million

Fly River Provincial Government

K80 million

Mine Area Villages K86 million

Non-Mine Area Communities

K64 million

Tax Credit Scheme K9 million

7

OK TEDI Our Changing Business

The In-Pit Crusher (IPC) under construction

• Continued improvement in safety performance (LTIFR 0.26)

• Record metal prices achieved in 2007 (copper USD 3.35c/lb, gold USD 655 /oz)

• After Tax Profit - Kina 2.0 billion

• Pre dividend cashflow - Kina 1.0 billion

• Taxes, duties and royalties paid - Kina 1.3 billion

• Distributed dividends to shareholders - Kina 1.4 billion

• 58 million tonnes mined (26 million tonnes ore)

• 668,475 dmt concentrates sold (copper metal 186,525 t, gold in concentrates 523,437 troy ozs)

• Construction of Kina 450 million Mine Waste and Tailings Plant commenced

• Completion of Kina 37 million Vertical Pressure Airblow Filtration Plant at Kiunga

• The Community Mine Continuation Agreement (CMCA) review was completed in July 2007 resulting in an agreed Kina 1.1 billion compensation package over the next 6 years

• Tabubil Hospital was awarded the country’s only 5 Star Certificate of Attainment following a Survey of Hospital Standards in PNG by the National Health Department

• Agreement was reached with the PNGSDPL to develop the Star Mountains Training Institute in Tabubil

• An advanced skills training partnership with the Australian Government was implemented (Australia Pacific Training College)

8

2007 Operat ion’s Highl ights

Ok Tedi delivered 668,475 tonnes of copper concentrate to its customers in 2007. This was an increase of 46,000 tonnes, or 7%, on the 2006 year. The total contained metal in the concentrate shipped was 186,525 tonnes of copper, 16.3 tonnes of gold and 50.2 tonnes of silver. Concentrate was delivered to smelters in the Philippines (22%), Japan (41%), Korea (9%), India (19%) and Germany (9%). In addition to the copper concentrate sold, a separate gravity gold concentrate product containing 1.8 tonnes of gold was sold to smelters in Japan and Germany.

Ok Tedi’s revenue benefited from increased metal prices for copper, gold and silver in 2007 when compared with 2006. Copper, gold and silver prices realised averaged $3.35/ lb, $655/oz and $13.77/oz respectively in 2007 which were 3%, 13% and 18% above the 2006 realised average prices respectively.

At year end, copper metal held in registered warehouses was close to 200,000 tonnes, identical to the level at the start of the year. The normal historical level of stocks is considered to be 800,000 tonnes.

Demand for copper remained strong in the developing economies of the world and this coupled with uncertain mine supply from major producers augurs well for a copper price above US$3.00/lb in 2008.

The fortuitous combination of high commodity prices and low treatment and refining charges achieved in 2007 looks set to continue into 2008. That being the case, Ok Tedi remains well positioned to benefit from this favourable set of circumstances that will positively reward all stakeholders.

OK TEDI Concentrate Sales

Lme Copper Price And Stocks 2006 And 2007

40000

90000

140000

190000

240000

3/0

1/2

00

61

9/0

1/2

00

6

6/0

2/2

00

62

2/0

2/2

00

6

10

/03

/20

06

28

/03

/20

06

13

/04

/20

06

4/0

5/2

00

6

22

/05

/20

06

8/0

6/2

00

62

6/0

6/2

00

6

12

/07

/20

06

28

/07

/20

06

15

/08

/20

06

1/0

9/2

00

6

19

/09

/20

06

5/1

0/2

00

62

3/1

0/2

00

6

8/1

1/2

00

62

4/1

1/2

00

6

12

/12

/20

06

2/0

1/2

00

7

18

/01

/20

07

5/0

2/2

00

7

21

/02

/20

07

9/0

3/2

00

72

7/0

3/2

00

7

16

/04

/20

07

2/0

5/2

00

7

21

/05

/20

07

7/0

6/2

00

7

25

/06

/20

07

11

/07

/20

07

27

/07

/20

07

14

/08

/20

07

31

/08

/20

07

18

/09

/20

07

4/1

0/2

00

7

22

/10

/20

07

7/1

1/2

00

7

23

/11

/20

07

11

/12

/20

07

LM

E C

op

per

Sto

cks

(to

nn

es)

1.35

1.85

2.35

2.85

3.35

3.85

LM

E C

ash

Bu

y C

op

per

Pri

ce (

$/lb

)

LME Stocks Copper Price Average Cu Price Monthly Average Linear (Copper Price)

500

550

600

650

700

750

800

850

900

950

1000

3/0

1/2

00

6

3/0

2/2

00

6

3/0

3/2

00

6

3/0

4/2

00

6

3/0

5/2

00

6

3/0

6/2

00

6

3/0

7/2

00

6

3/0

8/2

00

6

3/0

9/2

00

6

3/1

0/2

00

6

3/1

1/2

00

6

3/1

2/2

00

6

3/0

1/2

00

7

3/0

2/2

00

7

3/0

3/2

00

7

3/0

4/2

00

7

3/0

5/2

00

7

3/0

6/2

00

7

3/0

7/2

00

7

3/0

8/2

00

7

3/0

9/2

00

7

3/1

0/2

00

7

3/1

1/2

00

7

3/1

2/2

00

7

Au

Pri

ce (

$/o

z)

Avge Daily Au Price Average Annual Au Price

London Gold Price 2006 & 2007

40000

90000

140000

190000

240000

3/0

1/2

00

61

9/0

1/2

00

6

6/0

2/2

00

62

2/0

2/2

00

6

10

/03

/20

06

28

/03

/20

06

13

/04

/20

06

4/0

5/2

00

6

22

/05

/20

06

8/0

6/2

00

62

6/0

6/2

00

6

12

/07

/20

06

28

/07

/20

06

15

/08

/20

06

1/0

9/2

00

6

19

/09

/20

06

5/1

0/2

00

62

3/1

0/2

00

6

8/1

1/2

00

62

4/1

1/2

00

6

12

/12

/20

06

2/0

1/2

00

7

18

/01

/20

07

5/0

2/2

00

7

21

/02

/20

07

9/0

3/2

00

72

7/0

3/2

00

7

16

/04

/20

07

2/0

5/2

00

7

21

/05

/20

07

7/0

6/2

00

7

25

/06

/20

07

11

/07

/20

07

27

/07

/20

07

14

/08

/20

07

31

/08

/20

07

18

/09

/20

07

4/1

0/2

00

7

22

/10

/20

07

7/1

1/2

00

7

23

/11

/20

07

11

/12

/20

07

LM

E C

op

per

Sto

cks

(to

nn

es)

1.35

1.85

2.35

2.85

3.35

3.85

LM

E C

ash

Bu

y C

op

per

Pri

ce (

$/lb

)


500

550

600

650

700

750

800

850

900

950

1000

3/0

1/2

00

6

3/0

2/2

00

6

3/0

3/2

00

6

3/0

4/2

00

6

3/0

5/2

00

6

3/0

6/2

00

6

3/0

7/2

00

6

3/0

8/2

00

6

3/0

9/2

00

6

3/1

0/2

00

6

3/1

1/2

00

6

3/1

2/2

00

6

3/0

1/2

00

7

3/0

2/2

00

7

3/0

3/2

00

7

3/0

4/2

00

7

3/0

5/2

00

7

3/0

6/2

00

7

3/0

7/2

00

7

3/0

8/2

00

7

3/0

9/2

00

7

3/1

0/2

00

7

3/1

1/2

00

7

3/1

2/2

00

7

Au

Pri

ce (

$/o

z)


40000

90000

140000

190000

240000

3/0

1/2

00

61

9/0

1/2

00

6

6/0

2/2

00

62

2/0

2/2

00

6

10

/03

/20

06

28

/03

/20

06

13

/04

/20

06

4/0

5/2

00

6

22

/05

/20

06

8/0

6/2

00

62

6/0

6/2

00

6

12

/07

/20

06

28

/07

/20

06

15

/08

/20

06

1/0

9/2

00

6

19

/09

/20

06

5/1

0/2

00

62

3/1

0/2

00

6

8/1

1/2

00

62

4/1

1/2

00

6

12

/12

/20

06

2/0

1/2

00

7

18

/01

/20

07

5/0

2/2

00

7

21

/02

/20

07

9/0

3/2

00

72

7/0

3/2

00

7

16

/04

/20

07

2/0

5/2

00

7

21

/05

/20

07

7/0

6/2

00

7

25

/06

/20

07

11

/07

/20

07

27

/07

/20

07

14

/08

/20

07

31

/08

/20

07

18

/09

/20

07

4/1

0/2

00

7

22

/10

/20

07

7/1

1/2

00

7

23

/11

/20

07

11

/12

/20

07

LM

E C

op

pe

r S

toc

ks

(to

nn

es)

1.35

1.85

2.35

2.85

3.35

3.85

LM

E C

as

h B

uy

Co

pp

er

Pri

ce

($

/lb

)


500

550

600

650

700

750

800

850

900

950

1000

3/0

1/2

00

6

3/0

2/2

00

6

3/0

3/2

00

6

3/0

4/2

00

6

3/0

5/2

00

6

3/0

6/2

00

6

3/0

7/2

00

6

3/0

8/2

00

6

3/0

9/2

00

6

3/1

0/2

00

6

3/1

1/2

00

6

3/1

2/2

00

6

3/0

1/2

00

7

3/0

2/2

00

7

3/0

3/2

00

7

3/0

4/2

00

7

3/0

5/2

00

7

3/0

6/2

00

7

3/0

7/2

00

7

3/0

8/2

00

7

3/0

9/2

00

7

3/1

0/2

00

7

3/1

1/2

00

7

3/1

2/2

00

7

Au

Pri

ce (

$/o

z)


9

Safety Performance - Site

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

2001 2002 2003 2004 2005 2006 2007 2008

Year

Inju

rie

s p

er

mil

lio

n m

an

ho

urs

DIFR

LTIFR

Occupational Health and Safety (OH&S)The OH&S focus in 2007 was to improve compliance with existing systems including the “TAKE FIVE” safety concept and the Hazard Identification (HI)/Job Safety Analysis (JSA) process. Many employees received training in HI/ JSA and in the “TAKE FIVE” process.

The reinforcement of existing safety systems was a priority with the commencement of the Mine Waste and Tailings Project, which saw over 500 contract employees arrive in Tabubil to take up various tasks from Folomian to Bige.

Employees continued to receive training in the Incident Cause Analysis Method (ICAM). ICAM is a formal, structured incident investigation process OTML uses as a default approach for investigating serious incidents, whether they have caused injury or simply had the potential to do so. OTML has more than 120 employees and contractors trained in this approach to gathering root causes from incidents and identifying lessons for the whole site.

The internal Wantok Safety audit was conducted towards the end of the year to include compliance gaps against the new Safety Management System (SMS) Standards released during 2007. Standards for Light Vehicles, Incident Management and the Work at Height collection (Barriers and barricades; Work at height; ladders, stairways, walkways and platforms; and scaffolding) were rolled out as part of this process. While OTML is progressing to an AS4801-style of OH&S Management system, many of the Wantok Standards will remain valid until updated.

OTML continues to embed proactive safety behaviour in its culture and core business values. In 2007, the business recorded a Lost Time Injury Frequency Rate (LTIFR) of 0.26 injuries per million man hours and a Disabling Injury Frequency Rate (DIFR) of 1.47 DI’s per million man hours, results that are comparable with the best mining companies and highlight OTML’s continued progress towards zero injuries.

10

OK TEDI Occupational Health and Safety Management

Mine Waste and Tailings Project

Construction of the Mine Waste and Tailings Project commenced mid year with the major contracts awarded to Queensland-based Sun Engineering to construct the Tailings Processing Plant (TPP) at the mill and Perth-based International Pipeline Construction to build the pipeline from the TPP to Bige where underwater bed containment pits are to be prepared.

Communications and consultation on the project was achieved with local landowners living along the Tabubil - Kiunga highway being employed as part of the project team as well as participating in spin-off activities. The project has the full backing of the government by way of a “Change Notice” which was issued to OTML at the end of 2006. The mine-affected communities are also kept informed about the progress of the tailings project.

Kiunga-Bige Operations

The successful completion of construction and commissioning of the new Vertical Pressure Air-blow (VPA) Filtration Plant in the second half of the year contributed to improved efficiency of Kiunga operations with lower operating cost and lower moisture content adding value to the copper concentrates shipped downriver for export.

With the new automated VPA plant, the Kiunga team is now able to consistently maintain the moisture level in the concentrate at less than 8% compared to the 9.5 % level under the old drum filter system. Annual cost savings of about US$3 million are also being achieved because of reduced power and water usage. The new system has also modernised the operational skills of the OTML workforce in Kiunga.

At Bige, dredging of access channels and pyrite storage pits commenced during the year at the same time as the work on the Tailings Processing Plant and the Tailings Pipeline started up at the mill.

Mine Closure PlanningOTML submitted the 2006 draft Mine Closure Plan to the State in February 2007 in accordance with the Ok Tedi Mine Closure and Decommissioning Code, 2001. The State through the Minister of Mining and Minister of Environment & Conservation approved the Plan in January and May 2008 respectively.

OTML is preparing the Detailed Draft Mine Closure Plan which is due for submission to the State in mid 2009, four years prior to the cessation of commercial production which is currently planned for 2013. OTML has engaged the National and Provincial Governments and the PNG Sustainable Development Program Limited who are key stakeholders in the closure planning process. OTML has engaged Australian-based organisation Outback Ecology to manage the process.

OTML’s mine closure goal is to leave behind a positive legacy that, as a minimum, provides opportunity for a robust platform for sustainability.

11

OK TEDI Major Projects

OTML’s Annual Environmental Report, submitted to PNG’s Department of Environment and Conservation each September, presents and discusses the range of scientific projects undertaken in addressing the impacts of the mining operation on the riverine system. This report, posted to OTML’s website at www.oktedi.com, can be accessed for detail on the broad range of investigations and monitoring programs.

In line with the environmental performance reporting of mining and other industries throughout the world, the data presented in OTML’s Annual Review adopts the reporting of key Global Reporting Initiative (“GRI”) indicators. The background to some of these indicators is discussed below. The relevant indicators are summarised in a table and illustrate OTML’s achievements during 2007 compared with previous years.

Hydrocarbon Tank Integrity

OTML has four large hydrocarbon storage areas, as well as many smaller ones throughout the operation. Following the 2006 ATTAR acoustic emission testing of 13 major diesel and oil storage tanks, five tanks (accounting for 54% total diesel storage) were opened during 2007, cleaned and physically inspected. According to the ATTAR risk assessment these tanks presented the highest risk. Two of these tanks each had a small pin hole in the floor plate welds. These holes and other minor defects(e.g.pitting of the plates) were repaired before the tanks were returned to service. The pin holes were easily located using the acoustic emission floor maps. These acoustic emission testing results for the five tanks opened have compared well against the physical inspections. Thus OTML now has a high degree of confidence in this non-invasive integrity testing in the future. This tank inspection program will continue in 2008.

Emergency Spill Response

In October 2007, OTML contracted Oil Response Company of Australia (specialist trainers) to conduct hydrocarbon spill response training. This course focused on emergency hydrocarbon spill response in fresh waters (i.e. creeks and rivers) and the practical use of spill equipment currently available on site. In total 79 OTML employees and contractors attended one of the four customised sessions designed for the higher spill risk activities across the OTML operational areas, including Kiunga wharf, Bige dredging, KM59 pump station, and highway trucking activities.

Riverine Waste

Under State approval, OTML is permitted to undertake riverine disposal of waste rock and tailings. While the majority of this waste is benign rock, the sulphide and copper mineralisation contained within these wastes is of environmental concern. In 2007, 23 Mt of waste rock (containing 1.6% S) and 25 Mt of tailings (2.9% S) were delivered to the upper Ok Tedi river system. Additionally, as a part of OTML’s ARD mitigation strategy, 7.8 Mt of limestone were mined for gradual addition to the waste rock stream to assist in buffering potential acid production in the future (i.e. from oxidation of sulphides in the waste rock). The reduction of waste rock volume deposited to the river system, compared with previous

12

OK TEDI Environmental Management

years, reflects the strategy of stockpiling low grade ore, to be treated once the Mine Waste and Tailings Project (MWTP) is commissioned.

This has had the benefit of depositing less waste rock into the riverine system as well as reducing the overall sulphur content.

During 2007, 4.5 Mm3 of riverine sediments were dredged at Bige and stockpiled on the western bank of the Ok Tedi. The dredge was also utilised in preparing access channels and the excavation of pits for the safe storage of the pyrite concentrate to be delivered once the MWTP pipeline is commissioned. Sediment removal by the dredge has helped to alleviate inundation of the flood plain and the extent of dieback. To date, 1,633 km2 has been affected by dieback while 28% of this area (459 km2) has undergone some form of recovery. Temporary revegetation is established on the slopes of the dredged stockpiles, as the benches are constructed, to ensure protection from surface erosion.

In December 2006, the PNG government approved the MWTP, which allows for the removal of pyrite from tailings at the Mill, the transportation of the pyrite concentrate (PCon) via a pipeline to Bige and the subaqueous disposal of this concentrate in storage pits constructed on the flood plain below the water surface. The successful implementation of this project will dramatically decrease the Acid Rock Drainage (ARD) risk at Bige and throughout the riverine system. A condition of this approval was the

conducting of an independent technical review of the PCon storage. The 5 man North American review team concluded that, providing OTML implements the MWTP as proposed, it ought to result in the geochemical and geotechnical safe storage of the PCon material for hundreds of years.

Commissioning of the MWTP is scheduled for mid 2008.

A final 4 m thick cover, to mitigate any future ARD development within the Bige stockpiles, will be established once suitable material is fluvially delivered to the dredge slot following the implementation of the MWTP. Permanent rehabilitation will then be initiated as per the Mine Closure Plan’s Mine Area Rehabilitation Plan and in consultation with the local communities.

Industrial Waste

Apart from the mine-derived rock and tailing wastes, the OTML operation produces a wide variety of other wastes such as industrial, hospital, quarantine, freight packaging, office and household wastes. Both scrap metals and waste oils have been well managed on site for many years. In an endeavour to strive for continual improvement, OTML is now focusing on other areas of waste management, including PCB contaminated oils and scrap rubber.

PNG Recycling has been contracted to undertake scrap metal recycling on site since 2002. Over the past 25 years an enormous quantity of scrap metal (including ferrous wastes, aluminium, copper, lead-acid batteries, brass, stainless steel, radiators, electric motors, etc) has accumulated throughout the various operational areas. In 2007, only a small amount (4,072 tonnes) of scrap logistical constraints associated with the large MWTP. Nonetheless there was still a significant effort put

13


into cutting and stockpiling the scrap in preparation for shipping in 2008. Additionally, a campaign continued in 2007 to remove from site old machinery which has been onsold for refurbishment and reuse elsewhere in the world.

OTML strives to dispose of hydrocarbon wastes in an environmentally acceptable manner. Waste oils are collected and stored for burning in the Mill’s lime kiln (in 2007 1,693,400 L burnt), which in turn offsets the quantity of diesel required to be used in the kiln. To improve the management of other oily wastes such as sludges, industrial grease, rags and filters, OTML purchased a large industrial incinerator from the USA in mid 2007. Meeting USEPA emissions criteria, this will both permit improved oily wastes disposal and enable some packaging and general wastes to be better managed.

Energy and Greenhouse Gases

While hydropower accounts for 75% of electricity generation at Ok Tedi, the burning of fossil fuels is also required. To assist its responsible management of energy use, OTML commissioned an initial Energy Audit in November 2007. A specialist energy auditor (Energetics Pty Ltd) gathered information on site-wide energy (both power and diesel) inputs and outputs from various sources to enable a detailed Site Energy Map to be developed. From this 2007 baseline information, energy saving opportunities may be determined for instigation in 2008, in turn leading to a possible reduction in greenhouse gas emissions.


Survey of Key Environmental Indicators

Environmental Indicators 2005 2006 2007

Environmental Management Performance

Environmental Induction (#OTML & Contract employees) 898 1,232 2,498

Environmental Action Plan (% completed) 91 86 86

Incidents Category 3+ (Medium, Major or Catastrophic) 0 0 0

Environmental Incident Compensation US$ 0 US$ 0 US$ 0

Water Management

Total Water Used (‘000 m3) 35,846 41,340 41,215

Fresh Water (‘000 m3 / % of total)Recycled Water (‘000 m3 / % of total)

12,90522,941

3664

14,86526,475

3664

12,42528,790

3070

Total Water Intensitiy Index(m3/t Contained Copper)

186 213 244

Waste Management

Total Riverine Disposal (‘000 t): 89,368 75,366 56,100

Waste Rock (‘000 t / % of total)Tailings (‘000 t / % of total)Additional Limestone to offset potential acid production in Ok Tedi (‘000 t / % of total)

53,95024,68610,732

602812

48,00027,3669,142

573211

23,15825,1617,781

414514

Riverine Disposal Intensity Index (t/t Contained Copper)

463 435 332

Annual Dredge SlotProduction Rates (million m3)

10.4 13.0 4.5

Average annual % sulphur in Waste Rock Average annual % sulphur in TailingsAverage annual % sulphur in Dredged Sediments

1.352.933.36

1.092.662.50

1.582.942.00

Scrap Metal (t shipped for recycling) 44,218 47,586 4,072

Energy and Greenhouse Gas Production

Total Diesel Consumption (ML): 90.7 110.2 95.6

Power Generation (ML / % of total)Machinery / Other (ML / % of total)

24.965.8

2773

39.171.1

3565

34.261.4

3664

Electricity Use (MWH): 495,716 495,131 491,422

Diesel-generated electricity (MWH / % of total)Hydroelectricity (MWH / % of total)

86,174409,542

1783

126,611368,520

2674

111,016380,406

2377

Energy Intensity Index (MWH / t Contained Copper)

2.6 2.5 2.9

GHG Emissions (‘000 t CO2-e) 295 358 338

GHG Intensity Index (t CO2-e / t Containted Copper) 1.5 1.8 2.0

Mine Closure Planning

Mine Closure Plan (MCP) Biennial Update Submitted to PNG Government

(Not Required) 2006 MCP submitted 14/12/06

(Not Required - next due June 2009

New Land Disturbed This Year (ha) 325 71 0

Total Land Disturbed To Date (ha) 2,510 2,581 2,581

Land Rehabilitated This Year (ha) 88(Temporary on dredged

sand stockpiles)

3(Temporary on dredged

sand stockpiles)

0

OK TEDI The Environment

Decline in performance in comparison to previous year due to increase / decrease

Note: All values current at the end of each calendar year

Same performance in comparisonto previous year

Improvement in performance in comparison to previous year due to increase / decrease

15

In 2007, the most significant achievement in OTML’s relationship with mine-affected communities was the signing of the revised Community Mine Continuation Agreement (CMCA).

In keeping with OTML’s commitment to open dialogue and transparency during the CMCA review period, the company engaged independent facilitators and observers, who included former state solicitor general John Kawi and Sir Arnold Amet, former Chief Justice who was initially an observer and then became an advisor to the process.

The independent observers and facilitators played a significant role in the consultation process which took 18 months and involved over 500 village and regional meetings in 150 communities along the Ok Tedi/Fly River system.

The CMCA consultation process was described by the independent observers as a blueprint for conflict resolution in PNG.

Based on current metal prices, the revised compensation package, which was signed between the mine-affected community leaders and OTML shareholders at various times between June and December 2007, was Kina 1.1 billion for the next six years.

The revised CMCA comes in three parts: the first being a fixed sum of K324 million from OTML which is being

administered under the framework of the existing CMCA; the second part being the 5% dividend payment from the Government of PNG while the final part is K21 million to be paid by the PNG Sustainable Development Program Limited (PNGSDPL).

Under the revised agreement, a new entity, Ok Tedi Fly River Development Foundation (OTFRDF), is being established to carry on the programs of Ok Tedi Development Foundation (OTDF).

OK TEDI Community Mine Continuation Agreement

16

Dudi Development Trust

Kiwaba Development Trust

Manawete Development Fund

Middle Fly River Development Foundation

Nupmo Development Trust

17

O K T E D I C o m m i t m e n t t o t h e C o m m u n i t y

Dudi Development Trust represents over 6,900 people from 16 villages along the South Bank of the South Fly Region.

Payments made to Dudi Trust from 2001 to 2007:

Investment Fund K4.270m

Cash Compensation Family K1.867m

Women & Children’s Fund K0.373m

Development Fund K3.689m

Kiwaba Development Trust represents over 3,600 people from 14 villages in the Kiwai and the Wabada group of islands in South Fly.

Payments made to Kiwaba Trust from 2001 to 2007:





The Manawete Development Fund represents over 10,000 people from 21 villages along the North Bank of the South Fly Region.

Payments made to Manawete Trust from 2001 to 2007:





The Middle Fly River Development Trust represents over 8,300people from 18 villages.

Payments made to the Middle Fly Trust by OTML from 2001 to 2007:


Cash Compensation Family K4.115mCash Compensation Clan K15.947mWomen & Children’s Fund K1.430mDevelopment Fund K31.464mLegal Fees K1.5m

Nupmo Development Trust represents over 2,700 people from 17 villages in the North Ok Tedi region.

Payments made to Nupmo Trust between 2001 and 2007: Investment Fund K2.553m

Cash Compensation Clan K4.828m




Mine VillagesUnder the CMCA’s, Mine Villages comprise six communities located within the Special Mining Leases. They are Kavorabip, Atemkit, Finalbin, Bultem, Wangbin and Migalsimbip. The total population of the six communities is over 2,650.

Payments made to Mine Villages between 2001 and 2007:

Suki Fly Gogo Development Trust

Tutuwe Development Trust

Wai Tri Development Trust

Alice River Trust (ART)

Kavorabip K2.450m

Finalbin K5.336m

Atemkit K2.450m

Wangbin K6.337m

Bultem K2.450m

Migalsimbip K2.979m

18

O K T E D I C o m m i t m e n t t o t h e C o m m u n i t y

Suki Fly Gogo Development Trust represents almost 8,000 people from 16 villages in the South Fly region.

Payments made to Suki Fly Gogo Development Trust between 2001 and 2007:





The Tutuwe Development Trust represents over 11,300 people from 29 villages along the Tabubil Kiunga road.

Payments made to Tutuwe Trust between 2001 and 2007: Investment Fund K2.951m

Cash Compensation Clan K4.835m




Wai Tri Development Trust represents over 3,200 people from 16 villages in the Lower Ok Tedi Region.

Payments made to Wai Tri Trust between 2001 and 2007: Investment Fund K7.087m




The lower Ok Tedi region is also benefiting from a 1997 agreement which saw the establishment of the Alice River Trust (ART).

Payments made to Alice River Trust between 1997 and 2007:

Landowners’ & Land Users’ Fund K12.143m

Future Generations’ Fund K2.143m


Ok Tedi Development Foundation (OTDF) comprises Economic Programs on the one hand and Rubber Development, Rural Development (Agriculture, Fisheries and Forestry), Ecotourism & Infrastructure and Community Development on the other.

The Community & Regional Development Strategy (CRDS), the OTDF operational model since January 2007, defines the role of OTDF Programs as the promotion of programs which diversify the economic base of the Western Province and facilitate public infrastructure and service development through partnership arrangements. OTDF Programs promote the development of programs that have significant commercial potential capable of generating sufficient income that is an effective substitute for mine derived income or benefits, such as royalties, special support grants, compensation, etc. This is to be done in collaboration with other development partners and stakeholders.

Economic ProgramsA major task for the Economic Programs’ officers in the past 12 months has been to help turn around the performance of the many small landowner businesses.

Using Star Mountain Investments Holding Limited (SMIHL) as an example, OTDF Economic Programs team introduced the concept of ‘umbrella’ or Regional Companies in the communities. OTML, over the years has spent millions of kina in the promotion and support of small and individually-owned local businesses which, with a few exceptions, have been unsuccessful mainly because they lack sufficient capital, are 100% reliant

on OTML for both contracts and operational support, lack management capacity and have an unenviable record on governance.

Umbrella companies on the other hand are representative companies of the people of the various regions of the mine-affected communities. They are relatively large, comparatively well funded by their local trusts and as individual investors, have business interests outside of OTML and Tabubil and are capable of standing on their own feet over time with OTML support. There are currently five umbrella companies, namely Star Mountain Investments Holding Limited (SMIHL) for the Mine villages, Flood Plains Limited (FPL) for the Middle Fly communities, Lower OK Tedi Investment Company Limited (LOTIC) for the Lower Ok Tedi people, Highway Development Company Limited (HWDC) for the highway communities (from Kiunga to Km 59) and Hore Binkia for highway communities (from Km 59 to Tabubil).

A South Fly umbrella company to be known as Dukimasugo Holdings Limited (DHL) is being incorporated as a representative company of the South Fly communities.

The revamped landowner umbrella companies are already participating in current new business spin-offs at Ok Tedi including the Mine Waste and Tailings Project.

Much of Economic Programs efforts in the next few years will be directed at assisting these companies to be well managed and become viable institutions through the establishment of effective systems and procedures, capacity building and promotion of good governance.

Economic Programs also facilitated two training programs in trade store management for participants from Tabubil, the Highway villages and Kiunga/Bige. The course was initially directed at people in trust areas who have a very high failure rate in running trade stores. This training program, by popular demand, has been extended to existing trade store and small business operators in these areas.

19

OK TEDI Ok Tedi DevelopmentFoundation

20

OTML spends over K7 million annually managing and operating the Tabubil Hospital and its outreach programs.

Over the years, the hospital has become the Western Province’s major referral hospital providing arguably the best health care in PNG.

From HIV voluntary counseling and blood testing to pap smear and eye checks, to dentistry and antenatal clinics, the hospital is a model health care facility in PNG.

During the year the hospital was further recognised for its high standard provision of health care when it became the first private sector facility to be awarded a Five Star Certificate of Attainment by the PNG National Health Department.

In 2007, Tabubil Hospital treated over 150,000 outpatients and issued over 25,000 prescription drugs to patients. Over 75% of patients treated are from the local and regional communities.

The hospital also received an additional ward and public health facility at a cost of K3 million during the year.

Public HealthWhilst OTML is rightly proud of its efforts at the hospital, the company is mindful of the need to help strengthen and empower aid posts in nearby communities to enable them to provide general health care for their respective local population. This aid post assistance program covers Okma, Sisimakam, Migalsim, Finalbin and Bultem villages.

Preventive rather than curative treatment remains the focus of the public health services department.

OTML-employed public health staff continued various awareness programs throughout the year in surrounding communities. Lifestyle diseases, including HIV/AIDS, are the primary focus of awareness programs.

Alongside its workplace policy on HIV/AIDS, OTML employs a full time HIV/AIDS coordinator who runs mandatory courses for employees and other members of the community. In addition the coordinator performs mobile Voluntary Counseling and Testing services for OTML employees and those of its business partners.

OTML works closely with its partners, the Catholic Diocese of Daru Kiunga and the National AIDS Council Secretariat in managing HIV/AIDS programs in North Fly.

Under a long standing health agreement with the

Fly River Provincial Government, OTML also provides logistics for the biannual health patrols for the Ok Tedi-Fly River communities. During the patrols, government health workers from Daru team up with OTML medical staff to deliver immunisation and other basic health care to thousands of children, women and men in the river communities.

OK TEDI Providing Health Care

OK TEDI Financials

22

OK TEDI Financials

Ok Tedi Mining Limited and its Subsidiaries

Income Statementfor the year ended 31 December 2007

2007 2006 K’millions k’millions

OPERATING REVENUE:

Sales Revenue 5,040 4,643

Other Operating Income 2 4

Total Operating Revenue 5,042 4,647

Operating Costs (2,032) (1,944)

Profit from Operating Activities 3,010 2,703

Net Finance Costs (93) (24)

Profit Before Income Tax 2,917 2,679

Income Tax Expense (874) (800)

Net Profit After Income Tax 2,043 1,879

23

OK TEDI Financials


Statement of Changes in Equityfor the year ended 31 December 2007

Ordinary Hedge Retained Shares Reserve Earnings Total K’millions K’millions K’millions K’millions

Balance at 31 December 2005 238 (65) 663 836

Net Profit for The Year - - 1,879 1,879

Dividends Paid - - (1,808) (1,808)

Change in Fair Value of Derivative Financial Instruments - (12) - (12)

Tax Effect of Change in Fair Value of Derivative Financial Instruments - 4 - 4

Balance at 31 December 2006 238 (73) 734 899

Net Profit for The Year - - 2,043 2,043

Dividends Paid - - (1,440) (1,440)

Change in Fair Value of Derivative Financial Instruments - 8 - 8

Tax Effect of Change in Fair Value of Derivative Financial Instruments - (2) - (2)

Balance at 31 December 2007 238 (67) 1,337 1,508

24

OK TEDI Financials


Balance Sheetfor the year ended 31 December 2007


CURRENT ASSETS:

Cash and Cash Equivalents 289 `679

Other Current Assets 707 514

Total Current Assets 996 1,193

NON-CURRENT ASSETS:

Property, Plant and Equipment 877 463

Pre-production Expenditure 45 54

Other Assets 437 343

Total Non-Current Assets 1,359 860

Total Assets 2,355 2,053

CURRENT LIABILITIES:

Trade and Other Payables 117 292

Other Current Liabilites 145 381

Total Current Liabilities 262 673

NON-CURRENT LIABILITIES:

Other Liabilities 585 481

Total Liabilities 847 1,154

Net Assets 1,508 899

SHAREHOLDERS’ EQUITY:

Ordinary Shares 238 238

Hedge Reserve (67) (73)

Retained Earnings 1,337 734

Total Shareholders’ Equity 1,508 899

25

OK TEDI Financials


Statement of Cashflowsfor the year ended 31 December 2007


CASH FLOWS FROM OPERATING ACTIVITIES:

Cash Generated From Operations 2,944 3,452

Interest and Other Costs Paid (1,378) (1,019)

Net Cash Flows From Operating Activities 1,566 2,433

CASH FLOW FROM INVESTING ACTIVITIES:

Net Capital Expenditure (490) (163)

Financial Assurance Fund Investment (23) (26)

Net Cash Flows From Investing Activities (513) (189)

CASH FLOW FROM FINANCING ACTIVITIES:

Dividends Paid (1,440) (1,808)

Finance Facility Establishment Fees (1) (2)

Net Cash Flows From Financing Activities (1,441) (1,810)

Net Increase/(Decrease) in Cash and Cash Equivalents (388) 434

Cash and Cash Equivalents at Beginning of the Year 677 245

Cash and Cash Equivalents at End of the Year 289 679

CASH AND CASH EQUIVALENTS COMPRISE:

Cash 23 104

Short Term Deposits 266 575

Total Cash and Cash Equivalents 289 679

26

OK TEDI Resource and Reserve Statement

Resource and Reserve Statement as at 31 December 2007

Mineral Resource Ore Reserve Conversion

Category Mtonnes Cu% Au g/t Category Mtonnes Cu% Au g/t Resv/Reso

Measured 502 0.49 0.59 Proven 116 0.68 0.86 23%

Indicated 144 0.79 1.10 Probable 31 1.32 2.03 21%

Inferred 51 0.94 1.28 0%

Total 697 0.59 0.75 Total 147 0.82 1.10 21%

Resource and Reserve Statement as at 31 December 2006

Mineral Resource Ore Reserve Conversion

Category Mtonnes Cu% Au g/t Category Mtonnes Cu% Au g/t Resv/Reso

Measured 209 0.81 0.97 Proven 157 0.88 1.14 54%

Indicated 322 0.60 0.71 Probable 21 0.76 1.29 7%

Inferred 161 0.52 0.71 0%

Total 773 0.66 0.80 Total 178 0.86 1.16 23%

This information in the tables above relates to the Mineral Resource and Ore Reserve based on information compiled by Karl Smith (Mineral Resource) and Wayne Schiller (Ore Reserve) who are members of the Australian Institute of Mining and Metallurgy. Karl Smith and Wayne Schiller are full-time employees of OTML.

Karl Smith and Wayne Schiller have sufficient experience which is relevant to the style of mineralization and type of deposit under consideration, and to the activity to which they are undertaking to qualify as a competent person as defined in the 2004 edition of the Australasian code for reporting of Mineral Resources and Ore Reserves. Karl Smith and Wayne Schiller consent to the inclusion in the table of the matters based on their information in the form and context in which it appears.

Original signed by:

Karl Smith Wayne Schiller Alan Breen Manager Mine Executive Manager Managing Director Planning Services Technical Services

27

OK TEDI Summary Results

2003 (*) 2004 2005 2006 2007

ProductionConcentrate (dmt)Contained Copper (tonnes)Contained Gold (ounces)

1,005,219293,966754,818

627,762173,370524,474

664,041192,978574,694

680,975194,355550,099

610,044169,184498,790

SalesConcentrate (dmt)Contained Copper (tonnes)Contained Gold (ounces)

1,027,819290,579744,241

598,622166,328491,005

711,215204,840594,402

622,158177,538505,234

668,475186,525523,437

Financials (Kina ‘000’s)Sales RevenueGross ProfitTaxNet Profit

2,774,413503,162139,448363,714

2,088,363716,999210,899506,100

3,308,3271,490,344

445,0361,045,308

4,643,1512,679,302

800,1001,879,202

5,039,7232,916,043

873,5172,042,526

DividendsRoyalties

441,17246,307

395,07835,945

925,05054,585

1,808,25786,374

1,429,90178,091

(*) Note that 2003 figures cover an 18 month period from July 2002 to December 2003.

Five Years to 2007

28

Management and Board Members

*Simon Tosali, Secretary Papua New Guinea Treasury Department

Simon Tosali is the nominated director representing the Government of Papua New Guinea. He has held this role since 2002.Clement Kote acts as Mr Tosali’s Alternate.

OTML BOARD

OTML EXECUTIVE MANAGEMENT

ALAN ROBERTSCHAIRMAN

NIGEL PARKERGENERAL MANAGER

Commercial

NEALE LAFFINACTING GENERAL

MANAGER Operations

SHELLEY JONESGENERAL MANAGERHuman Resource

DAVID MASANIGENERAL MANAGER

Community and Business Support

MUSJE WERRORGENERAL MANAGERCorporate Relations

IAN SHEPPARDGENERAL MANAGER

Business Development

DICK ZANDEEINDEPENDENT

DIRECTOR

*CLEMENT KOTEALTERNATE DIRECTOR

First Secretary Structural Policy & Investment - Department of Treasury GoPNG

ALAN BREENOTML

MANAGING DIRECTOR

JOCHEN TILKDIRECTOR

President and Chief Operating

Officer Inmet Mining Corporation

PROF ROSS GARNAUTDIRECTOR Chairman

PNG Sustainable Development Program Ltd

NIGEL PARKEROTML

Company Secretary

Documents

CONTENTS...The Mining (Ok Tedi Mine Continuation (Ninth Supplemental) Agreement) Act of 2001 was a decision taken by the Government of PNG and the people of the communities affected