CHANDLER PROJECT MINE MANAGEMENT … 16: Summary of water bore details selected from Charlotte...

CHANDLER PROJECT MINE MANAGEMENT PLAN

RENEWAL 2016

Authorisation 0689-01v2

14 September 2016

Contents ABBREVIATIONS AND GLOSSARY .................................................................................................... i AMENDMENTS ............................................................................................................................... ii 1 OPERATOR DETAILS ................................................................................................................ 1

1.1 Organisational Structure ................................................................................................... 1 1.2 Workforce ......................................................................................................................... 2

2 PROJECT DETAILS .................................................................................................................... 3 2.1 Overview ................................................................................................................................ 3

2.2 Changes to tenure ............................................................................................................. 4 2.3 History of Previous Exploration Activities ......................................................................... 4 2.4 Current Exploration Status .............................................................................................. 10 2.5 Proposed Activities ......................................................................................................... 15 2.4 Target minerals ............................................................................................................... 23 2.5 Field Schedule ................................................................................................................. 23 2.6 Site Infrastructure and Location ...................................................................................... 23 2.7 Transportation and Site Access ....................................................................................... 25

3 CURRENT SITE CONDITIONS .................................................................................................. 26 3.1 Geology ........................................................................................................................... 26 3.2 Hydrology ........................................................................................................................ 30 3.3 Vegetation, Flora and Fauna ........................................................................................... 33 3.4 Land use .......................................................................................................................... 36 3.5 Historical, Aboriginal, Heritage sites ............................................................................... 36

4 ENVIRONMENTAL MANAGEMENT SYSTEM ............................................................................ 37 4.1 Environmental Policy and Responsibilities ...................................................................... 37 4.2 Statutory Requirements .................................................................................................. 37 4.3 Non-Statutory Requirements .......................................................................................... 38 4.4 Identified Stakeholders and Consultation ....................................................................... 38 4.5 Induction and Training .................................................................................................... 38 4.6 Identification of Environmental Aspects and Impacts .................................................... 40 4.7 Emergency Procedure and Incident Reporting ............................................................... 42 4.8 Environmental Audits and Inspections............................................................................ 45 4.9 Environmental Performance Reporting .......................................................................... 45

5 ENVIRONMENTAL MANAGEMENT PLAN ................................................................................ 48 5.1 Water Management ........................................................................................................ 48 5.2 Invasive Species Management ........................................................................................ 51 5.3 Flora and Fauna Management ........................................................................................ 52 5.4 Waste Management ........................................................................................................ 52 5.5 Noise and Air Quality Management ................................................................................ 52 5.6 Culture and Heritage Management ................................................................................ 53 5.7 Hazardous Materials and Hydrocarbon Management .................................................... 53 5.8 Fire Management ............................................................................................................ 54

6 EXPLORATION REHABILITATION ............................................................................................ 55

6.1 Costing of Closure Activities ............................................................................................ 57 7 PERFORMANCE OBJECTIVES .................................................................................................. 57 8 REFERENCES ......................................................................................................................... 58

Tables

Table 1: Project details ........................................................................................................................... 3 Table 2: Selected historic petroleum wells within Tellus Chandler Project area .................................... 7 Table 3: Current Petroleum holders ....................................................................................................... 9 Table 4: Completed activities 2013-2014 ............................................................................................. 11 Table 5: Stage 1 drillhole locations completed 2013-2014 .................................................................. 11 Table 6: Water investigation drillhole summary .................................................................................. 13 Table 7: Completed activities ............................................................................................................... 14 Table 8: Proposed Option 1 drill locations ........................................................................................... 16 Table 9: Proposed Option 2 drill locations ........................................................................................... 17 Table 10: Proposed Option 3 drill locations ......................................................................................... 18 Table 11: Proposed Option 4 drill locations ......................................................................................... 19 Table 12: Proposed Option 5 drill locations ......................................................................................... 20 Table 13: Planned Stage 2 exploration activities .................................................................................. 21 Table 14: Proposed water bore locations ............................................................................................. 22 Table 15: Mineral Resource Estimation ................................................................................................ 28 Table 16: Summary of water bore details selected from Charlotte sub project area .......................... 31 Table 17: Summary of water bore details selected from Bluebush sub project area .......................... 33 Table 18: Threatened species identified from EPBC Protected Matters search .................................. 35 Table 19: EPBC Act Protected Matters Report of Invasive Species for Chandler Project ..................... 35 Table 20: Identification of Environmental Aspects and Impacts .......................................................... 40 Table 21: Guide to severity classification ............................................................................................. 43 Table 25: Progress summary of rehabilitation activities ...................................................................... 45 Table 23: Station Numbers and GPS locations Zone 53 GDA94 ........................................................... 49 Table 24: location of water monitoring and production bores (completed 2015) ............................... 50 Table 26: Rehabilitation activities, schedule, objectives and monitoring ............................................ 55

Figures Figure 1: Organisational Structure .......................................................................................................... 2 Figure 2: Regional Location .................................................................................................................... 3 Figure 3: Historic tenements covering Bluebush Sub Project Area ........................................................ 4 Figure 4: Historic tenements covering Charlotte Sub Project Area ........................................................ 6 Figure 5: Seismic data coverage and location of Petroleum wells within Tellus Project area ................ 7 Figure 6: Current Petroleum Exploration Permits .................................................................................. 9 Figure 7: Location of Stage 1 exploration activities .............................................................................. 10 Figure 8: Water bore drill location ........................................................................................................ 13 Figure 9: Location of proposed Stage 2 Exploration Activities – option 1 ............................................ 16 Figure 10: Location of proposed Stage 2 Exploration Activities – option 2 .......................................... 17 Figure 11: Location of proposed Stage 2 Exploration Activities – option 3 .......................................... 18 Figure 12: Location of proposed Stage 2 Exploration Activities – option 4 .......................................... 19 Figure 13: Location of proposed Stage 2 Exploration Activities – option 5 .......................................... 20 Figure 14: Regional Geology over the Chandler Project area ............................................................... 27 Figure 15: Correlation of Chandler salt between historic petroleum wells (from Young 2007) ........... 28 Figure 16: Interpreted Extent of Chandler Salt Formation across the project area ............................. 28 Figure 17: Location of ore resource ...................................................................................................... 29 Figure 18: Location of selected water bores Charlotte Sub Project ..................................................... 30 Figure 19: Location of selected water bores Bluebush sub project ...................................................... 32 Figure 20: EPBC Act Protected Matters Report search boundary for Chandler Project ....................... 34 Figure 21: Location of installed hydrographic stations ......................................................................... 50 Figure 22: Location of completed and proposed water bores in relation to exploration activities ..... 52

Appendices Appendix 1: Petroleum Well Location details

Appendix 2: Permission from Landholder to use water bores

Appendix 3: AAPA Abstract of Records

Appendix 4: Drill Program Checklists

Appendix 5: Chemical Spills Emergency Procedure

Appendix 6: Form CF7-001 Notification of Environmental Incident

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ABBREVIATIONS AND GLOSSARY

AAPA Aboriginal Areas Protection Authority

AHD Australian Height Datum

CLC Central Land Council

DLPE Department of Lands Planning and the Environment

DLRM Department of Land Resource Management

DME Department of Mines and Energy (NT)

EAA Environmental Assessment Act (NT)

EL Exploration licence for minerals

EP Exploration permit (petroleum)

EIS Environmental Impact Statement

EMP Environmental Management Plan

EMS Environmental Management Systems

EPBC Act Environment Protection and Biodiversity Conservation Act (Commonwealth)

GDA Geocentric Datum of Australia

GPS Global positioning system

JSEA Job safety environmental analysis

MGA94 Map Grid of Australia 1994

MMA Mining Management Act (NT)

MMP Mining Management Plan

MSDS Material Safety Data Sheets

NaCl Sodium Chloride

NTGS Northern Territory Geological Survey

RAB Rotary air blast drilling method

ROI Radius of influence

RL Reduced Level (based on AHD)

RMP Risk management plan

SEWPaC Department of Sustainability, Environment, Water, Population and Communities

SSCC Sacred site clearance certificate

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AMENDMENTS

In accordance with section 41(3) of the Mining Management Act, an MMP reviewed and amended under section 41(1) is to clearly identify amendments made.

1.0 Operator details Updated text and contact details

1.1 Organisational Structure Updated text 1.2 Workforce Updated text 2.0 Project Details Remove mining interests L29017, EL29019 2.1.3 Updated text 2.2 Added section 2.3 Current Exploration Status Added section 2.3.5 2.2.5 Removed text 2.3 Proposed Activities Updated text and table 13 (proposed exploration

2.5 Field Schedule Updated text section 2.5 (proposed exploration dates) 2.5.1 Updated text 2.6 Site Infrastructure and Location Updated text section 2.6.1 (camp details) 3.3 Vegetation, Flora and Fauna Updated text section 3.3.3 ( 3.5 Historical, Aboriginal, Heritage Sites Updated text section 3.5.2 4.0 Environmental Management System Updated text section 4.0 4.2 Statutory Requirements Updated text 4.4 Identified Stakeholders and Consultation Updated text 4.8 Environmental Audits and Inspections Updated text 5.0 Environmental Management Plan Updated 5.1.1 (survey updated in 4th paragraph and

under “Planning Activities” added words AWS was installed. Under 5.1.2, information on groundwater monitoring

5.3 Flora and Fauna Management Updated text 5.5 Noise and Air Quality Management Updated text 6.0 Exploration Rehabilitation Updated information on the exploration rehabilitation

(1st paragraph). Table 25 – updated information on monitoring and remediation.

6.1 Costing of Closure Activities Updated text, removed table 7.0 Performance Objectives Updated text (fourth renewal) and updated the

Central CLC and Council as a key consultee.

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1 OPERATOR DETAILS

Tellus Holdings Ltd is an infrastructure project development company with a proposed dual revenue business model. This involves mining the commodities salt and kaolin and backfilling the voids left from mining with equipment, archives or long term temporary storage or isolation of waste. Tellus’ business model mirrors world’s best practice solutions operating in the UK, Europe, USA and Canada. Tellus is developing the Chandler salt mine project in the Northern Territory and the Sandy Ridge kaolin mine project in Western Australia. Tellus' flagship Chandler Project was awarded Major Project Status by the Northern Territory Government.

Tellus is a private company established in July 2009 with its head office in Sydney, NSW and a project office in Perth, WA and plans to open up a project office in the NT. Tellus works closely with a consortium of specialist companies with salt expertise from Australia, USA and Canada.

Address: Suite 2, Level 10, 151 Castlereagh Street, Sydney, NSW, 2000 Telephone: +61 2 8257 3395 Fax: +61 2 8233 6199 Email: [email protected] Website: www.tellusholdings.com

Contact: Richard Phillips Environment and Approvals Manager

Telephone: +61 2 8257 3395 Email: [email protected]

1.1 Organisational Structure Tellus management and their consultants will directly undertake and/or supervise all aspects of research, field investigations and logistics over the licences (Figure 1). Sub-contractors familiar with the area and working on Aboriginal Land will be used as required, but will be under the supervision of experienced senior personnel.

mailto:[email protected]

http://www.tellusholdings.com/


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Figure 1: Organisational Structure

1.2 Workforce Geological and groundwater investigation programs will be conducted under the supervision of Tellus Senior Geologist. Clearing for drill pads and sumps is expected to be carried out by a local contractor or pastoralist. It is expected that 2 geologists, 2 field assistants and up to 6 drillers will be engaged on the drilling program. Field crews are expected to rotate on a 3 weeks: 1 week roster. There will be Tellus staff (or representative) 4WD vehicles and up to two contractor 4WD support vehicles and trucks. Wireline logging crew will consist of 2 technicians and 1 logging truck. It is planned that 1-2 Tellus company representatives will visit the site at various times during the field program.

Environmental surveys will be conducted by various consultants under the direction of Tellus Environment and Approvals Manager. Surveys will include flora and fauna, hydrological, hydrogeological as part of ongoing EIS baseline work.

Tellus Holdings Ltd

Managing Director Duncan van der

Merwe

Senior Geologist Jaime Livesey

Environment & Approvals Manager

Richard Phillips

Contracted Site supervisor

Contracted Field technician

Contractors

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2 PROJECT DETAILS

2.1 Overview Table 1: Project details

Project Name: Chandler Project Sub project Charlotte Location: South of Alice springs Site Access: From Alice springs, follow Old south Road to Maryvale station, then

Chambers Pillar Road and station tracks Mining Interests: MLA30612, EL27972, EL27974, EL28900, EL29018 Title Holder: Tellus Holdings Ltd Sub project Bluebush Location: South of Alice springs Site Access: From Alice springs, follow Old South Road to Rodinga, and then station

tracks connecting bores to Magellan Bore Mining Interests: EL27971 Title Holder: Tellus Holdings Ltd

Figure 2: Regional Location

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2.2 Changes to tenure Tellus relinquished tenements EL29017 and EL29019 in full. No ground activity causing disturbance was conducted within the area, therefore no rehabilitation was required.

2.3 History of Previous Exploration Activities

2.3.1 Bluebush Sub Project

The area covered by EL27971 has been included all or in part by three previously held Exploration Licences (Figure 3). Initial exploration in the late 1970’s targeting uranium. Subsequent exploration in the area has been focused on potash mineralisation within the Chandler and Gillen salt formations.

Alcoa EL1771 Exploration for sandstone-type uranium mineralisation. The potential of two stratigraphic horizons; the Hermannsburg sandstone and Brewer Conglomerate were tested by drilling. Results were not encouraging and the tenure was relinquished.

Tyson Resources EL23773 Tyson Resources considered the Chandler salt a potential target for potash mineralisation, based on high bromine levels within the salt; which is a positive indicator for the presence of potash salts. In order to test further, they proposed drilling of three deep drillholes, however lack of availability of a suitable drilling rig, led to the tenement being surrendered.

Reward Minerals EL25960 Exploration for potash within the Chandler Formation. Potential for large flat-lying Canadian type potash deposits as well as diaper related European-style Potash deposits. Drill targets were selected, but no drilling companies with deep drilling capabilities were available. The tenement was relinquished.

Figure 3: Historic tenements covering Bluebush Sub Project Area

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2.3.2 Charlotte sub project

Initial exploration in the area was targeting diamonds and base metals; this was followed by uranium and most recently potash. The location of historic tenements in relation to Tellus tenure is shown in Figure 4.

Wandaroo Mining Corporation / Le Nickel (Australia) Exploration EL747

Regional exploration program aimed at defining the geological setting of the area, the structure and the potential for uranium mineralisation. A photo-geological study, geological mapping and airborne magnetics survey were completed with follow up ground reconnaissance.

CRA Exploration EL 5879 EL6949 EL6950 EL6952

Detailed aeromagnetic and radiometric surveying identified twelve magnetic anomalies. Follow up helimagnetic surveying and loam sampling was completed. Sampling results were negative, only one chromite recovered and considered of low interest. Outcropping ironstone was considered a potential target for base metal mineralisation and was tested by drilling to 14m. The ironstone was found to be a surficial cap on well worked alluvial sands. CRA considered that diamond and base metal potential of the area was adequately tested and no further exploration justified.

CRA Exploration EL6952

CRA was targeting diamonds over EL6952. Interpretation of magnetic data highlighted one area for follow up. Aeromagnetics-radiometric survey was flown over the target area and loam sampling completed. Lack of further anomalous features and negative loam sampling led to surrender of tenement.

Benger EL8304

Diamond exploration with a single loam sample collected returning negative results.

CRA Exploration / Rio Tinto EL9339

Exploration over four tenements targeting sediment hosted copper mineralisation. Activities included steam sediment, rock chip and soil sampling. Initial results were encouraging and led to a RAB drilling program. Although results included several low order anomalies, it was concluded that there was little potential for significant base metal mineralisation.

Northern Mining EL24503

Part of Northern Mining’s regional Finke Project in Central Australia, considered prospective for massive stratiform manganese and sandstone-hosted and Tertiary remobilised uranium mineralisation. A field visit was undertaken, no evidence of mineralisation was identified and the tenement was relinquished.

Nova Energy / Toro Energy EL25050

Toro Energy and subsidiary Nova Energy targeted sedimentary redox related uranium deposits in the upper Devonian Finke Group sediments. A comprehensive desktop study was completed, followed by

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helicopter assisted reconnaissance. The company planned to follow up with a RAB drilling program however ongoing access problems with Idracowra Station, led to the tenements being surrendered.

Red Gum Resources EL26433

The company had financial issues resulting from the global financial crisis. No field work was completed and tenure relinquished.

Rum Jungle Uranium Limited EL27048

Exploration was part of regional project targeting subsurface potash. Research into potential drill targets in the Chandler Formation and Gillen Formation were completed. Thirteen samples of drill cuttings from petroleum well Magee1 were assayed to determine if potash was present in the Chandler Formation or Gillen Formation. Results were not positive, which led to the conclusion that either the Chandler Formation at this location is not rich in potassium or maybe the potassium was dissolved by drilling fluids and fresh water whilst the well was being drilled.

Rum Jungle Uranium Limited were unsuccessful in attracting a joint venture partner, so they were unable to continue with the seismic and deep drilling required to test the potash potential of the Chandler and Gillen Formations. Rum Jungle Uranium Limited relinquished the tenure in order to concentrate on other projects.

Figure 4: Historic tenements covering Charlotte Sub Project Area

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2.3.3 Petroleum exploration over the Chandler Project Area

Historic petroleum exploration over the Amadeus basin has included numerous seismic surveys and completion of petroleum wells, as shown on figure 5. Five wells are located in close proximity to Tellus tenure and have been assessed in desktop studies. A summary is included in Table 2 and location information included in Appendix 1.

Table 2: Selected historic petroleum wells within Tellus Chandler Project area

Well Name Tenement holder Year Depth (m) Hydrocarbon

Shows Ooraminna 1 Magellan Petroleum 1963 1858.36 Gas Mount Charlotte 1 Finke Oil Company 1965 2116.22 Minor gas Erldunda 1 Exoil Pty Ltd 1965 1665.12 Dry Bluebush 1 Magellan Petroleum 1983 2090.00 Dry Magee 1 Pacific Oil & Gas 1992 2395.80 Gas

Figure 5: Seismic data coverage and location of Petroleum wells within Tellus Project area

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Magellan Petroleum Pty Ltd

The Ooraminna No 1 Well was the first oil exploratory test to be drilled in the Amadeus basin, drilled as a stratigraphic and structure test of the Ooraminna anticline. The well was spudded on the 24th February 1993; a small flow of methane gas was established in a drill stem test from the Proterozoic Areyonga Formation and abandoned in salt as a dry hole at 1858.36m on 11th June 1963 (Panalp, 1963).

Finke Oil Company Pty Ltd

Exploration conducted in the 1960’s included 2D seismic surveys over Mt Charlotte and Finke River project areas and drilling of Mt Charlotte 1 well. At the time of exploration, no previous drilling for oil had been carried out in the Rodinga-Finke area, with the nearest test well being Ooraminna 1. The Mt Charlotte 1 well was drilled as a stratigraphic and structure test of the Mount Charlotte anticline, with objectives to establish the stratigraphic succession at this location and to test for any accumulation of hydrocarbons.

The well was spudded on 12 December 1964 and plugged on 6th February 1965, with a final depth of 2116.2m (6943 feet). Throughout drilling of the well, the hole condition was generally good. Ditch cuttings were collected at 10 foot intervals during drilling and 5 foot intervals while coring. Twenty-six intervals were cored with overall core recovery of 72%.

The intermediate casing was perforated between 469.39-470.92m (1540-1545 feet) for conversion to a water well. While penetrating the Bitter Springs Formation, some gas shows were encountered (McTaggart et al, 1964).

Exoil Pty Ltd

Exoil ran a 2D seismic survey in 1964 which led to the drilling of the Erldunda No 1 Well which was drilled as a stratigraphic and structural test of a seismically defined anticline near the southern margin of the Amadeus basin. The well was spudded on 20th June 1965 and abandoned as a dry hole at 1665.12m on the 21st July 1965. The only hydrocarbons encountered were slight traces of cuttings gas and residual hydrocarbon (Pemberton, 1966).

Magellan Petroleum

Magellan carried out the Camel Flat seismic survey in 1981. The seismic results defined a large salt cored structural trap, with potential reservoir sands of the Arumbera sandstone closed by a thick Chandler Formation salt sequence. The Bluebush 1 well was drilled to test the feature, spudded on 10th May 1983, reaching a total depth of 2090m. Results were unfortunate with no hydrocarbon shows, the Arumbera sandstone was not present and the Chandler salt Formation was thicker than anticipated. The well was plugged and abandoned on 19th June 1983 (Bell, 1983).

Pacific Oil and Gas

A significant exploration program in the south eastern Amadeus Basin was undertaken by Pacific Oil and Gas between 1988 and 1992 (Young 2004). The Depot Hill Seismic Survey (1991) was undertaken over the region, including in the Mount Charlotte area. Two wells; Murphy 1 and Magee 1 were drilled to test sub-salt Heavitree Quartzite play.

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Magee 1 was spudded on 22nd September 1992 and reached a total depth of 2395.8m on 14th October 1992. Chip samples were caught, no core samples were collected.

A gas flow was noted while drilling the Heavitree quartzite. The zone achieved stable flow at 63.1 Mscfd at a surface flowing pressure of 38psi. The gas produced had a very high component of Nitrogen and Helium. The productive zone was thin and the flow rate was low, the well was considered to be non-commercial. The gas and water zones were plugged with cement and the uppermost water zone perforated as a water source for the pastoralist (Wakelin-King 1992).

Central Petroleum

Central Petroleum currently holds significant acreage over the Amadeus Basin with several petroleum permits within the Chandler project area (Table 3, Figure 6). In 2008 Central Petroleum completed an extensive 2D seismic program, which included 14 seismic lines covering 670kms, over the Charlotte Project area (refer to Figure 5).

Table 3: Current Petroleum holders

Title Holder Contact EP82 HELIUM AUSTRALIA PTY LTD CENTRAL PETROLEUM LIMITED EP105 MERLIN ENERGY PTY LTD CENTRAL PETROLEUM LIMITED EP112 FRONTIER OIL & GAS PTY LTD CENTRAL PETROLEUM LIMITED EP125 ORDIV PETROLEUM PTY LTD CENTRAL PETROLEUM LIMITED

Figure 6: Current Petroleum Exploration Permits

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2.4 Current Exploration Status

2.4.1 Exploration by Tellus Holdings 2010-2011

Exploration activities by Tellus included initial assessment of open file geochemical and geophysical data, detailed review of petroleum well data, seismic interpretation and modelling, geochemical analysis and mineralogical investigation of core samples from previously drilled petroleum wells.


During this period Tellus signed an exploration agreement with the Central Land Council on behalf of traditional owners and completed the project prefeasibility study. Tellus commissioned RPS Group Canada to review available 2D seismic survey data and assess the extent of salt within the Chandler Formation. A geological and geotechnical assessment of the project area was conducted to assist with drill planning; in consultation with Douglas Partners Pty Ltd.


Tellus conducted a drilling program during November 2013 to January 2014. The aim of the program was to confirm depth and thickness of the chandler salt formation. CH003 was drilled first to a depth of 843m. CH001 was attempted but at 42m encountered drilling problems so the hole was terminated at that depth. The rig was repositioned and CH001A was drilled to 1094m. A downhole wireline survey was run on CH001A. On completion holes were fully cemented.

Figure 7: Location of Stage 1 exploration activities

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Table 4: Completed activities 2013-2014

Mining Interests (i.e. titles) EL29018 Comments

Number of holes drilled 3 Blow out preventers (BOP) were in place during drilling. No gas was encountered.

Maximum depth of holes 1094m

Number of drill pads cleared (Length: x Width: m)

2 (50x50m)

Number of sumps cleared (Length: x Width: x Depth:

m)

6 (6m x 3m x 2m)

Length of line / track cleared (Kilometres: x Width: m)

1.6km x 4m Track from CH001 to CH003 will be used in subsequent programs and to check rehab of drill sites

Number of costeans excavated (Length: x Width: x Depth: m)

0

Total bulk sample pits excavated (Length: x Width: x Depth: m)

0

Camp area/s cleared 50m x 50m Halfway Dam area, minimal clearing was required. Septic tank remained on site with permission of landholder to be used in next program.

Total area disturbed (hectares) 1.4 ha

Drill holes capped / plugged 3 CH001 backfilled. CH001A, CH003 cemented to near surface. Drillhole location marked with star picket. Poly- casing above surface to check hole condition. Casing to be cut below ground surface after site surveying complete.

Total area rehabilitated (hectares) 0.75 ha rehabilitation in progress

Track to be used for ongoing access and not rehabilitated at this stage, with permission from landholder.

Table 5: Stage 1 drillhole locations completed 2013-2014

Project Sub Project Tenure Hole_ID MGA94_E MGA94_N Depth Chandler Charlotte EL29018 CH003 392510mE 7258499mN 843.54m

Chandler Charlotte EL29018 CH001 393461mE 7257512mN 42m Chandler Charlotte EL29018 CH001A 393461mE 7257512mN 1094.66m

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Mineral Exploration

No mineral exploration was conducting during this period.

Geotechnical Drilling

No geotechnical drilling was conducting during this period. Data was gathered from the water investigation drilling program to support mining planning and feasibility studies.

Water Investigation

Tellus completed a water investigation drilling program during this period. The aim of the program was to gather baseline groundwater information to support the EIS and to provide data to support feasibility geotechnical and mine planning studies. Holes were located to provide maximum information for both EIS and mine planning purposes.

Drilling was conducted by NT licensed driller Paul Juett of Diverse Drilling. Six water investigation bores were drilled with wireline data was collected from 5 holes. Bores were completed as ongoing monitoring holes. Two production investigation bores were drilled, holes were cased with lower section left open for observation. Production testing will be conducted in the next field program.

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Figure 8: Water bore drill location

Table 6: Water investigation drillhole summary

Project Sub Project Tenure Hole_ID MGA94_E MGA94_N Depth Chandler Charlotte EL29018 WT1 392507 7258491 201 Chandler Charlotte EL29018 WT2 392519 7258476 120 Chandler Charlotte EL29018 WT3 392976 7255631 366 Chandler Charlotte EL29018 WT4 395943 7256291 290 Chandler Charlotte EL29018 WT5 394168 7256478 180 Chandler Charlotte EL29018 WT6 393693 7257560 306 Chandler Charlotte EL29018 PB1 392499 7258504 216 Chandler Charlotte EL29018 PB2 393130 7255610 330

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Table 7: Completed activities

Mining Interests (i.e. titles) EL29018 Comments

Number of holes drilled 8 6 water investigation bores, 2 production investigation bores

Maximum depth of holes 366m

Number of drill pads cleared (Length: x Width: m)

4 (20x10m)

Existing cleared areas used where possible. 4 new drill pads cleared.

Number of sumps cleared (Length: x Width: x Depth:

m)

0 (6m x 3m x 2m)

Length of line / track cleared (Kilometres: x Width: m)

2.5km x 4m 2.5km new track cleared. Previous cleared track from CH001 to CH003 will be used in subsequent programs and to check rehab of drill sites

Number of costeans excavated (Length: x Width: x Depth: m)

0

Total bulk sample pits excavated (Length: x Width: x Depth: m)

0

Camp area/s cleared 50m x 50m Halfway Dam area, minimal clearing was required. Septic tank remained on site with permission of landholder to be used in next program.

Total area disturbed (hectares) 1.3 ha

Drill holes capped / plugged 8 Converted to ground water monitoring bores, bore locking cap installed for ongoing monitoring of bore

Total area rehabilitated (hectares) 0.6 ha rehabilitation in progress

Tracks to be used for ongoing access and not rehabilitated at this stage, with permission from landholder.

2.4.5 Exploration conducted within 2015-2016 Mineral Exploration

No mineral exploration was conducting during this period.

Geotechnical Drilling

No geotechnical drilling was conducting during this period. Data was gathered from the water investigation drilling program to support mining planning and feasibility studies.

Water Investigation

As part of continuing water production investigation studies, Tellus conducted a 7-day pump test at

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PB1. The test ran from 15-22 December 2016 and was conducted under the supervision of Ride Consulting.

Ongoing monitoring of bores continued to support EIS baseline gathering information.

2.5 Proposed Activities

2.5.1 Stage 2 Activities

Stage 2 exploration activities within EL29018 have been authorised and security paid (authorisation 0689-01 ref M2012/0048). Authorisation has been approved for 15 drillholes, if additional holes required, authorisation will be applied for with an MMP amendment. Tellus are planning to drill 7 of the 15 holes.

The drill program has been designed as a step out program to Stage 1 with two drillholes targeting the halite unit and then further drilling proposed to test the geotechnical suitability of the subsurface for future mine decline development.

Tellus have identified the preferred location of the mine decline and have designed a 6 hole drilling program to test the subsurface along the projected decline.

Based on feedback from stakeholders, option 1 is not considered suitable. The updated preferred decline location is ‘option 3’.

As a contingency four additional decline locations have been identified each with proposed drill hole locations; referred to as option 2-5.

Option 3 is the preferred location and will be drilled in sequence. If the program is successful then no further drilling of alternate options will be undertaken. If at any stage the conditions are unfavourable; option 3 will cease and drillholes along option 2 will be drilled, options 4-5 will only be required if initial options are unsuccessful. Tellus aim to drill the least amount of drill holes necessary to gather required geotechnical information. Tracks and drill pads will be cleared progressively, so that only required tracks and pads will be cleared. Existing tracks will be used where and any clearing will be in consultation with CLC and the Landholder.

Tellus have been approved for 15 drill holes out of the 29 drill holes listed, clearance of access tracks for drilling, clearance of drill pad and sumps at each drill hole site and to set up a temporary camp (using camp site from Stage 1). Existing access tracks will be used where possible to minimize disturbance. Drill holes will be conducted using reverse circulation and diamond drilling methods.

It is noted that the drill hole locations and tracks are on sodic soils and /or steep terrain with associated risk of erosion (ref M2012/0048). Care will be taken when accessing the area to minimize risk of erosion.

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Figure 9: Location of proposed Stage 2 Exploration Activities – option 1

Table 8: Proposed Option 1 drill locations Hole_ID MGA94_N MGA94_E Depth option Type

option 1_P 7,255,160 394,960 0 option 1 Portal CNP04 7,255,180 395,000 126 option 1 P1 CNP05 7,255,250 395,110 126 option 1 P2 CNP06 7,255,480 395,510 129 option 1 P3 CNP07 7,256,030 396,360 259 option 1 S1 CNP08 7,257,350 395,400 501 option 1 S2 CNP09 7,257,550 393,750 800 option 1 S3 CNP10 7,258,500 393,500 940 stage 2 salt CNP11 7,258,000 393,000 940 stage 2 salt

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option 2_P 7,254,310 395,330 0 option 2 Portal CNP12 7,254,380 395,370 133 option 2 P1 CNP13 7,254,480 395,440 136 option 2 P2 CNP14 7,255,020 395,830 150 option 2 P3 CNP15 7,255,760 396,310 269 option 2 S1 CNP16 7,257,170 395,540 498 option 2 S2 CNP09 7,257,550 393,750 800 option 2 S3

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option 3_P 7,256,470 394,230 0 option 3 Portal CNP17 7,256,460 394,300 124 option 3 P1 CNP18 7,256,450 394,420 122 option 3 P2 CNP19 7,256,370 395,120 124 option 3 P3 CNP20 7,256,300 395,940 260 option 3 S1 CNP21 7,257,900 395,570 505 option 3 S2 CNP09 7,257,550 393,750 800 option 3 S3

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Table 11: Proposed Option 4 drill locations

Hole_ID MGA94_N MGA94_E Depth option Type option 4_P 7,253,280 392,570 0 option 4 Portal

CNP22 7,253,320 392,580 128 option 4 P1 CNP23 7,253,520 392,680 142 option 4 P2 CNP24 7,254,100 392,950 143 option 4 P3 CNP25 7,254,760 393,230 239 option 4 S1 CNP26 7,256,100 394,510 510 option 4 S2 CNP09 7,257,550 393,750 800 option 4 S3


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Table 12: Proposed Option 5 drill locations

Hole_ID MGA94_N MGA94_E Depth option Type option 5_P 7,253,230 392,730 0 option 5 Portal

CNP27 7,253,260 392,730 47 option 5 P1 CNP28 7,253,730 392,730 112 option 5 P2 CNP29 7,254,100 392,730 136 option 5 P3 CNP30 7,254,940 392,730 254 option 5 S1 CNP31 7,256,640 392,730 478 option 5 S2 CNP32 7,258,340 392,730 800 option 5 S3

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Table 13: Planned Stage 2 exploration activities

Mining Interests (i.e. titles) EL29018 EL29018 EL27974

What time of the year will exploration occur?

January 2017 – October 2017

January 2017 - October 2017

January 2017 – October 2017

How long is exploration expected to occur? 3-4 months 2-3 months 1-2 months

Type of drilling (i.e. RAB, RC, Diamond, aircore)

RC / Diamond RC RC

Target commodity Halite (geotech) Water bore Water bore

Is drilling likely to encounter radioactive material?

no no no

Number of proposed drill holes 7 7 3

Maximum depth of holes 940m 500m 500m

Number of drill pads (Length: x Width: m) 7 (10x20m) 7 (10x10m) 3 (10x10m)

Is drilling likely to encounter groundwater? (Y, N, unsure)

Y Y Y

Number of sumps (Length: x Width: x Depth: m)

14 (2x1.5x1.5m) 0 0

Length of line / track clearing (Kilometres: x Width: m)

3.5km x 4m 1km x 4m 0.75km x 4m

Number of costeans (Length: x Width: x Depth: m)

0 0 0

Total bulk sample (tonnes) (Length: x Width: x Depth: m)

0 0 0

Will topsoil be removed for rehabilitation purposes?

Y Y Y

Previous disturbance yet to be rehabilitated on title (ha) if known

1.8 Ha 0 0

Camp (Length: x Width: m) 50x50m Halfway Dam

Halfway Dam Halfway Dam

Total area disturbed (hectares) 0.16 Ha 0.xx Ha 0.xx Ha

Other: 0 0 0

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2.3.3 Water bore drilling

Under current MMP authorisation (0689-01v2) Tellus plan to drill additional 10 water bores to gather additional information and then convert either to monitoring bores or production investigation bores for ongoing groundwater monitoring and pump testing. Seven bores will be located in EL29018 and three bores proposed within EL27974. Permission from pastoralist will be confirmed prior to field activities taking place.

Table 14: Proposed water bore locations

Bore Type ID Easting Northing GDA94 MGA z53 GDA94 MGA z53

Monitoring Bore MB7 395632 7257628 Monitoring Bore MB8 394316 7256129 Monitoring Bore MB9 393986 7259603 Monitoring Bore MB10 393730 7257116

Investigation Bore BF1 385612 7258652 Investigation Bore BF2 385868 7258726 Investigation Bore BF3 386106 7258799 Investigation Bore RS1 367217 7262127 Investigation Bore RS2 367436 7262602 Investigation Bore RS3 367656 7262200

2.4 Target minerals The main target is halite and associated trace minerals.

2.5 Field Schedule Field activities are expected to take place between January 2017 to October 2016, dependent on weather and contractor availability. If delays are encountered activities will be carried out late 2017. The drilling program will take approximately 2-4 months to complete. Diamond drilling will be carried out as two 12 hour shifts on a 7 day / week basis. RC Drilling will be carried out as 10 hour shifts, on a 2 week campaign basis until the contract is completed. Rehabilitation will commence as soon as the drilling is completed and will take 1-2 days to complete at each site.

2.6 Site Infrastructure and Location

2.6.1 Charlotte Sub-Project

A temporary camp is set up at Halfway Yard. The camp area covers approximately 50m2. The ground has been cleared and levelled to ensure safe camp area; it will be scraped back with topsoil stockpiled for rehabilitation. The camp infrastructure comprises a 10-man temporary camp, leased from NT Link. The camp

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comprises 5 converted shipping container style dongas, which includes toilet and ablutions, one kitchen van, and sleeping quarters. Electricity is provided by a portable generator.

Potable water will be sourced from the pastoralist or brought in from Alice Springs. Water for domestic and drilling purposes will be sourced from station bores (RN010969, RN010970; refer to Figure 18 for location) using a small portable tank and pump. The pastoralist has given written permission for Tellus to use the water bores (Appendix 2).

Waste water will be drained to a soakage pit. The pit will be located within the camp area at a suitable distance from the kitchen and ablution block, in an area that is not used for access. The pit will be approximately 2m length by 1m wide and sloping to 1m final depth. The topsoil and subsoil will be stockpiled separately. The pit will be fenced with barrier mesh. On completion of camp activities, the soakage pit will be left to dry and then backfilled with the stockpiled subsoil and topsoil, this will occur before the onset of the next wet season.

All domestic waste will be stored in covered containers and then removed from site on a regular basis. Waste will be disposed of at the Alice Springs Town Council's Landfill in Commonage Road, Alice Springs.

On completion of camp activities, all equipment and infrastructure will be removed. All waste will be removed and disposed of at the Alice Springs Town Council's Landfill. Earth and overburden that was excavated from the camp area, will be pushed, raked or pulled back over. The stockpiled top soil will be respread over the camp area. The site will be rehabilitated to as near original condition as possible.

2.6.2 Bluebush Sub-Project

A temporary camp will be set up at Magellan bore (refer to Figure 19). The camp area will cover approximately 50m2. The ground will be cleared and levelled to ensure safe camp area; it will be scraped back with topsoil stockpiled for rehabilitation. The camp infrastructure will comprise a toilet and ablution van, one kitchen van, sleeping quarters will be in two ATCO donga. Electricity will be provided by a portable generator.

Potable water will be brought in from Alice Springs. Water for domestic and drilling purposes will be sourced from station bores (RN013360, RN014574; refer to Figure 19 for location) using a small portable tank and pump. Written permission for Tellus to use the bores will be requested from the pastoralist prior to use.

Waste water will be drained to a soakage pit. The pit will be located within the camp area at a suitable distance from the kitchen and ablution block, in an area that is not used for access. The pit will be approximately 2m length by 1m wide and sloping to 1m final depth. The topsoil and subsoil will be stockpiled separately. The pit will be fenced with barrier mesh. On completion of camp activities, the soakage pit will be left to dry and then backfilled with the stockpiled subsoil and topsoil, this will occur before the onset of the next wet season.

All domestic waste will be stored in covered containers and then removed from site on a weekly basis. Waste will be disposed of at the Alice Springs Town Council's Landfill in Commonage Road, Alice Springs.

On completion of camp activities, all equipment and infrastructure will be removed. All waste will be removed and disposed of at the Alice Springs Town Council's Landfill. Earth and overburden that was excavated from the camp area, will be pushed, raked or pulled back over. The stockpiled top soil will be respread over the camp area. The site will be rehabilitated to as near original condition as possible.

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2.7 Transportation and Site Access Primary access from Alice Springs to the Chandler Project area is via the Old South Road. The Bluebush sub-project area is accessed from the eastern turnoff at Rodinga and then station tracks connecting bores to Magellan Bore. The Charlotte Sub-project is accessed from the western turnoff at Maryvale Homestead, along the Chambers Pillar road and then on well-formed station bore service tracks to Halfway yard and Danny Whites Yard.

Temporary warning signs will be erected advising the public of the exploration work in progress.

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3 CURRENT SITE CONDITIONS 3.1 Geology The project area lies within the Amadeus Basin which is a large asymmetrical, east-west trending intracratonic depression with sequences of sedimentary rocks up to 14km thick. The stratigraphy within the project site area has been well defined from drilling of petroleum wells Mt Charlotte 1, Magee 1, Erldunda 1 and Bluebush.

3.1.1 Geological Characterisation

The Musgrave block forms the metamorphic basement sequence consisting of gneiss and biotite schist. This is overlain by a thin shale unit, followed by the Upper Proterozoic Heavitree Quartzite, which is predominantly a massive bedded sandstone.

The Bitter Springs Formation is divided into two units; the Loves Creek Member and the Gillen Member. The Gillen Member is divided into 3 informal units based on seismic character; the ‘lower Gillen Section’ is predominantly dolomite with interbedded minor anhydrite. This is overlain by the ‘Gillen Salt Section’ a massive halite unit with massive anhydrite and interbeds of dolomite and siltstone. The ‘upper Gillen section’ consists of thinly Interbedded dolomite, siltstone, anhydrite and sandstone. The Loves Creek Member unconformably overlies the Gillen Member. The unit consists of dolomite, red siltstone and sandstone, with occasional chert fragments.

The Bitter Springs Formation is overlain by the Pertatataka Formation. This formation is predominantly red and green siltstone, shale and felspathic sandstone.

The base Cambrian unconformity is overlain by a silty, sandstone unit which in some cases has been interpreted as the Arumbera Sandstone. Following this is the Chandler Formation; an evaporitic sequence containing massive halite and thin siltstone and dolomite units.

Overlying the Chandler Formation is the Cambrian Jay Creek Limestone a predominantly siltstone unit with thin interbeds of sandy anhydritic dolomite and rare sandy layers. This is overlain by the Stairway sandstone, a clean fine to medium grained sandstone with interbedded siltstone and shale.

Further sandstone units were deposited and have been interpreted as either Pertnjara Group, Finke Group or the Santo Sandstone. Current surface consists of quaternary undifferentiated sands (Figure 14).

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Figure 14: Regional Geology over the Chandler Project area

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Figure 15: Correlation of Chandler salt between historic petroleum wells (from Young 2007).

Figure 16: Interpreted Extent of Chandler Salt Formation across the project area

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3.1.2 Outline of Ore resource

Tellus has a JORC compliant Measured Resource estimate for its Chandler Salt Project, completed by Ercosplan, Germany (Table 15). The Measured Resource estimate of sodium chloride (NaCl) is 309 Mt, Indicated Resource is 1,128 Mt and the Inferred Resource is 3,103 Mt (Ercosplan, 2014).

Table 15: Mineral Resource Estimation

Drill hole

Category

Area (km2)

Thickness (m)

Density (g/cm3)

NaCl Grade (%)

NaCl Tonnage (Mt)

CH001A Measured 0.64 245.68 2.24 88.56 309.43

CH001A Indicated

1.74 245.68 2.23

88.64

1,128.63

CH003 2.37 60.32

CH001A Inferred

5.12 245.68 2.23

88.64

3,103.80

CH003 5.12 60.32

Figure 17: Location of ore resource

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3.1.3 Soil description

The soil types in the project area are predominantly rudosols in the north east, comprising unconsolidated red sand (rudosols) which form dunes. Rudosols usually have poor profile development (e.g. no organic or defined root layer). The soils in the south west are predominantly tenosols, having weakly developed profile, which is typically very sandy without obvious horizons.

The Maryvale hills comprise sodosols, which are red duplex sands. Sodosols have a strong texture contrast between surface and subsoil horizons and the subsoil horizons are sodic. Kandasols and calcarosols also occur within the project area (refer to Appendix3).

3.1.4 Topography

The Chandler project area has elevation ranging from 350m AHD in the south and approximately 450m in the north. Several broadly north-east south-west trending ranges occur in the area, including Charlotte Range and Maryvale Hills in the Charlotte subproject area and Rodinga Ranges in the Bluebush subproject area.

The Charlotte range reaches maximum height of 611m AHD at Mt Charlotte and the Maryvale Hills reach elevations around 450m AHD. The land slopes gently towards the Finke River to the south. Magee 1 and Mt Charlotte 1 wells are located at approximately 370m AHD and 402m AHD, respectively. The ground surface is predominantly characterised by quartz sands which are shaped by the wind into dunes with an average height of 6m.

The Rodinga Range has elevation of approximately 350m to 500m AHD in the Bluebush subproject area. Sand dunes lie north and south of the range, reaching heights of approximately 11m on the north and 6m on the south.

3.2 Hydrology

3.2.1 Surface water

The Charlotte sub project area is part of the Finke River surface water management system and part of the Lake Eyre drainage division. The Finke River lies 1.4km to the south of the EL27972, with its headwaters in the McDonnell Ranges to the north west of the subject land. The Finke River is internally draining and flows to the western edge of the Simpson Desert in northern South Australia and in extreme events, to Lake Eyre. The Hugh River joins the Finke River to the south east of the subject land and has its headwaters to the north and east of the subject land (James Ranges, Missionary Plain and MacDonnell Ranges). The Finke River is often dry, with flooding during storm events.

3.2.2 Groundwater systems

The Charlotte and Bluebush sub project areas do not lie within a water control district. They fall within the south eastern groundwater system of the Amadeus basin which is characterised by geological folding and faulting which has resulted in the development of a regional fractured rock aquifer. The Charlotte and Bluebush sub project areas are located within a shallow fractured rock aquifer that is separate and down gradient of the important Mereenie Aquifer which hosts the water supply for Alice Springs. Due to low annual rainfall, groundwater represents the only consistent water source. The groundwater is typically saline yielding 5-10 L/s (DLRM maps).

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The Santa Teresa subproject lies within Water Control District 6 and located within a fractured weathered rock aquifer with some intergranular porosity. The groundwater supply is listed as good to fair with yield 2.5 to 5.0 L/s (DLRM maps).

3.2.3 Water Bores

Charlotte Subproject

Fifteen water bore locations are recorded within an approximate 10km radius of EL27972 (figure 11). The bores have relatively low yields and are currently either not in use, or are used by Maryvale Station for watering cattle (Table 16). The proposed drilling program requires approximately 5000L of water initially for circulation while drilling, if circulation is lost during drilling, this will need to be replaced. Drilling water can be poor quality, preferably saline. Two waterbores have been selected to provide water for the drilling program RN010969 (Halfway Bore) and RN010970 (Mt Charlotte No 1 Oil Well). RN010969 was originally constructed to provide drilling water for oil exploration well; it was drilled to a total depth of 152.4m. Groundwater yield was not supplied; however the basal Langra formation can have good supplies of saline water. RN010970 was drilled as an oil exploration well to 2116.8m, high yielding aquifers were encountered in this bore, however they were all saline with water analysis results classify the water as unsuitable for human or stock consumption.

Figure 18: Location of selected water bores Charlotte Sub Project.

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Table 16: Summary of water bore details selected from Charlotte sub project area

BORE_NO BORE_NAME STATUS USE WATER LEVEL

YIELD DRILL DEPTH

COMP DATE

RN001387 HAYES WELL. FLOODED OVER 4.2 KM SSE OF RED BANK RN446

NOT IN USE

Farming - - 30.5 -

RN003287 HAYES-WELL BORE. ABD. NO TRACE WAS ADJ TO WELL

- Farming - - 42.7 -

RN003307 (DUD) SALT APX 8KM(SE)OF DANNY WHITES YRD

NOT IN USE

None - - 61 -

RN003309 (DUD) BORE. 5.5KM (NE) OF KILSIQUANA YRD

NOT IN USE

Farming - - 21.3 -

RN003311 (DUD) APX 10KM (S) OF D/WHITES YARD.

NOT IN USE

Farming 9.1 0.1 0 -

RN003348 HAYE'S WELL.NO2. NO TRACE 100YDS (N) OF HUGH RIVER.

NOT IN USE

Farming 15.2 - 15.8 -

RN004623 ERICS MT CHARLOTTE.NO CASING 340m (WNW]CHARLOTTE RN 109

NOT IN USE

Farming 64 0.2 161.5 5/09/1964

RN010082 A37/18 EIGHTY FOUR U/S 13KM (SW) OF ROBINSONS DAM.

- Mon (baseline)

73.1 0.8 106.7 28/04/1971

RN010969 HALFWAY BORE EXOIL WATER BORE 11.3K (N)OIL WELL RN10970

NOT IN USE

None - - 152.4 4/09/1964

RN010970 MT CHARLOTTE No1 OIL WELL. SALT APX 9KM (SE) OF RN10969

NOT IN USE

Farming 126.5 0.1 2116.8 6/02/1965

RN014584 A 37/31 84/REPLACEMENT 400M (W) OF RN10082.

- Farming 88.4 0.8 120 19/10/1985

RN014585 A 37/30 DUD 7.7KM BY ROAD (SSE) OF DAM.

NOT IN USE

None - - 150 20/10/1985

RN015833 A37/35 HAYES WELL REPLACEMENT 10KM (S) OF HOMESTEAD.

- Production 31 3 75 22/03/1991

RN015993 MAGEE N01 C.R.A. APPROX 500M SOUTH OF RN4623.

- None - - 2000 1/01/1992

RN016632 Magee Bore Stock Maryvale Station

- Production - - - -

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Bluebush Subproject

Two water bores are located within EL27971 and nine waterbores in the surrounding area (Figure 19). The bores have relatively low yields and either not in use or used for farming. The two water bores within the tenure RN013360 and RN014574 are ideally located to supply drilling water for the proposed program. RN013360 was originally drilled as the Bluebush Oil well and then converted to a water bore. According to comments in the NT water bore reports, the quality of water dropped off and RN014574 was drilled to 132m. The water bore recorded flow of 900GPH at 132m with saline waters.

Figure 19: Location of selected water bores Bluebush sub project

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Table 17: Summary of water bore details selected from Bluebush sub project area

BORE_NO BORE_NAME STATUS USE WATER LEVEL

YIELD DRILL DEPTH

COMP DATE

RN001727 DESERT BORE. 11.8KM (NE) OF RN13360.

Production 0 0.9 39.6 1/01/1958

RN004702 MIDDLE HILLS NOT USED N/VISIT 13 k/m (S) OF ALAMBI

NOT IN USE

Farming 55.8 0.5 140.2 27/11/1964

RN011944 RN11944. (DUD) 5KM (S) OF MEREENIE RN11982.

NOT IN USE

None 0 0 61 -

RN011981 PACOOTA A98/3. U/S 9km (SW) OF PHILLIPSON BORE.

NOT IN USE

Farming 0 1.1 125 25/08/1978

RN012348 CF OO2 ALCOA BORE. 10km (N) OF OIL BORE.

- Farming 30 0.9 200 16/05/1979

RN012349 CF 003. AFRAC.1.6 km (NE) OF DESERT BORE IN CENTRE SYSL

- None 23 3.1 90 19/05/1979

RN013360 BLUE BUSH OIL BORE 1.2KM (E) OF RN14574.

- Farming 32.3 15 2090 19/06/1983

RN013398 A98/9 PACOOTA REPLACEMENT 10.7km (N) OF MEREENIE BORE

- Farming 105 2 200 11/03/1982

RN013399 RN13399 A98/10. 13km (SE) OF PHILLIPSON.

NOT IN USE

None 142 0.1 248 16/03/1982

RN013404 WHITE HILL BORE A98/11 14KM (SE) OF RN11982.

- Farming 129 1.9 201 20/03/1982

RN014574 ADVICE A 98/17 1.2KM (WNW) OF BLUE BUSH NO1.

- Farming 73 1.1 132 4/10/1985

3.3 Vegetation, Flora and Fauna Tellus have undertaken seasonal biodiversity studies that span four years in preparation and support of the forthcoming EIS. The studies were conducted by Low Ecological Services and final reports are being prepared for Tellus to support the draft the EIS. These reports will be subjected to review by the Commonwealth Department of Environment and Energy and Northern Territory Department of Environment and Natural Resources (DENR). Following Government review and finalization of the EIS and approval of the proposed Chandler Project, this section will be updated and addressed in the Environmental Management Plan.

3.3.1 Bioregion The Chandler Project is located in the Finke and Simpson Strzelecki Dunefields bioregions. The Finke bioregion is characterised by arid sand plains with dissected uplands and valleys, including major rivers (Finke, High and Palmer Rivers). The bioregion is dominated by mulga with various Senna, Eremophila and Acacia species present over short grasses and forbs.

The Simpson-Strzelecki Dunefields bioregion comprises long parallel sand dunes, fringing dunefields,

34

extensive sand plains, dry watercourses and saltpans. Vegetation is predominantly Spinifex hummock grasslands with sparse acacia shrublands.

3.3.2 Sites of Conservation Significance

EL 27971 contains the Site of Botanical Significance: Rodinga and the Site of Conservation Significance: Rodinga Range and adjacent ranges. No exploration is proposed to occur within these areas.

3.3.1 Flora

The EPBC Protected matters search was conducted over the three sub project areas (Figure 20); the threatened species included two plant species with vulnerable status; Latz’s Wattle and Rainbow valley fuchsia bush (Table 18).

3.3.2 Fauna

The EPBC Protected matters search over the Chandler Project returned twelve threatened species (Table 18); comprising four bird species, one insect species, five mammals and two reptiles. The DLRM database search boundary location map is shown below in Figure 20.

Figure 20: EPBC Act Protected Matters Report search boundary for Chandler Project

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Table 18: Threatened species identified from EPBC Protected Matters search

Type Species Status PLANT Acacia Latzii

Latz’s wattle vulnerable

Eremophila sp. Rainbow Valley Rainbow valley Fuchsia bush

vulnerable

BIRDS Amytornis textilis modestus Thick-billed Grasswren (eastern)

Vulnerable

Polytelis alexandrae Princess Parrot, Alexandra’s Parrot

Vulnerable

Rostratula australis / Rostratula benghalensis Australian Painted Snipe / Painted Snipe

Vulnerable

Erythrtriorchis radiates Red Goshawk

Vulnerable

INSECTS Croitana aestiva Desert Sand-skipper, Aestiva Skipper

Endangered

MAMMALS Dasycercus cristicauda Mulgara

Vulnerable

Macrotis lagotis Greater Bilby

Vulnerable

Notoryctes typhlops Southern Marsupial Mole, Yitjarritjarri, Itjaritjari

Endangered

Petrogale lateralis MacDonnell Ranges race Warru, Black-footed Rock-wallaby

Vulnerable

Zyzomys pedunculatus Central Rock-rat

Endangered

REPTILES Liopholis kintorei Great Desert Skink, Tjakura Warrarna, Mulyamiji

Vulnerable

Liopholis slateri Slater’s Skink, Floodplain Skink

Endangered

3.3.3 Invasive Species

The invasive species listed in Table 19 were gained from the EPBC Act Protected Matters Reports for the Chandler Project area. The DLRM results for Pest and Potential pest animals are included in Table 19.

Table 19: EPBC Act Protected Matters Report of Invasive Species for Chandler Project

Scientific name Common name Status Felis catus Cat Species likely to occur Oryctolagus cuniculus Rabbit Species likely to occur Vulpes Red fox Species likely to occur Cenchrus ciliaris Buffel-grass Weed of National Significance Parkinsonia aculeate Parkinsonia, Jerusalem Thorn,

Jelly Bean Tree, Horse Bean Weed of National Significance

Tamarix aphylla Athel Pine, Athel Tamarisk, Desert Tamarisk, flowering Cypress

Weed of National Significance

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3.4 Land use Major land uses are recorded as being cattle grazing and Aboriginal land management. The Chandler project is within Perpetual Pastoral Lease land (Figure 2) and is being used for natural grazing purposes. There are two communities within the region; Titjikala and Santa Teresa.

Titjikala (also known as Tapatjatjaka and formerly known as Maryvale) is located within the Maryvale pastoral lease. The population of the community was estimated at around 260 persons in 2006. (NT Statistical Region: Alice Springs, Sandover-Plenty Sub-region). Titjikala is home to Arrernte (traditional owners), Luritja and Pitjantjatjara people.

Santa Teresa (also known as Ltyentye Apurte) is located 80km from Alice Springs, with a population of approximately 600. The local governing body is the Ltyentye Apurte Community Government Council.

3.5 Historical, Aboriginal, Heritage sites

3.5.1 Recorded Cultural Heritage Sites and Places

A search of the NT Archaeological Site Register has indicated that archaeological sites have previously been recorded in the vicinity of the subject area, but none are recorded within it. The closest sites are located at Chamber’s Pillar and a location to the north of EL28900 (around 24.80S and 133.75E GDA94).

3.5.2 Scared site map, searches

The Aboriginal Areas Protection Authority (AAPA) have provided an Abstract of Records in relation to land covered by Tellus Exploration Licences (Correspondence: File: 2012/1238 No. 201213299) and advised that there are no records of sacred sites listed within the area (Appendix 3). The Central Land Council (CLC) issued sacred site clearance certificate (SSCC 2012-303) for stage 1 activities within a defined boundary. A second clearance was conducted late 2014 and certificate issued (SSCC 2014-152). If any sites or heritage items are discovered in the course of Tellus’ work, they will be left undisturbed and the find reported to a warden, a Police Office or Minister for Environment.

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4 ENVIRONMENTAL MANAGEMENT SYSTEM

This is the fourth MMP renewal for Tellus’ Chandler Project. Tellus have an ISO 14001: 2004 compliant Environmental Management System.

4.1 Environmental Policy and Responsibilities Tellus projects and operations will endeavor to:

• operate in a responsible manner that respects the environment at all stages of our business; • incorporate environmental management systems as part of our critical business activities; • encourage new ways of minimising our environmental impacts; • strengthen our partnerships with stakeholders to achieve our objectives and obligations; • strive to effectively manage resources, reduce waste and eliminate or minimise adverse

environmental effects and risks associated with our operations; • meet and, where appropriate, exceed applicable environmental laws, statutory obligations

and relevant voluntary codes of practice; • monitor and set measurable targets to seek continual improvements to our environmental

performance; • periodically review, feedback and improve our Environmental Policy and Procedures; • protect natural, historic and culturally significant sites; • ensure that all people who work or visit our projects and operations are aware of and have

the necessary skills to fulfill their environmental obligations; • openly communicate our environmental performance with our workforce, government and

the wider community

4.2 Statutory Requirements All exploration activities will be conducted under the relevant acts and regulations which may include, but not limited to the following

• Aboriginal Land Rights (NT) Act • Bushfires Act and Regulations • Dangerous Goods Act and Regulations • Environmental Assessment Act • Environmental Protection and Biodiversity Conservation Act (Com) • Heritage Conservation Act and Regulations • Mineral Titles Act and Regulations • Mining Management Act and regulations

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• Northern Territory Aboriginal Sacred Sites Act and Regulations • Soil Conservation and Land Utilization Act • Territory Parks and Wildlife Conservation Act, By-Laws and Regulations • Waste Management and Pollution Control Act and Regulations • Water Act and Regulations • Weeds Management Act and Regulation • Workplace Health and Safety (National Uniform Legislation) Act and Regulations • Reporting requirements including employment/injury and safety statistics, production

statistics • Lease conditions • Authorisation conditions

4.3 Non-Statutory Requirements Constructive and positive working relationships with communities are essential elements of Tellus business practices. Tellus is committed to work with neighbours, employees, indigenous groups and other stakeholders to make a meaningful contribution in areas where Tellus operates.

Tellus have an Exploration Agreement with the Central Land Council and in consultation with traditional owners.

Regular communications will be undertaken with the Pastoral Lessee and other authorised users of the site, updating them on activities as they occur. Details of mobilisation and demobilisation of each phase of exploration activities will be notified to these users in advance.

4.4 Identified Stakeholders and Consultation The proposed activities within the Charlotte Subproject occur on PPL1063 Maryvale Station and PPL1094 Henbury Station. Tellus is in negotiation with station holders regarding the development of the Chandler Project.

Tellus has met with the representatives from the Titjikala community to discuss the project and is actively working with the Central Land Council.

No activities are currently planned within EL27971. The Bluebush subproject lies within PPL1028 “Allambi” Station. Tellus will consult with the Station owner and Central Land Council regarding exploration activities in the Bluebush Sub Project, prior to commencement of any activity.

The NT Bushfires Council has been contacted with regards to procedures in case of a bush fire. Regular communications will be made to monitor fire risk within the area.

4.5 Induction and Training A site induction of all Tellus Management, employees, consultants and contractors will be conducted prior to the commencement of activities by the Tellus representative. The induction will cover the following topics;

• Tellus corporate polices • Environmental Policies and Responsibilities • The Risk Management Plan (RMP) and workplace safety

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• Code of Conduct for Mineral Explorers in the NT • Agreements or arrangements in place with Pastoral Holder and Indigenous Communities • Emergency procedure and incident reporting

And will include site specific induction training outlining;

• Site access, use of roads, tracks and gates • Expected behaviour and personal conduct rules • Handling, storage and disposal of waste • Control measures required in regard to Weed control • Sediment and erosion control • Control measures required in regard to surface and groundwater management • Control measures required in regard to management of Aboriginal and historic heritage,

including what to do in case of discovery of sacred site or heritage item • Control measures required in regard to management of flora and fauna • Control measures required in regard to management of dust, noise, water pollution and soil

contamination • Housekeeping, security, safety equipment, first aid

The site geologist will supervise the completion of the Drill Program pre start checklist and the site layout checklist, and ensure all personnel including drill contractors are aware of the requirements itemised in the assessment (checklists included in Appendix 4).

Tool box meetings will be held regularly as a reminder and an opportunity to discuss any environmental and work safe concerns arising from the operations.

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Copies of the Mine Management Plan and Risk Management Plan will remain in each of the contractor’s field vehicles and field camps. Copies will also be kept by the;

• The Managing Director, Tellus Corporate Office • Site Geologist

4.6 Identification of Environmental Aspects and Impacts Table 20 lists identified environmental aspects and impacts. Field personnel will also complete a Job safety Environmental Analysis (JSEA) during camp setup. The Drill Program pre start checklist and site layout checklist will be completed prior to drilling. The JSEA and checklists are included as Appendix 4.

Table 20: Identification of Environmental Aspects and Impacts

Aspect Impact Risk Rating

Management measures (prevention)

Management measures (remediation)

Clearing of drill pads/ tracks / camp

Removal of vegetation Removal of wildlife habitat

Low Locate drill pads, tracks, camp to minimise disturbance

Revegetation of disturbed area, monitor and review

Excavation of drill sumps and soakage pits

Removal of vegetation Potential hazard to wildlife

low Locate sumps to minimise disturbance

Stockpile topsoil for rehabilitation

Construct pit with slope to allow wildlife to egress, fence with barrier mesh

Regular monitoring of site during program Revegetation, review and monitoring post- activities

Driving between drill site / camp / tenements / Alice Springs

Spread or introduction of invasive pests

low Follow weed control methods (i.e. physical removal and wash down of vehicles leaving site and travelling between tenements and properties)

Early detection, swift follow up action (physical removal, land management techniques, biological control, chemical control) Monitor and Review

Dust and noise pollution

low Ensure that modern well maintained vehicles are used at all times

Limit vehicle speeds

Undertake noisy activities during daylight hours Review and monitor

Drilling Dust and noise pollution

Low Water carts, dust control sprays.

Ensure that modern well maintained equipment is used at all times.

Use acoustic containers or barriers where necessary

Monitor occupation noise and control operational hours if necessary. During drilling all workers will wear dust masks in the event of high levels of dust being generated from the rig.

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Groundwater and aquifer contamination

Moderate Consultation with experienced hydrogeologists prior to drilling.

Prepare detailed drilling plan following Department guidelines Use experienced drilling contractors

Monitoring of water quality and resources

Fuel Storage Hydrocarbon / drilling fluid spills – contamination of soil, surface and ground water

Moderate Fuel to be stored on bunded spill pallets. When refueling follow approved procedure

Ensure drilling contractor has drilling fluids stored in approved containers and has approved procedures in place

Have spill kit onsite, bund and remove contaminated soil from site to an approved waste or remediation facility

Waste disposal Pollution or contamination to soil, surface or ground water

Low domestic waste will be stored in covered containers and then removed from site on a regular basis Industrial waste collected in approved containers and removed from site to be disposed of at approved facility

Remove waste and any contaminated soil to approved waste facility Remediation, monitoring and review

Personnel in remote field area

Disturbance of cultural or heritage sites

High Aboriginal Areas Protection Authority Abstract of Records search conducted

Heritage survey conducted prior to exploration activities

Cultural and Heritage training and induction for field personnel

If any sites or heritage items are discovered, they will be left undisturbed and the find reported to a warden, a Police Office or Minister for Environment

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4.7 Emergency Procedure and Incident Reporting

4.7.1 Emergency Procedures

In the case of any chemical spills emergency, follow the set procedure (Appendix 5).

4.7.2 Management of environmental incidents and identified hazards

The Drilling Supervisor has immediate responsibility for all aspects of environmental management of the drill site and the movement of driller’s vehicles on and off the site. It is his responsibility to monitor and report all environmental hazards, incidents and emergencies as soon as practically possible to the Site Geologist. The Site Geologist will then have overall responsibility for dealing with and reporting of environmental hazards, emergencies and incidents.

In the event of an uncontrolled bush fire as a result of the activities or otherwise the Site Geologist will also report directly to the nearest station and then the local Rural Fire Authority. He must also assess the risk to personnel and property and determine the response.

4.7.3 Incident Reporting

Environmental incidents and near misses must be reported, investigated and analysed. A review will also be carried out to identify what led to the event so that effective corrective and preventative actions can be implemented to prevent reoccurrence. All incidents will be recorded in a site register and severity assessed using Table 21, Section 29 reporting is required for all incidents identified as being within severity class 2, 3 or 4.

In the event of a significant incident, associated work will not resume until actions have been taken to reduce the risk of recurrence and authorisation to resume work is given at the appropriate level.

Information gathered from near miss and significant incidents will be analysed to identify lessons and to monitor trends and will also be reported to management to improve standards, systems and practices. Systems will be in place to ensure that all remedial actions, including changes in procedures are documented, communicated, followed-up and completed.

The Site Supervisor will inform the Senior Geologist and Environmental and Approvals Manager of the environmental hazard, emergency or incident. Tellus Management and the Department will be informed as soon as practicable. Form CF7-001 ‘Notification of an Environmental Incident will be completed and forwarded to DME.

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Table 21: Guide to severity classification.

Severity Class

Physical Environmental Consequence

Social/Cultural Environmental Consequence

Appropriate Actions

1 Unplanned low level impact on the physical environment, health of humans, structures or amenity of site, which was of short duration with no enduring actual or potential harm to the environment. No lasting effect observed or measured. For example: Minimal and reversible impact on any aspect of the environment. No impact on well-being of humans. All products of incident capable of being immediately retrieved or neutralised. No risk of further escape, contamination or injury.

Unplanned low-level impact on social, cultural, heritage conditions or amenity of community, which was of short duration with no enduring actual or potential harm to the environment; For example: Minimal disturbance to heritage items or structures; Minimal disturbance to local community, social or cultural conditions. No lasting effect observed or measured.

Obligation to inspect, assess, monitor for ongoing impact, rehabilitate physical damage, mitigate any damage. Obligation to record in register of incidents and include in annual report to DME. Unlikely to require investigation by Regulator.

2 Unplanned minor environmental impact with some minor actual or potential harm to the environment. For example: A discernible but reversible impact on non-threatened species and their environment, the duration of which is likely to be < 1 month. Minor impact on the well- being of humans which may be left untreated or require only minor short term treatment. All products of incident capable of being safely contained, retrieved or neutralised in short term. Low risk of further escape, contamination or injury.

Unplanned minor impact on social, cultural, heritage conditions or amenity of community, which was of short to medium duration with some enduring actual or potential harm to the environment. For example: People affected by minor loss of amenity or minor reduction of usual conditions; Minor repairable damage to cultural or heritage sites, structures, property and items. Minor disturbance to community, social, cultural conditions, where it is possible to restore conditions in short term. Short term effect observed or measured.

Identify non-compliance with MMA, authorisation, MMP, or operators own management system. Identify procedures to be followed, take appropriate action to contain/minimise impact or harm resulting from incident Obligation to inspect and assess impact of incident, monitor for ongoing impact, rehabilitate physical damage, mitigate any damage. Obligation to record in register of incidents and include in annual report to DME. Obligation to report incident to CEO of DME. Possibility that an Investigation by Regulator will be required.

3 Unplanned moderate environmental impact >1 month duration to non- threatened species in their natural environment. Unplanned moderate impact on the well-being of humans.

Unplanned moderate impact on social, cultural, heritage conditions or amenity of community, which was of medium duration with some enduring actual or potential harm to the environment.

Identify non-compliance with MMA, authorisation, MMP, or operators own management system. Identify procedures to be followed, take appropriate action to contain/minimise

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For example: A moderate impact on non- threatened species and the environment, the duration of which is likely to be > 1 month. A moderate impact on the well-being of humans which requires treatment. All products of incident capable of being safely contained, retrieved or neutralised in medium term. Moderate risk of further escape, contamination or injury.

For example: People affected by moderate loss of amenity or moderate reduction of usual conditions; Moderate repairable damage to cultural or heritage sites, structures, property and items.

Moderate disturbance to community, social, cultural conditions, where it is possible to restore conditions in medium term. Medium term effect observed or measured.

impact or harm resulting from incident. Obligation on operator to investigate incident, including inspection and assessment of impact of incident. Obligation to rehabilitate physical damage to environment, mitigate any other damage, including by provision of treatment/services. Obligation to provide continued monitoring for ongoing impact. Obligation to record in register of incidents and include in annual report to DME. Obligation to report incident to CEO of DME. Investigation by Regulator will be required.

4 Unplanned major impact on environment > 1 year duration on ecosystem Unplanned impact on a threatened species or its habitat. Possible, irreversible damage to ecosystem. Unplanned major impact on well-being of humans. For example: A major impact on non- threatened species and the environment, the duration of which is likely to be > 1 month. Any impact on a threatened species or its habitat whether reversible or not. A serious impact on the well- being of humans which requires urgent or long-term treatment. Likelihood of safely containing, retrieving or neutralising products of incident is limited or will require long term action. High risk of further escape, contamination or injury.

Unplanned major impact on social, cultural, heritage conditions or amenity of community, with some enduring actual or potential harm to the environment. For example: People affected by significant loss of amenity or significant reduction of usual conditions; Significant repairable or irreparable damage to cultural or heritage sites, structures, property and items. Significant disturbance to community, social, cultural conditions, where it is possible to restore conditions in the longer term, or where it may not be possible to restore conditions. Long term effect observed or measured.

Identify non-compliance with MMA, authorisation, MMP, or operators own management system. Identify procedures to be followed, take appropriate action to contain/minimise impact or harm resulting from incident. Obligation on operator to investigate incident, including inspection and assessment of impact of incident. Obligation to rehabilitate physical damage to environment, mitigate any other damage, including by provision of treatment/services. Obligation to provide continued monitoring for ongoing impact. Obligation to record in register of incidents and include in annual report to DME. Obligation to report incident to CEO of DME. Investigation by Regulator will be required.

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4.8 Environmental Audits and Inspections Tellus will conduct internal environmental audits and inspections at regular intervals (e.g. monthly) and key stages during operations and site closure for regulatory performance and compliance.

Tellus may also engage consultants to conduct audits of the area for environmental baseline and regulatory performance and compliance.

DME may wish to inspect the site during operations for regulatory compliance and following site closure for MMP Clearance purposes. Tellus will be guided by the outcomes of any audits that may be undertaken by DME officers.

4.8.1 DME Field Visit Reporting

DME staff visited the Tellus project site on 13th and 18th December 2013, during drilling operations. A field visit report was issued by DME on 11th February 2014 (MMP reference MR2013/0395). The report contained observations and recommendations for follow up which have been implemented. DME staff visited the Tellus project site in June 2015 during Tellus water investigation drilling program. Comments were received on the Chandler MMP (2015 – MR2015/0394).

4.9 Environmental Performance Reporting Prior to commencement of operations Tellus or an appointed contractor will conduct a preliminary environmental assessment of the site to record present condition.

During the proposed exploration activities Tellus or appointed contractor will monitor and record environmental incidents and accidents and carry out remediation as soon as possible. Regular internal site inspections and audits will be conducted against items covered in the Environmental Management Plan (section 5), with assistance from the pastoralist where appropriate, that will include the progress of remedial and rehabilitation work carried out, and the results and effectiveness of that work.

Rehabilitation activities listed in Table 22 are in progress. Site inspections were completed at the end of the drilling programs and met objectives. Ongoing monitoring of remediation is taking place; Tellus representative conducted a site inspection in May 2014, June 2015, September 2015 and August 2016. A final inspection by pastoralist has not yet taken place.

Following site closure there will be a final site inspection together with the pastoralist to document that all remedial and rehabilitation work has been completed such that the site is able to revert naturally to an acceptable end use condition.

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Table 22: Progress summary of rehabilitation activities

Disturbance Rehabilitation Activities Site Inspection Drill holes Drill collar will be cut below ground level to a minimum

depth of 0.4m. A non-degradable casing cap will be installed. Aquifers will be sealed to prevent inter-aquifer flow, with grout plugs. After downhole surveying activities complete, a non- degradable plug installed. Soil backfill will be compacted and mounded over the hole, to allow for subsidence and to limit the pooling of water. The mound will be covered with topsoil.

Yes (2014, 2015, 2016)

Drill collar above ground level until surveyed. Holes backfilled/cemented

Water Bores Bores capped with head work for ongoing monitoring Yes (June 2015) Installation of head work complete, caps locked Maintenance (August 16) Bore headgear checked, painted with rust proof paint.

Drill pads Compacted ground will be ripped along contour. Overburden will be raked back. Stockpiled topsoil and vegetation will be re-spread over the area.

Yes (May 14) Overburden raked back over CH003. Area of CH001 to be rehabilitated (June 2015) Sites were clear of rubbish, rehab pending Rehab progress (August 16) Areas that were under rehabilitation (2015) have now shown regrowth of terrestrial plant material including millet grass, paper daisy, salt bush and juvenile mulga (refer to Figure below).

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Sumps Sumps will be allowed to dry out then backfilled with excavated material and respread with stored topsoil. No foreign matter will be buried during this work.

Yes (May 2014) Sumps at CH003 backfilled. Sumps at CH001 left to dry out Rehab progress (August 16) Areas that were under rehabilitation (2015) have now shown regrowth of terrestrial plant material including millet grass, paper daisy, salt bush and juvenile Mulga (refer to Figure above).

Tracks Remove any obstructions. If tracks have become compacted, deeply rutted or topsoil significantly disturbed, ripping of tracks may be required.

Yes (May 2014) Tracks left in place for further activities

Sample bags, waste materials and contaminants

All sample bags, waste materials and contaminants will be removed from site and disposed of off-site in accordance with statutory regulations.

Yes (Jan 2014) Yes (June 2015) Yes (August 2016) All items removed

Camp Camp equipment and domestic waste will be removed from site. Waste will be disposed of off-site at approved facility. Any compacted ground will be ripped, scarified and seeded if necessary to encourage revegetation.

Camp currently onsite

4.10Documentation All documentation containing objectives, targets, policies, responsibilities, procedures and environmental performance are contained within this MMP and its appendices and are therefore available to the Department.

A Risk Management Plan (RMP) has been prepared and lodged with NT Worksafe.

Personal copies of these documents are issued to Tellus Management, consultants and contractors during office and site inductions. Copies of these documents will also remain in all site vehicles and field camps, accessible to everyone.

MMP and RMP Authority Certificates are filed at the Tellus Corporate Office, Sydney.

This documentation is reviewed annually by Tellus Management at the completion of field programs and at other times whenever important updates are required.

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5 ENVIRONMENTAL MANAGEMENT PLAN 5.1 Water Management

5.1.1 Hydrographic Monitoring

Purpose

The primary purpose of the hydrographic stations is to collect baseline surface water data, including samples of runoff in creeks, flood outs and sheet flow areas for chemical and trace metal analysis. These samples provide pre-mining baseline information on the hydrochemistry of the surface water runoff from the catchment area.

A secondary purpose is to measure maximum flow heights in the various sub catchments within the area, which can be analysed to estimate runoff using rainfall records from nearby weather stations and rain gauges. Simple river height gauges are attached to the water samplers to provide maximum height of stream flow for a single flow event.

Rain gauges installed adjacent to hydrographic stations provide information on total rainfall and rainfall localisation. North, south, east and west facing photographs of the rain gauges enable a ground cover monitoring system similar to the NTG tier 2 pastoral vegetation monitoring stations.

The rain gauges are fenced in and designed to handle the harsh local conditions including standing up to rubbing by cattle and large feral animals.

Transverse cross sections of creek bed morphology through the hydrographic stations were surveyed and pegs placed at the estimated maximum extent of flood flows or predetermined intervals. The complete cross sections were surveyed and tied into the Australian Height Datum by a licensed land surveyor (September, 2015).

The completed cross sections will by periodically surveyed to collect temporal data on soils, vegetation and biomass. The primary objective of the vegetation catchment monitoring is to determine the runoff in different seasons from different rainfall events and intensity. Secondary objectives include providing estimates of infiltration, moisture content of the unsaturated zone, recharge to groundwater systems, runoff coefficients and stream flow for design of structures and calculation of salt/heavy metal transport.

This monitoring has multiple objectives including the collection of pre-mining data to establish baseline data on catchment runoff, groundwater recharge and water quality. This data will be used to facilitate the design of structures to minimise or eliminate water quality impacts on downstream drainage systems from mining, and provide the necessary management systems during and post mining operations.

Installation

There are currently 6 (six) 3 stage rising stage water samplers and four (4) fenced rain gauges installed (Table 23). Installation completed 28th March 2014 by Centreprise.

Monitoring Program

Monitoring and maintenance will be conducted every 3 months and as required after rainfall events.

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Planned Activities

A weather monitoring system was installed in October 2015. Additional hydrographic stations may be installed if recommended from hydrology studies currently being completed.

Table 23: Station Numbers and GPS locations Zone 53 GDA94

Station Number Station Type Easting Northing CS005011 3 Stage Rising Stage Water Sampler 393586 7257168 CS005012 3 Stage Rising Stage Water Sampler 393588 7257174 CS005013 3 Stage Rising Stage Water Sampler 393633 7257185 CS005021 3 Stage Rising Stage Water Sampler 393282 7258549 CS005031 3 Stage Rising Stage Water Sampler 392436 7258385 CS005041 3 Stage Rising Stage Water Sampler 390214 7259782 CR005011 280mm Rain Gauge 393605 7257192 CR005021 280mm Rain Gauge 393457 7258527 CR005031 280mm Rain Gauge 392415 7258393 CR005041 280mm Rain Gauge 390294 7259808

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Figure 21: Location of installed hydrographic stations

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5.1.2 Groundwater Monitoring

Six monitoring bores and two production monitoring bores were drilled and completed in May 2015. The results from baseline monitoring and from water samples collected were analysed and reported into the Project’s draft EIS. A groundwater baseline monitoring program has been in place for 14 months. The monitoring program will continue.

Tellus contracted experienced hydrogeologist Graham Ride (Centreprise, Ride Consulting) to review regional water bore data, drilling results, drill core sample and complete the site investigation and monitoring program. Further water bore drilling is scheduled between January and April 2017.

Table 24: location of water monitoring and production bores (completed 2015)

Bore ID Depth m

Easting GDA94 MGA z53

Northing GDA94

MGA z53

Description

WT1 201 392507 7258491 Completed as a monitoring bore into the upper Langra Formation

WT2

120

392519

7258476

Completed as a baseline Horseshoe Bend Shale Formation water level monitoring bore in a low yielding 1.5 L/sec airlift aquifer

WT3

366

392976

7255631

Completed as a multi piezometer baseline water level monitoring bore: shallow low yielding Horseshoe Bend Shale aquifer and the high yielding upper Langra Formation aquifer

WT4 290 395943 7256291 Completed as a monitoring bore of the upper and lower Langra Formation aquifers

WT5 180 394168 7256478 Completed as multipiezometer in two Horseshoe Bend Shale Formation minor aquifers

WT6 306 393693 7257560 Completed as a monitoring bore of the upper and lower Langra Formation aquifers

PB1 216 392499 7258504 Cased and capped, open hole from 141-216m for observation and production tests

PB2 330 393130 7255610 Cased and capped, open hole from 270-330m for observation and production tests

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Figure 22: Location of completed and proposed water bores in relation to exploration activities

5.2 Invasive Species Management There are no biological management programs in place.

Any machinery /equipment brought into the NT from interstate will be certified as being free of all soil material prior to entering and leaving the NT.

All personnel will be advised during their induction that equipment is inspected on entering the site and if necessary, to be washed down prior to leaving site to avoid weed infestation.

Visual monitoring will be used to monitor the infestation of any weeds. If any weeds have been identified as new to the area, they will be reported to the relevant authority.

All activities regarding weed eradication, monitoring and review will be dealt with using the approved method in accordance with Department guidelines.

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5.3 Flora and Fauna Management Tellus will manage and minimise the disturbance to flora and fauna, particularly the threatened and migratory species by:

• Identification of flora and fauna and emphasis of environmental concerns for them during the induction process with the assistance of local knowledge.

• Careful design of track locations, re-use of existing tracks and drill pads wherever possible and close monitoring of earthworks in progress.

• Encouraging drivers to avoid ground fauna.

• Ensuring vehicles originating from localities of known noxious weed infestation will be thoroughly cleaned before entering and exiting the proposed work areas.

• Vigilance for bush fire hazards.

• Wherever possible, care will be taken not to disturb the natural habitat. Clearings for drill pads will be kept to the absolute minimum consistent with operator and equipment safety.

• Drill sumps and soakage pits will be fenced with barrier mesh. In the event wildlife did enter the pit, excavations will be designed with a slope, to allow wildlife to exit.

• Speed limits will be enforced onsite to limit the potential adverse impact on local species and populations.

5.4 Waste Management All domestic waste will be removed from site and taken to the Alice Springs Town Council's Landfill in Commonage Road.

All industrial waste including drill rig and other machinery waste such as oil, rags, grease, and cartridges will be collected and disposed of off-site Alice Springs Town Council's Landfill. The landfill is operated in accordance with the Waste Management and Pollution Control Act NT 1998.

Excess drill cuttings will be disposed on in sumps or returned down the drill hole.

Grey water will be directed to a temporary soakage pit that will be backfilled during site closure.

5.5 Noise and Air Quality Management The impact of noise and air quality in the immediate vicinity of the drilling operation is expected to be minor.

Noise will derive from operation of earthworks machinery, operation of the drill rig, operation of diamond core saw and camp generators.

All machines used on site are fitted with adequate commercial noise suppression systems to meet normal residential/industrial use standards. Noise from camp generators and core saw will be minimal however will be shielded to reduce any noise. Earplugs are available for staff and authorised visitors

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to use.

All machines are fueled with diesel which burns to produce water, carbon dioxide, carbon and in most cases, some sulphur based emissions. These are not likely to cause significant problems in the remote open air environment of the Permit.

The program entails diamond drilling and very little dust is anticipated, operators of machinery will minimise risks associated with dust emissions and noise by wearing PPE and ensuring that the work area is located up wind during activities. Dust masks are provided for operators as a matter of standard equipment. Dust suppression is carried out either by spreading water with loaders, pumps or water carts where necessary. This mitigation measure is expected to avoid dust masking of surrounding plant material.

5.6 Culture and Heritage Management Tellus is committed to collaborating with indigenous communities. Tellus is actively consulting with Traditional Owners and Central Land Council about its operational intentions to ensure that integrity and respect of cultural heritage is maintained.

To achieve this, Tellus will: • Respect the social, cultural and economic rights of traditional land owners. • Establish and maintain positive, effective, meaningful and transparent communication. • Consult with the people whose country may be affected by the activities. • Engage with relevant indigenous groups on sustainable community projects. • Carry out surveys at proposed operational areas to assess cultural heritage and will develop

strategies to avoid impact on significant indigenous sites and cultural places. • Develop and implement indigenous awareness programs for staff and contractors that are

appropriate for local situations.

Tellus is in receipt of an Abstract of Records from the Aboriginal Areas Protection Authority (AAPA). The AAPA advised that there are no records of sacred sites located in the area covered by Tellus Tenure. Tellus understands that this does not necessarily mean that there are no sacred sites located in this area, but reflects the situation that the Aboriginal custodians for this area have not sought protection for sacred sites under Northern Territory law and that no other information on the location of sites is available to the Authority. Tellus have conducted two sacred site surveys in consultation with traditional owners and in receipt of two Sacred Site Clearance Certificates issued by the CLC. If any sites are discovered during the course of Tellus’ work the Site Geologist will ensure that they will be left undisturbed and the find reported to a warden, a Police Office or Minister for Environment.

5.7 Hazardous Materials and Hydrocarbon Management Hazardous substances likely to be utilised during the drilling program are diesel fuel, engine oil, hydraulic oil, saline drilling fluids and water-soluble detergent-based lubricants for core bit.

Material Safety Data Sheets (MSDS) which set out properties of the substance, precautions for use, hazard information, first aid requirements, storage and emergency response, so as the substance may be safely handled, stored and used in the workplace, will be held on the drill rig by the drilling contractor for each hazardous substance likely to be utilised during the drilling operations.

All hazardous substances are to be stored in original containers and be clearly labelled. Fire extinguishers will be available in this area.

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All site personnel will be alerted to the potential hazards involved with the handling of inflammable liquids and chemicals, and in the cleanup and reporting procedures, during the Induction process.

Diesel will be stored in approved containers/tanks on bunded spill pallets. When refueling plastic sheeting and/or drip tray will be in place to capture any spills. In the event of a spill, the Terra Search Chemical Spill Emergency Procedure (Appendix 5) will be followed. A spill kit will be on hand at all times, and used to soak up the spilled fuel, any contaminated soil will be removed from site to the Alice Spring’s Council Landfill or alternative approved facility and the site rehabilitated.

Engine and hydraulic oil will be stored onsite on bunded spill pallets. When checking or changing oil, plastic sheeting and/or drip tray will be in place to capture any spills. All waste oils will be captured in approved receptacles and disposed of off-site at Alice Spring’s Council Landfill or alternative approved facility.

Drill sumps will be fenced with barrier mesh to prevent animals from entering the pit area. In the event that wildlife was attracted to the water source, the pit will be constructed with a slope, to allow wildlife to exit.

5.8 Fire Management Regular consultations with the Bush Fires Council will assist in ensuring all fire precautions are met. No intentional burning off on the permit has been conducted or is envisaged.

If machines are left parked on the permit unattended, they are left in a bare area in case of grass fire.

All vehicles and earthmoving equipment are fitted with fire extinguishers. Fire extinguishers shall be available at the drill rig and camp to enable containment and suppression of any fire during the program of proposed exploration activities.

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6 EXPLORATION REHABILITATION

When a drilling program has been completed, rehabilitation works of drill pads, sumps and removal of waste material from drill site on completion of drilling program will be conducted in accordance with NTGS guidelines. The access tracks and grid lines will be rehabilitated on completion of exploration activities involving the site, following NTGS guidelines. The camp will be rehabilitated on completion of Tellus activities over the Chandler Project area. Rehabilitation planning has been outlined in Table 26.

The overall objective is to close the site at the end of the proposed program, so that it will revert naturally to an end use state acceptable to the pastoralist and according to regulatory requirements in the event that there is no further work proposed on the site.

Rehabilitation activities have been completed (refer Table 25). Ongoing monitoring of remediation is taking place (most recently in August 2106). A final inspection by pastoralist has not yet taken place.

Table 25: Rehabilitation activities, schedule, objectives and monitoring

Disturbance Rehabilitation Activities

Schedule (Timing) Closure Objectives / Targets

Monitoring and Remediation

Drill holes Drill collar will be cut below ground level to a minimum depth of 0.4m. A non- degradable casing cap will be installed. Aquifers will be sealed to prevent inter- aquifer flow, with grout plugs. After downhole surveying activities complete, a non- degradable plug installed. Soil backfill will be compacted and mounded over the hole, to allow for subsidence and to limit the pooling of water. The mound will be covered with topsoil.

Collar cut and capped as soon as drilling completed. Drillhole will be plugged when all downhole activities complete. Then soil backfilled

and mounded. During site rehabilitation the mound will be covered with topsoil.

All drillholes plugged, aquifers sealed and stable prior to end of program.

Inspection of holes were undertaken in September 2015 and August 2016. Future drilling campaign inspections will be undertaken within 6 months to ensure no hole failures. Remediation to be undertaken at inspection if necessary. Final site inspection with pastoralist. On- going monitoring as required.

Drill pads Compacted ground will be ripped along contour. Overburden will be raked back. Stockpiled topsoil and vegetation will be respread over the area.

Following completion of drilling program.

To rehabilitate ground to as near original condition as possible

Internal inspection at completion of drilling activities. Final site inspection with pastoralist. On- going monitoring as required.

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Sumps Sumps will be allowed to dry out then backfilled with excavated material and respread with stored topsoil. No foreign matter will be buried during this work.

Following completion of drilling program.

To rehabilitate ground to as near original condition as possible.


Tracks Remove any obstructions. If tracks have become compacted, deeply rutted or topsoil significantly disturbed, ripping of tracks may be required.

Prior to relinquishment of the tenement, unless requested otherwise by the pastoralist.

To rehabilitate ground to as near original condition as possible.


Sample bags, waste materials and contaminants

All sample bags, waste materials and contaminants will be removed from site and disposed of off-site in accordance with statutory regulations.

As soon as site activities complete and following completion of each drill hole.

To leave no waste on site and rehabilitate ground to as near original condition as possible.

Internal inspection at completion of site activities. Final site inspection with pastoralist. On- going monitoring as required.

Camp Camp equipment and domestic waste will be removed from site. Waste will be disposed of off-site at approved facility. Any compacted ground will be ripped, scarified and seeded if necessary to encourage revegetation.

As soon as site activities complete.

To leave no waste on site and rehabilitate ground to as near original condition as possible.

Internal inspection at completion of site activities. Final site inspection with pastoralist. On- going monitoring as required.

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6.1 Costing of Closure Activities Activities approved under authorisation 0689-01 are yet to be complete. No activities requiring additional security calculation are proposed.

7 PERFORMANCE OBJECTIVES

This is the fourth MMP renewal for the Chandler Project. Exploration works and rehabilitation outcomes covered by this MMP will provide a basis for future MMP performance objectives.

Tellus will be responsible for the rehabilitation and closure planning proposed here. Tellus will be responsible for ensuring all Performance Objectives are achieved and will ensure;

• A formalised written emergency procedures manual will be prepared and kept in vehicles and in the site office.

• All employees continue to be fully aware and trained on environmental issues, incidents and procedures.

• Continued monitoring of erosion and weed infestation and ensure prompt action is taken to ratify the situation if any occurs.

• Maintain regular contact with the landowner and bushfires council, and the Central Land Council.

• That once activities have completed on the work area, that these areas are rehabilitated according what has been stated in this MMP.

• Communication with traditional land holder continues, with a commitment to employing and training more indigenous personnel.

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8 REFERENCES

Bell R. M., 1983. Bluebush No. 1 O.P 189 Northern Territory, Final Well Report. Magellan Petroleum Australia Limited. NTGS Open File Petroleum Report PR1983-037

Ercosplan. (2014). Chandler Salt Mine Project, Technical Report. Erfurt, Germany: Ercosplan Geotechnik und Bergbau.

McTaggart N R, Pemberton R.L. and Planalp R. N., 1964. Well Completion Report Mt Charlotte No. 1. Transoil (N.T) Pty Ltd. NTGS Open File Petroleum Report PR1965-006

Panalp, R.N., Pemberton, R.L., 1963. Well Completion Report, Exoil Ooraminna No. 1. NTGS Open File Petroleum Report PR1963-002

Pemberton R. L., McTaggart N. R., 1966. Well Completion Report Erldunda No. 1. Exoil (NSW) Pty Ltd. NTGS Open File Petroleum Report PR19866-002

Wakelin-King, G. and Austin L., 1992. EP 38, Well Completion Report Magee 1 Northern Territory. Pacific Oil & Gas. Limited, Report no. 304715. NTGS Open File Petroleum Report PR1992-0121

Young Geoconsultants Pty. Ltd, 2004. Amadeus Basin seismic interpretation project. Northern Territory Geological Survey, Record 2004-011

Young IF, Ambrose GJ, 2007. Petroleum geology of the southeastern Amadeus Basin: the search for sub-salt hydrocarbons. In Munson TJ and Ambrose GL (editors) ‘Proceedings of the Central Australian Basin Symposium, Alice Springs, Northern Territory, 16/18 August 2005’. NTGS Special Publication 2, 183-204

Appendix 1

Petroleum Well Location details

Tellus HoldingsChandler Project

Historic Petroleum Wells

WellName Basin Purpose PostdrillWellType Tenement Operator DrillingContractorBluebush 1 Amadeus Basin Exploration New field wildcat OP189 Magellan Petroleum Pty Ltd Mereenie JVErldunda 1 Amadeus Basin Exploration New field wildcat OP130 Exoil Pty Ltd O.D. and E.Magee 1 Amadeus Basin Exploration New field discovery EP38 Pacific Oil & Gas Pty Ltd O.D. and E.Mount Charlotte 1 Amadeus Basin Exploration Stratigraphic OP72 Transoil NL O.D. and E.Ooraminna 1 Amadeus Basin Exploration New field discovery OP43 Exoil Pty Ltd O.D. and E.



WellNameBluebush 1Erldunda 1Magee 1Mount Charlotte 1Ooraminna 1

DrillRig Latitude Longitude DrillingDatum Elevation ElevDatum TotalMeasuredDepthMereenie Rig No.1 -24.586058 134.651267 KB 353.00 MSL 2090.00National T-32 -25.308572 133.197956 KB 409.50 MSL 1665.12Mereenie Rig No.1 -24.898528 133.99086 KB 378.90 MSL 2395.80National T-32 -24.866064 133.987666 KB 384.05 MSL 2116.23National T-32 -24.000228 134.165155 KB 495.00 MSL 1858.37



WellNameBluebush 1Erldunda 1Magee 1Mount Charlotte 1Ooraminna 1

WaterDpth_GrdLevel Status StatusComments SpudDate TotalDepthDate RigReleaseDate HCShows347 Abandoned Converted to water well 19830510 19830619 19830619 Dry

405.38 Abandoned 19650620 19650720 19650721 Dry373 Abandoned Converted to water well 19920922 19921015 19921021 Gas

379.8 Abandoned Converted to water well 19641212 19650206 19650207 Minor gas491.6 Abandoned 19630224 19630605 19630611 Gas

Appendix 2

Permission from Landholder to use water bores

Appendix 5

AAPA Abstract of Records

Appendix 3

Job Safety Environmental Analysis – Camp setup/breakdown

Terra Search Drill Program Pre Start General Checklist

Terra Search Drill Program Site Layout Checklist

TERRA SEARCH PTY LTD

JOB SAFETY ENVIRONMENTAL ANALYSIS SHEET

Z:\TellusHoldings\ADMIN\Health_and_Safety\MMP_Mine_Management_Plan\Appendices\App6_TS_drill_checklists\TS_Camp_Setup_Breakdown_JSA_7.doc

Version: 1 Page 1 of 6 Issue Date: 13 March 2010

Project Site: Job No. Date: Job Description: Camp Set-up/Break Down

Emergency Action: In the event of an injury is a member of the team qualified in First Aid? Yes No If yes, nominate who Nominate where an injured person may receive / seek medical Treatment Minor Injury: Serious Injury: Mine Site or Client Emergency Phone Number Emergency Response Point Location

This JSA Developed, Reviewed and used by the Following Personnel:

No Name Signature Trade /

Skill Date No Name Signature Trade /

Skill Date 1 16 2 17 3 18 4 19 5 20 6 21 7 22 8 23 9 24

10 25 11 26 12 27 13 28 14 29 15 30 Team Leader / Supervisor In Control: Signature: Date:





Risk Rating Calculator - Use the Risk Rating Calculator to Determine the Level of Risk of Each Hazard HIERARCHY OF CONTROL

What is the LIKELIHOOD

of an Occurrence?

What Would the CONSEQUENCES of an Occurrence Be? - Hierarchy of Controls

1 - Insignificant Minor 1st Aid

Injuries

2 - Minor Medical Attention

Required

3 - Moderate Serious but Non-Permanent Injury Work Days Lost

4 - Major Permanent Disability

Health, Fatality

5 - Catastrophic Multiple Fatalities

Can the hazard be Eliminated or removed from the

workplace?

A Will Occur in Most

Circumstances

HIGH 11

HIGH 16

EXTREME 20

EXTREME 23

EXTREME 25

Can the product or Process be Substituted for a less hazardous alternative?

B Probably Occur in

Most Circumstances

MED 7

HIGH 12

HIGH 17

EXTREME 21

EXTREME 24

Can the hazard be Engineered away with guards or barriers?

C Should Occur at

Some Time

LOW 4

MED 8

HIGH 13

EXTREME 18

EXTREME 22

Can the job be Isolated or remotely managed?

D Could Occur at

Some Time

LOW 2

LOW 5

MED 9

HIGH 14

EXTREME 19

Can Administration Controls be adopted i.e, procedures,

job rotation etc? E

May occur in Exceptional

Circumstances.

LOW 1

LOW 3

MED 6

HIGH 10

HIGH 15

Can P.P.E. be used in conjunction with other

controls to further control the hazards?

DESCRIPTION LOW 1 – 5 Proceed & Monitor

MODERATE 6 – 9 Action required

HIGH 10 – 17 Immediate Action

EXTREME 18 – 25 STOP - Contact Supervisor

JSEA – JOB STEPS – HAZARDS – CONTROLS – RISK - RESIDUAL RISK Note: Import any generic components relating to the scope of work to be conducted here. Then add the specific job steps, hazards and controls

Step No

Job Step Describe the Job Step by Step

(Keep to the Basics)

Task Hazard / Risk What are the hazards with each Job

Step? (With Current or No Controls)

Initial Risk

Rating

Control Methods & Monitoring What Safeguards will be Used? How will the effectiveness of the

controls be monitored? (Inspection & Ongoing Monitoring)

Residual Risk Rating

Personnel Responsible

1 Access – 4WD operation Damage people, car, equipment through drifting off road, collision

with other cars or objects etc 18

Experienced/trained driver operating vehicle + no drugs & alcohol (not from previous night either) + take care & pay attention while driving, especially at dusk/night time

+ drive to road conditions + stop if needed to assessdifficult situation or clear obstructions+ beware of

livestock & native animals + obey road rules at all times

5 Driver/Team

Getting bogged 8 Use 4-WD mode and locked hubs before getting into tricky conditions and change back afterwards + carry

recovery kit + follow recovery procedures as per safety manual

2 Driver/Team

Eliminate Eliminate

SUBSTITUTE

ENGINEERING / ISOLATION

ADMINISTRATION / TRAINING

BEHAVIOUR MANAGEMENT

PERSONAL PROTECTIVE EQUIPMENT

MOST EFFFECTIVE

LEAST EFFECTIVE





2 Working Outdoors Dehydration 17 Drink plenty of water 5 Team

Heat illness/heat stroke 18 Work in shade if possible + PPE (wide brimmed hat, long sleeve clothing, shirt with collar) 5 Team

Sun- and/or Windburn 12 Sunscreen 30+, chap stick, PPE (wide brimmed hat, long sleeve clothing, shirt with collar) 2 Team

Snake & Spider Bites 18 Pay attention to where you walk, do not interfere with

them (chase, touch etc.), carry snake bite kit and follow emergency procedures as per safety manual

5 Team

3 Working in Remote Locations Getting stuck or lost (vehicle break down) 18

Carry sat phone at all times and be familiar with operation of sat phone & if applicable with Spot Tracker

+ carry out daily & weekly vehicle checks to preventavoidable vehicle break downs + follow safety sched procedure (call Terra Search and/or client everyday

about location & proceedings) + follow safety procedures as per safety manual

4 Team

Emergency situation 18 Call ‘000’ & Terra Search and/or alternative emergency number given by client + follow emergency procedures

as per manual 5 Team

4 Access – Land/Landholder Fire arm use by the station staff;

cattle; landholder procedures (mustering, fencing etc.)

10

Contact landholder before accessing area (night before); discuss any management activities which might cause harm to TS or station staff during access, discuss

camp and work locations; offer to meet and introduce yourself on arrival; contact landowner at arrival; follow

code of conduct for landholders (safety manual)

1 Supervisor

5 Access – Environmental and Cultural Issues

Damage to existing vegetation; creating conditions for soil and water erosion; interference with

wildlife; damage to unknown cultural sites

8

Keep to established tracks as far as possible; follow environmental guidelines in manual and policy

guidelines; follow cultural heritage guidelines in manual and best practise code; discuss with landholders

procedures for likely events (possible off-track driving, wet conditions etc.); pay close attention to off road

areas, report any aboriginal sites/artefacts immediately to your supervisor; follow the agreed upon procedures

regarding contacting Traditional Owners

3 Team

Step No





Initial Risk

Rating









6 Access – GPS Getting lost; 15 Make sure GPS is set to agreed datum and Zone; make

sure you are familiar with the operation of the GPS before using it, if you have any questions ask your

supervisor or other senior employees;.

1 Team

7 Location of Camp

Floods, fire, trips/falls, hit by shedding branches; wind/dust

hazard; lack of water; complications for emergency

procedures

14

Follow camp procedures in manual (e.g. level + solid ground above flood level, minimum of stumps and

debris; water tank with sufficient capacity for people and duration etc.); familiarise with emergency response plan make sure you set up camp on agreed location, if you have to change location inform head office and also

landowner of changes

9 Team

8 Setting up hygiene facilities

(for day to day hygiene see camp activity JSA)

Manual handling; potential future Health hazards (illness +

disease); attraction of vermin; environmental pollution, erosion;

13

Follow Manual Handling Procedure in safety manual; Follow camp hygiene procedures in safety manual (e.g.

screen off water tank, set up toilet 100m away from water bodies and camp, covered sullage pits for shower,

sink and laundry waste water etc.); PPE

3 Team

9 Kitchen Set Up

Manual handling; potential future health hazards (illness + disease)

and fire hazards; trip/falls; attraction of vermin)

14

Follow Manual Handling Procedure in safety manual; follow camp procedures in manual (e.g. install fridge

and freezer in shaded area away from sullage pits, store dry goods in vermin safe compartments if possible in

shade, arrange for easily accessible non cluttered messing area; orient kitchen to prevent excessive dust and wind pollution; establish fire place in secure wind

protected area ect.); PPE

3 Team

10 Electrical Set Up

Electrocution; manual handling; slips trips falls; predisposition for future electrical hazards (damage

to cords); falling objects (spot lights); future hazards due to poor lighting at night; generator failure

(spoiling of meat etc.)

18

Follow Manual Handling Procedure in safety manual; follow camp procedures in manual (e.g. make sure

voltage and amps are appropriate for appliances; keep electrical cords away from water areas and major

walking and driving tracks; secure spotlights safely; ensure lighting is sufficient for kitchen duties and

hygiene at night; inspect generator before start up; appoint responsible person for future maintenance and

monitoring); PPE

3 Team

11 Water Supply Set Up

Manual handling; mix up of drinking and other water

(microbiological); crushed limbs/person (gravitational); slips

trips falls through future

18

Follow Manual Handling Procedure in safety manual; follow camp procedures in manual; e.g. label water

tanks and containers; ensure even and strong base for water tank; ensure water pump is correctly installed and

pipes and joints are appropriate for pressure; appoint

3 Team





ponding/leaks responsible person for future maintenance and monitoring; PPE

12 Dangerous Goods Storage Areas Set Up

Manual handling; explosion; fire; acid burns; handling pressurised

and hazardous substances 22

Follow Manual Handling Procedure in safety manual (e.g. always use two people for moving 44 gallon

drums, rig up load if necessary); follow camp procedures in manual; e.g. label drums clearly; clear

fire break around storage area; keep main storage well away from generator, camp and any other ignition

sources; no smoking; choose cool and airy area; store chemicals away from fuel in cool, dark, well ventilated and secure area; appoint responsible person for future

maintenance and monitoring; PPE

10 Team

13 First Aid Facilities Set Up Handling pressurised cylinders; complication in possible future

emergency situation(s) 18

Handle equipment with care; follow camp procedures; e.g. sign location of equipment and make location

known; choose area with easy access and in proximity; inspect equipment; appoint responsible person for future


3 Team

14 Fire Fighting Equipment Set Up Handling pressurised cylinders; complication in possible future

emergency situation(s) 18

Handle equipment with care; follow camp procedures; e.g. sign location of equipment and make location

known; choose area with easy access and in proximity; inspect equipment; appoint responsible person for future


3 Team

15 Personal Quarters (tent) Set Up

Sharps, trips and falls, edges, hand tools, potential future

hazards (dust and wind pollution); collapse of tent; flooding

10

Follow camping procedure in safety manual; e.g. choose level and solid ground with wind break or shade if possible 100m away from toilet; clear area from debris for tent set up, wear adequate PPE, only use safe tools, place tents upwind from access track; use heavy duty

pegs; keep away from water bodies or creek beds; PPE

2 Team

16 Camp Break Down Manual handling; trips, slips and falls; edges; hand tools; potential

future environmental harm 10

Follow general safety precautions and camping procedures in the safety manual; e.g. housekeeping,

rehabilitate sullage pits and fire place; PPE 6 Team





ANY ADDITIONAL NEW JOB STEPS, HAZARDS, CONTROLS, INITIAL AND RESIDUAL RISKS MUST BE DETAILLED HERE. - AMMENDED JSA TO BE RETURNED

ADDITIONAL JOB SPECIFIC STEPS, HAZARDS, CONTROLS AND RISKS - REFERENCE THE JOB STEP OR SECTION WHERE THE NEW ADDITION IS ITO BE INSERTED. Step No





Initial Risk

Rating





Check for new and/or unidentified new job steps

Identify any new hazards associated with the new job steps

Operators and personnel involved are to add any new control measures and conduct the initial and residual risk ratings needed to ensure the safety & efficiency of the operation.

1

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TERRA SEARCH DRILL PROGRAM SITE LAYOUT

CHECKLIST

Date: __________________________________________

Prospect: __________________________________________

Hole Number: __________________________________________

Contractor: __________________________________________ Contractor’s Representative: __________________________________________ Terra Search Representative __________________________________________

It is important that all personnel involved with the drilling program (including contractors) are aware of the requirements itemized below, and that all personnel participate in this assessment.

ITEM YES COMMENTS/ACTIONS RESP DATE

SECTION A – Before Rig moves to Site

Does the drill site provide adequate access for personnel, equipment and vehicles?

Has adequate provision been made for storm/water drainage from the site to maintain site and rig foundation stability?

Has the last drill hole been capped?

Have any cultural heritage areas been identified? If so are they clearly marked so as to avoid disturbance? Has the previous site been cleared of rubbish/ oils and have they been disposed of appropriately, including all cigarette butts?

Is the site free of any potential overhead hazards? (cables, beams, trees etc)

Is the driller satisfied the site is adequate to access and for the site specific risk assessment to be signed off?

SECTION B – Before Drilling Commences

Is there safe fundamentally stable parking for all vehicles that access site?

Is the driller satisfied sumps are adequate, and are they fenced?

2



Is there provision to contain any spill / overflow? If not, what additional measures are required?

Are the drilling fluids biodegradable?

If water flows from the hole are anticipated, what provision has been made to handle the water?

Is there adequate gravel on all work areas in the event the hole should intersect excessive water or in the event of rainfall?

Are fuel and other flammable materials stored away from working equipment preferably in a cleared area?

Is Enretech on site?

Are personnel familiar with the use of Enretech?

Are MSDSs on site for all chemicals?

Is Driller aware of current fire bans or restrictions for the area?

If in high risk fire period is there a Fire Tender and/or fire extinguisher on site?

Is the rig level and stable?

Are rig jacks on a suitable foundation?

If jacks can be locked in position, have they been secured?

If working at heights, are the fall protection and prevention measures in place, securely fitted and in good working order?

Is lighting adequate?

Are No Entry and the obligatory PPE signs displayed at the site entrance?

Is there adequate PPE on site eg: dust masks, glasses and hearing protection?

Is there a first aid kit on site?

Is the driller satisfied the site is adequate and safe for work to commence?

SECTION C – When Rig Leaves Site

Has the site been cleared of rubbish?

Were there any fuel/oil etc spills?

Have any spills been cleared and disposed of properly?

Have drains/sumps etc been filled adequately?

3



Has the site been levelled adequately?

1

TS_Drill_Program_Onsite_Checklist Z:\TellusHoldings\ADMIN\Health_and_Safety\MMP_Mine_Management_Plan\Appendices\App6_TS_drill_checklists\TS_Drill_Program_Pre_Start_Checklist.doc Last Updated: 2010

TERRA SEARCH DRILL PROGRAM PRE START

GENERAL CHECKLIST

Date: __________________________________________

Contractor: __________________________________________ Contractor’s Representative: __________________________________________ Terra Search Representative __________________________________________

It is important that all personnel involved with the drilling program (including contractors) are aware of the requirements itemized below, and that all personnel participate in this assessment.


GENERAL

Has a Risk Assessment been undertaken for the program? Are the driller and offsider(s) aware of its outcomes?

Is the driller familiar with the contract?

Is driller aware of work program?

Have all personnel undertaken a documented contractors Rig Specific Induction?

Is there a documented visitors Rig Specific Induction?

Is the driller satisfied the rig and equipment are appropriate for the work program ie. hole size and depth. Is there adequate drilling equipment, tools and spares on site to complete the work safely and without undue delay? Is there adequate communication between drill supervisor, drillers & NPM personnel? (Radios/telephones) Are all employees trained in the use of equipment?

Do all crew members know & understand TS and Contractor emergency procedures?

Is there access to all emergency equipment ie. first aid kit, fire extinguishers etc?

2


ITEM YES COMMENTS/ACTIONS RESP DATE Have the driller and crew been adequately trained in their tasks? Driller - Crew - Crew - What First Aid Training have the driller and crew had? Driller - Crew - Crew -

Is there a fully equipped first aid kit provided by the contractor?

Is there adequate personnel protective gear on site available including hard hats, hearing protection, eye protection, gloves, safety glasses and dust masks?

Are all crew wearing close fitting, acceptable clothing?

If portable welding equipment on site, are there appropriate goggles, welder hoods, gloves available?

Is the system for manual handling of samples and core satisfactory?

Have crew undertaken Manual Handling Training?

Have all crew members completed (drillers, offsiders, supervisor, fitters, geological crew) current site, exploration and drill rig inductions? Is a documented pre-start check, based on a Risk Assessment, undertaken before each workday? Have any cultural heritage areas been identified? If so are they clearly marked so as to avoid disturbance?

MAINTENANCE & INSPECTIONS

Are all isolation procedures known & understood by all crew members?

Has the rig & ancillary equipment had a recent official machinery inspection, & does it comply with relevant statutory regulations eg. Pressure Vessel Inspection, Motor Vehicle Inspection (if mobile type)?

Are there regular, documented service and maintenance routines for rig and other vehicles?

3


ITEM YES COMMENTS/ACTIONS RESP DATE Are all belts, pulleys, chains, sprockets, wire line reel & other moving parts guarded and in good order?

Are all hydraulic rams, hoses, tanks & gauges free of leaks and in good condition?

Are all air hoses secured and restrained with a whip checks?

Does all electrical equipment have current tags?

Is mast adequately supported with hydraulic rams & locking pins in good condition & securely fastened? Are engine exhaust pipes & mufflers in good condition / thermally lagged & positioned away from any personnel?

Has all work at height gear been checked, tagged & are these tags current?

Is the platform secure & does it have a guardrail, if above 1.8m or there is a risk of falling. Are ladders & access ways around the drill rig in satisfactory condition (i.e. adequate foot/toe room on steps) & clear of any obstructions? Are ladders tagged and current? Are all working at heights procedures (including emergency rescue procedure) known & understood by all crew members? Are there adequate fire suppression units & extinguishers on the rig & support vehicles & are they fully charged, current and signage adequate?

RIG & SUPPORT VEHICLES

Have all vehicles undergone relevant Vehicle Inspections?

Is cyclone in good condition and dust control adequate? Does access and sample collection system provide for a safe working procedure? Is a fuel tender to be used? Is the fuel tender is good condition and free from leaks? Does the hose for refuelling have a self shut-off nozzle attached? Is there a secure anchor point for the nozzle?

Is there a spill clean up kit on site on enretech?

Are all drilling oils / fluids contained in proper storage containers and bunded?

Appendix 4

Terra Search Chemical Spills Emergency Procedure

1

Z:\TellusHoldings\ADMIN\Health_and_Safety\MMP_Mine_Management_Plan\Appendices\App7_Chemical_Spill_Procedure\Chemical Spills Emergency Procedures.doc Last Updated: 2010

TERRA SEARCH CHEMICAL SPILLS EMERGENCY PROCEDURE

Date of Spill : Location of Spill: Form Completed By:

ACTION ITEM Records of Actions IMMEDIATE ACTIONS

• Clear affected area

Yes No

• Determine if evacuation is necessary Yes No

• Check for any contamination of personnel

Yes No

• Personnel contaminated with chemicals must be decontaminated for at least 15 minutes (emergency shower) and taken for medical examination

(Names and has decontamination been completed?)

• Administer first aid

(Details)

• Isolate spill, if it is safe to do so

Details:

• List people involved (Names of Staff, Contractors, Visitors)

PERFORM RISK ASSESSMENT Details Known

• Identify spilled material (if unknown treat as high risk)

(List the chemicals/materials involved in the spill)

• Obtain a copy of the MSDS

(Attach the MSDS. List any specific risks)

Yes No

• Determine (estimate) quantity of

spilled material (Enter the of approximate amount of chemical/materials spilled)

• Evaluate hazards of the location (Summarise the risks as they relate to the chemical/material and the area of the spillage. Consider ventilation, drainage, access/egress for retrieval of other hazards/risks.)

• Evaluate the RISK and determine if the spill is a high or low risk

Specify the level of risk based on the information available to you at the time. If any doubt consider High Risk.

2

Z:\TellusHoldings\ADMIN\Health_and_Safety\MMP_Mine_Management_Plan\Appendices\App7_Chemical_Spill_Procedure\Chemical Spills Emergency Procedures.doc Last Updated: 2010

CHEMICAL SPILLS EMERGENCY PROCEDURE SPILL RESPONSE PROCEDURES

HIGH RISK SPILL LOW RISK SPILL

• Involves the spill or release of a type of quantity of a chemical that poses an immediate risk to health; OR

• Involves an uncontrolled fire or

explosion

• A spill involving the release of a type or quantity

of a chemical which does not pose an immediate risk to health and does not involve chemical contamination to the body.

PROCEDURE PROCEDURE • Evacuate the work site • Notify Senior Site Executive • If threat is immediate, notify emergency

services (000) following the Emergency Procedures in the Safety Manual. Give details of the accident including location, types of hazardous material involved, and whether there are any injuries. (This would generally be done by the Senior Site Excecutive)

• If the accident involves personal injury,

move the victim from the immediate area of fire, explosion or spill (if this can be done without further injury to the victim or you)

• Administer first aid as appropriate and

seek immediate medical attention

• Assess whether trained personnel available or external specialists services are required to clean up spill

• If internal clean-up:

1. Assign work tasks to trained

personnel 2. Specify equipment and tools for

clean-up including PPE 3. Locate and control spilled material 4. Neutralise and/or absorb material 5. Prepare residue for removal

(consult MSDS, product manufacturer and/or local council for advice on removal)

• Notify manager/supervisor • Evacuate the immediate area if necessary

• Remove ignition sources and unplug nearby

electrical equipment

• Ensure fire protection is available

• Assign work tasks

• Specify equipment and tools for clean-up including PPE

• Confine and contain spill

• ACID and BASE spills should be neutralised prior to

clean up:

1. Cover with appropriate absorbent material.

2. Sweep solid material into a plastic dust pan and place in a sealed container.

• Prepare residue for removal (consult MSDS,

product manufacturer and/or local council for advice on removal)

Appendix 5

Form CF7-001 Notification of Environmental Incident

DEPARTMENT OF MINES AND ENERGY www.nt.gov.au

Minerals and Energy

Notification of an Environmental Incident Section 29 of the Mining Management Act

Forward completed form to: Mining Compliance Division, Department of Mines and Energy

Email: [email protected] (preferred) or Fax: (08) 89996527 PLEASE TYPE OR PRINT CLEARLY

Please ensure that you have read the Draft Guideline - Environmental incident reporting under Section 29 of the Mining Management Act (July 2012) [167kb]]

NAME OF MINING SITE

NAME OF OPERATOR

DATE & TIME OF INCIDENT

NAME OF PERSON NOTIFYING

POSITION/TITLE

CONTACT PERSON

CONTACT DETAILS Business: Mobile

Fax: E-mail:

INCIDENT LOCATION (use GPS co-ordinates, attach map, etc as appropriate)

DESCRIPTION OF INCIDENT

EMERGENCY & REMEDIAL ACTIONS TAKEN

Form #: CF7-001 27 May 2013


http://www.nt.gov.au/d/Minerals_Energy/Content/File/Forms_Guidelines/S29%20guidelines%20v7%20draft.docx


ENVIRONMENTAL DETAILS

NATURE OF IMPACT AND SEVERITY (Volume/ of spillage, area impacted, wildlife/vegetation/ erosion, etc) DME severity classification: 1 2 3 4 Refer to pages 3 to 5 of the Draft Guideline - Environmental incident reporting under Section 29 of the Mining Management Act (July 2012) [167kb]]

CURRENT SITUATION (Potential / ongoing / ceased / etc)

DETAILS OF ANY SAMPLES TAKEN (when / where / type / number / time for results /etc)

OPERATOR INTERNAL REPORTING

Has the incident been reported internally?

YES / NO If so, to whom

Name:

Position:

Operator reference number (where applicable/available)

HAS THE DEPARTMENT BEEN NOTIFIED EARLIER? YES NO

WHO WAS NOTIFIED

HOW (phone/email/fax)

WHEN (date & time)

BY WHOM

Signed: _________________________________ Date: ______________

NAME: ____________________________________

POSITION: ________________________________

OFFICE USE ONLY

RECEIVED BY

DATE TIME

Form #: CF7-001 Page 2 of 2 27 May 2013





CHANDLER PROJECT MINE MANAGEMENT … 16: Summary of water bore details selected from Charlotte...

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