Ann: Contingent Liability Update, page-10

I have made an assessment of the total tonnage that will be shipped during the June quarter and have arrived at 2.040m tonnes. I have calculated the cost per tonne to be $AUD74.51 (excluding depreciation and amortisation, corporate administration, sales, royalties, ocean freight, interest and financing costs).

I expect the total sales to be 2.04m tonnes with an average price of $AUD108.00.

Total sales for year: 8114m tonnes at average price of $AUD107.50 = $872m

Total costs for year $605m excluding depreciation and amortisation, corporate administration, sales, royalties, ocean freight, interest and financing, costs

Nett margin for the full financial year excluding (depreciation and amortisation, corporate administration, sales, royalties, ocean freight, interest and financing costs) will be in the order of $AUD267m

Guess of Interest, royalties, freight, administration approximately $AUD230m.

KML might make $AUD37m for the year.