1. Focus: Bharinto and Tandung Mayang

4

New integrated operations groups

Maha

kam

River

South Block 1

(Dayak Besar)

North

Block

Kedangpahu

River

ROM

stockpile

Bunyut Port

Product coal

conveyor, stacking,

stockpile

South Block 2

(Biangan)PT.

BHARINTO

PT.

TRUBAINDOEAST

BLOCK

Santan River Port

stock yard

Bontang City

Asphalt

haul

road

Inland

conveyor

4km

Operations

Stockpile

Ports

Hauling

Crusher

Post

Panamax

95,000DWT

WEST BLOCK

TANDUNG MAYANG

Mine

stockyard

ROM

stockpile

Bontang

Coal Terminal

ITM operations in Kalimantan

Balikpapan

Palangkaraya

Banjarmasin

Kitadin

Embalut

Indominco

Trubaindo

Samarinda

Jorong Port

Bontang Coal

Terminal

Bharinto

Kitadin

Td.MayangBunyut Port

2

1

Jorong

Going forward, ITM will

rationalize and consolidate its

Kalimantan operations into three

operational groups

Each group will have its own

integrated mining, crushing and

logistics system

Objective will be increased

efficiency, optimization and

productivity

The Trubaindo-Bharinto operations

consist of the Bunyut barge port,

Trubaindo North Block, Trubaindo S.

Block and Bharinto

Operations group target output

(medium term): 10-15 Mtpa

The Bharinto project represents a

low risk and low cost ‘brownfield’

expansion of its operations group

The Indominco-Tandung Mayang

operations consist of the Bontang

Coal Terminal, Indominco W. Block,

Indominco E. Block, Kitadin Embalut

and Tandung Mayang

Operations group target output

(medium term): 15 Mtpa

The Tandung Mayang project also

represents a low risk and low cost

‘brownfield’ expansion of the

Bontang operations group

1 2

5

Bharinto and Tandung Mayang (overview)

Bharinto Tandung Mayang

First output 4Q 2011 3Q 2011

Target annual output 2 - 4 Mt 2 - 3 Mt

Coal quality*6,800 kcal/kg

Sulfur 0.8%

6,800 kcal/kg

Sulfur 1.5%

Reserves 45.5 Mt 9.7 Mt

Strip ratio (avg.) 7.8 bcm/t 15.0 bcm/t

Logistics to ship Truck – Bunyut barge loader Truck – BoCT ship loader

Capital expenditure US$ 44 m(US$ 39 m spent to date on infrastructure)

US$ 30 m(US$ 26 m spent-to-date on equipment)

*Air dried basis

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Current status

Bharinto Tandung Mayang

Crushing plant construction under

commissioning

Mining contractor selected in

March 2011

Site preparation underway to start

pre-stripping activity in 3Q11

FY11 output : 0.2 Mt

Already started the pre-stripping

activity in 1Q11 at TDMY KP

Coal production will restart in

3Q11

FY11 output 0.5 Mt

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Reserves

OB

146 M bcm

Average

SR 15.0

bcm/t

OB

355 M bcm

Bharinto

Average

SR 7.8

bcm/t

Tandung Mayang

Reserves 45.5Mt

6,800 kcal/kg (adb)

Sulfur: 0.8%

Ash: 4%

Reserves 9.7 Mt

6,800 kcal/kg (adb)

Sulfur: 1.5%

Ash: 4%

INDICATIVE ONLY

8

Bharinto schematic

Construction

commenced Q309

2004

2006 2009 2010 2011

Acquired concession

Feasibility study First output:

0.2 Mtpa

2007 2008

2005

Bharinto project timeline

HIGH WALL BENCHES

A B

Cross section schematic

Approx depth

90 metres

ILLUSTRATIVE ONLY

Aerial view

schematic

SECTION LINE

A

B

BUNYUT PORT

TRUBAINDO NORTH BLOCK

15 KM.

MAHAKAM RIVER

BHARINTO

TRUBAINDO SOUTH BLOCK

Total 84 km

CR4

9

Conversion of resources to reserves at Bharinto

Resources

298 Mt

Reserves

45.5 MtCurrent expected mine life of

Bharinto based on existing

reserves is until 2024

Subject to further feasibility

assessment, mining permit and

coal price outlook, Banpu

expects some potential

conversion of resources to

reserves at Bharinto

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Tandung Mayang schematic

2003

2004 2011

2015/16

Operation ceased

Tandung Mayang unit

worked as contractor on

adjacent IMM concession

2005 2006 2007

2008

Feasibility study

2009 2010

Closure

process

Tandung Mayang project timeline

Aerial view schematic

BONTANG

COAL

TERMINAL

BONTANG

CITY

INDOMINCO

WEST

BLOCK EAST

BLOCK

TANDUNG MAYANG

SECTION LINE

MINED OUT AREA

A B

10 km

CR1 CR2

CR3

Operation to restart in 3Q11

A B

OB

Cross section schematic

Mined out (Indominco) TM extension

ILLUSTRATIVE ONLY

HIGH WALL

BENCHES

Approx depth

160 metres

11

Indicative ROM output targets

Bharinto

Tandung Mayang

2011 2012 2013 2014 2015

6.7 6.9 8.1 8.2 8.2

16.0 7.2SR (bcm/t)

SR (bcm/t)

INDICATIVE ONLY

0.20.7

2.0

3.0

4.0

[16.0]* 16.0

0.83

2.92.5

2

0.4

In million tonnes (Mt)

* Actual strip ratio will be higher (approx 28x) but will include advanced

overburden removal which will be amortized over the life of the mine

na

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Bharinto project photos

Coal feeder Truck dumping

Safety talk Checking automation

13

Bharinto project photos

Coal handling equipment commissioning

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Tandung Mayang project photo

TANDUNG MAYANG INDOMINCO (mined out)

Plan view

500

1,000

1,500

m

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