SHEC MANAGEMENT SYSTEM POLICY

SAFETY, HEALTH, ENVIRONMENT AND COMMUNITY POLICY

AND EXPLANATORY NOTES

Doc No: 2.1. POLICY.1

Copy No:

Issued to:

Approval: Mitch Jakeman

Issue Issue Date Originator Reviewed Approved

3 26th March 2004 MO MJ/FF/MO M Jakeman

2 11th September 2003 DT DT/MJ D Taylor

1 18th June 2003 DT/JC/MO/FF DT/JC D Taylor

Note: Only controlled copies receive updates

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Amendments

Date: Initi
Issue Description
al

1 18th June 2003 Issue DT

th
2 11 September Amended Advisory List DT
2003
3 26th March 2004 Amended SHEC Policy and MJ
explanatory notes, amended
advisory list

Distribution List

COPY No. Distributed To:

1. General Manager, SHEC, Anglo Coal Australia

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Advisory List

Chief Executive Officer, Anglo Coal Australia

Chief Operating Officer, Anglo Coal Australia
Chief Financial Officer, Anglo Coal Australia
General Manager Open Cut Operations, Anglo Coal Australia
General Manager Underground Operations, Anglo Coal
Australia
General Manager, Callide Mine
General Manager, Dartbrook Mine
General Manager, German Creek Mine
General Manager, Drayton Mine
General Manager, Moranbah North Mine
General Manager, Moura Mine
Corporate Risk Manager, Anglo Coal Australia
Environmental Coordinator, Anglo Coal Australia
Safety & Health Coordinator, Anglo Coal Australia
Technical Services Manager, Callide Mine
Senior Environmental Adviser, Callide Mine
Safety & Health Manager, Callide Mine
Technical Services Manager, German Creek Mine
Senior Environmental Adviser, German Creek Mine
Environmental Adviser, German Creek Mine
OH&S Manager, German Creek Mine
Grasstree Safety Training Officer
Technical Services Manager, Dartbrook Mine
S&H Manager, Dartbrook Mine
Senior Environmental Coordinator, Dartbrook Mine
SHE Manager, Drayton Mine
Manager Technical Services, Moranbah North Mine
Environmental Adviser, Moranbah North Mine
S&H Manager, Moranbah North Mine
Technical Services Manager, Moura Mine
Environmental Adviser, Moura Mine
Manager Safety & Training, Moura Mine
General Manager, Projects, Resources & Business
Development, Anglo Coal Australia
Project Manager, Kayuga Coal
Project Manager, Grasstree Development
Project Manager, Lake Lindsay
Project Manager, Dawson Valley
Resource Manager, Anglo Coal Australia

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SAFETY, HEALTH, ENVIRONMENT AND COMMUNITY

POLICY

Anglo Coal Australia is committed to Sustainable Development and

through its activities upholding the values of good corporate
citizenship. Safety, health, environment and community
responsibilities are integral to our operating philosophy.

We are committed to proactively eliminating work related injuries

and occupational illnesses, minimising adverse environmental
effects, preventing pollution and meeting our community
responsibilities.

Compliance with legislative and other requirements placed upon us,

including those to which we voluntarily subscribe, is fundamental to
the way we do business.

In meeting these commitments we will develop, implement and maintain

a safety, health, environment and community management system that
meets nationally recognised standards and enables us to:

• Identify, assess and manage risks to people and the environment

• Ensure accountability for those responsible for each part of our

business

• Set clear objectives and targets and develop plans to achieve

continual improvement in our performance, then monitor our
progress

• Provide the resources, tools and training necessary for

achievement of our objectives

• Communicate openly with our employees, contractors, suppliers and

other stakeholders

• Report openly on our performance and develop plans for continual

improvement.

We will promote strong relationships with the communities in which

we operate. In particular we will:

• Respect the rights of traditional owners and value indigenous

cultural heritage

• Engage and involve communities in discussions on issues that

affect them

• Support appropriate community projects and regularly review our

contribution to social and economic development.

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The adoption and promotion of this Policy is mandatory for all

employees of Anglo Coal Australia and, where appropriate,
contractors, suppliers and other stakeholders acting on our behalf.

We will periodically review this Policy to ensure that it remains

relevant and effective.

Eric Ford
Chief Executive Officer
Anglo Coal Australia Pty Ltd
February 2004

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WHAT DOES OUR POLICY MEAN?

Anglo Coal Australia’s success as a leading Australian coal

company depends on how effectively we work together as a team in
the communities in which we operate.

In delivering the products required by our customers we maintain

an overriding commitment to safety, health, the environment and
the community.

The following pages explain the key components of our SHEC

Policy. We encourage you to discuss any aspect of this policy
with your line manager or supervisor and tell us whether we are
living up to the standards and commitments we have made and where
we can improve the way we manage our operations.

Anglo Coal Australia is committed to Sustainable Development and

through its activities upholding the values of good corporate
citizenship.

The Anglo American “Sustainable Development” and “Good Citizen”

principles are the fundamental public statements by the company
of how we want to undertake our business. They provide guidance
to our operations on what Anglo American expects of us with
respect to ethical, social, safety, health and environmental
issues likely to be encountered in our business. Specific
policies have been developed in all of these areas and published
so that the organisation, all employees and other stakeholders
that engage with Anglo American understand what is expected on
each of those issues.

Safety, health, environment and community responsibilities are

integral to our operating philosophy.

We recognise that our activities have the potential to cause harm

to people and the environment. The goals and targets that we set
for safety, health, environmental and community engagement
performance will demonstrate our determination to achieve high
standards of corporate responsibility.

We are committed to proactively eliminating work related injuries

and occupational illnesses, minimising adverse environmental
effects, preventing pollution and meeting our community
responsibilities.

Our aim is to continue to reduce the potential for harm by

applying a risk based approach to the management of all phases of
our operations where safety, health or the environment may be
adversely affected.

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Compliance with legislative and other requirements placed upon

us, including those to which we voluntarily subscribe, is
fundamental to the way we do business.

We have established business processes to identify our social,

ethical, and legal obligations. This extends to voluntary codes
and practises to which we subscribe, such as the “Australian
Minerals Industry Code for Environmental Management”. Full
compliance with all our obligations is mandatory.

In meeting these commitments we will develop, implement and

maintain a safety, health, environment and community management
system that meets nationally recognised standards and enables us
to:

Apply a systematic approach in line with recognised International

and Australian Standards to manage those aspects of our business
that impact on achievement of safety, health, environment and
community outcomes.

• Identify, assess and manage risks to people and the

environment
We will use risk management principles as a basis for
identifying, eliminating and or controlling the risks to people
and the environment.

• Ensure accountability for those responsible for each part of

our business
Identify those people that have specific responsibilities for
ensuring no outcomes for people and environment risks are managed
and given the proper training.

• Set clear objectives and targets and develop plans to achieve

continual improvement in our performance, then monitor our
progress
Establish clear objectives based on our SHEC policy framework to
achieve our targets. The targets will be specific, measurable,
achievable, relevant and time bound to deliver our core values in
the development of our business. Regular review of each aspect of
our business performance will underpin continual improvement.

• Provide the resources, tools and training necessary for

achievement of our objectives
The organisation and its management will ensure that adequate
resources and competent people are provided to achieve the SHEC
objectives.

• Communicate openly with our employees, contractors, suppliers

and other stakeholders
We will openly communicate on our performance with employees,
contractors, suppliers and other stakeholders. Community
relations plans will be maintained at all sites, describing
processes and actions to be implemented to address the needs,
concerns and aspirations of our stakeholders.
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• Report openly on our performance and develop plans for

continual improvement.
We will openly report our performance with employees,
contractors, suppliers and other stakeholders, and where
appropriate actively involve them in both the assessment of
performance and the development of continual improvement plans.

We will promote strong relationships with the communities in

which we operate. In particular we will:

We will proactively build relationships with all aspects of our

community as detailed in our “ Community Engagement Guidelines”
and “Cultural Heritage Survey” policies.

• Respect the rights of traditional owners and value indigenous

cultural heritage
We will undertake surveys to identify cultural heritage values,
respect the rights and negotiate with traditional owners on
issues of mutual interest in a timely manner.

• Engage and involve communities in discussions on issues that

affect them
We will engage and consult with communities on issues of mutual
interest in a timely manner.

• Support appropriate community projects and regularly review

our contribution to social and economic development.
Anglo Coal Australia and its operating units will actively
support community projects that contribute to the social and
economic development of communities in areas where we operate, on
a case–by-case basis.

The adoption and promotion of this Policy is mandatory for all

employees of Anglo Coal Australia, and, where appropriate,
contractors, suppliers and other stakeholders acting on our
behalf.

All our employees and contractors are expected to meet the

requirements of the Anglo Coal Australia SHEC Policy. Internal
and external communication of this Policy will be carried out to
help all stakeholders to understand their obligations and our
expectations. This will include training and information
programs for new employees, contractors and visitors.

We will periodically review this Policy to ensure that it remains

relevant and effective.

We will review this Policy on a regular basis, and amend as

appropriate, to ensure that it reflects our fundamental business
principles.

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