Coober Pedy News June 30, 2010

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Wednesday 30 June 2010

Vol. 3 No. 30

Mining tax changes leave many questions

By Michael Catchpole, Chief Executive, The AusIMM (Australasian Institute of Mining and Metallurgy) - press release dated 2 July 2010

Prime Minister Julia Gillard’s changes to the mining tax have relieved political pressure on the government, but there are many questions still to be answered in terms of the impacts on the mining industry, employees and communities.

As widely anticipated, the government’s compromise offer does not include the exploration rebate that was a feature of the original Resources Super Profits Tax (RSPT).

The scrapping of the exploration rebate is of particular concern to the Australasian Institute of Mining and Metallurgy (The AusIMM), which represents 10,000 professionals working in the minerals industry.

AusIMM President Greg Chalmers said the exploration rebate was one positive feature of the original mining tax proposal, but its potential benefits had been lost in the overall super tax proposal.

"The exploration rebate has now been excluded from the compromise deal reached with the three major mining companies," Mr Chalmers said.

"We realise this is a pragmatic decision by the government in its bid to preserve the net revenue expected to flow from the new Minerals Resource Rent Tax (MRRT), but it once again breaks a clear 2007 election promise by the Labor Party to encourage increased exploration in Australia.

"The AusIMM and other industry groups have made submissions to the government since 2007 arguing for the introduction of a flow-through shares scheme to correct a long-standing anomaly in the national tax system.

"Indeed, the opportunity to replace our depleting mineral inventory through increased exploration activity is the only way to address the Prime Minister’s major concern expressed this morning: That mineral resources can only be extracted once.

"While the great majority of iron ore and coal companies wait to be consulted on the details of the proposed resource rent tax, The AusIMM and others will be asking the government how it plans to restore Australia’s position as a leading explorer and therefore how the revenue benefits from this sector can continue to be enjoyed by government, industry and the community beyond the life of existing mines."

Mr Chalmers said The AusIMM would take its concerns to the government’s Policy Transition Group, headed by former mining industry leader and respected businessman Don Argus and Resources Minister Martin Ferguson.

The AusIMM

The Australasian Institute of Mining and Metallurgy (The AusIMM) represents 10,000 professionals working in the global minerals industry. Our role is to maximise opportunities for professionals in the minerals sector through continuing professional development and to represent members on global, national and local issues that affect them and their communities.

W&DFL	Played	W	L	D	Total Pts For	Total Pts Against	%	Points
Olympic Dam	9	8	1		622	460	135%	16
Roxby Districts	9	6	3		756	429	176%	12
Coober Pedy	9	4	5		513	683	75%	8
Andamooka	8	2	6		504	566	89%	4
Hornridge	9	2	7		519	776	67%	4

Tidbits (From the DCCP June 2010 General Meeting)

MAYOR'S REPORT (extracts)

Council continues to work through the issues of the RAES subsidy and outstanding amounts owed to Council from previous years with Energy SA. Although we are confident that progress is being made, the amount and method in which the RAES payments will be made in 2010/2011 remains uncertain at this time. The problems are further exacerbated due to the state budget not being handed down until September this year, resulting in a lack of commitment from all State Government departments. I have contacted Minister Pat Conlon and requested that the same procedures that were adopted by his department this financial year regarding the allocation of RAES payments are not replicated in 2010/2011.

It is timely to draw Councillors attention to the upcoming Council Elections in November. Some key dates to remember are,

FRIDAY 13 AUGUST 2010 - Voters Roll Closes

TUESDAY 7 SEPTEMBER 2010 - Nominations to stand as a candidate OPEN

(12noon) TUESDAY 21 SEPTEMBER 2010 - Nominations to stand as a candidate CLOSE

MONDAY 25 - FRIDAY 29 OCTOBER 2010 - Ballot Packs sent to enrolled voters

(5.00pm) FRIDAY 12 NOVEMBER 2010 - Voting closes (completed ballot forms must be lodged and received by Electoral Officers.

IMX are now moving into production following their first blast this month. I am advised that there are currently 23 operators on site, of which 11 are local. IMX and Exact are looking at increasing this percentage over time but as is the case with the front end of all of these mining projects, experienced personnel are required first. It is expected that there will be 100 direct employees at Cairn Hill and that the majority of these will be locals. The number of ancillary jobs that will be created as a result of the Cairn Hill operation is unknown at this time but is likely to be considerable and will hopefully entice families to relocate or move back to Coober Pedy.

I continue to hold discussions with Altona Resources and their communications representative Marlow Communications regarding their Coal to Liquid Fuel and power generation project in the Arckaringa Basin just north of Coober Pedy.

Altona Resources recently announced a joint venture with CNOOC-NEIA to undertake a bankable feasibility study for the commercialisation of the Arckaringa project. The study is expected to take approximately 12-15 months.

I have extended an invitation to Altona Resources and Marlow Communications to attend Coober Pedy in the next couple of months and hold a public meeting in order to update our residents on the progress of the Arckaringa project.

Steve Baines

Mayor

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Works Department Report For The Month Of May 2010

From: Jan van der Merwe, Works Manager

DOG AND CAT MANAGEMENT

Dogs Impounded 21

Dogs Returned to Owners 2

Dogs Destroyed 19

Airport

Construction material was carted in from the drive in area for the construction of the airport parking and by pass road in the near future. Alliance Air’s - F50’s have landed quite a few times and will continue to do so over the next few months. The passengers stay overnight and leave early the next morning.

General Information

On Thursday, 27 May, a break down on an Alliance Air F50 happened at Broken Hill. A standby plane was flown to Coober Pedy to evacuate the mine crew to Adelaide.

At about 23:55 hours, the pilot of the Flying Doctor called the Works Manager. The pilot could not take off because the lights would not come on due to a

power failure in town. SES crews were called in and they placed the emergency lighting on runway 22/04. The plane departed at about 01:15.

The monthly rain fall in Coober Pedy was about 49mm with 25mm at the airport.

Electricity Report For The Month Of May 2010

From: Graeme Norton, Electricity Distribution Supervisor

Unplanned Distribution Power Outage

Saturday 8th May - an excavator pulled down the SWER line to Tom Cat Hill area.

�� Four customers were without power for 9 hours.

�� Ninety two customers were without power for 3½ hours Friday 28th May - due to damaged insulators at Umoona Community

�� all customers on the Hospital Feeder, Potch Gully SWER and Hopeful Hill SWER were without power for 2¾ hours

�� all customers were without power for 3¼ hours

�� then 65 customers on the Hospital Feeder were without power for an additional 9½ hours.

RDAFN Report For The Month Of May 2010.

From: Troy Tarlo-Yautakas, Economic Development Manager

• The Far North Economic Development Forum is being planned for the week of 23 to 27 August. The Project Plan is being finalised and

Council will be informed once a firm date has been set.

• I have completed the Business and Media Plans for 2011 Gem Trade Show. The Committee was scheduled to meet on 9th June to discuss the plans and marketing strategies for the next show. The 2010 Trade Show had excellent exposure in China with a couple of feature articles, with pictures of the Trade Show, appearing in the local press. The Committee’s rep who attended the Shanghai World Expo had a successful trip and we now have firm working relationship in place with the SA Government’s Department of Trade and Economic Development’s representatives in Shanghai.

• I’m drafting a Business and Marketing Plan for the Coober Pedy Miners Association. The Marketing plan includes the option of appointing a high profile Australian to be our Opal Ambassador.

• I’m writing a submission for funding under the ARTS SA Public Art Program for a major piece of public art on behalf of the Coober Pedy Miners Association. The piece of art will be used as a permanent promotional tool for Coober Pedy.

• The Opal Alliance held a meeting in Andamooka 25th to 26th May in relation to developing a Code of Practice for Opal Mining. It was a very successful meeting and I’m now drafting the SA component of the Code and writing an application to Mining and Quarrying OHS Committee for funding to support the Alliance’s meetings.

• I Met with OZ Minerals representatives in relation to a Prominent Hill Bus Service Tender that they are proposing to implement to and from Coober Pedy for their workers. The bus service is intended to run 5 days per week and they indicated to me that they would like to see whether it would be possible to include some element of public services for Coober Pedy residents around town.

• I provided the Coober Pedy Drive-in Committee with options for sourcing funding grants for refurbishment of their facilities.

• I was elected as a Committee Member of the Coober Pedy Opal Miners Association at their recent AGM.

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Proposal To Rename Oxiana Oval

Moved: Cr M Maylin Seconded: Cr G Sykes

That Council agrees to rename ‘Oxiana Oval’ to ‘OZ Minerals Oval’ as

per the request outlined in the letter of Mr Ross Sawers dated 24th May

2010, on the basis that OZ Minerals meet all costs associated with the

proposal.

CARRIED

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Management Of Crocodile Harry's

From: Trevor McLeod, Chief Executive Officer

At the meeting on 20th April 2010, Council resolved to advertise for Expressions of Interest for the future sub-licensing, management and operation of Crocodile Harry’s. Furthermore Council resolved to accept the offer by Mr Tim Nagy to act in the temporary role of caretaker of Crocodile Harry’s until the future management and operation of the property is determined.

An advertisement was placed in the Coober Pedy Regional Times seeking Expressions of Interest and advising that any interested party will be responsible for any and all costs associated with sub-licensing the property from Council and ensure that a current public liability insurance policy is in effect at all times, which also indemnifies the District Council of Coober Pedy.

Council proposed the above course of action in order to ensure the historical preservation of the property is maintained and indicated that as such it will not be seeking any monetary gain from admission or other fees.

Interested parties were required to provide the following information:

• Management structure and type of operation proposed

• Relevant experience in the tourism and hospitality industry

• Relevant experience in the operation of a similar or like attraction

• Details of relevant courses undertaken

• Written confirmation of acceptance of terms of sub-licensing and public liability insurance costs.

At the closure date, Council had received the following Expressions of Interest:

1. Mr Tim Nagy

2. Mr Nick LeSouef

Submission by Mr Tim Nagy

• Letter from Brace Education Training Employment re NEIS training

• Certificates attesting to courses undertaken

• Exchange of emails with Mr John Lever (Karoona Crocodile Farm)

Mr Nagy’s Expression of Interest has addressed the criteria outlined above and, other than his minimal experience in the tourism and hospitality industry, complies with that criteria.

Submission by Mr Nick Le Souef

Mr Le Souef’s Expression of Interest is confined to the use of a small dugout room located some distance behind the main dugout. His reasons for use of this area only are detailed in his letter.

Mr Le Souef has not addressed the criteria outlined above however I believe this is due to the fact that his interest lies only with the small dugout and not

the operation of the property as a tourism venture. I have since contacted Mr Le Souef to clarify the details in his Expression of Interest and he subsequently asked for time to consider whether he would seek to manage the ‘whole’ complex or just that area detailed in his letter.

Mr Le Souef advises he will let me know on Monday 14th June if he wishes to add further to his original Expression of Interest. Any additional information will be provided prior to the Council Meeting.

Should Mr Le Souef decide to restrict his interest to that as originally detailed, I believe that it is inappropriate to have two (2) persons endeavouring to operate on the same property.

Moved: Cr B Staines Seconded: Cr M Maylin

That Mr Tim Nagy be advised that he is the preferred operator for the

management and operation of Crocodile Harry’s subject to satisfactory

contractual, management and operational arrangements being entered

into.

CARRIED

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Reimbursement Of Expenses - Mr Khuram Saleem Permanent

Residency Application

Moved: Cr M Maylin Seconded: Cr K Woon

That Council pay Mr Khuram Saleem the amount of $3,000

reimbursement towards expenses associated with his Permanent

Residency application on the basis that he serve a period of three (3)

years from the date of granting of his Permanent Resident Status and

should he leave Council’s employ prior to the expiration of that period

he will be required to repay that amount on a pro-rata basis.

CARRIED

WOOMERA & DISTRICTS FOOTBALL CLUB

ROUND 11 26^th June 10

Olympic Dam 9 goals 14 behinds 68 points defeated Roxby Districts 5 goals 3 behinds 33 points

Best players for OD 1^st S Peek 2^nd B Rynne 3^rd D Moyse 4^th M Spinks 5^th C Green

Goal scorers S Montgomerie B Rynne 2 goals R Summerton R Montgomerie D Webb C Green

M Barrie 1 goal each

Best players for Roxby 1^st J Rose 2^nd J Pyke 3^rd J Chislett 4^th S Crafter King 5^th J Smart

Goal scorers T Roberts 2 goals M Bennie S Finey K Zeptner 1 goal each

Hornridge 17 goals 16 behinds 118 points defeated Coober Pedy 10 goals 8 behinds 68 points

Best players for Hornridge 1^st N Tuthill 2^nd P Rhodes 3^rd R McDonald 4^th B Cooper 5^th M Blackie

Goal scorers C Rainsford 4 goals W Giles R McDonald J Carroll 2 goals each L Budden K Gill

L Malcolm P Rhodes L Munro N Tuthill B Cooper 1 goal each

Best players for CP 1^st A Shakes 2^nd Z McKenzie 3^rd J Crisa 4^th J Tappin 5^th A Dingaman

Goal scorers Z McKenzie 5 goals B Lennon J Tappin A Dingaman T Hannes F Kenny 1 goal each

Psalm 95 verses1 & 2: Come let us praise the Lord! Let us sing for joy to God, who protects us! Let us come before him with thanksgiving and sing joyful songs of praise.

Church Meeting Times Catacomb (Anglican) Sunday 9.30am Catholic Saturday 6.30pm Sunday 10am Coober Pedy Revival Fellowship Sunday 10.15 am, 7 pm Wed 7.30 pm Coober Pedy Brethren Sunday 10am
Coober Pedy Christian Home Church Sunday 3pm Ph 0417 814 559 or 0408 890 280 Coober Pedy Community Church - Assembly of God, Paxton Rd Sunday 10:00 am Wednesday 7:00 pm Friday Prayer Meeting: 7:30pm

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