Hazelwood Rehabilitation Project Community Information Meeting 14 March 2018

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1 Hazelwood Rehabilitation Project Community Information Meeting 14 March 2018

2 Contents 1 Changes to batter stability methodology 2 Station Decommissioning 3 Mine Decommissioning 4 Mine Work Plan Variation Questions

3 Changes to batter stability methodology

4 Changes to batter stability methodology To ensure a safe, stable and sustainable final landform at the rehabilitated Mine, the Hazelwood Rehabilitation Project is changing the methodology for batter stability work. The new approach follows a material displacement in September 2017 and subsequent reviews by the company and regulators. The new methodology, developed with independent external experts, identified the ongoing use of the bucket wheel excavator and stacker method was not suitable for long-term rehabilitation activities, nor viable in the wet winter months. In line with expert recommendations, rehabilitation activities will now revert to a truck and shovel process using existing contractors and local labour. The methodology to be used relies on truck and shovel earth movements, using excavators and haul trucks, to build batters from the base up using high-quality materials. This differs from the top down bucket wheel excavator and stacker method which does not allow for the same precision of earth movement and selection of quality material. The change in process will result in the loss of 60 jobs around 30 June six months earlier than originally estimated. 4

5 Station decommissioning

6 Station decommissioning Decommissioning Phase 2 Mechanical decommissioning including: Draining systems Mechanical disconnection from potential energy sources Uncoupling, unbolting and degreasing Make safe Electrical decommissioning: De-energise Carry out activities to ensure plant cannot be re-energised Maintain critical infrastructure (fire pumps and lighting) Full electrical disconnection from the switchyard occurred 28 February 2018 Over 90% of the Station decommissioning project scope is complete. Scheduled completion 31 May Chimney integrity inspection program currently underway. Several large repair areas have been identified on Unit 2 chimney with remediation work to be undertaken. Continue to prepare the plant in a form which enables it to be handed over to a demolition contractor. 6

7 Mine decommissioning and rehabilitation

8 Mine decommissioning and rehabilitation Eastfield Eastern Batters rehabilitation work completion of hectares of the Eastern Batters ahead of Christmas. These batters are in the area of the Mine visible from the Princes Freeway and involved laying back the batters, capping the exposed coal with clay and topsoil. Work continues on the reshaping of the Mine Eastfield Eastern Batters Earthworks, Beaching and Drainage above the full pit lake level (RL45). These works are being completed by Mine plant and equipment. The removal of used steel cord conveyor belting as part of Mine decommissioning will significantly reduce the risk of fire in the area around the M170 conveyor belt reel yard. 8

9 Mine decommissioning and rehabilitation Fugitive Dust Management Areas under active rehabilitation include: High risk days Hazelwood Ash Ponds (Numbers 1, 2A, 4 and HARA) - ~ 100 Hectares Hazelwood Mine Areas Eastfield Eastern Betters, Westfield Southern Batters, Northfield Eastern Batters Hectares rehabilitated to date (Mine life) 145 Hectares still to complete. Borrow Pits areas being established to provide clay and top soil for rehabilitation - 91 Hectares Mine Surface Area 1200 Hectares (Full Pit lake surface area) With large areas under going rehabilitation, windy days present an ongoing issue A recent example Wednesday 14 February 2018, maximum recorded wind speed 78 km/hr (gale force), the day was typically at Strong to near Gale force all day Active dust controls in place Surface sprays for wetting down exposed areas Traffic management procedures including haul road water spraying Work cessation on high risk days Polymer sealants on Ash Pond Number 4 Strategic surface mulching (HAP 4) Dust monitoring fixed deposition gauges, moving to real-time monitoring PM10 and PM2.5 Capping and rehabilitation of ash ponds will be progressively completed over next one five years 9

10 Mine Work Plan Variation

11 Introduction The Hazelwood Mine works under two major pieces of Mining Legislation: The Mineral Resources Sustainable Development Act 1990 and Regulations 2015 The Mine Licence MIN 5004 sets out conditions by which the Mine must operate. The Mine Work Plan Variation (WPV) sets out how the conditions will be met by the Mine and sets out at a high level, the work methodology including progressive and final rehabilitation Hazelwood Mine s most recent approved Work Plan Variation (WPV) is the 2009 WPV which was developed following a detailed Environmental Effects Statement. The plan detailed the mining of overburden and coal until 2031, and included a rehabilitation concept of a partial pit lake. Following the business closure announcement, a new 2017 WPV has been developed to reflect the reduced Mine life. The 2017 WPV provides details on the operations planned in the mining licence area following Station closure. It highlights the range of technical studies required to be completed to inform the final rehabilitation plan providing a road map on how this plan can work, given the current dynamic environment. The WPV contains the current approved 2009 rehabilitation closure concept along with an alternative closure concept of a full pit lake. The WPV details the continuing management for mine stability and coal fire risk. Upon regulatory review the 2017 WPV was approved in December

12 Current Activities 2017 Work Plan Variation Introduction Steps through the Mining Licence and history of the Mine: Description Plans Ownership Lessees Changes to 2009 WPV: Updated RAMP Updated GCMP Technical data (background setting) IPSCCP Period: Rehabilitation: Immediate post Station Closure and Closure Planning Period Works being done immediately post Station closure Closure Plan Framework Closure concepts Rehabilitation domains, incorporating risk assessments Risk Assessment and Management Community Engagement Fire Control Research and Technical Studies 12

13 Longer Term Closure Planning Partial Pit Lake 13

14 Longer Term Closure Planning Full Pit Lake 14

15 Current Activities 2017 WPV Rehabilitation Domains. 15

16 Current Activities 2017 WPV Domain Example 16

17 Future Planned Mine Activities Limited work according to the 2017 WPV, identified in each of the domain plans, specifically in the next two years: Coal re-profiling Eastfield Eastern Batters including rehabilitation work around the Knuckle. Initial geotechnical studies show some areas within the Mine require long-term stabilisation. This is achieved through the addition of toe support or buttressing: Overburden material which is placed at the base of the Mine batters to stop the risk of it long-term movement term. This activity will occur along the South Eastfield Southern Batters and Westfield Southern Batters. Continued re-profiling of coal and overburden above the final lake level. Continued fire management and ground control management. 17

18 Future Planned Mine Activities Limited work according to the 2017 WPV, identified in each of the domain plans, specifically in the next two years: Coal re-profiling Eastfield Eastern Batters, rehabilitation work around the knuckle Overburden placement along the South Eastfield Southern Batters and Westfield Southern Batters Continued re-profiling of coal and overburden above the final lake level Continued fire management and ground control management Undertake a range of technical studies that will help us to conclude what is best final landform option from a Safe, Stable and Sustainable perspective, specifically: Geotechnical studies Water studies Lake water quality Water availability Future land use Environmental studies Development of the final Rehabilitation Closure Plan These studies and plan development are expected to take over two - three years and build in learnings from the Integrated Mine Research Group (IMRG) and the Latrobe Valley Regional Rehabilitation Strategy (LVRSS) 18

19 Actual Rehabilitation Coal profiling and coverage Eastfield Eastern Batters 19

20 Questions