Innovation – Australia’s First Air Dome Cell Cover at Sandy Ridge

• NT EPA Board has released the Chandler Assessment Report and Recommendation to the NT Minister for Environment
• The NT EPA supports the concept of Australia’s first dual underground rock salt mine and deep salt geological repository to manage hazardous wastes
• The NT EPA considers that subject to 19 recommendations in the Report, the Chandler Project can be managed in a manner that meets the NT EPA’s objectives
• The Project involves mining up to 750,000 tonnes per annum (tpa) of rock salt and receiving up to a maximum of 400,000 tpa of hazardous waste for approximately 25 years
• The next step is for the NT Minister for the Environment and Natural Resources and the Minister for Primary Industry and Resources to consider the EPA’s Report and make their determinations

Tellus Holdings Ltd (“Tellus”) is pleased to announce that the Northern Territory (NT) Environmental Protection Authority (EPA) Board has provided its Chandler Assessment Report (the Report) and recommendations to the NT Minister for Environment and Natural Resources. The NT EPA supports the concept of Australia’s first dual underground rock salt mine and deep salt geological repository to manage hazardous wastes. The Report considers that subject to the implementation of 19 recommendations, the Project can be managed in manner that meets the NT EPA’s objectives.

The proposal would involve mining up to 750,000 tonnes per annum (tpa) of rock salt, and receiving up to 400,000 tpa of waste from all over Australia, including the Australian Exclusive Economic Zone for approximately 25 years.

The proposal involves clearing up to 219 hectares of native vegetation for surface infrastructure at the Chandler Facility, 170 hectares of native vegetation for surface infrastructure at the Apirnta Facility, 93 ha of permanent disturbance along a private 31 km unsealed haul road linking the Apirnta Facility and Chandler Facility and, 180 ha of permanent disturbance along a private 60 km unsealed haul road linking the Apirnta facility with the Stuart Highway.

The Draft Terms of Reference for the Chandler EIS were originally issued to Tellus in June 2013 and updated and reissued in September 2016 under the Environmental Assessment Act. The EPA deemed that the Project be assessed by way of an Environmental Impact Statement (EIS), the highest level of assessment.

Tellus’ Draft EIS was published for public comment in February 2017. Public comments closed in April 2017. The Draft EIS received 23 submissions. Tellus responded to those comments in an EIS Supplement Report that was submitted in August 2017.

The EPA has completed its assessment of the environmental impacts of the Project, releasing its findings and recommended conditions today. The Report marks the end of the assessment process by the NT EPA. The EPA’s Report can be found here:

https://ntepa.nt.gov.au/environmental-assessments/projects-completed

The concept of a deep geological repository relies on both a natural geological barrier (salt bed) and man-made engineered barriers as components of a multi-barrier system. The objective is the permanent isolation of the enclosed hazardous waste from the biosphere.

• The NT EPA supports the concept of a deep geological repository that, with appropriate site selection, design, construction and operation, can safely capture and isolate existing and future hazardous waste streams.
• The NT EPA recognises the advantages on a whole -of-project perspective of managing and storing large volumes of hazardous waste in appropriate infrastructure in a tightly-regulated environment compared with storage at locations around Australia in temporary or insufficient infrastructure that may create contaminated sites or pose environmental hazards.
• Tellus and the EPA recognise that there is more site-specific information (including baseline data) to be provided by Tellus and review by regulatory authorities before approvals can be issued for the Project. This includes further geotechnical drilling for mine planning and groundwater drilling.
• The NT EPA has made 19 recommendations in their Report for future work to provide greater certainty that the long-term safety assessment of the Project is achievable and is the best option for disposing of Australia’s hazardous waste.
• In assessing this Project, the NT EPA has considered the design, operation, regulation and learnings of other deep geological waste repositories internationally.
• The NT EPA has made recommendations in the Report with the objective of achieving the best practicable environmental outcome.
• Tellus is to fund an independent auditor, an expert advisory group and independent process safety expertise to ensure that approval and licensing decisions are transparent, robust and based on the best available scientific and technical advice, and are independent of influence of Tellus.
• The NT EPA considers that subject to the implementation of the recommendations, the Project can be managed in manner likely to meet the NT EPA’s objectives and avoids significant or unacceptable environmental impacts.

The next step is the Northern Territory Minister for Environment and Natural Resources (the Minister) will consider the Report in making her decision under environmental legislation. The Minister must also provide the Report to the Minister for Primary Industry and Resources (the responsible Minister), who will consider the mining legislation when making his decision as to whether to approve the Project. This Report will guide the decision for a mining authorisation (by the responsible Minister), the NT EPA’s approval and licensing decisions under the Waste Management and Pollution Control Act (WMPC Act) and the decision for an approval under the Commonwealth Environment Protection and Biodiversity Conservation Act (EPBC Act).

“We have worked tirelessly and openly over seven years and spent millions of dollars to complete a thorough environmental, social, economic benefits and impacts assessment of the Chandler Project,” said Tellus Managing Director Duncan van der Merwe.

“Tellus recognises the professionalism of the Federal, Territory and Local Government decision making authorities, community, non-governmental organisations and business stakeholders during the EIS process. Tellus remains committed to our policy of “buy local and hire local” where possible. Our plan is to create 270 jobs (720 at peak) during the $676 million build phase and 180 jobs during the operations phase. Tellus sees waste as a valuable resource where we should find ways for it to re-enter the circular economy or stored safely until it can be reused or recycled. This in turn generates additional jobs and local and regional business opportunities. We look forward to a positive decision by the responsible Ministers in the coming months.”

About Tellus Holdings:
Tellus Holdings Ltd (“Tellus”) is an infrastructure development company in the business of creating economic, social and environmental value from waste, clay and salt resources. This dual revenue model involves mining the commodities kaolin clay and rock salt in thick dry remote beds which creates world’s best practice geological repositories. The voids created by mining are then used to store equipment, archives and waste using a multi- barrier system as part of an integrated safety case. Tellus plans to permanently isolate hazardous waste using environmentally sound management (ESM) principles that protect the environment and human health. Tellus also uses long-term storage that supports the circular economy by placing like-with-like materials for operational safety reasons and to create opportunities for the future recovery of valuable materials. Tellus’ business model mirrors overseas solutions operating in the UK, Europe and North America. Tellus is developing the proposed Sandy Ridge facility in Western Australia (WA) and the proposed Chandler facility in the Northern Territory (NT). Both Sandy Ridge and Chandler were awarded Major Project Facilitation Service by the Australian Government and Chandler was awarded Major Project Status by the NT Government.

For further information:
Visit: www.tellusholdings.com.au or contact:

Duncan van der Merwe
Managing Director
Tel: +61 (0)2 8257 3395

Cameron Morse
FTI Consulting (Media)
Tel: +61 (0)8 9485 8888

• WA EPA has released the Sandy Ridge Report and Recommendation to the WA Minister for Environment
• The WA EPA supports the concept of Australia’s first dual open-cut kaolin mine and near-surface geological waste repository
• The WA EPA recognises site selection as the most critical consideration for a near-surface geological waste repository. The Sandy Ridge site-specific characteristics are suitable
• The WA EPA concludes the proposal is environmentally acceptable and therefore recommends that the proposal may be implemented subject to conditions
• The project involves mining up to 290,000 tonnes per annum (tpa) of kaolin clay and receiving up to a maximum of 100,000 tpa of Class IV and V waste for approximately 25 years
• The next step is for the WA Minister for Environment to consider the EPA’s report and make his determination

Tellus Holdings Ltd (Tellus) is pleased to announce that the Western Australian (WA) Environmental Protection Authority (EPA) has released its advice and recommendations to the WA Minister for Environment regarding Tellus’ proposed Sandy Ridge Project. The WA EPA supports the concept of Australia’s first dual open-cut kaolin mine and near-surface geological waste repository. The report concludes that the proposal is environmentally acceptable and recommends the proposal for implementation subject to conditions.

The proposal would involve mining up to 290,000 tonnes per annum (tpa) of kaolin clay, and receiving up to 100 000 tpa of waste from all over Australia, including the Australian Exclusive Economic Zone for approximately 25 years.

The proposal involves clearing up to 202.3 hectares of native vegetation for kaolin mining pits/ waste cells and 75 hectares for associated infrastructure within a 1,004.2 hectare development envelope.

The proposal was referred to the EPA in May 2016 under section 38 of the Environmental Protection Act 1986. The EPA deemed that the Project be assessed by way of a Public Environmental Review (PER), the highest level of assessment. Tellus’ PER was published for public comment in December 2016. Public comments closed on 7 March, 2017. The PER received 16 submissions. Tellus responded to those comments in a Response to Submissions Report that was submitted in August 2017.

The EPA has completed its assessment of the environmental impacts of the Project, releasing its findings and recommended conditions today. The Report marks the end of the assessment process by the WA EPA. The EPA’s report can be found here:

http://www.epa.wa.gov.au/proposals/sandy-ridge-project

The EPA recognises that site selection is the most critical consideration for a near-surface geological waste repository.

The EPA has also taken the following into account in its assessment of the proposal as a whole:

• The site’s characteristics of geological stability, deep impermeable clay soils, low rainfall, low land erosion potential and remoteness;
• The presence of a similar waste facility in the region since 1991, that has demonstrated the suitability of the localities characteristics.;
• The absence of a discernible water table;
• The impacts to the key environmental factors including Terrestrial Environmental Quality, Flora and Vegetation, Human Health, Terrestrial Fauna, and Inland Waters Environmental Quality;
• The EPA’s confidence in the proponent’s proposed mitigation measures, including the preparation and implementation of a Construction Environmental Management Plan;
• The relevant EP Act principles, including the precautionary principle, principles relating to improved valuation, pricing and incentive mechanisms and the principle of waste minimisation;
• The EPA’s environmental objectives for Terrestrial Environmental Quality, Flora and Vegetation, Human Health, Terrestrial Fauna, and Inland Waters Environmental Quality; and
• The EPA’s view that the impacts to the Terrestrial Environmental Quality, Flora and Vegetation, Human Health, Terrestrial Fauna, and Inland Waters Environmental Quality are manageable, provided the recommended conditions are imposed.

Given the above, the EPA has concluded that the proposal is environmentally acceptable and therefore recommends the proposal for implementation subject to the conditions recommended in Appendix 5 of the EPA report.

The next step is the WA Minister for the Environment will consider the EPA’s report and recommendations in making his decision as to whether to approve the Project.

“We have worked tirelessly and openly over five years and spent millions of dollars to complete a thorough environmental, social, economic benefits and impacts assessment of the Sandy Ridge Project,” said Tellus Managing Director, Duncan van der Merwe.

“Tellus recognises the professionalism of the Federal, State and Local Government decision making authorities, community, non-governmental organisations and business stakeholders during the PER process. Tellus remains committed to our policy of “buy local and hire local” where possible, and our plan is to create 90 jobs during the build phase and 46 jobs during the operations phase. Tellus sees waste as a valuable resource where we should find ways for it to re-enter the circular economy or stored safely until it can be reused or recycled. This in turn generates additional jobs and local and regional business opportunities. We look forward to a positive decision from the Environment Minister in the coming months.”

About Tellus Holdings:
Tellus Holdings Ltd (“Tellus”) is an infrastructure development company in the business of creating economic, social and environmental value from waste, clay and salt resources. This dual revenue model involves mining the commodities kaolin clay and rock salt in thick dry remote beds which creates world’s best practice geological repositories. The voids created by mining are then used to store equipment, archives and waste using a multi- barrier system as part of an integrated safety case. Tellus plans to permanently isolate hazardous waste using environmentally sound management (ESM) principles that protect the environment and human health. Tellus also uses long-term storage that supports the circular economy by placing like-with-like materials for operational safety reasons and to create opportunities for the future recovery of valuable materials. Tellus’ business model mirrors overseas solutions operating in the UK, Europe and North America. Tellus is developing the proposed Sandy Ridge facility in Western Australia (WA) and the proposed Chandler facility in the Northern Territory (NT). Both Sandy Ridge and Chandler were awarded Major Project Facilitation Service by the Australian Government and Chandler was awarded Major Project Status by the NT Government.

For further information:
Visit: www.tellusholdings.com.au or contact:

Duncan van der Merwe
Managing Director
Tel: +61 (0)2 8257 3395

Cameron Morse
FTI Consulting (Media)
Tel: +61 (0)8 9485 8888

• Wallis Drilling awarded stage four drilling contract for 45 new aircore holes and 8 bores
• Environmental monitoring bores to meet commitments from Public Environmental Review
• Golder Associates awarded contract for geotechnical site investigations

Tellus Holdings Ltd (“Tellus”) is pleased to announce that it has commenced stage four drilling program and targeted site investigations at its Sandy Ridge Project. Tellus has awarded five contracts to support the detailed site investigations, design and construction planning.

The 53 new drill holes will complement the existing 271 holes and 7,939m drilled in the project area over the last three drilling programs. In anticipation of receiving regulatory approvals and gearing up for construction and operational readiness, this drilling is focused on the infrastructure footprint and will support the detailed design of the proposed bulk earthworks, pavements and first waste cell.

Other drilling support services and site investigation contracts that have been awarded include:

• •Golder Associates – civil geotechnical site investigations, laboratory testing and analysis
• Continental Resource Management (CRM) – geology
• Rapid Dam Contractors – site clearing and test pits
• Terra Search – camp and field support.

“We have a strong preference for contracting with local companies where possible. Tellus is pleased to have awarded the drilling contract and the drilling support service contracts to local West Australian firms,” said Managing Director, Duncan van der Merwe.

About Tellus Holdings:
Tellus Holdings Ltd (“Tellus”) is an infrastructure development company in the business of creating economic, social and environmental value from waste, clay and salt resources. This dual revenue model involves mining the commodities kaolin clay and rock salt in thick dry remote beds which creates world’s best practice geological repositories. The voids created by mining are then used to store equipment, archives and waste using a multi- barrier system as part of an integrated safety case. Tellus plans to permanently isolate hazardous waste using environmentally sound management (ESM) principles that protect the environment and human health. Tellus also uses long-term storage that supports the circular economy by placing like-with-like materials for operational safety reasons and to create opportunities for the future recovery of valuable materials. Tellus’ business model mirrors overseas solutions operating in the UK, Europe and North America. Tellus is developing the proposed Sandy Ridge facility in Western Australia (WA) and the proposed Chandler facility in the Northern Territory (NT). Both Sandy Ridge and Chandler were awarded Major Project Facilitation Service by the Australian Government and Chandler was awarded Major Project Status by the NT Government.

For further information:
Visit: www.tellusholdings.com.au or contact:

Duncan van der Merwe
Managing Director
Tel: +61 (0)2 8257 3395

Cameron Morse
FTI Consulting (Media)
Tel: +61 (0)8 9485 8888

• GR Engineering Services Ltd (GRES) awarded “preferred EPC tenderer” status
• Early engineering works commenced with GRES
• Turner and Townsend Pty Ltd (T&T) awarded “preferred PMC tenderer” status

Tellus Holdings Ltd (“Tellus”) is pleased to announce it has awarded preferred Engineering, Procurement and Construction (EPC) tenderer status to GRES and preferred Project Management Consultant (PMC) tenderer status to T&T for its Sandy Ridge Project in Western Australia.

Additionally, Tellus has awarded preferred Project Management Consultant tenderer status to T&T. The PMC will assist Tellus in managing the construction phase and handover to Tellus operations.

In parallel with the engineering works initiated with GRES, Tellus has also commenced project planning with T&T as part of its wider construction readiness program.

“By getting the construction planning and framework right with such experienced contractors, Tellus is confident that we can deliver Sandy Ridge on time, on budget and within the agreed scope,” said Managing Director, Duncan van der Merwe.

About GR Engineering Services Limited
GR Engineering Services Limited (ASX:GNG) is an engineering, consulting and contracting company specialising in fixed price engineering design and construction services to the resources and mineral processing industry. Founded in Perth, Western Australia in 2006, G.R. Engineering has rapidly grown through the completion of design and construction projects and studies for a diverse range of clients, including global mining houses, mid-tier miners and junior developers undertaking their first project.
Visit: http://www.gres.com.au/

About Turner and Townsend Pty Ltd
Turner & Townsend is a globally respected professional services company specialising in programme management, project management, cost and commercial management and advisory across the real estate, infrastructure and natural resources sectors. They operate 104 offices in 44 countries.
Visit: http://www.turnerandtownsend.com/

About Tellus Holdings:
Tellus Holdings Ltd (“Tellus”) is an infrastructure development company in the business of creating economic, social and environmental value from waste, clay and salt resources. This dual revenue model involves mining the commodities kaolin clay and rock salt in thick dry remote beds which creates world’s best practice geological repositories. The voids created by mining are then used to store equipment, archives and waste using a multi- barrier system as part of an integrated safety case. Tellus plans to permanently isolate hazardous waste using environmentally sound management (ESM) principles that protect the environment and human health. Tellus also uses long-term storage that supports the circular economy by placing like-with-like materials for operational safety reasons and to create opportunities for the future recovery of valuable materials. Tellus’ business model mirrors overseas solutions operating in the UK, Europe and North America. Tellus is developing the proposed Sandy Ridge facility in Western Australia (WA) and the proposed Chandler facility in the Northern Territory (NT). Both Sandy Ridge and Chandler were awarded Major Project Facilitation Service by the Australian Government and Chandler was awarded Major Project Status by the NT Government.

For further information:
Visit: www.tellusholdings.com.au or contact:

Duncan van der Merwe
Managing Director
Tel: +61 (0)2 8257 3395

Cameron Morse
FTI Consulting (Media)
Tel: +61 (0)8 9485 8888

• GIC provided advisor and lead manager role for AU$22.4 M capital raising over 2013 and 2015
• GIC was co-manager for AU$15.0 M capital raising during 2016

Tellus Holdings Ltd is pleased to advise that its 2017 Annual General Meeting was held yesterday. The Company advises that the sole resolution put to the members was duly passed.

The results of the meeting are set out in the attached table.

Fig 1: Tellus Board at the 2017 AGM

If would like a copy of the presentation delivered at the AGM, please contact the Company Secretary via e-mail on info@tellusholdings.com.au.

Yours sincerely
Tellus Holdings Ltd Allan Luu Company Secretary

Resolution 1: Election of Mr. Philip Garling as a Director

“That Mr. Philip Garling, who will retire at the close of the Meeting in accordance with Clause 1.11 (a) of the Company’s Constitution, and being eligible, offers himself for re-election, be re-elected as a director of the Company”.

The votes in favour of the resolution in respect of validly appointed proxies were:

• 2017 AGM Notice of Meeting Circulated Monday 23 October 2017 by post

Tellus Holdings Ltd (“Tellus”) is pleased to announce that the Notice of Meeting for the 2017 Annual General Meeting (AGM) was distributed by post to all shareholders on Monday 23 October 2017.

The Notice of Meeting was sent to the address of each shareholder as held by our shareholder administration service provider, BoardRoom Limited (“BoardRoom”).

Shareholders that need to update their personal details should contact Tellus’ Company Secretary or BoardRoom on the details below. Shareholders are reminded to regularly update their personal details held by BoardRoom so as to receive all shareholder correspondence.

Company Secretary contact details:
Allan Luu
Company Secretary
Suite 2, Level 10, 151 Castlereagh Street, Sydney, NSW, 2000
Tel: +61 2 8257 3395 / Fax: +61 2 8233 6199
E‐mail: info@tellusholdings.com

BoardRoom contact details:

Address: Grosvenor Place
Level 12, 225 George Street
Sydney NSW 2000
Post: GPO Box 3993
Sydney NSW 2001
Phone: 1300 737 760 (in Australia)
+61 2 9290 9600 (international)
Web and email: https://boardroomlimited.com.au/contact‐us/

About Tellus Holdings:
Tellus Holdings Ltd (“Tellus”) is an infrastructure development company in the business of creating economic, social, and environmental value from waste, clay and salt resources. This dual revenue model involves mining the commodities kaolin clay and rock salt in thick dry remote beds which creates world’s best practice geological repositories. The voids created by mining are then used to store equipment, archives and waste using a multi‐ barrier system as part of an integrated safety case. Tellus plans to permanently isolate hazardous waste using environmentally sound management (ESM) principles that protect  the environment and human health. Tellus also uses long‐term storage to support the circular economy by placing like‐with‐like materials for operational safety reasons and to create opportunities for the future recovery of valuable materials. Tellus’ business model mirrors overseas solutions operating in the UK, Europe and North America. Tellus is developing the proposed Sandy Ridge facility in Western Australia (WA) and the proposed Chandler facility in the Northern Territory (NT). Both Sandy Ridge and Chandler were awarded Major Project Facilitation Service by the Australian Government and Chandler was awarded Major Project Status by the NT Government.

For further information:
Visit: www.tellusholdings.com.au or contact:

Duncan van der Merwe
Managing Director
Tel: +61 (0)2 8257 3395

Cameron Morse
FTI Consulting (Media)
Tel: +61 (0)8 9485 8888