Ann: Refinancing Package, page-14

I live in Blackwater and work across the road at Blackwater mine. I'm hearing redundancies are being handed out in all areas, office based, engineers, leadership roles, tradies, and operators. Many who have been there for a long time which worries me as knowledge of how things work will be lost. This happened in 2014/15 at Blackwater mine and much knowledge of the site and operation was lost. This is all my own view and happy to listen to someone with an opposing view.

Goldings have increased their presence on the dirt and coal digging side at 'Curragh Main' and Theiss still remain with a large presence at 'Curragh North'. Basically, Curragh staff only look after Draglines and coal load out facilities. Ultimately, contract mining gives you some good control on production volumes and costs, as the contractor will mobilise more equipment to meet their contracted volume and do this for a locked in price.

I will admit Curragh are consistent in their production volumes. BHP's Blackwater mine is an exact replica of Curragh (essentially the same geology at the same depts) and they have struggled to produce 1.5 mill tonnes a quarter vs Curragh's three million a quarter. Curragh has always been pretty consistent with its production volumes. Go have a look at BHP quarterlies and you can compare volumes.

An experienced, retired engineer from Curragh wrote a detailed book about Curragh's history a few years back, before Wesfarmers sold out. worth reading if you are an investor in CRN. It's not published, so will go to the local library and grab a copy. I will also call them to see if they have copies lying around.

I have always thought that CRN has been undervalued. I believe the value of their Curragh Mine and American mines is more than their market cap. To realise this value management need to be better stewards of the capital. Recent history confirms they aren't.