CLASS ACTION AGAINST PASMINCO STRUCK OUT.

The Federal Court in Sydney today struck out an application for a class action relating to alleged damage caused by the long term effects of lead emissions from Pasminco’s lead and zinc smelters at Cockle Creek and Port Pirie.

Managing Director and Chief Executive of Pasminco, Mr David Stewart, said that since its formation in 1988, the company had accepted full responsibility for its environmental performance. He added that Pasminco had also accepted an obligation to address the legacies of the past - even though much of the lead contamination had occurred before Pasminco’s inception.

“We have worked hard to manage our business responsibly in line with changing community expectations, standards and regulations. We have committed significant capital and managerial effort towards improving environmental performance, particularly at the Port Pirie and Cockle Creek sites.

“In addition to the continuing investment to improve and upgrade our operations, we have always acknowledged and supported government, regulatory and community initiatives to foster a healthy, safe and enjoyable environment for our employees and the people in the communities where we operate.

In relation to the particular claims which led to the class action against Pasminco, Mr Stewart said that Pasminco would speak with all of the stakeholders involved to find the most responsible path which would achieve long term satisfaction and resolution of issues of concern.

“We will increase our support for the education, monitoring and remediaton work of the environmental and community health centres in Port Pirie and Cockle Creek and will review our mechanisms for providing assistance where property has been impacted in some way by our operations.”

Mr Stewart said he welcomed the Federal Court’s decision on Pasminco’s application on the issue of the jurisdiction.

“Legal action such as this can be a harrowing experience for everyone concerned, can divide a community and does little to promote improvement or progress across a range of issues that influence a community’s aim of achieving a healthy and sustainable quality of life. We would rather deal directly with people who feel affected because every individual circumstance is different.

“While individual applicants to the class action remain free to consider alternative legal action following today’s decision, I hope they will choose to approach the company directly.”

Pasminco had asked the Federal Court to rule that it did not have jurisdiction to hear the class action relating to its processing operations at Cockle Creek and Port Pirie.

The Court dismissed the claimed federal causes of action arising from the claims raised by the applicants involving allegations that emissions from Pasminco`s smelter constituted `defective` `goods` which it `manufactured` and `supplied` to them.

For further information contact:

Peter Griffin
Group Manager - Public Affairs
61 3 9288 0463 or 0419 314 265

Trevor Shard
Group Manager - Investor Relations
61 3 9288 9186 or 0419 584515

David Lambert
General Counsel
61 3 9288 0425 or 0419 346 004

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