Pasminco Begins Process To Sell Us Operations

Pasminco has commenced a process to sell its Clarksville Zinc Plant and mines at Gordonsville and Clinch Valley in Tennessee.

The sale is part of a strategic asset review that followed the appointment of Voluntary Administrators on 19 September 2001. The sale process for the Century Mine in Queensland and the Broken Hill Mine in New South Wales are already well advanced.

Pasminco has owned the 110,000 tonne zinc plant and the mines since February 1999 when they were acquired as a part of the on market takeover of Savage Resources.

Pasminco Chief Executive Officer Mr Greig Gailey said that although the United States operations had performed well for Pasminco, the current operating environment necessitated a move to refocus the company’s operations.

Mr Gailey said that interest in the operations was encouraging however, he would not comment on the identity of potential purchases or proposed timetable for the sale.

Pasminco Administrators Ferrier Hodgson continue to work on an overall proposal for the company’s future. A second meeting of creditors at which this proposal will be put forward must be convened no later than 7 April 2002.

For further information contact:

Peter Griffin
Group Manager Public Affairs
++61 (3) 9288 0463 or 0419 314 265

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