1. Overview TRUenergy Yallourn June 2008

2. Internal Unrestricted1 2 TRUenergy Tallawarra Site MW Yallourn Brown coal-fired base load station and mine 1,480 HallettGas-fired peaking station 180 Newport and Jeeralang Gas-fired power station966 – TallawarraStage A CCGT (construction) Stage B OCGT (development) 400 500 Hallett Yallourn SEAGas Pipeline Retail assets Electricity assets Newport and Jeeralang Iona Gas Storage Brisbane Sydney Melbourne Adelaide Studland Bay wind farm Bluff Point wind farm Cathedral Rocks wind farm Iona Gas storage facility 12 PJ gas storage facility Gas assets Details SEAGas Pipeline 33% owner Mass marketElectricity - 700,000 customer accounts Gas – 500,000 customer accounts GreenPower Retail footprint Roaring 40’sManagement of wind assets in Australia, China and India 350 Industrial customer ~50,000 customer accounts 7 TWh AGILITY, ACHIEVEMENT TRUenergy – a major national integrated energy company

3. Internal Unrestricted1 3 Divider / Section title Sub Title Line TRUenergy Yallourn

4. Internal Unrestricted1 4 Plant Statistics Brown Coal Fired Units – burning coal of 65% moisture 30 Year Old Plant Unit 1 and Unit 2 - Commissioned 1974 / 75 (Stage 1) John Thompson boiler – Traditional Drum 350MW Toshiba/GE derived turbines Design Thermal efficiency 32% Unit 3 and Unit 4 - Commissioned 1981 / 82 (Stage 2) International Combustion boilers – Semi Once Through 375MW Toshiba/GE derived turbines Design Thermal efficiency 34%

5. Internal Unrestricted1 5 Plant Data » Unit 1 Unit 2 Unit 3 Unit 4 Commissioned 1974 1975 1981 1982 MCR (MW) 350 350 375 375 Running Hours 240,000 232,000 200,000 194,000 (To End 07) Average starts/year 10 10 12 15 Notional Design Life = 30 Years

6. Internal Unrestricted1 6 History Built for the State Electricity Commission of Victoria as part of utility fleet serving Victoria Generation as part of Government Instrumentality Station Privatised 1995/96 - POWERGEN China Light and Power Purchase 2001 Plan life mid 2020’s Coal Quality Low energy coal 7.3 MJ per kg LHV Low sulphur 0.23% dry basis Low ash 2% dry basis High moisture content 63% - 65%

7. Organisation Chart - Yallourn General Manager Yallourn Yallourn Site Asset Manager Power Station Maintenance Manager (Alliance Manager) Operations Manager Commercial Manager HR Manager Mine Manager Alliance Teams Mix of TRUenergy And Silcar Ops Teams Chemists Ops Performance Safety Health & Environmental Team Asset Management Team Commercial Team Estate Services Alliance RTL Alliance Operations And Maintenance Mine Infrastructure Group (TRUenergy) Mine Maintenance Silcar Sub-Alliance

8. Internal Unrestricted1 8 Alliances TRUenergy Yallourn – Alliance Contracts POWER STATION MAINTENANCE – Alliance With SILCAR - Teams combination of TRUenergy and SILCAR personnel MINE - Alliance with RTL - RTL Sub Alliance with Silcar for Mine Maintenance SECURITY & SUPPORT SERVICES - Alliance with Estate Services (Infraserve)

9. Internal Unrestricted1 9 Personnel Breakdown Total Site Including Mine = 493 People

10. Internal Unrestricted1 10 Plant Performance

11. Internal Unrestricted1 11 Operating Regime OPERATES IN NATIONAL ELECTRICITY MARKET Bids to generate on 5 minute basis with payment on half hour Base Load running Part of TRUenergy portfolio of Generation, Gas and Retail business Market can be volatile and unpredictable

12. Internal Unrestricted1 12 Yallourn Mine – Changed Mining Method

13. Internal Unrestricted1 13 Traditional Brown Coal Mining

14. Internal Unrestricted1 14 Dozer Technology

15. Internal Unrestricted1 15 Recent Major Activities Relocation of Morwell River to run through mine area Conversion of four units and common plant from analogue to digital controls Reblading of LP Turbine Last Stage Blades. Repack of RAH’s in Stage 1. Rewind of Unit 2 Generator.-2006 New Condenser in Unit 4 -2004

16. Internal Unrestricted1 16 PROJECTS Two new HIP Turbines to be installed on Stage 2 Units. 3% Efficiency improvement. Refurbish of Cooling Tower 3 Internals Re-tube Condenser U3. 2009

17. Internal Unrestricted1 17 Morwell River Diversion (MRD) Embankment geometry 3.5km clay lined channel 13 million cubic metres earth Channel designed for 1:10,000 year probability flood 70 m wide trapezoidal channel, 10 m deep Toe weights for stability on east and west sides of embankment Instrumentation and survey to monitor pressures and movements

18. Internal Unrestricted1 18 Major Challenges CARBON FOOTPRINT - BROWN COAL - High moisture (65%) results in low energy per kg and need to burn three times the amount compared to black coal - CO 2e produced approximately 1.3 tonnes per megawatt hour sent out - Low in ash and low in sulphur WATER SUPPLY - Low rainfall country - Focus on saving water - Competing demands for use of resource