Fortescue congratulates Julia Gillard

Fortescue congratulates the appointment of Julia Gillard as Australia’s new Prime Minister
Acknowledges her commitment to negotiate a fairer tax system

PERTH 24 June 2010:

Fortescue Metals Group Limited (Fortescue) has today welcomed the appointment of Ms Julia Gillard as Australia’s new, and first female, Prime Minister.

Fortescue Chief Executive Officer, Mr Andrew Forrest, said Ms Gillard’s appointment was a reflection of the concern the Australian community had with various elements of the Rudd Government’s handling of policy, and particularly the proposed Resource Super Profits Tax (RSPT).

“In its existing form, the insidious consequences of the RSPT proposal had the potential to seriously deter the continued growth of the Australian mining industry. This would have harmed the chances of thousands of Australians seeking to secure lifelong careers in Australia’s dynamic mining industry,” Mr Forrest said.

Mr Forrest said Fortescue appreciated Ms Gillard’s commitment to open the Government’s doors to negotiate with the mining industry to establish a fairer tax system for all Australia.

“Ms Gillard and her new Government have realised that Government policy is best effected through open and honest consultations with the Australian people and industry. This will avoid the potential of the previous strategy that may have derailed the strength of our economy.”

As a result, Fortescue will contribute to constructive and open negotiations with the Government and the rest of the Australian mining industry to achieve a sound outcome that will not penalize the industry, a foundation of the Australian economy, against its international competitors.

“As we had previously declared, the initial structure of the proposed RSPT is dead and buried. We look forward to working with the Government and the mining industry to establish a fairer taxation framework that will encourage continued investment in Australian mining and promote the long term sustainability and international integrity of our world class mining projects,” Mr Forrest said.

For further information, please contact:
Paul Downie
(08) 9386 1233
0414 947 129