TAX NEWS - JUNE 2010

Mine tax creates Northern Energy mine uncertainty - Australia Tax

04 June 2010 -- Northern Energy says a cloud now hangs over its planned mine north of Maryborough due to uncertainty from the Federal Government's proposed resources tax.

An application is currently before the Queensland Government to mine up to 500,000 tonnes of coking coal from the site at Colton.

Managing director Keith Barker says the proposed tax could affect its plans.

"We've yet to commit to the major expenditure which is the $60 million of capital and there is a big cloud ... over that commitment given the uncertainty the super profits tax has generated," he said.