The Company is currently operating two mining contracts in Central Queensland, with a Corporate office in Sydney CBD.

Aquila / Bundoora

Bounty is contracted by Anglo American Metallurgical Coal Pty Ltd ("AAMC") to provide thin seam development and bord and pillar contract mining services up to 450,000 tonnes per annum of coal extraction, with the Company's mining fleet at the Aquila coal mine in Queensland. The contract also provides for remnant bord and pillar coal mining of 750,000 tonnes of coal over an 18 month period, utilising the client's equipment at the neighbouring Bundoora mine. These services include extraction of coal, underground transporting of coal and discharging onto the Aquila and Bundoora underground conveyor systems. The contract's term is to August 2012 with the client having an option to extend the term by 12 months. The Company is currently building up to full scale production capacity at Aquila including installation of the Company's continuous haulage system by the end of January 2011. The Bundoora operation is expected to commence at the end of February 2011.

The contract is a "cost plus" arrangement, with an additional "At Risk Fee" for achieving certain production targets. While the contract can be terminated by the client for convenience, Bounty has negotiated a longer notice period than previously, with substantial de-mobilisation payments from the client.

Oaky Creek North

The Company has a labour hire contract with Oaky Creek Coal Pty Ltd, a subsidiary of Xstrata Limited, to assist in gate road and mains development at the Oaky North coal mine. The current contract expires on 4 December 2010. This contract utilises the client's equipment to assist in development of roadways for the Oaky North longwall system.

The contract is a "cost plus" arrangement.

The Company is currently in negotiations with the mine's management to expand the services of the contract to a full 24 hour operation, including two additional crews, and for a replacement longer term contract. Negotiations to date include provisions for performance-based bonus payments and demobilisation payments.