Bandanna Energy Limited (ASX:BND) Submits Initial Advice Statements to Start Environmental Approval Process for Arcturus and Springsure Creek Projects

Brisbane, Nov 30, 2010 AEST (ABN Newswire) - Bandanna Energy Limited (ASX:BND) has taken an important step towards the future development of its "Golden Triangle" opportunities in Queensland's Bowen Basin, announcing the start of the statutory environmental approval process for its Arcturus and Springsure Creek projects through the submission of Initial Advice Statements to Government.

Bandanna Energy expects the assessment process will involve the detailed technical assessment of the environmental, social and economic aspects for these two projects and a series of public meetings.

Springsure Creek and Arcturus are located within 14km of each other in Bandanna's so called "Golden Triangle" of projects.

The company has previously announced an upgrade in JORC compliant Resources to 324 million tonnes and an inaugural JORC compliant Marketable Reserve of 49.2 million tonnes at Springsure Creek in addition to updated JORC compliant Resources of 206 million tonnes and an inaugural JORC compliant Marketable Reserve of 44.3 million tonnes at the Arcturus project.

Bandanna Energy has a total JORC compliant Resources of 1.385 billion tonnes in it project portfolio making it the largest listed thermal coal explorer on the ASX.

The significant upgrade in resources for both projects has clearly vindicated Bandanna's successful port allocation of 4 Mtpa in Stage 1 of the proposed Wiggins Island Coal Export Terminal at Gladstone which is subject to Bandanna signing a Take or Pay Agreement and WICET reaching financial close in April 2011.

Managing Director of Bandanna Energy, Dr Ray Shaw, said the environmental assessment would be a thorough and rigorous process undertaken in accordance with the relevant environmental legislation and represent a crucial step towards development of these prime Bowen Basin projects for Bandanna Energy.

Contact

Dr Ray Shaw Managing Director Bandanna Energy Limited Tel: +61-7-3041-4400 Andrew Crook Mb: +61-419-788-431 http://www.bandannaenergy.com.au