Western Australia: Iron Ore (Hamersley Range) Agreement Act 1963 (WA)

Western Australia Iron Ore (Hamersley Range) Agreement Act 1963 Western Australia Iron Ore (Hamersley Range) Agreement Act 1963 Contents 1. Short title 1 2. Terms used 1 3. Agreement approved and provisions to take effect 1 3A. First Supplementary Agreement 1 3B. Second Supplementary Agreement 1 3C. Third Supplementary Agreement 1 3D. Fourth Supplementary Agreement 1 3E. Fifth Supplementary Agreement 1 3F. Sixth Supplementary Agreement 1 3G. Seventh Supplementary Agreement 1 3H. Eighth Supplementary Agreement 1 3I. Ninth Supplementary Agreement 1 3J. Tenth Supplementary Agreement 1 4A. Variation of Agreement to increase rates of royalty 1 4B. Variation of Second Supplementary Agreement to increase rates of royalty 1 4C. Eleventh Supplementary Agreement 1 4D. Twelfth Supplementary Agreement 1 4E. State empowered 1 4F. Thirteenth Supplementary Agreement 1 4G. Fourteenth Supplementary Agreement 1 4H. Fifteenth Supplementary Agreement 1 4I. Sixteenth Supplementary Agreement 1 4J. Seventeenth Supplementary Agreement 1 4. By‑laws 1 First Schedule — Iron Ore (Hamersley Range) Agreement Second Schedule — First Supplementary Agreement Third Schedule — Second Supplementary Agreement Fourth Schedule — Third Supplementary Agreement Fifth Schedule — Fourth Supplementary Agreement Sixth Schedule — Fifth Supplementary Agreement Seventh Schedule — Sixth Supplementary Agreement Eighth Schedule — Seventh Supplementary Agreement Ninth Schedule — Eighth Supplementary Agreement Tenth Schedule — Ninth Supplementary Agreement Eleventh Schedule — Tenth Supplementary Agreement Twelfth Schedule — Eleventh Supplementary Agreement Thirteenth Schedule — Twelfth Supplementary Agreement Fourteenth Schedule — Thirteenth Supplementary Agreement Fifteenth Schedule — Fourteenth Supplementary Agreement Sixteenth Schedule — Fifteenth Supplementary Agreement Seventeenth Schedule — Sixteenth Supplementary Agreement Eighteenth Schedule — Seventeenth Supplementary Agreement Notes Compilation table 1 Other notes 1 Defined terms Western Australia Iron Ore (Hamersley Range) Agreement Act 1963 An Act to approve an agreement relating to iron ore deposits at or near the Hamersley Range, and for incidental and other purposes. 1. Short title This Act may be cited as the Iron Ore (Hamersley Range) Agreement Act 1963. 2. Terms used In this Act, unless the contrary intention appears — Agreement means the agreement of which a copy is set out in the First Schedule, and, if that agreement is added to or varied or any of its provisions are cancelled, in accordance with the provisions thereof, includes the agreement as so altered from time to time; Company has the same meaning as it has in, and for the purposes of, the Agreement; Eighth Supplementary Agreement means the agreement a copy of which is set out in the Ninth Schedule; Eleventh Supplementary Agreement means the agreement a copy of which is set out in the Twelfth Schedule; Fifteenth Supplementary Agreement means the agreement a copy of which is set out in the Sixteenth Schedule; Fifth Supplementary Agreement means the agreement of which a copy is set out in the Sixth Schedule; First Supplementary Agreement means the agreement of which a copy is set out in the Second Schedule; Fourteenth Supplementary Agreement means the agreement a copy of which is set out in the Fifteenth Schedule; Fourth Supplementary Agreement means the agreement of which a copy is set out in the Fifth Schedule; Ninth Supplementary Agreement means the agreement a copy of which is set out in the Tenth Schedule; Second Supplementary Agreement means the agreement of which a copy is set out in the Third Schedule; Seventeenth Supplementary Agreement means the agreement a copy of which is set out in the Eighteenth Schedule; Seventh Supplementary Agreement means the agreement of which a copy is set out in the Eighth Schedule; Sixteenth Supplementary Agreement means the agreement a copy of which is set out in the Seventeenth Schedule; Sixth Supplementary Agreement means the agreement of which a copy is set out in the Seventh Schedule; Tenth Supplementary Agreement means the agreement a copy of which is set out in the Eleventh Schedule; Third Supplementary Agreement means the agreement of which a copy is set out in the Fourth Schedule; Thirteenth Supplementary Agreement means the agreement a copy of which is set out in the Fourteenth Schedule; Twelfth Supplementary Agreement means the agreement a copy of which is set out in the Thirteenth Schedule. [Section 2 amended: No. 98 of 1964 s. 2; No. 48 of 1968 s. 2; No. 39 of 1972 s. 2; No. 93 of 1976 s. 2; No. 26 of 1979 s. 2; No. 39 of 1982 s. 2; No. 27 of 1987 s. 4; No. 60 of 1987 s. 4; No. 32 of 1990 s. 4; No. 42 of 1992 s. 4; No. 34 of 2010 s. 6; No. 61 of 2010 s. 4; No. 61 of 2011 s. 4; No. 13 of 2017 s. 9; No. 38 of 2024 s. 11.] 3. Agreement approved and provisions to take effect (1) The Agreement is approved. (2) Notwithstanding any other Act or law, and without limiting the effect of subsection (1), — (a) the Company shall be permitted to enter upon the lands mentioned in paragraph (c) of clause 2 of the Agreement, to the extent, and for the purposes, by that paragraph provided; and (b) the provisions of subclause (2) of clause 3 of the Agreement shall take effect. (3) The provisions of section 96 of the Public Works Act 1902, do not apply to any railway constructed pursuant to the Agreement. (4) The provisions of section 277(5) of the Mining Act 1904 1, do not apply to any renewal of the rights of occupancy granted pursuant to paragraph (a) of clause 2 of the Agreement. 3A. First Supplementary Agreement The First Supplementary Agreement is approved. [Section 3A inserted: No. 98 of 1964 s. 3; amended: No. 48 of 1968 s.3.] 3B. Second Supplementary Agreement (1) The Second Supplementary Agreement is approved. (2) The provisions of subsections (2), (3) and (4) of section 3 apply to the Second Supplementary Agreement, but as though subsection (2)(a) referred to the lands mentioned in paragraph (b) of clause 2, and subsection (4) referred to the rights of occupancy granted pursuant to subclause (1) of clause 6 of the Second Supplementary Agreement. [Section 3B inserted: No. 48 of 1968 s.4.] 3C. Third Supplementary Agreement The Third Supplementary Agreement is approved. [Section 3C inserted: No. 39 of 1972 s. 3.] 3D. Fourth Supplementary Agreement The Fourth Supplementary Agreement is approved. [Section 3D inserted: No. 93 of 1976 s. 3.] 3E. Fifth Supplementary Agreement The Fifth Supplementary Agreement is approved and ratified. [Section 3E inserted: No. 26 of 1979 s. 3.] 3F. Sixth Supplementary Agreement The Sixth Supplementary Agreement is approved and ratified. [Section 3F inserted: No. 39 of 1982 s. 3.] 3G. Seventh Supplementary Agreement (1) The Seventh Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Seventh Supplementary Agreement shall operate and take effect notwithstanding any other Act or law. [Section 3G inserted: No. 27 of 1987 s. 5.] 3H. Eighth Supplementary Agreement (1) The Eighth Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Eighth Supplementary Agreement shall operate and take effect notwithstanding any other Act or law. [Section 3H inserted: No. 60 of 1987 s. 5.] 3I. Ninth Supplementary Agreement (1) The Ninth Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Ninth Supplementary Agreement shall operate and take effect notwithstanding any other Act or law. [Section 3I inserted: No. 32 of 1990 s. 5.] 3J. Tenth Supplementary Agreement (1) The Tenth Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Tenth Supplementary Agreement shall operate and take effect notwithstanding any other Act or law. [Section 3J inserted: No. 42 of 1992 s. 5.] 4A. Variation of Agreement to increase rates of royalty (1) In this section — Agreement means the agreement a copy of which is set out in the First Schedule — (a) as varied from time to time in accordance with its provisions; and (b) as varied by these agreements — (i) the First Supplementary Agreement; (ii) the Second Supplementary Agreement; (iii) the Third Supplementary Agreement; (iv) the Fourth Supplementary Agreement; (v) the Fifth Supplementary Agreement; (vi) the Sixth Supplementary Agreement; (vii) the Seventh Supplementary Agreement; (viii) the Eighth Supplementary Agreement; (ix) the Ninth Supplementary Agreement; (x) the Tenth Supplementary Agreement. (2) Clause 10(2)(j) of the Agreement is varied — (a) in subparagraph (ii) by deleting "3.75%" and inserting — 5.625% (b) in subparagraph (iii) by deleting "3.25%" and inserting — 5% (3) Clause 10(2)(j)(ii) and (iii) of the Agreement as varied by subsection (2) operate and take effect despite — (a) any other provision of the Agreement; and (b) any other agreement or instrument; and (c) any other Act or law. (4) Nothing in this section affects the amount of royalty payable under clause 10 of the Agreement in respect of any period before the commencement of the Iron Ore Agreements Legislation Amendment Act 2010 Part 3. [Section 4A inserted: No. 34 of 2010 s. 7.] 4B. Variation of Second Supplementary Agreement to increase rates of royalty (1) In this section — Second Supplementary Agreement means the agreement a copy of which is set out in the Third Schedule — (a) as varied from time to time in accordance with its provisions; and (b) as varied by these agreements — (i) the Third Supplementary Agreement; (ii) the Fourth Supplementary Agreement; (iii) the Fifth Supplementary Agreement; (iv) the Sixth Supplementary Agreement; (v) the Seventh Supplementary Agreement; (vi) the Eighth Supplementary Agreement; (vii) the Ninth Supplementary Agreement; (viii) the Tenth Supplementary Agreement. (2) Clause 7(4) of the Second Supplementary Agreement is varied by deleting "(j)," and inserting — (j) (as varied by the Iron Ore (Hamersley Range) Agreement Act 1963 section 4A), (3) Clause 7(4) of the Second Supplementary Agreement as varied by subsection (2) operates and takes effect despite — (a) any other provision of the Agreement; and (b) any other agreement or instrument; and (c) any other Act or law. (4) Nothing in this section affects the amount of royalty payable under clause 7(4) of the Second Supplementary Agreement in respect of any period before the commencement of the Iron Ore Agreements Legislation Amendment Act 2010 Part 3. [Section 4B inserted: No. 34 of 2010 s. 7.] 4C. Eleventh Supplementary Agreement (1) The Eleventh Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Eleventh Supplementary Agreement is to operate and take effect despite any other Act or law. [Section 4C inserted: No. 61 of 2010 s. 5.] 4D. Twelfth Supplementary Agreement (1) The Twelfth Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Twelfth Supplementary Agreement is to operate and take effect despite any other Act or law. [Section 4D inserted: No. 61 of 2010 s. 5.] 4E. State empowered (1) The State has power in accordance with clause 10N(9)(a) of the Principal Agreement, as defined in the Eleventh Supplementary Agreement, and as inserted by that Supplementary Agreement. (2) The State has power in accordance with clause 7E(9)(a) of the Principal Agreement, as defined in the Twelfth Supplementary Agreement, and as inserted by that Supplementary Agreement. [Section 4E inserted: No. 61 of 2010 s. 5.] 4F. Thirteenth Supplementary Agreement (1) The Thirteenth Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Thirteenth Supplementary Agreement is to operate and take effect despite any other Act or law. [Section 4F inserted: No. 61 of 2011 s. 5.] 4G. Fourteenth Supplementary Agreement (1) The Fourteenth Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Fourteenth Supplementary Agreement is to operate and take effect despite any other Act or law. [Section 4G inserted: No. 61 of 2011 s. 5.] 4H. Fifteenth Supplementary Agreement (1) The Fifteenth Supplementary Agreement is ratified and its implementation is authorised. (2) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Fifteenth Supplementary Agreement is to operate and take effect despite any other Act or law. [Section 4H inserted: No. 13 of 2017 s. 10.] 4I. Sixteenth Supplementary Agreement (1) The Sixteenth Supplementary Agreement is ratified. (2) The implementation of the Sixteenth Supplementary Agreement is authorised. (3) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Sixteenth Supplementary Agreement operates and takes effect despite any enactment or other law. [Section 4I inserted: No. 38 of 2024 s. 12.] 4J. Seventeenth Supplementary Agreement (1) The Seventeenth Supplementary Agreement is ratified. (2) The implementation of the Seventeenth Supplementary Agreement is authorised. (3) Without limiting or otherwise affecting the application of the Government Agreements Act 1979, the Seventeenth Supplementary Agreement operates and takes effect despite any enactment or other law. [Section 4J inserted: No. 38 of 2024 s. 12.] 4. By‑laws (1) The Governor may make by‑laws, for the purposes of, and in accordance with, the Agreement and the Second Supplementary Agreement. (2) By‑laws made pursuant to this section — (a) shall be published in the Government Gazette; and (b) take effect and have the force of law from the date they are so published or from such later date as is fixed by the by‑laws; and (c) may prescribe penalties not exceeding $100; and (d) are not subject to the provisions of section 36 of the Interpretation Act 1918 2, but shall be laid before each House of Parliament within 6 sittings days of such House next following the publication of the by‑laws in the Government Gazette. [Section 4 amended: No. 98 of 1964 s. 4; No. 48 of 1968 s. 5.] First Schedule — Iron Ore (Hamersley Range) Agreement [s. 2] [Heading inserted: No. 98 of 1964 s. 5; amended: No. 19 of 2010 s. 4.] THIS AGREEMENT under seal made the thirtieth day of July One thousand nine hundred and sixty‑three BETWEEN THE HONOURABLE CRAWFORD DAVID NALDER M.L.A. Acting Premier and Acting Treasurer of the State of Western Australia acting for and on behalf of the said State and instrumentalities thereof from time to time (hereinafter called "the State") of the one part AND HAMERSLEY IRON PTY. LIMITED a company incorporated under the Companies Act 1961 of the State of Victoria and having its registered office and principal place of business in that State at 95 Collins Street Melbourne and its registered office in the State of Western Australia at 37 Saint George's Terrace Perth (hereinafter called "the Company" which expression will include the successors and assigns of the Company including where the context so admits the assignees and appointees of the company under clause 20 hereof) of the other part. WHEREAS: (a) The Company (being satisfied from investigations which prior to the year 1963 cost over three hundred thousand pounds (£300,000) that the mining areas defined in clause 1 hereof contain iron ore of tonnages and grades sufficient to warrant economic recovery and marketing) desires to carry out certain investigations relating to the mining transport by rail and shipment of iron ore from the mining areas and also to the entering into a contract or contracts for the export sale of that ore (b) The Company having commenced already to investigate the feasibility of establishing within the State of Western Australia a plant for secondary processing agrees to review this matter from time to time with a view to its being in a position to submit to the State proposals for such establishment as hereinafter provided (c) The Company agrees to investigate in due course the feasibility of establishing within the State of Western Australia an integrated iron and steel industry and to review this matter from time to time with a view to its being in a position to submit to the State proposals for such establishment as hereinafter provided (d) Conzinc Riotinto of Australia Limited a company incorporated under the Companies Act 1958 of the State of Victoria and having its registered office and principal place of business in that State at 95 Collins Street Melbourne (hereinafter called "the Guarantor Company") has agreed to guarantee that the Company (which is a subsidiary of the Guarantor Company) will complete the expenditure of the sum of five hundred thousand pounds (£500,000) as provided in clause 4(1) hereof. NOW THIS AGREEMENT WITNESSETH: — Interpretation 3. 1. In this Agreement subject to the context — "associated company" means — (a) any company notified in writing by the Company to the Minister which is incorporated in the United Kingdom the United States of America or the Commonwealth of Australia and which is — (i) a subsidiary of the Company within the meaning of the term "subsidiary" in section 6 of the Companies Act 1961; (ii) promoted by the Company for all or any of the purposes of this Agreement and in which the Company holds not less than one million pounds (£1,000,000) of the issued ordinary share capital; (iii) a company in which the Company holds not less than twenty per cent (20%) of the issued ordinary share capital; or (iv) a company which is related within the meaning of that term in the aforesaid section to the Company or to any company in which the Company holds not less than twenty per cent (20%) of the issued ordinary share capital, and (b) any company approved in writing by the Minister for the purposes of this Agreement which is associated directly or indirectly with the Company in its business or operations hereunder; "commencement date" means the date referred to as the commencement date in clause 8(3) hereof; "Commonwealth" means the Commonwealth of Australia and includes the Government for the time being thereof; "Company's wharf" means the wharf to be constructed by the Company pursuant to this Agreement for the shipment of iron ore from the mineral lease or (except for the purposes of the definition of "harbour") other the temporary wharf for the time being approved by the Minister as the Company's wharf for the purposes hereof during the period to which such approval relates; "deposits townsite" means the townsite to be established on or near the mining areas pursuant to this Agreement; "direct shipping ore" means iron ore which has an average pure iron content of not less than sixty per cent (60%) which will not pass through a one half (½) inch mesh screen and which is sold without concentration or other beneficiation other than crushing and screening; "export date" means the earlier of the following dates namely — (a) the date three (3) years after the commencement date; (b) the date when the Company first exports iron ore hereunder (other than iron ore shipped solely for testing purposes); "financial year" means a year commencing on and including the 1st day of July; "fine ore" means iron ore which has an average pure iron content of not less than sixty per cent. (60%) which will pass through a one half (½) inch mesh screen and which is sold without concentration or other beneficiation other than crushing and screening; "fines" means iron ore (not being direct shipping ore or fine ore) which will pass through a one half (½) inch mesh screen; "f.o.b. revenue" means the price for iron ore from the mineral lease the subject of any shipment or sale and payable by the purchaser thereof to the Company or an associated company less all export duties and export taxes payable to the Commonwealth on the export of the iron ore and all costs and charges properly incurred and payable by the Company from the time the ore shall be placed on ship at the Company's wharf to the time the same is delivered and accepted by the purchaser including — (1) ocean freight; (2) marine insurance; (3) port and handling charges at the port of discharge; (4) all costs properly incurred in delivering the ore from port of discharge to the smelter and evidenced by relevant invoices; (5) all weighing sampling assaying inspection and representation costs; (6) all shipping agency charges after loading on and departure of ship from the Company's wharf; and (7) all import taxes by the country of the port of discharge; "harbour" means the port or harbour serving the Company's wharf; "integrated iron and steel Industry" means an industry for the manufacture of iron and steel or for the manufacture of steel from iron ore by a process which does not necessarily involve the production of pig iron or basic iron in the production of steel; "iron ore contracts" means the contract or contracts referred to in clause 5(1) hereof; "Land Act" means the Land Act 1933; "mineral lease" means the mineral lease referred to in clause 9(1) hereof and includes any renewal thereof; "Mining Act" means the Mining Act 1904; "mining areas" means the areas delineated and coloured red on the Plan marked "A" initialled by or on behalf of the parties hereto for the purposes of identification; "Minister" means the Minister in the Government of the said State for the time being responsible (under whatsoever title) for the administration of the Ratifying Act and pending the passing of that Act means the Minister for the time being designated in a notice from the State to the Company and includes the successors in office of the Minister; "month" means calendar month; "notice" means notice in writing; "person" or "persons" includes bodies corporate; "port townsite" means the townsite to be established pursuant to this Agreement near the harbour; "Ratifying Act" means the Act to ratify this Agreement and referred to in clause 3 hereof; "said State" means the State of Western Australia; "secondary processing" means concentration or other beneficiation of iron ore other than by crushing or screening and includes thermal electrostatic magnetic and gravity processing; "special lease" means a special lease or license to be granted in terms of this Agreement under the Ratifying Act the Land Act or the Jetties Act 1926 and includes any renewal thereof; "this Agreement" "hereof" and "hereunder" include this Agreement as from time to time added to varied or amended; "ton" means a ton of two thousand two hundred and forty (2,240) lbs. net dry weight; "townsite" in relation to the townsite to be established near the harbour means a townsite (whether or not constituted and defined under section 10 of the Land Act) primarily to facilitate the Company's operations in and near the harbour and for employees of the Company and in relation to the mining areas means such a townsite or townsites or any other townsite or townsites which is or are established by the Company for the purposes of its operations and employees on or near the mining areas in lieu of a townsite constituted and defined under section 10 of the Land Act; "wharf" includes any jetty structure; "year 1" means the year next following the export date and "year" followed immediately by any other numeral has a corresponding meaning; reference in this Agreement to an Act shall include the amendments to such Act for the time being in force and also any Act passed in substitution therefor or in lieu thereof and the regulations for the time being in force thereunder; power given under any clause of this Agreement other than clause 24 hereof to extend any period or date shall be without prejudice to the power of the Minister under the said clause 24; marginal notes shall not affect the interpretation or construction hereof 3; the phases in which it is contemplated that this Agreement will operate are as follows — (a) Phase 1 — the period from the execution hereof by the parties hereto until the commencement date; (b) Phase 2 — the period from the commencement date until a plant for secondary processing or an integrated iron and steel industry is established by the Company hereunder or by another company or party as referred to in clause 12 or clause 13 hereof whichever first occurs; (c) Phase 3 — (operative if the Company commences secondary processing before establishing an integrated iron and steel industry hereunder) — the period from the commencement of secondary processing by the Company hereunder until the Company has established an integrated iron and steel industry hereunder which period shall include a continuation of Phase 2 operations; and (d) Phase 4 — the period after the Company has established an integrated iron and steel industry hereunder which period shall include a continuation of Phase 2 operations. Obligations of the State during Phase 1 3. 2. The State shall — (a) upon application by the Company within one (1) month after the execution hereof by the parties hereto (and surrender of the then existing rights of occupancy already granted in respect of any portions of the mining areas) cause to be granted to the Company and to the Company alone rights of occupancy for the purposes of this Agreement (including the sole right to search and prospect for iron ore) over the whole of the mining areas under section 276 of the Mining Act at a rental at the rate of four pounds (£4) per square mile per annum payable quarterly in advance for the period expiring on the 31st December, 1963 and shall then and thereafter subject to the continuance of this Agreement cause to be granted to the Company as may be necessary successive renewals of such last‑mentioned rights of occupancy (each renewal for a period of twelve (12) months at the same rental and on the same terms) the last of which renewals notwithstanding its currency shall expire — (i) on the date of application for a mineral lease by the Company under clause 9(1) hereof; (ii) at the expiration of one month from the commencement date; (iii) on the determination of this Agreement; or (iv) on the day of the receipt by the State of a notice from the Company to the effect that the Company abandons and cancels this Agreement, whichever shall first happen; (b) introduce and sponsor a Bill in the Parliament of Western Australia to ratify this Agreement; (c) to the extent reasonably necessary for the purposes of clauses 4 and 5 hereof allow the Company to enter upon Crown lands (including land the subject of a pastoral lease and survey possible sites for a harbour wharf railway townsite (both in or near the harbour and on or near the mining areas) stockpiling processing and other areas required for the purposes of this Agreement; and (d) at the request and cost of the Company co-operate with the Company in the discharge of its obligations under clause 4(1)(a) hereof. Ratification and operation 3. 3. (1) Clauses 9 10 11 (other than paragraphs (d) and (l) thereof) 12‑22 both inclusive and 24 of this Agreement shall not operate unless and until the Bill to ratify this Agreement as referred to in clause 2(b) hereof is passed as an Act before the fifteenth day of November, 1963 or such later date if any as the parties hereto may mutually agree upon. If the Bill is not so passed before that date or later date (as the case may be) this Agreement will then cease and determine and neither of the parties hereto will have any claim against the other of them with respect to any matter or thing arising out of done performed or omitted to be done or performed under this agreement except as hereinafter provided in clause 11(d) hereof. (2) If the Bill to ratify this Agreement is passed as an Act before the date or later date if any referred to in subclause (1) of this clause the following provisions of this clause shall notwithstanding the provisions of any Act or law thereupon operate and take effect namely — (a) the provisions of subclauses (1) (2) (3) and (4) of clause 9 the proviso to paragraph (a) of subclause (2) of clause 10 subclause (3) of clause 10 paragraphs (a) (f) (g) (h) (i) (k) and (m) of clause 11 and clauses 21 23 24 and 27 shall take effect as though the same had been brought into force and had been enacted by the Ratifying Act; (b) subject to paragraph (a) of this subclause the State and the Minister respectively shall have all the powers discretions and authorities necessary or requisite to enable them to carry out and perform the powers discretions authorities and obligations conferred or imposed upon them respectively hereunder; (c) no future Act of the said State will operate to increase the Company's liabilities or obligations hereunder with respect to rents or royalties; and (d) the State may as for a public work under the Public Works Act 1902 resume any land or any estate or interest in land required for the purposes of this Agreement and may lease or otherwise dispose of the same to the Company. Obligations of Company during Phase 1 3. 4. (1) The Company at an estimated total cost as from the 1st January, 1963 of not less than five hundred thousand pounds (£500,000) shall with all reasonable diligence continue to do or shall carry out and by the 31st December, 1964 (or such extended date if any as the Minister may approve) shall complete the matters hereinafter in this subclause mentioned and everything necessary to enable it to finalise and to submit to the Minister the detailed proposals and other matters referred to in clause 5(1)(a) hereof. The matters first referred to in this subclause are — (a) a thorough geological and (as necessary) geophysical investigation and proving of the iron ore deposits in the mining areas and the testing and sampling of such deposits; (b) a general reconnaissance of the various sites of proposed operations pursuant to the Agreement; (c) a selection of the most suitable route for a railway from the mining areas to a suitable harbour and wharf installation for the export of the iron ore; (d) an engineering investigation of a suitable harbour site (from possible sites at Cape Lambert Dampier Archipelago and Maud Landing) and wharf site therein for the purposes of the Company but having regard to the proper development use and capacity of the harbour as a whole by persons and corporations other than the Company; (e) an investigation of suitable water supplies for the townsites and harbour or port services; (f) the planning of suitable townsite in consultation with the State but having due regard to the general development of the port townsite and (if and to the extent applicable) the deposits townsite for use by others as well as the Company; and (g) metallurgical and market research. (2) The Company shall keep the State fully informed at least quarterly commencing within one (1) quarter after the execution hereof as to the progress and results of the Company's operations under subclause (1) of this clause. (3) If the State concurrently carries out its own investigations and reconnaissances in regard to all or any of the matters mentioned in subclause (1) of this clause or any alternative harbour site the Company shall co-operate with the State therein and so far as reasonably practicable will consult with the representatives or officers of the State and make full disclosures and expressions of opinion regarding matters referred to in this subclause. (4) The Company will employ and retain expert consultant engineers to investigate report upon and make recommendations in regard to the sites for and design of the Company's wharf (including areas for installations stockpiling and other purposes in the harbour area) reasonably required by the Company under this Agreement but in such regard the Company will require the consultant engineers to have full regard for the general development of the harbour area and the dredging thereof and of approaches thereto with a view to the reasonable use by others of the harbour area and approaches and the Company will furnish to the State copies of such report and recommendations. When submitting to the Minister detailed proposals as referred to in clause 5(1)(a) hereof in regard to the matters mentioned in this subclause the Company will so far as reasonably practicable ensure that the detailed proposals — (a) do not materially depart from the report and recommendations of the consultant engineers; (b) provide for the best overall development of the harbour area; and (c) disclose any conditions of user and where alternative proposals are submitted the Company's preferences in regard thereto. Company to submit proposals 3. 5. (1) By the 31st day of December, 1964 (or such extended date if any as the Minister may approve) the Company will submit to the Minister — (a) to the fullest extent reasonably practicable its detailed proposals (including plans where practicable and specifications where reasonably required by the Minister) with respect so far as relevant — (A) to the mining from the mining areas (or so much thereof as shall be comprised within the mineral lease) by the Company during the three (3) years next following the commencement of such mining with a view to the transport and shipment of the iron ore mined and its outline proposals with respect to such mining during the next following seven (7) years; and (B) to the transport and shipment of iron ore to be mined by the Company hereunder during the operation of Phase 2 of this Agreement — and including the location area lay‑out design number materials and time programme for the commencement and completion of construction or the provision (as the case may be) of each of the following matters namely — (i) the harbour and harbour development including dredging the depositing of spoil the provision of navigational aids the Company's wharf (the plans and specifications for which wharf shall be submitted to and be subject to the approval of the State) the berth and swinging basin for the Company's use and harbour installations facilities and services all of which shall permit of adaptation so as to enable the use of the harbour and wharf by vessels having an ore‑carrying capacity of not less than one hundred thousand (100,000) tons; (ii) the railway between the mining areas and the Company's wharf and works ancillary to or connected with the railway and its proposed operation including fencing (if any) and crossing places; (iii) townsites on the mining areas and near the harbour and development services and facilities in relation thereto (iv) housing; (v) water supply; (vi) roads (including details of roads in respect of which it is not intended that the provisions of clause 10(2)(b) shall operate); and (vii) any other works services or facilities proposed or desired by the Company; and (b) (subject to the provisions of subclause (3) of this clause) satisfactory evidence firstly of the making or likelihood of making suitable iron ore contracts for the sale by the Company hereunder and shipment from the Company's wharf of not less than fifteen million (15,000,000) tons of iron ore from the mineral lease at not less than two million (2,000,000) tons in the first two (2) years next following the export date and in each succeeding year after the expiration of the said two (2) years at not less than one million (1,000,000) tons secondly of the availability of finance necessary for the fulfilment of the Company's proposals hereunder relating to the iron ore export project the subject of Phase 2 of this Agreement and thirdly of any necessary license to the Company from the Commonwealth to export hereunder iron ore the subject of the iron ore contracts in the quantities at the rate or rates and in the years stated in the contracts. (2) The Company shall have the right to submit to the Minister its detailed proposals aforesaid in regard to a matter or matters the subject of any of the subparagraphs numbered (i) to (vii) inclusive of paragraph (a) of subclause (1) of this clause as and when the detailed proposals become finalised by the Company PROVIDED THAT where any such matter is the subject of a subparagraph which refers to more than one subject matter the detailed proposals will relate to and cover each of the matters mentioned in the subparagraph PROVIDED FURTHER that the first detailed proposals submitted to the Minister relate to and cover the matters mentioned in subparagraph (i) of the said paragraph (a) of the said subclause (1) and that the last two detailed proposals submitted to the Minister relate to and cover the iron ore contracts and the finance necessary for the iron ore export project. (3) If the Company should desire an extension for a period not exceeding six (6) months of the date namely the 31st day of December, 1964 (or such later date if any previously approved by the Minister) within which to negotiate satisfactory iron ore contracts or to arrange the necessary finance aforesaid and if the Company demonstrates to the Minister that the Company has substantially complied with its obligations under clause 4 hereof and its other obligations under clause 5(1) hereof and reasonably requires an additional period for the purposes of such contracts or finance the Minister will grant such extension for such additional period not exceeding six (6) months as is warranted in the circumstances. Consideration of Company's proposals under clause 5(1)(a)(i) 3. 6. (1) Within two (2) months after receipt of the detailed proposals of the Company in regard to the matters mentioned in clause 5(1)(a)(i) hereof pursuant to the provisions of the said clause 5 the Minister will give notice to the Company either — (a) that he approves the proposals in which event the parties hereto shall be bound thereby subject however to the provisions of clause 8(2) hereof; or (b) that he does not approve the proposals in which event he will in the notice state his reasons for not approving the same; and also either — (i) that he will invoke the provisions of subclause (4) of this clause; or (ii) that he desires such alterations to the Company's proposals as shall be set out in the notice — but subject to the site for the harbour as set out in the proposals being one of the sites mentioned in clause 4(1)(d) hereof such site shall not be altered except under subclause (4) of this clause or by mutual agreement. (2) If the Minister states in his notice that he will invoke the provisions of subclause (4) of this clause the Minister will within three (3) months next following the giving of that notice give to the Company the notice referred to in the said subclause (4) (which latter notice is hereinafter in this clause called "the Demonstration Notice"). (3) If the Minister states in his notice under subsection (1) of this clause that he desires alterations as referred to in subclause (1)(b)(ii) of this clause the parties will consult with a view to reaching agreement in regard to the alterations desired and if agreement is so reached the Company's proposals as altered by such mutual agreement will be deemed approved and will be binding on the parties hereto subject to the provisions of clause 8 hereof. If however agreement is not so reached within two (2) months from the giving of the notice referred to in subclause (1) of this clause the State will within one (1) month thereafter employ and retain other expert consultant engineers to make recommendations in regard to the Company's detailed proposals as mentioned in the said clause 5(1)(a)(i) except the site for the harbour. Such latter consultants shall be appointed from a panel of consulting engineers already agreed upon by the parties and listed in a writing initialled by or on behalf of the parties hereto for the purposes of identification. On receipt of the report and recommendations of the consultants so employed by the State the Minister will furnish to the Company copies thereof and in the event of the recommendations providing for alternative sites for the Company's wharf and related purposes the Minister shall give to the Company the option to select whichever of the alternative sites should be so recommended subject to any conditions recommended by the consultants and approved by the Minister. The Company shall as soon as reasonably practicable (and in any event within a period of two (2) months) make such election and advise the State in writing accordingly whereupon the site so selected subject to such conditions (if any) shall be deemed approved and the parties hereto shall be bound thereby for the purposes of this Agreement subject however to the provisions of clause 8 hereof. In the event of no alternative sites being so recommended the Company's original detailed proposals in regard to the matters mentioned in clause 5(1)(a)(i) hereof with any alterations thereto which may have been or be mutually agreed shall be deemed approved by the Minister and (subject to clause 8 hereof) the parties hereto shall be bound thereby for the purposes hereof. (4) Notwithstanding that under earlier provisions of this Agreement the Company's proposals for a site for a harbour for the Company's wharf are restricted to a site at Cape Lambert Dampier Archipelago or Maud Landing and provided that the Company shall have submitted to the Minister its detailed proposals in regard to the matters mentioned in clause 5(1)(a)(i) hereof and that the Minister shall not have approved of those proposals and has given notice under clause 6(1)(b)(i) hereof then if at any time within three (3) months after receipt of that notice the Minister in the Demonstration Notice demonstrates that — (a) a harbour at another site; (b) sites therein for the Company's wharf and for harbour installations and facilities; and (c) a railway thereto from the mining areas along a route indicated in the notice — would be both suitable for the Company's purposes under this Agreement and more economical to the Company on the whole having regard to both the Company's long‑term interests hereunder and the relative costs both of construction and of subsequent operation over a period of twenty‑one (21) years next following the export date then (unless a dispute under this subclause is referred to arbitration and determined in favour of the Company) the sites and railway route the subject of the Minister's notice will be deemed substituted for the relevant sites and railway route which otherwise may be or have been the subject of the Company's proposals hereunder and shall subject to such alterations thereto as may have been mutually agreed be deemed to have been approved by the State. Within two (2) months after receipt of the Demonstration Notice the Company may elect by notice to the State to refer to arbitration and will then within two (2) months thereafter refer to arbitration any dispute concerning matters the subject of the notice. If by the award on arbitration the dispute is decided in favour of the State then the State's detailed proposals as set out in the Demonstration Notice with regard to the matters mentioned in clause 5(1)(a)(i) hereof shall be substituted for the Company's proposals in relation thereto and shall subject to such alterations thereto as may be mutually agreed be deemed to have been approved by the State. If by the award on arbitration the dispute is decided in favour of the Company then the Minister will be deemed to have approved the Company's proposed site for a harbour but the State will (unless it meanwhile approves all the matters mentioned in clause 5(1)(a)(i) hereof which have not previously been approved) within one (1) month after the delivery of the award on arbitration employ and retain other expert consultants (appointed from a panel as mentioned in subclause (3) hereof) to make recommendations in regard to the Company's detailed proposals as mentioned in the said clause 5(1)(a)(i) except for the site for a harbour and the same procedure shall be followed with regard to such consultants and their report and recommendations as is set out in subclause (3) hereof. (5) (a) In the event of the Minister retaining consultants under subclause (3) or subclause (4) of this clause a period equal to the period from the date of such retention until the day on which the Minister furnishes to the Company copies of the report and recommendation of the said consultants (plus in the case of the Minister retaining consultants under subclause (4) of this clause one month) shall be added to the period within which the Company would otherwise be required to submit evidence under clause 5(1)(b) hereof. (b) In the event of the Minister invoking the provisions of subclause (4) of this clause and the Company referring a dispute thereunder to arbitration then the period from the day of the receipt by the Company of the Demonstration Notice until the day of the delivery of the award under the arbitration with respect thereto shall be added to the period within which the Company would otherwise be required to submit evidence under clause 5(1)(b) hereof. Consideration of other proposals under Clause 5(1) 3. 7. (1) Within two (2) months after receipt of the detailed proposals of the Company in regard to any of the matters mentioned in clause 5(1)(a) hereof other than those mentioned in clause 5(1)(a)(i) hereof the Minister shall give to the Company notice either of his approval of the proposals or of alterations desired thereto and in the latter case shall afford to the Company opportunity to consult with and to submit new proposals to the Minister. The Minister may make such reasonable alterations to or impose such reasonable conditions on the proposals or new proposals (as the case may be) as he shall think fit having regard to the circumstances including the overall development and use by others as well as the Company but the Minister shall in any notice to the Company disclose his reasons for any such alteration or condition. Within two (2) months of the receipt of the notice the Company may elect by notice to the State to refer to arbitration and within two (2) months thereafter shall refer to arbitration as hereinafter provided any dispute as to the reasonableness of any such alteration or condition. If by the award on arbitration the dispute is decided against the Company then unless the Company within three (3) months after delivery of the award satisfies and obtains the approval of the Minister as to the matter or matters the subject of the arbitration this Agreement shall on the expiration of that period of three (3) months cease and determine (save as provided in clause 11(d) hereof) but if the question is decided in favour of the Company the decision will take effect as a notice by the Minister that he is so satisfied with and approves the matter or matters the subject of the arbitration. (2) Within two (2) months after receipt of evidence from the Company with regard to the matters mentioned in clause 5(1)(b) hereof to the reasonable satisfaction of the Minister the State will give to the Company notice either that it is satisfied with such evidence (in which case the proposals in relation to those matters will be deemed approved) or not in which case the State shall afford the Company an opportunity to consult with and to submit further evidence to the Minister. If within thirty (30) days of receipt of such notice further evidence has not been submitted to the Minister's reasonable satisfaction and his approval obtained thereto the Company may within a further period of thirty (30) days elect by notice to the State to refer to arbitration as hereinafter provided and will within two (2) months thereafter refer to arbitration any dispute as to the reasonableness of the Minister's decision. If by the award on arbitration the dispute is decided against the Company then unless the Company within three (3) months after delivery of the award satisfies and obtains the approval of the Minister as to the matter or matters the subject of the arbitration this Agreement shall on the expiration of that period cease and determine (save as provided in clause 11(d) hereof) but if the question is decided in favour of the Company the decision will take effect as a notice by the Minister that he is so satisfied with and has approved the matter or matters the subject of the arbitration. Extension of time 3. 8. (1) The arbitrator arbitrators or umpire (as the case may be) of any submission to arbitration hereunder is hereby empowered upon application by either party hereto to grant any interim extension of time or date referred to herein which having regard to the circumstances may reasonably be required in order to preserve the rights of either or both the parties hereunder and an award in favour of the Company may in the name of the Minister grant any further extension of time for that purpose. (2) Notwithstanding that under clause 6 or clause 7 hereof any detailed proposals of the Company are approved by the State or the Minister or determined by consultant engineers or by arbitration award unless each and every such proposal and matter is so approved or determined by the 28th day of February, 1965 or by such extended date if any as the Company shall be entitled to or shall be granted pursuant to the provisions hereof then on the latest of the dates aforesaid this Agreement shall cease and determine subject however to the provisions of clause 11(d) hereof. Commencement date 3. (3) Subject to the approval by the Minister or determination by arbitration or by consulting engineers as herein provided of each and every of the detailed proposals and matters referred to in clause 5(1) hereof (except if and as modified by the application of clause 6(4) hereof) the date upon which the last of those proposals of the Company shall have been so approved or determined shall be the commencement date for the purposes of this Agreement. (4) If under any arbitration under clause 7 hereof the dispute is decided against Company and subsequently but before the commencement date this Agreement ceases and determines the State will not for a period of three (3) years after such determination enter into a contract with any other party for the mining transport and shipment of iron ore from the mining areas on terms more favourable on the whole to the other party than those which would have applied to the Company hereunder if the question had been determined in favour of the Company. Phase 2 Obligations of State 3. 9. (1) As soon as conveniently may be after the commencement date the State shall — Mineral Lease 3. (a) after application is made by the Company for a mineral lease of any part or parts (not exceeding in total area three hundred (300) square miles and in the shape of a parallelogram or parallelograms) of the mining areas in conformity with the Company's detailed proposals under clause 5(1)(a)(A) hereof as finally approved or determined cause any necessary survey to be made of the land so applied for (the cost of which survey to the State will be recouped or repaid to the State by the Company on demand after completion of the survey) and shall cause to be granted to the Company a mineral lease thereof for iron ore in the form of the Schedule hereto for a term which subject to the payment of rents and royalties hereinafter mentioned and to the performance and observance by the Company of its obligations under the mineral lease and otherwise under this Agreement shall be for a period of twenty‑one (21) years commencing from the commencement date with rights to successive renewals of twenty‑one (21) years upon the same terms and conditions but subject to earlier determination upon the cessation or determination of this Agreement PROVIDED HOWEVER that the Company may from time to time (without abatement of any rent then paid or payable in advance) surrender to the State any portion or portions (of reasonable size and shape) of the mineral lease; Under Company's proposals 3. (b) in accordance with the Company's proposals as finally approved or determined under clause 6 or clause 7 hereof and as require the State to accept obligations — Lands 3. (i) grant to the Company in fee simple or for such terms or periods and on such terms and conditions (including renewal rights) as subject to the proposals (as finally approved or determined as aforesaid) shall be reasonable having regard to the requirements of the Company hereunder and to the overall development of the harbour and access to and use by others of lands the subject of any grant to the Company and of services and facilities provided by the Company — for nominal consideration — townsite lots; at peppercorn rental — special leases of Crown lands within the harbour area the townsites and the railway; and at rentals as prescribed by law or are otherwise reasonable — leases rights mining tenements easements reserves and licenses in on or under Crown lands under the Mining Act the Jetties Act 1926 or under the provisions of the Land Act modified as in subclause (2) of this clause provided (as the case may require) as the Company reasonably requires for its works and operations hereunder including the construction or provision of the railway wharf roads airstrip water supplies and stone and soil for construction purposes; and Services and Facilities 3. (ii) provide any services or facilities subject to the Company's bearing and paying the capital cost involved and reasonable charges for operation and maintenance except where and to the extent that the State otherwise agrees — subject to such terms and conditions as may be finally approved or determined as aforesaid PROVIDED THAT from and after the fifteenth anniversary of the export date or the twentieth anniversary of the date hereof whichever shall first occur the Company will in addition to the rentals already referred to in this paragraph pay to the State during the currency of this Agreement after such anniversary as aforesaid a rental (which subject to its being payable by the Company to the State may from time to time at the option of the Company be payable in respect of such one or more of the special leases or leases granted to the Company under this paragraph and remaining current) equal to two shillings and sixpence (2s. 6d.) per ton on all iron ore or (as the case may be) all iron ore concentrates in respect of which royalty is payable under clause 10(2)(j) hereof in any financial year such additional rental to be paid within three (3) months after shipment sale use or production as the case may be of the iron ore or iron ore concentrates SO NEVERTHELESS that where in respect of any such year the additional rental so payable is less than a minimum sum of one hundred and fifty thousand pounds (£150,000) the Company will within three (3) months after expiration of that year pay to the State as further rental the difference between one hundred and fifty thousand pounds (£150,000) and the additional rental actually paid in respect of that year but any amount so paid in respect of any financial year in excess of the rental payable for that year at the rate of two shillings and sixpence (2s. 6d.) per ton as aforesaid shall be offset by the Company against any amount payable by it to the State above the minimum amounts payable to the State under this paragraph in respect of the two (2) financial years immediately following the financial year in respect of which the said minimum sum was paid; and Other rights 3. (c) on application by the Company cause to be granted to it such machinery and tailings leases (including leases for the dumping of overburden) and such other leases licenses reserves and tenements under the Mining Act or under the provisions of the Land Act modified as in subclause (2) of this clause provided as the Company may reasonably require and request for its purposes under this Agreement on or near the mineral lease; (2) For the purposes of subparagraph (i) of paragraph (b) and paragraph (c) of subclause (1) of this clause the Land Act shall be deemed to be modified by — (a) the substitution for subsection (2) of section 45A of the following subsection: (2) Upon the Governor signifying approval pursuant to subsection (1) of this section in respect of any such land the same may subject to this section be sold or leased; (b) the deletion of the proviso to section 116; (c) the deletion of section 135; (d) the deletion of section 143; (e) the inclusion of a power to offer for sale or leasing land within or in the vicinity of any townsite notwithstanding that the townsite has not been constituted a townsite under section 10; and (f) the inclusion of a power to offer for sale or grant leases or licenses for terms or periods and on such terms and conditions (including renewal rights) and in forms consistent with the provisions of this Agreement in lieu of for the terms or periods and upon the terms and conditions and in the forms referred to in the Act and upon application by the Company in forms consistent as aforesaid in lieu of in the forms referred to in the Act. (3) The provisions of subclause (2) of this clause shall not operate so as to prejudice the rights of the State to determine any lease license or other right or title in accordance with the other provisions of this Agreement. (4) The State further covenants with the Company that the State — Non-interference with Company's rights 3. (a) shall not during the currency of this Agreement register any claim or grant any lease or other mining tenement under the Mining Act or otherwise by which any person other than the Company will obtain under the laws relating to mining or otherwise any rights to mine or take the natural substances (other than petroleum as defined in the Petroleum Act 1936) within the mineral lease unless the Minister reasonably determines that it is not likely to unduly prejudice or to interfere with the operations of the Company hereunder assuming the taking by the Company of all reasonable steps to avoid the interference; No resumption 3. (b) subject to the performance by the Company of its obligations under this Agreement shall not during the currency hereof without the consent of the Company resume nor suffer nor permit to be resumed by any State instrumentality or by any local or other authority of the said State any of the works installations plant equipment or other property for the time being belonging to the Company and the subject of or used for the purposes of this Agreement nor any of the lands the subject of any lease or license granted to the Company in terms of this Agreement AND without such consent (which shall not be unreasonably withheld) the State will not create or grant or permit or suffer to be created or granted by any instrumentality or authority of the State as aforesaid any road right‑of‑way or easement of any nature or kind whatsoever over or in respect of any such lands which may unduly prejudice or interfere with the Company's operations hereunder; Labour requirements 3. (c) shall if so requested by the Company and so far as its powers and administrative arrangements permit use reasonable endeavours to assist the Company to obtain adequate and suitable labour for the construction and the carrying out of the works and operations referred to in this Agreement including suitable immigrants for that purpose; No discriminatory rates 3. (d) except as provided in this Agreement shall not impose nor permit nor authorize any of its agencies or instrumentalities or any local or other authority of the State to impose discriminatory taxes rates or charges of any nature whatsoever on or in respect of the titles property or other assets products materials or services used or produced by or through the operations of the Company in the conduct of the Company's business hereunder nor will the State take or permit to be taken by any such State authority any other discriminatory action which would deprive the Company of full enjoyment of the rights granted and intended to be granted under this Agreement; Rights to other minerals 3. (e) shall where and to the extent reasonably practicable on application by the Company from time to time grant or assist in obtaining the grant to the Company of prospecting rights and mining leases with respect to limestone dolomite and other minerals reasonably required by the Company for its purposes under this Agreement; and Consents to improvements on leases 3. (f) shall as and when required by the Company (but without prejudice to the foregoing provisions of this Agreement relating to the detailed proposals and matters referred to in clause 5(1) hereof) consent in writing where and to the extent that the Minister considers to be reasonably justified to the Company's making improvements for the purposes of this Agreement on the land comprised in any lease granted by the State to the Company pursuant to this Agreement PROVIDED THAT the Company shall also obtain any other consents legally required in relation to such improvements. (5) The Company shall not have any tenant rights in improvements made by the Company on the land comprised in any lease granted by the State to the Company pursuant to this Agreement in any case where pursuant to clause 11(e) hereof such improvements will remain or become the absolute property of the State. Phase 2 Obligations of the Company 3. To construct 3. 10. (1) The Company shall within three (3) years next following the commencement date and at a cost of not less than thirty million pounds (£30,000,000) construct install provide and do all things necessary to enable it to mine from the mineral lease to transport by rail to the Company's wharf and to commence shipment therefrom in commercial quantities at an annual rate of not less than one million (1,000,000) tons of iron ore and without lessening the generality of this provision the Company shall within the aforesaid period of three years — On mining areas 3. (a) construct install and provide upon the mineral lease or in the vicinity thereof mining plant and equipment crushing screening stockpiling and car loading plant and facilities power house workshop and other things of a design and capacity adequate to enable the Company to meet and discharge its obligations hereunder and under the iron ore contracts and to mine handle load and deal with not less than three thousand (3,000) tons of iron ore per item such capacity to be built up progressively to not less than ten thousand (10,000) tons of iron ore per diem within three (3) years next following the export date; To commence exports 3. (b) actually commence to mine transport by rail and ship from the Company's wharf iron ore from the mineral lease so that the average annual rate during the first two years shall not be less than one million (1,000,000) tons; To construct railway 3. (c) subject to the State having assured to the Company all necessary rights in or over Crown lands available for the purpose construct in a proper and workmanlike manner and in accordance with recognised standards of railways of a similar nature operating under similar conditions and along a route approved or determined under clause 6 or clause 7 hereof (but subject to the provisions of the Public Works Act 1902 to the extent that they are applicable) a four feet eight and one‑half inches (4′ 8½″) gauge railway (with all necessary signalling switch and other gear and all proper or usual works) from the mining areas to the Company's wharf and will provide for crossing places and the running of such railway with sufficient and adequate locomotives freight cars and other railway stock and equipment to haul at least one million (1,000,000) tons of iron ore per annum to the Company's wharf or as required for the purposes of this Agreement; To make roads 3. (d) subject to the State having assured to the Company all necessary rights in or over Crown lands or reserves available for the purpose construct by the said date such new roads as the Company reasonably requires for its purposes hereunder of such widths with such materials gates crossings and passovers for cattle and for sheep and along such routes as the parties hereto shall mutually agree after discussion with the respective shire councils through whose districts any such