Qenos Debt Restructure

September 1, 2004

Orica Limited today advised that Qenos, an Australian-based plastics manufacturer, had concluded an agreement with various Australian and international banks for a restructure of its debt facilities.

The debt restructure was assisted by a payment by the two owners of Qenos, a 50/50 joint venture between Orica and Exxon Mobil, of $15 million (Orica share $7.5 million).

Orica believes that the significant improvement in the operational performance of Qenos during the past year and the sustained recovery of international polyethylene prices as well as the debt restructure agreement are all positives for Qenos and provide a sound basis on which to commence a formal sale process. The selection of a sale adviser is underway.

As the sole domestic producer of polyethylene plastics, Qenos enjoys the leading position in the Australian plastics market. The business services its customers from two facilities located at Altona in Melbourne and at Botany in Sydney, and employs approximately 900 people.