0f5283ae-df30-4e96-81b6-39c2f22ca710.pdf
27 June 2016
ASX Market Announcements 20 Bridge Street
SYDNEY NSW 2000
Dear Sir / Madam
Settlement of BC Iron Litigation
Further to the BC Iron Limited's (BC Iron) ASX Release on 24 June 2016, Watpac Limited (Watpac or Group) wishes to confirm it has entered into a settlement deed relating to the dispute with BC Iron over work previously completed at the Nullagine Iron Ore Project in WA.
The settlement includes a final payment by BC Iron to Watpac and the full withdrawal of all of BC Iron's claims and Watpac's counterclaims.
Watpac Managing Director, Martin Monro said the Group is very pleased to have this matter resolved.
"I can confirm that it provides for a payment to Watpac by BC Iron and the discontinuation of all claims against us".
"It was disappointing the matter proceeded the way that it did, but it is now resolved and this is a positive and welcome outcome for Watpac", Mr Monro said.
The majority of the amount due to be paid under the settlement deed relates to debtors impaired in the Group's 31 December 2015 half year result.
Yours sincerely, WATPAC LIMITED
Mark Baker COMPANY SECRETARY