MACMAHON HOLDINGS LIMITED — M&A Activity 2008

Jul 9, 2008

10 July 2008

Company Announcements Office ASX Limited Exchange Centre Level 4, 20 Bridge Street SYDNEY NSW 2000

Joint ASX / Media Statement

“Ausdrill Shareholders Continue to Ignore Inadequate Offer”

Diversified mining and services company Ausdrill Limited ( ASX: ASL ) has recommended its shareholders continue to REJECT the unsolicited, inadequate and opportunistic all scrip offer from Macmahon Holdings Ltd, which was today extended to August 15.

Ausdrill Managing Director Mr Ron Sayers said that the offer from Macmahon had gained no traction with Ausdrill shareholders since it was announced seven weeks ago and he questioned why Macmahon would continue with the bid.

“To date, Macmahon has received acceptances for just 0.31% of Ausdrill shares. Ausdrill has continued to trade above the offer price, confirming the inadequacy of Macmahon’s offer,” he said.

“Macmahon’s inability to gain any traction with its offer is not surprising given it is offering Ausdrill shareholders only 31% ownership of a company to which Ausdrill would contribute over 43% of the earnings, before synergies, and 55% of the net tangible assets.”

“I will not accept the offer, my fellow directors will not accept the offer and a number of our larger shareholders do not intend to accept the offer.”

“Ausdrill shareholders do not need more time to consider the offer as it is clearly inadequate and most unlikely that the minimum acceptance condition will be satisfied.”

Ausdrill shareholders who have questions concerning Macmahon’s offer can call Ausdrill’s Shareholder Information Line on 1800 104 758 or from outside Australia on +_61 2 82683691.

About Ausdrill

Ausdrill is a diversified mining and services company providing leading edge services in mining, drill and blast, exploration, procurement and logistics, manufacturing, telecommunications and automotive industries with operations in Australia, the United Kingdom and Africa.

Ausdrill has established a blue chip client list over many years, with which the company has long term relationships.

For further information, go to www.ausdrill.com.au

or contact Caroline de Mori Purple Communications Tel. 0418 919 064