Australia-based phone Company Telstra Corp. on Tuesday said that the talks regarding finalizing a A$11 billion ($10.9 billion) agreement to sell the copper network to the Government are going on well.

Chief Executive David Thodey at the Citi Australian Investment Conference in Sydney expressed satisfaction over the progress. Thodey also told the conference that the earning targets for the Company were on track.

Telstra is planning to give its fixed-line assets to the Government in order to set the basis of a National Broadband Network.

In order to strengthen the local capacity of Next G mobile telephony network, Telstra has bought 2.1GHz spectrum licences from the Australian Communications and Media Authority.

Telstra Chief Operations Officer Michael Rocca stated, “These new licences are fundamental to our ability to continue to meet our customers' demand for ultra-fast, reliable wireless broadband”.

Optus also purchased new spectrum licences for the broadband network in the month of July.

Those licences helped Optus to perk up mobile and wireless services in around 1,000 regional towns, where there was less access to the No. 2 carrier earlier.

ACMA has decided to accept applications for extra licences in the 2.1GHz band in regional and distant areas of Australia.