all systems go!

KEY POINTS
• The Tiwi Islands minerals sands project will produce premium grade mineral sands
products with a high percentage of zircon
• Production will be sold as a mixed concentrate to Astron Ltd thereby reducing
marketing and capital costs substantially
• Based on current Reserves and product prices the project will initially generate free
cash flow before tax of at least $21m over a minimum of three years
• The project is viable in respect to mineral inventory, production volumes, mineral
recovery, product quality, marketability of products plus operating and capital costs
• Flora, fauna, Aboriginal and European heritage and hydrogeological surveys have
been recently completed with positive outcomes
• The project yields a remarkable return on exploration activity and expenditure
• Subject to the necessary approvals, production is planned to commence in mid 2005.

FINANCIAL ASSESSMENT
The financial prospects are outstanding with low risk operations and robust returns.
Recovered mineral value at current product prices is in excess of $37M and operational
cashflow (EBIT) is strong at $21M with $6.7M generated in the first year of operation.
The capital cost estimate for startup is based on utilising available used equipment and
amounts to $2.5M.
Summary
Mine life 3 years
Ore Reserve 2,046,000 tonnes
Ore Grade 6.0%
Cut-off grade 2.0%
Cost/t ore $7.34
Cost/t HMC $129
Margin/t HMC $54
PRODUCT QUALITY