Ann: Update on Iron Ore Offtake, page-2

Australian strategic metals company TNG Limited (ASX: TNG) (“TNG” or the “Company” provides the following update on the iron ore off-take for its flagship 100% owned Mount Peake Vanadium-Titanium-Iron Project in the Northern Territory, Australia. TNG executed a binding term sheet (“BTS” with commodities trader Gunvor (Singapore) in 2016 (see ASX announcement dated 23 March 2016) for a minimum of 60% of the iron products to be produced by the project.

Under the BTS, certain of the contemplated conditions precedent have not been satisfied and no formal off-take agreement has been reached with Gunvor (Singapore). TNG has therefore advised Gunvor (Singapore) that the term sheet is no longer in force.

The Company will now progress discussions with other potential off-take partners that are interested in 100% of its planned iron oxide production and will update the market on these discussions in due course. The Company confirms that there is significant interest from prospective customers in its planned production of high-grade iron oxide.