Amazon Bay Ironsands Project

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Amazon Bay Ironsands Project
A major undeveloped iron, titanium vanadium
resource
Titan Mines Limited
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Amazon Bay - Snapshot

• Titan Mines Ltd (PNG) 100
• Partially evaluated by AOG Minerals in the 1970s
• Ironsands occur in 4 major areas within a 160km x
  8km zone
• AOG reported the project may contain up to 445mt
  of ironsands with 10 magnetics to 9m deep (non
  JORC). This potential quantity is conceptual in
  nature as insufficient work has been completed to
  date to define a resource under JORC. It is
  uncertain if further exploration will result in
  the determination of a resource under JORC
• AOG laboratory testwork produced concentrate 40
  Fe, 10 Ti02 and 0.4 V2O5
• By melting the concentrate 95 of Fe can be
  recovered as metal

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Tenement
EL 1396 covers an area of 1,565 km2 over 150km of
coastline (50 to be relinquished in December
2007 can reapply in 2008)
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Amazon Bay

• Titan Mines owns 100 of the Amazon Bay ironsands
  deposit located in coastal PNG
• Potential resource to 9 metres depth is 445Mt of
  ironsands 10 magnetics
• Testwork concluded that screening, gravity and
  low intensity magnetic separation could produce a
  concentrate grading 40 Fe, 10 TiO2 and 0.4
  vanadium

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35km zone of strandlines across Baxter and
Table Bays
Ironsand strandlines extend up to 20km inland
from the present shoreline
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Exploration History

• Australian Oil and Gas
• 1969 to 1972
• 891 holes
• Non-JORC resources defined
• Metallurgical testwork
• Titan Mines
• 2005 to 2007
• Confirmatory sampling
• Bulk sampling
• Metallurgical testwork
• Marketing study
• Community relations

Titan Mines sampling program - 2006
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AOG Drilling

• Deba / Magarida Drill Grids
• Total 891 holes
• 30m x 300m drill hole spacing
• 3 lines extended up to 2.5km inland
• Reconnaissance drilling
• Holes drilled at 8km intervals along 200km of
  shoreline
• Drilling confirmed consistent iron titanium
  content

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AOG Resources

• Potential up to 445 million tonnes of ironsands
  to approximately 9m deep of 10 magnetics
  (non-JORC status)
• Occurs within four major areas within a 160km x 8
  km coastal zone

Deba drill grid showing magnetite content in
auger holes
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Metallurgy
Amazon Bay ironsands

• Laboratory testwork in the 1970s indicated
  magnetite may be concentrated by simple
  screening, gravity magnetic methods
• Iron and titanium can be separated by reduction
  (with carbon monoxide) smelting to produce a
  low carbon vanadiferous iron titaniferous slag
• Testwork was sufficiently encouraging to
  recommend the design of a large-scale industrial
  process

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Alluvial Gold
Amazon Bay ironsand deltas

• Limited metallurgical testwork was conducted on a
  representative composite sample from 211 shallow
  holes from Deba drill grid
• Gold mineralization averaging 0.15g/t Au occurs
  in the non-magnetic heavy mineral fraction of
  gt2.9 specific gravity

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Titan Mines

• Work Conducted
• 2005 to 2007
• Compile AOG database
• Confirmatory sampling
• Bulk sampling
• Metallurgical testwork
• Petrographic studies
• Ironsands
• Magarida Ridge Cu-Au
• Marketing study
• Community relations

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Copper-Gold Hardrock

• Magarida Ridge Prospect
• Located 2km inland from coast
• Historical rock chips with anomalous Au / Cu
• Epithermal gold and copper-gold porphyry
  potential
• Confirmed by petrology
• Potential mineralized structure strikes 45km
  through tenement
• Aeromagnetics regional stream sediment sampling
  planned

Magarida Ridge massive chalcopyrite
mineralization
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Community Relations Mining

• Widespread community support within project area
• Recent history of successful large scale mining
  operations within PNG
• Ok Tedi, Porgera Lihir
• 5 of the PNG workforce employed by the mining
  industry

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Mining and Processing Concepts

• Quarry operation
• bulldozers, loaders trucks
• Movable concentration plant at mine site
• screens and gravity or magnetic separator
• Central grinding concentration plant
• produce intermediate concentrate to pump onto
  self de-watering ship for transport to DRI plant
• Final grinding, concentration reduction to pig
  iron at site of DRI plant

Consultant Peter Stitt examining Amazon Bay
magnetite concentrate
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Metallurgy

• Direct Reduced Iron (DRI) requires gt57 Fe and
  low Ti
• Develop grind-grade curves to determine
  liberation size for product and assess yield
• Determine power and process requirements to
  produce concentrate for DRI plant

Heavy media separation - Titanatek Pty Ltd
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Amazon Bay Program

• Aeromagnetics
• Metallurgical testwork
• Develop process flowsheet
• Marketing investigations
• Drilling bulk sampling
• Regional reconnaissance
• Scoping or conceptual feasibility study
• Baseline environmental database community
  development program

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Program (cont)

• AOGs detailed work covered only 2 of EL 1396
• Aeromagnetics 4000 line km / 780km2 coverage /
  up to 20km inland
• Potential for the MIL program to expand AOG
  resources significantly
• Potential to discover significant hard rock Au /
  Cu deposits
• New EL Applications in process

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Industry Peers
at 16/10/07
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THANK YOU