Background

The focus of the Company is the Titanium / Vanadium / Hematite Project that represents the major asset of the Company.  

This project is based on:

• Development of one of the largest JORC Resources in the world of its kind, totalling 3.6 Billion tonnes at 0.30% V₂O₅ and 2% Ti that provides the opportunity for +100 year mine life;
• Process flowsheet that uses a mixed chloride acid leach on the magnetite concentrate, to recover +90% of each of Titanium (Ti), Vanadium (V) and Iron (Fe) as three seperate high value end products (Indicative +99% purity).

Titanium / Vanadium / Hematite

• Significant Resource upgrade completed February 2012.
• Measured, Indicated and Inferred Resource totalling 3.566 Billion tonnes at 0.30% V₂O₅ and 2% Ti (at 0.23% V₂O₅ lower cut off grade);
• JORC Resource is the largest of its kind in Australia with +100 year mine life;
• Confirmation of high grade Titanium and Vanadium in the magnetite host of 2.48% and 14.8% in concentrate;
• Metallurgical test programme completed in February 2012 demonstrated +90% recoveries for each of Titanium, Vanadium and Iron through acid leach process flowsheet;
• The patented mixed chloride technology has delivered very high value end products through the indicative high grades of each of the end products including Titanium Dioxide (+99% TiO₂), Vanadium Pentoxide (+99% V₂O₅), Hematite (+99% Fe₂0₃);
• Scoping level CAPEX and OPEX to be completed February 2012;
• High value, diversified commodities, extreme long mine life project;
• Aboriginal Heritage Survey completed;
• Mining Agreement, Mining Lease, Environmental Assessment Application and Feasibility Studies expected by end of 2012.

Fluorite

• Existing high grade fluorite resource of 6.7Mt at 24.6% CaF2. The resource estimate has been upgraded by 52% since IPO;
• Infrastructure sharing opportunity as the resource is adjacent to Titanium / Vanadium Resource. 

Location

The Speewah Metals Limited tenements are located approximately 110 kilometres southwest of Kununurra and 100 kilometres south of the port of Wyndham in the Kimberley region of Western Australia. The Tenements are accessed via 30 kilometres of unsealed tracks from the sealed Great Northern Highway.

Mineral Resources

Titanium / Vanadium

Measured, Indicated and Inferred Resources totalling 3.566 Billion tonnes at 0.30% V₂O₅ and 2% Ti (at 0.23% V₂O₅ lower cut off grade). The Resource incorporates the three areas: Central, Red Hill and Buckman. The Resource includes:

• Measured Resource of 201 Million tonnes at 0.33% V₂O₅ and 2.1% Ti;
• Indicated Resource of 826 Million tonnes at 0.30% V₂O₅ and 2% Ti;
• Inferred Resource of 2.539 Billion tonnes at 0.30% V₂O₅ and 2% Ti.

Fluorite

Indicated and Inferred Resources of 6.7Mt at 24.6% CaF2 (at 10% CaF2 cut-off grade), comprising an Indicated Resource of 4.1Mt at 25.3% CaF2 and an Inferred Resource of 2.6 Mt at 23.6% CaF2.

2012 Objectives

The Titanium / Vanadium / Hematite Project represents the major asset and value add project for shareholders and will be the focus of strategic efforts over the next 12 months.

These objectives will likely include;

• Construction and completion of a pilot plant processing facility in 2012 to demonstrate Titanium / Vanadium / Hematite flowsheet and produce marketing sample to attract off-take and investment / strategic partners;
• Delivery of the following development approval requirements:
  • Achieving Reserve status on Titanium / Vanadium in magnetite Resource;
  • Financial modelling and valuation of Titanium / Vanadium / Hematite project;
  • Mining Lease;
  • Mining Agreement with landholders;
  • Environmental Assessment;
• Commencement of definitive feasibility studies on Titanium / Vanadium / Hematite project.

Other Exploration Prospects

Copper-Gold-Silver-Lead

Highly anomalous polymetallic drill intersections of two different styles of mineralisation.

• Multi-element sample assays of:
  • 8.26% Cu, 4.28 g/t Au & 26 oz/t Ag (Gray's Vein Prospect);
  • 8.14% Cu, 4.97 g/t Au & 24 oz/t Ag (Hayden Prospect);
• Copper samples assaying at 27% and 16.5% Cu;
• Gold sample assay at 4.9 g/t Au;
• Lead sample assay at 11.1% Pb;

 PGE + Au

• Confirmation of a PGE + Au 5-7m thick reef associated with the vanadium with a maximum 0.2m interval of combined PGE + Au of 0.69 g/t;
• Confirmation of a second PGE + Au zone with maximum single metre values of 0.34 g/t PGE + Au;
• Confirmation that the PGE + Au corresponds with the highest vanadium mineralisation.