Mount Peake Project Second Annual Report ELR 29627 17 December 2013 o 16 December 2014

Abstract

ELR 29627 is part of the Mount Peake Project operated by Enigma Mining Ltd, a wholly owned subsidiary of TNG Ltd. The project area is located approximately 220km NNW of Alice Springs in the Northern Territory and covers portions of the Mount Peake (SF53-05) 1:250,000 map sheet. It lies within the Stirling and Anningie Pastoral Leases and is subject to Native Title. The project comprises five granted exploration licences; EL 27069, EL 27070, EL 27941, EL 28491 and EL 29578, and an exploration licence in retention, ELR 29627. In addition four Mining Lease applications; ML 28341, ML 29855, ML 29856 and ML 30686 have been taken out within the project area. The main focus of the Mount Peake project has been evaluation of the V-Ti-Fe deposit which lies within ELR 29627. Work has continued throughout the year on metallurgical testwork, environmental studies and logistical matters which will contribute to the completion of the Definitive Feasiblity Study during 2015. A number of changes have been made to optimise the TIVAN(r) process which has delayed the construction of the Pilot Plant facility. Testwork results are currently being assessed and the Pilot Plant is expected to be up and running by Q2 2015. A water bore monitoring hole was drilled on the eastern edge of ELR 29627 (~1.1km from the current resource) with mineralised magnetite gabbro (21m at 0.11% V2O5) being intersected in the drillhole. This highlights the potential for mineralisation east of the existing resource which has not yet been closed off by drilling.