TITANIUM SANDS LIMITED — Board/Management Information 2007

Apr 19, 2007

PMA ANNOUNCES KEY APPOINTMENTS - UPDATE ON WINDIMURRA FINANCING

IAIN SCOTT APPOINTED AS MANAGING DIRECTOR, MICHAEL KIERNAN AS CHAIRMAN

Precious Metals Australia Limited (ASX: PMA) today announced key changes to its Board of Directors, including the appointment of senior mining executive Dr Iain Scott as Managing Director to lead the Company in its forthcoming transition to production. In addition, prominent Australian mining executive Michael Kiernan has been appointed as PMA's non-executive Chairman.

Dr Scott - who was most recently General Manager-Operations with copper, gold and bulk commodities producer, Straits Resources Ltd - will spearhead an expanding management team focused on completion of the financing and development of PMA's 90%-owned Windimurra Vanadium Project in Western Australia. Windimurra is expected to be the lowest cost vanadium mine in the world.

Dr Scott will replace long-serving PMA Managing Director and founder, Roderick Smith, who has decided to step down from the role following a 20-year stint at the helm of the Company. Mr Smith will remain on the Board as a non-executive Director and remains a major shareholder in PMA. The need for the transition emerged since December 2006, when Mr Smith was hospitalised with cardiac difficulties.

To facilitate a smooth handover, Mr Smith has agreed to remain in his current position for a period of three months to provide Dr Scott with full access to his extensive knowledge of the Windimurra Project and PMA's operations during the current critical financing phase for the Project.

In addition, PMA today announced that Michael Kiernan, who has been a non-executive Director of PMA since August 2006, would assume the role of non-executive Chairman of the Board. The Company's Chairman, Mr Tony Grey, has retired due to growing work loads in his other interests, including International Ferro Metals Limited, which has just brought a large ferrochrome project into production.

Dr Scott is a highly credentialed mining executive with over 25 years' experience in the minerals processing industry. In his previous role at Straits Resources, he was responsible for the performance of several mining operating sites. Prior to this, he spent eighteen years in the mineral sands industry and is a world leader in synthetic rutile production technology, a process similar to vanadium extraction. He has a PhD in mineral processing and 1st class honours degree in metallurgy.

Mr Kiernan, who is one of Australia's most experienced and well-known mining executives, has been a director of PMA since August 2006 and has considerable mining and logistics experience with a proven track record in taking projects through to production. He was founding Managing Director of successful West Australian mining group Consolidated Minerals, and is currently Chairman of a number of publicly listed mining companies including Monarch Gold Mining Company Limited, Territory Iron and Uran Limited.

Commenting on the appointments, PMA's Managing Director, Roderick Smith, said: "Iain Scott has significant senior experience in operational, technical and project management roles, and has shown himself to be an enthusiastic and driven leader. I look forward to working closely with him over the transition period of the next three months, and in the longer term as PMA moves into an exciting growth phase."

"We are also fortunate that someone of the calibre of Michael Kiernan has agreed to assume the Chairmanship of the Company," he added. "Michael has been an invaluable contributor over the past six months as a non-executive director, and we look forward to his strong leadership, insight and vision moving forward. I would also like to take this opportunity to thank Tony Grey for his significant contribution to PMA over the past few years."

Mr Kiernan acknowledged the great efforts of Roderick Smith and Tony Grey in rebuilding the Windimurra Vanadium Project for the benefit of shareholders. "Roderick was a founding director of PMA in 1988, and under his stewardship, the Company has enjoyed exceptional growth and success. He successfully oversaw the

delineation of the world's largest proven vanadium ore reserve at Windimurra, saw the project through one development phase, and is now on the cusp of completing its redevelopment."

"Beyond the initial three-month handover period, I am very pleased that PMA will continue to have the benefit of Roderick's many years of experience, his knowledge of the Windimurra Project and his wide range of contacts and expertise in the international ferro-alloys industry into the future through his ongoing role as a non-executive director," Mr Kiernan said.

Noble Group Limited Chief Operating Office and Vice President, Ricardo Leiman, said the reorganisation was welcome. "As a major shareholder, with a 10% stake in Windimurra, we are fortunate to have been able to find such capable replacements to drive the construction phase of its Windimurra Project," he said.

Funding and Project Update

Funding for the Windimurra Project is well advanced. After completing a \$48 million placement and \$2.7 million share purchase plan, PMA has available equity of more than \$80 million to finance the rebuilding of the mine. PMA has made significant progress towards putting debt finance facility in place. The Company's strong cash position has enabled PMA and Noble to extend the deadline for conclusion of debt finance from March 31, to June 30.

Michael Kiernan Chairman

Precious Metals Australia Limited

For further inquiries, call: Michael Kiernan Chairman Tel: +61 (0) 8 9324 7000 Mob: 0418 904 165

Warrick Hazeldine Purple Communications Tel: +61 (0) 8 9485 1254 Mob: 0417 944 616

Background Information - PMA and Windimurra Vanadium Project

Precious Metals Australia Limited ("PMA") is an Australian ferro-alloys company based in Perth, Western Australia and listed on the Australian Stock Exchange (ASX: PMA). PMA's focus is the redevelopment of its 100%-owned Windimurra Vanadium Mine, located 600km north-east of Perth in Western Australia's Mid West region.

PMA has a strategic alliance and off-take agreement with leading global supply chain manager. Hong Kong-based Noble Group Limited, which has agreed to purchase the total vanadium output of the Windimurra mine, at prevailing market prices. During the first 7 years of production, Noble will pay the greater of market price or the cash cost of producing vanadium at Windimurra, providing a solid price floor for the project.

Originally discovered by PMA in 1985, Windimurra contains the largest reported vanadium Proven Ore Reserve in the world with current mineable reserves of 56 million tonnes at a bulk grade of 0.46% V2O5 (vanadium pentoxide), which will underpin an initial mine life of 16 years at the proposed mining rate of 3.4mtpa. A total of 148 million tonnes of resources have been modelled in order to meet at least the first 20 years of mining. The current reserve/resource inventory is contained within just 5km of a total 25km strike length of a prospective ore horizon, with significant potential to increase production and/or extend the mine life in future.

The Windimurra mine was built by PMA with a joint venture partner in 1999, and, whilst operating, was the world's largest primary vanadium mine, producing some 30 million pounds of vanadium pentoxide during its 2.5 years of operation (approximately 10% of world production), and gaining recognition as one of the highest-quality sources of vanadium in the world market.

PMA has completed a Feasibility Study for the \$200 million redevelopment of the Windimurra mine, with commencement of construction scheduled for early 2007 and first production in early 2008. It will be based on one of the simplest and most straightforward mining operations in Australia, with the ore commencing at surface. Windimurra will produce 6,200 tonnes per annum of ferrovanadium. This represents annual production of approximately 20 million pounds of vanadium pentoxide equivalent, representing approximately 8% of world demand.

The production process is straightforward, comprising crushing, grinding and classification followed by roasting and leaching. PMA has upgraded the previous production flow-sheet and will now produce a value-added product, ferrovanadium (FeV80) from V2O3 rather than V2O5 like the previous operation. Ferrovanadium sells for approximately 60% more (per pound of pure vanadium), which will improve the economics of the operation.

The infrastructure required for the project is in place, including the 365km gas pipeline, sealed roads, earthworks and a developed pit with ore waiting on the stockpile. All of the long lead items have been purchased including the gas turbine power station, High Pressure Rolls Grinder, two ball mills, mine village, and high voltage switchgear. The current existing plant and equipment on site have a replacement cost of more than \$100 million.

PMA has also filled all of the senior positions required for the development and operation of the Windimurra mine, PMA now has 38 employees headed by Executive Director Shaun Bunn, with numbers anticipated to grow to 140 by year end. In addition to PMA staff, 175 contractors are currently working on the project.

The recently completed Windimurra construction village currently will accommodate 120 people with high quality facilities. A further 120 room permanent village buildings has been purchased from Ausco and will be installed over the next quarter. The swimming pool, tennis court and other facilities remain from the previous operation.

Since 2003, world demand for vanadium and the price of the commodity have increased strongly, largely driven by growth in Chinese steel production. Marketing studies commissioned by PMA forecast that vanadium demand will continue to increase through 2015 by a compound annual growth rate of 7.8%, requiring increased production equal to a new Windimurra every vear

The Company has let contracts totalling \$55 million in value. Detailed engineering has been completed and all major equipment and services have been tendered. The heart of the plant will be a 126m rotary kiln, which was originally built new in 1999 and remains installed on site and in pristine condition. This would have a lead time of 2.5 years alone, if it were not already built.

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