TITANIUM SANDS LIMITED — Major Shareholding Notification 2006

Dec 19, 2006

Form 604

Corporations Act 2001 Section 671B

Notice of change of interest of substantial holder

To Company Name/Scheme	Precious Metals Australia Limited ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,
CAN/ARSN	65 009 131 533

1. Details of substantial holder (1)

Name	Matterhorn Investment Management LLP ("MIM")
CAN/ARSN (if applicable)
There was a change in the interests of the substantial holder on	2006 12
The previous notice was given to the company on	2006 03 10
The previous notice was dated	2006 03 10

2. Previous and present voting power

The total number of votes attached to all the voting shares in the company or voting interests in the scheme that the substantial holder or an associate (2) had a relevant interest (3) in when last required, and when now required, to give a substantial holding notice to the company or scheme, are as follows:

Class of Securities (4)	Previous notice		Present notice
	Person's votes	Voting power (5)	Person's votes	Voting power (5) _______
Ordinary	10,302,837	13.8%	13,191,668	15.2%

3. Changes in relevant interests

Particulars of each change in, or change in the nature of, a relevant interest of the substantial holder or an associate in voting securities of the company or scheme, since the substantial holder was last required to give a substantial holding notice to the company or scheme are as follows:

Date of acquisition	Person Whose relevant interest changed	Nature of change (6)	Consideration given in relation to change $(7)$	Class and Number of Securities affected	Person's votes affected
15/12/2006	MIM re MPF	Share Placement	\$2,257,620.30	1,157,754	1, 157, 754
15/12/2006	MIM re PAL	Share Placement	\$26,461.50	13,570	13,570
15/12/2006	MIM re REF	Share Placement	\$355,251.00	182,180	182,180
15/12/2006	MIM re WHF	Share Placement	\$1,687,442.25	865,355	865,355
01/12/2006	MIN Te WHF	Share Purchase	\$574,179.48	272,601	272,601
08/11/2006	MIM re WHF	Share Purchase	\$26,057.04	12,371	12,371
08/11/2006	MIM re WHF	Share Purchase	\$120,060.00	58,000	58,000
08/11/2006	MIM re PAL	Share Sale	\$119,939.94	58,000	58,000
07/11/2006	MIM re WHF	Share Purchase	\$612,099.00	295,700	295,700
07/11/2006	MIM re PAL	Share Sale	\$611,486.90	295,700	295,700

01/11/2006	MIM re WHF	Share Purchase	\$134,402.00	67,000	67.000
31/10/2006	MIM re WHF	Share Purchase	\$67,401.60	32,000	32,000
30/10/2006	MIN re WHF	Share Purchase	\$86,007.25	41,000	41,000
26/10/2006	MIM re WHF	Share Purchase	\$126,378.00	60,000	60.000
10/10/2006	MIM re WHF	Share Purchase	\$18,054.00	10,000	10.000
09/10/2006	MIM re WHF	Share Purchase	\$135.364.88	75.000	75.000
02/10/2006	MIM re WHF	Share Purchase	\$180,540.00	100.000	100.000

WHE	The Wildhorn Fund
REF	The Matterhorn Resources and Energy Fund
PAL .	PDS Master Fund Series PAL --------------------------------------
MPF	The Palmyra Fund

4. Present relevant interest

Particulars of each relevant interest of the substantial holder in voting securities after the change are as follows:

Holder of relevant interest	Registered holder of securities	Person entitled to be registered as holder $(8)$	Nature of relevant interest $(6)$	Class and Number of Securities	Person's votes
Matterhorn Investment Management LLP ("MIM")	Westpac Custodian Nominees Ltd a/c Morgan Stanley & Co International	The Palmyra Fund	Fund managed by MIM	Ordinary	9,715,309
Matterhorn Investment Management LTE ("MIN")	Westpac Custodian Nominees Ltd a/c Morgan Stanley & Co International	PDS Master Fund Series PAL.	Fund managed by MIM	Ordinary	308,470
Matterhorn Investment Management LLP ("MIN")	HSBC Custody Nominees (Australia) Limited	The Matterhorn Resources and Energy Fund	Fund managed by MIM	Ordinary	1,250,862
Matterhorn Investment Management LLP ("MIM")	HSBC Custody Nominees (Australia) Limited	The Wildhorn Fund	Fund managed by MIM	Ordinary	1,917,027

5. Change in association

The persons who have become associates (2) of, ceased to be associates of, or have changed the nature of their
association (9) with, the substantial holder in relation to voting interests in the company or scheme are as fo

Name and CAN/ARSN (if applicable)	Nature of association
---------------------------------------	No changes from previous notice

6. Addresses

The addresses of persons named in this form are as follows:

Name	Address
Matterhorn Investment Management LLP	29 Queen Anne's Gate, London SW1H 9BU
The Palmyra Fund	c/o Matterhorn Investment Management LLP, 29 Queen Anne's Gate, London SW1H 9BU
PDS Master Fund Series PAL	c/o Matterhorn Investment Management LLP, 29 Queen Anne's Gate, London SW1H 9BU
The Matterhorn Resources and Energy Fund	c/o Matterhorn Investment Management LLP, 29 Queen Anne's Gate, London SW1H 9BU
The Wildhorn Fund	c/o Matterhorn Investment Management LLP, 29 Queen Anne's Gate, London SWIH 9BU

Signature

Print Name ENAN CHRISTIAN Capacity SUSANETS MANIAGER
Sign here fundamentale date 19/12/2006