TIVAN LIMITED — Capital/Financing Update 2005

Oct 3, 2005

SALE OF NON-CORE PROJECTS COMPLETED AND UPDATE ON MANBARRUM LEAD-ZINC AND TIWI ISLANDS BAUXITE PROJECTS

4 October 2005

HIGHLIGHTS

• Agreement completed with AIM-listed Red Rock Resources plc for the sale of $\bullet$ five non-core gold/uranium, magnesite and iron ore/polymetallic projects in the Northern Territory.
• Consideration comprises the issue of 19 million Red Rock shares with a market value, based on their last sale price of 2.25p, of approximately A\$1 million.
• Transaction marks the final phase of the asset rationalisation program initiated by TNG earlier this year, as a result of which TNG now holds a substantial portfolio of investments in AIM- and ASX-listed companies.
• Title granted over two tenements at the Manbarrum Lead-Zinc Project, with site clearance expected shortly which will enable exploration to commence.
• Permission received to commence negotiations with traditional owners to secure grant of title over the Tiwi Islands Bauxite Project. ELA's secured early this year cover extensive identified bauxite deposits.

Tennant Creek Gold Limited (ASX: TNG) ("TNG") today announced the completion of an agreement with AIM-listed minerals group Red Rock Resources plc ("Red Rock") for the sale of a group of non-core exploration projects located in the Northern Territory. Australia. The agreement represents the final phase of the asset rationalisation program initiated by TNG earlier this year.

TNG also announced an update on its exploration activities in the Northern Territory, including at the Manbarrum Base Metal Project and Tiwi Islands Bauxite Project where exploration and drilling programs are both scheduled to commence shortly, as well as an update on initial drilling at the Tennant Creek gold-copper prospects.

Sale of Non-Core Gold/Uranium, Magnesite and Iron Ore Projects

TNG announced that it has that it has entered into an agreement with Red Rock Resources for the sale of the Woolgni gold/uranium tenements, the Celia magnesite, uranium and gold tenements, and four iron ore/polymetallic exploration prospects, all located in the Northern Territory.

Consideration for the agreement is 19 million ordinary fully paid shares in Red Rock whose shares are admitted to trade on AIM. The last sale of shares was 2.25 pence, which values

the transaction at approximately A\$1 million. The shares are now issued and subject to an orderly marketing agreement, but are otherwise fully tradeable.

The agreement replaces the previously announced option agreement for the sale of the iron ore tenements only.

All of the tenements included in the agreement are regarded as non-core assets of the Company in light of its focus on its other Northern Territory mineral projects including the Manbarrum Lead-Zinc Project and Tiwi Islands Bauxite Project (see update below), and the agreement represents an opportunity to realise value for these non-core projects at a time of strong market interest.

The agreement with Red Rock Resources marks the final phase of an asset rationalisation program initiated by TNG earlier this year which commenced with the successful spin-off of its Australian specialty metals projects to Thor Mining PLC ("Thor"), which has since completed a £1,633M (A\$3.8M) raising and listing on the Alternative Investment Market of the London Stock Exchange.

TNG retains a 24.8% stake in Thor, which recently announced excellent initial results from a bulk sampling and trial mining program currently underway at its principal project, the Molyhil Molybdenum-Tungsten Project, located 220km north-east of Alice Springs in the Northern Territory. Thor has already commenced key items of a pre-feasibility study on development of the Molyhil Project following the encouraging sampling results. Thor has also recently completed a compliance listing of its securities on the Frankfurt Stock Exchange in Germany.

In addition to its 24.8% stake in Thor, TNG's other assets include a 20.5% interest in ASXlisted uranium and copper-gold explorer, Batavia Mining Limited - which recently announced the commencement of a major exploration program covering its Northern Territory uranium projects - and a royalty interest in the Cawse Extended Laterite Nickel Project

TNG also has a strong cash position to underpin its ongoing exploration and development programs in the Northern Territory. TNG's focus remains on accelerating exploration programs at the Manbarrum Lead Zinc Project and securing title to the Tiwi Island Bauxite Project, both of which are considered to have world-class potential.

Manbarrum Lead-Zinc Project, NT

At Manbarrum, which is located 70km north-east of Kununurra, TNG has announced that title has now been granted over two tenements covering over a 20km strike length of identified, shallow open pittable Mississippi Valley Type (MVT) lead-zinc mineralisation in several locations.

Previous exploration by major mining companies including BHP Billiton and Aguataine in the Manbarrum area outlined both strata-bound and structurally-hosted base metal mineralisation during the 1970s. There is potential for large tonnage, open pittable leadzinc-silver deposits within the Main Zone deposit, as well as significant regional potential for multiple MVT deposits within the structural corridor trending to the north-east from the Main Zone deposit.

Previous resource estimates for the Manbarrum Project pre-date the JORC Code, and TNG's planned exploration activities are geared towards drilling to upgrade this resource base to JORC compliance as rapidly as possible. TNG is currently awaiting site clearance from Authorities with respect to identification of Indigenous Sites of Significance and Sacred Sites

prior to commencement of exploration. Clearance is expected shortly and exploration is due to commence in the December 2005 Ouarter.

Tiwi Islands Bauxite Project

Early this year, TNG secured priority Exploration Licence Applications (ELA's) over identified bauxite deposits on Melville Island and Croker Island in the Tiwi Island Group off the coast of northern Australia. The ELA's cover extensive bauxite deposits identified from regional exploration activities carried out between 1952 and 1972.

The Tiwi Islands are Freehold Aboriginal Land and TNG has now received permission from DBIRD to commence negotiations with the Tiwi Islanders and The Northern Land Council to secure grant of title.

The deposits contain potentially large-tonnage, high-grade resources which require modern, systematic exploration to upgrade historical data to JORC Code compliance. TNG is in the process of developing an exploration strategy and budget for submission to the Tiwi Islanders and the Northern Land Council for their consideration.

Tennant Creek Exploration Update

TNG has recently completed a 12-hole Reverse Circulation Percussion drilling program for a total of 3,350 metres at the Tennant Creek Gold-Copper-Bismuth prospects in the Northern Territory.

The program was terminated before the proposed completion due to the extremely difficult drilling conditions encountered, particularly at the Southern Explorer prospect where drilling encountered large water in-flows which impeded sample recovery and presented environmental difficulties.

Gold assay results have now been received for all holes, and only weakly anomalous gold mineralisation has been detected associated with magnetite and hematite-rich alteration.

The geophysical techniques utilised by TNG have been very successful in defining iron-rich alteration zones and the Company will now further refine its drill hole targeting with ground gravity surveys prior to resuming further drilling.

Yours faithfully TENNANT CREEK GOLD LIMITED

NEIL BIDDLE Managing Director