TIVAN LIMITED — Capital/Financing Update 2011

Aug 23, 2011

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ASX ANNOUNCEMENT

February 2011 ASX CODE : TNG

REGISTERED OFFICE TNG Limited Level 1, 282 Rokeby Road Subiaco, Western Australia 6008

T +61 8 9327 0900 F +61 8 9327 0901

W www.tngltd.com.au E corporate@tngltd.com.au

ABN 12 000 817 023

DIRECTORS Neil Biddle Paul Burton Stuart Crow

COMPANY SECRETARY Simon Robertson

PROJECTS

Mount Peake: Fe-V-Ti Manbarrum: Zn-Pb-Ag East Rover: Cu-Au McArthur: Cu

CONTACT DETAILS Paul Burton | +61 8 9327 0900 Nicholas Read | +61 419 929 046 Simon Robertson | +61 8 9327 0900

NEW DIAMOND DRILLING RESULTS CONFIRM LARGE CONTINUOUS IRON VANADIUM ZONE AT MOUNT PEAKE Highest grade AND widest intersections received to date

Highlights

• Assay results for 8 recently completed diamond drill holes confirm extensive commercial grade vanadium, iron and titanium mineralisation across the large magnetite zone

• Results of up to 0.6% V205, 10% TiO2 and 36% Fe include the highest grades received to date

• Continuous homogeneous mineralisation intersected over widths of up to 145m

• The diamond core is now being utilised for optimisation and pilot plant metallurgical test work

• Reverse Circulation resource drilling results are awaited and will be forwarded to Snowden to commence an updated JORC resource estimate, to be completed in September

• Mount Peake Pre-Feasibility Study progressing on schedule

Australian resources company TNG Limited (ASX: TNG) is pleased to advise that laboratory results have been received for the recently completed diamond drilling program at its flagship Mount Peake Iron-Vanadium-Titanium Project in the Northern Territory ( see Figure 1 ).

As previously reported (ASX 22[nd] June 2011), eight diamond drill holes were targeted across the central part of the resource to provide representative samples for metallurgical and pilot plant testwork, which will use the Company’s patent pending TIVAN[TM] hydrometallurgical process ( see Figure 2 ).

All core was sampled at 1m intervals and analysed by X-ray Fluorescence (XRF) to determine accurate element contents.

The results have confirmed the presence of continuous and remarkably homogeneous mineralisation hosted within the magnetite zone, and include the highest vanadium and iron grades intersected to date in un-beneficiated material of up to 0.6% V205 and 36% Fe ( see Table 1 ).

The diamond core has also confirmed the widest mineralised intersections received to date of up to 145m and has also confirmed the shallow nature of the overburden – in places to just 12 metres thickness – which has positive implications for any future mine plan.

Assay results from the diamond drilling program are summarised in Table 1 below:

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			Interval Thickness (m)				LOI 1000 (%)
	From (m)			V2O5 (%)	TiO2 (%)	Fe (%)			Al203 (%)
HOLE ID		To (m)						P (%)
DDH 003	48.0	108.0	60.0	0.35	6.60	24.3	3.11	0.080	7.14
DDH 004	11.0	72.0	61.0	0.39	7.44	26.3	2.46	0.094	6.82
DDH 005	13.2	158.7	145.5	0.39	7.26	29.4	0.36	0.083	5.93
Incl.	20.0	74.0	50.0	0.55	9.40	32.2
DDH 006	32.0	160.0	128.0	0.34	6.26	28.8	-1.10	0.093	5.65
Incl.	33.0	82.0	50.0	0.45	8.50	31.1
DDH 007	45.0	95.0	50.0	0.39	7.22	28.6	0.03	0.108	6.09
DDH 008	52.0	94.0	42.0	0.43	8.11	29.4	0.28	0.103	6.28
Incl.	63.0	82.0	20.0	0.48	9.08	31.9
DDH 009	48.0	140.0	91.0	0.47	9.16	31.9	0.08	0.118	6.50
Incl.	100.0	121.0	22.0	0.58	10.20	35.7
DDH 010	48.0	115.0	66.0	0.39	7.40	26.9	1.33	0.109	7.00
Incl.	60.0	76.0	18.0	0.49	9.40	32.5

Table 1: Summary of laboratory X-ray Fluorescence (XRF) analytical results (compiled by Snowden Mining Consultants)

The confirmation of definitive grades and mineralised intervals for the key commodities from diamond core across the deposit continues to show that the Mount Peake resource has the potential for a large scale development.

Analytical results from the recently completed 23-hole Reverse Circulation drilling programme are awaited and, once received, will be forwarded to Snowden to commence an updated JORC resource estimate and will be reported when available.

The company is also pleased to provide an update that the Pre-Feasibility work is progressing on schedule for targeted completion ( see Figure 3 ), with final metallurgical optimisation work, engineering, process design, hydrology, native title and environmental studies underway.

TNG LIMITED Paul E Burton Managing Director 24 August 2011

Enquiries:

Paul E Burton, Managing Director + 61 (0) 8 9327 0900 Nicholas Read, Read Corporate + 61 (0) 419 929 046

COMPETENT PERSON STATEMENT

The information in this report that relates to Exploration Results is based on information compiled by Paul Burton who is a Member of The Australasian Institute of Mining and Metallurgy , an employee and Director of TNG Limited. Paul Burton has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Paul Burton consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

The information in this report that relates to Mineral Resources is based on information compiled by Jeremy Peters who is a Member of The Australasian Institute of Mining and Metallurgy and a full time employee of Snowden Mining Industry Consultants Pty Ltd. Jeremy Peters has sufficient experience relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Jeremy Peters consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

TNG Limited | ASX Announcement

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Figure 1: Mount Peake Location Map

TNG Limited | ASX Announcement

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Figure 2: Mount Peake Deposit Completed Diamond Drill Holes

TNG Limited | ASX Announcement

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TNG Limited Mt Peake Preliminary Development Schedule	TNG Limited Mt Peake Preliminary Development Schedule	TNG Limited Mt Peake Preliminary Development Schedule	TNG Limited Mt Peake Preliminary Development Schedule	TNG Limited Mt Peake Preliminary Development Schedule
Task	J F M A M J J A S O N D 2011	J F M A M J J A S O N D 2012	J F M A M J J A S O N D 2013	J F M A M J J A S O N D 2014
Resource Drilling & Sampling Process Trials Undertake PFS Study Value Improvement Studies Feasibility Study Early Engineering and Design Early Procurement Activities Project Financing Execution Handover

Figure 3: Mount Peake Pre-Feasibility Study Preliminary Development Schedule

TNG Limited | ASX Announcement