TIVAN LIMITED — Capital/Financing Update 2011

Apr 20, 2011

POSITIVE SCOPING STUDY REVIEW WITH CHINESE COMPANY MoU

Highlights

• Non-binding MoU with major Chinese engineering and development company extended following its positive review of Mount Peake Scoping Study

• Chinese group to now assess results of pilot plant study test work

• MoU allows for establishment of strategic development partnership for Mount Peake finance and development, subject to entering into definitive agreements

• TNG also in discussions with other potential funding/development partners and will advance negotiations with all interested parties

TNG Limited (ASX: TNG ) is pleased to announce that the Memorandum of Understanding (“MoU”) with a leading Chinese State-owned engineering, development and construction enterprise announced on 28 February 2011 has been extended following the Chinese group’s positive review of the Scoping Study for the Mount Peak Iron-Vanadium Project development.

The non-binding MoU allows for the establishment of a strategic partnership for the Mount Peake Project financing and development. Under the terms of the MoU, TNG had granted exclusivity to the group for a period of 45 business days to assess the Scoping Study and other project information.

The Chinese company has advised TNG that it has completed its findings on the Scoping Study and, following satisfactory reviews, it now wishes to progress this with an assessment of the Pilot Plant study test work in order to confirm the proposed process is economically feasible and to satisfy the pre-requisites of the non-binding MoU.

The group has further agreed that following its satisfactory review of the pilot plant test work, discussion on potential agreements for EPC/EPCM (engineering, procurement and construction / engineering, procurement, construction and management), off-take, equipment manufacturing and potential funding from Chinese Banks could occur.

To provide some assistance and collaboration for TNG’s construction of a pilot plant in Australia and the pilot plant phase, the Chinese company has invited TNG’s technical team to visit an existing major Vanadium mine to view the operation and the metallurgical process at this operation, which TNG has accepted.

The Chinese group has maintained its request for anonymity and confidentiality on the terms until it has completed this evaluation and satisfied the intent for a substantial cooperation with TNG.

In addition to these ongoing negotiations, TNG has also been approached by a number of other interested Asian parties in relation to potential funding and development participation for the Mount Peake Project.

TNG now plans to advance discussions with all interested parties with a view to a final decision on a binding agreement for development of the Mount Peake project on completion of the pilot plant and pre-feasibility.

In light of this strong interest from other parties, TNG has advised the original group that the period of exclusivity cannot be extended, which they have agreed to.

TNG’s Managing Director, Mr Paul Burton, said the extension of the MoU and the approaches from other groups interested in participating in the Mount Peake Project development highlighted the Project’s strong credentials.

TNG last week announced further significant results from a supplementary independent Scoping Study evaluating the potential to produce a high-value ferro-vanadium (FeV) product from the vanadium pentoxide (V205) recovered from processing the Mount Peake deposit. The Study indicated the potential to increase the Mount Peake Project’s Total Nett Annual Cashflow[1] to $226 million or $5.34 billion over the estimated mine life of 24 years through the production of FeV, Fe203, V205, and TiO2.

The Company is now proceeding with the pilot plant test work and pre-feasibility studies on the Mount Peake Project, including further resource drilling commencing in May to upgrade the current JORC resource to Indicated and/or Measured standard, and environmental and hydrological studies.

TNG LIMITED

Paul E Burton

Managing Director

21 April 2011

Enquiries:

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

1Nett Cashflow

Nett Cashflow is defined as the average undiscounted cashflow per annum after all CAPEX (pre-strip CAPEX, initial CAPEX, and expansion CAPEX has been deducted) but ignores cost or source of capital, hedging, tax, depreciation, rehabilitation and salvage