TIVAN LIMITED - Capital/Financing Update 2011

MOU SIGNED WITH MAJOR CHINESE ENGINEERING AND DEVELOPMENT COMPANY : MOUNT PEAKE PROJECT PO T ENTIAL FUTURE AGREEMENT O N DEVELOPMENT EN C OMPASSES OFFTAKE, FUNDING AND CONSTRUCTION

Highlights

Non-binding MOU signed with a major Chinese state owned engineering and development company t o establish a strategic development partnership for Mount Peak
MOU allows for potential future agreement to undertake engineering, procurement and constructi o n (EPC) works and securing project finance, subject to e n tering into definitive agreements
MOU is conditional on successful evaluati o n of the Mount Peake Scoping Study

TN G Limited (ASX: TNG ) is pleased to announce that it h a s signed a Memorandum of Und e rstanding (“MOU”) with a leading Chinese state-owned engineering, dev e lopment and construction enterprise to establish a strategic partnership for fina n cing and development of its Mount Peake Iron-Vanadium Project in the Northern Territory.

The non-binding MOU follows the recent positive indepe n dent Scoping Study results ann o unced earlier this month, and the Company’s revol u tionary co-owned Patented hyd r ometallurgical process.

Und e r the terms of the MOU, the Chinese group hav e requested anonymity and con f identiality on the terms until they have satisfied their evaluation of the results of the s coping study and the intent for a substantial cooperation with TNG.

TN G has granted exclusivity to the group for a period of 45 days to assess the Sco p ing Study and other project information. Subject t o a satisfactory review the parties have agreed to then consider future participation in the Mount Peake project enc o mpassing additional agreements which include :

Off-take of the iron and vanadium products;
EPC/EPCM (engineering, procurement and construction / engineering, procurement, construction and management) works;
Project finance

TN G ’s Chief Executive Officer, Mr Paul Burton, said the M OU laid the foundations for a st r ategic alliance with a major Chinese construction a nd development company, repr e senting a significant milestone for the development o f the Mount Peake Project as w e progress towards feasibility.

“We have built a very good relationship for future cooperation with this company over the last 18 months and we look forward to working toward s development of the Mount Pea k e project” Mr Burton said.

TN G is currently progressing with pre-feasibility pre p arations, planning further resource drilling and engaging consultants while awaiti n g results of the additional Ferr o -vanadium scoping study which is expected to be completed by Snowden in the next few weeks.

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