The Valentines project is the development of a major magnetite mining, processing and exporting facility in Uruguay. Subsidiary companies, 100% owned by Zamin Ferrous, hold or have in application over 66 Prospection, Exploration and Mining Licences covering around 120,000 ha of land. Within the licence area is an Archaean BIF trend 55km long and 12km wide. The area is approximately 250km from both the coast and Montevideo.

• 2.5 billion tonnes of measured, indicated and inferred JORC resources.
• Total potential resources estimated at 4 to 5 billion tonnes at +/- 27% Fe.
• Completed over 260,000 meters of drilling at 8cm diameter.
• A 3,000 km² airborne magnetic survey flown in late 2009 defined 27 major and 10 minor magnetic anomalies, only 5 of which have been drilled to date.
• Pre-Feasibility Study (PFS) for an 18 Mtpa magnetite project was completed in April 2010 in conjunction with SNC Lavalin Australia.

Main project parameters are:

1. 55 Mtpa ROM open pit mining operation consisting of several pits.
2. Centralised processing facility and associated infrastructure to produce 18 Mtpa of DR concentrate.
3. 212 km Concentrate Slurry and Return Water pipelines.
4. Mine life of greater than 20 years.
5. Production of a magnetite concentrate with ~70% Fe, <2% SiO₂ and low levels of other contaminants.
6. Iron recovery from head samples of 85% - 90%. Ore is easily upgraded via low intensity magnetic separation.

• A Definitive Feasibility Study (DFS) was completed in Q2 2011. First production is planned for 2014.
• The DFS shares the same parameters as for the PFS with exception of production of both DR and BF grade concentrates.