BRR - Straight from the source

PRESENTATION BY DAVID YOUNG, MANAGING DIRECTOR OF TIGER RESOURCES LIMITED (TGS)

“Africa Down Under Conference Presentation”

http://www.brr.com.au/event/51106

MONDAY, SEPTEMBER 8, 2008, 5:00 PM.

            TGS     Good morning. Nice view of the crowd here. What I’d like to do is to take you through Tiger Resources, explain what we are as a company, what we’re

10                    looking to achieve, and where we’re going in the future. Tiger Resources, we’re totally focused on exploration work within the DRC. We have a range of projects in the DRC. Currently well we have 251 shares on issue, 38 million unlisted options, the majority of those options are due for expiry May of next year, and we have around $20 million in cash, and as I was saying, our sole

15                    focus is on exploring and mine development within the DRC, more particularly within the Katanga Copper Belt. All our projects are well located within the Katanga project belts. We’re involved in three joint ventures: the Aurum Joint Venture -- those projects are shown with the red blocks and they’re strategically positioned, one is close to Kolwezi and it’s adjacent to the

20                    Tenke-Fungurume concession. The other is Sase, which is immediately south of our Kipoi Project, and the final block is near First Quantum’s project and that’s a perspective not only for gold but we’re also exploring for gold and palladium in that project area. Our flagship project, of course, is the Kipoi’s project area and most of this talk and presentation this morning will be

25                    focused and going into detail on Kipoi. Our last joint venture is the most recent one we entered into, it’s what we called the Afrimines Joint Venture. These are very much our grassroots projects. We’ve just completed a mag survey over those. We’re waiting to receive those results, so we can then process them and follow up as required. We have four rigs operating in total

30                    on our various projects -- 31 diamond holes have been drilled on the Pumpi Project, which is the one adjacent to Tenke. We’ve released early numbers from that, that looks very encouraging at this stage, with mineralisation both cobalt and copper identified over a strike so far for around 400 metres and that’s open. We’ve also got a diamond drilling program going on at our Sase

35                    Project, that’s a project which is immediately to the south of Kipoi. We don’t have any assays back for that for the same reason that every (inaudible) (00:02:26) is experiencing within the Southern Africa region is the extremely long turnaround time getting assay results back from the laboratories, but the visual indications are that we have significant copper mineralisation on that

40                    project area. My presentation this morning just by coincidence coincides with our release that’s just gone out to the market and that is the result of our DFS study and also I’ll be able to touch a little more on those numbers later in this presentation. I said Kipoi -- we’ve started drilling at Kipoi only in late 2006, early 2007, and we came out with our first resource in the Kipoi Project of

45                    March this year and we upgraded that just a few months ago. Our intention at Kipoi and we believe it’s going to be an achievable one, is to be able to get into production by at the end of 2009, which would mean from the first drill hole, it would have taken three years from the first drillhole to the first floor, which I think will be an admirable result anywhere, and again it shows that despite the current bad publicity and uncertainty that is going around on the DRC, that you are able to get results from the project itself. This is to show the project area itself -- the Kipoi Project covers an area of 55 square kilometres and before we’ve became, there had been no history of

5                      exploration on this project till we became involved in the joint venture. There are a number of exposed areas of mineralisation where there have been (inaudible) (00:03:54) mining and we referred those to as its five known deposits. We’ve completed some drilling at a deposit sighting in the northwest. We’ve done drilling at Judeira, where we’ve got very good early

10                    results. We’ve drilled around 65 holes now at Kipoi North, identified delineated mineralisation of 650 metres of strike to a depth of 200 metres, and we’re in the process of preparing a resource for Kipoi North, which we expect will be out October, November of this year. At Kileba, which is in the southeastern part, again we’ve drilled in the order of about 50 holes. We’ve

15                    delineated very strong copper mineralisation over a strike of around 500 metres – that mineralisation remains open for further one (inaudible) (00:04:40) at least and we’ve now relocated an RC rig to continue drilling along that strike extent. Kipoi Central -- in this Kipoi Central where we’ve done most of the work, and we started our first drilling was in December

20                    2006. Since that time, we’ve drilled closed to 50,000 metres of drilling, and we’ll have a look at some of those results at the moment, but what I’ve got this slide up, I’d also like to point out some other positive attributes of the project area itself. The Kipoi Project is located some 85 kilometres to the northwest of Lubunbashi -- Lubunbashi, being the principal town in the

25                    Katanga province. Access to Lubunbashi is a long sealed road, so it’s a journey of around about 1-1/2 hours from Lubunbashi to the site. We also have the high-voltage power line running through our project area, as well as the railway line that runs through from Kolwezi and into Lubunbashi. And we’re considering taking advantage of both those infrastructure projects in the

30                    mine development. This was the latest resource that we came out, which is our Measured and Indicated Resource. This is based on the high-grade portion identified and released during the Inferred Resource, which came out earlier this year. This resource is based on a drill-out of 25 x 25 metres and is principally the oxide resource. There is a high-grade sulphide component

35                    underlying both the Measured and Indicated and the broad Inferred. And we have plans to do more detail evaluation of that sulphide component. But for the moment, we’ve been solely concentrating on the oxide and that’s for the reason that we want be able to move into a very early cash flow position, and that cash flow will be based on taking full advantage of that very high grade

40                    that we have at Kipoi. The Stage 1 pit and this would be detailed further in a release that went out to the market this morning. The Stage 1 pit is being built around that Measured and Indicated Resource, and we’ll be looking and it will have a mine life of approximately 3 to 4 years providing a production of 95,000 tonnes of metal. The processing plan is that we will be upgrading the

45                    mine feed through an HMS plant, that will give us approximately 25% concentrate, which will then be smelted in a shaft furnace. But we’re also looking at other options such as an electric arc furnace. One of the reasons that we’ve considered the shaft furnace is the lower CAPEX cost, and it’ll also mean that we’ll be able to bring in the production forward as compared to using electric arc furnace. The Stage 1 project will just be a platform for moving into a much larger mining plan and that will be based on a transitioning into SXEW plant and which will be our Stage 2 project, and that Stage 2 project will capture a larger part of the resource, so far, delineated at

5                      Kipoi Central. I’d also like to make mention that during the Stage 1 operation, although we’ll only be processing the high-grade material, we will be in fact stockpiling lower-grade material of around 3% and we’ll accumulate the stockpile of around close to 5 million tonnes at that 3%. That will provide an initial of two- to three-year feed for the SXEW plant. As I was pointing out on

10                    the project plan for Kipoi, there are number of other known deposits within the Kipoi Project area, and one of those being Kipoi North, but we’re very close to releasing a JORC resource. And what we envisage is that for a longer mine plant that we’ll be able to develop numerous satellite deposits within the Kipoi Project area. This will be providing feed to a central processing plant that’s

15                    going to be developed between Kipoi Central and Kipoi North. All the infrastructure that will be in place and constructed to support Stage 1 operation will be able to be expanded upon to facilitate the early development of Stage 2 and of course, reduce the CAPEX involved in that Stage 2 development. Just going back to Stage 1 -- these will be some of the

20                    numbers that were released today. Some of it are reiteration of what I’ve just been discussing. I said we have mine life of between three to four years with 900,000 tonnes produced at an average growth of 5% copper, average copper production of that to be black copper of 95% to 97% copper content. Total capital expenditure for that Stage 1 and that capital expenditure

25                    includes a pre-strip as well as all the necessary infrastructure, the HMS, and the shaft furnace, and power supply of 51 million. We have a cash cost of $1.20, much of that cash cost is taken up with the (inaudible) (00:09:38) be required for shaft furnace, which is another reason why we’re looking to secure alternative power, which will be drawn from the high-voltage power

30                    line that’s running through our project area and we are far advanced in our negotiations with SNEL. SNEL is the power provider of the power within the DRC, and we’re very close to (inaudible) (00:09:59) commitment with SNEL we both are being committing to provide power to us as at a price of around 3.8 cents per kilowatt, the project net operating cash flow that’s based on the

35                    spot price. The current spot price is 178 million. IRR is 107% based on those numbers. In the figures that we’ve included in our release, we take a more conservative approach. We’ll be using a copper price of around $2.50 per pound, which will still give us IRR of around 51%. So just looking towards the future, how are we going to get there, what are our strengths as a company? 

40                    I said everything is really built around the extraordinary high grade that we have at Kipoi itself. Also, there’s just an enormous potential there to expand that resource, not just through new discoveries, but through the resource drilling that’s what we’re already doing at Kipoi North. We’ll expanding that to Kileba, and we still have the ambition to be able to grow the resource based

45                    through around 1 million tonnes of contained metal by the end of this year. We have the infrastructure just went through. We have a Board and a management team that has considerable experience in working in Africa, and we’re expanding our team to bring on board people with necessary skills to be able to take this project into production and also to manage that production process. We have strong in-country experience as well as very strong relationships through our joint venture partners, which is we found one of the critical assets that you need to be able to work effectively in countries such as the DRC. Currently, we have around $20 million in the bank, so we’re

5                      not looking to have to go through the market any time soon just overly very good thing seeing the share price at the moment, and we’ve advanced in negotiations for project to finance where which would be probably our preferred option for funding and developing the Stage 1 mining at Kipoi. I try to keep it that reasonably brief and to give an overview of where we are and

10                    happy to take any questions.

PRESENTATION CONCLUDED

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