Jacinth-Ambrosia, Eucla Basin, South Australia

The Jacinth-Ambrosia project, which received Board development approval in May 2008, represents Iluka's first commitment to the major, high quality and long life zircon province within the company's extensive tenement holdings in the Eucla Basin of South Australia and Western Australia. The Board approved capital expenditure for the project of up to $420 million. The Jacinth-Ambrosia deposit is the most significant new zircon discovery in recent decades.

Resources	9.5 million tonnes of heavy mineral concentrate (HMC)
Probable Ore Reserves	6.4 million tonnes of HM
Average Grade	6.5%
Average Assemblage	50% zircon
Planned Production Commencement	First half 2010
Expected Mine Life	>10 years
Planned Production	300,000 tonnes of zircon per annum
Mining and Processing Procedure	Conventional dry mining methods and wet concentration. HMC to be trucked to the Port of Thevenard, near Ceduna; shipped to Port of Geraldton, Western Australian for final processing at Iluka's Narngulu mineral processing facility.
Employment	~250 during construction and ~120 inlcuding contractors, during operation

First production, subject to Board approval, is expected mid 2010, with production expected to move to approximately 300,000 tonnes per annum of zircon in 2011. There is expected to be an associated, although lower, production stream of rutile and ilmenite. The economic mine life for Jacinth-Ambrosia is estimated to be at least ten years, dependent on the production profile and recoveries. Exploration potential is expected to extend the life of mining activities in the Eucla Basin.

The project remains within budget and on schedule for completion and commencement of operations by mid 2010. Click here for further information on the Jacinth-Ambrosia project.

*Project	aerial map Site access and initial civil works has commenced, including road, site accommodation and airstrip construction, as well as establishing power supply, communications and water supply pipeline corridors. The wet concentrator plant, previously located in Georgia, USA, has arrived in Whyalla and refurbishment has commenced. The manufacture of the water pipe for the bore field was completed and construction works packages have been awarded.
Mineral Sands Product	Zircon, rutile, ilmenite
Project status	Development approval received and project work in progress
Project Approvals	In July 2008, Iluka was granted a Mineral Lease as well as two miscellaneous purpose licences and an extractive minerals lease for mining and infrastructure works. As part of the Mining and Rehabilitation Plan ("MARP"), Early Works Approval was gained in August; the Construction MARP approval was received in November 2008; and the Operation MARP approval was received in May 2009. Approval documents: Early Works MARP Part 1 Early Works MARP Part 2 Early Works MARP Part 3 Early Works MARP Part 4 Early Works MARP Part 5 Early Works MARP Part 6 Ooldea Road Development Application Part 1 Ooldea Road Development Application Part 2 Ooldea Road Development Application Part 3 Mining Lease Operation MARP Part A Operation MARP Part B Operation MARP Part C Operation MARP Part D Operation MARP Part E Operation MARP Part F Operation MARP Part G Operation MARP Part H Operation MARP Part I Operation MARP Part J Operation MARP Part K Operation MARP Appendix A Operation MARP Appendix B Operation MARP Appendix C Operation MARP Appendix D Operation MARP Appendix E Operation MARP Appendix F Operation MARP Appendix G Operation MARP Appendix H Operation MARP Appendix I Operation MARP Appendix J Operation MARP Appendix K

* Project is defined as a site under planning or currently in construction, but not currently producing mineral sands product.