1st 30 tonnes bulk sample shipped

- From Kasiya Rutile-Graphite Project in Malawi

- To Paterson & Cooke Cape Town, South Africa

- Representative of the ore to be mined over the initial 10 years of production

Lab Testing at Peterson & Cooke

- P&C is a global leader in mining systems, tailings and waste handling

- Advanced bulk laboratory scale test work to commence

- Data to optimise technical elements of PFS including:

- Larger scale pumping

- Tailings characteristics

- Dewatering

Market Intelligence

- Commercialising the World’s largest rutile resource

- PFS post tax NPV8 of $1.6Bn

- Rio Tinto Strategic investor at 15%

- Strong balance sheet with Cash & Equiv. of $39.4m

- Technical committee comprises 3 SVML employees and 3 Rio Tinto employees

Managing Director Frank Eagar commented: “I must commend our geology and logistics teams who, in a very short space of time, successfully extracted and delivered this large representative sample from Kasiya to Paterson & Cooke. This represents a significant step in our ongoing project delivery. Importantly, it also demonstrates the effectiveness of the day-to-day technical involvement of our strategic investor, Rio Tinto, in assisting Sovereign with the Kasiya Project optimisation and bringing this tier one project closer to development.”