SRX.L Regulatory News (SRX)

16 Nov 2006 07:02

Titanium Resources Group Ltd16 November 2006 Titanium Resources Group ("TRG" or "the Group") Results for Third Quarter 2006 16 November 2006: Titanium Resources Group ("TRG" or "the Group") announcesresults for the third quarter of 2006. Sierra Rutile production for the third quarter was 25,151 tonnes of rutile and5,178 tonnes of high TiO2 ilmenite. This is in line with the Group's projectionsand has the Sierra Rutile mine on track to produce 50,000 tonnes in the secondhalf of this year as previously announced. Shipments amounted to 29,407 tonnesof rutile for the quarter with ilmenite production being stockpiled inpreparation for bulk shipments scheduled for the fourth quarter. The Group produces two different grades of rutile at the Sierra Rutile minesite.The market outlook for the fourth quarter remains buoyant with all production ofStandard Grade rutile sold on contract and sales of Industrial Grade rutileincreasing rapidly with market penetration. The outlook for 2007 in terms of sales is firm with all Standard Grade rutilesold on contract with substantial firming of prices. Industrial Grade rutilesales are expected to continue at a high level as the Group spreads itspenetration in the various market segments. Contract negotiations are welladvanced for the sale of the Group's entire production of ilmenite, withcontracts expected to be executed in the fourth quarter. In addition, Sierra Rutile Limited is currently stockpiling its production ofzircon tailings in preparation for bulk shipments scheduled to commence in 2007. SML bauxite production for the third quarter was up to 320,227 tonnes with307,910 tonnes of product shipped in the quarter. The Group has many projects underway at the Sierra Rutile minesite, includingthe conversion to a HFO fired power station, the construction of Dredge 2 andthe construction of Dredge D3, all of which are on schedule. Exploration continues on all properties with extra drilling capacity beingmobilised to accelerate the Group's programmes. Ends For further information TRGAudrey Richardson, Corporate SecretaryTel: +352-222-51233 This press release has been issued by TRG and is the sole responsibility of thecompany. This press release does not contain or constitute an offer orinvitation to purchase or subscribe for any securities of TRG and should not berelied on in connection with any decision to purchase or subscribe for any suchsecurities. The securities referred to herein have not been and will not be registered underthe U.S. Securities Act of 1933 and may not be offered or sold in the UnitedStates absent registration under the Securities Act or an available exemptionfrom it. Notes to Editors Titanium Resources Group Titanium Resources is the holding company of a group of companies that areengaged in the mining, marketing and exploration of mineral resources. The Groupowns two mining operations in the Republic of Sierra Leone - the Sierra RutileProject and the SML Bauxite Project. The Sierra Rutile Project employs conventional dredging and processing methodsto produce mineral sands in the southwest of Sierra Leone, where its productionpreviously represented approximately 30 per cent of the world's annual supply ofnatural rutile. Natural rutile is a high titanium-bearing feedstock employed inthe manufacture of titanium dioxide (TiO2) pigments that are used in paint,plastics, paper and pharmaceuticals and the production of titanium metal andwelding rods. In close proximity to the Sierra Rutile mine is the SML BauxiteProject. Bauxite from the SML bauxite mine is premium grade metallurgicalbauxite which is the primary feedstock used in the production of aluminium. Bothprojects employ proven mining and processing techniques and rutile and bauxitefrom this region are recognised for their high quality. This information is provided by RNS The company news service from the London Stock Exchange