Australian Zircon NL (formerly Southern Titanium NL) proposes to develop the Mindarie Zircon Project, located approximately 150 km east of Adelaide in the Murray Mallee region of South Australia. Production will be based initially on the development of reserves in eleven deposits (strandlines) which comprise 59 million tonnes of ore containing approximately 4.3% heavy mineral. Eight of these strandlines are included in the first mining plan. These reserves contain 2.5 million tonnes of heavy mineral. In addition to the first eight Mining Leases (including Mindarie A(2)), it is expected that additional Mineral Claims and Mining Leases will be sought in subsequent years for other currently known resources. In addition, it is likely that continuing exploration will result in new discoveries in the project area that will result in applications for further Mineral Claims and Mineral Leases. The grade of the strandlines is such that mining at the initial design rate of 3.5 to 4 million tonnes per annum (tpa) of ore results in production of some 140,000?180,000 tpa of heavy mineral concentrate (HMC) in the relocatable Primary Concentration Plant (PCP), located in the vicinity of the operating mining pits. The HMC is transported by slurry pipeline or truck to the Mallee Mineral Separations Pty Ltd' (a wholly owned subsidiary of Australian Zircon NL) Mindarie Mineral Separation Plant (MMSP) for further treatment to end products. Approximately 95,000 tpa of marketable products will be initially produced. These will be transported by rail to Port Adelaide for shipping to customers.