Mt Carbine Tungsten Project

ASX: III

Resources Investment Expo

Melbourne Oct‘09

DisclaimerNo representation or warranty is made as to the accuracy, completeness or reliability of the information contained herein. Any

forward-looking information in this presentation has been prepared on the basis of a number of assumptions which may prove

to be incorrect. This presentation should not be relied upon as a recommendation or forecast by Icon Resources Ltd.

Icon Icon Icon Icon Icon Icon Icon Icon CorporateCorporateCorporateCorporateCorporateCorporateCorporateCorporate

Dr Andrew White

Chairman

Dr John Bishop

Managing Director

Icon Resources Ltd listed June ’06

ASX code: III

Issued Capital: ~73M shares

(year range 3.5-19c; currently ~11c)Managing Director

Steve Bartrop

Non-executive Director

Darcy Milburn,

Exploration Manager.

(year range 3.5-19c; currently ~11c)

~4M unlisted options

(exercisable at 30+c)

Web Site:

www.iconresources.com.au

Icon ProjectsIcon ProjectsIcon ProjectsIcon ProjectsIcon ProjectsIcon ProjectsIcon ProjectsIcon Projects

Icon Resources is an ASX-listed emerging

tungsten producer and diversified explorer

with projects in eastern Australia. They

include:-

Tungsten at Mt Carbine (N Qld), Icon’s

100% owned flagship project on track for

early development

Copper-Zinc at Fitzroy Project (central

Qld), Inferred Resource: 1.75Mt @ 1.7% Cu

+ 2% Zn. Planned exploration program to

expand resource

Gold at Peel Fault Project (NE NSW).

Exploration drilling scheduled for 4Q09

Tin at Tara Project (central NSW).

Exploration drilling scheduled for 1Q10

Copper-Gold-Uranium, Zinc, Nickel

and Iron Ore exploration targets in NW Qld

Mt Carbine : A ‘World Class’ MineMt Carbine : A ‘World Class’ MineMt Carbine : A ‘World Class’ MineMt Carbine : A ‘World Class’ MineMt Carbine : A ‘World Class’ MineMt Carbine : A ‘World Class’ MineMt Carbine : A ‘World Class’ MineMt Carbine : A ‘World Class’ Mine

Mt Carbine

in 1978

Mt Carbine produced ~half of Australia’s annual tungsten

At one point, the world’s largest tungsten producer outside China

Exceptionally high-grade concentrates of wolframite and scheelite

Mine closure in 1986, due to price collapse, stopped underground

development to access ~10Mt of higher grade mineralisation

Objective: To ReObjective: To ReObjective: To ReObjective: To ReObjective: To ReObjective: To ReObjective: To ReObjective: To Re--------start a Longstart a Longstart a Longstart a Longstart a Longstart a Longstart a Longstart a Long--------Term, HardTerm, HardTerm, HardTerm, HardTerm, HardTerm, HardTerm, HardTerm, Hard--------

Rock Mining Operation at Mt Carbine ASAPRock Mining Operation at Mt Carbine ASAPRock Mining Operation at Mt Carbine ASAPRock Mining Operation at Mt Carbine ASAPRock Mining Operation at Mt Carbine ASAPRock Mining Operation at Mt Carbine ASAPRock Mining Operation at Mt Carbine ASAPRock Mining Operation at Mt Carbine ASAP

Icon has acquired 100% of Mt Carbine Tungsten Project (2.5% royalty to vendor)

Infrastructure all in place: Sealed highway and 132KV power lines pass through granted Mine Leases

Good location: ~45mins drive from Port Douglas ~90mins drive from Cairns

Mt Carbine Resources and MineralisationMt Carbine Resources and MineralisationMt Carbine Resources and MineralisationMt Carbine Resources and MineralisationMt Carbine Resources and MineralisationMt Carbine Resources and MineralisationMt Carbine Resources and MineralisationMt Carbine Resources and Mineralisation

Geological model gives a

‘Target Mineralisation’ of

55-60Mt @ 0.07-0.09% WO3

includes a JORC compliant

Inferred Resource of 9.6Mt at

~0.2% WO3 beneath open cut

Excellent potential beneath

old working

Excellent potential beneath

old workings adjacent to

open cut

Tailings: ~2Mt @ 0.11%

WO3 (JORC compliant)plus ~12Mt of potentially

ore grade material in the

waste and reject dumpsPlan view of Mt Carbine open cut, tailings and dumps, and

mine lease boundaries

Geological ModellingGeological ModellingGeological ModellingGeological ModellingGeological ModellingGeological ModellingGeological ModellingGeological Modelling

WO3 % Grade-Tonnage Curve, Mt Carbine Deposit

Recent geological modelling by Geostat Services has defined a ‘Target Mineralisation’ of ~55Mt @ ~0.08% WO3 using uncut values.

WO3 % Grade-Tonnage Curve, Mt Carbine Deposit

0

0.2

0.4

0.6

0.8

1

1.2

0 5 10 15 20 25 30 35 40 45 50

Millions

Tonnes (Mt)

WO

3%

Gra

de

Plot shows tonnage against average grade. Data points are cut-off grades

The Geological model: Blocks >0.15% WOThe Geological model: Blocks >0.15% WOThe Geological model: Blocks >0.15% WOThe Geological model: Blocks >0.15% WOThe Geological model: Blocks >0.15% WOThe Geological model: Blocks >0.15% WOThe Geological model: Blocks >0.15% WOThe Geological model: Blocks >0.15% WO33333333

Scoping StudyScoping StudyScoping StudyScoping StudyScoping StudyScoping StudyScoping StudyScoping Study

A Scoping Study has been commissioned to determine the viability of Mt Carbine as defined by the present geological model.

Results are encouraging and are now expected next week.

As well as demonstrating viability, the mine modelling will show which are the areas of highest priority for infill drilling.

Whittle optimisation shows a

cut back pit extracting a

further 6 to 8Mt (depending

on mining parameters used)

of Mt Carbine ore.

Upside Potential: GradeUpside Potential: GradeUpside Potential: GradeUpside Potential: GradeUpside Potential: GradeUpside Potential: GradeUpside Potential: GradeUpside Potential: Grade

Estimation of true grade of Mt Carbine is difficult due to nuggety nature of the mineralisation.

The current model grade is based on visual estimates determined by the previous operation from 39 drillholes

A comparison of the modelled open cut and the calculated tonnage from the records suggests that the model grade should be up to 25% higher

Profitability is very sensitive to grade: an increase of 25% in grade increases the net cash flow by ~250%

Conclusion: present model grade is a conservative minimum

Strategy: To determine the true grade by:-

(1) Assaying all existing drill core

(2) Infill drilling (scheduled for 4Q09)

(3) Bulk sampling of pit floor (part of pre-feasibility)

Upside Potential: TonnageUpside Potential: TonnageUpside Potential: TonnageUpside Potential: TonnageUpside Potential: TonnageUpside Potential: TonnageUpside Potential: TonnageUpside Potential: Tonnage

Present geological model is based on minimal information (8,222m from 39 drillholes)

Several zones can be extended by further drilling (eg, Iron Duke has only two drillholes; Ruby has a break of +100m, etc, etc)

A number of potential mineable blocks have been excluded from the present mining model due to lack of information

Profitability is sensitive to tonnage: an increase of 50% in tonnage increases the net cash flow by ~250% (ie half as sensitive as grade, but still very significant)

Conclusion: present model tonnage is a very conservative minimum

Strategy to significantly increase tonnage by:-

(1) Infill drilling

(2) Plus exploratory drilling beneath adjacent old workings –previously ignored

Upside Potential: Expanded open cutUpside Potential: Expanded open cutUpside Potential: Expanded open cutUpside Potential: Expanded open cutUpside Potential: Expanded open cutUpside Potential: Expanded open cutUpside Potential: Expanded open cutUpside Potential: Expanded open cutLimited drilling in the vicinity of the open cut

Labelled examples show good intersections close to the boundary of the presently defined mineralisation

Image includes all drillholes. Intersections >0.1% shown in purple

7m @ 0.33%

No

DrillingAll %’s are

WO3

CB18 7m @ 0.33%

& 11m @ 0.41%

CB40 13m @ 0.34%

& 23m @ 0.53%

& 7m @ 0.41%

CB39 19m @ 0.45

CB14 3m @ 2.25%

(vis. est.)

CB04 15m @ 1.3%

(vis. est.)

One drillhole tests old workings to north of

the open cut

Greater Mt Carbine Exploration PotentialGreater Mt Carbine Exploration PotentialGreater Mt Carbine Exploration PotentialGreater Mt Carbine Exploration PotentialGreater Mt Carbine Exploration PotentialGreater Mt Carbine Exploration PotentialGreater Mt Carbine Exploration PotentialGreater Mt Carbine Exploration Potential

WASTE

DUMP

Tungsten Properties & OccurrenceTungsten Properties & OccurrenceTungsten Properties & OccurrenceTungsten Properties & OccurrenceTungsten Properties & OccurrenceTungsten Properties & OccurrenceTungsten Properties & OccurrenceTungsten Properties & OccurrenceTungsten (from the Swedish ‘heavy-stone’)Also called wolfram with chemical symbol WHighest melting point and tensile strength of all metals Lowest coefficient of expansion of all metalsVery heavy (similar to gold) - high thermal and electrical conductivity

Tungsten carbide is the hardest material next to diamond

Commonly occurs as -Wolframite, (Mn,Fe)WO4 - black in colourScheelite, CaWO - light brown; fluoresces under UV lightScheelite, CaWO4 - light brown; fluoresces under UV light

Concentrates produced

from Mt Carbine

tailings in 2008

Tungsten Distribution and ProductionTungsten Distribution and ProductionTungsten Distribution and ProductionTungsten Distribution and ProductionTungsten Distribution and ProductionTungsten Distribution and ProductionTungsten Distribution and ProductionTungsten Distribution and Production

Tungsten industry is made up of: Producers (ie miners)

Processors (value-adding)

End-users

China dominates the first two categories and is strong –and expanding –the third.

China is now a net importer

Tungsten ApplicationsTungsten ApplicationsTungsten ApplicationsTungsten ApplicationsTungsten ApplicationsTungsten ApplicationsTungsten ApplicationsTungsten ApplicationsTungsten is mostly used for ‘hard metal’ construction (machine-cutting tools, etc)Growing applications in: electronics, medicine and catalytic convertersAnnual consumption is ~80kt of which ~20kt is recycled Traded through individual contracts –not via the LME.

Car horns & safety switches (conductive)

Golf clubs, golf balls, golf shoe spikes

Some Everyday Uses of Tungsten

Golf clubs, golf balls, golf shoe spikes

Snow tyre studs

Vibrating mechanism in a mobile phone

Dental drills

Light globes

Ball point pens (hard-wearing)

Heated car windows

Fishing sinkers (heavy; non-toxic)

A replacement for chrome plating?

Tungsten PriceTungsten PriceTungsten PriceTungsten PriceTungsten PriceTungsten PriceTungsten PriceTungsten PriceTungsten prices up x 4 (in US$) over the last few years

China, with ~66% of the world’s reserves, is now a net importer

Price down ~20% (in US$) in recent months, but analysts predict sustained demand.

Concentrates now back to ~US$150 and rising

Tungsten is usually priced in metric tonne units (mtu) of WO3 which is 10kg of WO3 or 7.93kg W. Prices are also quoted in the refined product APT (ammonium paratungstate) which trades at a premium of 20-30% above the WO3 price.

from International Tungsten Industry Association Meeting, Vancouver Sep 2009

from International Tungsten Industry Association Meeting, Vancouver Sep 2009

Why Now?Why Now?Why Now?Why Now?Why Now?Why Now?Why Now?Why Now?

from Talking Tungsten PDAC, Mar 2009

Why Icon?Why Icon?Why Icon?Why Icon?Why Icon?Why Icon?Why Icon?Why Icon?

Mt Carbine is a significant, near ready-to-mine tungsten resource

NPV of +50 cents per share on present knowledge of the resource

from Talking Tungsten PDAC, Mar 2009

� Mt Carbine is one of these projects!