Investor News

Matmor Advancement Update

Subsequent to the disclosure at our AGM on 18 November 2009, outlining the results of the MATMOR report by HATCH and the intended path moving forward, we are pleased to provide the following update on advancement activities.

As flagged at the AGM, the review was completed in October 2009 and the report delivered to ECT for consideration.

The key outcomes of the report were:

  • Technical viability confirmed
  • Test Plant development activity - recommended gap closure campaign outlined with view to inform scale up design for a 7,500 metric tonne per annum (mtpa) Pilot Plant.
  • Estimated development costs and timeframes identified to advance to commercial scale
  • Key risks to consider during development outlined

ECT Chairman Dave Woodall commented, "The MATMOR process has the capability to deliver an iron product suitable as a high quality foundry or steelmaking feedstock. Its key advantage is that it is able to utilise materials such as low cost brown coal and iron bearing media including mill scale, nickel tailings, and high or low grade iron ore, which are unsuited to blast furnace operation or alternate iron making technologies."

Kos Galtos, Chief Executive added, "In terms of advancing MATMOR development a key recommendation in the report was to analyse and subsequently focus on an initial target market to ensure technical development of the pilot plant dovetails with commercial opportunities to attract the interest and meet the expectations of potential licensees, investors and off-take partners."

"To this end ECT commissioned an independent, detailed market assessment in December 2009 to capture the state of play globally, identify key trends and players of strategic interest, in order to structure a targeted engagement program aimed at high-value markets for MATMOR product. This market analysis will influence the direction of the technical development as we identify the most attractive project opportunities."

The Company has allocated $500,000 to complete the Market Assessment (due April 2010) and execute the Gap Closure Campaign, which is targeted to commence H1 2010 and run for approximately 6 to 8 months.

For Further Information Contact:

Kos Galtos - Chief Executive +61 3 9909 7684 or [email protected]