BUSINESS PLAN

Rutile Mine and Cianite Andrelandia City MG Brazil. Mrs. Maria Antonieta A Nilo Rezende
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Index:

1- EXECUTIVE SUMMARY ............................................. .......................... 3 2 - OPPORTUNITY .................................................... .................................... 5 3 - MARKET ANALYSIS ..................................................... ......................... 6 4 - STRATE IC ANALYSIS .................................................. ....................... ! 5 " T#E MINE................................................................................................14 6 - $EVELOPMENT EXTRACTION ........................................................1% % - &INANCIAL PLAN .............................................. ................................. 1! ' " ATTAC#S................................................................................................2'

1- Exe()*+,e S)--./0 T1e .d,en* 23 *e(1n24250 .nd *1e de,e426-en* 23 72(+.4 /e4.*+2n7 .4428 . -)4*+*)de 23 +nn2,.*+2n7 .nd (/e.*+2n7 23 ne8 6/2d)(*7 .nd 7e/,+(e7. And *1+7 en,+/2n-en* 327*e/7 *1e e-e/5en(e 23 ne8 +de.7 .nd 6/2(e77e7 8+*1 . ,+e8 *2 +-6/2,+n5 *1e 8e44-9e+n5 23 72(+e*0. In *1+7 7en7e: 8e (.n 6e/(e+,e *1e +nd+7(/+-+n.*e .nd e77en*+.4 .664+.n(e7 *1.* )n*+4 /e(en*40 d+d n2* e,en ex+7*. T1)7: 8e 9e4+e,e *1.* *1e (2n(e6* 23 *1e (2--2d+*0 8+44 9e *2d.0 *2-2//28. And *1e 7eed 23 ne8 +de.7 ./e 92/n 90 *1e 6)/7)+* 23 d+33e/en* 52.47: *1.* 7+n(e *1e 9e5+nn+n57 23 1)-.n+*0: 8e (.n -en*+2n 7e,e/.4 6/2d)(*7 *1.* 8e/e d+7(2,e/ed 90 (1.n(e +n 2)/ 72(+e*0: 7)(1 .7 6en+(+4+n: (233ee 2/ -+(/28.,e 2,en. In *1+7 7en7e *1e 6277+9+4+*0 ./27e *1.* *1e d+7(2,e/0 23 *1+7 64.n. T1e 28ne/ 23 M+n. 29;e(* 23 *1+7 6/e7en*.*+2n 1.d . 5/e.* de7+/e *2 .(<)+/e .nd /en2,.*e *1e 6/26e/*0 2)*7+de 23 3.-+4+e7 32/ 0e./7 +n *1e (+*0 23 And/e4=nd+.. T1+7 +7 9e(.)7e I 8.n*ed *2 4+,e . 9+* 23 n27*.45+. *1.* 1.d .* *1e *+-e: /e(.44ed *1.* 1+7 5/.nd3.*1e/: . 6/2-+nen* 9)7+ne77-.n +n *1e 7*.*e. T1e/e32/e: 1e de(+ded *2 6)/(1.7e . 6/26e/*0 ne./ *1e 3.-+40>7 4.nd: 72 *1.* *1e/e (2)4d 9)+4d 02)/ d/e.-. T1.* 2(()/7 .3*e/ *1e (427e 23 9)7+ne77: 71e -e* 626)4./ 23 1+7 *+-e: 812 7*+44 /e7+ded 2n *1e 762*: .nd *1e0 7128ed 1+- 72-e 7*2ne7 *1.* ex+7*ed 2n 1+7 6/26e/*0: 7*.*+n5 *1.* *1e7e 8e/e 5e-7. ?.7 n2* 5+,en d)e .**en*+2n *2 *127e n.//.*+,e7: 9)* *1+7 4e3* . d2)9* +n *1e @.+/@: 9e(.)7e +* /e-e-9e/ed 61/.7e7 3/2- 1+7 5/.nd3.*1e/: 812 7.+d *1.* +n *1.* 64.(e *1e/e 8e/e ,e/0 +-62/*.n* -+ne/.47 *1.* (2)4d 9e 23 5/e.* ,.4)e +n *1e 3)*)/e. Indeed: *1e 7*2ne *1.* ex+7*ed 2n *1e 5/2)nd *2d.0 +7 -)(1 6/+Aed +n *1e +n*e/n.*+2n.4 -./Be*: +* +7 *1e 7*2ne /)*+4e: 32)nd .7 .((e772/0 -+ne/.4 +n 72-e .4*e/ed +5ne2)7 /2(B7: .nd +n (e/*.+n 5ne+77e7 .nd (/07*.44+ne 7(1+7*7. In +*7 (2-627+*+2n 1.7 !!.5C T+O2 DT+*.n+)- $+2x+deE: *1e n+n*1 -27* .9)nd.n* e4e-en* 2n E./*1: .nd 1.7 ,./+2)7 .664+(.*+2n7 +n *1e 82/4d e(2n2-0: 6./*+()4./40 +n +nd)7*/+e7 7)(1 .7 6+5-en* +nB: *ex*+4e: 6.6e/: 64.7*+( .nd 322d. &/2- *1+7 -2-en*: *1e 28ne/ 9e5.n *2 7e./(1 1./de/ *2 (1e(B 81.* ./e *1e /e.4 6277+9+4+*+e7 *1e/e +7 . de627+* *1.* ./e.. I* 9e5.n +n -+d-2F1F. A3*e/ 7+*e ,+7+*7 .nd (2n,e/7.*+2n7 8+*1 2*1e/ 6/23e77+2n.47: ,e/+3+ed *1e 3e.7+9+4+*0 23 /e5+7*/.*+2n 23 -+ne/.4 /+51*7 32/ 3)*)/e (2--e/(+.4 ex642+*.*+2n 23 +n6)*7. &2/ *1+7: *1e 28ne/ 1+/ed 6/23e77+2n.47 *2 5+,e .66/26/+.*e (2n*+n)+n5 4e5.4 /e<)+/e-en*7 32/ *1e /e5+7*/.*+2n

6/2(e77 NPM$ DN.*+2n.4 $e6./*-en* 23 M+ne/.4 Re7e./(1E .nd 2*1e/ .5en(+e7 /e<)+/ed 32/ *1e de,e426-en* 23 *1e 6/2;e(*. ?+*1 *1+7: +* 1.7 4+(en7ed 6/+-./0 ex642/.*+2n /+51*: .((2/d+n5 *2 *1e L.8 n. 22% 23 &e9/)./0 2': 1!6%: 81+(1 52,e/n7 *1e M+n+n5 C2de: )nde/ /e5+7*/.*+2n n)-9e/ '34.1'F: '34.1'1: '33.'%4: 32/ *1en 1e (2)4d 6/2(eed 8+*1 *1e /e-.+n+n5 7*e67 23 ex642/.*+2n .nd .n.407+7 23 (2--e/(+.4 ,+.9+4+*0 23 . -+ne/.4 de627+*. In -+d-2F12 9e5.n *2 7*)d0 -+ne/.4 @+n 42(2@ *2 +n,e7*+5.*e *1e 62*en*+.4 /e7e/,e7 23 /)*+4e +n *1e /e5+7*/.*+2n ./e.. &2/ . (2-6.n0 *1.* 8.7 1+/ed n.*+2n.440 /en28ned 32/ *1.* 82)4d e-61.7+Ae +n *1+7 7*)d0. I* 8.7 .5/eed 8+*1 *1e L+*127 5e24250 *1.* (2)4d 9e 6e/32/-ed 7*)d+e7: .n.407+7 .nd /e7e./(1 2n *1e+/ 6/26e/*0: 81+(1 8e/e 29*.+ned ,e/0 en(2)/.5+n5 /e7)4*7 .nd 6/2-+7+n5: 8+*1 ex(e44en* 6/276e(*7 32/ ex642+*.*+2n 23 -+ne/.4 ./e.. S+n(e +* 1.7 .4/e.d0 9een (2,e/ed 7e,e/.4 7*.5e7 23 -+ne/.4 ex642/.*+2n: 8+*1 *1e +77).n(e 23 ,./+2)7 d2()-en*7: /e62/*7: /e62/*7: *e7*7 .nd (e/*+3+(.*e7. A7 .4/e.d0 28n *1e de3+n+*+,e /e(2/d 23 5/.n* 32/ -+ne/.4 6/276e(*+n5: .nd .472 *1e 6/26e/*0 23 *1e ./e. *2 9e ex642/ed .nd .d;.(en* *2 7)7*.+n-en*. O)/ +n*en*+2n +7 *2 /.+7e .n .-2)n* 23 USG 2F:FFF:FFF.FF D*8en*0 -+44+2n d244./7E 32/ *1e 7.4e 23 *1e7e .77e*7: +n(4)d+n5 *1e 5/.n*+n5 23 -+n+n5 /+51*7: 4.nd 28ne/71+6: ex(4)d+n5 *1e .664+(.*+2n 23 *1+7 3)*)*27 /20.4*e7 6/2,en+nen*e7 -+ne/.4 ex*/.(*+2n: .7 4e5+74.*+2n +n*2 32/(e.

2- O662/*)n+*0 2.1- In*/2d)(*+2n: The owner of mineral rights and also the adjacent areas of exploration and logistical support, Mrs. Maria Antonieta The Nile e!ende is a empreededora who had a dream of "uilding a cottage, which was the famil# farm in the municipalit# of Andrel$ndia % M& . 'ut "# accident of fate e(entuall# find that spot there is a deposit of ore rutile and )#anite that can "e exploited commerciall#. And after ha(ing done se(eral researches, studies and anal#sis techni*ues of the site, see)s a negotiated propert# and mineral rights for commercial exploitation. 2.2- $e,e426-en*: The economic turmoil ma# ha(e "rought down the worldwide mar)ets, "ut in(estment opportunities are momentar# and should "e sei!ed at an# time. The rise of social classes and the rise of glo"al mar)ets pro(ide an increase in consumption and the introduction of new products. And so it should come new applications and increased inno(ation. Thus, commodities and mineral resources are essential for the de(elopment of this scenario. The extracti(e industr# has "een low for man# #ears, "ut this last decade has increased exponentiall#, leading mineral prices reach extremel# high rates. 'ut this mar)et is highl# concentrated in the hands of great pla#ers, which holds the majorit# of existing deposits, and the cost of research and de(elopment of new deposits is (er# large, which pre(ents new disco(eries. The reser(es of ilmenite, are concentrated in Norwa#, +anada, ,ndia, Australia and -outh Africa, which together hold ./.01, the rutile is mainl# in Australia, ,ndia and -outh Africa, which together account for 32.01 and 'ra!il holds the largest reser(es of titanium in anatase form, concentrated in the states of Minas &erais and &oi3s 'ra!ilian production of titanium ore, remained sta"le in the last fi(e #ears. 4orld resources identified rutile 5including anatase6 total a"out 230 million tons of contained Ti72.

3- M./Be* An.407+7 3.1- In*/2d)(*+2n: Titanium dioxide due to its characteristics of opacit#, whiteness, chemical resistance, hiding power and a"sence of toxicit#, is widel# used as a white pigment "ecause of its "rightness and high refracti(e index 5n 8 2.96, which is onl# surpassed "# other materials. A"out . million tons of pigmentar# Ti72 are consumed annuall# worldwide. At a cost of approximatel# : 4,000 ; t 5two thousand <.-. dollars6 a ton, has a glo"al mar)et of <.-. : 24 'illion dollars. =urthermore it should "e noted the use of Titanium in other indutrias, such as aerospace, medical and dental care, chemical, among others, "ut there are insufficient data for this mar)et can "e measured. Moreo(er the a(erage historical growth of use in recent #ears is in the range of 101 per #ear. Below is a prospect of future prices of TiO2, with the possibility of doubling the value by 2015.

3.2- P/276e(*: >a(ing done se(eral studies, reports, technical anal#sis and field research, it is "elie(ed that the site has a deposit of minerals with high commercial (alue, especiall# rutile and )#anite. This can "ecome a major competiti(e ad(antage due to the en(ironment of this highl# concentrated mar)et. 3.3- S+A+n5 23 -./Be*>7 *./5e*: As stated earlier, is estimated at <.-. : 24 'illion dollars worldwide mar)et Ti72 pigment, it can "e inferred that 201 of this would ha(e more (alue in the use of Titanium metal and another amount of this magnitude )#anite. 'esides these ha(e other semiprecious metals as a shell in smaller *uantities to "e measured, which can also "e highlighted as extraction in the region.

Above is the graphic representation of the a!or direct consu ers of rutile in the world.

3.4- En*/.n(e H.//+e/7: +urrentl# there are major pla#ers in the glo"al extracti(e as '>?, io Tinto, @ale and Anglo &old, who run the industr# due to the high le(el of in(estment in the "usiness. There are also other competitors medium and small, who are the main competitors, as some operate the same t#pe of mineral, namel# rutile and ; or )#anite. The# ma# also suffer from social, cultural, regional and ideological as it will ha(e to ma)e a great de(astation in the area to remo(e mineral extraction. Above is graphical representation of the ain producers of rutile and il enite in the world. 3.5- C2n(2//en(e An.407+7: Ai)e an# mar)et, competition is *uite di(erse and disputed, and should act in a (er# competiti(e mar)et. Toda# the main mineral extractors are focused on metals that ha(e had large increases in recent #ears such as aluminum, iron and copper. >owe(er rutile and )#anite ha(e prospects crecimento exponentiall# in the coming #ears, which ma# ma)e this an acti(e mar)et differentiator in the near future. And the deposit can "ecome a paradigm in model current mineral extraction, and extraordinar# gains in a short time.

4- S*/.*e5+( An.407+7 4.1- In*/2d)(*+2n: Titanium will grow exponentiall# in the coming #ears, with the increase of its applica"ilit# in (arious materials and utili!ation as a feedstoc) in the process of pigmentation. This is "asicall# due to their characteristics intrCsecas and promising research "eing conducted on the technological de(elopment. The rutile 5Ti726 is a mineral little presents in red and reddish "rown or "lac). 'lac) is found in the region mentioned, it cr#stalli!es in the tetragonal s#stem, has the su"met3lico adamantine luster, hardness from ..00 to ../0, densit# 4.1B to 4.2/ g;cm3. ,t is a mineral su"translDcido and ma# "e transparent, essentiall# composed almost Ti72 ma# contain impurities up to 10. Titanium metal has "een widel# used in the aeronautical and aerospace industries, and is applied in the manufacture of parts for engines and tur"ines, aircraft fuselage and roc)ets, as also (er# well used in chemical industries, nuclear, na(al and warli)e. Ti72 in the future will ha(e new applications, some of them re(olutionar#, li)e the ultrafine titanium dioxide, at the nanoscale, which operates as a catal#st for "rea)ing N7x compounds, currentl# a serious en(ironmental pro"lem. The idea is to use these pigments in coatings for ci(il wor)s and "uilding facades, transforming them into great en(ironmentall# friendl# catal#sts in the megacities of the world. -uch ultrathin untreated surface, in order to preser(e their catal#tic acti(ities and N7x are alread# "eing tested in some cities of the world. The main deposits of titanium ore 5rutile, ilmenite and anatase6 in the world are located in Noruegua, Australia, +anada, <nited -tates, ,ndia and +hina 5ilmenite6, Australia, ,tal# and -outh Africa 5rutile6, 'ra!il 5anatase6 . ,n 'ra!il, the main deposits are located along the coast in the states of io de Eaneiro, FspCrito -anto, ?araC"a, io &rande do Norte, 'ahia and io &rande do -ul. The main occurrences of )#anite in mined areas are located in Minas &erais in the ,ron Guadrangle in Mateus Aeme and No(a Aima, and in the region of Hiamantina and Andrel$ndia. The main reser(ation lies in Andrel$ndia in elu(ial deposits from the "rea)down of mica *uart! schists 5 osemar#, 12B26. 'ra!il had pea) production of )#anite in 12B0 51B.22. ton6, and since 122. it recorded a (ariation in the production of refractor# raw materials in the countr# in 2004 a significant increase, which Minas &erais is responsi"le for 2.1 of the production of all 'ra!il. un
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of mine 5HN?M ; H,HFM 200/6. Guart!, hematite, mica and rutile are the main minerals of )#anite included in the cr#stals, as well as fine graphite, gi""site and goethite occurring around the massi(e )#anite oxidi!ed. 'ra!il has the largest reser(es of anatase titanium toda# )nown in the world, (alued at around 440 million tonnes with a(erage grades of 19.91 Ti72, together with other metals such as phosphate, nio"ium and rare earths. +ommercial production of titanium ore in the countr# is led "# Millennium ,norganic +hemicals do 'ra!il - ; A 5?'6, which holds 9/.001 of the national production, followed "# the compan# Titanium &oi3s - ; A 5&76, accounting for approximatel# 20.001 of production and Nuclear ,ndustries of 'ra!il - ; A 5 E6 with /.001. According to the records of the MMF, o(er the last thirt# #ears were computed in(estments of <.-. : .2./. million 5e*ui(alent to <.-. dollar (alues a(erage 200B6, in the same period resulted in the addition of a total of 31.B2 million tons ore, featuring an indicator of in(estment in the disco(er# of titanium ore in the order of <.-. : 2.1B ; t incorporated into the mineral assets.

4.2- &)*)/e>7 V+7+2n: ,t is "elie(ed that in the future there ma# "e new and inno(ati(e applications, greatl# increasing the use and consumption of titanium ore in the world. +onsumption of Titanium is directl# correlated to &H?, while in &erman# the consumption is around 4./ )g ; person in the ' ,+ countries, consumption is estimated at 1 )g ; person, so one has a prediction on crscimento around 4 times the current consumption.

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Above is the correlation between the consu ption of TiO2 based on "#$ in the world. 4.3- H)7+ne77 &2()7: The focus should "e on world trade of iron ore, as it is a commodit#, with a"sorption of demand on the "asis of . million tons, onl# the application of Ti72 pigments. The high refracti(e index of rutile cr#stals, which leads to their greater opacif#ing power and superior sta"ilit# a"road, is the main reason for their preferential use in relation to anatase, and is shown "elow the cost of production of Ti72 pigment, with "ased on the extracted material, so the rutile metal with the highest (alue.

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Above is representation of the ain processes of anufacture of TiO2 in the world. 4.4- M+77+2n: The mission is to pro(ide a deposit of mineral exploration, with high concentrations of rutile and )#anite, which atendenda re*uirements en(ironmental, social and human, with "etter cost ; "enefit to customers, with respect to professional ethics, go(ernment, and relational. 4.5- O662/*)n+*+e7: 7pportunities are li)e wa(es that appear and then (anish, so it is "elie(ed that this is the formation of the wa(e as it presents a uni*ue opportunit# of a mineral deposit, which ha(e alread# "een made primar# and secondar# studies that pro(e the existence of the mineral rutile and )#anite in the region, as with all records re*uired for commercial exploitation as necessar# areas for de(elopment acti(ities.

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,t ma# also "e noted that this opportunit# has surpassed se(eral other primar# phases of deco"erta, as demonstrated "# our research, findings, reports and official documents, which in itself characteri!es the in(estment in the "usiness. 4.6- T1/e.*7: Threats come as the de(elopment of new research and ; or the extraction process, it will ha(e to attend to all the conditions re*uired for this acti(it#, such as laws regarding en(ironmental, la"or and ci(il. 'ut with the expedition fa(ora"le mining right "# HN?M alread# hold land ownership which will "e explored and surroundings, this considera"l# reduces these external threats. 4.%- S*/2n5 .nd ?e.B P2+n*7: Alread# own the record N?MH mining processesI B34 1B0, B34 1B1 and B33 B94 >olds title and ownership of the areas where the minerals are exploited and adjacent to logistical support, which can "e installed in a "ase camp for staff accommodation and conditioning wor) material. eports of &F7-7A and Aamir%<=? , technical studies and field sur(e#s Aithos &eolog# attesting the existence of the material in the region, as the prospect of commercial extraction area. Aocation offers ideal geographical location, close to major national centers, io de Eaneiro, -ao ?aulo and 'elo >ori!onte. Access to the area can "e made from 'elo >ori!onte "# >ighwa# 040, on a journe# of /4 )m to reach the highwa# ' 3B3, which will "e another 200 Jm to the location. The cit# is ser(ed "# >ighwa# and Atlantic +enter for -teel excellent infrastructure, and that ma# help escoaKLo production. ailwa#, thus pro(iding an

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4.'- O9;e(*+,e7: 52.47 .nd 7*/.*e5+e7: The intention of the sale of the mine to allow the controller to commerciall# exploit the localit#, with the extraction of minerals rutile and )#anite as other accessories to them. Also in the area is found to sillimanite, su"stitutes for refractor# "auxitos. The cianitito ha(e found associated minerals such as musco(ite, *uart! and rutile. The extraction potential can "e le(eraged exponentiall#, "ecause as reports and research gathered, the region has geological characteristics necessar# for the presence of these materials. Also mineral extraction can "e performed well "ecause the area is awa# from the cit#, lac)ing an# hindrance am"ietal, social or human. The prospects of o"taining mineral are the largest possi"le area for onl# a B0 mt2, with a little dig of 0./ mt, we managed to get a sample of the material "# collection of more than 2./ Jg This amount in relation the earthmo(ing regarded in place is 3 times higher than that o"tained in the current process mining rutile. 4ith the use of the material and appropriate technical e*uipment, this condition can "e extrapolated su"stantiall#. 4.!- H)7+ne77 C2-6e*en(+e7: Alread# "een o(ercome (arious stages of the disco(er# process, were first identified on the surface occurrences of the localit#, then "ro)e for the sur(e# of former residents. After has "egun the process of opening record of mining right, with conse*uent ph#sical sur(e# of the composition of raw ores collected. ?assed the phase of initial geological sur(e# and exca(ation to determine the amount of ore in the localit#. =inall# the letter was issued to the right of exploration of the area "# the competent "od# % HN?M.

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5- T1e M+ne 5.1-In*/2d)(*+2n: Mrs. Maria Anotnieta Nilo e!ende is the granddaughter of an important "usinessman of

Minas &erais 5now deceased6 of origin -outh Mine in the cit# of Andrel$ndia. There he owned a house in town and a farm near the (illage, where the owner used to spend their holida#s with relati(es. >is grandfather alwa#s said that in that region there roc)s important in the future that could ha(e a (er# large (alue, and propert# existed in a place nic)named M"oulderM where it was determined greater presence of these materials. This now ma)es more than /0 #ears, "ut no one had heeded this curiosit# was when Mrs. Maria Antonieta decided to purchase a near"# area so he could "uild a house for #our leisure. That occurs in contact with former emplo#ees of her grandfather, she had contact with a MstoneM called rutile, and a greater curiosit# was that it was the search, and found that it was an important ore to the world mar)et. =rom this it has "egun the process of studies, reports and research that guided the disco(er# of this mine rutile and )#anite. 5.2- O8ne/ $.*.: 7wnerI Maria Antonieta A Nilo e!ende +?=I 299/19B3.92 ecords pursuant to Aaw n. 229 of =e"ruar# 2B, 12.9, go(erning the mining code, HN?MI B34.1B0, B34.1B1, B33.B94 ecords of ?ropertiesI ?ropert# 1% 10 >a. and 39 are of land in the municipalit# of Andrel$ndia, recorded in the office of Fstate under num"erI 11,B3B ?ropert# 2% 4/ >a. land in the municipalit# of Andrel$ndia, recorded in the office of Fstate under the num"erI 3,904

1/

5.2- $e,e426-en* 23 $+7(2,e/0: After the initial curiosit# of metal, Mrs.. Maria Antoineta Nilo e!ende was loo)ing for

more data and information a"out that o"ject, for it spo)e with se(eral people are professionals, entrepreneurs and inha"itants of that localit#. -o he left for the second phase of the disco(er# of curiosit#, what would "e proceeding with studies and research necessar# to (erif# the actual a(aila"ilit# of a mineral deposit in #our propert#. =irst sought HN?M so he could find out what was necessar# for the li)el# record a mine. 4ith the information in hand, hired an experienced geologist who started the initial registration process area of #our propert#, num"er B34.1B0. After site (isits and other (arious researches on the spot, he reali!ed that there were other areas that could also "e material, then chec)ed into 2 other procesos the num"er, B34.1B1 and B33.B94, as well could ha(e some securit# against other sta)eholders. 4ith this tried along with other technical "odies geological sur(e#s of the region, as all historical mapping geographical region located in the municipalit# of Andrel$ndia%M&. Moreo(er, there has "een continued with the technical reports that show the le(els of ph#sico%chemical compounds remo(ed from the propert#. 7ne of these reports was issued "# <=? , especiall# "# Aamir la"orator# of the Hepartment of &eolog#, which attests to a le(el of 231 of the sample of rutile Ti72, which demonstrates the high purit# of the compound, and the sample of )#anite which pro(es the presence of Al73 .01 and 3B1 -i72, report num"erI 2011%02B2. 4as also sent to compan# &F7-7A other samples that could "e anal#!ed and thus faced the indexes for "etter relia"ilit# of the collected samples, which also confirmed the excellent degree of purit# of the samples o"tained in the localit#, with a content of 211 Ti72 in sample of rutile, which confirms the high purit# of the compound, and the sample of )#anite with the presence of .11 of Al73 and 3B1 -i7 2, according to the report &G120223/. Attention then turned to see) other professionals remonados so the# could ma)e field (isits to "etter measurement and operating (ia"ilit# of the region. ,t was then hired the compan# Aithos &eolog# so that he could proceed to this new exploration stage.4ith this compan#, was gi(en the jo" of "eginning terrain anal#sis, geological sur(e# of the region, gathering technical data and finall# opening exca(ations at the site

1.

through the trenches in the ground so the# could "e chec)ed with accurac# the presence of the mineral. ,n this phase, which "egan in mid%2012, and in Hecem"er the exca(ations were conducted using a "ac)hoe on land owned "# Mrs. Maria Antonieta and made four trenches 2 meter "# 4 meter, totaling a total area explored B0 meter s*uare, with a little digging depth of onl# 0./ mt. 4ith material ta)en from the land, was gi(en to start the process of material selection for the sample definition, for it was decided that would "e remo(ed onl# larger fragments of minerals rutile and )#anite. -o emplo#ees who performed the wor) +ataram and ; or too) the stones that were digging, and separate "atch of open trenches. >as "een achie(ed a sample of the material "# collection of o(er 2./ )g, containing rutile and )#anite. 'ased on the amount of material remo(ed is mo(ed through the earth catamento this process, we can infer an amount of a"out 3 tonnes, and arri(es at a ratio of 0.11 shale ore. This proportion is three times higher than the a(erage o"tained in the current process mining rutile and )#anite, which demonstrates the great potential for exploitation of the deposit. Therefore, in mid%Ma# 2012 was granted "# HN?M record mining final with the issuance of a letter of authori!ation to research mining and future commercial exploitation.

19

6- Ex*/.(*+2n V+.9+4+*0 6.1- $e,e426-en* ex*/.*+,e: The compan# toda# pro(ides a num"er of attri"utes for "usiness de(elopment. And to achie(e the goals, companies must meet numerous re*uirements, whether en(ironmental, social or human. A mar)et worth "illions of dollars can not "e disco(ered in the wilderness, #ou should alwa#s "e guided "# concrete emplacements and logical perspecti(es. -pea)ing of mar)et extraction, the num"ers are scar#, tends to ma)e a massi(e in(estment in "oth phases of research, prospecting and extraction. The first step towards economic (ia"ilit# and *uarr#ing site has alread# "een gi(en. As stated a"o(e, has an in(estment of around <- : 2.00 per tonne disco(er#, "ut there is a laco these data, since se(eral studies ha(e "een made, "ut that does not hesitate o"tained are not counted in these figures. There ha(e "een a large in(estment in research reports and technical anal#sis of minerals, although there are others that should "e made so that the# can ma)e more precise measurements of the entire financial and economic potential of the deposit. 4e alread# ha(e an idea "ut need to refine the (alues calculated. The two farms ha(e jointl# 232 acres of land, and the measurement was performed onl# in the trenches which had the largest stone outcrop, and fairl# small in length, onl# B0 s*uare meters, so there is an area of fort# thousand 540,000 6 times to "e researched and anal#!ed the commercial (ia"ilit#. That weNre just tal)ing a"out the area of the farm, if measuring the mineral rights of Mrs. Maria Antonieta in the localit# would "e tal)ing a"out 4,200 acres of land, ie a (alue 20 times higher than the propert#. &eological anal#!es determine that the 'rasiliano metamorphism in megase*uence Andrel$ndia is mainl# in anfilO"io eas# with staurolite, garnet, )#anite and ; or sillimanite and rutile deri(ed from pelitic protolith. The sillimanite is (er# strong in the northwest area of the sheet Andrel$ndia. Mafic roc)s composed of garnet, clinop#roxene, *uart! and rutile occur in the place searched.

1B

-tudies show that a grounding containing orthogneisses of pro"a"le ?aleoprotero!oic with possi"le relict Archean and Neoprotero!oic metasediments of megase*uence Andrel$ndia constitute the pre +am"rian units in the region. -eeing how the region has "een extensi(el# studied and therefore rich in minerals. 5Air"orne &eoph#sical -ur(e# % 2010%2011 % +? M ; +7HFM,&6. As mar)et studies, the process of expanding the production capacit# of the mines and treatment plants titanium ore in the period 129B%2009 was recorded a total in(estment of <: /9..0 million 5deflated to 200B a(erage6 , to guarantee a production capacit# of 20/.400 tons added. The a(erage (alue of the in(estments re*uired for adding a ton of producti(e capacit# in mines and mills was <: 2B0.32. ,n comparison these data, we can ma)e an assumption that will "e neess3rio in(estment of <: /00.00 per ton of initial production capacit#. Therefore, if one implantatada mineral extraction operation in rutile deposit, "ased on the annual production of 20,000 tons, it would ta)e an in(estment of <: 10 million. 'ased on the data o"tained in the research on the ground, we found a percentage of 0.11 of mineral material per ton of land, ie "# computing the ores rutile and )#anite. ,n the entire area of the propert# ha(e the amount of 2,420,000 meters s*uare, and "ased on geological perspecti(e, occurrences of metals rutile and )#anite are "ased on a range of up to 100 meters deep, it can "e calculated that the total amount of material to "e processed in the localit# would "e 240 million cu"ic meters, ta)ing the a(erage of 1./ tonnes per cu"ic meter, we would ha(e a totalit# of 3.0 million tons of material to "e processed, including those cases schists, rutile, )#anite , among others. Thus, and with the premise studies conducted in the field, one can determine that the deposit has a conser(ati(e perspecti(e extraction 0.11 minerals per ton of material, it can "e concluded an amount of 3.0,000 tons of ore material which ma# "e exploited, with a ratio of half of rutile mineral material and half of )#anite.

12

'- &+n.n(e P4.n '.1- In*/2d)(*+2n: F(er# "usiness strateg# should "e "ased on "udget planning and financial and real conser(ati(e. 'ecause of the difficult# of measuring the existing deposit, present "elow a fairl# conser(ati(e financial projections, with the exact allocation of prices and costs. 'ased on sur(e#s, studies and anal#!es conducted, we ma)e a pro"a"le projection of deposit 3.0,000 tons of mineral material to "e explored. 'eing 1B0,000 tons of ore rutile and similar amount of )#anite. 'ased on the current prices of these metals in the international mar)et, utile to : 1B00;t J#anite to : 400 ; t, we calculate a total gross of mine of : 32. million dollars. 7ccurs it ta)es place more studies, sur(e#s and polls so that we can ha(e a sure relia"le measurement of real and li)el# the material in the localit#. ,t happens that this entire process re*uires large in(estments and greater a(aila"ilit# of time. 4e will then ma)ing a projection effecting economic and financial optimistic, realistic and pessimistic feasi"ilit# of commercial exploitation of the deposit, ta)ing as its premise a correlation "etween them / times "etween scales. 4e also did an extrapolation to the prospect of exploring the life of the mine, as it was projected amount of 3.0,000 tons of ore to "e exploited in the mine, with an annual output of 20,000 tons, we present the graphs with the total return on in(estment 5 7,6 with the 1B #ears pro(ided for the operation of all acti(e mining. Also featured are three perspecti(es, realistic, pessimistic and optimistic. '.2- &+n.n(e .nd e(2n2-+( P4.n: >ere we present the three projections of our economic and financial plans, with sales prospects and operating costs and initial, ending with the rate of return o"tained.

20

Re.4+7*+( P/2;e(*+2n
Projection / Year Revenues Market E !ense "!eration E !ense #inance E !ense $"$%&' 2015 26.500 1.600 5.800 2.900 16.200 2016 29.150 1.744 6.264 3.074 18.068 2017 31.774 1.884 6.828 3.274 19.788 2018 34.315 2.053 7.442 3.470 21.350 2019 38.433 2.197 8.075 3.696 24.466 2020 42.277 2.372 8.802 3.918 27.185

Pe77+-+7*+( 6/2;e(*+2n
Projection / Year Revenues Market E !ense "!eration E !ense #inance E !ense $"$%&' 2015 5.300 0.320 1.160 0.960 2.860 2016 5.830 0.349 1.253 1.018 3.211 2017 6.355 0.377 1.366 1.084 3.529 2018 6.863 0.411 1.488 1.149 3.815 2019 7.687 0.439 1.615 1.223 4.409 2020 8.455 0.474 1.760 1.297 4.924

O6*+-+7*+( 6/2;e(*+2n
Projection / Year Revenues Market E !ense "!eration E !ense #inance E !ense $"$%&' 2015 132.500 7.680 9.860 5.220 109.740 2016 145.750 8.371 10.649 5.533 121.197 2017 158.868 9.041 11.607 5.893 132.327 2018 171.577 9.855 12.652 6.246 142.824 2019 192.166 10.544 13.727 6.652 161.242 2020 211.383 11.388 14.963 7.052 177.981

21

ROI Re.4+7*+(

600.000 500.000 400.000 300.000 200.000 100.000 0.000 2015 2017 2019 2021 2023 2025 2027 2029 TOTAL

2015 2017 2019 2021 2023 2025 2027 2029 TOTAL

2016 2018 2020 2022 2024 2026 2028 2030

ROI Pe77+-+7*+(

120 100 80 60 40 20 0 2015 2017 2019 2021 2023 2025 2027 2029 TOTAL

2015 2017 2019 2021 2023 2025 2027 2029 TOTAL

2016 2018 2020 2022 2024 2026 2028 2030

22

ROI O6*+-+7*+(

3000 2500 2000 1500 1000 500 0 2015 2019 2017 2021 2025 2023 2029 2027 TOTAL

2015 2017 2019 2021 2023 2025 2027 2029 TOTAL

2016 2018 2020 2022 2024 2026 2028 2030

23

L.)d27 :

24

2/

Re5+7*/27 :

2.

29

2B

22

Pe7<)+7.7:

30

31