Rare Earth Element Projects

Seabrook and Big Beaver House July 2012

Rare Earth Elements

Ti 22

Zr 40

Hf 72

Li 3

He 2

C 6

N 7

O 8

F 9

Ne 10

Na 11

B 5

Be 4

H 1

Al 13

Si 14

P 15

S 16

Cl 17

Ar 18

K 19

Ca 20

Sc 21

V 23

Cr 24

Mn 25

Fe 26

Co 27

Ni 28

Cu 29

Zn 30

Ga 31

Ge 32

As 33

Se 34

Br 35

Kr 36

Rb 37

Sr 38

Y 39

Nb 41

Mo 42

Tc 43

Ru 44

Rh 45

Pd 46

Ag 47

Cd 48

In 49

Sn 50

Sb 51

Te 52

I 53

Xe 54

Cs 55

Ba 56

Ta 73

W 74

Re 75

Os 76

Ir 77

Pt 78

Au 79

Hg 80

Tl 81

Pb 82

Bi 83

Po 84

At 85

Rn 86

Fr 87

Ra 88

Rf 104

Db 105

Sg 106

Bh 107

Hs 108

Mt 109

Mg 12

La-Lu

57-71

Ac-Lr

57-71

Ce 58

Pr 59

Nd 60

Pm 61

Sm 62

Eu 63

Gd 64

Tb 65

Dy 66

Ho 67

Er 68

Tm 69

Yb 70

Lu 71

La 57

Sc 21

Y 39

Light Rare Earths Heavy Rare Earths

17 Elements on the Periodic Table

• 15 Lanthanides (La - Lu)

• Scandium

• Yttrium

Rare Earth Elements - Applications

Modified from BGS REE report June 2010

By Volume By Value

Ceramics

Magnets

Metal Alloys

Phosphors

Glass & Polishing

Catalysts

Other

Magnets

Ceramics

Catalysts

Other

Metal Alloys

Phosphors

Glass & Polishing

21%

18%

7%

22%

20%

6% 6%

37%

14%

32%

6%

5%

3% 3%

2008 REO Consumption

IMCOA – Kingsnorth 2010

China

Commonwealth of Independent States

United States

Australia

India

Other

Reserves

Global Distribution of REEs

37%

19%

22%

13%

6%

3%

Country Reserves (Tonnes)

China 36,000,000

Commonwealth of Independent States

19,000,000

United States 13,000,000

Australia 5,400,000

India 3,100,000

Brazil 48,000

Malaysia 30,000

Other 22,000,000

Total: 99,000,000

USGS Mineral Commodities Survey, Hedrick 2010

0

20000

40000

60000

80000

100000

120000

140000

160000 1

99

5

19

96

19

97

19

98

19

99

20

00

20

01

20

02

20

03

20

04

20

05

20

06

20

07

20

08

20

09

Other

Brazil

Russia

USA

Malaysia

India

China

REO Production By Country To

nn

es R

EO

China Dominates World Production at 96.8% of Supply

World Minerals Statistics Database, BGS

0

50,000

100,000

150,000

200,000

250,000

REO

Dem

and

- t

pa

China Supply ROW Supply China Demand Adjusted Global Demand

China Vs. Rest of World

REE Demand Forecast

IMCOA – Kingsnorth 2010

Robust 8-12% Annual Growth Rate Forecast

Primary REE Source - Carbonatite

8

• A Carbonatite is an

igneous rock

comprising at least

50% carbonate

minerals.

• Usually occur as

small plugs within

concentrically

zoned alkalic

intrusive

complexes.

• Greatly enriched in niobium,

rare-earth elements, barium,

strontium, phosphorus, and

fluorine Idealized carbonatite pipe (modified from

Jébrack and Marcoux, 2008)

Carbonatite REE Mine Example

9

• Production at the Niobec mine

began in 1976.

• Niobec mine has an excellent

history of reserve renewal over

30 years of operation.

• 29.5 million tonnes grading

0.68% Nb2O5 Produced

• Currently producing

approximately 7-8% of world

consumption.

• 23.5 million tonnes grading

0.59% Nb2O5 current

Measured & Indicated

Resources (modified from Iamgold, 2009 43-101 Technical Report)

2 Projects in

Ontario,

Canada

Stable

Jurisdiction

TNR Rare Earth Element Project Location

Seabrook & Big Beaver House Properties

Underexplored REE Carbonatite Opportunities 10

Seabrook REE Property, Ont.

11

• 3 Claims - 512 Hectares

• 100 kms NE of Sault Ste. Marie

• Accessible year round, 10 km

from Forest Access Road leading

to Hwy. 129 and the Aubrey Falls

Power Generation Station

• Powerline Transects Claim Group

• Located within the Abitibi

Subprovince of the Superior

Province, Canadian Shield

• 1107 and 1109 Ma dating

Seabrook – Claim Map

12

• 2011 Preliminary Exploration

Analyses confirms significant

historical REE grades

• Results from 22 geochemical &

mineralogical characterization

samples were consistent with

historical work

• 10 of the 22 samples contained

greater than 0.20% TREO + Y

•Locations provide an excellent target

for further mapping

Seabrook– Aeromag Map

13

• Magnetic Bullseye Delineates

1.5 x 2 km Central Core to

Carbonatite Complex

• Reflects Magnetite Signature

• Survey has shown anomalous are

on eastern side of peninsula may

extend further into the centre that

was insicated by historical

mapping

From aeromagnetic map 2228G & 2229G (ODM-GSC 1963)

1.5 km

2 k

m

Seabrook – Economic Geology

15

• 1955: Bussineau, W.

Highest Nb values reported with

high radioactivity and magnetite;

Four grab samples grade

0.6, 1.5, 4.7 & 10.3% Nb2O5

• 1971: Canpac Minerals - Gunnex Ltd.

3 areas of high Nb values observed

Never Drilled

• 1977: Thurston et al.

Sovite grab sample grading

0.47% Ce2O3 & 0.22% La2O3

*Only Ce and La analyzed

From Sage 1988

Nb

Nb

Nb La + Ce

Indicates Significant

and Untested REE Potential

Big Beaver House REE Property, Ont.

16

• One of the largest Carbonatite

complexes in Ontario

• Rock types similar to REE deposit

of Molycorp in California and Bear

Lodge carbonate

• Accessible year round, nearby

infrastructure (power/water)

• Located within the Sachigo

Subprovince of the Superior

Province, Canadian Shield

• 1109 ± 61 Ma dating

• Predominantly Pyroxenite,

Ijolite and silicocarbonatite

Big Beaver House – Claim Map

17

• 11 Claims

• 2,688 Hectares

• 40 kms northeast of

Goldcorp’s

Musselwhite gold

mine

• 450 kms north of

Thunder Bay

Big Beaver House – Aeromag Map

18

• Magnetic Bullseye

Delineates 5 x 5 km

Carbonatite Complex

• Reflects Significant

Magnetite

• Almost Complete

Absence of Outcrop

• Low Marshy Ground

From aeromagnetic map 939G (ODM-GSC 1960)

Big Beaver House – Historical Drilling

19

• 1962

Many Lakes Exploration

7 holes – 977 m

• 1966

Teck Corporation

7 holes – 915 m

• 1977

International Minerals &

Chemicals Corporation

5 holes – 189 m *Residual Apatite

Phosphorous Target

Limited Drilling

2,081 metres

5 K

m

5 Km

Big Beaver House – Historical Drilling

20

• M-4

3.05% Nb2O5 over 0.3m and

5.30% Nb2O5 over 1.7m

• T-8

2.92% Nb2O5 over 1.5m

• T-9

1.06% Nb2O5 over 2.0m

High Grade Niobium Intersected

The Big Beaver House Complex

Was Not Tested for its REE Potential

• Ontario Geological Survey

analyzed historic drill core

and confirmed significant

REE mineralization

• OGS (Sage 1982) reported

up to 3,200 ppm Nd+La+Ce

Big Beaver House – 1987 OGS Samples

21

Indicates Significant

and Untested

REE Potential

Big Beaver House REE Project - Summary

22

• One of the largest ( 5x5 km )

Carbonatite complexes

• Excellent Model for REEs

• Underexplored

- Limited Historic Drilling

- REE Potential not tested

• Sampling of Historic Drill Core

Reveals Presence of

Significant REEs

Excellent Exploration

Target for REEs

Disclaimer

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this presentation. Statements in this presentation other than purely historical information, historical estimates should not be relied upon, including statements relating to the Company’s future plans and objectives or expected results, are forward-looking statements. This presentation contains certain "Forward-Looking Statements" within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in the Company’s business, including risks inherent in resource exploration and development. As a result, actual results might vary materially from those described in this presentation. Readers should verify any & all claims and do their due diligence before investing in any securities mentioned. Investing in securities is speculative and carries a high degree of risk.

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