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1 March 22, 2012 TriAusMin Announces Go Ahead for Woodlawn Retreatment Project TriAusMin Limited (ASX: TRO) (TSX: TOR) ( TriAusMin or the Company ) is pleased to announce approval for the development of the 100% owned Woodlawn Retreatment Project ( WRP or the Project ), located 250 km southwest of Sydney, New South Wales, Australia. The Project will process 11.2 Mt of tailings material to produce separate zinc, lead and copper concentrates with by-product gold and silver. An economic evaluation forecasts the Project to generate A$199 million in net cash pre-tax and provide an Internal Rate of Return (IRR) of 33% over its 7.5 year mine life based upon development capital costs of approximately A$92.8 million (US$96.5 million). Development of the Project over the next 18 to 24 months will allow TriAusMin to join the ranks of the producing mining companies and position itself for growth of its mining business in the years ahead. CEO and Managing Director Mr. Wayne Taylor commented: We are very excited about the Company s approval for the development of the Woodlawn Retreatment Project. This will see TriAusMin advance from an exploration company into a cash flowing mining enterprise over the next two years. The Project is the first step in reactivating the Woodlawn property commencing with a project that provides a short lead time to production and good cash flows. In addition, we are moving toward re-establishing the Woodlawn underground mine with the current drilling program aiming to outline additional high-grade mineralisation below the previously mined ore lenses. Discussions regarding the financing of the Project have been initiated and we look forward to commencing construction in the third quarter of this year. Project Highlights The Base Case Scenario highlights, as shown below, indicates a very attractive return on invested capital and is based upon forward curve metal prices and foreign exchange rates as at February 27, Currency is expressed in Australian dollars unless otherwise stated. Mineral Reserves: 11.2 million tonnes at 2.2% Zn, 1.3% Pb, 0.5% Cu, 31 g/t Ag, 0.3 g/t Au Mining: 4,300 tonnes per day (1.5 Mtpa) utilising hydraulic mining Mine Life: 7.5 years Processing: Conventional milling and flotation to produce Cu, Zn, and Pb concentrates containing Ag and Au Development Capital: $92.8 million including a $5.6 million contingency Site Operating Costs: $22 per tonne processed Total NSR Revenue: $586 million Pre- Tax Net Cash Flow: $199 million Pre-Tax NPV10: $81 million C1 Unit Cost: $0.12/lb payable zinc (post by-product credits) Pre-Tax Project IRR: 33% The Tailings Retreatment Project presents a low risk reserve, mining and processing project with attractive economics at metal prices significantly below current and forecast future levels. An additional key feature of the Project is the short lead time from construction to production. Page 1 of 7

2 Project Background The Woodlawn Mine operated from 1978 to 1998 during which time it processed 13.8 million tonnes (Mt) of ore grading 9.1% zinc, 3.6% lead, 1.6% copper, 74 g/t silver and 0.52 g/t gold. The tailings dams remain from processing this ore and contain economic levels of metals that warrant reprocessing using currently available technology. The WRP will retreat approximately 11 Mt of tailings contained within the three tailings dams (North, South and West) using modern fine-grinding techniques to enhance metallurgical recoveries. The planned production rate is 1.5 Mt per annum to produce zinc, copper and lead concentrates containing by-product silver and gold. An independent NI compliant Technical Report 1 on the Project was completed in 2010 by Scott Wilson Roscoe Postle Associates Inc. ( Scott Wilson ) and confirmed the existence of Proven and Probable Ore Reserves i (see Table 1) and determined that the WRP was economically attractive at forecasted long term metal prices. Table 1 Woodlawn Retreatment Project (WRP) Reserves. Dam Classification Tonnes Grade (Mt) Zn (%) Pb (%) Cu (%) Ag (g/t) Au (g/t) South Proven Probable Prov + Prob West Proven Probable Prov + Prob North Proven Probable Prov + Prob All Dams Proven Probable Prov + Prob In January 2011, the Company initiated a $1.4 million evaluation program to move the WRP toward a development decision. An Environmental Assessment (EA) study was carried out by Parsons Brinckerhoff and submitted to the regulators and is currently undergoing final review. GR Engineering Services Limited undertook the Front-End Engineering and Design ( FEED ) Study to provide the final engineering design and update the capital and operating cost estimates to a +/- 10% level of certainty. A key component of the FEED study was a series of additional metallurgical tests focusing on selection of grinding equipment and the production of separate copper, lead and zinc concentrates. The metallurgical test work and FEED study is complete and forms the basis of many of the major input assumptions for the WRP Business Case. 1 Technical Report conformed to Canadian National Instrument Standards of Disclosure for Mineral Projects (NI ). Page 2 of 7

3 Mining Method Hydraulic mining will be used to mine the tailings in a slurry form using high pressure water pumps and monitors at a rate of 4,300 tonnes per day (1.5 Mt per annum) to be transferred to the processing plant. This method is a simple, proven, low risk, low cost mining method. Mineral Processing Standard sulfide flotation processes will be used to produce separate copper, lead and zinc concentrates with by-product silver and gold. The metallurgical test work demonstrated that effective mineral liberation is at 30 microns that can be achieved through fine grinding with an IsaMill. The key features of the process plant are: Feed preparation thickener feed delivery from the mining cycle will be through an 18 m diameter thickener to increase the feed density to the level required by the grinding circuit. Primary grinding the primary grind has been set at 30 micron to ensure maximum liberation and maximum recovery. This will be achieved through the use of a 3 MW IsaMill M10000 unit. Talc flotation the highest quality final concentrates are achieved with talc pre-float and includes rougher and cleaner stages. Copper Flotation selective copper flotation will be achieved through a circuit consisting of rougher, scavenger, cleaner and re-cleaner cells. Lead flotation selective lead flotation will be achieved through a circuit similar to copper with the addition of a regrind mill with a target grind size of 15 micron. Zinc flotation a regrind mill has also been specified for the zinc circuit with a number of additional banks of cells to accommodate higher concentrate volumes. Concentrate dewatering and storage recovered concentrates will be thickened and then filtered to reduce the moisture level so that it is acceptable for transport. The concentrates will be stored separately on site for transport to port. Infrastructure and Site Logistics Considerable supporting infrastructure including power, roads and water remain in place at the Woodlawn site presenting a significant cost benefit in project development. The existing 66kV transmission line and the onsite 66/11kV sub-station have sufficient capacity to meet the power demands for the operations and no additional offsite power infrastructure is required to be built. A 300 m access road will be constructed to link the site with the existing sealed Collector Road, which provides a B-double rated route to the major service centres and ports for concentrate shipping. Process water is available on site from the existing bore field. In addition, the existing evaporation dams that serviced the former mining operations will also be utilised to manage any fluctuations in the water balance. New infrastructure aside from the processing plant will include site offices, workshops and laboratory. Local communities are expected to provide supplies, services, accommodation and labour to the Project. Page 3 of 7

4 Regulatory Approvals An Environmental Assessment (EA) document was lodged with the NSW Department of Planning and Infrastructure (DoPI) in August for review. Their comments were received and points of clarification have been addressed. The EA is currently with the Department for a final review prior to the formal lodgement for stakeholder comment. Development Timing Construction is expected to take approximately 58 weeks from the time of award of a construction contract. A further 15 weeks has been allowed for commissioning of the plant as well as a further 6 month ramp-up period to full plant throughput and design recoveries. The Company believes that the Project could achieve first commercial production early in 2014, subject to financing and the receipt of all regulatory approvals. Capital Costs The construction capital cost estimate is provided below. The process plant and infrastructure estimates are to an overall accuracy of +/-10% and basis Q The mining capital estimates are based on January 2012 pricing quotes. Table 2 Woodlawn Retreatment Project Construction Capital Cost Estimate. PROCESS PLANT AREA CAPITAL COST A$M Process Plant $53.5 Infrastructure $11.3 Engineering, P&G, Commissioning, First Fills $18.1 Contingency $5.6 TSF 4 Construction (non GRES) $2.6 Mining Capital + Mobilisation (non GRES) $1.7 TOTAL CONSTRUCTION CAPITAL ESTIMATE $92.8 (US$96.5) Working capital of A$5 million is required to cover pre-revenue operating costs in addition to the construction capital. Minimal sustaining capital will be required during the 7.5 year mine life. Closure costs have been estimated at A$4.5 million. Operating Costs Site costs, with the exception of mining, were estimated to an overall accuracy of +/-10% and basis Q Mining costs are based on a January 2012 pricing quote from a suitably experience mining contractor. Offsite costs include the transport of concentrates to port, storage and ship loading charges and a charge for ocean freight. These have been independently sourced from third party discussions and quotes. Page 4 of 7

5 Table 3 Woodlawn Retreatment Project Operating Costs OPERATING COST AREA A$/t TREATED Mining $1.70 Processing & Administration $19.62 Off-Site (excl. concentrate treatment charges) $5.84 TOTAL OPERATING COST ESTIMATE $27.16 (US$28.4) Treatment and refining charges have been based on current published benchmark terms for the three concentrates to be produced by the operation. Financial Analysis The Base Case economic evaluation of the Project incorporated the February 27, 2012 forward curve metal prices and exchange rates: Zn US$2,107 to 2,164 /t Pb US$2,258 to 2,375 /t Cu US$7,674 to 8,523 /t Ag US$36 to 38 /oz. Au US$1,776 to 2,005 /oz FX 1.06 to 0.8 The evaluation indicates a very attractive rate of return on the invested capital as outlined below. Mineral Reserves: 11.2 million tonnes at 2.2% Zn, 1.3% Pb, 0.5% Cu, 31 g/t Ag, 0.3 g/t Au Mining: 4,300 tonnes per day (1.5 Mtpa) utilising hydraulic mining Mine Life: 7.5 years Processing: Conventional milling and flotation to produce Cu, Zn, and Pb concentrates containing Ag and Au Development Capital: $92.8 million including a $5.6 million contingency Site Operating Costs: $22 per tonne processed Total NSR Revenue: $586 million Pre- Tax Net Cash Flow: $199 million Pre-Tax NPV10: $81 million C1 Unit Cost: $0.12/lb payable zinc (post by-product credits) Pre-Tax Project IRR: 33% Page 5 of 7

6 Sensitivities The graph below presents the impact variations in the major financial and operational parametres of the project versus the Base Case. The Project is most sensitive to changes in the metallurgical recoveries and the commodity price. The project breaks even after capital repayment at a zinc price US$1498/t, lead US$1650/t, copper US$5670/t, silver US$26/oz, and gold US$1302/oz. Project Enhancements A number of opportunities have been identified to further enhance the financial performance of the WRP including but not limited to: Metallurgical recoveries improved metallurgical recoveries are possible based on the results from the final metallurgical test work. Mining costs Mining costs could be reduced through the application of owner operated mining. Page 6 of 7

7 Company Background TriAusMin is engaged in the exploration and development of base and precious metals deposits located in the Lachlan Fold Belt in New South Wales, Australia. TriAusMin s projects include the Woodlawn Tailings Retreatment Project and Woodlawn Underground Project located 250 kilometres south west of Sydney, its Lewis Ponds Project, as well as a number of other high quality exploration projects on its properties in the Lachlan Fold Belt. For further information, please visit or contact: Australia: Mr Wayne Taylor, Managing Director and Chief Executive Officer: Tel: (Sydney) inquire@triausmin.com Canada: Tel: (Toronto) info@triausmin.com This news release contains forward-looking statements and forward-looking information, which is based on information currently available to the Company, and the Company provides no assurance that actual results will meet management s expectations. Forward-looking information includes estimates and statements that describe the Company s future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Forward-looking information may be identified by such terms as believes, anticipates, expects, estimates, may, could, would, will, or plan. Since forward-looking information is based on assumptions and addresses future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results relating to, among other things, the receipt of the requisite regulatory approvals, the receipt of shareholder approval for the issuance of Warrants, and the use or proceeds and future business plans of the Company, could differ materially from those currently anticipated in such information for many reasons such as: the failure to obtain the requisite approvals; changes in general economic conditions and conditions in the financial markets; changes in demand and prices for minerals; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; and other matters discussed in this news release. This list is not exhaustive of the factors that may affect any of the Company s forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on the Company s forward-looking information. The Company does not undertake to update any forward-looking information that may be made from time to time by the Company or on its behalf, except in accordance with applicable securities laws. i JORC Compliance and Declarations Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC code ), 2004 Edition, JORC (of AusIMM, AIG & MC), December The information in this release that relates to Mineral Resources or Ore Reserves associated with the Woodlawn Retreatment Project is based on information compiled by qualified person, Mr. Richard Lambert, P.E. a professional engineer and Registered Member of SME. Mr. Richard Lambert is Principal Mining Engineer and Executive Vice President of Roscoe Postle Associates, Inc. He is independent of TriAusMin applying the test set out in Section 1.4 of NI He has sufficient experience relevant to the style of mineralization and type of deposit under consideration, and to the activity which he is undertaking, to qualify as a Competent Person as defined in the 2004 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code) and by reason of his education, affiliation with a professional association (as defined in NI43-101) and past relevant work experience, fulfils the requirements to be a "qualified person" for the purposes of NI Page 7 of 7