History

History

The prospectivity of the Motzfeldt area was first investigated by the Greenland-Danish Geological Survey (GEUS) in the early part of the 1980’s which identified Tantalum-Niobium (Ta-Nb) mineralisation hosted by the Motzfeldt Centre.

At the completion of their work in 1987, GEUS estimated a mineralised zone of 200-500 million tonnes at the Motzfeldt Project with average grades between 1,320 and 1,480 ppm. Nb and 110-130 ppm. Ta.  Within the larger mineralised zone, GEUS identified several areas of higher grade, and designated them as priority targets.

It should be noted that these target areas are considered to be Exploration Targets according to the JORC Code as there is currently insufficient information to define a Mineral Resource, and it is uncertain if further exploration will result in the determination of a Mineral Resource.

In 2000, an AIM listed company, Angus & Ross Plc, obtained an exploration licence covering the areas of altered syenite, which had been identified by GEUS as potentially hosting Ta-Nb mineralisation.

In 2001, the Motzfeldt Project also attracted the attention of Cabot Corporation, one the world’s major producers of specialty metals and tantalum products.  After conducting a review of many tantalum projects around the world, Cabot elected to invest in the Motzfeldt Project and took up a significant shareholding in Angus & Ross in order to fund exploration.

Oversupply in world tantalum markets from 2002-2003 led to a number of operating mines (including Sons of Gwalia, the world’s largest producer in Western Australia), to suspend or curtail production.  As a result of these adverse market conditions, Cabot’s interest in the Motzfeldt project was also curtailed.

Angus & Ross elected to sell their interest in the Motzfeldt Project in order to concentrate on their two near term production projects.  A group of private mining investors obtained an option over the Motzfeldt Project in late 2009 and inturn, offered the opportunity to Ram.

In October 2010 Ram l acquired an initial 51% of the Motzfeldt project by issuing to the vendors 150 million fully paid ordinary shares (at an issue price of 3 cents) together with 150 million listed options to acquire shares at 3 cents, expiring 30 March 2012.

Ram may progressively move to 80% ownership by funding exploration and development expenditure to A$25 million over 6 years and the payment of A$3 million cash.  The final 20% may be acquired for A$50 million plus 25% of the amount whereby an independent valuation exceeds A$50 million.

In addition to issuing shares for the initial interest, Ram may be required to issue up to a further 100 million fully paid ordinary shares if the Company outlines an Inferred Mineral Resource greater than 100 million tonnes in the first two years.