SOURCE: Randsburg International Gold Corporation

August 31, 2005 09:45 ET

Randsburg's Titan Iron-Titanium-Vanadium Project Produces 95 Percent Titanium Dioxide With Altairnano Hydrochloride Process

TORONTO -- (MARKET WIRE) -- August 31, 2005 -- Randsburg International Gold Corporation (TSX-V: RGZ) announced today the results of hydrometallurgical test work on Randsburg's Titan Project indicating that its magnetite/ilmenite material is well-matched to the Altair Nanotechnologies, Inc. (NASDAQ: ALTI) Altairnano Hydrochloride Pigment (AHP) process. Greater than 95% titanium extractions were observed in two bench scale tests making this one of the AHP process' best performing samples.

Randsburg contracted Altair Nanotechnologies (Altairnano) in May 2005 to perform AHP tests on Titan material to evaluate the potential for added value production of titanium dioxide pigment. Two drill hole intervals comprising 20 metres (66 feet) each were selected for in-depth chemical and mineralogical testing in Altairnano's mini-AHP reactor circuit. The two intervals were from vertical drill hole RA-6-04 drilled in 2004 to a total depth of 387 metres (1270 feet.) RA-6-04 was continuously mineralized from surface and the hole ended in mineralization. RA-6-04 is located near the centre of the Titan mineralization.

RA-6-04 drill intercept 155.85-173.85 metres, assaying an average 17.65% titanium dioxide and 40.11% iron, and RA-6-04 drill intercept 259.85-279.85 metres, assaying an average 18.90% titanium dioxide and 39.50% iron, were selected for testing. The material Altairnano received was ALS Chemex's assay rejects from which ALS Chemex cut a small split to determine the assays listed above. Altairnano received a total of 72.74kg (upper drill intercept (equal sign) 34.99kg, lower drill intercept (equal sign) 37.75kg) in late May.

Work Completed

Each sample, representing a 2 meter drill interval, was weighed and then screened at 35 mesh (500 (micro)). The oversize was cone crushed so that all material passed a 35 mesh (500 (micro)) screen. Saved as uncrushed are 5.67kg of 14 x 35 mesh (1397 x500 (micro)) and 3kg of 14 (1397 (micro)) mesh.

All material passing 35 mesh (60.13kg) was combined and mixed on a large plastic sheet. A representative 1kg sample was cut from the sample cone and analyzed by Inductively Coupled Plasma (ICP). The 1kg sample was cone and quartered to yield a 250g sample for size analysis, with each fraction analyzed by ICP.

Next, a 500g sample was cut for treatment by magnetic separation. This sample was first wet screened at 270 mesh (53 (micro)) to produce a 35 x 270 (500 x 53 (micro)) mesh sample; the -270 mesh "slimes" were discarded. Thin sections for petrographic examination were prepared from the "feed" ALS Chemex rejects. Various grains were then imaged by Scanning Electron Microscope and Energy Dispersive X-ray (EDX).

A 450g sample of the less than 35 mesh material was treated in a reactor vessel and subjected to the proprietary Altairnano process.

Results

Sample RA-6-04, consisting of material from the two drill intercepts noted above, contains about 70% magnetite with intergrown ilmenite and about 30% gangue minerals, largely olivine, pyroxenes, minor plagioclase. Ilmenite intergrowths amount to about 10-15%. Percentages represent volume estimates.

EDX imaging nicely displays the character of the magnetite-ilmenite intergrowths that typify the Titan samples. Ilmenite is present within magnetite grains as discrete, angular grains less than 100 (micro) across (commonly less than 50 (micro)) as well as exsolving as acicular boxwork ribs only a few microns thick.

Preliminary analytical results show that more than 95% of the titanium, including both the ilmenite grains and the titanium associated with the magnetite was recovered.

At this time, Randsburg and Altairnano are performing additional testing and evaluations in order to fully determine the scope of the suitability of the AHP process for the Titan material. There can be no assurance that additional testing will achieve positive results or that Randsburg will utilize the AHP process in the future.

Background

Altairnano's AHP process is the first new titanium dioxide pigment manufacturing process to be developed in the last fifty years. The AHP process extracts titanium and manufactures titanium dioxide pigment from low-cost, titanium-rich material. The process offers an environmentally friendly manufacturing process featuring a cost structure substantially lower than existing supply methods, not including disposal and handling costs of hazardous wastes associated with competing production processes.

Earlier this year, Altairnano Bateman Titania was formed through a joint venture between Altairnano and Bateman Engineering BV. Altairnano Bateman Titania brings together Altairnano's proprietary and patented AHP process with Bateman's engineering expertise to develop, design, construct, commission and operate manufacturing plants to produce titanium dioxide pigment. Titanium dioxide pigment, currently a $9 billion industry worldwide, is used in a variety of applications including the manufacture of paint, plastics and paper.

The AHP process is a disruptive technology because it threatens the titanium dioxide pigment supply chain established over the last 50 years. The Altairnano process is economic for plants producing 30,000 tons a year to large-scale manufacturing exceeding 100,000 tons per year. This is an important capability in emerging economies and to specialist pigment producers as it enables these smaller companies with limited capital resources to affordably enter the market. These plants can be readily expanded to larger scale manufacturing operations as customer demands grow.

The Titan Project

Randsburg's Titan Project is an iron-titanium-vanadium advanced exploration project covering 5370 acres, situated 350 kilometres north of Toronto, Ontario, Canada. Titan Iron Mines Ltd. reported iron-titanium reserves of 141 million tons from previous drilling, trenching, geology and geophysics in the 1940s, 1950s and 1960s in this area.

A. S. Bayne, P. Eng. (1967) submitted the "Report on Potential Feasibility of Titan Iron Mines Limited, Angus and Flett Townships, Ontario." In this report, Bayne estimated that the iron-titanium deposit contained an indicated and inferred 141,000,000 tons of reserves grading 35.58% iron and 15.64% titanium dioxide within an area of 1,400 by 900 feet and to a depth of 1000 feet. The report is part of Randsburg's files on the Titan deposit. The estimate is based upon:

       1) The drill logs and assays for iron and titanium from 1,795 feet
          of diamond drilling in 11 holes completed in 1947. Drilling was
          confined to an area in the northwest portion of the mineralized
          body. The drill logs and assays are in Randsburg's files.
          Assaying was done at Swastika Laboratories.

       2) 119 samples assayed for iron and titanium from 2,100 feet of
          trenching completed during the 1940s. The extensive trenching was
          completed over that part of the mineralized body located above
          low-lying, wet areas. Assay certificates from Timiskaming Assay
          Labs are in Randsburg's files.

       3) Personnel of the Ontario Department of Mines carried out
          additional sampling and assaying. The results from this work are
          comparable to those of Titan Iron Mines as discussed above. This
          information is in Randsburg's files.

       4) Vertical interpolations using the areas within the 10,000, 10,500
          and 11,000 gamma contours from a Lockwood Survey Corporation
          Limited airborne survey flown in 1966. The survey map is in
          Randsburg's files.
The Company believes that the above information lends credence to the reported historical tonnage for the Titan deposit.

This reserve figure was calculated prior to the implementation of NI 43-101 standard. The categorization of reserves at that time would be equivalent today to a mineral resource under current 43-101 standards as defined by the Canadian Institute of Mining, Definition Standards On Mineral Resources and Mineral Reserves adopted November 14, 2004.

The Company is not relying on these reserve figures as 43-101 defined resources or reserves verified by a Qualified Person and investors are cautioned that recent independent verification of the reserve data has not been performed and Randsburg has not completed sufficient exploration on this part of the property to verify the classification of the historical figures as a resource or reserve.

Randsburg is currently conducting Phase II of a Stage 2 drill program which includes drilling outside of the area where the historical reserve calculations were originally obtained. The Company has drilled and reported assays from a total of 12 drill holes on the Titan project. Please refer to the Company's website at www.randsburgdiamonds.com for past news releases indicating drill hole locations, intersection length, and assay composition of the material from these drill holes. The target is open along strike and depth. If the drill program is successful, Randsburg will, if warranted, define a resource estimate.

The Titan Project is being conducted under the supervision of Ken Germundson, Ph.D, Professional Geologist, the Company's Qualified Person under the meaning of National Instrument 43-101. The drill logs, cores and assay results have been reviewed and verified by Dr. Germundson. Dr. Germundson has reviewed and approved the contents of this news release.

ABOUT BATEMAN ENGINEERING BV

Bateman is an innovative solutions provider to the natural resources industry internationally, providing a comprehensive blend of skills comprising process-orientated engineering, specialist niche technologies, financial and commercial facilitation, and contracting and project management. It operates under the Bateman banner, providing total solutions for the conversion of natural resources into marketable products. Bateman has been involved in a number of beach sands and hard rock projects and studies involving the upgrade of ilmenite and other minerals since 1991. Work has been done for several well-known mining companies in that time, including Anglo American, Kumba Resources and WMC. Currently, Bateman is involved in a US$220 million lump sum turnkey contract for the Moma mineral sands project in Mozambique on behalf of Kenmare Resources. For more information, visit www.batemanbv.com.

ABOUT ALTAIR NANOTECHNOLOGIES INC.

Altairnano is a leading supplier and innovator of advanced ceramic nanomaterial technology. Based in Reno, Nevada, Altairnano has assembled a unique team of materials scientists who, coupled in collaborative ventures with industry partners and leading academic centers, have pioneered an array of intellectual property and products.

Altairnano's robust proprietary technology platforms produce a variety of crystalline and non-crystalline nanomaterials of unique structure, performance, quality and cost. The company has scalable manufacturing capability to meet emerging nanomaterials demands, with the production capacity of hundreds of tons of nanomaterials.

Altairnano's two divisions, Life Sciences and Performance Materials, are focused on applications where its nanotechnology may enable new high growth markets. The Life Sciences Division is pursuing market applications in pharmaceuticals, drug delivery, dental materials and other medical markets. The Performance Materials Division is focused on market applications in advanced materials for paints and coatings, air and water treatment and alternative energy including new Li Ion battery electrode materials. For additional information on Altairnano and its nanomaterials, visit www.altairnano.com

ABOUT RANDSBURG INTERNATIONAL GOLD CORPORATION

Randsburg International Gold Corporation is a Canadian exploration company listed on the TSX Venture Exchange (TSX-V: RGZ). The Company is engaged in exploring for diamonds, titanium, iron, precious and base metals, and platinum group metals (PGMs) in Brazil, Canada and Nevada. The Company has three active exploration projects:

       1. Victory Strike diamond project in Brazil - 85% owned
       2. Titan Project (iron-titanium-vanadium) in Northern Ontario - 100%
          owned
       3. Elephant Gold and Silver Joint Venture Project, Nevada
To find out more about Randsburg International Gold Corporation (TSX-V: RGZ), visit our website at www.randsburgdiamonds.com

Investor Relations:

For all future Randsburg investor relations needs, investors are asked to visit the Randsburg IR Hub at http://www.agoracom.com/IR/Randsburg where they can post questions and receive answers within the same day, or simply review questions and answers posted by other investors. Alternatively, investors are able to e-mail all questions and correspondence to RGZ(at)agoracom.com where they can also request addition to the investor e-mail list to receive all future press releases and updates in real time.

FORWARD-LOOKING STATEMENTS: Except for statements of historical fact, all statements in this news release -- including, without limitation, statements regarding forecasts, plans and objectives of Randsburg International Gold Corp. -- are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from those anticipated in such statements.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contact Information

  • For further information
    Corporate Inquiries:
    Michael Opara
    President & CEO
    Telephone: (416) 486-4078
    Email Contact

    Investor Relations:
    AGORA Investor Relations
    http://www.agoracom.com/IR/Randsburg
    Email Contact

    For more information on Altairnano contact:
    Roy Graham
    Altair Nanotechnologies, Inc.
    Email Contact
    (775) 858-3706

    For more information on Altairnano Bateman Titania contact:
    Doug Ellsworth
    Altair Nanotechnologies, Inc.
    Email Contact
    (775) 858-3740