Corporate Profile Highlands Pacific Limited ('Highlands Pacific' or 'the Company') is a diversified mineral resource company with interests in Papua New Guinea (PNG). Its main assets comprise: Ramu nickel / cobalt project (Highland's Pacific ownership - 8.56%), a development project with a feasibility study in place for a 20-year plus mine life, producing 31,150 tonnes of nickel and 3,300 tonnes of cobalt metal contained in a high grade intermediate product. The project is managed by Chinese Metallurgical Group Corporation ('MCC') and includes joint venture partners Jinchuan Group Limited, Jinlin Nickel Industry Corporation Limited and Jiuquan Iron and Steel Group. Highlands Pacific holds an 8.56% interest in the project carried to production, which can be increased to 11.3% once debt has been repaid out of cashflow. Highlands Pacific also has the right to increase its share further to 20.55% with the incremental equity acquired at fair market value. Commissioning of plant is due to commence in late 2009. Frieda River copper / gold project (Highland's Pacific ownership - 16.4% in the greater Frieda area and 88% in the Nena copper deposit subject to an Xstrata Option). Frieda is one of the world's largest undeveloped copper / gold deposits with an overall resource estimated at 7.5 million tonnes of copper and 14.3 million ounces of gold. Xstrata Frieda River Limited ('XFRL', a subsidiary of Xstrata Plc, exercised an option to acquire a 72% interest in the Frieda River project on 22 January 2007. To maintain this interest XFRL must complete a feasibility study and in doing so fund Highlands' share of project expenditure until completion of such. Whilst it maintains its interest in the Frieda River project, XFRL retains an option over the Nena copper deposit whereby it can acquire a 73% interest in that deposit. Xstrata completed a Scoping Study in January 2008 and have a timetable with production commencing 2016. Nenatec Process (Co-owned with Xstrata Plc), is a patented process designed to treat concentrates produced from refractory base metal and precious metal ores. The process offers Highlands Pacific potential access to new projects and/or royalty streams. Exploration (Highlands Pacific ownership - 100%), very prospective lease located in the historic Wau-Bulolo Goldfield. Within 5km of Kerimenge, Hamata and Hidden Valley deposits. Exploration program for 2008 includes 2,000m of drilling. Cash Reserves of US$20 million.
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