the right place at the right time the right place at the right time Atlas Iron Limited - Overview

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1 Atlas Iron Limited Pilbara Iron Ore February 2007 the right place at the right time Atlas Iron Limited - Overview Emerging Iron Ore Junior in the Pilbara One of the more serious & aggressive player Within 18 months delineated 10.5 Mt of Resources at Flagship Project Pre-Feasibility Study (DSO) shows low CAPEX & good Operating Margins DFS mid07, Targeting 1 Mtpa for 12 mths, Shipment Q1 2008, 3 Mtpa ramp up Evaluation of Magnetite Potential at Pardoo, targeting inferred 800K-1Bt resource High Calibre Board, Management Team & Consultants (marketing, Ops & Project Dev.) Well Funded with $22 M in cash for aggressive Exploration & Feasibility Studies the right place at the right time 1

2 Atlas Iron Limited Capital Structure AGO on issue 132.5m AGO Price $0.58 AGOO Price $0.40 Market Cap $77m Cash $22m Top 20 60% IMC 17% LinQ Resource Fund 12% Merrill Lynch Natural Resource Fund 10% Atlas Iron Limited - Board David Nixon - Chairman (39 yrs) Mechanical Engineering - Project Management (CRA, BHP Billiton, Fluor, Evans and Peck) David Flanagan - Managing Director (15 yrs), Exploration, Project Development and mining (RSG Global, Normandy, Gencor, Gindalbie Metals) David Hannon - Non Executive Director (20 yrs), Merchant Banking Portfolio Manager (Jackson Securities) Jyn Sim Baker - Non Executive Director (21 yrs), LLB Law, Project Finance, banking M&A, CEO of IMC past MD of Midwest Corporation Limited 2

3 Atlas Iron Limited - Management Mark Gunther Exploration Manager, MSC Geol, James Cook University, (20 yrs Geol Surv Qld, Goldfields, Croesus, Placer, Ind. Consultancy) Ken Brinsden Operations Manager, B. Min Eng WASM Mining Engineering. (15 yrs, WMC, Normandy, Goldfields, Iluka) Mark Hancock Chief Financial Officer, B. Bus, CA, F Fin (20 yrs, Grant Thornton, Premier, Woodside, Lend Lease) Tony Walsh Company Secretary, B. Comm MBA, CA Bus, (14 yrs ASX, 5yrs Ernst and Young) Garry Plowright Land Tenure and Approvals Manager, Dip Cart. (25 yrs BHP, Mt Edon Gold Mines, Pacmin, Gindalbie Metals) Consultants Warwick Davies Iron Ore Marketing, BA Econ., Cert. Chem. (40 yrs BHP Steel, Hamersley, Robe River Mining, Exec. Dir. RMC), Bob Third Project Manager - Magnetite, Eng. (>35 yrs RIO, Mt Gibson, Asia Iron, Hamersley, Robe River Mining (pellet plant), Pilbara Landholding ~ 6000 sqkm Conc. 120 km radius Strategy to truck to public access port Flagship Project 75 km east Pt Hedland Road & Rail 3

4 Pardoo Project Main focus since mid 2005 Initial low key follow up Goldsworthy_BHP late 60- mid 90s Traverse %Fe Initial Program included % Fe Total 580 RC for 34,500 m 10 diamond holes for 670 m Mapping, rock chip, remote sense, ground gravity 21 Prospects, 9 Resources Atlas Iron Limited Resources and Reserves Pardoo Project Resources Category Kt Fe% Indicated 5, Inferred 4, Total 10, SiO2% Al2 O P% LOI% S% Pardoo Project Probable Reserves Prospect Kt Fe% SiO2 % Al2 O3 % P% LOI% S% Glenda Bobby South Limb Total ,521 1,686 4, CaFe % CaFe % Strip Ratio 3.4:1 1.9:1 1.5:1 1.8:1 High conversion of resources to reserves 4

5 Pardoo Direct Shipping Ore (DSO) Project Bobby Typical Section Supergene style go-he ore Near surface blanket like High-grade core Tapering at depth Ore geometry favors lower strip ratios & conversion of resources to reserves Pardoo Direct Shipping Ore (DSO) Project Prospective Mineralised Trends Mineralisation controlled by stratigraphy & structure 6 Main Prospective Trends Numerous targets from grassroots to extensions Newly discovered Floyd & Olivia Trend 5

6 Atlas Pardoo Iron Ore Project Excellent Exploration Potential Adjacent to existing resources Under Shallow Cover Gravity anomaly 1st phase delineation RC 2.7 Mt Resource Remains Open particularly along strike Atlas Pardoo Iron Ore Project Floyd Section me S N Near Surface Thick Ore Zone Shallow Dipping Remains Open Step out Drilling 6

7 Atlas Pardoo Iron Ore Project Olivia Trend Mapping by consultants have identified significant areas of surface iron enrichment Area of no previous work Recent reconnaissance trip exciting Conceptual Exploration target 5-10 Mt 55-60% Fe Initial drill testing within coming months Atlas Iron Ore Projects Farrel Well & Abydos Grant Prospect Prospect - Rock Chip traverse 27m at 60.2 % Fe, 500 metres long, Drilling Target Projects in Pt Hedland Environs Farrel Well & Abydos Prospective Archaean Iron Formation host rocks Bedded surface Fe enrichment Abydos greater potential Pincunah North Trend Rock Chip sample 59.9 % Fe ~4km strike of prospective host Combined ~10 km of strike prospective iron Fm host rocks Strelley Trend - Rock Chip samples up to 61.5 % Fe, ~6km strike prospective host Initial Exploration target Mt at 55-60%Fe of bedded DSO Further potential in CID Plans to commence drill testing in first half

8 Pardoo Magnetite Project RIDLEY 1 to 1.5 Bt Ridley Magnetite Target Favourable Metallurgical Test Work Remarkably Thick & Uniform m thick & near vertical dip Infrastructure Plus Pardoo Project DSO Mining Operation Pre-feasibility Study confirms Robust Economics Traditional contractor operated open pit mining operation. Start-up CAPEX $8.3 M for 1 Mtpa operation, commissioned 1 Qtr 08 Ramp up 3 Mtpa, CAPEX $13 M, 2010 Strip ratio 1.8:1 (waste:ore) Pit depths up to 75 metres Road train haulage 75km to port Profit Margin $10 to 18 per tonne Announced new Port Expansion timely for Atlas 8

9 Atlas Iron Limited - Conclusion Aggressive & successful iron ore junior Rapid transition from Explorer to producer Very good ground with money in the bank First class team With a more-than-favorable commodity climate we are in the right place at the right time Atlas Iron - we are worthy of a good look Atlas Iron Limited Pilbara Iron Ore the right place at the right time 9