Argex Titanium Inc. ARGEF

RE: Not Certain!

[MolyMadeMeRich]

No Chance...RGX has a target of $31 ..Producing by 2013...You should due some DD and buy RGX not Happy trails...GLTA...MMM$

ARGEX MINING INC.

RGX-TSX.V :
.47 - STRONG BUY

12 MONTH TARGET PRICE INCREASED: $3.00 | PROJECTED RETURN: 538%

VALUATION: 20% DISCOUNT APPLIED ONLY TO NAV OF LA BLACHE PROJECT.

CTL AGREEMENT SIGNED

EVENT – CANADA TITANIUM (CTL) AGREEMENT SIGNED

Today’s news release is a big and essential step in Argex’s plan to become a fully integrated

producer of high-grade titanium dioxide by 2013 and its planned expansion to becoming a

supplier of 10% of the world’s TiO2 by 2020.

INVESTMENT OPINION – RE-ITERATE STRONG BUY.

TARGET INCREASED TO $3.00 PER SHARE

The Company plans to start production at a rate of 15,000 tonnes per year of TiO2 in 2013

with an industrial size test plant and to ramp this up to 600,000 tonnes of TiO2 by the year

2020. At that rate Argex would be supplying 10% of the world’s TiO2 market.

The critical factors for future value:

Near-term completion of planned acquisition of Canada Titanium Ltd (CTL)

Completion of NI-43-101 PEA and possibly a pre-feasibility study this fall

Completion of permitting

Announcement of product sales or off-take agreements or joint ventures

Funding. - Exercise of Warrants could fund short-term needs:

o 10.7 million
.40 warrants expire Oct 29, 2011

o 0.7 million
.40 warrants expire Nov 30, 2011

o 0.16 million
.40 warrants expire Dec 22, 2011

Future prices of TiO2, V2O5 and iron ore

Construction of a 15,000 tpy industrial scale TiO2 recovery plant

Successful start-up of an industrial plant to prove scalability in 2013

The most important remaining factor of the above is successful scalability.

ACTION – A MULTI-BAGGER IN THE MAKING

In a worst-case scenario, Argex at
.47, has the potential to be a “Four Bagger”, while

being simultaneously a perpetual call option on the successful scalability of the TiO2

processing plant where the reward could be a “Sixty Five Bagger” as the process is de-risked

and the NPV discount rate drops to 10% pushing its value to $31 per share. The biggest part

of the stock price move should be between now and 2013 as the first plant starts

operating

successfully. We recommend investors aggressively build or add to a position in Argex at

current levels.

VALUATION – PROJECT NPV SUGGESTS SHARES ARE CHEAP

The Company’s long- term plan to produce 600,000 tpy TiO2 by 2020 is achievable

and would result today in the following after-tax NPVs of forecast cash-flow solely

from Argex’s own production through the end of the next decade.

Discount Rate NPV Per Share*

10% $ 3.6 Billion $31

15% $ 2.0 Billion $17

20% $ 1.1 Billion $10

*Assumes additional 30 million shares

Tony Hayes, CFA, Metals & Mining Specialist

[e-mail]

MARKET DATA (as of Sept27, 2011)

Market Capitalization ($M) 42

Current Net Debt ($M) -2

Enterprise Value ($M) 40

Basic S/O (M) 88.7

Fully Diluted S/O (M) 145

Avg Daily Volume (3mo, k) 139

52 Week Range ($) 0.24 - 0.92

KEY FINANCIAL METRICS

FY-Dec 31 2012E 2013E 2014E 2015E

Rev. (US$M) 0 38 80.0 392

Change --- --- --- ---

EV/S n/a 0.8 0.4 0.1

EBITDA (US$M) 0 29 67.0 331

Change --- --- --- ---

EV/EBITDA n/a 1.0 0.4 0.1

Quarterly EPS (US$) (adj)

Quarter 1 0.00 0.00 0.16 0.60

Quarter 2 0.00 0.00 0.16 0.60

Quarter 3 0.00 0.16 0.17 0.65

Quarter 4 0.00 0.17 0.17 0.85

F.Y. Total 0.00 0.32 0.65 2.70

Change --- --- --- ---

P/E n/a 1.5 0.7 0.2

COMPANY DESCRIPTION

Argex is in transition from a successful exploration

company with titanium, iron and vanadium properties to

a development and producing company with a

51% interest Canada Titanium Ltd. which has some

very promising, low-cost, patented and proprietary

technology for the recovery of T iO2, V2O5 and Iron.

KEY RISKS – ABOVE AVERAGE

Inability to scale process

UPCOMING EVENTS/CATALYSTS

NI-43-101 PEA and possibly pre-feasibility study this fall

News on possible spinout o nf on-core Mouchalagane

iron ore property could come soon.

Source: BigCharts.com

Argex Mining Incorporated

Tony Hayes, CFA, Metals & Mining Specialist

              416-433-3357         416-433-3357

[e-mail]