100 million tonnes

“This new discovery at the Python prospect forms a continuous zone of iron
mineralisation over a strike length of 2.7 kilometres with the adjacent Gwardar
prospect. Together they have the potential to contain 60-80 million tonnes of
iron mineralisation to a depth of about 180 metres”.
“FerrAus believes it will identify iron mineralisation and grow the combined
resource base at the Davidson Creek project to greater than 100 million tonnes
of direct shipping hematite grading 58-60% Fe”.
“This exciting discovery allows FerrAus to review its mine development plans to
consider large scale production of up to 10 million tonnes per year” FerrAus
Managing Director - David Turvey said today.
Highlights:
�� Iron mineralisation at the Python prospect occurs in a sheet-like deposit
over a strike length of ~1,500 metres (refer Figures 1 to 5, Table 1 & 2).
Mineralisation does not outcrop and the discovery was made by drilling a
gravity geophysical target.
�� Additional assay results from the Gwardar prospect confirm its potential for
iron mineralisation is 25-35 million tonnes (refer Figure 3 & Table 2).
�� Detailed RC drilling is ongoing at the Python and Gwardar prospects.
Initial resource estimates are planned during Q3 2008.
�� Drilling results from gravity targets at T46500E and T48500E to the east of
the Taipan