Rest of Report?I am pleased to see interest in Padbury growing...

Rest of Report

?I am pleased to see interest in Padbury growing following the release of our maiden JORC magnetite resource and our haematite exploration target. I expect this to be one of several expressions of interest to come from Asia,? he said.
Managing Director Gary Stokes said the interest was a vote of confidence in Padbury?s iron ore resource at its flagship Peak Hill project in Western Australia?s Mid West Region.
Padbury is in the process of appointing its advisers on the offer by Taifeng and looks forward to welcoming the Chairman and his team in early May.
Taifeng?s complete offer includes:
 A 19.9% placement in Padbury at 3.3 cents per share. This level is to be maintained at a fully diluted level.
 Subject to the agreement of Padbury?s shareholders Taifeng is seeking a one year option to increase its shareholding to 30% of the fully diluted share capital with the options exercisable at 5 cents per share.
 Acquisition of 50-60% of the Peak Hill Iron Ore project at an agreed price upon completion of a Bankable Feasibility Study of the project.
 A pre-emptive right to subscribe to Padbury shares from any future equity placements in order to maintain its equity undiluted.
 A seat on Padbury?s Board following the acquisition of the initial 19.9% stake being sought.
About Padbury
Padbury Mining Limited is an ASX-listed mineral exploration company focussed on its significant iron ore assets in Western Australia?s Mid West Region.
The company?s flagship development is the Peak Hill Iron Joint Venture, a highly prospective iron ore project with an initial 850Mt JORC compliant magnetite resource and a haematite (Direct Shipping Ore ? DSO) exploration target1 of 28Mt at 60 %Fe.
1 NOTE: This potential quantity and grade is conceptual in nature and there has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource
Padbury has a comprehensive program of work planned for the Peak Hill project during 2011, including a drilling program and environmental and heritage studies.
Yours faithfully,
Gary Stokes
Managing Director
Competent Persons Statement
The Exploration