market clarification

ASX ANNOUNCEMENT
2 December 2010
MARKET CLARIFICATION
WESTERN DESERT CONFIRMS IRON ORE PROJECTS ARE NOT IN A NATIONAL PARK
Key Points:
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Roper Bar Project area located in proposed multi-use Limmen Park.
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Proposed Limmen Park does not have ?National? park status.
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Environmental & Social Studies underway
The Directors of Western Desert Resources Limited (ASX: WDR) today confirmed that Company?s Roper Bar Iron Ore Project is NOT located within an area to be gazetted as a national park.
Western Desert Managing Director Norm Gardner said ?Recent comments in the media suggesting that the Roper Bar project is in a national park are incorrect. The project is, in fact, located on vacant Crown Land, owned by the Northern Territory Government.?
The Company believes the confusion on the land status has been caused by the inclusion of the word ?national? in the name given to the area - Limmen national Park.
Only the Commonwealth Government can declare an area a National Park.
Historically, the area of nearly 12,000km2 was known as St. Vidgeons Station and encompassed the St. Vidgeons pastoral lease and the Nathan River pastoral lease. The property was abandoned and was subsequently purchased by the NT Land Development Corporation in 1982.
Mr Gardner said the NT Government proposed that the area be gazetted as a park which, under Territory Law, carries provision for multiple land-uses, including the mining and export of iron ore.
The NT Parks and Wildlife Service have identified three locations of sightseeing interest within the proposed park. These are the Western Lost City, Southern Lost City and Butterfly Lagoon (see Figure 1).
These sites are more than 60 kilometres from Western Desert?s Roper Bar Project development area.
Figure