mk buys matilda matilda minerals sands project, page-2

Definately NOT happy with this DEAL.
MATILDA was run by a pack of IDIOTS.
Looks like MAL shareholders have lost everything and Michael Kiernan picks it up for song.

Stirling expands with high grade zircon investment

West Australian resources developer, Stirling Resources Limited (ASX:SRE), has expanded its
resources investments with a $4.8 million investment in high grade mineral sands assets in northern
Australia previously owned by Matilda Minerals Limited (ASX:MAL).

Stirling has agreed to purchase the assets for $4.8 million via Administrators Ferrier Hodgson,
following Matilda Minerals' entry into voluntary administration in October last year.

The investment is intended to be made via Stirling's wholly owned subsidiary of Stirling Zircon in the
first instance and, in line with the investment strategy previously announced, will be transferred to
another listed vehicle with Stirling Resources retaining a substantial investment in that listed vehicle.
Further details of the investment are set out in Annexure "A".

The investment includes high grade mineral sands projects located on the Tiwi Islands in the Northern
Territory, and the highly prospective zircon tenements at the Cape York Peninsula in Queensland.
Stirling Resources Managing Director, Michael Kiernan, said the investment in zircon producing
assets, such as those of Matilda, were a key part in the Company's diversified commodity investment
strategy.

"A key characteristic of the two assets are the high grade zircon product, along with low capital and
production costs and the proximity to Chinese market. All of these factors make the assets an
attractive part of a resources investment portfolio," Mr Kiernan said.

He said the Company retained a very positive outlook for the zircon market which is used in the
ceramics and porcelain industries, and we would recommence production and exploration activity on
the projects as soon as possible.

"Long term consumer trends in China and India will continue to support demand for products such as
zircon, and we believe the current commodity cycle provides an opportune time to develop a quality
asset base to meet this demand," Mr Kiernan said.

Product marketing and logistics would be undertaken by the Austrian international commodities
trading group DCM DECOmetal.

The Tiwi Island Zircon Project acquired by Stirling was previously producing and shipping zircon
concentrate to China. The investment includes a complete operating plant and all support equipment
as well as the high grade tenement package.

The Cape York Zircon Project, north of Weipa in Queensland, includes more than 300 kilometers of
prospective coastline. Previous preliminary exploration has identified high grade zircon occurrences
and significant strandlines, with potentially low strip ratios and slime levels.

Stirling will spend up to $500,000 on further exploration at Cape York, with the program to commence
immediately after the wet season in mid 2009.

"The Tiwi Island Project will provide us with a quick avenue to production, while the Queensland
project presents a particularly exciting longer term significant project," Mr Kiernan said.

Mr Kiernan said over the next five years, Stirling would be aiming to ramp up production of zircon
concentrate to the equivalent of 50,000 tonnes per annum.