placement at .05 and production update

17 June 2008

PRODUCTION UPDATE & $1.2 MILLION
PLACEMENT

Production Update
The Company is pleased to advise that copper production
recommenced during May 2008 from the treatment of
available high grade stockpiles at a rate of 50 to 60 tonnes
of contained copper per month. Present monthly
production from the treatment of stockpiles is similar to that
achieved by the Company in the first half of the 2008
financial year.
The limited present production is from the site ‘clean-up’ or
pre-mining Stage 1 of the project and not indicative of
production levels anticipated once mining of oxides
commences during Stage 2 (oxides) of the project currently
the subject of a definitive feasibility study (“DFS”). The
Company regards any interim cash generated from the
treatment of these stockpiles as a contribution to fixed
costs and its exploration and development budget during
the completion of the DFS.
As previously reported pre-development operations were
suspended in January as a result of the Northern Territory
wet season.
$1.2 Million Placement
The Company advises that it has completed a S708
excluded offer of 24,000,000 shares at a price of 5 cents
per share to raise a total of $1.2 million before issue costs.
The proceeds from this offer will be used to contribute to
the reduction of the Macquarie Refinancing Facility and to
augment working capital.

Yours faithfully,
Redbank Mines Limited
Susan J Field
Executive Director