Magnetic Resources NL (ASX:MAU) Landholding Tripled To 1,950Km2 Surrounding The Jubuk Iron Targets

Perth, Jan 13, 2010 AEST (ABN Newswire) - Magnetic Resources NL (ASX:MAU) announces, following analysis of recently acquired aeromagnetic data for the Jubuk iron prospect and surrounding areas, where it was announced that 70km of potential iron formation targets had been identified (ASX release 5 January 2010), numerous similar targets in the surrounding district have been applied for, tripling the land position from 640km2 to 1,950km2.

Magnetic is planning to fly aeromagnetic surveys over the new areas to help resolve and define new iron ore targets for follow up sampling. This work will commence following the drilling programme of Target 1 at Jubuk and sampling of the remaining Jubuk targets which is currently underway. Much of the area to be flown has very poor quality aeromagnetic coverage and Magnetic has found that modern high resolution aeromagnetic surveys can readily identify iron-prospective targets in this underexplored wheatbelt region.

Magnetic's search will focus on coarse grained metamorphosed, recrystallised banded iron formations similar to Jubuk which may have enhanced beneficiation characteristics and potential to produce a high grade product. The bulk of the new applications together with the Jubuk tenements occur within a belt of mapped gneissic rocks with high metamorphic grades favourable for the formation of recrystallised banded iron formations.

The tenement applications form part of Magnetic's ongoing strategy of identifying and acquiring ground prospective for iron ore in areas of good infrastructure and, in particular, close to existing railway lines. In this region of WA there is an existing rail network used by the state's wheat producers.

Over the last few years Magnetic has announced the acquisition of a number of other iron ore prospective areas including Dampling Spring, Nungarin, Mt Vernon, Dragon Rocks, Rock Dam Hill, North Tarin Rock, Koonadgin, and Harris totalling 650km2 in area. The new applications bring the total of Magnetic's iron ore prospective tenements in the wheatbelt to 2,600km2.

Contact

George Sakalidis Managing Director Tel: +61-8-9226-1777 Mob: +61-411-640-337 Email: george@magres.com.au Roger Thomson Technical Director Tel: +61-8-9226-1777 Mob: +61-419-969-183 Email roger@magres.com.au