1 Sleat Road, Applecross, Western Australia 6153. Locked Bag 3, Canning Bridge, Applecross, Western Australia 6153

P +61 8 9329 3600 F +61 8 9329 3601 W www.mineralresources.com.au

Mineral Resources Limited | ABN 33 118 549 910 | ACN 118 549 910

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The Yilgarn Iron Ore Region is located in Western Australia’s Midwest. The Carina iron ore

deposit is the first resource that will be brought into production as part of Polaris Metals

regional assets; it is located approximately 60 kilometres northwest of Koolyanobbing and 100

kilometres northeast of Southern Cross. Operation of the Carina deposit is scheduled to

commence from end of 2011.

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The Carina Iron Ore Project will be brought into production based upon the operational project

areas detailed below.

1. Area 10 and 20 – Mining Operations

2. Area 30 – 184 Person Accommodation Village

3. Area 40 and 50 – Permanent Site Facilities

4. Area 60, 65 and 70 Processing Facilities

5. Area 75 – Rail Loading and Early ore on train hoppers.

6. Area 80 – 6km Rail Balloon Loop and Train Loading Operations

7. Area 90 – 50km purpose built Haul Road

The site will comprise a single open pit of approximately 40 ha in area. The dimensions of the

proposed open pit are approximately 1,500 metres long by 380 metres at its widest point,

extending to 170 metres below ground level at its deepest point. However, approximately 1,000

metres of the open pit length will only be approximately 100-120 metres deep. Mined ore will

be deposited on the Run of Mine (ROM) pad and then transported on a 50km Haul road to the

crushing, screening and stockpiling plant located adjacent to the rail loading facility.

Following processing, the Lump and Fines product will be loaded onto dedicated train consist of

2 x Q Class Locomotives pulling 150 wagons with a total payload per train of 10500 tonnes of

Iron Ore for transport to Fremantle Ports Kwinana Bulk Terminal 2 (KBT2)

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Project Principal – Polaris Metals

Project EPCM – Crushing Services International

Total Project Value - $197M

Final Project Approvals – May 2011

First Ore on Train – Scheduled for October 2011

Project Construction Man-hours – 500,000

Initial Clearing Required – 300 Hectares

Earthworks volume to be moved – 850,000M3 (1.7 Million Tonnes)

Civil Concrete Works – 6500M3

Structural / Platework Fabrication – 1500 Tonnes

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Early works completed by our Infrastructure team established a 42 Man Accommodation Village

and Mining workshop / offices. These facilities allow the development of the Mining Facilities,

Go-Line, Support Infrastructure and Mining Pre-strip construction activities that are progressing

well.

42 Man Accommodation Village Mining Workshop and Offices

Mining Pre-Strip Activities Mining Pre-Strip Activities

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To support the construction and operational phases of the project, a 184 person

accommodation village has also been constructed. The team on-site has achieved delivery of the

184 beds in line with project requirements. Process Minerals International (PMI) is the camp

owner and operator and is providing first class village management services that are the talk of

the region. Friday night seafood night needs to be seen to be believed!

Accommodation Units Friday night seafood night

Wet Mess Village from Car park

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Site construction activities on this area are well underway, construction offices are complete

allowing the other permanent facilities to progress. Permanent Polaris site offices are eagerly

awaited by the team to allow mobilization of the operations management team and are

expected to be available on in June 2011.

Area 50 from ROM Stockpile Polaris Permanent Site Office Being Landed

Construction Offices Construction Office Car park

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Crushing Services International (CSI) will Build, Own and Operate the Crushing, Screening and

Stockpiling Facility, with contract works let for Major Earthworks and Civil works. Early issues

identified significant blasting requirements around the Primary Crusher and Chevron Stockpile

area and the site team is achieving some excellent progress. The PMI Mining Team have

supported CSI with the significant material movements and are achieving excellent results

utilizing the brand new mining fleet already mobilized to site.

Primary Crushing Structure Earthworks Primary Crushing Structure Base Slab

PMI PC1250 and HD785 in Action Stockyard Benching Commences

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MRL has made the decision to move from Front End Loaders loading the rail wagons to a fully

automated Train Loading Facility. This is a key driver for the project and work is well advanced.

Train Load Out Model Snapshot PMI – PC1250 Digging TLO Earthworks

TLO Earthworks nearing Completion TLO Earthworks Nearing Completion

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The Carina Iron Ore Project will deliver 2.7 MTPA of Iron Ore at project start up with one train

consist and, when the second train consist is available in Q1 2012, ramping up to 4.4 MTPA as

soon as operationally possible. The pit to port nature of this project has CSI installing a 6km

Balloon Rail Loop on the project site. In order to bench to the rail line to the correct elevation (a

nominal 5 metres below natural ground) blasting and excavation works are required.

A major project milestone was met on Friday 27th

of May with the installation of the Mainline

Turnout completed allowing access to the Trans Australian Railway.

Mainline Turnout Installed Rail Loop Benching

Rail Formation Underway Rail Benching and Formation

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The lifeline of the project is a 50km Haul Road running from the Carina Deposit in the north to

the Rail Siding in the south; again a major undertaking and without water supply it would be

even harder. PIHA teamed up with CSI to deliver a pipeline 54km in length (delivering 2 million

litres of water per day down the haul road) enabling the earthworks to be completed across the

site. Thanks to PIHA for the pipelines successful establishment in a record time.

Haul Road – Cleared and Grubbed Water Pipeline Main Feed Pumps

Haul Road Clearing and Grubbing Underway Turkey Nest T1 – 900Kl Capacity

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The Fremantle Port Authority (FPA) KBT operations were originally commissioned in 1958 to

handle inbound / outbound product via the Jetty Infrastructure. The port requires a major

upgrade to enable a return to its former nameplate capacity of 2200tph and MRL and the FPA

have entered into an agreement to rehabilitate and expand the site operations. CSI have

established the site team to deliver this project.

A major project milestone of allocation of port capacity by the FPA to MRL was achieved on 5th

May 2011. With the project team mobilised and “Turning of First Soil” imminent the team are

well placed to deliver in line with the Carina Iron ore “First Ore on Train Date”.

In-Bound Bottom Dump New Enclosed Transfer Station & Conveyors

FPA Site is Kwinana - Arial View

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Forward-Looking Statements This document may include forward-looking statements. These forward looking statements are based on management’s expectations and beliefs concerning future events. Forward-Looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of Mineral Resources Limited, that could cause actual results to differ materially from such statements. Mineral Resources Limited makes no undertaking to update or revise the forward-looking statements made in this document to reflect events or circumstances after the date of this release.

For further information contact:

Peter Wade

Executive Chairman

Telephone: (08) 9329 3600

www.mineralresources.com.au