CANNINDAH RESOURCES LIMITED — Capital/Financing Update 2007

Feb 14, 2007

OUEENSLAND ORES LTD ACN 108 146 694

T 07 3230 2000 F 07 3831 7663

Lvl 3 201 Leichhardt Street SPRING HILL QLD 4000 PO BOX 1078 SPRING HILL QLD 4004

15^th February 2007

OUEENSLAND ORES SIGNIFICANTLY BOOSTS RESOURCES AT WOLFRAM CAMP PROJECT

Total resource tonnage at rich tungsten and molybdenum deposit increased by 45%

Oueensland Ores Ltd (ASX Code: OOL) is pleased to announce that it has substantially increased its reported JORC compliant resource tonnage at its Wolfram Camp project by 45%.

Wolfram Camp (QOL: 85% interest), located 90km west of Cairns, will become Australia's next tungsten and molybdenum mine, with first production anticipated for the September 2007 quarter.

Following the incorporation of the results from the latest reverse circulation drilling programme undertaken in the second half of 2006, total resources at Wolfram Camp have been increased by 270,500 tonnes to 876,500 tonnes containing $0.42\%$ WO₃ and $0.17\%$ MoS₂.

Queensland Ores' CEO Mr Taff Greenwood said that the resource upgrade would further enhance the profitability of the mine once production commenced.

"Besides increasing the total resource, we have upgraded the status of a greater proportion of the deposit, proving a 77% increase in tonnage within the Measured and Indicated Resource categories. Contained wolframite in these categories has increased by $80\%$ to 2,783 tonnes and contained molybdenite has increased by 50% to 1,130 tonnes."

"A new pit design will be completed soon which will take advantage of the larger resource. As such, we anticipate extending the life of operations beyond the previously planned four year life".

"With first production on the horizon, the Company is set to benefit from the continuing buovant demand for tungsten and molybdenum, which are primarily used within the steel alloying industries," Mr Greenwood added.

"The present resources are confined to a 700m portion of the 3 km prospective strike length, providing considerable scope for further increasing the resource. What is particularly exciting is that the recent drilling programme has identified resources further up the natural slope of the ground thus increasing the potential width of the mineralisation able to be extracted by low cost open pit techniques".

The Wolfram Camp current resource is tabulated below.

Resource Category	Tonnes	$\%WO$	Contained	%MoS 2	Contained
			tonnes		tonnes
			WO 3		MoS 2
Measured	568,300	0.42	2,387	0.17	966
Indicated	96,700	0.41	396	0.17	164
Inferred	211,500	0.4	909	0.2	360

Momentum gathering at Wolfram Camp

Detailed design of the 150,000 tonnes per annum Wolfram Camp Treatment Plant and procurement activities by Lycopodium Engineering are progressing to schedule. The ball mill has been acquired and is undergoing refurbishment and all other key plant items have been ordered.

Subject to the necessary regulatory approvals being met, the Mining Leases are anticipated to be granted in the next quarter.

"The recent placement to Talbot Group Holdings and exercise of options underwritten by Far East Capital Limited have solidified the Company's cash position to fund the current stage of development activities," Mr Greenwood added.

Latest Drilling Results

Since the last report on drilling results in the December 2006 Quarterly Activities Report, QOL has received assays for holes QOLWCRC104-118 inclusive. Best intersections in these holes were:

Hole No	From	Tо	Inter	$\%WO_3$	%MoS 2	US\$/t in	g/t
			val			ground	gold
							equiv
QOLWCRC104	42	46	4	0.30	1.07	414	22
QOLWCRC105	$\overline{2}$	3	ĺ	1.33	0.04	279	15
and	16	19	3	0.44	0.03	98	5
OOLWCRC107	7	11	4	0.82	0.03	174	9
QOLWCRC109	6	8	$\overline{2}$	0.35	0.05	87	5
OOLWCRC110	10	15	5	0.31	0.14	108	6
QOLWCRC111	8	9		0.70	0.27	229	12
and	19	23	4	0.10	0.21	89	5
QOLWCRC112	11	16	5	0.53	0.08	133	7
OOLWCRC115	13	19	6	1.16	0.21	301	16
and	39	40	1	4.18	0	836	43
QOLWCRC116	64	65	ĺ	$\theta$	0.49	162	8
OOLWCRC117	23	24	ĺ	1.30	0.16	313	16
and	36	39	3	0.43	0.35	202	11
OOLWCRC118	33	36	3	0.48	0.07	119	6
and	56	58	$\overline{2}$	0.12	0.40	156	8
and	65	67	$\overline{2}$	0.07	0.39	143	7

US\$/t in ground and g/t gold equivalent figures are based on commodity prices of US\$200/mtu for wolframite, US\$25/lb for molybdenum and US\$600/oz for gold

Assay results are still awaited for nine further holes.

In so far as it relates to ore and mineralisation within Queensland Ores Limited's tenements, this report is based on information compiled by Mr. Andrew Border, a Member of the Australasian Institute of Mining and Metallurgy who has sufficient experience to qualify as a Competent Person as defined in the 2004 edition of "The Australasian Code for Reporting of exploration results, Mineral Resources and Ore Reserves". Mr. Border is a full-time employee of Oueensland Ores Limited and has given consent to the inclusion in this report of matters based on this information in the form and context in which they appear.

ABOUT QUEENSLAND ORES

Queensland Ores Limited is a listed resources company focusing on developing quality resource projects in Queensland. The Company trades under the ASX code QOL.

The company's asset portfolio includes advanced copper, gold and speciality metals projects such as tungsten and molybdenum.

Queensland Ores' two key projects are the Wolfram Camp Project, developing one of Australia's richest tungsten and molybdenum deposits near Cairns; and the Mount Cannindah Copper Project, advancing the areas surrounding and including the former Mount Cannindah mine, located about 100km south of Gladstone. The Company plans to become a two mine producer by the end of 2008.

For further information contact:

For media enquiries contact:

Mr Taff Greenwood OOL Chief Executive Officer Tel: 07 3230 2000

Robert Williams Farrington National Tel: 02 9332 4448