Celsius Resources Limited — Capital/Financing Update 2005

Oct 25, 2005

M.

MEDIARE EASE

MINCOR TO EXPLORE CARNILYA HILL

Earn-in Agreement with View Resources Expands Mincor's Exploration Reach

Nickel producer Mincor Resources NL (ASX: MCR) has further expanded the scope of its regional nickel exploration focus in the Kambalda area of Western Australia after reaching agreement with View Resources Ltd to earn a 70% interest in View's Carnilya Hill and associated tenements.

Mincor said that it believed the tenements had outstanding exploration potential for Kambaldastyle nickel sulphide ore bodies. The tenements covered by the agreement have produced over 48,000 tonnes of nickel metal to date from 1.4 million tonnes of ore grading 3.4% nickel.

Under the agreement, View will continue its current mining of the remaining defined resource blocks in the Carnilya Hill Mine and at Zones 29 and 29 East. Mincor will pay View \$150,000 on completion of formal documentation, and will commit to expenditures of \$850,000 on exploration within 12 months of the commencement date. Thereafter, Mincor must spend a further \$1.5 million on exploration over a further two years to earn an interest of 70% in the tenements.

"We think these tenements have very high nickel exploration potential," said Mincor's Managing Director, David Moore. "View Resources have clearly done an excellent job of defining and mining the ore in Zone 29 and Zone 29 East, and the remaining ore at Carnilya Hill. However, comparatively little committed exploration and deep drilling has been done in recent times.

"The Carnilya Hill Mine has historically been one of Kambalda's best ore bodies, with the first million tonnes mined at an average grade of 3.8% nickel. It is that pedigree that attracts us, and we are keen to see if we can find another substantial, high-grade orebody on these tenements".

Moore added that any discoveries at Carnilya Hill would perfectly complement the strong production profile from its existing four mines south of Kambalda, with further synergies arising from the fact that the Carnilya Hill tenements are subject to an ore tolling and concentrate purchase agreement with Nickel West, similar to Mincor's current off-take arrangement.

Mincor's agreement with View is subject to finalisation of formal documentation and to any regulatory or other approvals that may be necessary.

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RELEASED BY:

Jan Hope/Nicholas Read Jan Hope & Partners Tel: (+61 8) 9388 1474

ON BEHALF OF:

Mr David Moore, Managing Director Mincor Resources NL Tel: (+61 8) 9321 7125 www.mincor.com.au