EMPIRE RESOURCES LIMITED — Capital/Financing Update 2007

Jun 4, 2007

ACN 092 471 513

$5^{th}$ June 2007

ASX Release

EMPIRE ACOUIRES 100% INTEREST IN THE YARLARWEELOR URANIUM PROSPECT

The Directors of Empire Resources Ltd (ASX: ERL) are pleased to announce that the Company has finalised an agreement with Zetek Resources Pty Ltd ("Zetek") to obtain a 100% interest in the Yarlarweelor uranium prospect. This prospect is situated in the Wilthorpe area approximately 125 km north of Meekatharra in Western Australia. Empire Resources Pty Ltd is now the sole applicant for an exploration licence covering an area of approximately 575 sq km over the Yarlarweelor uranium prospect.

Pursuant to the agreement which was initially announced to the ASX on the $7^th$ March 2007, Empire has issued 5 million shares to Zetek and paid Zetek a total of \$70,333. A further issue of 2.5 million shares is required to be made upon commencement of a bankable feasibility study.

Within the project area, past exploration undertaken between 1978 and 1982 identified both primary and secondary uranium mineralization at a number of locations. This work was undertaken by Agip Australia Pty Ltd and Uranex Pty Ltd. Exploration included geological mapping, aerial radioactivity and magnetic surveys, ground radioactivity and magnetic surveys, ground water sampling, rock chip sampling, percussion drilling, radioactivity logging, petrology and X-ray diffraction analysis.

Uranium mineralization occurs in Lower Proterozoic quartz-biotite schist units that are folded and faulted into the Archaean Despair Granite. Elsewhere within the project area, anomalous radioactivity is associated with older Archaean leucocratic granitic gneisses.

Primary uranium mineralization, consisting of uraninite (an oxide of uranium) was intersected by Agip Australia Pty Ltd, by percussion drilling. This mineralization is associated with potassic alteration.

Exploration reports held by the Department of Industry and Resources record many intersections of anomalous radioactivity. These include intercepts of 2 metres assaying 630ppm uranium in drill hole number KVP2 and 24 metres assaying 310ppm including 9 metres assaying 570ppm in drill hole number KRP13. The true widths of these intersections are not known.

The directors are encouraged by the widespread anomalous radioactivity, potentially economic intersections in previous drilling of what the directors consider to be a very prospective geological setting. A major exploration program is planned to test this prospect. This will initially involve ground radiometric surveys and drilling to confirm previously identified occurrences of primary uranium mineralization.

For further details, please contact:

David Sargeant – Managing Director	08-6250-9415
Adrian Jessup – Executive Director	08-6250-9414