EQ RESOURCES LIMITED — Capital/Financing Update 2007

Jun 7, 2007

8.lune 2007

Companies Announcements Office Australian Securities Exchange Limited

ICON RESOURCES COMPLETES OVERSUBSCRIBED PLACEMENT OF SHARES

Share Placement

Icon Resources Ltd (ASX Code: III) is pleased to announce that \$1,350,000 has been raised from the placement of 3,000,000 ordinary shares at a price of 45 cents. The placement, which was oversubscribed, was managed by ABN AMRO Morgans pursuant to section 708 of the Corporations Act 2001. A copy of Appendix 3B as required by ASX Listing Rule 3.10.3 will be submitted at the time of allotment of the shares.

Share Purchase Plan

Icon Resources also announces a Share Purchase Plan (SPP) allowing all eligible Icon shareholders to purchase shares at 45 cents per share, the same price paid by participants in the placement.

This SPP entitles shareholders in Icon, irrespective of the size of their shareholding, to purchase up to \$5,000 worth of ordinary shares in the Company free of brokerage. The offer under this SPP will be for a maximum of \$2,795,000 based on the assumption that all of Icon's 559 eligible shareholders accept the offer for \$5,000.

The right to participate in the offer under this SPP is available exclusively to persons who are registered as holders of fully paid ordinary shares in Icon at 5:00pm on the record date of 8 June 2007 and whose registered address is in Australia, New Zealand and any other jurisdiction in which it is lawful for the Company to offer shares under this SPP.

Use of Funds

The funds raised in the placement and SPP are being used to increase working capital to meet the costs incurred in exploration programmes including mapping, geophysical and geochemical surveys and drilling, negotiation of joint ventures and project development work, including metallurgy on existing and new projects. Icon is currently drilling at its Tara Tin and Grieves Zinc projects.

Proposed Priority Entitlement to KUTh Energy IPO

A number of Icon Directors and senior consultants are closely associated with KUTh Energy Ltd which has permits and applications for enhanced geothermal power production in Tasmania and Queensland.

Icon Resources Ltd ACN 115 009 106

Registered Office: Suite 404, 25 Lime Street, Sydney NSW 2000 PO Box H116, Australia Square, 1215 T: +61 2 9279 1252 F: +61 2 9279 2727

Principal Office: 38 George Street, North Hobart TAS 7000 PO Box 2001, North Hobart, 7002 T: +61 3 6231 3948 F: +61 3 6234 3472

KUTh currently plans to issue a prospectus (which will be lodged with ASIC) and list on the ASX in the September quarter 2007 and intends to offer Icon shareholders priority allocation.

It is proposed that Shareholders holding at least 12,000 Icon shares over the period from 27 June to the Offer Period of KUTh's prospectus (expected to be in August 2007) will be given a priority to at least 12,000 shares in KUTh Energy Ltd and every effort will be made to give each Icon qualifying shareholder the number of shares applied for. Applications for shares will only be accepted where Icon shareholders complete the application form which will form part of the KUTh prospectus.

Timetable for the Share Purchase Plan

The timetable for the Share Purchase Plan is as follows:

Announce Share Purchase Plan	8 June 2007
Record Date to identify eligible shareholders entitled to
participate in the offer under this Share Purchase Plan	8 June 2007
Despatch of Offer to eligible shareholders	13 June 2007
Opening Date	13 June 2007
Closing Date	27 June 2007
Issue and allot shares	3 July 2007
Apply to ASX for quotation of shares	4 July 2007

A full copy of the Terms of the Icon Shareholder Share Purchase Plan is available on request from the Company. If you have any questions on this SPP, please call the Company's office on (02) 9279 1252 during business hours.

Please direct any questions to the undersigned or John Bishop on (03) 6231 3948 or mobile 0418 373 429 or the undersigned on 0418 440 838.

Yours sincerely Icon Resources Ltd

what delite

Andrew White Chairman