ESTRELLA RESOURCES LIMITED — Capital/Financing Update 2012

May 28, 2012

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ASX ANNOUNCEMENT

Chile’s star in copper-gold

ESTRELLA RESOURCES LIMITED ACN 151 155 207

AUSTRALIAN REGISTERED OFFICE: Level 17, 15 Castlereagh Street Sydney NSW 2000 Australia

POSTAL ADDRESS: PO Box R514 Royal Exchange NSW 1225 Australia

CONTACT DETAILS: Telephone: +61 2 9993 4475 Facsimile: +61 2 9993 4433 Email: admin@estrellaresources.com.au

CHILE OFFICE:

Av. Vitacura 5250, Oficina 802, Vitacura Santiago, Chile

29 May 2012

Agustina Tenure Increase and Grab Sample Results

HIGHLIGHTS

• Estrella increases tenure at the Agustina Project;

• High grade copper and gold assay results from grab samples taken from the new Agustina tenure;

• Maiden 2,000m drill program has commenced at the Agustina Project’s Orion Prospect; and

• High grade copper, silver and gold assay results from a grab sample program at Luna and Inca.

ASX CODE: ESR

1. Estrella Resources

Estrella has four projects (Agustina, Venus, Inca and Luna) situated in Region IV in central northern Chile (Figure 1)

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Figure 1: Locality map of Estrella’s projects; Agustina, Venus, Inca and Luna.

AUSTRALIA | CHILE

www.estrellaresources.com.au

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ASX ANNOUNCEMENT

Chile’s star in copper-gold

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2. Agustina Project

Additional Project Tenure:

Estrella is pleased to announce that the Company has extended its exploration tenure at its flagship Project Agustina. The additional tenure is located to the north and south of the existing Agustina concessions and can be seen in pink in figure 2 below. The size of the Agustina Project has now increased from 18.5km² to 21.0 km².

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Original Agustina Project
Additional New Tenements
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Figure 2: Map showing tenure acquired at Agustina, in pink with grab sample locations overlaid.

Estrella is pleased to announce significant high grade copper, gold and iron assay results from a reconnaissance grab sample program taken from the new tenure at the Agustina Project. Significant sample results can be found highlighted in table 1 below:

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ASX ANNOUNCEMENT

Chile’s star in copper-gold

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Table 1: Grab sample results in new tenement addition and adjacent region.

Locality	Cu%	Fe%	**Aug/t **
1	2.07	7.03	0.12
2	0.96	28.09	0.14
3	1.29	6.85	0.01
3	0.63	19.97	0.16
4	1.16	3.64	0.15
5	1.15	17.34	0.27
5	1.08	8.02	0.18
6	0.26	27.86	0.09
7	0.55	28.56	0.02
7	0.40	20.45	0.03
8	0.87	20.36	0.04
8	4.50	8.39	0.42
9	0.03	9.09	1.11

Figure 3 below shows the tenure of the Agustina and Venus Projects and demonstrates the location of the additional tenure in relation to the two Projects:

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Original Agustina Boundary
Agustina Tenement Additions
Estrella’s Venus Tenements
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Figure 3: Map showing Agustina and Venus concessions including new tenure.

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ASX ANNOUNCEMENT

Chile’s star in copper-gold

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3. Exploration Update

3.1 Agustina

Estrella is pleased to report that its maiden 2,000m drill program at Agustina’s Orion Prospect is progressing well. Drill pads preparation is near completion. Once these works have been finished, earth works equipment will be moved to Centauri. This equipment will be used to prepare for the proposed trenching and drilling activities at the Prospect. Trench sampling is expected to commence in mid June 2012. These works are designed to test the high grade gold results from a grab sampling program that was completed in December 2011.

3.2 Luna and Inca

Estrella is pleased to announce significant high grade copper, silver and gold assay results from a reconnaissance grab sample program that targeted old artisanal workings situated within the prospective structural corridor at Luna and Inca. Significant sample results can be found highlighted in table 2 below:

Table 2: Significant grab sample results from Luna & Inca.

Locality	Cu%	**Ag g/t **	**Aug/t **
8	2.86	60.1	0.36
11	3.88	106.9	12.8
12	3.63	112.9	0.03
13	1.09	95.0	0.71

The grab sample results shown in Figure 4 (see page 5) demonstrate that the prospectivity of the mineralisation at the Alto del Valle mine (not owned by Estrella) continues into Estrella’s Inca and Luna Projects. Additionally, these results confirm that the target area within Inca and Luna is prospective for high grade gold. Estrella plans to target this zone of the structural corridor with additional mapping and geophysical exploration activities in 2H 2012.

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ASX ANNOUNCEMENT

Chile’s star in copper-gold

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Luna (Part Only)

Figure 4: High grade grab sample results within the structural corridor at Inca and part of the Luna Project.

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ASX ANNOUNCEMENT[6]

Chile’s star in copper-gold

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Figure 5: Pictures showing the maiden drill program at the Agustina Project’s Orion Prospect, May 2012.

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Competent Person’s Statement

Exploration information in this announcement is based upon work undertaken by Dr. Jason Berton, the Managing Director of Estrella Resources Limited whom is a Member of the Australasian Institute of Metallurgy and Mining (AusIMM). Dr Berton has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking 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 (JORC Code). Dr Berton consents to the inclusion in this presentation of the statements based on his information and context in which they appear .

About Estrella Resources

Estrella Resources Limited is an ASX listed, Chilean focused copper-gold exploration Company. Estrella has four brownfields exploration projects in Chile: Agustina, Venus, Luna and Inca. With a highly experienced board, a strong operational and management team and a sole focus on Chilean copper and gold projects, the Company is well positioned to develop its Projects and add value for shareholders. The Company has identified a number of exploration targets. The Company has commenced an aggressive exploration program at Agustina where it is undertaking its maiden drill program.

Directors and Management

Dr. Jason Berton Managing Director Gavin Solomon Non-Executive Chairman Julian Bavin Non-Executive Director Simon Kidston Non-Executive Director

Juan Pablo Vargas de la Vega General Manager - Chile Justin Clyne Company Secretary

ESTRELLA RESOURCES LIMITED ACN 151 155 207

ASX CODE: ESR

ORDINARY FULLY PAID SHARES: 87,101,000

UNLISTED OPTIONS: 7,205,000

AUSTRALIA | CHILE

www.estrellaresources.com.au