IMAGE RESOURCES NL — Regulatory Filings 2005

Sep 5, 2005

IMAGE RESOURCES NL

ASX Release 6 September 2005 ASX code: IMA

^id Floor, 35 Outram St West Perth WA 6005 PO Box 644 West Perth WA 6872 Telephone 08 9485 2410 Facsimile 08 9485 2840 info@imageres.com.au www.imageres.com.au

EMU LAKE DRILLING STARTS AND ABN 57 063 977 579

EARLY ENCOURAGEMENT FROM NEPEAN EAST

EXPLORATION UPDATE -

Emu Lake

Jubilee Mines is to commence a 4-hole, 2,000m diamond drilling programme at the Gossan Zone within the next week. The drilling will target the depth and strike extensions to high-grade nickel sulphides intersected by previous drilling. The high-grade intercepts include 2m at 6.20% Ni, 1.78% Cu, 2.17g/t Pt+Pd from 338m and 2m at 2.63% Ni, 1.05% Cu, 4.19g/t Pt+Pd from 345.5m in drill hole ELD15 and 0.28m at 6.66% Ni, 0.65g/t Pt+Pd from 337m in drill hole ELD16. The south-plunging trend hosting this mineralised ultramafic contact remains open at depth.

Nepean East

Reconnaissance soil sampling has identified anomalous nickel and copper values associated with an interpreted ultramafic unit about 10km ESE of the Nepean nickel mine (approximately 42,000t of contained nickel) west of Coolgardie in WA. The target areas were selected following the release of more detailed aeromagnetic data by the WA government and are interpreted to be extensions of the prospective Nepean ultramafic unit around a domal structure some 10km in length to the east and south east of the Nepean mine.

The wide-spaced soil sampling (1,000m x 100m centres) was limited to parts of the northern and western limbs of the domal structure to determine if soil sampling was likely to be effective in this area. Two areas of coincident anomalous Ni and Cu values were identified on the northern limb (with Ni values up to 10x background and Cu values up to 5x background) over a cumulative strike length of 3.5km as shown in the attached map. Coincident elevated Au values up to 6x background also occurred in one of the anomalous Ni-Cu areas.

These anomalous results identified in the first stage of the programme are considered to be most encouraging and further sampling of subtle aeromagnetic features, interpreted to represent ultramafic rocks around the margins of a domal structure is scheduled for September-October. It is noted that both the Nepean and Silver Swan nickel mines are not associated with the most strongly magnetic parts of the host ultramatic units and as such Image considers it important to prospect some of the more subtle aeromagnetic targets, particularly in the vicinity of the Nepean mine.

Forrestania

A single 120m RC drill hole has been completed at Forrestania to test the shallower (IR2) of the two strong EM conductors identified along the interpreted extensions of the Flying Fox ultramafic sequence within Image's tenements (see attached map). The drill hole intersected a sequence of banded iron formation (BIF) and quartz amphibolites within granitic rocks. Semi-massive pyrite and pyrrhotite within BIF was intersected in the downhole interval from 70-74m, close to the interpreted target zone. No significant Ni or Cu values were encountered.

Drilling to test the deeper target (IR4) about 500m to the east of IR2 is expected to commence in mid September. This strong conductor (7,000-10,000 siemens/m) has been well defined using specialised "B-field SQUID" instrumentation and is estimated to occur 300m below surface, as shown in the attached schematic section. In contrast to conductor IR2, the IR4 conductor is interpreted to be in close proximity to a large ultramafic body. Ultramafic rocks are the primary host for the nickel sulphide at Flying Fox and Forrestania. Barren sulphides are known in the Forrestania region and can occur near nickel deposits. The Beautiful Sunday Nickel deposit also has an adjacent barren conductive sulphide called Ironcap which are on the ultramafic extensions north of the Flying Fox deposit.

For more information on the company visit www.imageres.com.au

Please direct enquiries to: Roger Thomson Managing Director Phone (08) 9485 2410 Mob 0419 969 183

George Sakalidis Executive Director - Exploration Phone (08) 9485 2410 Mob 0411 640 337

The information in this report that relates to geophysics is based on information compiled by Roger Thomson BSc, ARSM and George Sakalidis BSc (Hons), who are members of the Australasian Institute of Mining and Metallurgy. Roger Thomson and George Sakalidis are employees of Image Resources NL. Roger Thomson and George Sakalidis have sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which they are undertaking to qualify as Competent Persons as defined in the 2004 edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Roger Thomson and George Sakalidis consent to the inclusion of this information in the form and context in which it appears in this report.

Nepean East - Magnetics and Geochem

Forrestania, IR4 EM Conductor Model