IMAGE RESOURCES NL - Regulatory Filings 2005

IMAGE RESOURCES NL

ASX Release 21 July 2005

ASX code: IMA

Floor, 35 Outram St West Perth WA 6005 PO Box 644 West Perth WA 6872 Telephone 08 9485 2410 Facsimile 08 9485 2840 [email protected] www.imageres.com.au

ACQUIRED FOLLOWING RELEASE OF NEW AIRBORNE DATA

FIVE URANIUM-PROSPECTIVE AREAS

ABN 57 063 977 579

Image Resources is pleased to announce the acquisition of 14 new tenements totalling 1045 sq km in the southern Yilgarn, centred on the Ravensthorpe belt of WA following the release of new government aeromagnetic and radiometric data. These applications now increase Image's landholding in the region to 6550 sq km.

The new government surveys revealed a number of possible ultramafic trends surrounding granite domes and a number of isolated anomalies prospective for nickel and gold. Nine tenement applications were made to cover these features.

Five of the tenement applications were made over strong radiometric anomalies (5 to 10 x background). These uranium responses are evident in the new airborne data and were selected as being the best anomalies in the 85,000 sq km surveyed. Image once again applied for this ground prior to other exploration companies and two of the uranium tenements were overpegged a day after the Image applications (see attached maps).

The setting of the uranium anomalies acquired by Image appear to be similar to those of the calcrete uranium deposits at Yeelirrie (reported 52,000 t of $U_3O_8$ ) and Lake Way-Centipede (reported approximate 8,200 t of $U_3O_8$ ) near Wiluna. These calcrete uranium deposits are near-surface uranium concentrations (usually as the mineral carnotite) in calcrete, silts and clays in valley-fill sediments within Tertiary drainage channels and in salt lake sediments. The uranium anomalies acquired by Image range from 11 ppm to 41 ppm Uranium Equivalent (UEq) compared to backgrounds of 1-5 ppm UEq responses. These responses compare favourably with the uranium response of 30–70 ppm UEq over the partly excavated Yeelirrie deposit.

Calcrete uranium deposits commonly form at shallow depths of less than 10m and can be relatively simple to evaluate and low cost to mine and as such they form attractive exploration targets. In mid 2002, the WA state government announced that mining of uranium on mining leases granted after that time would be prohibited, however uranium is now beginning to be recognised as an alternative clean and economic energy source. It is Image's belief that given the growing community concern about global warming, improvements in the management of nuclear fuels and by-products and the realisation of the economic benefits, this policy may be reconsidered.

Initial follow-up of the uranium anomalies will comprise ground radiometric surveys to define the uranium targets in more detail prior to any follow up sampling.

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 George Sakalidis BSc (Hons), who is a member of the Australasian Institute of Mining and Metallurgy. George Sakalidis is an employee of Image Resources NL. George Sakalidis has sufficient experience which is relevant to the style of mineralization 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'. George Sakalidis consents to the inclusion of this information in the form and context in which it appears in this report.