IMAGE RESOURCES NL - Regulatory Filings 2006

^d 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

ARM 57 063 977 579

28 THICK CHANNEL INTERSECTIONS AT COOLJARLOO

A further 19 drill holes have intersected substantial heavy mineral intervals ranging from 20m to 67m in thickness, bringing the total number of thick channel intersections to 28. These new intersections continue to confirm the presence of deep thick channels in the eastern part of the Cooliarloo project area and point to another three major channel target zones extending more than 10km, which possibly contain multiple channels, of which 3.5km are to be drilled in early December. The channel targets are defined by some limited historical drilling and significantly, by distinctive ground magnetic signatures. The thick intersections from the current programme include:

Hole 907		66m @ 2.1% HM from 14m
	908	67m @ 2.1% HM from 14m
	927	54m @ 1.7% HM from 14m
	929	30m @ 2.1% HM from 18m including 16m @ 2.9% HM from 18m
	930	28m @ 2.5% HM from 38m
	931	67m @ 1.9% HM from 14m including 26m @ 2.2% HM from 16m
	914	67m @ 1.6% HM from 14m including 20m @ 2.1% HM from 16m
	915	67m @ 2.1% HM from 14m including 22m @ 3.0% HM from 54m
	916	54m @ 1.4% HM from 16m
	709	46m @ 2.8% HM from 12m
	755	45m @ 1.5% HM from 36m
	748	67m @ 1.5% HM from 14m including 15m @ 2.3% HM from 14m
	747	66m @ 1.4% HM from 14m including 20m @ 1.8% HM from 60m
	932	27m @ 1.2% HM from 56m
	788	48m @ 1.7% HM from 30m
	799	14m @ 5.3% HM from 2m including 4m @ 13.0% HM from 2m

Approximately 70% of the samples from the recent drilling programme have been received and at least four main channels (termed A, B, C and D) have been intersected together with three subsidiary channels (A1, B1 and B2). Drilling to date has been confined to pastoral land with access approvals within exploration licence E70/2636 (refer to the attached map and drill sections). The adjacent exploration licence E70/2898, which covers vacant crown land, has now been granted and will allow Image to drill test the three high priority channel target zones referred to above.

ASX Release 30 November 2006 ASX code: IMA

One of the channel target zones is interpreted to be the extension of channels A, B and C in the southeast part of the tenement where these channels appear to merge, Historical drilling has confirmed at least four channels in this part of the tenement. including the merged A. B and C channels, with a best intersection of 30m @ 6.6% HM from 39m on the eastern margin. The ground magnetics in the southeast part of the joint venture area confirm channels A, B and C as merging into two broad features about 350m and 250m in width respectively and with an average ground magnetic amplitude approximately 1.5 times the amplitude of the channels drilled to the north, indicating a potential for higher average grades.

Two other large channel target zones which have been defined by limited historical drilling and by ground magnetics are 2.3km long and 0.6km wide and 2km long and 0.5km wide respectively with strong average amplitudes of 1.5 times the amplitude of the channels drilled to the north. These channels have superimposed shallow, higher amplitude strand-like magnetic targets, which will also be tested. The combination of both of these mineralisation styles make these channels very attractive drilling targets.

To facilitate deeper drilling below 80m a larger aircore rig will be used to determine the thickness of the channels which in some cases remain open at depth. Surprisingly, 15 holes from the current drilling programme have ended in deep, thick mineralisation which is believed to be significantly thicker than the deposits being dredged at the nearby world-class Cooljarioo Mine some 3km south of the southern end of the tenement. The Cooljarloo Mine is a major dredging operation with an average grade of approximately 2.3% HM which is similar to the grades being encountered in the Cooliarloo channels.

Further releases are being prepared for the western and central parts of the Cooliarloo project summarising other new strands and channel targets which are to be investigated by an accelerated drilling programme with two rigs in early January.

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 empl 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.

Hole No	Collar Coordinates		From	To	Interval	HM Grade
	E	N	m	m	m	℅
709	340260	6620620	12 ₂	58	46	2.8
725	341354	6619426	20	32	12	3.6
746	340865	6620100	14	20	6	4.1
747	340830	6620100	14	80	66	1.4
		including	60	80	20	1.8
748	340800	6620100	14	81	67	1.5
		including	14	29	15	2.3
755	340760	6620500	36	81	45	1.5
788	338745	6620800	30	78	48	1.7
799	338595	6619400	$\overline{2}$	16	14	5.3
		including	$\overline{2}$	6	4	13.0
801	338545	6619400	$\overline{8}$	16	8	3.3
907	340470	6620745	14	80	66	2.1
908	340510	6620750	14	81	67	2.1
914	340580	6620660	14	81	67	1.6
		including	16	36	20	1.6
915	340620	6620645	14	81	67	2.1
		including	54	76	22	3.0
916	340660	6620640	16	70	54	1.4
927	340412	6620821	14	68	54	1.7
929	340398	6620784	18	48	30	2.1
		including	18	34	16	2.9
930	340379	6620710	38	66	28	2.5
931	340360	6620675	14	81	67	1.9
		including	16	42	26	2.2
932	340910	6619825	56	83	27	1.2