IMAGE RESOURCES NL — Regulatory Filings 2008

Oct 29, 2008

ASX Release 30 October 2008

ASX code: IMA

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2nd 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 ABN 57 063 977 579

EUCLA DRILLING CONFIRMS CYCLONE STRIKE EXTENSION AND DISCOVERS NEW MINERALISATION

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The first phase of aircore drilling at Image Resources’ 100%-owned Serpentine Lakes tenements in the Eucla Basin in Western Australia has been completed (210 holes totalling 8,497m). The tenements are situated along strike from the zircon-rich Cyclone prospect discovered by Diatreme Resources (DRX ASX release 15 February 2008; Inferred Resource of 60Mt at 3.1%HM containing 1.8Mt HM). The drilling was aimed at determining the local stratigraphy of the Barton shoreline, testing for strike extensions of the Cyclone mineralisation into the Image tenements and identifying targets for further drilling. All of these objectives have been achieved. The Barton shoreline is a paleo-shoreline of Eocene age and known to host significant heavy mineral deposits (Cyclone, Notrab) in the Eucla Basin.

Laboratory results greater than 1.5%HM from the first batch of drill samples are summarised in the following table and shown in the attached map. Many of these drill results remain open above and below the reported intersections. The results received to date represent about 20% of the samples selected for laboratory processing and Image anticipates the release of further encouraging results in the next few weeks.

The drilling intersected mineralisation up to 2.5km along strike from Cyclone indicating potential for a continuation of this resource into Image’s tenements, with best intercepts of 24m @ 3.0% HM from 4m and 16m @ 2.7% HM from 8m. The width of the mineralisation is up to 600 m.

Significantly, mineralisation has been intersected a further 6km and 22km east of the Cyclone extension, suggesting potential for widespread heavy mineral concentrations within the tenements. The most easterly mineralisation occurs on an interpreted “J” shaped paleo-shoreline with heavy minerals intersected on three drill lines over a strike length of 1.1km. The mineralised zone is up to 500m wide. The heavy mineral concentrations are considered to have formed contemporaneously with the Cyclone mineralisation. Visual examination of the drill samples indicates a high proportion of contained zircon, however this is currently being checked in the laboratory with results expected soon.

Image’s tenement holding in the Eucla Basin now totals 2,580sq km. The company is most encouraged by these early drill results and is looking to make the Eucla Basin a second front in its quest to build a world-class heavy mineral resource base.

Preliminary Serpentine Lakes Drill Intersections

Hole Number	MGA East	MGA North	From m	To m	Interval m	HM %
SL002	474310	6810153	4	28	24	3.0
SL082	475629	6810419	20	30	10	5.0
SL014	474771	6808770	8	24	16	2.7
SL094	474729	6808753	10	22	12	3.2
SL015	474845	6808790	10	22	12	2.7
SL087	474427	6810216	17	22	5	5.4
SL001	474001	6810048	10	20	10	2.6
SL017	476437	6809056	18	26	8	2.3
SL095	474692	6808746	17	24	7	2.2
SL089	474890	6808797	18	23	5	2.9
SL088	474126	6810104	18	21	3	3.4
SL056	497548	6804549	16	20	4	3.1
SL043	481031	6805736	16	20	4	3.0
SL048	485973	6805909	22	24	2	5.5
SL076	477317	6810573	10	16	6	1.5
SL044	481903	6805695	22	26	4	2.3
SL086	474592	6810358	19	22	3	2.8
SL090	474934	6808799	18	21	3	2.5
SL091	474971	6808796	19	22	3	2.3
SL092	475008	6808796	18	21	3	2.1

1m or 2m samples, HM grades determined by TBE heavy liquid separation

Eucla Basin Serpentine Lakes Drilling

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

Please direct enquiries to: George Sakalidis Roger Thomson Managing Director Executive Director Phone (08) 9485 2410 Phone (08) 9485 2410 Mob 0411 640 337 Mob 0419 969 183

The information in this report that relates to exploration results is based on information compiled by Scott Carruthers BSc, MSc, MAusIMM. Scott Carruthers is a full time employee of Image Resources NL. Scott Carruthers has sufficient experience which 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 of Reporting of Exploration Results, Mineral Resources and Ore Reserves’. Scott Carruthers consents to the inclusion of this information in the form and context in which it appears in this report.