IODM LIMITED — Capital/Financing Update 2007

Oct 9, 2007

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ASX Release

• 10 October 2007

ASX Code: PDM

Frogmore: Drill assays up to 6% Cu over 1.5 metres

FROGMORE COPPER NSW, EL 6590

• Assays have been received from the second and third diamond drill holes at the Company’s 100% owned Frogmore project, central NSW. Both holes intersected strong copper sulphide mineralisation over several metres in what appear to be two separate mineralised structures. These are the previously mined “Pride of Frogmore” and the newly discovered “Western” lodes. FDD003 also intersected zinc mineralisation in what may be a third structure to the east of the Pride of Frogmore (“Corcoran”). The best intercepts in each structure are shown in the table below:

Lode	Drill hole	Interval	Cu grade	Zn grade	Depth from
“Pride of Frogmore” “Western” “Corcoran”	FDD002 FDD003 including FDD001 including FDD001 including FDD002 FDD003 FDD001 FDD003	1.5 metres 15.8 metres 6.5 metres 8.7 metres 1.0 metre 14.8 metres 0.8 metres 1 metre 1.5 metres 3.3 metres 3.3metres	6.0% 0.68% 1.1% 1.92% 4.8% 2.0% 8.3% 2.4% 2.2% 2.14% 0.52%	- - - - - - - - - - 2.9%	315.8 metres 203.0 metres 209.1 metres 250.6 metres 256.0 metres 275.1 metres 287.6 metres 178.35 metres 165.4 metres 157.4 metres 293.1 metres

* Intersections marked in italics were reported on 12 September 2007

• Copper mineralisation in the Frogmore district occurs as chalcopyrite in veins and breccias with iron sulphides. Host rocks are strongly sheared chlorite-sericite altered Silurian volcanic rocks. We believe the style of mineralisation could be similar to some of the copper occurrences in the Cobar belt , in particular the CSA mine. The CSA mine has steeply-plunging multiple lodes which generally increase in grade with depth, a feature we observe so far at Frogmore.

• Pride of Frogmore was mined to about 35 metres depth during the late 1800s (see long section - Figure 1). The “Frogmore” lode (see map – Figure 2) has not yet been drilled by Paradigm, but was the main past producer mined to a depth of 50-100 metres.

• A previous drill intersection on the “Frogmore” lode of 3 metres grading 2.5% Cu from 60 metres requires follow up (see map – Figure 2). Our current interpretation has the Pride of Frogmore and the Frogmore lodes dipping steeply toward each other and converging to the north. There is the possibility that the Pride of Frogmore and Frogmore lodes may join up at depth.

• Two reverse circulation holes (FRC13 and FRC14) were recently drilled to the east of the Frogmore lode to investigate a lead/zinc geochemical soil anomaly. Visual examination of the cuttings indicate that FRC13 encountered a zone of sulphide zinc mineralisation with minor copper and lead suggesting that a fifth lode (provisionally named the “Zinc Lode”) could be present (see Figure 2). Assays for these intersections are awaited.

• Upcoming exploration: the Company is commissioning a geophysical crew to undertake a helicopter - borne electromagnetic (EM) survey over 9 sq km to identify massive sulphide bodies at Frogmore later this calendar year. Prior to this a limited RC and diamond drill programme is being considered – the company will advise the market as to the timing of this work.

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WHITE ROCK TUNGSTEN PROJECT NSW, EL 6274

• RC percussion drilling has now commenced at the Company’s wholly owned White Rock tungsten project. The aim of the drill programme is to update and improve the quality of the current Mineral Resource (150,000 tonnes grading 0.9% WO3). Approximately 650 metres of drilling in 18 holes are currently planned. This work will be completed by mid October, with assays expected by early-mid November.

Figure 1 – Long section of “Pride of Frogmore” lode at Frogmore NSW. Marked values are % Cu

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Figure 2. Drill map at Frogmore with copper intersections as % Cu projected to the horizontal

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Please direct enquiries to:

Graham Carman Ph: (02) 9955-7130 Managing Director PhD, MAUSIMM

About Paradigm:

Paradigm Metals Ltd is a tungsten -base metals - uranium explorer and developer with projects in the Lachlan Fold Belt of NSW and the Mt Isa region of Queensland. The Company is looking to divest its existing gold assets in eastern Australia. More information is available at: www.paradigmmetals.com.au

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Dr Graham Carman who is a Member of the Australasian Institute of Mining and Metallurgy. Dr Carman is a full-time employee of the Company, and 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 for Reporting of Exploration Results, Mineral Resources and Ore Reserves”. Dr Carman consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

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