IRON BEAR RESOURCES LTD — Capital/Financing Update 2003

Oct 2, 2003

INTERNATIONAL GOLDFIELDS LIMITED

International Coldéekis Limited A8N 71 095 047 920 Ground Ploor 18 Oxford Close Leederville Persh Western Australia 6007 Telephone +618 9388 0744 Facsimile +618 9382 141 PO Box 144 West Perth Western Australia 6872 www.internationalgoidfields.com

3 October 2003

PRIVATE PLACEMENT TO EUROPEAN INSTITUTIONAL INVESTORS

The Directors of International Goldfields Limited are pleased to announce that the Company has agreed to a private share placement of 9,459,460 new ordinary fully paid shares at 37 cents per share to selected European institutional investors.

The placement will raise the company AUD\$3,500,000. Following the placement the Company will apply to ASX for quotation of the new shares.

The placement was again done at a premium to the market, which reaffirms the Boards commitment to existing shareholders. Every capital raising undertaken by the Company has been at a premium to market and is testament to the intrinsic value of the assets of the Company.

The funds raised through the placement will be utilised for the continued exploration and development of the Company's Mt Ida Project as well as increased exploration on the Evanston project where a Reverse Circulation drilling programme is currently being conducted to follow up on recent excellent results.

The feasibility study into the development of the Baldock resource is progressing well and will be completed within 2 weeks.

Yours faithfully

AWP (Tony) Sage FCA FCPA Executive Chairman