IRON BEAR RESOURCES LTD — Capital/Financing Update 2004

Aug 29, 2004

INTERNATIONAL GOLDFIELDS LIMITED

International Goldfields Limited ABN 71 095 047 920 Ground Floor 18 Oxford Close Leederville Penth Western Australia 6007 Telephone +618 9388 0744 Pacsimile +618 9382 1411 PO Box 144 West Penth Western Australia 6872 www.internationalgoldfields.com

August 30, 2004 Company Announcements Office Australian Stock Exchange Limited Via: E Lodgement

NEW MINERAL RESOURCE ESTIMATE - METEOR, WHINNEN & BALDOCK LODES

Total Gold Resources rise to 100,000 ounces

International Goldfields Ltd (ASX:IGL) is pleased to announce an upgraded Mineral Resource estimate for its 100% owned Mt Ida Gold project, located 100km west of Leonora in the northern Goldfields region of Western Australian. The JORC compliant estimate of 100,000 oz of gold is contained within the Meteor, Whinnen and Baldock lodes.

The lodes lie in close proximity to each other and extend between 100m and 300m beneath surface, and over a strike length of 600m. The Meteor and Baldock lodes remain open at depth, and the extensive 'regional' shear zone which hosts the gold mineralisation remains open to the north and south.

The upgraded Mineral Resource estimate for the lodes is summarised in Table 1 and broken down into the constituent lodes in Table 2.

Category	Tonnes	Grade (g/t)	Ounces
Measured	54,500	32.8	57,500
Indicated	5,800	33.8	6,300
Inferred	68,300	16.5	36,200
Total	128,600	24.2	100,000

Table 1. Global Mineral Resource at 6.00g/t Au Cut-Off:

Lode	Category	Tonnes	Grade $(g/t)$	Ounces
Baldock*	Measured Indicated	54,500 5,800	32.80 33.84	57,500 6,300
Meteor	Inferred	60,100	16.5	31,900
Whinnen	Inferred	8,200	16.6	4,350

Table 2. Mineral Resource Estimates by Lode at 6.00q/t Au Cut-Off:

$\star$ These resources relate to the Baldock Lode which were estimated by Golder Associates and reported to the ASX on 22nd May 2003.

Resource modelling and estimates undertaken on the Meteor and Whinnen lodes were prepared by the Company's geologists in accordance with the Australasian Code for Reporting of Identified Mineral Resources and Ore Reserves (JORC 1999). The relevant parameters used in the Mineral Resource estimate are listed in Appendix 1.

The Mineral Resources for the Meteor and Whinnen lodes are classed under the JORC Code (1999) as Inferred based on drill sample spacing, geological continuity and confidence of the interpretations.

Further drilling, including in-fill and step-out drilling, is planned to commence in the next two weeks. In-fill drilling at the Meteor lode is intended to provide additional geological information and greater confidence in the Mineral Resource estimate. While step-out drilling of the down dip/plunge extensions of the Meteor and Baldock lodes (Figure 1) has the potential to upgrade the current Mineral Resource estimate.

A mining feasibility study to include the Meteor and Whinnen resources into the current Baldock mining plan has commenced. These resources lie less than 140m from planned mine development, which with minor revisions will provide a means of rapid access. The study will be audited by an independent geological consulting firm and managed by the Company's mining engineer and Resident Mine Manager.

Shaft refurbishment and mine dewatering is some 30m above the 6 level (200m beneath ground surface) where the development cross cut will be driven towards the Baldock lode. It is planned to commence a bulk sample of the lode in December of this year with full scale mine production expected to commence in the first quarter of 2005.

The ore reserve estimate for the Baldock lode, estimated by Golder Associates, and previously reported to the ASX in the Company's Quarterly Report for the Period Ending 31 March 2004, is detailed in Table 3.

Table 3. Baldock Lode Ore Reserve 6.00g/t Au Cut-Off:

Category	Tonnes	Grade $(g/t)$	Ounces
Proved	63,800	21.1	43,300
Probable	3,800	22.3	2,700
Total	67,600	21.2	46,000

Golder Associates believes that there is some significant potential upside to the mining operation of the Baldock lode. They note, inter alia, that the mine design is considered conservative and the gold recoveries of 85% used in the financial modelling are only a conservative estimate. Subsequent recoveries from mining the Whinnen lode have returned gold recoveries of better than 90%

Yours faithfully

Tony Sage Executive Chairman

The information in this report that relates to the Meteor and Whinnen Mineral Resources is based on information compiled by Robert Annett, who is a Member of The Australasian Institute of Mining and Metallurgy and the Australian Institute of Geoscientists. Robert Annett is a full time employee of International Goldfields Ltd, and has sufficient experience which is relevent 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 1999 Edition of the "Australasian Code for Reporting of Mineral Resources and Ore Reserves". Robert Annett consents to the inclusion in the report of the matters based on their information in the form and context in which it appears.

Appendix 1

Category	Tonnes	Grade (g/t)	Ounces
Measured	54,500	32.8	57,500
Indicated	5,800	33.8	6,300
Inferred	68,300	16.5	36,200
Total	128,600	24.2	100,000

Resource Summary

The resource estimate was completed using the following parameters:

• The Mineral Resource estimate extends over a strike length of 600m (from 109880mN to 110500mN) and between 1400mRL and 1160mRL.

• Drill holes used in the resource estimate include 10 diamond holes and 46 RC holes. Holes were drilled at a 20mx20m, or better, spacing at the Baldock lode, 50mx25m spacing at the Meteor Lode and 15mx15m spacing at the Whinnen lode.

• $\triangleright$ Core was NQ size. The core was sampled by cutting half core to geological and mineralisation boundaries. RC holes were sampled using a Davis riffle splitter at 1m intervals and on occasion at the Baldock and Whinnen lodes at 0.5m intervals.

• All samples were fire assayed at Leonora Laverton Assay Laboratories and all mineralised intervals were reassayed 'umpire sampled' at Genalysis Laboratories. The Genalysis assay result was used in the estimating process.

• $\triangleright$ Quality control undertaken at the Baldock lodw was reviewed by Golder Associates and considered adequate. The same methodology was adopted for the Meteor lode.
• Drill hole collars have been accurately surveyed by contract surveyors or by Differential GPS. Down hole $\geq$ surveys were undertaken on all holes.
• $\triangleright$ Wireframes were constructed using cross sectional interpretation based on geological, alteration and mineralisation boundaries or a nominal 6q/t cut off grade. A minimum down hole interval of 2m was used to construct the Meteor and Whinnen wireframes.
• $\geq$ Samples witin the wireframes were composited to 1m intervals. A high grade cut of 150g/t, 43g/t and 67g/t was then applied to the composited interval for the Baldock. Meteor and Whinnen lodes respectively.
• For the Baldock lode a block model using Vulcan software was orientated along the mine grid with a block cell $\sum$ size of 5mx5mx5m subblocked to 0.1 in the easting, 5m in the northing and 2.5m in RL.
• $\mathbf{z}$ For the Meteor lode a block model using Micromine software was orientated along the mine grid with a block cell size of 1mEx25mNx5mRL and subblocked to 0.25 in the easting, 6.25m in the northing and 1.25m in RL.
• $\triangleright$ For the Whinnen lode a block model using Micromine software was orientated along the mine grid with a block cell size of 1mx7.5mx5m subblocked to 0.25 in the easting, 1.9m in the northing and 1.25m in RL.
• $\triangleright$ IDW2 grade interpolation used an orientated search ellipse with a first pass radius of:
• 25m then 50m then 100m to fill the Baldock wireframe; $\blacktriangleright$
• 60m then 120m to fill the Meteor wireframe: and $\ddot{\phantom{1}}$
• 30m to fill the Whinnen wireframe. ৯
• The ellipse was orientated to match the overall dip, strike and plunge of the mineralised lodes. $\geq$
• Ordinary Kriging grade interpolation was used as a check method for the Meteor lode and used the same $\sum$ search parameters as that adopted by Golder Associates for their preliminary Baldock estimate.
• A bulk density value of 3.06t/m³ was used for all lodes. This was derived from a number of measurements taken on Baldock core and RC drill cutting material.
• $\sum_{i=1}^{n}$ Resource classification was carried out on the basis of continuity of mineralisation and drill hole spacing.

INTERNATIONAL GOLDFIELDS LIMITED

International Goldfields Limited: ABN 71-095-047-920. Ground Ploor 18 Oxford Close Leederville Peirth Western Australia 6007 Telephone +618 9388 0744 Facsimile +618 9382 1411 PO Box 144 West Perth Western Australia 6872 www.internationalgoidields.com

MEDIA RELEASE

April 30, 2004

36,000oz Gold Resource Identified at Mt Ida Total Gold Resource Rises to 100,000 ounces

WA-based junior explorer International Goldfields Limited (ASX:IGL) has confirmed a significant gold Resource Estimate of 36,000oz for its 100% owned Mt Ida Gold project north of Kalgoorlie in the goldfields region of Western Australia.

This Resource Estimate, at the Meteor and Whinnen lodes, follows a maiden Resource Estimate at the adjacent Baldock lode of 64,000oz. This was announced to the ASX on 31 March 2004 and brings the global JORC compliant Mineral Resource at the Mt Ida project to over 100,000oz with an average grade of 24.2 g/t.

The Meteor and Baldock lodes lie in close proximity to each other and extend between 100m and 300m beneath the surface, and over a strike length of 600m. They remain open at depth, and the extensive 'regional' shear zone which hosts the gold mineralisation remains open to the north and south. (Please refer Figure 1)

On the announcement IGL Executive Chairman Tony Sage said, "The announcement of this Resource Estimate follows an extensive drilling program at the Meteor and Whinnen lodes within the Mt Ida project in the past 8 months.

"With mining at Mt Ida planned to commence in the 4^th quarter of this year, the confirmation of an upgraded Resource Estimate at our Mt Ida project allows the Company to consolidate its already strong cash-flow position and aggressively plan for the future.

"So the estimation of this gold resource at our Mt Ida project is a significant milestone for the Company.

"Further drilling, including in-fill and step-out drilling, is planned to commence in the next two weeks. In-fill drilling at the Meteor lode is intended to provide additional geological information and greater confidence in the Mineral Resource estimate. While Step-out drilling of the down dip/plunge extensions of the Meteor and Baldock lodes has the potential to upgrade the current Mineral Resource Estimate.

"In addition to the work at Mt Ida we are also planning to significantly increase the Company's drilling program at our Evanston gold project, in the Western Goldfields near Southern Cross. In the near future the Company will also commence a comprehensive drilling program at the Sacu gold/copper project in Romania in Eastern Europe."

A mining feasibility study to include the adjacent Meteor and Whinnen resources into the current Baldock mining plan has commenced. These resources lie less than 140m from planned mine development, which with minor revisions will provide a means of rapid access. The study will be audited by and independent geological consulting firm and managed by the Company's mining engineer and Resident Mine Manager.

ENDS

For further information:

Tony Sage, Executive Chairman, International Goldfields Limited Ph: 08 9388 0744 / 0419 905 908

Bob Annett, Executive Director - Technical, International Goldfields Limited Ph: 08 9388 0744 / 0400 998 981

David Tasker, Professional Public Relations Ph: 08 9388 0944 / 0433 112 936