IRON BEAR RESOURCES LTD — Capital/Financing Update 2005

Dec 15, 2005

Appendix 3B

New issue announcement, application for quotation of additional securities and agreement

Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX's property and may be made public.

Introduced 1/7/96. Origin: Appendix 5. Amended 1/7/98, 1/9/99, 1/7/2000, 30/9/2001, 11/3/2002, 1/1/2003, 24/10/2005.

Name of entity

CAPE LAMBERT IRON ORE LIMITED

ABN

71 095 047 920

We (the entity) give ASX the following information.

Part 1 - All issues

You must complete the relevant sections (attach sheets if there is not enough space).

Ĩ	+ Class of + securities issued or to be issued	Fully paid ordinary shares (Shares)
		Options to acquire Shares exercisable at \$0.30 each on or before 31 October 2008 (2008 Options )
		Options to acquire Shares exercisable at \$0.35 each on or before 31 October 2009 (2009 Options )
		Options to acquire Shares exercisable at \$0.40 each on or before 31 October 2010 (2010 Options )
2	Number of + securities issued or to be issued (if known) or maximum number which may be issued	The maximum number of securities which may be issued is:
		109,999,999 Fully Paid Shares; (a)
		136,671,600 2008 Options; (b)
		50,000,000 2009 Options; and (c)
		40,000,000 2010 Options. (d)

3	Principal terms of the + securities (eg, if options, exercise price and if expiry date; partly paid *securities, the amount outstanding and due dates for payment; if + convertible securities. the conversion price and dates for conversion)	Refer to question 1.
4	Do the securities rank equally in all respects from the date of allotment with an existing + class of quoted securities? If the additional securities do not rank equally, please state: the date from which they do ٠ extent to which they the $\bullet$ participate for the next dividend, (in the case of a trust. distribution) or interest payment • the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment	The Shares will rank equally in all respects from the date of allotment with existing Shares. The Shares allotted and issued upon exercise of the 2008 Options, 2009 Options and 2010 Options will rank equally with existing Shares. The 2008 Options, 2009 Options and 2010 Options do not entitle holders to dividends.
5.	Issue price or consideration	Fully Paid Shares at \$0.30
6	Purpose of the issue (If issued as consideration for the acquisition of assets, clearly identify those assets)	The purpose of the General Offer will be applied towards: cash consideration payable to the Mt (a) Anketell Shareholders for the Acquisition; (b) exploration and evaluation of the Company's current projects; (c) the bankable feasibility study on the Cape Lambert Project and funds for working capital; and expenses of the Acquisition and the (d) capital raising. The purpose of the Mt Anketell Offer is to enable the Mt Anketell Shareholders to apply for securities to be issued to them as part consideration for the Acquisition.

$+$ See chapter 19 for defined terms.

Dates of entering $+$ securities into $\Box$ On or a
uncertificated holdings or despatch
of certificates

$\bf 8$

about 15 December 2005.

	Number	+ Class
all $\pm$ class of Number and + securities quoted ASX. on	249,250,247	Fully Paid Shares
(including the securities in clause ) 2 if applicable)	136,671,600	2008 Options

		Number	+ Class
-9	Number and $\pm$ class of all + securities not quoted on ASX	50,000,000	2009 Options
	(including the securities in clause) 2 if applicable)	40,000,000	2010 Options
		550,000	Options exercisable at each \$0.45 on -OP - 22 before October 2008
		500,000	Options exercisable at \$0.39 each on Oľ. before February 9 2009

Dividend policy (in the case of a $\left[\text{trust, distribution policy}\right)$ on the increased capital (interests) $10\,$

$\rm N/A$

Part 2 - Bonus issue or pro rata issue

$\mathbf{1}$	holder approval Is security required?	N/A
12	Is the issue renounceable or non- $\vert N/A \vert$ renounceable?
13	Ratio in which the + securities will N/A be offered
14	$\pm$ Class of $\pm$ securities to which the N/A offer relates
15	determine + Record date ŧо entitlements	N/A

16	Will holdings on different registers (or subregisters) be aggregated for calculating entitlements?	N/A
17	Policy for deciding entitlements in relation to fractions	N/A
18	Names of countries in which the entity has *security holders who will not be new issue sent documents Note: Security holders must be told how their entifiements are to be dealt with. Cross reference: rule 7.7.	N/A
19	οf Closing date for receipt acceptances or renunciations	N/A
20.	Names of any underwriters	N/A
21	Amount of any underwriting fee or commission	N/A
22	Names of any brokers to the issue	N/A
23.	Fee or commission payable to the broker to the issue	N/A
24	handling fee Amount of any payable to brokers who lodge acceptances or renunciations on behalf of + security holders	N/A
25	If the issue is contingent on security holders' approval, the date of the meeting	N/A
26	Date entitlement and acceptance form and prospectus or Product Disclosure Statement will be sent to persons entitled	N/A
27	If the entity has issued options, and the terms entitle option holders to participate on exercise, the date on which notices will be sent to option holders	N/A
28.	Date rights trading will begin (if applicable)	N/A

$+$ See chapter 19 for defined terms.

29	Date rights trading will end (if applicable)	N/A
30	How do *security holders sell their entitlements in full through a broker?	N/A
31	How do *security holders sell part of their entitlements through a broker and accept for the balance?	N/A
32	How do *security holders dispose of their entitlements (except by sale through a broker)?	N/A
33	+ Despatch date	N/A

Part 3 - Quotation of securities

You need only complete this section if you are applying for quotation of securities

34	Type of securities (iick one)
$\left( \mathbf{a}\right)$		Securities described in Part 1
(b)		All other securities Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid, employee incentive share securities when restriction ends, securities issued on expiry or conversion of convertible securities

Entities that have ticked box 34(a)

Additional securities forming a new class of securities

Tick to indicate you are providing the information or documents

If the "securities are "equity securities, the names of the 20 largest holders of the additional *securities, and the number and percentage of additional *securities held by those holders

If the 'securities are 'equity securities, a distribution schedule of the additional
*securities setting out the number of holders in the categories
$1 - 1.000$
$1.001 - 5.000$
$5.001 - 10.000$
$10,001 - 100,000$
$100.001$ and over

37

A copy of any trust deed for the additional *securities

$+$ See chapter 19 for defined terms.

Entities that have ticked box 34(b)

38	Number of securities for which + quotation is sought	N/A
39	Class of + securities for which quotation is sought	N/A
40	Do the + securities rank equally in all respects from the date of allotment with an existing + class of quoted + securities?	N/A
	If the additional securities do not rank equally, please state: the date from which they do ٠ the extent to which they ٠ participate for the next dividend, of - $\lim$ the case a. trust. distribution) or interest payment the extent to which they do not ٠ rank equally, other than in relation to the next dividend, distribution or interest payment
41	Reason for request for quotation now Example: In the case of restricted securities, end of restriction period (if issued upon conversion of another security, clearly identify that other security)	N/A
42	Number and + class of all + securities quoted on ASX (including the securities in clause 38)	+ Class Number N/A

Quotation agreement

• $\mathbf{I}$ *Quotation of our additional *securities is in ASX's absolute discretion. ASX may quote the *securities on any conditions it decides.
• $\overline{2}$ We warrant the following to ASX.
• The issue of the *securities to be quoted complies with the law and is not for an illegal purpose.
• There is no reason why those *securities should not be granted *quotation.
• An offer of the "securities for sale within 12 months after their issue will not require disclosure under section $707(3)$ or section $1012C(6)$ of the Corporations Act.

Note: An entity may need to obtain appropriate warranties from subscribers for the securities in order to be able to give this warranty

• Section 724 or section 1016E of the Corporations Act does not apply to any applications received by us in relation to any "securities to be quoted and that no-one has any right to return any "securities to be quoted under sections 737, 738 or 1016F of the Corporations Act at the time that we request that the *securities be quoted.
• If we are a trust, we warrant that no person has the right to return the *securities to be quoted under section 1019B of the Corporations Act at the time that we request that the "securities be quoted.
• $\overline{3}$ We will indemnify ASX to the fullest extent permitted by law in respect of any claim, action or expense arising from or connected with any breach of the warranties in this agreement.
• $\overline{4}$ We give ASX the information and documents required by this form. If any information or document not available now, will give it to ASX before *quotation of the 'securities begins. We acknowledge that ASX is relying on the information and documents. We warrant that they are (will be) true and complete.

Sign here: . . . . . . . . . . . . . . . . . . . . (Director/Company secretary)

Date: 16 December 2005

Print name: Timothy Turner == == == == ==

⁺ See chapter 19 for defined terms.

	SPREAD OF BOLDINGS	BOLDERS	(ACTES)	NUMBER OF THE OF TOTAL TESPA CAPTTEL
.	- 1,000		111 61,686	-0.024 %
	$1,001 - 5,000$	1000ml - 1000ml - 2,5, 8, 100ml - 100ml - 100ml - 100ml - 100ml - 100ml - 100ml - 100ml - 100ml - 100ml - 100m		570,804 0.229 %
	5,001 - 10,000		272 2,344,330	0.940 %
	10,001 - 100,000		904 - 35,433,492	$-14.220$ %
	100.001 - 999999999999	- 202	210,754,218	84.584 %
	TOTAL.		- -- --- - - - - - 1,704 249,164,530	. . . 99.997 %
	LOCALITY ANALYSIS

OVERSERS		-29	24,937,471	10.008 %
$1 - 999$		- 4	59,500	0.023 %
$1000 - 1999$		$\Lambda$ 2	5,070,560	2.035 %
2000 - 2999		1.49	20,475,339	8.217.8
3000 - 3999		-120	48,765,366	19.571 %
4000 - 4999		- 62	1,856,779	0.745%
5000 - 5999		SECTION CONTINUES	1,763,025	- 0.707 %
6000 - 6999		---------------------------------------	146.195.040	58.674 %
7000 - 7999		-21	$-7,200$	$0.002$ %
9000 - 8999		L.	- 4,250	0.001 %
9600 - 9999		ı	30,000	0.012 %
	TOTAL.	1,704	- 249,164,530	99.995 %

				CAPE LAMBERT IRON ORS LIMIT
		A C N : 095 047 920

OF ID: TTN UATE: 16/12/2005 PAGE: 2
CLASS: 2 CFE PULLY PAID

<------------------- CURRENT STATUS ------------------->						-<-- LAST PAINT 15/12/2005 -->
RANK --- & R R R R D R R--- Units Capital . Units Capital		Total & Issue		Cum Cum li Rank			Total % Issue Onita Capital	Unit Change Change	웊
I KOUTA BAY FTY LTD PO BOX 1905 SUBIACO WA 6904			39,900,000 16.013 39,900,000 16.013 = 0 = 0.000 39,900,000 16.013
2 GROUP #170	19,739,461	7.922
NATIONAL NOMINSES LIMITED = 19,739,461 = 7.922 = 59,639,461 = 23.935 = 1 19,739,461 = 7.922 = GPO BOX 1406M MELSOLRNÉ VIC 3001									0.000
3 POWER UNITED LIMITED (8,320,363 / 7.355) SUITE 501A STH FLOOR 9 QUEENS ROAD HONG KONG			77,967,824 31.290		- O			0 0.000 18,328,363 7.355
4 ANS ROMINEES LIMITED GPO BOX 2042AA MELBOURNE VIC 3001			15,728,034						$0 - 0.000$
5 GROUP #68	11,720,075	- 4.703
ANTONY WILLIAM PAUL SAGE 2 PERRYR AVENUE CITY BEACH WA 6015			6,495,503 2.605 100,587,361 40.207 - 4 6,491,503 -				2.605	O	$-0.000$
MR ANTONY WILLIAM PAUL SAGE 6,220,572 2.098 105,415,933 42.305 6. 228,572 2 PENRYN AVENUE CITY BEACH WA 6015							2,098	O.,	0.000
6 WESTEAC CUSTODIAN NOMINEES = 10,570,168 = 4,242 115,986,101 = 46,547 = 3 10,570,168 = LIMITED 50 PITT STREET SYDNEY NSW 2000							4.242		0.0000
7 WATERLOO AOSTRALIA PTY LTD (2003), 323 (2012), 323, 317, 424 (49, 489) 945 WELLINGTON STREET WEST PERTH WA 6005					⊙	- 0	0.000	7, 331, 323	2.942
9 SAMDALWOOD RESOURCES FTY LTD 90 PLOVER DRIVE YANGERUP WA 6164					$\circ$	-⊙	0.000	5,498,483	2,206
9 HELER WELLS & AGSOCIATES (2000) 5,498,483 (2.206 134,314,390 (53.901) FY LYD 4 LARMACA COURT TEMPLESTOWE VIC 3106					♦	⊙.	0.000	5,498,483	2,206
10 J & MORCAN MOMINESS AUSTRALIA - 4,966,700 - 11993 139,281,090 - 551094 - - 6 - 4,966,700 - 11993 - LIMPTED LOCKED BAG 7 ROYAL EXCHANGE NSW 1225									0.0010
11 GROUP #4	4,473,609	1.795
MR HENRY RAL TONG AU 20 PLUNKETT ROAD BALMORAL NEW 2088	4,473,609		1,795 143,754,899 57.689			7 4,273,809	1.715	200,000	0.080
12 GROUP W71	3,433,457 1.377
SILKTREE INVESTMENTS FTY LTD 10 OWSTON STREET MOSMAN PARK RA 6012									$\circ$ 0.000
13 EQUITECH INVESTMENTS LIMITED ATTENTION; MR COLIN PAUL SEAH LOT H LEVEL 7 WISMA OCEANIC JALAN OKK AWANG BESAR 87008 FT LAGUAR EAST MALAYSIA			$-2, 562, 050$ $-1, 028$ $149, 750, 406$ $-60, 094$ $-9$ $-2, 562, 050$ $-1, 028$						$0 - 0,000$

CAPE LAMBERT IRON ORS LIMITED (TOP 20 HOLDERS REPORT ) OF ID: TTN ( DATE: 16/12/2005 ) PACE: 3 A C N : 095 047 920				CLASS: 2 CFD PULLY PAID
<------------------ CURRENT STATUS ------------------> <-- AAST FAINT 15/12/2005 -->
Total i-Jose - Cum Cum Rank - Total i-Sese - Unit 1 RANK ---S-B-A-R-B-B-O-L-D-S-R--- - Units Capital - Units Capital - Units Capital - Change Change
14 MERRILL EYNCH (AUSTRALIA) 2,191,535 0.079 151,941,941 60.973 10 2,191,535 0.079 0.000 ROMINEES FTY LTD LEVEL 41 120 COLLINS STREET MELSOURNE VIC 3000
15 GROUP 4172	1,813,198 0.727
MRS JUNE VAN RENS (1983, 1988) 0.727 153,755,139 61.700 11 1,813,198 0.727 0 0.000 20 OBERON CLOSE DIANELLA WA 6059
16 MS JANE ELIZABETH GLASS 1,807,057 0,725 155,562,996 62,425 12 1,807,857 0,725 0 0,000 3 DUNDALK ROAD. FLOREAT WA 6014
17 GROUP 4112	1,640,746 0.658
BARDBLEY SUPERARNUATION = 1,640,746 0.658 157,203,742 63.083 13 1,440,746 0.578 200,000 0.080 FY LTD 4 HUMBERT STREET WOODLANDS WA 6018
10 GROUP #98	0.558 1.391, 112 0.558
MR STEVEN JAN ZIELINSKI & 100,000 0.040 157,303,742 63.123 39 150,000 0.060 -50,000 -0.020 MRS KAREN LYN ZIELINSKI PO AOX 112 LEEDERVILLE WA 6007
MR STEVEN JAN ZIELINSKI (* 1.291.112 0.518 158.594.854 63.641 - 14 1.291.112 0.518 - - 0 0.000 MRS KAREN LYN ZIELINSKI PO 90X 112 LEEDERVILLE WA 6902
19 WHITEY TIGES PTY LTD = = = = 1,250,000 = 0.501 159,044,854 = 64.142 = = 0 = = = = 0 = 0.000 = 1,250,000 = 0.501 KRIL A/C> 75 ALFRED STREET PRABRAN VIC 3161
20 PROJECT MANAGEMENT & 1,224,000 0.491 161,060,854 64,633 20 724,000 0.290 500,000 0.200 ENGINEERING FTY LTD <% D MITCHELL S/F A/C> PO AOX 663 JOLIMONT WA 6014
	------------ ------- TOTAL 161.060.054 64.633			------------ 82,412,202 33.069
	------------			------------ -------

	SPREAD OF HOLDINGS	HOLDERS	NUMBER OF AUMBER OF A OF TOTAL - CNITE - ISSUE CAPITAL
	$2 - 1.000$	and the state of O		0.000 % 0.
	$1,001 - 5,000$		66 401.350 403.350	0.293.8
			5,001 - 10,000 109 988,215 0.723 %
			10,001 - 100,000 - 320 11,033,206 - 8.072 %
	100,001 - 999999999999	CONTRACTOR	124, 246, 834 90, 910 %
				--------
	TOTAL.	5999	136,671,605 99.998 %
	LOCALITY ANALYSIS
	OVERSERS	Service State Advisory	53,643,000 - - - - - - - - - - - - - - - - - -	39.249 %
	$\pm$ $-$ 999		2 36,500 0.012 %
$1000 - 1999$			3 3,024,500 2,212 %
2000 - 2999			$15 - 2, 144, 332 - 1.568$ %
3000 - 3999		$34 - 1$		9,627,000 7.043 %
4000 - 4999		$3.4 -$	331,935 (11)	0.242 %

		TOTAL.		503 136.671.605	99.995 %
	$9000 - 9999$		ó	0	0.000 %
	9600 - 8999		Ó	۰	0.000 %
7000 - 7999			O.	⊙	0.000 %
$6000 - 6999$			504.	67.544.503	49.421 %
5000 - 5999			4	- 339,833	0.248 %
	-8.000 - 4.898		-3.6	- 331 - 339 -	ು ಎಂದಿನ ಸ

				CAPE LAMBERT IRON ORS LIMIT
		A C N : 095 047 920

OF ID: TTN UATE: 16/12/2005 FACE: 2
CLASS: 10 CFEO 311008/30

<------------------- CURRENT STATUS -------------------->		-<-- LAST PRINT 15/12/2005 -->
Total & Issue – Cum Cum % RANK ---8 R A R & H O L D & R--- – Units Capital – Units Capital – Units Capital				Cum Cum li Rank			Total % Issue Onita Capital	Unit. Change Change	も
1 POWER UNITED LIMITED = = = = = = = = = = = = = = = = = = = SUITE 501A STH FLOOR 9 QUEENS ROAD BOMG KONG
2 KOUTA BAY FTY LTD PO BOX 1905 SUBIACO WA 6904			19,950,000 14,597 69,950,000 51,181 0 0 0.000 19,950,000 14.597
3 GROUP #68	8,000,000	5.833
ANTONY WILLIAM PAUL SAGE 2 PENRYN AVENUE CITY BEACH WA 6015			8,000,000 5.853 77,950,000 57.034 0			Contract Contract		0.000 8.000.000 5.853
4 RATIONAL AUSTRALIA BANK LTD C/- ADVANCED SHARE REGISTRY PO BOX 1156 NEDLANDS WA 6909			7,500,000 5.487 85,450,000 62.521 - 1 7,500,000 5.487						$0 - 0.000$
5 STATE SECURITIES PTY LTD LEVEL 9 171 LATROBE STREET MELACHRNE VIC 3000							3.658		$0 - 0.000$
6 COLBERN FIDUCIARY NOMINEES - 3,500,000 - 2,560 - 93,950,000 - 60.739 - 3 3,500,000 - PTY 1.TO PO BOX W2024 PERTH RA 6846							2,560	O.,	0.000
7 EQUITAS ROMINESS PTY LTD - 3,000,000 - 2.195 - 96,950,000 - 70.934 - 4 - 3,000,000 - BROKING OPERATIONS GPO BOX 4294 SYONEY NSW 1364							2.195 - 1	⊙	0.000
9 D & D NOMINEES FTY LTD GPO BOX 1392M MELACHRNE VIC 3001							2.195		0.000
9 ANTONY PAUL WILLIAM SAGE 2 PENRYN AVENUE CITY BEACH WA 6015			1,960,000 1.434 101,910,000 74.563		O.	- 0	0.000	1,960,000 1.434
10 CAMERON JOHN LOCKLEY 49A MATHIS WAY CARINE WA 6020			$1, 500, 000$ $1, 097$ $103, 410, 000$ $75, 660$		-6	1,500,000	- 1,097		0.000
11 MICHAEL JOHN HANSON THODYS NEW FARM ROAD ALREBYORD HAMPSHIRS SO24 9QN SNGLAND			1,500,000 1.097 104,910,000 76.757 7 1,500,000 1.097					⊙	0.000
12 TIMMARIN MOLDINGS FTY 17D SUITE 4 63 SHEPPERTON ROAD VICTORIA PARK WA 6100			1,480,000 1.082 106,390,000 77.839		- 0	in College		$0.000 - 1.480,000$	1.082
13 CASULA MANAGEMENT FTY LTD PO AOX 199 VICTORIA FASK WA 6979			$1,000,000$ $0.731$ 107,390,000 70,570 $0$ 1,000,000				0.731		$0 - 0.000$
14 CANACCORD CAFITAL (EUROPE) (200,000 0.731 108,390,000 79.301 LIMITED 1ST FLOOR BROOKE HOUSE 27 UPPER BROOKE STREET LONDON WIR 70F UNITED RINGDOM						9 1,000,000	0.731		$0 - 0.000$

				CAPE LAWBERT IRON ORS LIMIT
		A C N + 095 047 926

TED TOP 20 NOLDERS REFORT

OF ID: TTN UATE: 16/12/2005 FACE: 3
CLASS: 10 CFEO 311008/30

<------------------- CURRENT STATUS -------------------->				<-- LAST PAINT 15/12/2005 -->
RANK --- & R A R E H O L O E R---	Total	\$ Issue Cum Cum % Units Capital — Units Capital	Rank		Total & Issae Onits Capital	Unit Change	玄 Change
15 DEJASH FTY LTD 14 SALAMANDER STREET DIANELLA WA 6059		$1,000,000$ $0.731$ $109,390,000$ $80.032$ $10$ $1,000,000$ $0.731$				0.	0.000
16 STOCKLEY ROY DAVIS 114 KEICHTLEY ROAD SHENTON PARK WA 6009		1,000,000		-0 -	0.000	1,000,000 0.731
17 MR ARIAN JOSEPH MAHER PO ROX 1719 BOWRAL NEW 2576		1,000.000 0.731 131.390.000 81.494 13 1.000.000 0.731					$0 - 0.000$
10 BELL POTTER SECURITIES LIMITED = 900,000 = 0.658 112,290,000 = 82.152 = 12 LEVEL 37 2 ESPLANADE PERTH WA 6000				900.000	0.658	$\alpha$	0.000
19 WHITEY TIGER PTY LTD 75 ALFRED STREST PRAMRAN VIC 3161		625.000		-61	$0.000$ .	625.000 0.457
20 GERARD EASILI 268A WEST COAST HIGHWAY SCARBORGUGH WA 6019		600,000 0.499 113,515,000 83,048 13		600,000	0.499.	$\alpha$	0.000

	-----------	--------	-----------
TOTAL	000 515 413.7	83	-000 7. C.C. ₹n.	恐くの ウウ -34.55

ABN 71 095 047 920

(Formerly International Goldfields Limited)

16 December 2005

The Company Announcements Office Australian Stock Exchange Limited

Via E Lodgement

LODGEMENT OF APPENDIX 3B NEW ISSUE, TOP TWENTY SHAREHOLDERS AND SPREAD

Please find attached Appendix 3B, new Top Twenty and Spread report as supplied by our Registrar.

The Board confirms that the Company has issued and allotted 109,999,999 fully paid shares, 136,671,600 listed options.

Under the terms of the Share Sale Agreement, the Vendors were issued and allotted a total of 36,656,801 shares, 50,000,000 31 Oct 2008 options exercisable at \$0.30, 50,000,000 31 Oct 2009 options exercisable at \$0.35 and 40,000,000 31 Oct 2010 options exercisable at \$0.40.

The remaining 73,343,198 shares have been issued and allotted under the prospectus dated 21 November 2005 and through a placement to UK investors which both combined raised A\$22,002,959.40.

Should you require any further information about the information contained within this announcement please contact the undersigned.

Yours faithfully

A W P Sage Executive Chairman