IRON BEAR RESOURCES LTD — Investor Presentation 2009

Jul 19, 2009

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20 July 2009

The Company Announcements Office ASX Limited

Via E Lodgement

Market Update Presentation

The Company has organised a broker roadshow where Executive Chairman, Mr Tony Sage, will make a presentation to attendees.

We attach herewith a copy of the presentation.

Yours faithfully

Cape Lambert Iron Ore Limited

Eloise von Puttkammer

Company Secretary

For more Information please contact:

Cape Lambert Iron Ore Limited

Tony Sage +61 (0)8 9380 9555

Australian Enquiries: Professional Public Relations David Tasker +61 (0)8 9388 0944

UK Enquiries:

Conduit PR Jos Simson +44 (0)20 7429 6603/ +44 (0) 7899870450

Website:

www.capelam.com.au

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Market Update July 2009

Disclaimer

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This presentation has been prepared by Cape Lambert Iron Ore Limited (“Cape Lambert” or the “Company”). It is not a disclosure document and should not be considered as an offer or invitation to subscribe for, or purchase any, securities in the Company or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for securities in the Company will be entered into on the basis of this presentation.

This presentation contains forecasts and forward looking information. Such forecasts, projections and information are not a guarantee of future performance, involve unknown risks and uncertainties. Actual results and developments will almost certainly differ materially from those expressed or implied. Cape Lambert has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. Accordingly, to the maximum extent permitted by applicable laws, Cape Lambert makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and takes no responsibility and assumes no liability for, the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission, from any information, statement or opinion contained in this presentation.

Throughout this presentation all figures are quoted in A$ dollars unless otherwise stated.

You should not act or refrain from acting in reliance on this presentation material. This overview of the Company does not purport to be all inclusive or to contain all information which its recipients may require in order to make an informed assessment of Cape Lambert’s prospects. You should conduct your own investigation and perform your own analysis in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this presentation before making any investment decision. Information in this presentation that relates to Exploration Results, Mineral Resources or Ore Reserves is based on previous announcements made by Cape Lambert (or other relevant parties) to the ASX.

This presentation does not constitute financial product advice (nor investment, tax, accounting or legal advice) and has been prepared without taking account of any person’s investment objectives, financial situation or particular needs.

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At a Glance

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• Australian domiciled, mineral investment company,

• Standard & Poors ASX 300 company,

• Geographically diverse portfolio of mineral assets, and interests in mining and exploration companies,

• Cash reserves of A$75 million (as at 30 June 2009), no debt and fully funded,

• Cash receivable of A$80 million due in second half of 2010, con notes A$36 million due in 18 months,

• Directors & management hold 5.7% of the Company,

• Recent track record of delivering shareholder value – October 2008, A$100 million capital/dividend payment.

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Business Model & Strategy

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• Leverage off strong balance sheet - substantial cash

• reserves,

• Invest in early stage resource projects and companies that are considered undervalued or distressed,

• Assets and investments are primarily iron ore, copper, gold and uranium,

• Add value through a “hands on” approach,

• Position the assets for either development and/or sale,

• Current turmoil in financial markets and scarcity of capital is generating widespread and quality investment opportunities.

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Corporate

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Capital Structure

Share Price Performance

Corporate	Corporate	Corporate
Capital Structure Share Price Performance
Ordinary shares (ASX: CFE)	524m
Market Cap at $0.35	$183m
Cash & receivables	$191m
Debt	$0
Enterprise value	$0
Options
30 June 2010 - $0.432	8.4m
31 Oct 2010 - $0.377	28m
Shareholding
Directors & management	5.7%
Top 20	73%
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Directors & Management

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Directors

Key Management

Tony Sage	Executive Chairman Over 25 years experience in		Joe Ariti	General Manager Metallurgist with over 25 years experience in the mining industry
	corporate advisory, funds			working in Australia, Indonesia, PNG &
	management and capital			Africa.
	raisings.		Fiona Taylor	Chief Financial Officer Chartered accountant with over 13
Tim Turner	Non-Executive Director			years experience in both commerce
	Over 25 years experience in management and business consultancy and a partner in		Kim Bischoff	and professional practice in South Africa, Australia and the UK. GM – Exploration Geologist with 26 years experience in
	an accountancy practice.			exploration, development and mining
Brian Maher	Non-Executive Director			working in Australia, Southeast Asia and Africa.
	Mining engineer with over 40		Simon McDonald	Consultant
	years experience in the mining			Simon has extensive experience in
	industry working in Australia, Liberia, Guyana & the			capital markets and has spent the last decade as a professional investor for Merrill Lynch, Lehman Brothers and
	Philippines.			Commerzbank.

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Group Structure

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Lady Annie Copper Project

• Oxide copper heap leach EW/SX project with,

• Established infrastructure to support 25kt pa copper cathode production,

• Total oxide Cu Mineral Resource inventory of 25.2 million tonnes at 0.9% Cu containing 224,800 tonnes of copper metal,

• Total sulphide Cu Mineral Resource inventory of 15.3 million tonnes at 0.8% Cu containing 125,400 tonnes of copper metal.

• Extensive portfolio of granted tenements ≈

• covering 1,855km[2] within highly prospective Mt. Isa Inlier,

• Six parties currently reviewing project data for potential trade sale – asking price A$150 million.

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Marampa Iron Ore Project

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• 35% interest and Manager,

• Specular hematite, operated from 1933 to 1977,

• Proximal to existing mineral railway that connects to Pepel port,

• Inventory of tailings - potential starter operation and early cash flow – air core drilling complete with JORC resource estimate in progress,

• Hard rock drill targets defined & diamond drill testing commenced,

• Hard rock target size ± 400-500 million tonnes.

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WHIMS Tailings Testwork	Mass %	Fe Rec. %	Fe%	SiO2%	Al2O3%	P %
Feed	100.0	100.0	32.8	45.3	4.2	0.021
Concentrate	46.2	91.6	65.0	3.9	1.5	0.019
Tail	53.8	8.4	5.1	81.4	6.2	0.025

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DMC Mining Limited

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• 80% interest in Mayoko Iron Ore Project,

• Within 3km of railway that connects to port at Point Noire,

• Airborne magnetic survey recently completed,

• Main anomaly 7km by 200m,

• 3 new targets identified,

• Drilling scheduled to commence early October.

• Target size ± 0.7-1.0 billion tonnes of itabirite iron ore.

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Sappes Gold Project

• Project based on developing;

• high-grade, underground Viper resource (total Mineral Resource – 1Mt at 21.4 g/t Au),

• small, open pit on St Demetrios mineralisation (total Mineral Resource – 0.8 Mt at 3.4 g/t Au).

• planned production of 100koz pa over 5 years (in dore and flotation concentrate) for a cash operating cost of A$430 per oz,

• .

• development capital circa. A$120M

• Historical permitting delays, but flow sheet now configured to eliminate cyanide.

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Corvette Resources - Gold

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• Strategic tenement holding of 2,300km[2] in emerging AlbanyFraser gold province,

• Geological setting analogous to 5 million oz Tropicana deposit (70km north along strike),

• Extensive anomalous gold in soil/calcrete over 12km at Corvette prospect,

• Numerous, encouraging RC gold intercepts requiring interpretation and follow-up drilling.

• Scrip takeover bid launched – valued at A$0.14 per Corvette share.

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Australis –Phosphate

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• Wholly owned subsidiary,

• Exploration licences and ≈

• applications covering 38,000km[2] ,

• A large part of the holdings & applications cover the Georgina Basin – prospective for;

• Rock phosphate deposits,

• Uranium, and

• Sedimentary base metal

  • deposits.

• Reconnaissance exploration work program, ahead of potential IPO.

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Other Key Assets

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Asset	Interest	Commodity	Stage	Location
Platmin	5.3%	PGM	Preproduction	South Africa
Lady Loretta	25%	Pb-Zn-Ag	Preproduction	Qld, Australia
Tianshan	19.9%	Gold	Feasibility	China
Cauldron	18.7%	Uranium	Exploration	Australia/Argentina
IGC	12.3%	PGM	Preproduction	South Africa
Universal	4.8%	Copper	Feasibility	Qld, Australia

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Value Proposition

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Asset A$ Value
Cash $75M
Cash Receivables $116M
Equities (mark-to-market) $50M
Lady Annie (100%) $150M?
Marampa (35%) $120M?
Sappes (100%) $50M?
Australis (100%) ?
Lady Loretta (25%) ?
Cape Lambert South (100%) ?
Total ++$500M
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Notes:

• 1.Cash receivable relates to the final payment to be received in respect of the sale of the Cape Lambert Iron Ore Project.

• 2.Equities were marked-to-market on 15 July 2009.

• 3.Lady Annie value based on “asking price” in respect of a trade sale.

• 4.Marampa value based on “asking price” in respect of a trade sale.

• 5.Sappes value based on the preferred value determined by the Independent Expert in CopperCo Limited’s ASX release dated 30 June 2008 “ Prospectus to acquire all the issued shares in Mineral Securities Limited ”.

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Attributes

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Competent Persons Statement

The Metallurgical information in this presentation is based on information compiled by GV Ariti who is a Member of The Australasian Institute of Mining and Metallurgy. Mr. Ariti 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”. Mr. Ariti consents to the inclusion in this report of the matters based on his information in the form and the context in which it appears.

The Exploration information in this presentation is based on information compiled by K Bischoff who is a Member of The Australasian Institute of Mining and Metallurgy. Mr. Bischoff 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”. Mr. Bischoff consents to the inclusion in this report of the matters based on his information in the form and the context in which it appears.

Mineral Resources

– Lady Annie Copper Project Mineral Resources quoted in this presentation in respect of Lady Annie are based on previous announcements made to ASX Limited by CopperCo Limited, specifically ASX release dated 30 October 2008 “ Mining 2008 Resources Convention Presentation ”.

• Sappes Gold Project Mineral Resources quoted in this presentation in respect of Sappes are based on previous announcements made to ASX Limited by CopperCo Limited, specifically ASX release dated 30 June 2008 “ Prospectus to acquire all the issued shares in Mineral Securities Limited ”.

Target Statements

Target sizes quoted in this presentation are conceptual in nature and in respect of the target sizes quoted, there has been insufficient exploration to define a Mineral Resource and it is uncertain if further exploration will result in the determination of a Mineral Resource. Target sizes referred to in this presentation refer to potential tonnages of iron ore mineralisation that have been estimated using available exploration information including historic and contemporary geological mapping, geochemical sampling of outcrops, pits and trenches, wide spaced diamond drill holes and modelling of ground and airborne geophysical survey data.

Production and Cost Information

– Sappes Gold Project Production rates, capital and operating costs quoted in this presentation in respect of Sappes are based on previous announcements made to ASX Limited by CopperCo Limited, specifically ASX release dated 30 June 2008 “ Prospectus to acquire all the issued shares in Mineral Securities Limited ”.

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