MGX RESOURCES LIMITED — Major Shareholding Notification 2007

Sep 9, 2007

MALLESONS STEPHEN JAQUES

Confidential communication

10 September 2007

The Company Announcements Platform Australian Stock Exchange Limited Fax 1900 999 279

Dear Sir/Madam

Mt Gibson Iron Limited (ABN 87 008 670 817)

We attach a notice of change of substantial holding in Mt Gibson Iron Limited on behalf of Gazmetall Holding (Cyprus) Limited

Yours faithfully

Mallsons Styler Jaques

$T + 613$ 9643 4000 Level 50 Bourke Place 600 Bourke Street Melbourne VIC 3000 Australia DX 101 Melbourne ABN 22 041 424 954 mel@mallesons.com www.mallesons.com F+613 9643 5999

604 page 1/2 15 July 2001

Form 604

Corporations Act 2001 Section 671B

Notice of change of interests of substantial holder

To Company Name/Scheme	Mount Gibson Iron Limited (MGX)
ACN/ARSN	008 670 817
1. Details of substantial holder (1)
Name	Gazmetall Holding (Cyprus) Limited (Gazmetall) and its associate Gallagher Holdings Limited (Gallagher)
ACN/ARSN (if applicable)	incorporated in Cyprus
There was a change in the interests of the substantial holder on		6 September 2007
The previous notice was given to the company on		17 August 2007
The previous notice was dated		15 August 2007

2. Previous and present voting power

The total number of votes attached to all the voting shares in the company or voting interests in the scheme that the substantial holder or an associate (2) had a relevant interest (3) in when last required, and when now required, to give a substantial holding notice to the company or scheme, are as follows:

Class of securities (4)	Previous notice		Present notice
	Person's votes	Voling power (5)	Person's votes	Voting power (5)
ORDINARY SHARES	135.656.737*	17.22%	156.769.897	19.77%

*The votes on the previous notice were incorrectly overstated by 20 votes and were listed as 135,656,757 rather than 135,656,737. This does not alter the voting power of 17.22% stated in the previous notice.

3. Changes in relevant interests

Particulars of each change in, or change in the nature of, a relevant interest of the substantial holder or an associate in voting securities of the company or scheme, since the substantial holder was last required to give a substantial holding notice to the company or scheme are as follows:

Date of change	Person whose relevant interest changed	Nature of change $(6)$	Consideration given in relation to change (7)	Class and number of securities affected	Person's votes alfected
September 2007	Gazmetall and its associate Gallagher	Acquisition of additional ordinary shares in MGX pursuant to on-market purchase.	A\$32,092,003.20	21.113,160 ordinary shares	21.113.160

4. Present relevant interests

Particulars of each relevant interest of the substantial holder in voting securities after the change are as follows:

Holder of relevant interest	Registered holder of securities	Person entitled to be registered as holder (8)	Nature of relevant interest (6)	Class and number of securities	Person's votes
Gazmetall	Unknown - shares purchased on market	ANZ Nominees Limited (following settlement of trades)	Gazmetall is the ullimate beneficial holder of the shares held by ANZ Nominees Limited that are the subject of this notice	156.769.897 ordinary shares	156,769,897
Gallagher	Unknown - shares purchased on market	ANZ Nominees Limited (following settlement of traces)	Gallagher is an associate of Gazmetall. Gazmetall is the ultimate beneficiary of	156 769 897 ordinary shares	156.769.897

604 page 2/2 15 July 2001

	------------------ _________	--------------	the shares held by ANZ Nominees Limited that are the subject of this notice. --------- ---	____	-------- -----
--------------------------------------- ---------------------------------------	________			مستحمده

5. Changes in association

The persons who have become associates (2) of, ceased to be associates of, or have changed the nature of their association (9) with, the substantial holder in relation to voting interests in the company or scheme are as follows:

Name and ACN/ARSN (if applicable)	Nature of association -------
Gallacher	Same ultimate shareholder
.	__

6. Addresses

The addresses of persons named in this form are as follows:

Name	Address
Gallagher Holdings Limited	Ledra House, 15 Aylou Pavlou Street, Aylos Andreas, CY, 1105, Nicosia, Cyprus
Gazmetall Holding (Cyprus) Limited	Ledra House, 15 Ayiou Pavlou Street, Aylos Andreas, CY, 1105, Nicosia, Cyprus
ANZ Nominees Limited	Level 6, 100 Queen Street, Melbourne, Victoria, 3000

and a second complete the second complete state of the second complete state of Signature	Sept	THE CONTRACTOR	in 2000au
	print name	Demetris Serghides/		Capacity Director
	sign here		As	September 2007 date

DIRECTIONS

• if there are a number of substantial holders with similar or related relevant interests (eg a corporation and its related corporations, or the manager and trustee of $(1)$ an equily trust), the names could be included in an annexure to the form. If the relevant interests of a group of persons are essentially similar, they may be referred to throughout the form as a specifically named group if the membership of each group, with the names and addresses of members is clearly set out in paragraph 6 of the form.
• $(2)$ See the definition of "associate" in section 9 of the Corporations Act 2001.
• $(3)$ See the definition of "relevant interest" in sections 608 and 671B(7) of the Corporations Act 2001.
• The voling shares of a company constitute one class unless divided into separate classes. $(4)$
• The person's votes divided by the total votes in the body corporate or scheme multiplied by 100. $(5)$
• Include details of: $(6)$
• any relevant agreement or other circumstances because of which the change in relevant interest occurred. If subsection 671B(4) applies, a copy of $(a)$ any document setting out the terms of any relevant agreement, and a statement by the person giving full and accurate details of any contract, scheme or arrangement, must accompany this form, together with a written statement certifying this contract, scheme or arrangement; and
• any qualification of the power of a person to exercise, control the exercise of, or influence the exercise of, the voting powers or disposal of the $(b)$ securities to which the relevant interest relates (indicating clearly the particular securities to which the qualification applies).
• . See the definition of "refevant agreement" in section 9 of the Corporations Act 2001.
• $(7)$ Details of the consideration must include any and all benefits, money and other, that any person from whom a relevant interest was acquired has, or may, become entitied to receive In relation to that acquisition. Details must be included even If the benefit is conditional on the happening or not of a contingency, Details must be included of any benefit paid on behalf of the substantial holder or its associate in relation to the acquisitions, even if they are not paid directly to the person from whom the relevant interest was acquired.
• If the substantial holder is unable to determine the identity of the person (eg if the relevant interest arises because of an option) write "unknown". $(8)$
• Give details, if appropriate, of the present association and any change in that association since the fast substantial holding notice. $(9)$