NEOMETALS LTD — Director's Dealing 2005

Aug 23, 2005

97 Outram Street West Perth WA 6005 Tel: + 61 8 9322 1182 Fax: + 61 8 9321 0556

24 August 2005

Company Announcements Office Australian Stock Exchange Limited 10^th Floor 20 Bond Street SYDNEY NSW 2000

Dear Sir,

Appendix 3Y - Change of Director's Interest Notice Issue of Options under EGM resolution

The Company wishes to advise that pursuant to an offer of options under resolution passed at Extraordinary General Meeting on 6 July 2005, and following acceptance of the offer of options, were issued and allotted Tuesday 23 August 2005.

Appendix 3Y in respect of the above issue of options is attached hereto.

Yours faithfully, REED RESOURCES LTD

Gheed

Christopher Reed Company Secretary

Appendix 3Y

Rule 3.19A.2

Change of Director's Interest Notice

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 30/9/2001.

	Name of entity REED RESOURCES LTD
IABN	89 099 116 631

We (the entity) give ASX the following information under listing rule 3.19A.2 and as agent for the director for the purposes of section 205G of the Corporations Act.

Name of Director	CHRISTOPHER JOHN REED.
Date of last notice	15 JUNE 2005

Part 1 - Change of director's relevant interests in securities

In the case of a trust, this includes interests in the trust made available by the responsible entity of the trust

Note: In the case of a company, interests which come within paragraph (i) of the definition of "notifiable interest of a director" should be disclosed in this part.

Direct or indirect interest	INDIRECT
Nature of indirect interest (including registered holder) Note: Provide details of the circumstances giving rise to the relevant interest.	Spouse (v) Louron Exploration Pty Ltd (vi) Director/Secretary Shareholder MF Royalty Pty Ltd (vii) Sole Director/Secretary Shareholder
Date of change	23 August 2005
No. of securities held prior to change Christopher John Reed	(i) 1,750,000 Ordinary Fully Paid (ii) $1,000,000$ Unlisted Options $-35c$
Reekal Pty Ltd	(iii) 250,000 Ordinary Fully Paid
Nickel Investments Pty Ltd	180,000 Ordinary Fully Paid (iv)
Sonia Jean Reed	Nil (v)
Louron Exploration Pty Ltd	Nil (vi)
MF Royalty Pty Ltd	Nil (vii)

Class	Unlisted Options exercisable at \$0.50 each
Number acquired	400,000 (iv) (v) 400,000 (vi) 100,000 100,000 (vii)
Number disposed
Value/Consideration Note: If consideration is non-cash, provide details and estimated valuation	Nil
No. of securities held after change
Christopher John Reed	(i) 1,750,000 Ordinary Fully Paid 1,000,000 Unlisted Options - 35c (ii)
Reekal Pty Ltd	(iii) 250,000 Ordinary Fully Paid
Nickel Investments Pty Ltd	(iv) 180,000 Ordinary Fully Paid 400,000 Unlisted Options - 50c
Sonia Jean Reed	$400,000$ Unlisted Options $-50c$ (v)
Louron Exploration Pty Ltd	100,000 Unlisted Options - 50e (vi)
MF Royalty Pty Ltd	100,000 Unlisted Options - 50e (vii)
Nature of change Example: on-market trade, off-market trade, exercise of options, issue of securities under dividend reinvestment plan, participation in buy-back	of Unlisted Options оf Issue as part Employment Contract

Part 2 - Change of director's interests in contracts

Note: In the case of a company, interests which come within paragraph (ii) of the definition of "notifiable interest of a director" should be disclosed in this part.

Detail of contract
Nature of interest
Name of registered holder
(if issued securities)
Date of change
No. and class of securities to
which interest related prior to
change
Note: Details are only required for a contract in relation to which the interest has changed
Interest acquired

Interest disposed
Value/Consideration Note: If consideration is non-cash, provide details and an- estimated valuation
Interest after change