PACIFIC RESOURCES LIMITED — Capital/Financing Update 2005

Oct 5, 2005

Lodestone Exploration Limited

ABN 20 075 877 075 www.lodestonex.com

6 October 2005

The Manager Company Announcements Office Australian Stock Exchange Limited Electronic Lodgment System

Dear Sir,

UNLISTED OPTIONS LAPSED

Lodestone Exploration Limited (ASX: LOD) advises that 100,000 unlisted options lapsed on 30 September 2005. The options were issued on 1 October 2002 with an exercise price of 30 cents each.

Following the lapse of these options, Lodestone has on issue 800,000 unlisted options exercisable at 30 cents each. The options expire on 30 September 2007.

Yours faithfully,

hew Starty

Leni Stanley Company Secretary