REDSTONE RESOURCES LIMITED — Director's Dealing 2007

May 3, 2007

Appendix 3X

Rule 3.19A.1

Initial 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 REDSTONE RESOURCES LTD
ABN	42 090 169 154

We (the entity) give ASX the following information under listing rule 3.19A.1 and as agent for the director for the purposes of section 205G of the Corporations Act.

Name of Director	Stephen George Fountain
Date of appointment	30 April 2007

Part 1 - Director's relevant interests in securities of which the director is the registered holder

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.

Number & class of securities

Nil

+ See chapter 19 for defined terms.

Part 2 – Director's relevant interests in securities of which the director is not the registered holder

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

Name of holder & nature of	Number & class of Securities
interestNote: Provide details of the circumstances giving rise tothe relevant interest.
DuxfordStirlingPtyLtd(Director and Shareholder)	70,000 ordinary shares
LtdDuxfordStirlingPtV	536,324 ordinary shares (including 196,324 sharessubject to escrow until 4 May 2007)
Duxford Stirling Pty Ltd	80,000 ordinary shares
FairfordLtdAviationPtv(Director and Shareholder)$\leq$ Fairford Aviation Trust $\geq$	20,000 ordinary shares

Part 3 – 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	Executive Employment Agreement
Nature of interest	Interest in an executive employment contract foran offer of 750,000 unquoted options, to begranted subject to satisfactory performance andfollowing shareholder approval at the next annualgeneral meeting of the Company.The options are proposed to be offered upon thefollowing terms:an exercise price of $1.40 per share;
	exercisable the date 12 months from the dateof grant of the options; andexpiry of 5 years from the date of grant of theoptions
Name of registered holder(if issued securities)	N/A
No. and class of securities towhich interest relates	750,000 unquoted options

$+$ See chapter 19 for defined terms.