ROX RESOURCES LIMITED — Capital/Financing Update 2005

Sep 26, 2005

ASX/MEDIA RELEASE

27 September 2005

ROX TO PROCEED WITH PHA LUANG LEAD-ZINC PROJECT IN LAOS

HIGHLIGHTS

• Drill intersection of 17.5 metres grading 18.5% zinc, 5.3% lead and 28ppm silver from $\bullet$ the Bon Noi prospect.
• Best values include 4.2 metres grading 20.9% zinc. 18.7% lead and 79ppm silver, with highest values of 42.0% zinc, 23.5% lead and 134ppm silver.
• Visible lead sulphides and massive secondary lead-zinc mineralisation in a drill hole at the Nam Yen prospect, with assays pending.
• Rox elects to proceed with the Pha Luang project joint venture.

Rox Resources (ASX: RXL) has been undertaking due diligence drilling in Laos at the Pha Luang lead-zinc-silver project to test three different types of high-grade surface oxide mineralisation. In a progress report on 31 August 2005. Rox reported that testing of one of the surface oxide types failed to intersect significant sulphide mineralisation. Drilling of the other two surface oxide types at Bon Noi and Nam Yen has now returned excellent results and Rox has elected to proceed with the project.

Rox Managing Director Mr Ian Mulholland said the Company was pleased that the latest results from Laos support their original enthusiasm about the Pha Luang.

"Today's results reinforce our belief that the intensity of surface mineralisation at Pha Luang continues to suggest enormous potential," he said.

Rox has an agreement with local Lao company First Pacific Mining Lao Co. Ltd ("FPM") to acquire a 60% interest in the sulphide portion of the project. Key commercial aspects of the agreement with FPM are:

• $\mathbf{L}$ Issue of two million Rox shares to FPM on election to proceed after the due diligence.
• Issue of three million Rox shares to FPM on definition of a JORC compliant resource of four $2¹$ million tonnes grading better than 10% combined lead-zinc.
• $3₁$ Issue of nine million Rox shares to FPM on completion of a positive feasibility study.
• Rox to free carry FPM to completion of a feasibility study, by funding all work to that point. $\overline{4}$

Rox intends to fully evaluate the results achieved so far and plan an aggressive exploration program for the dry season from December 2005 to May 2006.

The exploration is likely to include geological mapping, geochemical sampling, remote sensing, and further drilling. For a more detailed description of the drilling results at Bon Noi, please refer to Appendix 1.

$-$ ENDS $-$

FOR FURTHER INFORMATION CONTACT:

Ian Mulholland Managing Director Tel: (08) 9486 4537 Ann Nahajski Porter Novelli Tel: (08) 9386 1233

ABOUT ROX

Rox is a Perth-based exploration company with a portfolio of projects in Laos, South Africa and Australia.

In Laos, Rox is exploring the Pha Luang zinc-lead project and has first right of refusal over a number of other prospective resource projects there. In South Africa, Rox has a number of alluvial and kimberlite diamond projects. Current resources at the historic million ounce Menzies gold project in Western Australia total 170,900 ounces grading 2.5 g/t gold.

Rox has set about to expand its project portfolio and is actively looking at projects worldwide to become a multi-national multi-commodity resource company.

The information in this report that relates to Exploration Results and Mineral Resources is based on information compiled by Mr Ian Mulholland B.Sc (Hons), M.Sc., F.Aus.I.M.M., F.A.I.G., F.S.E.G., who is a Fellow of The Australasian Institute of Mining and Metallurgy
and a Fellow of the Australian Institute of Geoscientists. Mr Mulholland has sufficien 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 Mulholland is a full time employee of the Company and consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Figure 1: Location Map

Figure 2: Oxide Prospect Locations

APPENDIX 1

DRILLING RESULTS

Bon Noi

The fourth hole (PLD004) of the program at Bon Noi has intersected massive secondary lead-zinc mineralisation over a 17.5 metre down hole interval with weighted average assays of 18.5% zinc (Zn), 5.3% lead (Pb) and 28ppm (g/t) silver (Ag). Specific mineralised intervals were:

From (m)	To $(m)$	Interval (m)	Zn %	Pb $%$	Ag ppm
4.	ه ه O.J	U.Y	30.2	12.3	84
9.8	7 Q	o.	19.2	9.8	44
19.4	24.9*	5.5	25.6	0.3	ιU
$\bullet$ $\bullet$ $\bullet$ $\bullet$ $\bullet$ $\bullet$ $\bullet$ $\bullet$ $\sim$ $\sim$

Lost core from $24.9 - 25.6$ m.

Individual high assays of up to 42.0% Zn, 23.5% Pb and 134ppm Ag were obtained. The intervals from $8.3 - 9.8$ metres and $17.9 - 19.4$ metres were barren limestone as shown in the photographs below.

The intersection also shows zonation, with a more lead-rich zone from 9.8 to 14.0 metres of 4.2 metres grading 20.9% Zn, 18.7% Pb and 79ppm Ag, and a lead-poor zone from 14.0 to 24.9 metres of 10.9 metres grading 19.2% Zn, 0.2% Pb and 19ppm Ag.

Lost core from 24.9 to 25.6 metres suggests mineralised material may have been washed out of the core barrel close to its contact with massive limestone.

Hole PLD004: High Grade Secondary Mineralisation, Cerussite (left), Smithsonite/Hydrozincite (right)

Hole PLD004: Showing Intervals of Secondary Lead-Zinc Mineralisation

Nam Yen

The fifth hole (PLD005) was drilled at the Nam Yen prospect, where lead sulphide (galena) outcrops for over 100 metres along strike and up to 30 metres width. Secondary lead and zinc minerals are also present in this zone. Previous rock chip sampling at Nam Yen returned assays of up to 64.2 % Pb, 18.3 % Zn and 98 ppm Ag. Outcrops of secondary lead-zinc minerals have now been mapped over a strike length exceeding 200 metres at Nam Yen. Two further holes are underway at Nam Yen.

Visual inspection of drill hole PLD005 reports massive secondary lead-zinc mineralisation from surface to 9 metres down hole, followed by lead sulphide (galena) mineralisation as blebs and veinlets over a further 9 metres down hole. Assays are pending.

GEOLOGICAL MODEL

Rox has recognised three different types of surface "oxide" mineralisation. These are:

• $\mathbf{1}$ . Hydrozincite (a hydrated zinc carbonate, $Zn_5(CO_3)_2(OH)_6$ ) which outcrops at the Pha Luang 2 and 3 prospects, and at several other locations along the Pha Luang range. It shows zones of massive hydrozincite, often grading >50% Zn with low Pb and Ag, and clean sharp contacts with surrounding limestone breccias. This was tested by the first three drill holes (PLD001-003) previously reported.
• $\overline{2}$ . Complex mixed zones of zinc and lead carbonate minerals, predominantly smithsonite $(ZnCO₃)$ and cerussite (PbCO₃), such as at Bon Noi (~30% Pb and 20% Zn). This was tested by drill hole PLD004.
• 1. Galena outcrops at surface, usually with high Ag values, such as at Nam Yen and Gao Noi (>60% Pb and >400 g/t Ag). This was tested by drill hole PLD005.

INTERPRETATION

Complex Pb-Zn Secondary Zones and Massive Galena

The outcrops of complex Pb-Zn carbonates at Bon Noi, and the massive galena and secondary lead-zinc outcrops at Nam Yen with their high values of Pb. Zn and Ag, have been confirmed to represent the surface expression of insitu sulphide zones. Rox has successfully drilled high-grade lead-zinc mineralisation to a depth of at least 20 metres below the surface outcrops. Follow-up drilling can now be planned to investigate the zones at depth.

Hydrozincite

Hydrozincite mineralisation is interpreted to be formed from leaching of zinc from the brecciated limestone sulphide-bearing "mineralised zone" and other zinc-rich zones (including possible massive zinc sulphide at depth) by acidic ground waters; and re-deposition by precipitation in surface karst topography and solution cavities in limestone when contact with neutralising carbonate over a long period of time is made. There is still potential for massive sulphides to be present below these zones as evidenced from massive galena float found down slope from the Pha Luang 2 oxide deposit.