STELLAR RESOURCES LIMITED — Capital/Financing Update 2008

Mar 6, 2008

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Placement of 5 million shares

Stellar Resources is pleased to announce that it has made a placement of 5 million new ordinary fully paid shares to investors associated with Chinese steel interests.

The shares were placed at 20 cents, a 33% premium to yesterday’s closing share price of 15.0 cents, and raised $1.0 million of new capital.

A majority of the funds raised will be applied to further assessment of the company’s Tarcoola Iron Ore Project, located in central South Australia, adjacent to the Indian Pacific Railway.

The board of Stellar welcomes this new shareholder and looks forward to a long and productive association.

7 March 2008

ASX Code: SRZ

ABN 96 108 758 961 Level 7 Exchange Tower 530 Little Collins Street Melbourne Victoria 3000 Australia

For further details please contact:

Peter Blight Tel: (03) 9909 7618 Email: peter.blight@stellarresources.com.au Tom Burrowes Tel: (03) 9909 7618 Email: tom.burrowes@stellarresources.com.au or visit our Website at: http://www.stellarresources.com.au

Telephone +61 3 9909 7618 Facsimile +61 3 9909 7621

www.stellarresources.com.au srzinfo@stellarresources.com.au

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