STRIKE RESOURCES LIMITED — Capital/Financing Update 2007

Mar 8, 2007

Friday, 9 March 2007

MARKET ANNOUNCEMENT

Update on Strike's Acquisition of a Further Interest in Apurimac and Cuzco Iron Ore Projects in Peru

Strike Resources Limited (Strike or SRK) is pleased to confirm that, as foreshadowed in its announcement of 7 February 2007 (Strike Acquires Further Interest in Apurimac and Cuzco Iron-Ore Projects in Peru), settlement of the acquisition of a further interest in the Apurimac and Cuzco Iron Ore Projects in Peru has now been completed.

This increase has been effected through Strike acquiring a 70% shareholding interest in Iron Associates Corporation (IAC).

IAC holds as its sole asset a 27.6% shareholding in Apurimac Ferrum S.A. (AF), the Peruvian company which owns the Apurimac and Cuzco Iron Ore Projects. This interest will be diluted to 24.5% after Strike has invested US$6.5 million into AF under an existing agreement with AF.

The acquisition of the 70% interest in IAC was completed through Strike making the first of a number of staged payments according to an agreement entered into on 2 February 2007 between Strike, Minera los Andes y el Pacífico S.A. (MAPSA) and MAPSA's shareholders (the MAPSA Agreement).

With this additional interest, if Strike complies with all its obligations and exercises the options which it currently holds relating to the Apurimac and Cuzco projects. Strike will increase its economic interest from 51% to 68.15% and its controlling interest from 51% to 75.5% in AF.

Shareholders should refer to the above-mentioned 7 February announcement and previous announcements made by the Company for further details regarding the MAPSA Agreement and other matters relating to the Apurimac and Cuzco Projects.

For further information:

Shanker Madan Managing Director T | (08) 9214 9700 E | smadan@strikeresources.com.au Dr John Stephenson Chairman T | (08) 9214 9700 E | jstephenson@strikeresources.com.au

ASX Code: SRK

www.strikeresources.com.au

STRIKE RESOURCES LIMITED

A.B.N. 94 088 488 724

Level 14, 221 St Georges Terrace, Perth WA 6000 T | (08) 9214 9700 F | (08) 9322 1515