SUPERIOR RESOURCES LIMITED — Capital/Financing Update 2007

Nov 7, 2007

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Superior Resources Limited

ABN 72 112 844 407

Registered Office:

Level 2, 87 Wickham Terrace, Spring Hill, QUEENSLAND, 4000. Postal Address: PO Box 10288, Brisbane Adelaide Street, QUEENSLAND, 4000. Telephone: 07 3839 5099 Facsimile: 07 3832 5300 Email: manager@superiorresources.com.au

6 November 2007

ASX Limited Level 5 Riverside Centre 123 Eagle Street Brisbane QLD 4000

UPDATED PRO-FORMA BALANCE SHEET BASED UPON FUNDS RAISED UNDER PROSPECTUS

The pro-forma statement of financial position reflects the proposed financial structure of Superior Resources Limited after completion of the Offer, on the basis of the following transactions having had occurred as at 30 June 2007:

• a) Dividend payment of $3,739,252, representing a dividend of 7.5 cents per share on 18 July 2007;

• b) The allotment of 5,000,000 shares at 20 cents each on 1 August 2007, to raise an additional $1,000,000 in share capital;

• c) The allotment of 1,000,000 options to the company’s corporate financial advisors (or their nominees) in respect of the underwriting of the Offer;

• d) The allotment of 22,137,000 shares at an Offer Price of 20 cents per share to recognise the raising of $4,427,400 in share capital;

• e) The estimated expenses associated with the preparation of the Prospectus and capital raising totalling $433,000, being offset against the share capital raised.

BALANCE SHEET

	30 JUNE 2007	30 JUNE 2007
	ACTUAL	PRO-FORMA
	(AUDITED)	(UNAUDITED)
	$	$
Current Assets
Cash and cash equivalents	6,752,445	8,007,593
Trade and other receivables	102,566	102,566
Total Current Assets	6,855,011	8,110,159
Non-Current Assets
Property, plant and equipment	24,291	24,291
Available-for-sale financial assets	3,920,000	3,920,000
Exploration expenditure	657,491	657,491
Deferred tax asset	13,471	13,471
Other	22,500	22,500
Total Non-Current Assets	4,637,753	4,637,753

Superior Resources Limited

Total AssetsCurrent LiabilitiesPayablesIncome tax payableTotal Current LiabilitiesNon-Current LiabilitiesDeferred tax liabilityTotal Non-Current LiabilitiesTotal LiabilitiesNet AssetsEquityContributed equityReservesRetained profits / (Accumulated losses)Total Equity	Total AssetsCurrent LiabilitiesPayablesIncome tax payableTotal Current LiabilitiesNon-Current LiabilitiesDeferred tax liabilityTotal Non-Current LiabilitiesTotal LiabilitiesNet AssetsEquityContributed equityReservesRetained profits / (Accumulated losses)Total Equity	11,492,76412,747,912
		5,0005,0001,854,7721,854,772
		1,859,7721,859,772
	rent Liabilitiestax liabilityn-Current Liabilitiesbilitiestsed equity profits / (Accumulated losses)uity	1,363,2251,363,225
		1,363,2251,363,225
		3,222,9973,222,997
		8,269,7679,524,915
		755,8175,750,217416,500416,5007,097,4503,358,198
		8,269,7679,524,915
	fullyR RESOURCES LIMITED

Yours faithfully SUPERIOR RESOURCES LIMITED

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KEN HARVEY Managing Director