SUPERIOR RESOURCES LIMITED — Capital/Financing Update 2011

May 12, 2011

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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

ASX RELEASE

13 May 2011

UNDILLA COOPERATION AGREEMENT

Superior Resources Limited (Superior) and Hapsburg Exploration Pty Ltd (Hapsburg) have agreed to cooperate to farmout their tenements in the Undilla area of northwest Queensland as a combined package and referred to as the Undilla Base Metal Project.

The tenements include exploration permits (EPMs) 16433 and 16436 held by Hapsburg and applications for EPMs 18840 and 19097 held by Superior. The total area of the tenements is in excess of 1200km[2] .

The cooperation agreement has a term of six months.

The project area is located 170km north-northwest of the Mount Isa copper and leadzinc-silver mines, 80km south of the Century lead-zinc-silver mine and 60km northwest of the Lady Loretta lead-zinc-silver deposit (Figure 1).

The project area encloses Cambrian sediments over the highly-prospective Proterozoic rocks which elsewhere contain a number of large lead-zinc-silver and copper deposits in the northwest Queensland area. The project area is considered to have very good potential for lead-zinc-silver deposits as indicated by a series of high-order lead soil and stream geochemical anomalies in compiled previous exploration data collected by previous explorers within the project area. Lead anomalies in streams and soils within the project area extend over an area of about 30km X 30km and the combined stream and soil anomaly compares favourably in size and intensity with the natural lead anomaly at Mount Isa (Figures 2 and 3). A number of untested airborne electromagnetic anomalies in surveys completed by previous explorers exist in the area (Figure 4). Drilling has been completed on the area by previous explorers but the amount of drilling is limited and many of the drill holes are shallow.

The two target types within the area are lead-zinc-silver deposits of the Mississippi Valley or Irish type within the Cambrian carbonate sediments and lead-zinc-silver deposits of the Mount Isa style within the Proterozoic rocks that lie below the Cambrian sediments. The Proterozoic rocks may also have potential for copper deposits.

In targeting prospective areas under cover, Superior has used the possibility of ‘leakage’ of metals (particularly lead and zinc) from mineralization in the Proterozoic rocks into the overlying cover rocks. This is suggested by anomalous lead and zinc contents within the Cambrian rocks adjacent to the Century and Grevillea lead-zinc-

Superior Resources Limited

silver deposits. If this concept is correct, the extensive lead anomaly at Undilla may reflect large Proterozoic lead-zinc-silver deposits beneath the Cambrian cover.

The Cambrian cover depth apparently varies from about 200m to 400m depth. Discovery of a deposit beneath this cover will require a large amount of drilling and this is beyond the capability of Superior or Hapsburg to fund and therefore a major explorer is being sought to undertake this work.

Parts of the Undilla project area lie within the high-preservation area of the Gregory Wild River’s declaration. The project area also contains areas shown as Endangered Regional Ecosystems which restrict exploration. Access for exploration is possible in other areas.

Combining Superior’s tenements and Hapsburg’s tenements into the one project provides an excellent opportunity for a major explorer to farmin to a large project with potential for large lead-zinc-silver deposits in a recognized world-class minerals province and with a number of already identified drilling targets.

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Ken Harvey Managing Director

Contact:

Mr Ken Harvey Ph (07) 3839 5099

Further Information: www.superiorresources.com.au

The information in this report that relates to Exploration Results is based on information compiled by Mr Ken Harvey, a full-time employee of the Company, who is a Member of the Australasian Institute of Mining and Metallurgy and a Member of the Australian Institute of Geoscientists. Mr Harvey has sufficient experience which is relevant to the style of 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 Harvey consents to the inclusion in this report of the matters based on his information in the form and context in which it appears.

Superior Resources Limited

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0 25 50km
Century
7,900,000 mN 7,900,000 mN
Grevillea
Undilla Base
Kingfisher
Metal Project
7,850,000 mN 7,850,000 mN
Mount Oxide
Gunpowder
Lady Annie Lady Loretta
7,800,000 mN 7,800,000 mN
Mount Kelly
7,750,000 mN 7,750,000 mN
Deposits
Copper
Lead-Zinc-Silver
Hilton
Mount Isa
Mount Isa
7,700,000 mN 7,700,000 mN
Mount Novitt
250,000 mE 300,000 mE 350,000 mE
250,000 mE 300,000 mE 350,000 mE
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Figure 1. Undilla Base Metal Project – Satellite image showing the location of the project with respect to the main copper and lead-zinc-silver deposits in the area. Superior’s other tenements in the area are shown in a lighter colour.

Superior Resources Limited

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0 25 50km
Century
7,900,000 mN 7,900,000 mN
500
Grevillea 400
300
Undilla Base
Kingfisher 200
Metal Project
100
0
Lead
(ppm)
7,850,000 mN 7,850,000 mN
Mount Oxide
Gunpowder
Lady Annie Lady Loretta
7,800,000 mN 7,800,000 mN
Mount Kelly
7,750,000 mN 7,750,000 mN
Deposits
Copper
Lead-Zinc-Silver
Hilton
The image in this map is derived from geochemical data
compiled by Terra Search Pty Ltd from historical stream
and soil geochemical surveys. The purpose of the
imaging is to provide an overall impression of the Mount Isa
mineralised areas. The process of creating the image Mount Isa
7,700,000 mNinvolves some 'smearing' of values. The colouring of the 7,700,000 mN
image is based on a linear stretch from 0 ppm (blue) to
500 ppm (magenta). Shading is used to highlight the
anomalous areas. The absence of data from the Mount
Mount Novitt
Isa Mining Lease reduces the apparent size and intensity
of the natural Mount Isa anomaly.
250,000 mE 300,000 mE 350,000 mE
250,000 mE 300,000 mE 350,000 mE
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Figure 2. Undilla Base Metal Project – Image generated from the compiled historical lead stream and soil geochemistry in northwest Queensland showing the extensive high-order lead geochemical anomaly within the project area.

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Superior Resources Limited
0 5 10km
7,860,000 mN 7,860,000 mN
Gregory Wild River
High Preservation Area
Harris Creek
AEM Anomaly
Undilla Base
500 Metal Project
400
300
EPM18840 (Superior)
200
100
0
Lead
(ppm)
7,840,000 mN 7,840,000 mN
EPM16433 (Hapsburg) EPM16436 (Hapsburg)
EPM19097 (Superior)
Undilla
7,820,000 mN 7,820,000 mN
Figure 3. Undilla Base Metal Project – Image of the compiled historical lead soil geochemistry in
the Undilla area showing the high-order lead geochemical anomalies that exist within the project
area. The location of the Harris Creek airborne electromagnetic anomaly is also indicated.
0 2.5 5km
7,860,000 mN 7,860,000 mN
Wild Rivers
High Preservation Area
(6,805 sq kms)
Harris Creek
Geotem Anomaly
7,850,000 mN 7,850,000 mN
EPM18840
Data Source:
Geotem DEEP
BHP Urandangi and Barkly
Geotem Deep Surveys Channel 16X
Regional Structure
Structure
Regional Structure
mE0
220,000 mE 240,00 260,000 mE
220,000 mE 0,000 mE 4 2 260,000 mE
250,000 mE 260,000 mE 270,000 mE
250,000 mE 260,000 mE 270,000 mE
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Figure 3. Undilla Base Metal Project – Image of the compiled historical lead soil geochemistry in the Undilla area showing the high-order lead geochemical anomalies that exist within the project area. The location of the Harris Creek airborne electromagnetic anomaly is also indicated.

Figure 4. Undilla Base Metal Project – Geotem DEEP channel 16X image showing the Harris Creek Geotem Anomaly, which is one of the Proterozoic targets in the area.