23 October 2008

DRILLING EXPANDS HIGH GRADE NICKEL-COPPER ZONES AT NACHINGWEA

IMX Resources NL (ASX:IXR) is pleased to report the second batch of assay results from the 2008 Nachingwea JV drilling program in Tanzania have been announced by JV partner TSXV listed Continental Nickel Limited (?CNI?), in which IMX Resources has a substantial shareholding of 47.3%.

Excellent results continue to be reported from the NAD013 and J Zones with 13 out of the additional 17 holes reported intersecting high grades of nickel and copper in sulphide and oxide mineralisation. To date 106 drill holes totalling 12,888 metres have been drilled in 2008, with results reported for 27 holes. 

The highlights of the drill assays received are:

NAD013 Zone:

?         17.41% nickel and 3.27% copper over 1.60m within a wider 6.25m interval grading 5.48% nickel and 2.05% copper in hole NAD08-080

J Zone:

?         34.0 m grading 1.66% nickel and 0.23% copper from drill hole NAD08-90

?         4.37% copper over 22.0 m from oxide mineralisation in NAD08-096

Duncan McBain, Manager Director of IMX Resources said ?These high grade results at Ntaka yet again confirm our belief in the potential of the Nachingwea region.?

?We have no doubt that the 2008 drilling will continue to deliver outstanding results?.

NAD013 Zone

The drilling has again confirmed the high grade nature of the NAD013 sulphide nickel-copper discovery zone, with 1.60m of 17.41% nickel and 3.27% copper intersected at 130.95m within a wider 6.25m interval grading 5.48% nickel and 2.05% copper in hole NAD08-080. This sulphide intersection occurs approximately 80m southwest of 2007 hole NAD07-19 where 17.11% nickel and 2.7% copper was intersected at 48.95m.

Fifteen drill holes (totalling 2,150 metres) have been completed this year at the NAD013 zone on twenty-five metre spaced drill sections.  Assays have been received for an additional five holes reported herein for a total of eight holes reported to date. In addition to the NAD08-080 intersection, all holes intersected massive sulphide mineralisation (Table 1) with hole NAD08-086 0.55m at 5.08% nickel and 0.73 copper from 133.85m downhole. Other previously reported 2008 intersections include 14.61% nickel, 3.04% copper and 0.20% cobalt over 1.85m, and 14.95% nickel, 5.46% copper and 0.21% cobalt over 1.30m within a 6.35m interval grading 7.46% nickel, 2.04% copper and 0.10% cobalt in drillhole NAD08-078.

The sulphide zone has now been traced for 150 metres along strike and remains open in both directions with the drilling and downhole EM surveying confirming that the NAD013 zone is folded and plunges southwest.  The mineralisation is similar to the high grade mineralisation intersected in 2006 and 2007 with some of the best results reported being 1.90m @ 17.11% Ni, 2.71% Cu and 0.19% Co, 3.00m @ 11.23% Ni, 1.74% Cu and 0.15% Co and 5.2m @ 4.45% Ni and 3.01% Cu.

From the drilling and downhole EM surveys it appears that the NAD013 sulphide zone thins rapidly up-dip and down-dip but remains open along strike and down plunge to the southwest. Drilling is planned to test the area along strike to the northwest where the zone remains open.

Please follow the following link for Figure 1: Ntaka NAD013 Zone 2008 drilling latest intersections :

http://www.purplecom.com.au/_content/documents/965.JPG

J Zone

Twenty-nine drill holes totalling 2,274 metres have been completed on 25m spaced sections over a strike length of 250m at J Zone. Additional assay results have been received for twelve drill holes for a total of nineteen holes reported to date.  The results continue to expand the sulphide and oxide mineralisation at J Zone with several additional wide, high grade intersections. New intersections include 34.0 m grading 1.66% nickel and 0.23% copper from drill hole NAD08-90 from the sulphide zone and 22.0 m at 4.37% copper and 0.65% nickel from the oxide copper-nickel zone in NAD08-096.

The drilling has extended the sulphide portion of the J Zone by 50m along strike to the south over a total strike length of 175m. Disseminated, net-textured and massive sulphides were intersected at shallow depths (20 to 60m vertically) and extends down a shallow westerly dip for up to 75m.  Mineralised intersections vary from less than 3m to 34m.  The J Zone mineralisation appears to be open down plunge and  may be localised along a natural sulphide channel which has been disrupted by faulting.

On the east side of the sulphide zone, the J Zone outcrops as surface copper gossans which contain malachite and azurite.  The oxide zone has been extended along strike for 200 metres with a dip length up to 50 metres.  Drill intersections vary from several metres to 22.0 metres as in NAD08-096.  In addition significant zones of sulphide mineralisation have also been confirmed underlying the shallow oxide mineralisation including 3.24% nickel and 0.24% copper over 10.0 metres from hole NAD08-085 and 7.0 metres grading 3..72% nickel and 0.32% copper from hole NAD08-095.

Please follow the following link for Figure 2: Ntaka J Zone 2008 drilling, latest intersections:

http://www.purplecom.com.au/_content/documents/966.JPG

Additional drilling is planned to test for strike extensions to the north where the sulphide zone remains open and where EM targets have been identified.

Continental Nickel has indicated that with the demonstrated continuity of mineralisation at the NAD013 and J Zones, there is a high probability that resources could be defined at both zones upon completion of the 2008 drill program.

Regional Exploration

Work to date has confirmed the presence of favourable ultramafic rocks at two of the 2007 VTEM target areas. Drilling has now commenced on specific ground TDEM targets associated with ultramafic rocks located 7 kilometres south of the Ntaka intrusion.  It is anticipated that 3,000 to 5,000 metres of drilling will be completed on new target areas in 2008.

Please follow the following link for Figure 3: New targets indentified from 2007 VTEM program:

http://www.purplecom.com.au/_content/documents/967.JPG

The new VTEM survey covering 1,000km² of regional areas flown in July 2008, is currently being processed.

The TSXV release outlining the full analytical results received is attached.

Nachingwea Holding Structure

The IMX Resources interests in the Nachingwea project are held indirectly through a 47.3% interest in Continental Nickel, which holds a 70% interest in the Tanzanian JV company, Ngwena Limited. Ngwena is the licence holder for the Nachingwea tenements. IMX Resources also holds a 30% direct interest in the project through a 30% interest in Ngwena.

IMX Resources 30% interest is free carried up to the completion of a feasibility study or the expenditure of Cdn$15m. Continental Nickel can earn an additional 5% on completion of the feasibility study and a further 5% upon the expenditure of Cdn$15m.

DUNCAN MCBAIN

MANAGING DIRECTOR

For further information, please contact:

Duncan McBain                                                Investor Relations

Managing Director                                          Warrick Hazeldine

Tel: +61 8 9486 8688                                        Purple Communications

E: dmcbain@imxres.com.au                       Tel +61 8 9485 1254

                                                                                E: whazeldine@purplecom.com.au

About IMX Resources NL

IMX Resources NL (ASX:IXR) ? is headquartered in Perth, Western Australia, is listed on the Australian Stock Exchange (ASX) with a current market capitalisation of approximately $75m.

IMX Resources is an active diversified mining company with projects in South Australia, Tasmania and Tanzania, East Africa, focusing on a range of commodities including iron-ore, nickel, gold, copper, platinum and uranium.

The company is disciplined in following a careful strategy to maximise shareholder value by discovering and developing ore bodies. IMX Resources achieves this by participating in multiple, quality exploration projects in joint ventures with global mining companies, and by listing spin-off companies, to ensure programs with high potential are well-funded, while retaining a significant interest to provide exposure for IMX Resources shareholders. In  2008  it  is  anticipated  that  IMX  Resources shareholders  will  have  leverage  to approximately  $17m  of  exploration,  with  IMX Resources contributing around $1.5m.

IMX Resources 100%-owned project is Cairn Hill, 55 kilometres south-east of Coober Pedy, South Australia. This unique magnetite Fe ? Cu ? Au project is close to the Darwin to Adelaide railway line. Phase 1, which is currently under development, is a DSO magnetite project, studies indicate this project has excellent rates of return. Testwork indicates that the ore produces a premium coarse grained magnetite product, with a clean saleable Cu / Au concentrate. IMX Resources has a three year sales offtake agreement with Jilin Tonghua Iron & Steel (Group) Mining Co Ltd for the DSO magnetite production.  Beyond Phase 1, testwork has commenced on Phase 2 of the project targeted at producing a premium grade magnetite concentrate. Phase 3 is focussed on the 90% of the 40km of magnetic anomalies remain largely undrilled. The upside for Cairn Hill remains the definition of further resources to support a long term 3-5mtpa operation.

In Tanzania, Lonmin Plc is earning interest in IMX Resources Mibango platinum joint ventures.  Lonmin currently funds and operates the exploration at Mibango.

IMX Resources spun off 70% of the Nachingwea Nickel - Copper project in Tanzania into a Continental Nickel Limited (TSXV:CNI) in August 2007. IMX Resources currently holds 47.3% of Continental Nickel and retains a 30% free carried interest in the Nachingwea Nickel - Copper project through a joint venture company structure.

IMX Resources owns 39.5% of Uranex (ASX:UNX), a spin-off company from IMX Resources, which listed on the ASX in October 2005 and is dedicated uranium company with assets in Australia and Tanzania.

Visit: www.imxresources.com.au

Press Release

Continental Nickel Expands High Grade Nickel-Copper Zones at the Nachingwea Project, Tanzania,

Drill results include 5.48% Nickel and 2.05% Copper over 6.25 metres and

2.56% Ni and 0.34% Cu over 16.0 metres

Toronto, Ontario (October 22, 2008):  Continental Nickel Limited (TSXV: CNI) is pleased to announce additional assay results from the second season of drilling on its 70% owned Nachingwea nickel sulphide project in Tanzania.  The Nachingwea project is a 70:30 Joint Venture with IMX Resources NL (?IMX?) of Australia.  Continental Nickel is conducting a C$7.0 million exploration program at Nachingwea in 2008 and is well funded with over C$16 million in the treasury.

Two Diamond drills have been operating since July and it is anticipated that over 15,000 metres of Diamond drilling will be completed before year end.  One drill continues to outline sulphide zones in the Ntaka intrusion where six new nickel-copper sulphide zones were discovered in the first season of drilling in 2007, while a second drill has begun drill testing regional targets identified in the 2007 VTEM survey.

One hundred and six (106) drill holes totalling 12,888 metres have been completed to date in 2008.  Assay results have been received for an additional seventeen Diamond drill holes (see attached Table and Figures) for a total of twenty-seven drill holes reported year to date.  Excellent results continue as thirteen out of the seventeen drill holes reported in this release intersected high grades of nickel and copper in sulphide and oxide mineralization. The highlights include 6.25 metres grading 5.48% nickel and 2.05% copper, including 17.41% nickel and 3.27% copper over 1.60 metres from drill hole NAD08-080 at the NAD013 sulphide zone, and 16.0 metres grading 2.56% nickel and 0.34% copper, within a wider interval of 34.0 metres grading 1.66% nickel and 0.23% copper from drill hole NAD08-90 at the J sulphide zone.  In addition drill hole NAD08-096 returned 4.37% copper over 22.0 metres from oxide mineralization at the J Zone.  The remaining assay results will be reported as they are received and verified.

NAD013 Zone:

Fifteen drill holes (totalling 2,150 metres) have been completed this year at the NAD013 sulphide zone on twenty-five metre spaced drill sections.  Assays have been received for an additional five holes reported herein for a total of eight holes reported to date.

The newly reported drill intersections confirm high grade nickel-copper sulphide mineralization over a 150 metre strike length with the zone remaining open in both directions.  The current drilling and borehole EM surveying indicate the NAD013 zone is folded and plunges southwest where it appears to thin. 

Mineralization intersected remains similar to the high grade mineralization intersected in 2007 with the 2008 drilling returning some of the longest intersections to date (not established as true thickness) including 6.25 metres grading 5.48% nickel and 2.05% copper from hole NAD08-080 and hole NAD08-078 (previously reported September 19, 2008) which intersected 6.35 metres grading 7.46% nickel and 2.04% copper.

Drill holes have been planned to test for strike extensions to the northwest and down plunge to the southwest.

J Zone:

Twenty-nine drill holes totalling 2,274 metres have been completed in this year?s work program on sections spaced 25 metres apart over a strike length of 250 metres.  Additional assay results have been received for twelve drill holes for a total of nineteen holes reported to date.  The results continue to expand the sulphide and oxide mineralization at J Zone. 

The sulphide portion of J Zone has been extended a further 50 metres along strike to the south where drilling continued to intersect disseminated, net-textured and massive sulphide mineralization.  The sulphide mineralization now extends from 1075N to 1250N for a total strike length of 175 metres.  The mineralization occurs at shallow depths (20 to 60 metres vertical), extends down a shallow westerly dip for up to 75 metres and is interpreted to be localized along a sulphide channel locally disrupted by faulting.  Mineralized intersections vary from less than 3 metres to 34 metres, averaging 19 metres.  Given the early stage of drilling, true thicknesses have not yet been determined, but drill intersections are thought to be close to true thicknesses.

New assay results from the sulphide portion of the zone include 16 metres grading 2.56% nickel and 0.34% copper from drill hole NAD08-090 within a wider intersection of 1.66% nickel and 0.23% copper over 34.0 metres.  In addition significant zones of sulphide mineralization have been confirmed underlying the shallow oxide mineralization including 3.24% nickel and 0.24% copper over 10.0 metres from hole NAD08-085 and 7.0 metres grading 3.72% nickel and 0.32% copper from hole NAD08-095.

Drilling now appears to have cut off the sulphide portion of J Zone along strike to the north on section L1275N.  However a down plunge extent may still be preserved south of L1000N which will be drill tested.

The oxide mineralization overlying the eastern edge of the sulphide zone and extending to surface up dip to the east is characterized by the presence of abundant iron and copper oxides, the latter comprised of malachite and azurite.  The oxide zone has been extended along strike for 200 metres from line 1050N to 1250N with a dip length up to 50 metres.  Drill intersections vary from several metres to 22.0 metres.  The best intersection so far obtained from oxide mineralization is from drill hole NAD08-096 which graded 4.37% copper and 0.65% nickel over 22.0 metres.

Regional Exploration:

Ground TDEM surveys continue over several new target areas identified in the 2007 airborne VTEM survey.  The targets are similar in size, and have similar magnetic and electromagnetic characteristics to the sulphide-bearing Ntaka Intrusion.  Work to date has confirmed the presence of favourable ultramafic rocks at two of the target areas and drilling has now commenced on specific ground TDEM targets associated with ultramafic rocks located 7 kilometres south of the Ntaka intrusion.  It is anticipated that 3,000 to 5,000 metres of drilling will be completed on new target areas in 2008.

Craig MacDougall, President & CEO of Continental Nickel Limited, reported ?step out drilling continues to successfully expand the extents of the mineralized zones at both NAD013 and J Zones with results confirming solid intervals of mineralization with attractive and in some cases exceptional grades.  With the initial discoveries from our first exploration season, last year, now moving to the drill delineation stage, the Nachingwea project is quickly evolving into an exceptional and advancing new nickel sulphide project for which few can compare globally.?

Quality Control

The drilling was completed by Tandrill Limited of Tanzania.  Drill core samples (NQ) are cut in half by a Diamond saw on site.  Half of the core is retained for reference purposes.  Samples are generally 1.0 metre intervals or less at the discretion of the site geologists. Sample preparation is completed at the ALS Chemex preparation lab in Mwanza, Tanzania.  Sample pulps are sent by courier to ALS Chemex analytical laboratory in Vancouver, Canada.  Blank samples and commercially prepared and certified Ni sulphide analytical control standards with a range of grades are inserted in every batch of 20 samples or a minimum of one per sample batch.  Analyses for Ni, Cu and Co are completed using a peroxide fusion preparation and ICP-AES finish (ME-ICP81).  Analyses for Pt, Pd, and Au are by fire assay with an ICP-AES finish (PGM-ICP23).

The quality control, technical information and all aspects of the exploration program were supervised by Patricia Tirschmann, P.Geo., Vice President, Exploration for CNI, and a qualified person as defined by National Instrument 43-101.

About Continental Nickel

Continental Nickel Limited is an exploration company focused on the exploration and discovery of nickel sulphide deposits in geologically prospective, but under explored regions globally.  Current projects include its 70% controlling interest in the Nachingwea project in Tanzania and an option joint venture on the St Stephen project in New Brunswick, Canada.  Continental Nickel has 30,062,395 shares issued and outstanding (33,060,916 on a fully-diluted basis) and trades on the TSX Venture Exchange under the symbol CNI. 

On behalf of

Continental Nickel Limited

?Craig MacDougall?

President & Chief Executive Officer

For further information please contact:

Continental Nickel Limited

Craig MacDougall, P. Geo.

President and CEO

Tel: (416) 364-7111

Fax: (416) 364-8114

E: info@continentalnickel.com

Web site: www.continentalnickel.com

CAUTIONARY STATEMENT:  The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.  This News Release includes certain ?forward-looking statements?.  All statements other than statements of historical fact, included in this release, including, without limitation, statements regarding potential mineralization and reserves, exploration results, future plans and objectives of Continental Nickel Limited, are forward-looking statements that involve various risks and uncertainties.  There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.  Important factors that could cause actual results to differ materially from Continental Nickel Limited?s expectations are the risks detailed herein and from time to time in the filings made by Continental Nickel Limited with securities regulators.

Information in this announcement relating to exploration results is based on data compiled by Patricia Tirschmann, P. Geo., who is a registered member of the Association of Professional Geoscientists of Ontario and who is a full-time employee of the company.  Patricia Tirschmann has sufficient relevant experience to qualify as a Competent Person under the 2004 Edition of the Australasian Code for the Reporting of Exploration Results, Mineral Resources and Ore Reserves.  Patricia Tirschmann consents to the inclusion of the data in the form and context in which it appears.

Table I:  Summary of Recent Assay Results, Nachingwea Project, Tanzania.

Note:  Intervals represent core lengths, not necessarily true widths.  Pt, Pd and Au assay results are

 not reported because in general, they are less than 1.0 g/t on a combined basis.

NSA ? No Significant Assays

* - Mineralized zone oxidized

** - Additional assays pending

*** - Drill Hole NAD08-093 had 3.0 metres of core loss between 19.0 to 23.0 metres

To see Figures 4, 5, & 6, please follow the following links:

http://www.purplecom.com.au/_content/documents/968.JPG

http://www.purplecom.com.au/_content/documents/969.JPG

http://www.purplecom.com.au/_content/documents/970.JPG

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