MEDIA RELEASE

21 AUGUST 2007

INDIA RESOURCES COMMENCES DRILLING NEW TARGETS

Diversified minerals developer India Resources (ASX:IRL) has commenced drilling on copper prospects in its Aravalli Project in Rajasthan.

The scout RC program is designed to test several prospects identified by the Geological Survey of India (GSI) in the Reconnaissance Permit (RP). The first prospects to be tested are Sathuddia and Rewara, both are in the top 10 ranked prospects identified in the RP and among the most accessible.

India Resources Chairman Michael Kiernan said the exploration program would target highly prospective copper regions to drive long term value for shareholders.

“Our in-country team is driving the development of India Resources’ projects in a timely fashion. We have really hit the ground running in India and the launch of this drilling program is another major step forward for shareholders.” Mr Kiernan said.

“We are also continuing the development of our primary Surda Copper mine project with promising geological analysis of historical mine data at Surda, and refurbishment of the plant continuing ahead of schedule.

“We are on track to commence mining in late 2007 with copper production in the first quarter of 2008,” Mr Kiernan said.

At the Sathuddia prospect, copper mineralisation occurs in amphibolite grade metasedimentary metamorphic rocks likely to be from the Palaeoproterozoic age. It is one of a number of prospects on a NE-SW linear schist belt that stretches from the permit boundary in the NE to Rajpura Dariba mine in the SW. The GSI reportedly drilled 12 holes here previously and intersected 2 lenses of Cu mineralisation.

At Rewara, several ancient workings occur across 300m strike on a flat plain, again with thin cover. GSI drilled 29 holes here for approximately 6700m targeting an airborne geophysical anomaly.

For further information, please contact:

Michael Kiernan                       Eoin Rothery                            Warrick Hazeldine

Chairman                                 Managing Director                   Purple Communications

Tel: +61 (0) 8 9324 7002           Tel: +61 (0) 8 9324 7009           Tel: +61 (0) 8 9485 1254

Mob: 0418 904 165                   Mob: 0420 904 332                   Mob: 0417 944 616

Background

India Resources Limited (ASX:IRL) is headquartered in Perth, Western Australia with the primary objective to maximize shareholder wealth by capital growth and dividend through the discovery of economic mineral deposits and the development of profitable mining operations. IRL has assembled a diverse range of projects to take advantage of the prospectivity and potential growth of the Indian economy which is opening up to foreign investment. The Company’s portfolio of assets comprises:

Hindustan Copper Limited - Surda Mine

The Company has the benefit of an alliance with Hindustan Copper Limited (HCL - a Government of India enterprise), the sole integrated producer of primary copper in India, listed on the Mumbai, Delhi, Kolkata and Madras exchanges. IRL are focussed on re-opening and operating HCL’s Surda Mine and Mosaboni Concentrator in Jharkhand State, with target of delivering annual production of 4,500 tonnes of copper concentrate. Trial mining is scheduled for late 2007, with first production early 2008.

Hindustan Copper Limited – Exploration MOU

IRL has the benefit of a Memorandum of Understanding (MOU) for general exploration on HCL’s various leases including tenure around the Surda Mine, and around HCL’s current operations at Malanjkhand and Khetri. IRL will undertake detailed evaluation of exploration areas to be determined in consultation.

Aravalli Project

Through IRL’s in-country consultants, the Company has acquired two Reconnaissance Permits in Rajasthan (north western India). The first permit is 50 kms northeast of Udaipur (1,900 square km) and the second permit is 20 km southeast of Ajmer (670 square km). Compilation of Geological Survey of India (GSI) summary reports has identified several highly prospective areas for copper, zinc, lead as well as gold lying within the Relmagra Reconnaissance Permit (RP). Efforts are being made to procure some of the background GSI reports that contain the raw data. These are normally charged for on a cost-return basis.

Coal

India produces 8% of the world’s coal and is hungry for more energy. Recently, the Government of India announced that captive coal blocks would be allocated to the private sector to supply power, cement and steel plants. IRL is currently holding discussions with Cook’s Construction Pty Ltd, Australia’s largest privately owned earth moving and mining contracting company with extensive coal mining experience, with a view to establishing a joint venture. It is intended that any resulting joint venture entity would apply for rights to explore and develop coal projects in India.

Diamonds

India was the major supplier of world diamonds in historic times and India is still the largest processor of diamonds – 11 out of every 12 diamonds are cut there. To date only one primary source has been mined and most of the major global diamond mining companies such as De Beers, Rio Tinto and BHP Billiton, have been searching in recent years for further primary kimberlite sources. IRL has taken the opportunity to acquire several prospective leases where kimberlite occurrences are known from the vicinity.

The geological and assay statements and commentary in the above update are based on information compiled by Eoin Rothery who is a member of the Australian Institute of Geoscientists. Mr Rothery has reviewed the information and has satisfied himself that the values quoted and the parameters used in the study are reasonable and accurately reflect the operations involved. Mr. Rothery is a full-time employee of India Resources Ltd and holds the position of Managing Director. Mr. Rothery has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration to quality 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. Rothery consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Visit: www.indiaresources.com.au

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