Brockman Resources Limited (ASX: BRM)

ASX RELEASE                       16 JULY 2008

4          Contract for consulting and engineering services for Marillana Stage 1 Definitive Feasibility Study (DFS) awarded to Engenium Pty Ltd.

4           DFS for 2Mtpa operation to commence immediately, and scheduled for completion in the first quarter of CY2009.

4          Project Manager to be appointed to lead the DFS and construction programme.

Western Australian iron ore company, Brockman Resources Limited (ASX Code: BRM ? ?Brockman?), has moved quickly to capitalise on its recent fund raising, today announcing that a key contract for the Stage 1 Definitive Feasibility Study (DFS) for the Company?s flagship 100%-owned Marillana Iron Ore Project has been awarded to Perth-based project management and engineering group, Engenium Pty Ltd.

Engenium completed the recent Scoping Study for the Marillana Project, and has significant experience in the development of iron ore infrastructure, with particular expertise in railway installation.

Managing Director of Brockman Resources, Mr Wayne Richards, said the DFS for the Stage 1 development at Marillana would commence immediately.

?Stage 1 of the Marillana Project consists of the establishment of a processing plant and infrastructure for an initial start up rate of 2 million tonne per annum (Mtpa) production, with mining expected to commence in late 2009,? Mr Richards said. ?With the appointment of Engenium to manage this DFS, we intend to commence work immediately and will seek to appoint a Project Manager within the next few weeks to lead both the DFS and construction activities.?

Brockman has also flagged its intention to enter into early contract negotiations with potential mining and construction contractors for the start up of Stage 1 mining and processing operations at Marillana.

?Our aim is to move the Marillana Project through to production as quickly as possible to leverage from the current strength in the global iron ore market,? Mr Richards commented.  ?While the Stage 1 DFS is ongoing, we intend to also undertake a Feasibility Study for Stage 2 of the project development, which will involve a processing plant and additional infrastructure to support an initial 15mtpa operation.?

The award of the Stage 2 Feasibility Study contract is scheduled for August 2008.

In March 2008, Brockman announced a major upgrade in the JORC Code Compliant Mineral Resource estimate for the Marillana Project to 1.1 billion tonnes.  The expanded Indicated and Inferred Mineral Resource estimate includes a Beneficiation Feed Mineral Resource of 1.06 billion tonnes grading 44.2% Fe, with the potential to generate 625 million tonnes of beneficiated haematite at an average grade of 59.2% Fe.  When combined with the current DSO Mineral Resource of 56.2 million tonnes @ 57.5% Fe, the total potential shipping inventory at Marillana equates to 680 million tonnes of haematite ore. 

Brockman also completed a positive Scoping Study for the Marillana Project in April which indicated a potential A$1 billion Net Present Value (NPV) for a 10Mtpa project development.  The Scoping Study was commissioned prior to the recent resource upgrade, and was based on the previously announced conceptual exploration target of 100 million tonnes of Direct Shipping Ore.

The Marillana Project is located 100km north of Newman between the Hamersley Ranges and Fortescue River Valley in Western Australia?s world-class Pilbara iron ore region.  The tenements surrounding the Marillana licence area, E 47/1408, are held by high-profile iron ore producers and developers Rio Tinto, BHP Billiton, Hancock Mining and Fortescue Metals Group.

- ENDS -

Released by:                                           On behalf of:

Nicholas Read / Kate Bell                         Mr Wayne Richards

Read Corporate                                         Managing Director

Telephone: (+61-8) 9388 1474                     Brockman Resources Limited

Telephone: (08) 9388-0866

References to Exploration/Production targets and Potential

Brockman has not yet reported any ore reserves from its Marillana Project.  While the Company remains optimistic it will report reserves in the future, any discussion in relation to production targets is only conceptual in nature as there has been insufficient work to define a Mineral Reserve and it is uncertain if further work will result in the determination of a Mineral Reserve.

Competent Person?s Statement

The information in this report that relates to Mineral Resources is based on information compiled by Mr M Nimmo and Mr A Zhang.

Mr M Nimmo, who is a Member of the Australasian Institute of Geoscientists and a full-time employee of Snowden Mining Industry Consultants Pty Ltd produced the Mineral Resource estimate based on the data and geological interpretations provided by Brockman.  Mr Nimmo has sufficient experience that is relevant to the style of mineralisation, type of deposit under consideration and to the activity that 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 Resource and Ore Reserves.  Mr Nimmo consents to the inclusion in this report of the matters based on his information in the form and context that the information appears.

Mr A Zhang, who is a Member of the Australasian Institute of Mining and Metallurgy and a full-time employee of Brockman Resources Ltd provided the geological interpretations and the drillhole data used for the Mineral Resource estimation.  Mr Zhang has sufficient experience that is relevant to the style of mineralisation, type of deposit under consideration and to the activity that 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 Resource and Ore Reserves.  Mr Zhang consents to the inclusion in this report of the matters based on his information in the form and context that the information appears.

READ CORPORATE
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