Iluka today issued the attached ASX Release relating to exploration activity in the Eucla Basin.

Key features:

�          Announced Inferred Mineral Resource for the Typhoon heavy mineral (“HM”) deposit, located in the Eucla Basin - located 4 kilometres south-east of Iluka’s Jacinth-Ambrosia mining operation.
 

�          Inferred Resource of 1.34 million tonnes of HM - combined ilmenite and leucoxene of 76 per cent and a zircon content of 14 per cent. The clay content is low at 10 per cent.

�          Represents approximately a 13 per cent increase on Iluka’s total HM resource base in the Eucla Basin as reported at 31 December 2009.

�          At a 3 per cent HM cut-off grade, the deposit is approximately 3 kilometres long, 80 metres to 400 metres wide, 1 metre to 21 metres thick and is located beneath 5 metres to 27 metres of sedimentary overburden.

�          Typhoon represents an opportunity to utilise existing infrastructure at Jacinth-Ambrosia to commercialise a satellite deposit.

�          Initial development concept is based on relocating existing mining equipment to the deposit and slurrying the ore to Jacinth-Ambrosia for concentrating.

�          The ilmenite and leucoxene based resource has the potential to provide feedstock for use in Iluka’s synthetic rutile kilns, together with some additional zircon production.

Iluka has also produced a briefing paper on Iluka's Exploration Focus, which provides some contextual information on Iluka's exploration activities, with specific reference to the recent history in the Eucla Basin.  Click here to view.

Please contact me if you require any further information.

Regards

Rob

Robert Porter | General Manager Investor Relations and Corporate Affairs
Iluka Resources Limited | Level 50, 120 Collins Street | Melbourne VIC 3000
Phone +61 3 9225 5481 | Mobile 0407 391 829 | Perth Corporate + 61 8 9360 4700

robert.porter@iluka.com