Brockman Resources Limited (ASX: BRM)

BROCKMAN WELCOMES HIGH COURT RULING ON DECLARATION OF

PILBARA RAIL LINES

?                     High Court of Australia has dismissed an appeal by BHP Billiton, upholding an NCC decision that part of BHP Billiton?s Mt Newman and Goldsworthy railway lines be declared a ?service? under the Trade Practices Act.      

?                     Decision represents a significant opportunity for the development of the Marillana Iron Ore Project, with the Mt Newman rail line running directly through the Marillana Project area.

Western Australian iron ore company, Brockman Resources Limited (ASX Code: BRM), has welcomed the unanimous decision handed down by the High Court of Australia yesterday which ruled that BHP Billiton?s Mt Newman and Goldsworthy railway lines are not part of the BHP production process ? paving the way for Brockman to negotiate access to the railway lines in accordance with the 2004 National Competition Council (NCC) ruling.

The High Court Ruling was in relation to an application made by Fortescue Metals Group (FMG) for access to part of BHP Billiton?s Mt Newman and Goldsworthy railway lines by having them declared as a service under Part IIIA of the Trade Practices Act 1974.  The High Court?s decision yesterday represented a unanimous dismissal of BHP Billiton?s appeal against the declaration of the railway lines as a service.

Managing Director of Brockman Resources, Mr Wayne Richards, said the High Court?s decision has the potential to greatly increase the profitability and probability of Project development of Brockman?s flagship Marillana Iron Ore Project, via providing the Company with the opportunity to negotiate access to key rail infrastructure necessary to transport iron ore from Marillana to the port at Port Hedland. 

The Marillana ore body lies within three kilometres of BHP Billiton?s Mt Newman rail line, which traverses the mining tenement, and is within forty kilometres of Rio Tinto?s rail line.

?The High Court decision provides a clear definition that the Pilbara railway lines are not deemed a part of a production process,? Mr Richards said.  ?This is a very important step in building a framework for third party access to the Pilbara infrastructure.?

The High Court ruling follows the confirmation last month that Brockman had secured a major infrastructure breakthrough, with the Western Australian State Government confirming the reservation of two new multi-user berths in the Port Hedland inner harbour for the North West Iron Ore Alliance ? of which Brockman is a founding member ? and other potential junior producers. 

The Marillana Project has a current JORC Code compliant resource estimate of 1.6 billion tonnes of hematite mineralisation, and a total estimated shipping inventory (Direct Shipping Ore plus beneficiated ore) of 952 million tonnes of marketable product grading 57.4-60.0% Fe.

The Company is currently completing a Definitive Feasibility Study for Stage 1 development at Marillana, which 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.  Stage 2 development will involve ramping up to a long-term production level of 15 to 25 million tonnes per annum in 2012.  Brockman has current cash reserves of $106M, sufficient to see the Marillana Project into early production.

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 -

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 he 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 Limited, 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.

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