Australasian Resources Limited, through its 50% owned subsidiary International Minerals Pty Ltd, plans to develop the world-class Balmoral South Iron Ore Project in the Pilbara region of Western Australia. The Balmoral South deposit is located approximately 80km southwest of the town of Karratha and 30km from a port currently under construction by CITIC Pacific Mining Management Pty Ltd (CPMM) at Cape Preston, as part of the Sino Iron project located next to the Balmoral South Iron Ore Project.

Through a commercial transaction completed in June 2012 with Mineralogy Pty Ltd, International Minerals Pty Ltd is now a 50 – 50 Joint Venture which has the right to mine 2 Billion tonnes of magnetite ore, increased from its previously held 1 Billion tonnes. The increase in resources will enable the Project to expand its originally planned 12Mtpa production rate (Phase 1) to ultimately 24Mtpa (Phase 2). Phase 1 will produce 12Mtpa of high grade concentrate and pellets over a 25 year span. The company has completed a Feasibility Study on the project and is well advanced in obtaining the relevant approvals for the project.

In addition, the other signatories to the MOU are MCC HK, a subsidiary company of MCC of China whereby MCC HK has agreed to assist IM to raise 75% of the project cost by way of export credit from Chinese banks.

The Company has a number of non-iron ore assets including:

• Sherlock Bay Nickel Project;
• Cat Camp Nickel Project.