Rex Minerals (RXM)

Shares / Stock Code

RXM

Stock Exchange / Sharemarket

ax

Rex Minerals (RXM) is an Australian minerals exploration and development company with a large-scale copper project in South Australia and a copper, gold and silver project in New South Wales. On South Australia’s Yorke Peninsula, Rex seeks to discover multiple copper deposits leading to the development of a large, low-cost and long life mining operation.

In New South Wales, Rex’s Mt Carrington project has existing gold and silver Resources and a shallow copper discovery which may provide the Company with a shorter term development option. Rex is progressing with both projects to identify the optimal development paths that will lay the foundations for continued growth as a diversified exploration and mining company. Company was listed on Australian Stock Market (ASX) on 20 September, 2007.

The Company has 100% ownership over a 60 kilometer section of the Pine Point Copper Belt (PPCB) on the Yorke Peninsula of South Australia between Pine Point, Ardrossan and White Cliffs. A total of five diamond drill holes were completed in April 2009, at the Parara prospect. As of June 30, 2009, Rex Minerals was exploring for multiple large scale copper-gold-uranium deposits on the Yorke Peninsula, South Australia.

Copper-Gold-Uranium Projects

Rex Minerals has exploration licences in one of the most prospective locations in the world for large-scale copper, gold and uranium deposits. The licences are located in South Australia, within a geological terrane called the Gawler Craton. The Gawler Craton hosts Australia’s largest historical copper mines which occur at Moonta, which is within 50 kilometres of Rex’s exploration licences on the Yorke Peninsula.

Most of the rocks in the Gawler Craton are covered by a sequence of younger rocks that have effectively hidden many large copper deposits from the early explorers. In more recent times, exploration underneath these cover rocks has lead to the discovery of Olympic Dam – which is Australia’s largest copper deposit and also one of the world’s largest polymetallic deposits. Additional discoveries such as Prominent Hill and Carapateena have shown that there is further potential to uncover large-scale copper deposits within the Gawler Craton.

In 2009 Rex made a significant copper discovery at the Hillside Project, which is situated within a two hour drive of Adelaide on the Yorke Peninsula. The Hillside Project is one of many targets that exist along the Pine Point Copper Belt, which are the foundation to Rex’s objective of creating a new large-scale and long-life copper operation in South Australia. At Hillside, Rex has discovered copper mineralisation on three separate structures, the Zanoni, Parsee and Songvaar. These structures are broadly defined by a magnetic anomaly that has been defined over an area that is 2 kilometres long and 500 metres wide.

Drilling at Hillside has defined extensive copper mineralisation associated with this magnetic anomaly. The copper has been defined from 10 metres beneath the surface to a depth of over 500 metres.The high-grade copper mineralisation has been identified within a series of vertically orientated structures, which are often surrounded by extensive lower grade copper mineralisation. It is the combination of all of these structures which are postulated by Rex to lead to a new large-scale mining opportunity at Hillside.

Economies of scale are very important for the profitability of most copper mines in the world today, and Rex has determined that the most favourable outcome for the Hillside project will be to pursue large- scale bulk mining options.