Highlights

Iron Ore (SA)

• World record price iron ore contract between Rio and Baosteel with 80% increase in the price for Hamersley fines.
• Drilling at the Tarcoola Iron Ore Project extends the deposits width of the iron zone (magnetite to 260m and identifies primary hematite mineralisation.
  
• Potential for secondary enriched hematite upgraded by geophysical modelling and drilling results. 

Tin (Tasmania)

• Tin price remains above US$22,000/t - and well supported by strong fundamentals.
• Preparations continue for IPO of tin focussed Columbus Metals - aiming for September quarter as market conditions permit.

Exploration

• Manganese project being assessed in South Australia.
• Metallurgical drilling completed on Perseverance Gold Project, SA.
• Stellar's interest in the Goldfinger Zinc project in NSW has increased from 60% to 80%.
• VTEM survey conducted over several areas in Tasmania.
• Drilling continuing on Kingoonya palaeochannel Uranium target (in JV with UraniumSA Limited).
• Sampling and Geophysical surveys commence on Panama Gold project, NSW (in JV with Carpentaria Exploration Limited).

Activities Diary for September Quarter 2008

• Tarcoola (Iron Ore) SA - RC drilling program to commence after detailed gravity survey.
• Pernatty (Manganese) SA - Progress geological evaluation of manganese potential on Stellar's 100% owned EL.
• Columbus Metals Limited (Tin) TAS - Progress towards IPO.
• Joint Ventures (Uranium) SA - Exploration ongoing.