Equatorial Resources Limited (ASX:EQX) Confirm High Grade Hematite Up To 61.6% Iron At Mayoko-Moussondji Project in Congo

Perth, Nov 12, 2010 AEST (ABN Newswire) - Equatorial Resources Limited (ASX:EQX) is pleased to announce encouraging results from initial reconnaissance rock chip sampling on the Company's 100% owned Mayoko-Moussondji Iron Project (the "Project") located in the Department of Niari in the South West region of the Republic of Congo ("ROC").

A total of 17 non-systematic rock chip samples were collected during the September 2010 field program to establish the geology and prospectivity of the Project area and to provide supporting data for the interpretation of the geophysics data. The samples were submitted for analysis at Intertek Genalysis in Perth, Western Australia and complete results are listed in Table 2 (see link at the bottom of the release). The rock chip samples represent material exposed at surface and have returned encouraging results including iron grades up to 61.6% Fe. The highest grade samples, listed in Table 1 (see link at the bottom of the release) below, originate from zones of hematite enrichment, which initial field observation suggest are present over much of the surface areas of the main prospects. While additional sampling and mapping is required to determine the extent and continuity of this material, the Company is very encouraged by the assay results and the potential for significant quantities of high grade hematite iron mineralisation.

These high grade assay result are extremely pleasing and confirm the presence of supergene enriched hematite at surface. Equatorial is particularly encouraged by results from the Makengui prospect where the recent high resolution airborne magnetic survey defined a strongly magnetic anomaly with a 12km strike length, and up to 2km of width. The Makengui prospect is considered to have the potential to define a substantial zone of enriched material which could represent large tonnages of material capable of direct shipping and thus presents a compelling exploration target for drilling.

POTENTIAL FOR HEMATITE CAP AT MAYOKO MOUSSONDJI

BRGM originally identified the Mayoko-Moussondji Iron Project by identifying 9km of elevated ridges prospective for hematite and magnetite rich itabirite iron mineralisation. The previously announced results of Equatorial's airborne geophysics program has increased this potential strike length to more than 46km. BRGM characterised the metasedimentary rock formations of the area as appearing to host itabirite iron mineralisation. This style of mineralisation is typical of West African iron ore deposits and generally consists of alternating bands of magnetite and silica which contain iron grades ranging from 25% and 40% iron. The attraction of West African itabirite ore bodies, as compared to West Australian magnetite bodies, is the potential they have for low cost beneficiation into a saleable grade iron product.

Near surface weathering processes may result in the enrichment of this type of iron mineralisation into predominately hematite bodies of iron grades which make this material suitable for direct shipping. These weathered zones often appear as a "hematite cap" overlaying large magnetite rich itabirite ore bodies. The extensive zones of iron mineralisation identified at Mayoko-Moussondji by field staff and supported by high resolution airborne magnetic interpreted data indicate the potential for significant tonnage of itabirite style mineralisation.

Equatorial's exploration program is focused on assessing the potential for, and identifying, hematite rich weathered zones which may cap large bodies of itabirite mineralisation. Any such cap would have potential to host hematite material suitable for direct shipping.

The Project can be accessed via road, rail and air from the Company's head office in Pointe-Noire. The Project area is located approximately 5km from the village of Mayoko and is characterised by rugged topography and vegetation. With the assistance of local guides Equatorial field staff located and, via GPS, mapped a network of logging roads throughout the Project area. These roads are in excellent condition and will facilitate access to the identified prospects for drilling campaigns and further field work. Importantly the logging roads cover a significant proportion of the Makengui Prospect which will be the focus of the Company's maiden drilling campaign due to commence in the first quarter of 2011. The Eastern edge of the Makengui Prospect lies 500m from the operational, heavy haulage railway line that connects the Project to the deep water port facilities at Pointe-Noire.

Receipt of the rock chip assay results and related petrography, magnetic susceptibility, and specific gravity data will now enable the finalisation of the detailed interpretation of the airborne geophysical survey completed by the Company. As previously announced the interpretation will include 2D and 3D modelling of the data and is focused on the identification of exploration targets for the Project. Equatorial has commenced negotiations with drilling contractors and planning is underway to commence a drilling campaign at Mayoko-Moussondji in the first quarter of 2011.

For the complete Equatorial Resources announcement including figures and tables, please refer to the following link:

http://www.abnnewswire.net/media/en/docs/64162-ASX-EQX-514987.pdf

Contact

John Welborn Managing Director & CEO Tel: +61-8-9322-6322 Email: info@equatorialresources.com.au http://www.equatorialresources.com.au