Aurox Resources (ASX:AXO) Announce A Significant Upgrade To The Balla Balla Magnetite Project

Perth, April 29, 2008 AEST (ABN Newswire) - Pilbara iron ore developer Aurox Resources Limited (ASX: AXO))(PINK: AUOXF) is pleased to announced a significant upgrade to its Mineral Resource Estimate for the Central Pit and Eastern Block areas of its Balla Balla magnetite project.

The 74 million tonne resource upgrade (111 to 185 million tonnes ) follows completion of a 8,300 metre reverse circulation (RC) drilling programme in these two areas prior to Christmas (ASX Announcement 11 March 2008). The infill drilling targeted the Inferred Mineral Resources (lowest JORC confidence level) located immediately below the Central Pit and across the Eastern Block areas.

The aim was to upgrade these resources to Measured and Indicated categories in preparation for Ore Reserve conversion and subsequent pit design and mine scheduling. Golder Associates have now completed new 3D resource block modelling of the Central Pit and Eastern Block areas.

Aurox Managing Director Charles Schaus said the new Mineral Resource estimate report shows successful and significant upgrades to the Measured and Indicated tonnages in these areas. "We have delivered a 64% increase in Measured and Indicated resources at the Central Pit and Eastern Block areas. We are now undertaking Reserve estimations on the new resource models and are anticipating significant increases," Mr Schaus said.

The Central Pit Area Mineral Resources shown in Table 1 represent a tonnage increase of 29.8 million tonnes to the Measured and Indicated resources. The Eastern Block Mineral Resources shown in Table 2 represent 44.2 million tonnes of newly defined Measured and Indicated Resources. Previously only Inferred Mineral Resources were estimated via wide spaced drilling in the Eastern Block area.

TABLE 1- CENTRAL PIT AREA-----------------------------------Class     Mt   Fe(%) V2O5(%) TiO2(%)-----------------------------------Measured  57.9 40.6  0.56    13.2Indicated 18.6 39.8  0.53    12.8Inferred  16.1 39.8  0.54    12.7Total     92.5 40.3  0.55    13.0-----------------------------------TABLE 2 - EASTERN BLOCK AREA-----------------------------------Class     Mt   Fe(%) V2O5(%) TiO2(%)-----------------------------------Measured  37.2 40.9  0.55    12.6Indicated  7.0 40.9  0.62    11.5Inferred   5.8 41.0  0.66    11.1Total     50.0 40.9  0.57    12.2-----------------------------------

The new Measured and Indicated Mineral Resources are now eligible for Ore Reserve conversion.

Perth mining engineering consultant Orelogy Pty Ltd have commenced pit optimisation work and expect to report new Ore Reserve Estimates for the Central Pit and Eastern Block areas in two to three weeks time.

A plan map and corresponding long-section (Figure 1) shows the location of the new Resource Estimate updates relative to the entire Balla Balla magnetite deposit. The long-section also depicts the location of 'target resource tonnages' in anticipation of ongoing drilling.

As the 65,000 metre RC and diamond drilling programme progresses, the 3D block models will be updated and new JORC-compliant Mineral Resource and Ore Reserve will continue to be estimated and announced.

The resource upgrade is another milestone for Aurox, which is on track to become WA's first magnetite iron ore producer from the low cost Balla Balla project, located near the Pilbara coast 100km west of Port Hedland.

Balla Balla Drilling Programme Update

Aurox is continuing the aggressive programme of RC resource drilling recommenced in January 2008 focusing on increasing the Mineral Resource within the Western Deposit and its strike extensions at Balla Balla.

During the first quarter a total of 18,152 metres of drilling (including 1,238 metres of RC precollar and 568 metres of diamond-core tail) was completed, covering the entire 3km strike of the Western Deposit, in addition to 0.4km of strike extension to the north-east and 1km of strike extension to the south-west.

The second phase of the Western Deposit drilling program has been completed, with each deep drill hole successfully intersecting the magnetite horizon, although assays are still pending.

A total of 132 RC holes were completed to an average vertical depth of 124m and a maximum depth of 234 metres. Six deep holes were drilled (by RC pre-collar and diamond tail) to a maximum vertical depth of 427 metres, spaced every 500 metres along the entire strike length of the Western Deposit. A cross section showing the project's deepest hole to date, BBD044, is displayed in Figure 2.

To date, assay results have been received from 56 of the 138 holes drilled (see Table 3 for drilling result update). Recent drilling highlights include:

---------------------------------------------HOLE   FROM(m) WIDTH(m) Fe(%) V2O5(%) TiO2(%)---------------------------------------------BBR399 78      60       47    0.66    14.9BBR403 116     80       47    0.67    14.1BBR413 94      44       49    0.73    14.9BBR415 98      62       43    0.62    13.1---------------------------------------------

Upon receipt of all assays from the Western Deposit, the data will be delivered to Golder Associates to update and extend the existing 3D resource block model and to calculate a new JORC-compliant Mineral Resource estimate for the Western Deposit and its strike extensions.

Meanwhile drilling is continuing on Phase Three, which involves approximately 10,000 metres of RC drilling in the Central Deposit area. This drilling is planned to extend the down-dip Central Pit Area mineralisation by an additional 50 to 100 metres vertically along the entire strike length. This drilling should be completed during the June 2008 quarter.

Notes to accompany the results:

1) All holes drilled vertically; apparent intercept widths are quoted

2) Downhole samples were composited over 2m intervals through the ore zone and assayed by Genalysis Laboratories in Perth

3) Sample preparation: All samples were sorted, dried, then subjected to Single Stage Mix and Grind (SSMG) to nominal 1050 micron

4) Analytical methodology: Fused Disc X-Ray (suitable for ore grade material):- A sub sample is automatically determined for LOI and fused into a glass disc using a Lithium Borate flux with direct analysis using PANalytical Magix Fast Simultaneous X-ray system for the following element suites: Al2O3, CaO, Fe, Fe2O3, K2O, LOI @1000C, MgO, Mn, Na2O, P, S, SiO2, TiO2, Plus Traces: V Cr Co Ni Cu Zn As Sn Ba Pb

Competent Persons Statement

The Balla Balla Mineral Resources were estimated by Richard Gaze of Golder Associates Pty Ltd. Mr Gaze has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for the Reporting of Exploration Results, Mineral Resources and Ore Reserves.' Mr Gaze consents to the inclusion in this report of the above Resource information in the form and context in which it appears. The information in this report that relates to Exploration Result is based on information compiled by Matt
Chinn who is a member of the Australian Institute of Mining and Metallurgy and a full-time employee of Aurox Resources Limited. Matt Chinn has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which 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 resources and Ore Reserves. Matt Chinn consents to the inclusion in the report of matters based on his information in the form and context in which it appears.

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