Fortbridge Media Release

Korab Resources Ltd [ASX:KOR] - TESTWORK SHOWS 99%+ GOLD RECOVERIES POSSIBLE AT MELROSE PROJECT

HIGHLIGHTS
� Average gold recoveries from composite samples over 99% after 24 hours
� Metallurgical and leach testing continuing, results to be reported when available

Korab Resources Limited (�Korab� or �the Company�) (ASX:KOR) is pleased to announce the first batch of results from the metallurgical and cyanide leach testing of composite samples from two diamond drill holes drilled at the Melrose project.. The results indicate excellent recovery rates at relatively coarse grind of 106 microns, with low consumption of lime and cyanide. The Melrose project has a JORC code compliant resource base of 340,000 ounces of gold. Tonnages and grades in each category are shown in resource statement in Appendix A.
Commenting on the results, Korab�s Executive Chairman, Andrej Karpinski said Korab was extremely encouraged by these initial results with recoveries of over 99% highlighting the exceptional metallurgical recoveries possible at the Melrose project.
�Whilst further testwork will be completed over the coming months, these initial results provide encouragement that the Bungarra and Boundary gold deposits, which form part of the Melrose project may be developed as a simple bulk mining and heap leaching operation,� said Mr Karpinski.
Test Results
Hole DD001: 99.07% gold recovery after 24 hours using cyanide leach at 106 microns grind
Hole DD005: 99.16% gold recovery after 24 hours using cyanide leach at 106 microns grind
The Melrose project is located 70km north east of Leinster in the Eastern Gold Fields of Western Australia, within the Mt. Fisher/Wanganoo greenstone belt. The Melrose project hosts a JORC code compliant resource containing 340,000 ounces of gold in three deposits (Bungarra, Boundary and Stirling) located in close proximity.
Korab is undertaking metallurgical test work of core samples from two large diameter (HQ) diamond holes drilled in late 2011. The recovered material is currently being run through a significant metallurgical test work program, designed to assess potential for a simple bulk mining and heap leaching operation at the Bungarra and Boundary gold deposits, within the Melrose project.
The program was designed to collect material from surface to end of hole. Material from surface has provided an insight into bulk density within the oxidised profiles for comparison with bulk densities used in the resource calculations, as well as saprolitic profile identification and mineralisation identity for mining purposes. The holes were drilled down dip to provide the maximum mineralised sample return and giving a significant range of grades through the mineralised interpretations.