August 28, 2008

Atlas acquires strategic interest in Warwick Resources

Atlas Iron Limited announced that it has acquired a strategic interest in Warwick Resources Limited. Atlas has agreed to acquire shares in Warwick at 23 cents per share via a combination of a share placement and off market purchases for a consideration of approx AUD 4.3 million providing a total interest in Warwick of 19.9%.

Atlas sees this acquisition as a strategic investment in Warwick, a Pilbara iron ore explorer and it intends to maintain its strategic shareholding at this 19.9% level for the foreseeable future.

Mr David Flanagan MD of Atlas said that "Warwick has an exciting land position, a terrific management team and significant potential to prove up considerable resources on their Pilbara tenements. We look forward to watching Warwick grow its resources and advance towards production in the years ahead.”

He added that "This strategic investment in Warwick provides Atlas shareholders great leverage to a land position in the Pilbara that is highly prospective for iron ore and Atlas intends to maintain its strategic shareholding at the 19.9% level for the foreseeable future.”

Warwick Resources is an emerging iron ore explorer with a diverse asset portfolio near Newman in the Pilbara region of Western Australia which is host to world class iron ore mines.