Ann: High Iron Grades from Rock Chip Sampling , page-3

ASX RELEASE
17 June 2010

ADDITIONAL HIGH IRON GRADES OBTAINED
FROM ROCK CHIPS AT JACKSON & JOHNSTON RANGE

Southern Cross Goldfields Ltd

Magnetite mineralisation confirmed over at least 10km of a possible 20km strike at Jackson average grade of 36.9% Fe over northern 5km

Potential for haematite / goethite identified within several zones adjacent to the magnetite mineralisation assays to 60.1% Fe

Haematite / goethite potential confirmed in the southern part of the Jackson prospect assays up to 59.3% Fe returned from 300m zone

Haematite / goethite potential identified within at least seven separate zones within a 10km part of the potential 30km strike of iron formation at the Johnston Range prospect

Assays of up to 63.4% Fe with low deleterious elements returned from these zones
Southern Cross Goldfields Ltd (SXG) is pleased to announce significant iron assays have now been returned from its recent rock chip sampling programs at the Jackson and Johnston Range prospects. These two prospects have recently been recognised as significant targets for iron ore, with over 20km strike of iron formation interpreted within granted tenements at Jackson and over 30km strike of iron formation within tenement applications at Johnston Range.
The prospects are located within the Marda greenstone belt between 100 and 200km north of Southern Cross and within close proximity to the operating direct shipping ore (DSO) iron ore mines of Cliffs Asia Pacific Iron Ore Pty Ltd (Cliffs) at Windarling and Jackson (Fig 1).
This belt is an emerging highly prospective iron ore terrane, with total DSO resources, targets and production currently over 235Mt, plus several recent discoveries including the Deception prospect of Cliffs which has returned drill intercepts of up to 135m grading 61.2% Fe (Global Iron Ltd Quarterly Report, 30 Sep 2009). Several large magnetite deposits are also located within the district including the Lake Giles project reported as containing 1.1Bt @ 28.7% Fe (Macarthur Minerals Ltd TSX News Release, Feb 23, 2010)