27 April 2006The ManagerCompany Announcements OfficeAustralian...

27 April 2006

The Manager
Company Announcements Office
Australian Stock Exchange Limited
Exchange Centre
20 Bond Street
Sydney NSW 2000

Dear Sir,

RE: SYLVANIA COMMISSIONS PLANT AT MILLSELL AND COMMENCES

FEASIBILITY STUDY AT EVEREST NORTH

On 22nd November 2005, Sylvania Resources Ltd ("Sylvania") announced it had entered into a contract with Samancor Ltd ("Samancor") with respect to the retreatment by Sylvania of the Millsell and Waterkloof tailings dumps for the recovery of chromite and Platinum Group Metals ("PGM's").

The directors of Sylvania are now pleased to announce the full commissioning of the chrome washing plant which is located at Millsell on the Western Bushveld of South Africa. The plant has come in substantially under budget and continuous production of chrome will commence on 3 May 2006.

Sylvania is also pleased to announce that a Feasibility Study has commenced at the Everest North project. The Everest North project lies on the Farm Vygenhoek in the Eastern Bushveld of South Africa and is prospective for PGM's. Previous work has outlined an Inferred resource of 4.2 million tonnes grading 5.87 g/t (Platinum, Palladium, Rhodium, and Gold), for an Inferred Resource of 796,000 ounces of PGM's.

Drilling will commence in early May, and an Environmental Impact Study will be carried out at the same time by Metago Environmental Engineers.

Yours faithfully
Sylvania Resources Limited