Diatreme Resources Limited (ASX code "DRX") is a diversified Australian mineral explorer. The Company's principal focus is on the discovery of heavy mineral sand, copper and base metal deposits.

MINERAL SANDS

Diatreme's mineral sands exploration focus centres on the highly prospective Eucla Basin, both in Western and South Australia, where a number of exciting heavy mineral sand (zircon) discoveries have been reported since late 2004. Significantly, Diatreme has extensive tenement holdings extending along a main fossil shoreline on the northern basin margin.

On 15 February 2008, the Company announced an Inferred Resource at the Cyclone Prospect in WA of 60Mt grading 3.1% heavy minerals for a total of 1.8Mt heavy minerals. Further drilling is being conducted to upgrade the Cyclone resource. Recent mineralogy testing in the Cyclone Deposit area has confirmed that the heavy mineral suite is rich in highly valued zircon, rutile and leucoxene (refer following table and ASX announcement 10 March 2009).

The Company also holds exploration ground for mineral sands in the Arckaringa Basin (SA), King Island (TAS), Casterton (VIC), Shark Bay (WA) and Cape Bedford (QLD).

COPPER, GOLD & BASE METALS

Diatreme holds exploration tenements for copper/gold at Clermont and Dooloo Creek in QLD and Anabama in SA and is engaged in a 50:50 Joint Venture (as operator) for base metals at Bellfield in QLD.

At Clermont, the Company  announced in March 2009 a new discovery named the Elektra Prospect.  The prospect was located using 3D Induced Polarisation Survey. Further geophysical work is being conducted prior to a drilling program designed to test the resulting models and targets.