AUSTRALIA’S IBERIAN BOARD RECOMMENDS ACCEPTING TAMAYA OFFER

Asia Pulse
Published: Mar 30, 2007

PERTH, March 30 Asia Pulse – Gold miner Iberian Resources Ltd (ASX:IBR)
says a $A120 million ($US96.69 million) merger with copper producer
Tamaya Resources Ltd (ASX:TMR) will create an acquisition focused,
mid-sized emerging producer.

Iberian’s board has unanimously recommended shareholders accept the
offer of four Tamaya shares for every Iberian share.

"Your board unanimously recommends that Iberian shareholders accept
Tamaya’s offer in the absence of a superior proposal …," Iberian
chairman Graeme Walker said in a statement Thursday.

Iberian said the merger would create a diversified mining business
with a combined market capitalisation of about $250 million.

The proposed merger will bring together the Chilean copper-gold
producing assets of Tamaya and Iberian’s advanced gold assets in
Armenia and Portugal.

"A merged entity would present shareholders with an acquisition
focused, mid-sized emerging producer and a sizeable project pipeline
at various stages of mine development," Iberian said.

Tamaya is producing about 6,000 tonnes of copper annually from its
Cinabrio mine in Chile and pondering expanding production to 13,000
tonnes by the end of the year.

Iberian’s key asset is the Lichkvaz gold project in Armenia, which
is expected to produce about 20,000 ounces this year before ramping
up to a rate of 40,000 ounces a year.

The gold play also has the advanced Montemor gold project in Portugal.

"The merged entity will own projects located in four of the world’s
highly prospective copper/gold belts, including Tamaya’s Chilean
and Australian operations, and Iberian’s Portuguese and Armenian
operations," Iberian said.

"Shareholders will gain exposure to a diversified portfolio of assets,
in terms of commodities and global location, thereby reducing the
risk associated with investing in a single-commodity company."

Iberian said it would require additional financing for its Armenian
gold mine in the medium term, and a cash-flow positive Tamaya could
assist in the financing required.

The merger proposal closes on May 3.

Iberian and Tamaya were unavailable for further comment.

Shares in Iberian closed half a cent higher at 74.5 cents and Tamaya
added half a cent to 20 cents.