Bauxite Resources updates Quarterly Activities and Cashflow Report

Bauxite Resources Limited continues to focus primarily on evaluating bauxite prospectivity in the Darling Range and exploration throughout the Company's extensive tenement holding. Currently BRL holds 22,500km2 in Exploration Licences in the Darling Range of south west Western Australia. The Company and its joint ventures have an overall JORC compliant bauxite resource base of 142.3 million tonnes (Mt).

Exploration and Tenement Strategy

During the quarter, the Company has continued its focus on targeted bauxite exploration and tenement rationalisation. As a result of a series of internal reviews, BRL has rationalised its tenement package in both the south west Darling Range and the Kimberley regions. The Company has applied for one exploration licence and relinquished several other exploration licences in the south west of WA, as well as relinquishing its Kimberley tenement holdings, with the aim to reduce minimum expenditure commitments and focus exploration efforts.

Extensional Drilling Program at Felicitas

In November the Company announced an extensional drilling program at its Felicitas Bauxite Project, where it has a resource of 73.3Mt, which is part of the Company's joint venture with Yankuang Resources Pty Ltd (Yankuang) managed by BAJV. This program intends to extend the current JORC resource and identify the extent of the bauxite mineralisation potentially available at the Felicitas deposit. This program area covers predominantly cleared farmland of approximately 3,300 hectares.

Extension of the Felicitas resource will assist the BAJV in achieving its stated aim of defining a refinery grade bauxite deposit to underpin the prospects of development of a long term alumina refinery for the joint venture.

Bauxite Characterisation Studies

BAJV engaged CSIRO to carry out preliminary bauxite characterisation analysis on the northern Darling Range bauxite resources. Initial bauxite characterisation results viewed to date are encouraging and support the Company's positive view of a high quality bauxite from the northern resources and in particular the Felicitas deposit.

Bauxite Direct Shipping Ore (DSO) Opportunity

The Company also notes that portions of the Felicitas deposit are likely to meet the minimum criteria for DSO bauxite suitable for direct sales to third parties either locally or via export to a growing market in China. The extensional drilling program will form an important part of detailed technical and economic studies aimed at defining direct shipping and refinery options for the Felicitas bauxite.

BRL's 100% Owned Bauxite Exploration Programs

During the March 2013 quarter, the Company is planning to undertake a drilling program on areas of its 100% owned tenements to extend the known bauxite mineralisation in the region and establish resources for BRL not covered by a joint venture.