Stirling Resources Limited - Letter To Shareholders From Chairman David Nabarro

13:25 AEST July 1, 2010 ABN Newswire (C) 2004-2010 Asia Business News PL. All Rights Reserved.

Perth, Australia (ABN Newswire) - Stirling Resources Limited (ASX: SRE) releases Letter to Shareholders from Chairman David Nabarro. The letter is as follows:

Dear Shareholder,

You will have seen the announcement made by Stirling Resources Limited (ASX: SRE) ('Stirling' or the 'Company') to the ASX on Tuesday 29th June concerning the change of management control at the Company and the commitment by DCM DECOmetal, Stirling's majority shareholder, to provide on-going financial support to the Company.

I write to you for the first time as Chairman to provide you with an update on the steps being taken by your Board.

My own background is as a long-time corporate financier specialising in the natural resources sector. I was appointed as a non-executive director of Stirling in September last year.

Stirling is a mining investment company with strategic investments in a range of Australian natural resource projects, including copper (Redbank Copper (ASX: RCP)), gold (Swan Gold Mining (ASX: SWA)) and minerals sands (Matilda Zircon (ASX:MZI)).

Stirling continues to be backed by the DCM DECOmetal group's financial resources and strong knowledge of and commitment to the Australian natural resources sector.

DCM DECOmetal is an international commodity trader based in Austria with multiple investments in the mining and metallurgy sector in Australia, South Africa and Eastern Europe. DCM has an extensive client base in Western Europe, North America, the Middle East and Asia.

Stirling benefits from its talented and experienced technical team who will be key in the on-going development of your Company's assets.

Marty Adams has been appointed as your Company's acting CEO and, strongly supported by your Board, is undertaking an immediate strategic review of your Company's assets, investment objectives and on-going funding requirements.

As advised to the ASX, Mr. Adams has thirty years' experience in the mining industry, including extensive experience in gold, copper, mineral sands, iron ore and lead/zinc. The relevance of his experience will, I believe, be clear to you and reassure your confidence in the Company.

It is your Board's firm intention to engage with all shareholders in an open and timely manner and to follow best practice in terms of your Company's commitment to safety, environmental best practice and good corporate governance.

At this point I will not pre-judge the outcomes of our strategic review but do assure you that your Board is determined to manage your Company in a prudent and professional manner and seek to deliver long-term shareholder value.

I look forward to engaging with you on a regular basis in the coming months through updates on the ASX and on the Company's website and look forward to your ongoing feedback.


Yours faithfully,

David Nabarro
Chairman



About Stirling Resources Limited:

Stirling Resources Limited (ASX:SRE) is a West Australian resources developer focusing on investment and development of copper, zircon, coking coal, gold and iron ore projects. The Company consists of highly experienced resource development and mining personnel with track records of creating shareholder value.

Previously the group took control of a financially distressed manganese producer and developed it into a diverse mineral commodity producer to become included in the ASX 200 and was ultimately taken over by an international conglomerate for A$1.25b. The Company grew from being a small unreliable manganese producer to ultimately supplying 10% of the world's high grade manganese to global customers and developed significant projects in chromite, nickel, copper, zinc and iron ore.

The Company's strategy for creating shareholder value is to identify projects that comprise either commodities that are considered to have strong future demand or geological characteristics that have potential and yet for various reasons have not achieved their possibilities. The focus is on brown fields projects close to development or production.

Driven by the underlying fundamentals of the Chinese economy and the continued massive urbanisation process commodities such as copper, zircon, gold and iron ore will continue to be in strong future demand. The Chinese growth is augmented by the Indian economic growth particularly in the steel industry leading to increasing demands of coking coal.<



Contact:

Stirling Resources Limited
Marty Adams , Acting CEO
Tel: +61-8-6389-6800

Warrick Hazeldine / Ryan McKinlay
Directors - Purple Communications
Tel: +61-8-6314-6300
Mob: +61-417-944-616 / +61-408-347-282
www.stirlingresources.com.au