Uxa Resources Ltd : Drawdowns Againts Convertible Note

12 January 2012

The Manager

Company Announcements Office

Australian Securities Exchange

20 Bridge Street

SYDNEY NSW 2000

ASX ANNOUNCEMENT Drawdowns Against Convertible Note

The board of UXA Resources Limited (ASX:UXA) announces that the Company has now made four drawdowns of $250,000 each against the First Convertible Note issued to La Jolla Cove Investors Inc (La Jolla) and which has a face value of $1,000,000.

This now completes the drawdowns against the first Convertible Note.

The convertible note facility has enabled UXA to undertake the phase 2 drilling program at its

Dome 5 lead-zinc-silver project in NSW. Results for Dome 5 are anticipated within 1Q2012.

The Company has also issued a second Convertible Note to La Jolla with a face value of

$1,500,000 as announced to the market on 30 September 2011 and for which approvals for drawdowns against this Convertible Note were granted by shareholders at the Annual General Meeting held on 30 November 2011.

No drawdowns have been made against this second Convertible Note to date.

For further information, contact. Graham Seppelt Company Secretary.

Tel: [phone]

Email: [e-mail]

Website: www.uxa.com.au

ABOUT UXA RESOURCES

UXA Resources Limited (ASX:UXA) is a diversified explorer that has assembled a pipeline of highly prospective tenements throughout Australia, all located within world class mining provinces and near existing infrastructure.
The company has a three-pronged strategy to deliver growth and increase shareholder value, via:
1. Development of its flagship assets, Dome 5 zinc-lead-silver project in NSW and the Nabarlek and Pandanus West projects in NT;
2. Retained exposure to advanced exploration projects via strategic joint ventures; and
3. Expanding markets for its 100%-owned GAA Wireline borehole logging business, which has exclusive global rights to the increasingly utilised PFN technology
As a testament to the quality of UXA's exploration portfolio, the company has attracted several highly regarded strategic partners from among the world's most renowned and prominent resources companies, including Reliance Industries of India, and Teck Resources of Canada, as well as ASX- listed Straits Resources. These partners provide additional capital, scope and expertise to accelerate UXA's major exploration programs.
43a Fullarton Road Kent Town SA 5067 Australia T: [phone] F: [phone] E: [e-mail] W: www.uxa.com.au