Macarthur Minerals Limited report that on January 19th 2012 the state minister for transport; housing; emergency services, Mr Troy Buswell announced that "Export capacity at Esperance Port will potentially increase by up to 20 million tonnes per annum in a staged plan, with the State Government today formally committing to expansion of the port.”

The full release from the Minister highlights the potential of the Yilgarn Iron Ore Region to emerge as the second largest iron ore producing area outside of the Pilbara.

The Company's president, chairman and CEO, Mr Alan Phillips commented that "The Government is expected to commence the formal tender process for the expansion of the Esperance Port as part of a transparent process for the selection of the preferred private sector developer to undertake the project. Macarthur has indicated to the Government the importance of a timely process so as to permit the Yilgarn Iron Ore producers to take full advantage of the opportunity afforded by present robust export iron ore export margins. Macarthur would like to congratulate the Western Australia State Government and in particular Hon Troy Buswell on the prompt response to the recently completed Deloitte demand study and his governments' decision on the Esperance Port expansion.”

Macarthur has a binding access agreement with the Esperance Port Authority to access for 2 million tonne per annum export capacity, the initial phase of the Esperance Port capacity expansion is complete. The Company looks forward to working with the Port Authority and the preferred tenderer from this process. The terms and conditions yet to be agreed between the Port Authority and the Company include access and usage changes and opportunities to increase Macarthur's export capacity allocation over time.