Bauxite Resources Limited ASX / Media Release 28 January 2011 YANKUANG TO PAY $6.1M EXPLORATION REIMBURSEMENT TO BRL; FURTHER REIMBURSEMENT DUE ON DSO EXPENDITURE. KEY POINTS: Subject to FIRB approval of the recently announced BRL‐Yankuang Resources joint venture and Detailed Agreements, Yankuang will pay $6.1mi reimbursement of exploration expenses to BRL as part of the joint proposal to mine bauxite and build an alumina refinery in Western Australia. BRL and Yankuang have agreed to include all current bauxite direct shipping (DSO) proposals as part of the detailed and binding agreements to be conducted on a 30% BRL / 70% Yankuang basis. Yankuang will also pay a further reimbursement of 70% of past expenditure for current DSO proposals; the extra amount is yet to be calculated and audited. Yankuang will make 70% of future expenditure for all DSO proposals and take 70% of the product. Bauxite Resources Ltd (ASX: BAU) ("BRL" or "the Company") announces that in conjunction with its agreement to form a joint venture with Yankuang Resources ("Yankuang") to explore and mine bauxite and build an alumina refinery in Western Australia (ASX 25/01/2011), agreement has been reached on the reimbursement to BRL for previous exploration.

Yankuang will reimburse BRL with $6.1m and pay 70% of the cost of all future exploration and mining for bauxite. BRL has also agreed to now include current DSO proposals in the joint venture company; on a 30% BRL / 70% Yankuang basis.

In exchange Yankuang will pay to BRL 70% of all past and future expenditure for the current DSO proposal for mining of 2 million tonnes each year.

The amount of the extra reimbursement is now being calculated for external audit. BRL has a cash balance of approximately $47m and assets (equipment and property) of $10m before reimbursement.

The net cash outflow including reimbursements for current plans for 2011 is expected to be approximately $2m. Ends Please click here for the full announcement: http://www.stocknessmonster.com/news-item?S=BAU&E=ASX&N=526217 Investors Bauxite Resources Limited Paul Fromson Chief Financial Officer Tel: +61 8 9200 6302 Em:
Media Chantelle OSullivan Public Affairs / Media Enquiries Telephone: +61 8 9200 6309 Mob: 0437 701 155 Em:
David Tasker Professional Public Relations T: +61 8 9388 0944 E:
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