Malbex Resources Inc.

Malbex Resources Inc.(TSX-V:MBG) is a Canadian gold exploration company led by experienced management and directors, including several former executives and directors of Aurelian Resources Inc. Malbex holds an indirect 100% interest in three exploration projects in Argentina’s El Indio Gold Belt, which hosts over 40 million ounces of gold in past production and current reserves. Two of the projects are in close proximity to Barrick's Veladero and Pascua-Lama gold deposits, while Del Carmen, the Company's flagship project, is about 75 km to the south, less than 30 km to the southeast from the former El Indio-Tambo mine. Malbex operates in the pro-mining province of San Juan, which boasts three operating gold-silver mines (Veladero – Barrick, Gualcamayo – Yamana Gold Inc., and Casposo – Troy Resources NL), one major development stage mining project (Pascua-Lama – Barrick) and widespread exploration activity.

The 147 km2 Del Carmen concession package, Malbex’s lead project, is located near the southern end of the El Indio Gold Belt, and hosts the Del Carmen Norte and Del Carmen Sur high sulphidation epithermal gold-silver systems. The Del Carmen Norte hydrothermal alteration system covers approximately 9 km2 and is the main focus of the current exploration program.

While exploration to date has produced significant near surface drill intersections at all seven targets drilled, the 10,000-metre 2010/2011 drill program (November 2010-April 2011) is focused on the Rojo Grande discovery in the centre of the Del Carmen Norte alteration system and the area to the southwest, toward the border with Chile (Cerro Amarillo). This central area shows the best potential for large bulk-tonnage gold deposits analogous to the Veladero and Pascua-Lama deposits as demonstrated by hole 32 (142 m of 1.11 g/t Au-EQ) and hole 20 (124.5 m of 0.72 g/t Au-EQ) at Rojo Grande as well as the geophysical surveys. The drilling at Rojo Grande is aimed toward producing an initial NI 43-101 resource prior to September 30, 2011.

Mineralization discovered to date at Rojo Grande has the following characteristics:

• Near-surface and extending to at least 140 m in depth;
• Preliminary metallurgical tests showed average gold recover of 76.5%; may be amenable to low-cost heap leaching as at Veladero; and
• Average grades of 0.5-1.5 g/t Au, comparable with Veladero’s average grade of 0.88 g/t Au.