Adm Energy Regulatory News (ADME)

PAN PACIFIC AGGREGATES PLC

PLACING OF NEW ORDINARY SHARES AND WARRANTS

AND

APPOINTMENT OF JOINT BROKER

Pan Pacific Aggregates plc ("PPA" or the "Group") (AIM:PPA), the British Columbia based aggregates business, today announces a placing of 33,610,000 new ordinary shares of 0.1p each ("New Ordinary Shares") at 2.5p per share to raise £840,250, before expenses (the "Placing") and the issue of 16,805,000  warrants ("Warrants") over ordinary shares of 0.1p per share ("Ordinary Shares") on the basis of 1 Warrant for every 2 New Ordinary Shares issued. The Warrants will be exercisable at a price of 5p per share at anytime until March 2013.

Of the 33,610,000 New Ordinary Shares under the Placing 600,000 New Ordinary Shares are being issued to Lynda Chase-Gardener and 1,600,000 New Ordinary Shares to Euan McAlpine, in both cases in lieu of salary.

Following the Placing Lynda Chase-Gardener will be interested in 600,000 Ordinary Shares representing 0.83 per cent. of the issued share capital as enlarged by the Placing and 300,000 Warrants and Euan McAlpine will be interested in 3,301,805 Ordinary Shares representing 4.54 per cent. of the issued share capital as enlarged by the Placing and 800,000 Warrants.

The participation of certain directors in the Placing is a related party transaction under the AIM Rules. The Directors, with the exception of those that have participated in the Placing, consider, having consulted with Zeus Capital, its nominated adviser, the terms of the transaction are fair and reasonable insofar as the Company's shareholders are concerned.

Whilst the Company moves towards a cash flow neutral position it has taken the opportunity to raise £798,000, net of expenses, pursuant to the Placing. The Directors intend that the net proceeds will be sufficient to fund the organic growth of the business into 2013. The Company proposes to make a further payment out of the net proceeds of the Placing pursuant to the terms of the creditors' voluntary arrangement ("CVA") announced in May 2011.

The New Ordinary Shares, which have been issued at a 1.375p discount to the mid market price of 3.875p per share at the close of business on 12 March 2012, will rank parri passu with the existing issued ordinary shares of 0.1p each ("Ordinary Shares"). Application has been made for the New Ordinary Shares to be traded on AIM and it is expected that admission will become effective and dealings are expected to commence on 16 March 2012. No application will be made for the warrants to be traded on AIM.

PPA also announces the appointment of Rivington Street Corporate Finance as joint broker with immediate effect.

Following admission of the New Ordinary Shares the total number of voting rights in the Company's Ordinary Shares will be 72,655,248 and this number may be used by shareholders as the denominator in calculations to determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Financial Services Authority's Disclosure and Transparency Rules. In addition, the Company has in issue Warrants over 16,805,000 Ordinary Shares.

Commenting Chairman, Lynda Chase-Gardener said:

"The company is steadily improving its cash flow and this placing will assist significantly in the further development of our attractive Canadian assets. It is also a clear demonstration of the confidence in the future of the business from a combination of both existing and new shareholders"

For further information please see the Company's web site, www.panagg.com or contact:

 Pan Pacific Aggregates plc Tel: +44 182 925 0576

Euan McAlpine

 Zeus Capital Limited Tel: +44 161 831 1512

 Ross Andrews / Tom Rowley

 Alexander David Securities Limited Tel: +44 20 7448 9800

 David Scott / Bill Sharp

Rivington Street Corporate Finance Tel: +44 20 7562 3357

Jon Levinson