APF.L Regulatory News (APF)

News Release

14th May 2010

Anglo Pacific Group PLC

Interim Management Statement

Anglo Pacific Group PLC ("Anglo Pacific Group", "the "Group") (LSE: APF, ASX: AGP), the natural resources royalty company, today releases its interim management statement for the period from 1st January 2010 to 13th May 2010.

Material Events and Transactions

Australian Tax Changes

The Henry Tax Review of the Australian resources industry was released on 2nd May 2010 and recommended various changes in the way mining companies in Australia would be taxed, particularly on profits made from mine production (Resource Super Profits Tax) with effect from 1st July 2012. The Review, however, indicated that royalties paid under State legislation would not be altered. Accordingly the Group's private coking coal royalties from the Kestrel and Crinum mines in Northern Queensland will be unaffected.

Acquisitions / Disposals

On 13th May 2010 Anglo Pacific Group announced that it had, subject to contract and due diligence, agreed a royalty financing of US$5 million with Shanta Gold Limited ("Shanta"). Shanta has agreed to pay the Group a 3% Net Smelter Royalty ("NSR") on all the mined product from its Chunya Gold Project in south west Tanzania, as well as a further similar 2% NSR on its Singida Gold Project in central northern Tanzania.

Further details of this acquisition can be accessed on the Group's website www.anglopacificgroup.com.

During the period the Group disposed of a number of mature mineral development interests where royalties are not currently being considered, resulting in realised gains of circa £13.8 million.

Canadian Coal Assets

On 16th February 2010 the Group released an initial resource statement on the Panorama Coal Project in the Groundhog Coalfield in Northwest British Columbia. This showed a NI43-101 and JORC compliant Indicated Resource of 13.7 million tonnes and an Inferred Resource of 24.1 million tonnes of anthracite and semi-anthracite coal.

Listings

The application for listing of the Group's shares on the Toronto Stock Exchange is progressing and is anticipated during the third quarter of 2010.

At the Group's AGM on 21st April 2010 shareholders approved a resolution to de-list the Group's shares from the Australian Stock Exchange. This is expected to be completed in the next three months.

Financial Performance

During the first three months of 2010 coal royalty receipts decreased compared to the same period last year, primarily due to the fall in contracted coking coal prices from circa US$290 per ton to US$127 per ton. Receipts from April 2010 reflect the recent increase in coking coal contracted prices which are now in the region of US$200 per ton.

While conditions in the equity markets for mining development companies improved in the earlier part of the period, more recently these markets have suffered a correction. As a result, fundraising has become more challenging for junior mining companies and enquiries for royalty financings have noticeably increased.

Financial Position

The Group's financial position remains strong with no significant changes to the balance sheet, equity structure or the market value of the Group's strategic investments since the publication of the 2009 Annual Report. The Group remains debt free and has substantially more cash than at the year end.

Dividends

A final dividend for the year ended 31st December 2009 of 4.65p per share (2008: 4.35p) was approved at the Group's AGM on 21st April 2010 and will be paid on 7th July 2010. Shareholders are again being given the opportunity to elect to receive a scrip dividend instead of cash.

Outlook

With the recent setback in both metal prices and equity markets, the raising of mining finance from conventional lenders has again become more difficult. Anglo Pacific Group, with its increasing cash resources and strong royalty revenues, remains well positioned to increase its royalty portfolio. The Group continues to evaluate several new royalty opportunities whose acquisition remains the Group's overriding strategic focus.

For further information and enquiries:

Anglo Pacific Group plc +44 (0) 20 7318 6360

Peter Boycott, Chairman

Matthew Tack, Finance Director

Liberum Capital +44 (0) 20 3100 2000

Chris Bowman

Ellen Francis

Scott Harris +44 (0) 20 7653 0030

Stephen Scott

James O'Shaughnessy

Website: www.anglopacificgroup.com