Pan African Regulatory News (PAF)

Pan African Resources PLC

(Incorporated and registered in England and Wales under Companies Act 1985 withregistered number 3937466 on 25 February 2000)

AIM Code: PAF JSE Code: PAN ISIN: GB0004300496

("Pan African" or "the Company")

GROUP OPERATIONAL UPDATE Following the recent successful acquisition of a 100% interest in Evander GoldMines Limited ("Evander"), Pan African is pleased to issue an update in respectof its group operations.

Barberton Gold Mine Operations ("BGMO") and Evander

Production highlights for the quarter ended 31 March 2013 at BGMO and Evanderare as follows: Evander BGMO 1st 2nd 3rd 1st 2nd 3rdDescription Unit Quarter Quarter Quarter Quarter Quarter Quarter FY 2013 FY 2013 FY 2013 FY 2013 FY 2013 FY 2013 ** Tonnes Milled (tonnes '000) 159 141 143 80 76 76 Gold Sold (oz) 24,853 20,737 25,592 23,200 21,726 25,881

*\* The purchase of Evander was completed on 28 February 2013. Gold soldattributable to the Pan African group from Evander was 10,325oz for March 2013.

Both BGMO and Evander achieved good results in this last quarter in terms ofrecovered grades and gold produced and sold. The overall average recoveredgrade for the last quarter of the 2013 financial year is expected to be 9.7 g/tfor BGMO and 4.6 g/t for Evander. The underground recovered grade, excludingsurface sources, for the upcoming quarter is expected to be 10.7 g/t for BGMOand 6.5 g/t for Evander. Evander A key short to medium-term objective at Evander is to identify, evaluate andadvance organic growth projects. The mine has begun to equip the No 7 Shaftarea to retrieve additional ounces from previously mined areas. Furtheroptimisation opportunities have also been identified in low grade surface rockdumps.

Evander's results will be consolidated into the Pan African group results witheffect from 1 March 2013.

Barberton Tailings Retreatment Project ("BTRP")

The BTRP remains on target and within budget to commence production in thefirst quarter of FY 2014.

The project is expected to retreat 1,200,000 tonnes of gold tailings per annum,with a total life of project production of 160,000oz of gold at an averagerecovered grade of 0.54 g/t. The BTRP is anticipated to increase the annualproduction profile at BGMO by approximately 20,000oz per annum.

The necessary Eskom supply agreements have been concluded and the two overheadlines for the required 4,000 MVA have been installed. The environmental impactassessment for the Tailings Storage Facility ("TSF") has been approved. In linewith the planned schedule, Stefanutti Stocks has begun construction of the TSF,and phase 1 is anticipated to be completed by July 2013. The project hasinvoiced ZAR 194.2 million since the start of construction in April 2012 andhas a projected project value of ZAR 305.8 million.

Phoenix Platinum Mining ("Phoenix")

Phoenix produced 1,463oz 6E PGE for the quarter under review. Production at theplant remained constrained due to the supply of oxide tailings by ferrochromeproducer International Ferro Metals Limited, which negatively affects theflotation recovery.

The Company continues to explore options to ameliorate the impact of this oxidefeed material. These options include:

increasing feed tonnages into the plant;

additional test work to be carried out on the chemical reagent suite; and

expediting deliverables for the new TSF project.

Ron Holding, Joint Interim CEO of Pan African commented:

"The acquisition of Evander has propelled Pan African into a new phase ofgrowth. Our current emphasis is the successful integration of the asset intothe group. This integration is progressing well and is in line with ourexpectations. We will continue our efforts to create and maintain a safeworking environment, achieve our stated production targets and control costs atall of our operations." Johannesburg7 May 2013 JSE SponsorOne Capital PAN AFRICAN ENQUIRIES South Africa UK Pan African Resources Canaccord Genuity Limited - Nomad and Joint BrokerMr Cobus Loots Andrew Chubb / Peter Stewart / Joe Non-executive director and Joint Interim Chief Weaving Executive Officer +44 (0) 20 7523 8000+27 (0) 11 305 8900 Mr Ron Holding Chief Operating Officer and Joint Interim Chief Executive Officer+27 (0) 11 243 2900 One Capital finnCap Limited - Joint BrokerSholto Simpson / Megan Young Elizabeth Johnson / Joanna Weaving+27 (0) 11 550 5000 +44 (0) 20 7220 0500 Vestor Investor Relations St James's Corporate Services LimitedLouise Brugman Phil Dexter+27 (0) 11 787 3015 +44 (0) 20 7499 3916+27 83 504 1186 Gable Communications Justine James +44 (0) 20 7193 7463 / +44 (0) 7525 324431

For further information on Pan African, please visit the website atwww.panafricanresources.com