ASF GROUP LIMITED — Capital/Financing Update 2011

May 5, 2011

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ASF GROUP LIMITED

ACN 008 924 570 Bennelong, 2/3B Macquarie Street Sydney NSW 2000 Telephone: (61 2) 9251 9088 Facsimile: (61 2) 9251 9066 www.asfgroupltd.com

6 May 2011

The Manager Company Announcements Australian Stock Exchange Ltd 20 Bridge Street Sydney 2000 via: www.asxonline.com

Dear Madam/Sir

TERMINATION OF SHARE SUBSCRIPTION AGREEMENT WITH YONGBIN $1.5M DEPOSIT FORFEITED

We refer to the announcements of ASF Group Limited (the “Company”) dated 6 December 2010 and 7 March 2011 concerning a Share Subscription Agreement (the “Agreement”) with Yongbin International Holdings Limited (“Yongbin”) whereby Yongbin was to subscribe A$6 million for a 20% interest in ASF Resources Limited (“ASFR”).

Pursuant to the terms of the Agreement, as amended, Yongbin paid a non refundable deposit of A$1.5 million with the balance of the subscription money being due by 21 April 2011.

The Company has not received the balance of the subscription monies in full from Yongbin and, under the terms of the Agreement, the Agreement has ended and the non refundable deposit of A$1.5 million has been forfeited.

Notwithstanding this termination, the Company is still in negotiation with Yongbin for its possible investment in ASFR or for possible co-operation opportunities in the Company’s resource activities.

For further information contact:

William Kuan Company Secretary Ph: +612 9251 9088 Fax: +612 9251 9066