ASF GROUP LIMITED — Capital/Financing Update 2012

Aug 27, 2012

ASF GROUP LIMITED

==> picture [122 x 37] intentionally omitted <==

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

28 August 2012

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

Dear Madam/Sir

ASF secures $7M for future development

ASF Group Limited is pleased to announce that it has today secured and received a $7 million Loan Facility from Star Diamond Developments Limited.

The Loan Facility is repayable on Loan maturity being 90 days after the date of the Loan drawdown. Alternatively, subject to further agreement between the parties, the Loan Facility can be fully repaid prior to Loan maturity by conversion of the loan into either one or a combination of ASF Group Limited shares or into new shares of an ASF subsidiary or investments held by such subsidiaries.

The Loan does not accrue interest and is unsecured. Under the Loan Facility agreement, any Loan amount outstanding at the Loan maturity date will be satisfied by an issue of ASF Group Limited shares at an issue price equal to a 10% premium above the 30 day VWAP in the period immediately prior to Loan maturity.

The funds will be used as working capital allowing ASF to transform several of its projects enabling ASF to achieve expansion of its successful business model. ASF now has proven expertise in the transformation of early-stage Australian resource opportunities into deliverable projects through joint venturing with its expanding network of major Chinese mining, trading and strategic investor partners.

ASF Group Limited

ASF is unique among ASX-listed public companies in Australia as a creator and facilitator of two-way cross-border investments, trade and technology transfers between China and Australia. Since its transformation into a Sino-Australian investment and trading house in 2006, ASF has focused principally on the identification, incubation and realisation of embryonic opportunities especially in the resources sector.

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

1