Central Development Holdings Limited — Capital/Financing Update 2011

Apr 28, 2011

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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CHINA TIMBER RESOURCES GROUP LIMITED （中國木業資源集團有限公司 *）

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 269)

TERMINATION OF SUBSCRIPTION AGREEMENTS

The Subscription Agreements with the Investors have been terminated.

Reference is made to the First Announcement and the Second Announcement. Terms defined in the First Announcement take the same meaning herein.

As disclosed in the Second Announcement, the Company will subscribe, through a wholly-owned subsidiary, for an 11% interest in the Target Company and be granted the Subscription Right (as defined in the Second Announcement). The structure of the Proposed Transaction has been amended, and is no longer as contemplated under the Subscription Agreements.

Accordingly, the Company will not be proceeding with the Subscription Agreements. In the event that the Company exercises the Subscription Right (as defined in the Second Announcement), it will revisit the various options for financing to fund the transaction, including those targeting existing shareholders, and seek to secure for the Company more advantageous terms.

In this announcement, the following additional definitions apply:

“First Announcement” the announcement issued by the Company on 13 January 2011

“Investors” the First Investor, Second Investor, Third Investor and Fourth Investor

“Second Announcement” the announcement issued by the Company on 21 April 2011

By Order of the Board China Timber Resources Group Limited Cao Zhong Chairman

Hong Kong, 28 April 2011

As at the date of this announcement, the Board comprises three executive Directors, namely Mr. Cao Zhong, Mr. Fung Tsun Pong and Mr. Tsang Kam Ching, David; a non-executive Director namely Mr. Neil Bush; and three independent non-executive Directors, namely Mr. Yip Tak On, Mr. Jing Baoli and Mr. Bao Liang Ming.

* For identification purposes only