Persistence Gold Group Ltd — M&A Activity 2008

Oct 3, 2008

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

APAC RESOURCES LIMITED 亞太資源有限公司[*]

(Incorporated in Bermuda with limited liability)

(Stock Code: 1104) (Warrant Code: 324)

TERMINATION OF CONDITIONAL ACQUISITION OF THE ENTIRE ISSUED SHARE CAPITAL OF GOOD CHINA LIMITED

The Board announces that ARI, a direct wholly-owned subsidiary of the Company, will not proceed to Completion of the Acquisition as contemplated under the Agreement, since conditions precedent thereto have not been fulfilled. No impact on the business or financials of the Group is expected as a result of the termination of the Agreement in accordance with its terms.

INTRODUCTION

Reference is made to the announcement of APAC Resources Limited (the “ Company ”) dated 16 July 2008 (the “ Announcement ”) and the circular dated 5 August 2008, both in relation to the Acquisition and the assignment of the Loan, which constitute discloseable transactions under the Listing Rules. Terms used herein shall have the same meanings as defined in the Announcement unless defined otherwise herein.

• For identification purpose only

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TERMINATION OF THE CONDITIONAL ACQUISITION OF THE ENTIRE ISSUED SHARE CAPITAL OF GOOD CHINA LIMITED

Pursuant to the Agreement, Completion is conditional upon, among other things, legal, financial, valuation, business and technical due diligence reviews having been conducted by ARI over Good China, Upper China, the Joint Venture Company and the business carried on by the Joint Venture Company to the sole satisfaction of ARI.

Given that ARI has not been able to conduct legal, financial, valuation, business and technical due diligence reviews to its sole satisfaction in accordance with the Agreement and that conditions precedent have not been fulfilled, and will not be expected to be fulfilled by 13 October 2008, ARI has elected not to proceed to Completion of the Agreement. No impact on the business or financials of the Group is expected as a result of the termination of the Agreement in accordance with its terms.

On behalf of the Board APAC RESOURCES LIMITED Cao Zhong Chairman

Hong Kong, 3 October 2008

As at the date of this announcement, the Directors of the Company are:

Executive Directors: Mr. Cao Zhong (Chairman), Mr. Liu Yongshun (Chief Executive Officer), Mr. Zhou Luyong (Deputy Chief Executive Officer), Ms. Chong Sok Un, Mr. Chen Zhaoqiang and Mr. Yue Jialin

Independent Non-executive Directors: Mr. Wong Wing Kuen, Albert, Mr. Chang Chu Fai, Johnson Francis, Mr. Alan Stephen Jones and Mr. Robert Moyse Willcocks

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