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REACH RESOURCES LIMITED Capital/Financing Update 2007

May 22, 2007

65731_rns_2007-05-22_7d91ba4e-0b72-4f17-b44a-7d6291fe12b7.pdf

Capital/Financing Update

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Cervantes Seafood Limited

23 May 2007

Jill Hewitt Companies Adviser Australian Securities Exchange Limited 2 The Esplanade Perth WA 6000

Dear Jill

Capital Raising Completed and Liquidator Removed

Cervantes Seafood Limited (ASX: CVS) is pleased to advise the Prospectus issue as announced to ASX on 13 April has closed oversubscribed and accordingly the liquidator appointed to the Company has now has been removed.

Yours Sincerely

Afrover

Robert Grover Director Cervantes Seafood Limited

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REACH RESOURCES LIMITED — Capital/Financing Update 2007

65731_rns_2007-05-22_7d91ba4e-0b72-4f17-b44a-7d6291fe12b7.pdf

Cervantes Seafood Limited

Capital Raising Completed and Liquidator Removed

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REACH RESOURCES LIMITED Capital/Financing Update 2007