REDCASTLE RESOURCES LIMITED — Capital/Financing Update 2007

Jun 7, 2007

Great Pacific Capital Limited (ASX code GRP)

Update on debt restructuring proposal

Further to the announcement made on 15 May 2007, Great Pacific Capital Limited (GRP) has now received 1,500,000 shares in Resource Pacific Holdings Limited and has transferred 1,100,000 of these shares to various lenders and debenture noteholders to settle debts with principal sum totaling $2,500,000 and applicable interest payable.

Great Pacific Capital Limited will now continue the next stage of the debt restructuring proposal whereby shareholders' approval will be sought for the assignment of the entitlements to the receivable from owner of the land at the Bellambi West Colliery site to the remaining lenders and debenture noteholders in consideration for their rights to repayment of their debts to the Great Pacific Capital Group. Notice of meeting detailing the proposal will be issued to shareholders in due course.

Edwin Yeung Company Secretary $(02)$ 9202 3000