REDCASTLE RESOURCES LIMITED — Share Issue/Capital Change 2007

May 14, 2007

Resource Pacific issue of 1,500,000 shares to Great Pacific Capital Limited as per IPO Prospectus

Section 708A Notice

Resource Pacific Holdings Limited (RSP) has issued 1,500,000 fully paid ordinary shares at nil consideration to Great Pacific Capital Limited (ASX Code: GRP) in accordance with the GPC Loan Repayment and Share Issue Deed dated 18 October 2004 as described in the IPO Prospectus dated 19 October 2004.

The entitlement to the shares arose following the meeting of two performance hurdles. The first hurdle was achieved by the Newpac No 1 Colliery in March 2007 when there had been continuous production of 200,000 tonnes of saleable coal from longwall operations. The second hurdle was achieved on 4 May 2007, when shares in RSP had traded at closing prices above $1.50 for 20 continuous ASX trading days.

This notice is given under paragraph (5)(e) of section 708A of the Corporations Act. Accordingly, RSP makes the following statements.

• RSP issued the Shares without disclosure under Part 6D of the Corporations Act. That is, without a prospectus.
• As at the date of this notice, RSP has complied with:
  • the financial and audit provisions of Chapter 2M of the Corporations Act as they apply to RSP; and
  • its continuous disclosure obligations under section 674 of the Corporations Act.
• As at the date of this notice, there is no excluded information (as described in sections 708A(7) and (8) of the Corporations Act) to be disclosed by RSP.

Steve Matthews Company Secretary

15 May 2007