Anglo Pacific Group PLC
Proposed transaction for Trefi Coal with Cardero Resource Corp.

Anglo Pacific Group PLC (''Anglo Pacific'') (LSE: APF) (TSX: APY) announces today that it has agreed to a  proposal with Cardero Resource Corp. (''Cardero'') for Cardero to acquire up to 100% of Trefi Coal  Corporation ("Trefi"). Trefi is a wholly owned subsidiary of Anglo Pacific and holds the Trefi Coal Property in  the Pine River area, northeast British Columbia, Canada.

The main terms of the proposal are as follows:

· Cardero will be granted an option to acquire 50% of Trefi following delivery of a bankable feasibility  study within four years, for total consideration of C$3.5million and 500,000 common shares of  Cardero.

· For a further payment of C$6million, Cardero will be granted an additional option to acquire the  remaining 50% of Trefi, following a decision to mine.

· Anglo Pacific will retain a 3% gross revenue royalty over the project.

· Cardero will issue 1 million warrants to Anglo Pacific exercisable at C$1.40 per share for a period of 18  months.

· The proposed transaction is subject to settlement and execution of formal documentation and the  approval of the Toronto Stock Exchange. 

Commenting on this transaction, John Theobald, Chief Executive Officer of Anglo Pacific, said:

''Anglo Pacific is very pleased to be working with Cardero on the development of Trefi. Cardero brings  extensive operating coal expertise gained in British Columbia and this project will complement Cardero's  development of its nearby Carbon Creek metallurgical coal property. We will receive an upfront cash payment  recognizing the work and expense to date on Trefi and will hold a valuable royalty over the life of the project.''

Notes to editors:

Anglo Pacific Group PLC ("Anglo Pacific") is a global natural resources royalties company. The strategy of  Anglo Pacific is to expand its mineral royalty interests in low-cost, long-life mining assets. Anglo Pacific  achieves this through both direct acquisition and investment in projects at the development and production  stage. It is a continuing policy of Anglo Pacific to pay a substantial proportion of these royalties to  shareholders as dividends.

Cardero Resource Corp. ("Cardero"), headquartered in Vancouver, British Columbia strives to maximize  shareholder value by utilizing management's strong regional network and geological and operational expertise  to implement the most economically sound and environmentally friendly approach to building its business.  Cardero's focus has been on bulk commodities and includes a 75% interest in the Carbon Creek Metallurgical  Coal deposit in northeastern British Columbia and the right to acquire a 90% interest in the Sheini Hills Iron  Ore project in Ghana.

Important notice

This news release contains forward-looking statements based on assumptions and reflects Anglo Pacific's expectations, estimates and projections of future events as of the date of this release. Forward-looking statements include, without limitation, statements regarding the performance, prospects, opportunities, priorities, targets, goals, objectives, strategies, growth and outlook of Anglo Pacific. Often, but not always, forward-looking statements can be identified by the use of words such as "expects", "anticipates", "plans", "believes", "estimates", "seeks", "intends", "targets", "projects", "forecasts", or variations (including negative variations) of such words and phrases, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved.

Forward-looking statements are based upon certain material factors and assumptions that were applied in drawing a conclusion or making a forecast or projection, including assumptions and analyses made by Anglo Pacific in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that are believed to be appropriate in the circumstances. Also, forward-looking statements involve known and unknown risks, uncertainties and other factors that are beyond the Company's control and which may cause the actual results, performance or achievement to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such material factors and assumptions and risks and uncertainties include, among others, those described in the Company's annual information form dated as at June 29, 2010 (available on Anglo Pacific's website and at www.sedar.com), which are incorporated by reference into this release and qualify any and all forward-looking statements made in this release.

Although Anglo Pacific has attempted to identify factors that could cause actual actions, events or results to differ materially from  those described in forward-looking statements, there may be other factors that cause actions, events or results to differ from those  anticipated, estimated or intended. There can be no assurance that actual results will be consistent with these forward-looking  statements. Accordingly, readers should not place undue reliance on forward-looking statements. The forward-looking statements  herein relate only to events or information as of the date on which the statements are made and, except as specifically required by  law, Anglo Pacific undertakes no obligation to update or revise any forward-looking statements, whether as a result of new  information, estimates or opinions, future events or results or otherwise.