Trading Statement

Pan African Resources PLC

(“Pan African” or “the Company” or “the Group”)

(Incorporated and registered in England and Wales under Companies Act 1985 with registered number 3937466 on 25 February 2000)

Share code on AIM: PAF

Share code on JSE: PAN

ISIN: GB0004300496

UPDATED TRADING STATEMENT FOR THE SIX MONTHS ENDED 31 DECEMBER 2015

In terms of paragraph 3.4(b) of the Listings Requirements of the JSE Limited, a listed company is required to publish a trading statement as soon as it is satisfied that a reasonable degree of certainty exists that the financial results for the period to be reported upon next, will differ by at least 20    percent from those of the previous corresponding period. In the event that the listed company does not have reasonable certainty to provide guidance in terms of a specific percentage and number, or a range thereof (with the said range not exceeding 20%), the listed company may provide only a minimum percentage and number difference in the anticipated financial results, together with relevant information available at the time.

Shareholders are referred to the original trading statement and group net debt announcement dated 26 November 2015.

Pan African is incorporated in England and Wales under the Companies Act 1985 and accordingly its presentation currency is Pounds Sterling (“GBP”).

The average ZAR/GBP exchange rates affect the reporting of results in GBP. For the six month interim reporting period ended 31 December 2015 (“current interim reporting period”), the average prevailing ZAR/GBP exchange rate is used to translate earnings per share (“EPS”) and headline earnings per share (“HEPS”) from ZAR to GBP.  In the current interim reporting period the average ZAR/GBP exchange rate was ZAR20.83:1 (31 December 2014: ZAR17.87:1). The period-on-period change in the average exchange rate of 16.6% must be taken into account for the purposes of translating and comparing period-on-period results.

Pan African advises shareholders that the Group EPS and HEPS for the current interim reporting period denominated in GBP are expected to be between:

1. 0.57 pence and 0.63 pence (being 84 percent to 104 percent) higher than the 0.31 pence HEPS for the prior interim reporting period.
2. 0.57 pence and 0.63 pence (being 90 percent to 110 percent) higher than the 0.30 pence EPS for the prior interim reporting period.

EPS and HEPS, calculated in ZAR, are expected to be between:

1. 11.89 cents and 13.02 cents (being 112 percent to 132 percent) higher than the 5.61 cents HEPS for the prior interim reporting period.
2. 11.87 cents and 12.95 cents (being 119 percent to 139 percent) higher than the 5.42 cents EPS for the prior interim reporting period.

Production Summary

Operation	Unit	2015	2014	%
Barberton Mines	(Gold oz)	56,447	52,942	6.6
Evander Mines	(Gold oz)	45,350	33,733	34.4
Phoenix Platinum	(PGE oz)	4,493	4,711	(4.6)
Total	(oz)	106,290	91,386	16.3

The financial information contained in this trading statement has neither been reviewed nor audited by the Company’s auditors. Pan African anticipates that it will release its unaudited interim results for the period ended
31 December 2015 on or about 23 February 2016.

For further information on Pan African, please visit the Company’s website at http://www.panafricanresources.com/

8 February 2016

Contact Details

Corporate Office

The Firs Office Building

1st Floor, Office 101

Cnr. Cradock and Biermann Avenues

Rosebank, Johannesburg

South Africa

Office:   + 27 (0) 11 243 2900

Facsimile: + 27 (0) 11 880 1240

Registered Office

Suite 31

Second Floor

107 Cheapside

London

EC2V 6DN

United Kingdom

Office:   + 44 (0) 207 796 8644

Facsimile: + 44 (0) 207 796 8645

Cobus Loots	Deon Louw
Pan African Resources PLC	Pan African Resources PLC
Chief Executive Officer	Financial Director
Office: + 27 (0)11 243 2900	Office: + 27 (0)11 243 2900

Phil Dexter	John Prior / Paul Gillam
St James's Corporate Services Limited	Numis Securities Limited
Company Secretary	Nominated Adviser and Joint Broker
Office: + 44 (0)207 796 8644	Office: + 44 (0)20 7260 1000

Sholto Simpson	Matthew Armitt / Ross Allister
One Capital	Peel Hunt LLP
JSE Sponsor	Joint Broker
Office: + 27 (0)11 550 5009	Office: + 44 (0)020 7418 8900

Julian Gwillim	Daniel Thöle/ Richard Crowley/
	Aarti Iyer
Aprio Strategic Communications	Bell Pottinger
Public & Investor Relations SA	Public & Investor Relations UK
Office: + 27 (0)11 880 0037	Office: + 44 (0)203 772 2500

www.panafricanresources.com