Coal Royalties Update

Anglo Pacific Group PLC
19 December 2001


Further to the two recent quarterly cashflow reports issued by Anglo Pacific
Group PLC ('the Company') in accordance with the ASX Regulations, the Company
is pleased to report that the Queensland Government has announced changes in
the basis of the calculations of coal royalties. These changes will take
effect from 1 January 2002 and it is anticipated that they will have a
positive effect on the Company's coal royalty entitlements.