Pan African Resources PLC                           

  (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                               

                       ("Pan African" or the "company")                        

TRADING UPDATE

In terms of paragraph 3.4(b) of the Listings Requirements of 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 on next, will differ by at
least 20 per cent from those of the previous corresponding period.

The company advises shareholders as follows:

  * Pan African is incorporated in England and Wales under Companies Act 1985
    and accordingly its presentation currency is Great British Pounds ("GBP").
    The earnings per share for the six months ended 31 December 2009,
    denominated in GBP, is expected to be between 45 per cent and 50 per cent
    higher than those for the previous corresponding period (six months ended
    31 December 2008: 0.23 pence per share). Earnings per share, calculated in
    South African Rand ("ZAR"), using the average ZAR:GBP exchange rate of
    ZAR12.48 prevailing during the period (six months ended 31 December 2008
    average exchange rate of ZAR15.13), is expected to be between 17 per cent
    and 22 per cent higher than those for the previous corresponding period
    (six months ended 31 December 2008: 3.53 cents per share).
   
  * Headline earnings per share for the six months ended 31 December 2009,
    denominated in GBP, is expected to be between 1 per cent and 6 per cent
    higher than those for the previous corresponding period (six months ended
    31 December 2008: 0.36 pence per share). Headline earnings calculated in
    ZAR is expected to be between 13 per cent and 18 per cent lower than those
    for the six months ended 31 December 2008 (six months ended 31 December
    2008: 5.37 cents per share).
   
The financial information for the six months ended 31 December 2009 and
contained in this trading update has neither been reviewed nor reported on by
the company`s auditors.  It is anticipated that the interim results for the six
months ended 31 December 2009 will be released on Wednesday, 10 February 2010.

Rosebank

27 January 2010

JSE Sponsor and Corporate Adviser

Macquarie First South Advisers (Proprietary) Limited

For further information on Pan African Resources plc, please visit the website
at www.panafricanresources.com

Enquiries:

Pan African Resources

Jan Nelson, CEO

+27 (0) 11 243 2900

Nicole Spruijt, Public Relations

+27 (0) 11 243 2900

RBC Capital Markets

Martin Eales

+44 (0) 20 7029 7881

Macquarie First South Advisers (Proprietary) Limited

Melanie de Nysschen / Thembeka Mgoduso

+27 (0) 11 583 2000

St James's Corporate Services Limited

Phil Dexter

+44 (0) 20 7499 3916