Apex Reports on News of Senate Vote to Open Arctic Refuge; Arctic National Wildlife Refuge Survives Big Hurdle in Congressional Budget Debate.

SALT LAKE CITY -- Apex Resources Group Inc. (OTC BB: APXR), today reported on news from Associated Press and MSNBC announcing that the U.S. Senate voted to open the ecologically rich Alaska Wildlife Refuge to oil drilling, sharply enhancing the country's energy policy on domestic fuel sources.

This action clears the way for approving drilling in the refuge in 2005. Billions of barrels of oil are believed to lie beneath the 1.5-million-acre coastal plain of the Arctic Wildlife Refuge in Northeast Alaska.

Senator Peter Domenici stated the refuge's oil represents "the most significant onshore production capacity in the country."

Citing that oil prices have jumped above US$56.00 per barrel, Alaskan Governor Frank Murkowski reinforced the importance of reducing America's energy dependence on foreign oil. One million barrels a day of crude oil from the Alaska National Wildlife Refuge is enough to replace all of the country's imports from Saudi Arabia for years to come.

"The dynamic has changed from foreign producers of oil determining not only the sources of fuel to our continent but also the serious economic impact on individuals dependent upon it for heat, travel and the survival of a number of industries utilizing oil and gas. This vote is a clear indicator of the government's commitment to solving these issues," stated John M. Hickey, Director.

"Additionally, it provides Apex shareholders and the investment community the impetus to move aggressively into a sector on which the future depends," Hickey concluded.

In June 1997, Apex Resources Group purchased a 3.745-percent working interest in the Itiyok 1-27 Well in the Beaufort Sea, which was drilled in 1983. A review of the Well data and geological prognosis indicates that a 640-acre area would contain proven recoverable gas reserves of 108 Bscf and proven recoverable oil reserves of 8,976 MSTB working interest net reserves of 4.04 Bscf and 336 MSTB. Seismic data indicates a structure closure of approximately 40 square KM with a gross potential reserve of 1.16 TCF and 160 MMSTB (working interest net - 34 Bscf and 4.7 MMSTB). The lands in which the Apex Resources Group Inc. owns an interest comprise of 21.54 square KM containing gross potential reserves of 625 Bscf of gas and 86 MMSTB of oil (working interest 23.4 Bscf of gas and 3.2 MMSTB of oil).

With oil over US$56.00 per barrel and gas over US$7.00 per 1,000 cubic feet, Apex interest in proven reserves would be US$45 million and with an additional potential to be drilled out would represent US$323 million.

Apex Petroleum Division Texas Update

Apex has been informed by PB Energy Partners that the drilling is continuing on the JB Henry Dome #1 Well in McMullen County, Texas. The operator stated that they pulled out of the hole to replace the gyro and have re-entered and are at a slide drilling depth at 10,250 feet. When they reach the bottom of the hole, they will then begin the turning phase and drill horizontally to the target length of 1,500 feet. This is expected to take four or five days to complete.

This will be followed by completion and testing operations. It is expected that testing should be completed by late March. Apex owns a 2.5-percent working interest in this well. If the well is commercial, Apex would receive US$7,500.00 per month for every 1 million cubic feet of gas production. The Engineers estimate we could hit as high as 3 to 5 million cubic feet of gas per day.

Further update will be released as work continues.

Plaquemines Parish, Louisiana Well Update

The operator (Royal "T" Oil) has turned over their interest in the Plaquemines Parish, Bastian Bay Well #16152 to Imperial Petroleum Inc. Imperial is preparing to do a work over of the Well at a cost of US$906,800.00 as outlined in the current cash call.

The participants in the Well were given a choice of proceeding and pay the additional funds or going on a non-consent situation in which each participant will give up half the net working interest after Imperial has recouped their expenditures. Board and The Management of Apex have agreed to go non-consent to a further expenditure at this time and reduce its 6.25-percent to 3.125-percent net revenue interest.

Based on gas prices in the US$7.00 range and an estimated daily gas flow of 1.5 million cubic feet, it is anticipated the Imperial would recover its expenditures within eight months and Apex would start receiving revenue of approximately US$8000.00 per month for the life of the Well.

Apex Land Division Update

In 2004 Apex signed Purchase Agreements for two recreational lots at Cowichan Lake, in South Central Vancouver Island, British Columbia. These prime view properties are located at Upper Point Ideal Road. The lots are CA$125,000 for Lot 4 and CA$120,000 for Lot 2.

Lot 2 is 0.81 acres in area and Lot 4 is 1.05 acres in area. The Agreements were for CA$10,000.00 deposit on signing.

The closing date for Lot 2 was March 15, 2005 at a cost of CA$42,165.06. The closing on Lot 4 was on Jan. 21, 2005 and a further payment of CA$39,015.44 was made that included CA$30,000.00 balance of down payment and CA$9,015.44 for Title Transfer, Goods and Services Tax and accountant fees.

This purchase is in addition to the large acreage oceanfront lots with houses that Apex owns at the Abbecombec Ocean Village Resort on the shores of Clam Bay, 40 miles east of Halifax. Also, Apex properties include 40 acres of land at Woodland Valley Ranch in Apache County, Ariz., and 75 acres of land at Elk Valley Ranch, which is also located in Apache County, Ariz.

Apex Land Division will continue to search for value added properties for investment purposes.

"Certainly Apex is well positioned for growth with both its land holdings and petroleum interests," stated John M. Hickey, Director.

Director

The foregoing contains forward-looking statements. For this purpose any statements contained in this document that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, such words a "may," "will," "believes," "anticipates," "estimates," "continue," or comparable terminology intends to identify forward looking statements. These statements by their nature involve substantial risks and uncertainties and actual results may differ materially depending upon a variety of factors, including, but not limited to, the successful negotiation and execution of the definitive acquisition agreement and receipt of certain exhibits and schedules requested by Apex Resources Group Inc.