Apex Resources Group Inc. Announces Renewed Industry Efforts to Build a Natural Gas Pipeline to Access Northern Reserves.

Business Editors

SALT LAKE CITY--(BUSINESS WIRE)--Feb. 5, 2004

Publicly traded Apex Resources Group Inc. (OTCBB:APXR) announces renewed industry efforts to build a natural gas pipeline to access northern reserves. These efforts are a major step towards accessing northern petroleum reserves.

On January 22, 2004, MidAmerican Energy Holdings Co., a wholly owned subsidiary of Berkshire Hathaway Inc., along with a consortium of Alaska Native corporations, filed applications to build a pipeline with the Alaska Department of Revenue. The CEO of Berkshire Hathaway Inc. is Mr. Warren Buffett. This plan calls for construction of a 745-mile pipeline at a projected cost of $6.3 billion to connect from near Prudhoe Bay to the Alaska-Yukon border. The pipeline would have a capacity of 4.5 billion cubic feet of gas per day and could be in operation by 2010.

On January 23, 2004, ConocoPhillips, British Petroleum and ExxonMobil won approval from the state of Alaska to begin negotiating on state royalty arrangements for a natural gas pipeline. This plan calls for construction of a 3,500 mile pipeline with capacity to ship 5 billion cubic feet of gas per day taking approximately 10 years to build.

Apex owns 3.475% of the ItiyokI-27 well in the Beaufort Sea. Review of the geological data indicates proven recoverable gas reserves of over 100 BSCF and proven recoverable oil reserves of over 8,950 MSTB worth an estimated $28,321,250. If efforts to build a pipeline continue, Apex could eventually bring these reserves to market.

Assuming $5/1000FT(3) of gas and $35/STB of oil, here are approximate calculations of the value of Apex's share of this well:

    NATURAL GAS : $5/1000 FT(3) * 100,000,000,000 FT(3) = $500,000,000
    OIL:          $35/STB * 9,000,000 STB = $315,000,000
    APEX'S SHARE: 3.475% * ($500,000,000 + $315,000,000) = $28,321,250

There are now two applications underway for a natural gas pipeline to deliver reserves to market. The next step is for the Alaska State Legislature to approve a pipeline construction contract. Lawmakers say they hope to approve a contract this session, even if it means holding a special session to get all the work done.

Management is very happy with these new efforts to build a pipeline and wishes them good luck with their continued efforts.

By the Board of Directors

    Apex Resources Group Inc.
    Investor Relations - Roger Reynolds
    136 East South Temple, Suite 1600
    Salt Lake City, UT, 84111
    Tel: [phone]
    Email: [e-mail]
    www.ApexResourcesGroup.com

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 as "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.