Asia Pacific - Udon Thani Potash Project Update Global Potash Resource Approximately 1.3 Billion Tonnes of Sylvinite.

VANCOUVER, British Columbia--(BUSINESS WIRE)--April 22, 1996-- Since the news release dated Feb. 23, 1996, a variety of technical and field programs have been continued for the Udon Thani Potash Project.

RESOURCE UPDATE

The initial three year drilling and exploration program for the Somboon and Udon fields has now been successfully completed. A total of 95 diamond drillholes defines the gross potash resource in these areas, and some 300 kms of reflective seismic survey assists the geological interpretation of the resource. 55 holes define the global sylvinite resource in the Somboon field. Recent re-evaluation of the total sylvinite resource in the Somboon field indicates a gross tonnage in excess of 325 million tonnes.

Since completing this estimate, three additional holes were drilled to the southeast of the Somboon field. Hole No.100, drilled about 1 km south of No.49 and about 1 km northeast of No.34, intersected approximately 2.2m of sylvinite at a depth of 365m, overlain by about 4m of halite. This indicates that some increase in the overall Somboon reserve will occur.

Hole No.98, 2 kms south of No.53, intersected a low grade sylvinite layer, about 1.8m thick, at a depth of 301m, while hole No.99, 2 kms east of No.53, intersected low grade sylvinite at a depth of 342m.

40 holes drilled in the Udon field have delineated three sylvinite zones, each smaller in area than Somboon but having considerably thicker average potash intersections. A preliminary estimate of the global potash resource in the Udon field suggest approximately 1,000 million tonnes. However, as potash assay grades and mining parameters are not yet factored into this estimate, it is subject to revision. A mineable reserve for the Udon field cannot yet be estimated. Assay results are now being evaluated for holes No.54 to No.68, and assay samples are currently under preparation for the remainder of the holes in the Udon field.

Additional Reconnaissance drilling

A limited, five-hole reconnaissance drilling program covering an area of about 400 sq. kms. in the region north of Udon Thani towards the concession's northern and western borders has now commenced. The purposes of this drilling pattern is to test whether a northward extension of the potash deposit may be readily identified and to gain an initial impression of the complexity of subsurface geology in the area.

Preliminary results have now been received for four holes, numbers APP96-94 to 97. The results generally indicate a more complex geology in this area. Lower grade sylvinite was encountered in one hole (No.94) whereas carnellite was the only potash mineral in two other holes. Hole No.96 was drilled to a depth of 500 metres without encountering the lower salt stratum. Although with such limited information the results must be considered inconclusive, however, it would appear that this area of the concession has limited potential.

PRE-FEASIBILITY STUDY UPDATE

Field programs in connection with the project pre-feasibility study for an initial 2 million tpy mine have been completed. Hydrogeological pumping and injection tests indicate that water ingress should not present any problems for the proposed underground mining operation. This is most beneficial for a potash mine.

Geotechnical drilling programs have been completed and tri-axial compression tests are being completed at the Bangkok laboratory of the Department of Mineral Resources. A program of shallow drillholes, to provide foundation design parameters, has also been successfully completed.

All of the data from the exploration programs will be used in the preparation of the pre-feasibility study. While it is anticipated that this study will propose initial mining in the Somboon area, the evaluation will also test the options for initial development in the Udon field and/or incorporating this resource at a later date.

Preliminary processing tests

Preliminary tests have now been carried out on a small number of potash ore samples from the Udon field following earlier tests on samples from Somboon. Flotation tests and electrostatic separation tests have been completed and these indicate that the potash material responded favourably in each case. In the case of flotation, the results were comparable to values generally obtained in the Saskatchewan potash industry and confirmed that the ore could be easily beneficiated by this method. The results using electrostatic separation techniques indicated that, with optimization of conditions, the process could yield results close, or equal to, those for the flotation process.

Bulk samples (approximately 200 kg each) of the potash ore are currently being collected, one from the Somboon field and one from the Udon field. These will be transported to Saskatchewan for further, more comprehensive processing tests to better define the likely recoveries using flotation and electrostatic separation methods.

MARKETING AND TRANSPORTATION STUDIES

Asia Pacific has selected CRU International Ltd. to undertake the preliminary marketing study for the Udon Thani project. The basic scope of work includes assessments of potash supply and demand, potash pricing, identification of key markets and strategies and a review of existing suppliers to the key markets. The study report is scheduled for completion by late August, 1996.

In addition, the company is presently defining the scope of work for the second phase transportation study. It is anticipated that a contract will be issued for this study shortly. The study will cover aspects such as the review and analyses of transportation options from Udon Thani to key market areas, conceptual design and preliminary costing for mine, rail and port facilities including storage and handling and appraisal of the ultimate capacity of the existing rail link to the port at Map Ta Phut. -0- "Gerald D. Wright" President and C.E.O.

This news release was prepared by the board of directors on behalf of Asia Pacific Resources Ltd. which is solely responsible for its contents.

CONTACT: Asia Pacific Resources Ltd.

Gerald D. Wright, 604/681-8003

604/662-3180 (Fax)