Company

News 2010

COMPANY UPDATE

Further to its previous announcements on 18 February 2010 and 22 February 2010, Port Bouvard Limited ("the Company") (ASX: PBD) wishes to provide shareholders with an update as to its capital management strategy and subsequent re-quotation plans, plus the significant advances being made across its portfolio of WA development projects.

Capital management strategy update and anticipated reinstatement to official quotation of the Company's securities

As noted previously, the Company's securities remain in voluntary suspension while the Company addresses its overall capital management strategy.

The Company has determined that it should remain in voluntary suspension until the market and shareholders can be provided with definitive information regarding the Company's position, so that trading of its securities does not take place in an uninformed market.

The directors wish to inform shareholders that they appreciate their patience throughout this period and can appreciate that shareholders, like the board, would like to see trading recommence as quickly as possible.

The Company's current and primary focus is to seek to finalise its capital management strategy as soon as practically possible, which once finalised, will enable the Company to seek re-quotation of its securities for trading on the ASX.

The Company currently anticipates making a further announcement regarding the finalisation of its capital management strategy within approximately 5 weeks.

Operations update

Point Grey - The Company continues to focus on the development of the Point Grey project, one of the most significant new residential developments south of Perth, with continuing support being received for the development of the project from the local community and relevant government departments. At a full council meeting on 25 March 2010 the Shire of Murray resolved unanimously to approve the advertising of the Point Grey Town Planning Scheme Amendment and Outline Development Plan. This approval is for 42 days public advertising and referral following which the Shire will then finalise its approval and scheme conditions.

Marketing and pre-sales of Point Grey are expected to commence in early 2011.

Oceanique Luxury Apartments - Construction is due for practical completion in early June 2010, which is within the Company's scheduled timing and budget requirements, with settlements to occur thereafter.

Gidgegannup land - This project continues to progress through the planning process. At its meeting of 7 April 2010, the City of Swan voted unanimously to advise the Western Australian Planning Commission that it has no objection to the initiation of an Amendment to the Metropolitan Region Scheme (MRS) to rezone the Gidgegannup townsite landholdings, the subject of Option agreements exercisable by a subsidiary, to Urban. This paves the way for the Commission's initiation of the MRS Amendment, expected by mid 2010.

Eastport Stage 5 canal green title lots - The Company has continued to focus on executing settlements across the development. Significantly for the Company, 45 canal lots have now settled during this financial year, which has enabled the Company to reduce bank debt by $27 million. Settlement of the remaining 2 lots, both under unconditional contracts, is due to occur during the remainder of the 2010 financial year.

Eastport Stage 5 Island- All 34 unique strata canal lots which sold during a very successful 3 week sales campaign at the end of 2009 are due to settle during May 2010. Once the settlements have taken place, it is anticipated they will return $7 million of gross sales to the Company.

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Mr Stephen Court,
Executive Director
Port Bouvard Limited
Tel: 08 6436 2200

Mr John Wroth,
Chief Executive Officer
Port Bouvard Limited
Tel: 08 6436 2200

Mr David Tasker
Professional Public Relations
Tel: 08 9388 0944
Mob: 0433 112 936