Exercise of Options

Alkane Energy PLC
09 June 2005


ALKANE ENERGY PLC (the Company')

9 JUNE 2005

EXERCISE OF OPTIONS

The Company announces that on 8 June 2005, following the exercise of share
options under an individual share option plan granted on 7 November 2000, it has
issued and allotted 100,000 new ordinary shares of 0.5 pence each. The exercise
price was 17.5p per share.

The issued ordinary share capital of the Company is now 89,967,043 ordinary
shares of 0.5 pence each.

Application will be made for the new ordinary shares to be admitted to AIM as
soon as practicable.

ENDS



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