Issue of Equity

Asia Energy PLC
17 August 2005



                                ASIA ENERGY PLC

                                ISSUE OF EQUITY


Asia Energy PLC ('the Company'), the 100% owner of the Phulbari Energy Project
in north-west Bangladesh, today announces that it has issued and allotted
100,000 new Ordinary Shares of 10p each, at a price of 75p, pursuant to an
exercise of warrants. These new Ordinary Shares are issued under the terms of
the Company's existing warrant instrument with W.H. Ireland Limited, the
Company's previous Nominated Adviser and Broker.


In addition, a further 500,000 new Ordinary Shares were today issued and
allotted pursuant to an exercise of existing options.


The new Ordinary Shares will rank pari passu with the existing Ordinary Shares
of 10p each in the Company and trading of these shares on AIM is expected to
commence on 23 August 2005.


The total number of Ordinary Shares in issue following this issue is 40,887,691.



17 August 2005






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