Issue of Equity

Steppe Cement Limited
30 January 2006


Steppe Cement Ltd
US$21 million Share Placing Completed

Steppe Cement Ltd ('the Company') is pleased to announce it has placed 14
million new shares at an issue price of US$1.50 each, raising a total of US$21
million.

The proceeds will be used to fund the equity component of the cost of expanding
the Company's cement production capacity, which was announced during December
2005.

The placing was made primarily to institutional investors through the Company's
broker, Westhouse Securities LLP ('Westhouse'). The placing is subject to the
placing agreement between the Company and Westhouse becoming unconditional and
not being terminated prior to the issue of the shares.

Dealing in the placement shares is expected to commence on 3 February 2006 and
subsequent to the issue of the placing shares the Company will have a total of
114 million shares on issue.






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