Investment update

22 April 2009

AIM: XTR

                          XTRACT ENERGY PLC
                     ("Xtract" or the "Company")

        INVESTMENT UPDATE - Wasabi Energy Limited ("Wasabi")

Xtract refers to  the announcement  set out below  released today  in
Australia by Wasabi. Xtract holds  approximately 19.4% of the  issued
share capital of Wasabi.

"22 April 2009

The Manager
ASX Limited ("ASX")
Company Announcements Office

Dear Sir

Rights Issue and Distribution of Xtract Shares to Note Holders

The directors of Wasabi Energy Limited wish to advise they have
resolved to raise a total of approximately $4,500,000 through a
pro-rata rights issue of convertible preference shares.

Funds from the issue will be used to discharge $2.36m of the
convertible notes and to provide additional working capital.  The
balance of $1.15m of the outstanding notes has been repaid by the
distribution of 35,000,000 Xtract Energy plc shares to the note
holders.

The Company intends to undertake a one for two non-renounceable
rights issue priced at 1 cent.  The rights issue will be by way of 7%
preference shares with the dividend to be satisfied by the issue of
shares and which will be convertible for 3 years.  Upon conversion
from a preference share, the Company will issue one ordinary share
and one free attaching option to convert into an ordinary share at 1c
for each preference share.  The completion of the rights issue will
be conditional on shareholders passing the necessary resolutions to
allow the Company to issue the preference shares.  Further details of
the terms of the preference share will be set out in the documents to
be sent to shareholders.

Should the ordinary shares trade above 1.5 cents for more than 14
days consecutively in the first 12 months, above 2 cents for more
than 14 days consecutively in the second 12 months or above 2.5 cents
for more than 14 days consecutively in the third 12 months then the
preference shares will automatically convert to ordinary shares.  The
attached options will only be issued when the preference shares are
converted to ordinary shares.

The directors are pleased to announce an intention from the note
holders to underwrite the rights issue up to the balance of the loan
notes subject to a customary underwriting agreement.  The Company
will give existing major shareholders the opportunity to underwrite a
proportion of the shortfall equal to their holding in the Company
before seeking an underwriter for the balance of the rights issue.

Full details of the rights issue including a notice to shareholders
with regard to creation of the preference share, a timetable and
Appendix 3B will be released to the market as soon as they are
finalised.

The Company expects to dispatch documentation in relation to the
rights issue to shareholders in early May 2009.

Mr Tim Wise
Managing Director"

The distribution of the  35,000,000 Xtract shares  held by Wasabi  to
its  note-holders   simplifies   the  Xtract   Group   structure   by
substantially removing the  cross-holding between  Xtract and  Wasabi
that has existed since July 2008.

Commenting on the  transaction, Andy Morrison,  CEO of Xtract  Energy
said that, 'Xtract is very pleased to welcome Wasabi note-holders  as
direct shareholders in the company. We believe that their willingness
to take  Xtract paper  is a  significant vote  of confidence  in  the
prospects for Xtract'.

Enquiries please contact:


Xtract Energy      Andy Morrison, CEO  [phone]

Smith & Williamson David Jones         [phone]
Corporate Finance  Azhic Basirov

Scott Harris       Ian Middleton       [phone]
                   James O'Shaughnessy



About Xtract Energy

Xtract identifies and  invests in  a diversified  portfolio of  early
stage energy  sector  technologies and  businesses  with  significant
growth  potential.  The  Company  aims  to  work  closely  with   the
associated management teams to  achieve critical project  milestones,
to finance later  development stages,  and to  build and  crystallise
value for all shareholders and partners.

For further information on Xtract please visit www.xtractenergy.co.uk

A short description  of the  principal assets  of Xtract  is set  out
below. These assets are either held directly or through wholly  owned
subsidiaries of the Company.

MEO Australia Ltd ("MEO")

MEO (ASX: MEO) aims to become an integrated Australian Gas-to-Liquids
("GTL") company. In 2008, MEO made significant gas discoveries in the
Australian Timor Sea,  in an area  of shallow water  known as  Tassie
Shoal.  Early  commercialisation  of  these  discoveries  is  planned
through construction of  Liquified Natural Gas  ("LNG") and  Methanol
plants and export terminals  on the off-shore  Tassie Shoal. MEO  has
already secured Australian Government environmental approvals for two
large scale (1.8  Mtpa) methanol  plants and a  3 Mtpa  LNG plant  on
Tassie Shoal. Xtract owns approximately  11.6% of MEO's issued  share
capital.

Elko Energy Inc. ("Elko")

Elko is a Canadian registered oil & gas exploration company which has
interests in exploration  and production licences  in the Danish  and
Dutch North Sea. Its major asset is  in the Danish North Sea; an  80%
interest on  26 offshore  blocks in  a 5,400  sq km  exploration  and
production licence close  to the prolific  Central Graben oil  field.
Technical work indicates the potential for significant reserves. Elko
also holds a 60% operating interest in gas-bearing license blocks  P1
and P2 in  the Dutch North  Sea. Xtract owns  approximately 35.0%  of
Elko's issued share capital.

Extrem Energy AS ("Extrem Energy")

Extrem Energy is  an exploration  and production  joint venture  with
Merty Energy of Turkey. The JV's aim is to create a new  medium-sized
oil and gas exploration and production business, initially focused on
Turkey where Merty  Energy has particular  experience and  expertise.
Extrem Energy has a portfolio of licence interests including the high
potential prospect at Candarli Bay in south-west Turkey. Xtract  owns
20% of the issued share capital  of Extrem Energy and has the  option
of increasing its shareholding to 34% before 30 June 2009.

Xtract Oil Ltd ("XOL")

Xtract's wholly owned subsidiary, XOL, is focused on the  development
of the Company's oil shale resources in Australia and the  technology
for oil extraction  from oil  shale resources. Xtract  has oil  shale
exploration rights over mining tenements  in the Julia Creek area  of
Queensland. In addition to  evaluating third party technologies,  XOL
has  been  developing  proprietary  technology  for  the   commercial
extraction of liquid hydrocarbon products from oil shale.

Xtract Energy (Oil Shale) Morocco SA ("XOSM")

XOSM is  a  joint  venture with  Alraed  Limited  Investment  Holding
Company WLL, a company controlled by His Highness, Prince Bandar  Bin
Mohd. Bin  Abdulrahman Al-Saud  of Saudi  Arabia. XOSM  has signed  a
Memorandum  of   Understanding   with   the   Office   National   des
Hydrocarbures et  des  Mines  for  the  purposes  of  evaluation  and
possible development of  an oil  shale deposit near  Tarfaya, in  the
south west part of Morocco. Xtract  currently holds 70% of the  joint
venture.

Wasabi Energy Ltd ("Wasabi")

Wasabi (ASX:  WAS)  is  a diversified  investor  in  traditional  and
renewable energy  technologies. Amongst  its listed  assets it  holds
approximately 38%  of Rum  Jungle Uranium  Ltd (ASX:  RUM) which  has
interests in uranium exploration licenses  covering some 4,150 sq  km
of  Australia's  Northern  Territory   and  approximately  12.5%   of
Greenearth Energy Ltd  (ASX:GER) which  aims to  explore and  develop
geothermal resources in Australia and  the wider Pacific Rim.  Xtract
owns approximately 19.4% of the issued share capital of Wasabi.

Zhibek Resources Ltd ("Zhibek Resources")

Zhibek Resources is an oil and gas exploration and production company
which has a 72% interest in the Tash Kumyr and Pishkoran  exploration
licences in  the  Kyrgyz  Republic. Xtract  has  entered  a  farm-out
agreement to  fund  a seismic  and  drilling programme  for  2008-09.
Xtract owns 25.0% of the issued share capital of Zhibek Resources.

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This announcement was originally distributed by Hugin. The issuer is 
solely responsible for the content of this announcement.