Issue of Equity

Xtract Energy plc
12 September 2006



Xtract Energy Plc ('the Company')
Exercise of Warrants

The Company announces that on 11 September 2006 it issued and allotted 8,000,000
ordinary shares in the Company ('Ordinary Shares') pursuant to the exercise of
warrants in the Company ('Warrants'). The exercise price for the Warrants was 1p
per share.

Application has been made for the new Ordinary Shares to be admitted to trading
on AIM. The new Ordinary Shares will rank pari passu with the existing Ordinary
Shares and trading of these new shares on AIM is expected to commence on 18
September 2006.

The total number of Ordinary Shares in issue following this issue is
357,309,800.

12 September 2006




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