Tanfield Regulatory News (TAN)

For immediate release 8 March 2012

TANFIELD GROUP PLC("Tanfield" or the "Company")

Result of General Meeting & Directorate Change

On 13 February 2012, the Board of Tanfield announced details of a £12m conditional Placing, advising that it had conditionally raised gross proceeds of approximately £12 million by way of a placing of 29,268,293 new ordinary shares of 5p each at a price of 41p per share to institutional and other investors. The net proceeds will remove supply chain bottlenecks and fulfil the growing order book in its Snorkel powered access business. The Admission of 9,407,720 shares issued under existing authorities occurred on 17 February 2012. The issue of the remaining 19,860,573 shares (the "Second Tranche Placing Shares"), was conditional on shareholder approval.

The Company is pleased to announce that the Resolution set out in the notice of General Meeting dated 13 February 2012 was duly passed at the General Meeting of the Company held earlier today.

It is expected that Admission will become effective and dealings in the Second Tranche Placing Shares will commence, at 8.00am on Friday 9 March 2012.

Following Admission of the 19,860,573 Second Tranche Placing Shares, the total shares in issue will be 123,835,511. This figure may be used by Shareholders, from Admission as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FSA's Disclosure and Transparency Rules.

Terms defined in the Circular published by the Company on 13 February 2012 shall have the same meaning in this announcement unless the context otherwise requires.

The Board of Directors also announces that John Bridge and Jeremy Wooding OBE are stepping down from their roles as Non-Executive Directors with Tanfield, with immediate effect. John Bridge joined the Board in January 2001. Jeremy Wooding joined in June 2009 and was Tanfield's Non-Executive Deputy Chairman.

Darren Kell, Chief Executive of The Tanfield Group Plc, said: "I would like to thank John and Jeremy for their contributions and particularly for their help and advice as we steered the Company through a protracted and difficult recession, and the sale of the Smith Electric Vehicle division. The Tanfield Board, now appropriately sized, will be entirely focused on the future growth and return to profitability of its global Snorkel powered access business."

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ENDS