Company Update

27 May 2005 13:05

Asia Energy PLC27 May 2005 Asia Energy plc ("Asia Energy" or "the Company") Asia Energy's Phulbari Coal Resource increases by 41% to 522 million tonnes, according to JORC Standards Asia Energy announced today that its coal resource at Phulbari in northwestBangladesh had increased to 522 million tonnes to JORC Standards, 41% higherthan previous estimates. The previous JORC compliant coal resource was stated at370 million tonnes in the Company's admission document in March 2004. The updated total, released in a Resource Statement produced by coal geologyspecialist, Mr Frans Bos of Melbourne-based independent consultancy GHD Pty Ltd,was determined in accordance with Australia's Joint Ore Reserve Committee (JORC)Code, which is an internationally accepted standard of resource definition. The Statement said exploration drilling of the basin had established that thePhulbari resource now stands at 306 million tonnes Measured, with a further 72million tonnes Indicated and 144 million tonnes Inferred. The Company said sufficient drilling has been done to have most of the Inferredcoal tonnage upgraded to the Measured and Indicated categories, once the lastbatch of coal test results are analysed. This is expected to bring the Measured and Indicated Resources to some 500million tonnes within the next few weeks, the Company said. "This is a highly positive resource statement and a major milestone for minedevelopment at Phulbari," said Asia Energy's Joint Managing Director DavidLenigas. "Drilling is continuing in the south where the coal deposit remainsopen, and we confidently expect to find more high quality coal in this area." ENQUIRIES: Asia Energy PLCMichael Frayne, Joint Managing Director michael.frayne@asia-energy.comDavid Lenigas, Joint Managing Director david.lenigas@asia-energy.comTel: +44 (0) 20 7079 1798 info@asia-energy.comFax: +44 (0) 20 7491 2758 www.asia-energy.com Parkgreen CommunicationsJustine Howarth justine.howarth@parkgreenmedia.comCathy Malins cathy.malins@parkgreenmedia.comTel: +44 (0) 20 7493 3713 This information is provided by RNS The company news service from the London Stock Exchange