Company Update - Replacement

14 Oct 2005 15:49

Asia Energy PLC14 October 2005 Asia Energy plc ("Asia Energy" or "the Company") 14 October 2005 This announcement replaces the RNS announcement (reference number 6733S)released at 09:58am on 14 October 2005. The wording in the final paragraph of the announcement now reads as follows: "The ADB is well established in Bangladesh and has been committed to thedevelopment of the country for more than 30 years, in both the private andpublic sectors. From ADB's point of view, this is not just a proposed miningdevelopment, it is a major resource and infrastructure development, withsignificant local, regional and national economic and social benefits. It is animportant strategic development project especially for the west region ofBangladesh," said Mr. Lenigas. All other information remains unchanged and the full, amended text appearsbelow: Asian Development Bank mandated for potential senior financing of Asia Energy'sPhulbari Coal Mine London - Asia Energy PLC ('Asia Energy' or 'the Company') announced today thatit has mandated the Asian Development Bank ('ADB') to undertake a Due DiligenceReview for potentially providing senior financing of its Phulbari coal mine inNorthwest Bangladesh. The due diligence will be undertaken by ADB's Private Sector OperationsDepartment, and it will assess the possibility of ADB taking a lead in financingthe mine, either through equity, a direct loan or political risk guarantees. "The involvement of the ADB would be a significant step in the development ofthe Phulbari coal mine," said Asia Energy's Joint Managing Director DavidLenigas. Asia Energy has undertaken a major feasibility study of the Phulbari basin andhas established a resource of 572 million tonnes of high quality bituminous coalwhich it plans to extract by open pit method producing more than 15 milliontonnes a year. The mine has been granted Environmental Clearance and, under terms of itscontract with the Government of Bangladesh ("GoB"). The Company's subsidiaryAsia Energy Corporation (Bangladesh) Pty Ltd has also presented the GoB with aScheme of Development to obtain formal approval to start mining operations. "The ADB is well established in Bangladesh and has been committed to thedevelopment of the country for more than 30 years, in both the private andpublic sectors. From ADB's point of view, this not just a proposed miningdevelopment, it is a major resource and infrastructure development, withsignificant local, regional and national economic and social benefits. It is animportant strategic development project especially for the west region ofBangladesh," said Mr. Lenigas. 14 October 2005 For further information please contact: Michael Frayne, Joint Managing Director Justine Howarth, Cathy Malinsmichael.frayne@asia-energy.com Parkgreen CommunicationsDavid Lenigas, Joint Managing Director Tel: +44 (0) 20 7493 3713david.lenigas@asia-energy.com justine.howarth@parkgreenmedia.comAsia Energy PLC cathy.malins@parkgreenmedia.comTel: +44 (0) 20 7079 1798, Fax: +44 (0) 207491 2758info@asia-energy.com; www.asia-energy.com This information is provided by RNS The company news service from the London Stock Exchange