Exercise of Options and Warrants

25th April 2012

AFC Energy Plc

("AFC Energy" or the "Company")

Exercise of Options and Warrants

Director Shareholding

Exercise of Options and Warrants

AFC Energy (AIM: AFC) announces that application has been made for 715,000 new ordinary shares of 0.1 pence to be admitted to trading on AIM pursuant to the exercise of options under the Company's EMI Share Option Scheme (the "Option Exercise"). The options have an exercise price of 3.13 pence per share.

An application has also been made for a further 400,000 new ordinary shares of 0.1 pence to be admitted to trading on AIM pursuant to the exercise of a Warrant Instrument dated 17th April 2009 by Tim Yeo, Chairman (the "Warrant Exercise"). The warrants have an exercise price of 3.13 pence per share.

The 1,115,000 new ordinary shares issued pursuant to the Option Exercise and the Warrant Exercise will rank pari passu with the Company's existing ordinary shares and admission to trading on AIM is expected to take place on 1st May 2012 ("Admission").

The total enlarged issued share capital of the Company following Admission will be 184,453,762 ordinary shares of 0.1 pence each. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Disclosure and Transparency Rules of the UK Financial Services Authority.

Director Shareholding

Following Admission, Tim Yeo will have a total beneficial interest in 777,272 ordinary shares in AFC Energy, equivalent to 0.4 per cent. of the total enlarged share capital of the Company.

For further information, please contact:

About AFC Energy

Founded in 2006, AFC Energy plc is re-engineering proven alkaline fuel cell technology to reduce the cost of electricity. Alkaline fuel cells have been used on US and Russian manned space missions for decades to provide electrical power and drinking water. By using modern materials, design tools and manufacturing processes at scale, AFC Energy is developing fuel cells that will compete with conventional technologies such as turbines for electrical power generation. Today, AFC Energy is pursuing opportunities in several sectors where hydrogen is readily available including the chlorine, clean coal and waste-to-energy industries as well as applications for distributed/back-up power. For further information, please visit our website: www.afcenergy.com.

About fuel cells

A fuel cell is a device that produces electricity, heat and water by reacting a hydrogen-rich fuel with oxygen. Conventional engines and turbines combust fuel to produce mechanical energy prior to generating electricity. The direct generation of electricity allows fuel cells to be highly energy efficient. There are several different types of fuel cell, each with its own characteristic but they are all based around a common central design. Fuel cells are increasingly being deployed for applications ranging from vehicles, domestic boilers, powering portable equipment and large scale power stations.