Issue of Equity

28 February 2011

Woodburne Square Ag plc

("Woodburne Square" or the "Company")

Placing and Loan Note Agreement

The Board of Woodburne Square, the silver and precious metals focused investment company, is pleased to announce, following further demand from institutional investors, that it has raised £605,000, before expenses. Of the total amount raised, £365,000 is being raised via a placing of 6,952,381 new ordinary shares of 0.4p in the Company at 5.25p a share ("Placing Shares"), and £240,000 is being raised via the issuance of new convertible loan notes (the "Loan Notes"). The Loan Notes do not carry a coupon, are redeemable in December 2012 and are convertible at any time, at the discretion of the note holder, into new ordinary shares at 5.25p per share ("Conversion Price").

The Placing Shares will rank pari passu with the existing ordinary shares of 0.4p each in the Company. Application has been made for admission of the Placing Shares to trading on AIM. Admission is expected to occur on 04 March 2011.

The new funds will be used to make further investments in high quality silver companies listed on the TSX and ASX, together with some special situations in gold.

Martin Kiersnowski, Chairman commented: "We are delighted to have raised these new funds, which will help us build on the momentum achieved to date. Our investment strategy is already showing growth, thanks to the astute decisions made by our CIO Tom Winnifrith."

For further information please contact

Woodburne Square Ag plc

Martin Kiersnowski, Chairman

Tel: 0207 562 3350

Libertas Capital Corporate Finance Limited

Sandy Jamieson

Tel: 0207 569 9650

Rivington Street Corporate Finance

Dru Edmonstone

Tel: 020 7562 3350

Bishopsgate Communications

Laura Stevens/Giang Nguyen

Tel: 0207 562 3350