Company Update - Replacement

Asia Energy PLC 14 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 the development of the country for more than 30 years, in both the private and public sectors. From ADB's point of view, this is not just a proposed mining development, it is a major resource and infrastructure development, with significant local, regional and national economic and social benefits. It is an important strategic development project especially for the west region of Bangladesh,' said Mr. Lenigas. All other information remains unchanged and the full, amended text appears below: Asian Development Bank mandated for potential senior financing of Asia Energy's Phulbari Coal Mine London - Asia Energy PLC ('Asia Energy' or 'the Company') announced today that it has mandated the Asian Development Bank ('ADB') to undertake a Due Diligence Review for potentially providing senior financing of its Phulbari coal mine in Northwest Bangladesh. The due diligence will be undertaken by ADB's Private Sector Operations Department, and it will assess the possibility of ADB taking a lead in financing the mine, either through equity, a direct loan or political risk guarantees. 'The involvement of the ADB would be a significant step in the development of the Phulbari coal mine,' said Asia Energy's Joint Managing Director David Lenigas. Asia Energy has undertaken a major feasibility study of the Phulbari basin and has established a resource of 572 million tonnes of high quality bituminous coal which it plans to extract by open pit method producing more than 15 million tonnes a year. The mine has been granted Environmental Clearance and, under terms of its contract with the Government of Bangladesh ('GoB'). The Company's subsidiary Asia Energy Corporation (Bangladesh) Pty Ltd has also presented the GoB with a Scheme of Development to obtain formal approval to start mining operations. 'The ADB is well established in Bangladesh and has been committed to the development of the country for more than 30 years, in both the private and public sectors. From ADB's point of view, this not just a proposed mining development, it is a major resource and infrastructure development, with significant local, regional and national economic and social benefits. It is an important strategic development project especially for the west region of Bangladesh,' said Mr. Lenigas. 14 October 2005 For further information please contact: Michael Frayne, Joint Managing Director Justine Howarth, Cathy Malins michael.frayne@asia-energy.com Parkgreen Communications David Lenigas, Joint Managing Director Tel: +44 (0) 20 7493 3713 david.lenigas@asia-energy.com justine.howarth@parkgreenmedia.com Asia Energy PLC cathy.malins@parkgreenmedia.com Tel: +44 (0) 20 7079 1798, Fax: +44 (0) 20 7491 2758 info@asia-energy.com; www.asia-energy.com This information is provided by RNS The company news service from the London Stock Exchange