Conversion of loan stock

Tanfield Group PLC 29 June 2005 Tanfield Group plc Conversion of loan stock Tanfield Group plc ('Tanfield' or the 'Company') announces that it has received notices of conversion in relation to £1,900,000 of loan stock. The loan stock will convert into 19,999,996 new ordinary shares of 1p each. The number of conversion shares was calculated under the loan stock instrument at the rate of 1000 new ordinary shares of 1p each in the share capital of the Company for every £95 nominal value of loan stock converted. Of the converted loan stock Mr Roy Stanley, Chief Executive and Chairman, has converted £287,500 into 3,026,315 ordinary shares. When the shares are admitted to AIM Mr Stanley will hold 35,602,529 ordinary shares representing 19.58 per cent. of the Company's issued share capital. Mr John Pither, Non-Executive Director, has converted £237,500 into 2,499,999 ordinary shares. When the shares are admitted to AIM Mr Pither will hold 3,599,947 ordinary shares representing 1.98 per cent. of the Company's issued share capital. Mr Stanley commented, 'The conversion of loan stock by Directors is a sign of our confidence in the Company's prospects.' Application has been made for the shares to be admitted to trading on AIM on 1 July 2006. Enquiries: Roy Stanley, Chief Executive, Tanfield Group Plc Tel. 01207 521111 Ruari McGirr, Daniel Stewart Tel. 020 7374 6789 This information is provided by RNS The company news service from the London Stock Exchange