Grant of GPR Licence

26 September 2006

                                 PipeHawk Plc                                  

                                 ("PipeHawk")                                  

            Ofcom Issues PipeHawk with GPR Radio Operating Licences            

PipeHawk announces that Ofcom has issued the first licences to operate GPR
equipment to PipeHawk plc and Adien Limited, heralding the official acceptance
of GPR as a maturing technology.

Prior to this, the legislative status of GPR as a technology was ambiguous with
Euro GPR Association members operating under a waiver.

GPR is a UWB technology that radiates short duration pulses which appear in the
frequency domain as a very low signal across wide spectral regions and does not
fit into the normal radio licensing regime.

The UK licensing arrangements were negotiated by Dr Richard Chignell,
PipeHawk's Technical Director, a past Chairman and currently licensing officer
of the Euro GPR Association.

Negotiations continue, for a consistent Europe wide licensing regime. The Board
expects that the new UK scheme will have a seamless transition to the
anticipated European scheme.

Gordon Watt, Chairman of PipeHawk plc, said

"This is a significant advance for PipeHawk as it means GPR is now an
acknowledged and regulated technology, and all companies which purport to use
GPR must now be registered and regulated to operate legally."

Pipehawk Plc                                          Telephone: [phone]
                                                                             
Gordon Watt (Chief Executive)