Exercise of Options

Alkane Energy PLC
10 May 2005


ALKANE ENERGY PLC (the 'Company')

10 MAY 2005

EXERCISE OF OPTIONS

The Company announces that on 10 May 2005, following the exercise of share
options under the Company's 2000 Pre-admission Share Option Plan, it has issued
and allotted 92,700 new ordinary shares of 0.5 pence each. The exercise price
was 10 1/2 p per share.

The issued ordinary share capital of the Company is now 89,867,043 ordinary
shares of 0.5 pence each.

Application will be made for the new ordinary shares to be admitted to AIM as
soon as practicable.

ENDS



                      This information is provided by RNS
            The company news service from the London Stock Exchange