US$6.4 Million Acquisition

Anglo-Eastern Plantations PLC
17 May 2007


Thursday 17 May 2007

           ANGLO-EASTERN PLANTATIONS MAKES US$6.4 MILLION ACQUISITION

Anglo-Eastern Plantations Plc, which owns 35,000 hectares (ha) of plantations,
primarily oil palm in Indonesia, has entered a contract to acquire 90% of the
issued share capital of P T Cahaya Pelita Andhika, an Indonesian company whose
principal asset is an oil palm estate in the province of North Sumatra with a
land title area of 4,469ha, of which 2,750ha are planted. One of Anglo-Eastern's
existing local partners will acquire the balancing 10% of the issued capital.

The transaction requires the approval of the Indonesian Investment Co-ordination
Board and is subject to the satisfactory completion of investigations into the
affairs of the company.

The total consideration is US$6.37 million, of which $2.5 million has been paid
on entering the contract. The balance is payable on or before 11 July 2007
following completion of satisfactory due diligence. Financial data from the
company is not comprehensive but sufficient for the group to enter the contract;
there are no significant third party liabilities and, other than the land
titles, the company has no other significant assets. The area has been surveyed
by the group's field staff and initial searches indicate the land title is in
order. The consideration is payable in cash from Anglo-Eastern's own resources.

Plantation land in Indonesia is held under leases of between 25 and 35 years
which are renewable. The lease of Cahaya Pelita Andhaka runs to 2029, when it
should be renewable for between a further 25 and 55 years.

Cahaya Pelita Andhaka is located on the west coast of North Sumatra, about 30km
from the town of Sibolga and about 300km from the provincial capital of Medan;
it is not near any of Anglo-Eastern's other estates. The estate has no oil mill,
and fresh fruit bunches (FFB) will continue to be sold to mills in the region
until it is economic to construct a mill on the estate, likely to be in 2009/10.
Terrain and rainfall are very suitable for oil palms.

Planted on average about 11 years ago, the estate is in need of major
rehabilitation, the cost of which is expected to require a further US$1.8
million. Planting of the existing vacant area of about 1,700ha will be
undertaken in 2008. There are indications that further land may be available for
purchase in this region including rights of Cahaya Pelita Andhaka to 2,000ha
which have expired. The initial annual crop of FFB is expected to be only
7,000mt (less than 2% of the existing group's), but this should build up
strongly over the next few years. A small loss of around $0.5 million can be
expected in the first year, after which the estate's contribution should rise
strongly.

Mr T H Chan, Chairman, commented 'The acquisition of Cahaya Pelita Andhaka oil
palm estate is part of Anglo-Eastern's continuing strategy to grow through the
purchase of medium-sized planted estates, as well as through development of the
group's existing and future land reserves, while taking advantage of the
strength of the group's balance sheet. We hope that this acquisition will have
the same success as that of Bina Pitri, a derelict 4,900ha estate which we
acquired in 2004 and which is now making a significant contribution. The total
planted area of the group immediately following this acquisition will be
37,800ha and the total land area will be 49,300ha. We are continuing to search
actively for further expansion opportunities.'

Enquiries:
Anglo-Eastern Plantations Plc
Rollo Barnes (Financial Director)                             020-7236 2838

Bankside Consultants Limited
Charles Ponsonby                                             020-7367 8851
   



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