Statement re FIRST DAY OF TRADING

CASPIAN MINERALS PLC

FIRST DAY OF TRADING
The  Directors of Caspian Minerals plc ("Caspian" or "the Company") are  pleased
to  announce  that the Company's Global Depository Receipts (GDRs), representing
10  shares of 0.1 US cents each have today, 16 February 2009, been admitted  for
trading on the PLUS - quoted market.

ADMISSION DETAILS

Securities                    100,000  Global  Depository Receipts  (GDRs,  each
                              representing 10 ordinary shares)
Admission price of GDRs       US$ 10.00 (740 pence at an exchange rate of $1.35)
GDRs in issue:                100,000
Sector classification:        Investment Company
Principal activities:         Investment in Resources in the CIS
Corporate adviser:            Axiom Capital Ltd ("Axiom")

BACKGROUND

The  Company  was  formed  on  27 March 2008. It  has  been  established  as  an
Investment  Vehicle  to invest in the acquisition of mining  or  oil  production
processing  facilities  and  resources. Whilst the  initial  focus  will  be  on
opportunities  in  the  CIS,  the  Directors  will  consider  other   geographic
territories.

Outline business strategy
The  Company plans to make investments in the mining and oil and gas  production
and  processing  facilities and resource sectors. These investments  may  be  at
different  levels in the extraction, processing and distribution  supply  chain.
Financial, 15% or less; significant minority, 15% -50%; or controlling, 50% plus
up  to 100% ownership, will be considered on the merits and availability of each
investment.
Whilst  investments, once made, will usually be long term, the Directors do  not
preclude  any  opportunity  for early sale of an  investment  for  strategic  or
commercial reasons.
Licences  may  have  to be obtained for certain of the mining  or  oil  and  gas
resources extraction investments and these may be joint ventured with government
or other parties.
If  any  investments  are  significant  in  the  development  of  the  Company's
investment strategy it is possible that they will constitute a reverse  takeover
of  the  Company under the PLUS Rules. However substantive information  will  be
provided  to  Shareholders and the market at the time of any  investments  being
made by the Company.

DIRECTORS

Alessandro Manghi, 47, Chairman
Mr Manghi is Chairman of Kazakhstan Kagazy PLC (fully listed on the London Stock
Exchange since July 2007) has been a Director of companies within the Kazakhstan
Kagazy  Group  since  2005.  Mr. Manghi has over twelve  years  of  finance  and
investment experience in Kazakhstan and other emerging markets. Prior to joining
our  company,  Mr.  Manghi  was the Chief Financial Officer  of  a  London-based
insurance  management group that was active in Central Asia,  the  Caucasus  and
Eastern  Europe. Between 1998 and 2001, Mr. Manghi was Senior Investment Manager
at  EBRD Eagle Kazakhstan, where he held the positions of Chairman of the  Board
of  Directors  of JSC Arna (part of Kazakhstan's largest private fixed-line  and
satellite  telecoms  operator), Rainbow Paint JSC (a paint production  company),
and Bauta LLP (a water desalination and packaging joint venture). Mr. Manghi was
also a member of the Board of Directors of Spectrum LLP. He has several years of
audit  and  transaction  support experience with Price  Waterhouse  and  Barents
Group.  Mr.  Manghi  is a qualified Chartered Accountant and  a  member  of  the
Institute of Chartered Accountants in England and Wales. He will vary  his  time
commitment with the requirements of the business.

Shynar Dikhanbayeva, 34, Director
Ms  Dikhanbayeva has served as Finance Director of Kazakhstan Kagazy  JSC  since
2001. Prior to that time, she was Finance Director at Seimar Investment Group, a
Kazakh investment company. Ms. Dikhanbayeva is a Certified Accountant and member
of  the  Kazakhstan Professional Accounting Association. She holds a  Bachelor's
Degree  from  Kazakhstan  State  Management Academy.  She  will  vary  her  time
commitment with the requirements of the business.

Thomas Johnson, 72, Independent Non-Executive Director
Mr  Johnson  has also been an independent non-executive Director  of  Kazakhstan
Kagazy  PLC  since early 2007. He is a consultant with Denton  Wilde  Sapte,  an
international  law firm, and has been advising clients on Central Asian  matters
since  1993, with a focus on banking and finance matters as well as real estate,
construction  and  electricity. Prior to moving to Almaty in 1993,  Mr.  Johnson
practised banking and finance law in New York and London. Mr. Johnson has a  law
degree from Harvard Law School. He now resides in England.
The  directorships of the Directors currently held and held  over  the  5  years
preceding the date of this document (other than of the Company) are as follows:

Director             Current Directorship     Past Directorship

Alessandro Manghi    Kazakhstan Kagazy plc    Londongate Reinsurance Company SA
                     Pleco Limited
                     Oreo Limited

Shynar Dikhanbayeva  Kazakhstan Kagazy JSC
                     Caspian Minerals LLP
                     Barnard Commercial SA

 Thomas Johnson      Kazakhstan Kagazy plc    London Hotel Management Limited
                     Crestfield Development
                     Limited


SUBSTANTIAL SHAREHOLDINGS

The  Directors  currently hold no shares.

The current shareholders  are  Caspian Minerals  I  Settlement ("CM I Trust"),
Caspian Minerals II Settlement  ("CM  II Trust")  and David Sturt.

45%  of  the  Shares  are held by Rysaffe, as trustee of  the  CM  I  Trust,  an
irrevocable  discretionary trust settled by Maksat Arip for the benefit  of  him
and his family. Until recently he was a director and the chief executive officer
of  Kazakhstan Kagazy PLC. He has been a director of Kazakhstan Kagazy JSC since
2003.  Mr.  Arip  was, between 2000 and 2003, the First Deputy to  the  Director
General of KazTransCom JSC. From 1999 to 2000, he served as the Finance Director
of  Spectrum  LLP.  Mr.  Arip  has also held senior  positions  with  the  Tumar
Insurance Company and the Kyz-Zhibek Investment Fund. Mr. Arip holds a Master of
Business Administration from the International Academy of Business in Almaty and
a law degree from the Kunayev Humanities University;

45%  of  the  Shares  are held by Rysaffe, as trustee of the  CM  II  Trust,  an
irrevocable discretionary trust settled by Baglan Zhunussov for the  benefit  of
him  and his family. Until recently he was a director and the executive chairman
of  Kazakhstan Kagazy PLC. He has been a director of Kazakhstan Kagazy JSC since
2004.  From 2003 to 2004, Mr. Zhunussov was the Managing Director of Halyk  Bank
JSC. Prior to that time, from 2000 to 2003, he was President of KazTransCom JSC,
the  telecoms arm of state-owned oil and gas firm KazMunaiGaz. Mr. Zhunussov was
the  General  Director of Spectrum LLP, a Kazakh-American mobile  communications
joint  venture  and an EBRD investee company, from 1996 to 2000.  Mr.  Zhunussov
holds  a  Master  of Business Administration from the International  Academy  of
Business in Almaty; and

10%  of  the Shares are held by David Sturt, who acts as an investment  adviser.
David  Sturt  has over 20 years of international exploration and production  oil
company  experience  having  worked on projects in Europe,  Africa,  the  former
Soviet  Union  and  South East Asia.  He previously held the  position  of  CEO,
Kausar  Oil  and  Gas where he was responsible for building an  exploration  and
production company with assets in the Komi and West Siberian regions of  Russia.
Before joining Kausar he worked as Director of G&G for PetroKazkahstan based  in
Kazakhstan.  He has also worked for Amerada Hess, Dragon Oil, Sun  International
and  Conoco.   Mr  Sturt holds a Masters Degree in Exploration  Geophysics  from
Leeds University and a BSc degree in Earth Sciences from Kingston Polytechnic.
Rysaffe,  the  trustee of CM I Trust and CM II Trust, has  appointed  Mr  Andrew
Cleeton,  the  sole director of the Rysaffe, to be the representative  of  CM  I
Trust  and  CM  II Trust with discretion to exercise the voting  power  of  both
trusts at shareholder meetings.

David  Sturt has entered into an agreement with Maksat Arip and Baglan Zhunussov
dated  26  January 2009 whereby David Sturt agreed with Mr Arip and Mr Zhunussov
that:
  ·    he will only exercise or sell his Founder Warrants to the extent that such
       exercise is proportionate to any exercise of Founder Warrants by Rysaffe;
  ·    he will only exercise or sell his Founder Warrants with the prior approval
       of Mr Arip and Mr Zhunussov;
  ·    any Shares or GDRs held by Mr Sturt will be sold proportionately to any
       sale of Shares or GDRs by Rysaffe and subject to the prior approval of Mr
       Arip and Mr Zhunussov.

LOCK IN ARRANGEMENTS

On the start of trading of the GDRs on the PLUS Market, the Shareholders will be
interested  in  all  the  issued share capital  of  the  Company.  Each  of  the
Shareholders  has  undertaken that, subject to the liquidity arrangements  below
and save in limited circumstances or otherwise with the prior written consent of
Axiom,  they will not during a period of twelve months from start of trading  on
the  PLUS Market, dispose of any interest in Shares and GDRs held by them or any
interest in Warrants held by them.

LIQUIDITY ARRANGEMENT

In order to provide liquidity to the market, Axiom has consented and CM I Trust,
CM  II  Trust  and  David Sturt have respectively agreed  to  lodge  with  their
brokers,  2,250, 2,250 and 500 GDRs to enable these to be sold  to  meet  market
demand.

REASONS FOR ADMISSION

The  Directors  believe  that the profile of the Company will  be  significantly
enhanced by its position as a company whose GDRs are traded on the PLUS  Market.
The Directors believe that the benefits of Admission to PLUS include:
  ·  the  ability to raise further funds in the future, either  to  enable  a
     proposed acquisition or investment to be completed and/or to raise
     additional working capital or development capital for the Company once the
     acquisition or investment has been completed;
  ·  the ability to attract and incentivise high calibre directors and employees
     by offering options over shares, which may become GDRs. The Directors
     consider that the ability to grant options over publicly traded shares or
     GDRs is potentially more attractive to directors and employees than the
     grant of optionsover unquoted shares;  and
  ·  the ability to enter into negotiations with vendors of businesses or
     companies, to whom the issue of publicly traded shares as consideration is
     potentially more attractive than the issue of shares in an equivalent
     private company for which no market exists.

SHARES AND WARRANTS

The  Company has 1,000,000 shares in issue, represented by 100,000 GDRs.  It has
issued 20,000,000 Founder Warrants at an exercise price of $1.00 per share which
on  full  exercise  will  raise $20,000,000 by the issue  of  20,000,000  Shares
(equivalent to 2,000,000 GDRs). The Warrants must be exercised within 2 years of
Admission.

MARKETABILITY OF GDRs AND PLUS

Any individual wishing to buy or sell GDRs, which are traded on the PLUS Market,
must  trade through a stockbroker (being a member of PLUS and regulated  by  the
Financial  Services  Authority) as the market's  facilities  are  not  available
directly  to the public. The Deposit Agreement provides two types of GDR,  those
issued  as  Regulation S GDRs and those issued as Rule 144A GDRs.  No Rule  144A
GDRs  have  been  issued but these would be GDRs sold into  the  United  States,
without  a  requirement to register the underlying Shares with the US Securities
and Exchange Commission ("SEC"). In the United States, pursuant to Rule 144A  of
the  Securities  Act,  only  Qualified  Institutional  Buyers  are  allowed   to
participate in any offering.
The  Regulation S GDRs are to be traded and held outside the United  States  and
are, similarly, not subject to any registration requirements with the SEC.
An  explanation of the terms and conditions of the GDRs and the basis  on  which
they  can be traded are set out in Part V of the Admission Document. The  Shares
are currently not intended to be separately traded on the PLUS Market. There are
no Rule 144A GDRs in issue at present.

DEALING ARRANGEMENTS AND SETTLEMENT

The  GDRs  are eligible for trading through Euroclear, but are not eligible  for
settlement  in CREST and will not be admitted to CREST directly.   However,  the
Company  has  established arrangements which will enable  investors  to  receive
their  interest in the Company via the CREST International Links Service and  to
be  issued  with CDIs.  CDIs are dematerialised depository interests which  will
represent entitlements to GDRs and are independent securities constituted  under
English  law  which may be held and transferred through the CREST  system.   The
CDIs will have the same security code (ISIN) as the underlying GDRs and will not
require a separate admission to trading on PLUS Markets.
In  order to enable investors to hold their GDRs through CDIs, the relevant GDRs
will  be  transferred to and registered in the name of a wholly owned subsidiary
of Euroclear, which will hold them on trust.  CREST Depository Limited will then
issue  CDIs representing entitlement to the GDRs.  CDI holders will not  be  the
legal  owners of the GDRs to which they are entitled.  As Euroclear maintains  a
list  of  the  CDI  holders,  it may be possible  for  the  Company  and/or  the
Depository to provide CDI holders with the same information as the legal  owners
of  the GDRs; for the Depository to take into account the voting instructions of
CDI  holders  in  exercising the votes attaching to  the  underlying  Shares  at
general meetings of the Company, subject to applicable law and the Articles, and
for holders of CDIs to have dividends paid to them direct.  However, this cannot
be guaranteed.


RISK FACTORS

In  addition  to  the other relevant information set out in this  document,  the
following specific factors should be considered carefully in evaluating  whether
to  make an investment in the Company. This list is not exhaustive, nor is it an
explanation of all the risk factors involved in investing in the Company and nor
are  they set out in any order of priority. Any one or more of these risks could
have a material adverse effect on the value of any investment in the Company and
the  business, financial position or operating results of the Company and should
be  taken into account in assessing the Company's activities. If you are in  any
doubt  about  the  action  you should take, you should  consult  a  professional
adviser authorised under FSMA who specialises in advising on the acquisition  of
shares and other securities.

The risks noted below do not necessarily comprise all those faced by the Company
and are not intended to be presented in any assumed order of priority.

Liquidity of Shares and GDRs and volatility of their price
Prospective  investors should be aware that the value of any investment  in  the
Company  may  go down as well as up. Investors may therefore realise  less  than
their  original investment and could lose their entire investment.  Furthermore,
an investment in a share that is traded on PLUS is likely to carry a higher risk
than  an investment in a share quoted on the Official List. The market value  of
an  investment  in  the  Company  may  not necessarily  accurately  reflect  its
underlying  value. Even if the Shares or GDRs are traded PLUS-quoted securities,
this  should not be taken as implying that there will be a liquid market in  the
Shares  or  GDRs. Application will only be made for the GDRs to  be  traded.  An
investment in the Shares or GDRs may thus be difficult to realise. Investors may
therefore  realise less than their original investment, or sustain a total  loss
of their investment.
The  market  for  shares  in smaller companies is less liquid  than  for  larger
companies.  The  Shares or GDRs may not be suitable as a short-term  investment.
Consequently, the Shares or GDRs may be difficult to buy and sell and the  price
may  be  subject to greater fluctuations than in respect of the shares of larger
companies.  Investors  may  therefore not be  able  to  realise  their  original
investment.
There  can  be  no  guarantee  that  the Company  will  achieve  its  investment
objectives  as  anticipated  or that its investments  will  achieve  returns  to
justify  the  initial  valuation, or that the Shares or GDRs  will  be  able  to
achieve  a  higher valuation in the future, or if achieved, that such  valuation
will in fact be maintained.

Realisation of Investment
Prospective investors should be aware that the Shares and GDRs are not presently
traded on a recognised investment exchange or a market regulated by a recognised
investment  exchange. As such, it may become difficult for an  investor  in  the
Company  to  realise his/her investment or to obtain reliable information  about
either  the value of an investment in the Company or the extent of the risks  to
which an investment in the Company may be exposed.
The  Shares  and GDRs are not included in the Official List and not admitted  to
trading on a "recognised stock exchange" (which does not include the PLUS-quoted
Market). Notwithstanding the fact that an application will be made for the  GDRs
to  be  admitted to the PLUS-quoted Market, there is no assurance that an active
trading  market  for  the  GDRs  will develop or,  if  developed,  be  sustained
following their admission to the PLUS-quoted Market. If an active trading market
is  not  developed or maintained, the liquidity and trading price  of  the  GDRs
could  be  adversely  affected. In addition, there  is  no  guarantee  that  the
Company's  application to PLUS Markets plc for its GDRs to  be  traded  will  be
successful. Acceptance of the Company's application to, and continued  admission
to  trading  on  the PLUS-quoted market are entirely at the discretion  of  PLUS
Markets plc.

Continued  Listing on PLUS is entirely at the Discretion of PLUS  Markets  Group
plc
PLUS-quoted securities are not listed on AIM or the Official List. Consequently,
it  may be more difficult for an investor to sell his or her GDRs and he or  she
may  receive  less than the amount paid. The market price of the  GDRs  may  not
reflect  the  underlying value of the Company's net assets  or  operations.  Any
changes  to  the regulatory environment, in particular the PLUS Rules  regarding
companies  such  as the Company, could for example, affect the  ability  of  the
Company to maintain a trading facility on PLUS.

Working Capital Requirements
The  Directors consider that the Company will have adequate working  capital  to
implement  its  current business plan for 12 months from the date of  Admission.
The operational performance of the Company may require more working capital than
is  envisaged. The Company may be presented with investment opportunities  which
may  require  funds beyond those provided for in the assumptions in its  present
business  plan.  This  may  give rise to the need or the  opportunity  to  raise
additional  capital.  Any  additional  equity  financing  may  be  dilutive   to
Shareholders.

Dividends
There  is  no  certainty  that the Company will generate  sufficient  after  tax
profits  to  be  able  to  pay a dividend and it is not  the  Company's  current
intention to pay dividends.

Dilution Risk
20,000,000 Founder Warrants have been issued at an exercise price of  $1.00  per
Share  which on full exercise will raise $20,000,000 by the issue of  20,000,000
Shares (equivalent to 2,000,000 GDRs).

Suitability
An  investment  in the Company involves a high degree of risk  and  may  not  be
suitable for all recipients of this document. Prospective investors are  advised
to consult a person authorised by the Financial Services Authority before making
their  decision and are reminded that the price at which investors  may  realise
their  GDRs and the timing of any disposal of them may be influenced by a  large
number of factors, some specific to the Company and its proposed operations, and
some  which  may  affect the sector in which the Company plans  to  operate  and
generally.  These  factors  could  include  the  performance  of  the  Company's
operations, large purchases or sales of GDRs, liquidity or absence of  liquidity
in  the GDRs, legislative or regulatory changes relating to the business of  the
Company  and general economic conditions. The value of GDRs can go down as  well
as  up, and an investment in a GDR which is to be quoted on PLUS is likely to be
less  realisable  and to carry a higher degree of risk than an investment  in  a
share quoted on the Official List or AIM. Accordingly, investors may not recover
the whole of their investment or could lose all of their investment.

Dependence on Key Personnel
The  Company's ability to be successful and profitable depends to a  significant
extent on the continued service of its Directors. The loss of service of one  or
more  of  these key officers or employees could materially and adversely  affect
the  Company's business and prospects. The Directors believe that the growth and
future  success  of  the Company's business will depend in  large  part  on  the
Company's  continued  ability  to attract, motivate  and  retain  highly-skilled
personnel. The Company may not be successful in doing so as the competition  for
qualified personnel in the sector of the Company's operations is intense.

Takeover Panel
The  City  Code  on  Takeovers and Mergers ("the Code") will not  apply  to  the
Company and the protections afforded to investors by the Code will not apply.

RISKS ASSOCIATED WITH THE BUSINESS
The  Directors consider that the most significant operational risks faced by the
Company  (including any operating investments in this review  of  risk  factors)
are:

Mining and Resource Risks
The  business  of  investing in companies in exploration for and  extraction  of
minerals,  oil and gas involves a high degree of risk. Few properties  that  are
explored are ultimately developed into producing reserves. Mineral deposits  and
oil  and  gas  reserves  assessed by the Company may  not  contain  economically
recoverable  volumes  of  resources. Should any  reserves  contain  economically
recoverable  resources  then  delays in the construction  and  commissioning  of
resource  projects or other technical difficulties may result in  any  projected
target  dates for production being delayed or further capital expenditure  being
required.
The  operations of the Company's investments may be disrupted by  a  variety  of
risks  and  hazards  which  are beyond the control  of  the  Company,  including
geological, geotechnical and seismic factors, environmental hazards,  industrial
accidents,  occupational  and  health hazards,  technical  failures,  employment
disputes,  unusual  or unexpected rock or sedimentary formations,  flooding  and
extended  interruptions  due  to  inclement  or  hazardous  weather  conditions,
explosions and other acts of God. These risks and hazards could also  result  in
damage   to,   or  destruction  of,  production  facilities,  personal   injury,
environmental damage, business interruption, monetary losses and possible  legal
liability.
No  assurance can be given that the Company's investments will be able to obtain
insurance  coverage  at reasonable rates (or at all), or that  any  coverage  it
obtains will be adequate and available to cover any such claims.
The  occurrence of any of these hazards could delay activities of the  Company's
investments  and/or  result in liability. The Company and  its  investments  may
become subject to liability for pollution or other hazards against which it  has
not  insured or cannot insure, including those of past activities for  which  it
was not responsible.

Mineral, oil and gas exploration is highly speculative in nature, involves  many
risks  and  is  frequently  unsuccessful. There can be  no  assurance  that  any
resources  discovered  will result in proven reserves being  attributed  to  the
Company's investments. If reserves are developed, it can take a number of  years
until  production  is  possible, during which time the economic  feasibility  of
production may change.

Volatility of mineral, oil and gas prices
Mineral,  oil  and  gas prices have displayed wide ranges and  are  affected  by
numerous  factors  over which the Company has no control.  These  include  world
production   levels,   international   economic   trends,   currency    exchange
fluctuations,  expectation  for  inflation,  speculative  activity,  consumption
patterns and global or regional political events.

Government regulations, processing licences and commercial agreements
Governmental approvals, licences and permits are, as a practical matter, subject
to  the  discretion of the applicable governments or governmental  offices.  The
Company  and  its  investments  must comply with existing  standards,  laws  and
regulations that may entail greater or lesser costs and delays, depending on the
nature  of the activity to be permitted and the permitting authority.  New  laws
and  regulations, amendments to existing laws and regulations, or more stringent
enforcement or re-interpretation of existing laws and regulations, could have  a
material adverse impact on the Company's investments' results of operations  and
financial condition.
The  Company's investments' intended production activities will be dependent  on
the  grant and maintenance of appropriate licences, concessions, leases, permits
and  regulatory consents, and on commercial agreements, which could subsequently
be  withdrawn  or  made subject to limitations or subject  to  breach  or  other
restrictions. There can be no assurance that they will be maintained or renewed,
or if so, on what terms.

Operating History
The  Company  does not have an established trading record. The Company  has  not
earned  profits  to  date and unless sufficient production is  achieved  by  its
investments, when made, there is no assurance that it will do so in the  future.
Significant capital investment is required to achieve commercial production  and
there  can  be  no  assurance  that the Company and its  investments  will  have
sufficient financial resources or be able to raise further capital on acceptable
terms.

Currency Risk
Currency  fluctuations  may affect the cash flow that the Company's  investments
may  realise from their operations as mineral, oil and gas production is usually
sold in the world market in US Dollars. Much of the Company's investments' costs
are likely to be denominated in other currencies. Fluctuations in exchange rates
between  currencies  in which they operate and in which  it  reports  may  cause
fluctuations in its financial results which are not necessarily related to their
underlying operations.

Political Risks
Existing   political  conditions  are  subject  to  the  introduction   of   new
legislation,   amendments  to  existing  legislation  by  governments   or   the
interpretation of those laws by governments which could impact adversely on  the
assets,  operations and ultimate financial performance of the  Company  and  its
investments.

Lack  of  political  stability, changes in political attitudes  and  changes  to
government regulations relating to foreign investment and mining are beyond  the
control  of  the  Company  and  may  adversely  affect  its  business  and   its
investments.

Operations  may  be  affected to varying degrees by government  regulation  with
respect  to  restrictions  on  various areas, including  production,  employment
costs,  price  controls, income taxes, expropriation of property,  environmental
legislation and mine safety.

General Risks Relating to our Business

No Operating History
Although  members  of  our  management  team  have  significant  experience   in
investment,  no  investments have yet been made by the Company.   As  a  result,
prospective investors will have limited historical information available to them
with  which  to evaluate our business, making it more difficult to identify  its
long-term  trends  and  developments. In evaluating our future  performance  and
prospects,  investors  should  consider the risks, expenses,  uncertainties  and
obstacles  that  we may face in implementing our strategy and in conducting  our
current and planned business activities.

Assumptions
Our current development plans and objectives reflect our management's views with
respect  to  the  industries and countries in which we propose  to  operate  and
include important assumptions with respect to future events.

Competition
We  are likely to face strong competition in our chosen business sectors.   Some
of  our  competitors will have greater financial and operational resources  than
us.  New  competitors  and changes in the competitive environment  may  increase
competitive pressures or reduce market prices for our products and services  and
the investment opportunities in them.

Uninsured Losses
Local  laws  in  some  CIS countries prohibit foreign insurance  companies  from
directly operating locally. However, the domestic insurance industries in  those
countries  are not yet well developed. While we will maintain insurance  against
standard  risks, such as fire or accidental damage, the terms of such  insurance
are  likely  to be less comprehensive, provide for lower levels of  compensation
and  be more expensive than might be expected in more developed markets such  as
in  the  United  States  and  the EU. In addition,  we  do  not  carry  business
interruption insurance. Furthermore, if our operations are principally conducted
and  most  of our assets are located in the CIS, they may have higher political,
social,  economic and market risks as compared to countries in  the  EU  or  the
United  States.  Various types of catastrophic losses, such  as  losses  due  to
political  risks,  civil unrest, acts of warfare, terrorist activities,  certain
natural  disasters  (e.g.  hurricanes),  pollution,  environmental  matters   or
expropriation  of  assets generally are either uninsurable or  not  economically
insurable,  or may be subject to limitations, such as large deductibles  or  co-
payments.  Any losses from uninsured risks could have a material adverse  effect
upon  our  business, financial position and operating results  from  investments
when made.

Key Employees
Our  success will depend to a significant degree upon the efforts and  abilities
of  certain  key persons, including our Directors. In addition, we benefit  from
the extensive contacts and relationships of our executives. No assurance can  be
given  that  the  current members of our management team will continue  to  make
their  services available to us on a long-term basis. In addition,  our  success
will depend, in part, on our ability to continue to retain, motivate and attract
qualified  and  experienced management personnel. Within  the  CIS,  competition
within   our   industry  for  qualified  personnel  is  intense   due   to   the
disproportionately  low  number  of  qualified  and/or  experienced  individuals
compared  to  the level of demand. Moreover, our need for qualified  staff  will
increase as we continue to grow. However, there can be no assurance that we will
be  able  successfully to recruit and retain necessary qualified personnel.  The
loss  or diminution in the services of our Directors or an inability to recruit,
train  and/or retain necessary personnel could materially adversely  affect  our
business, financial condition and operating results from investments.

Exchange Rate Risk
We  are  exposed  to  currency exchange rate risks.  Many  CIS  currencies  have
experienced  volatility  in  past years and further volatility  against  the  US
dollar  could  materially adversely affect our business, financial position  and
operating results.

Risks Relating to the CIS and to Investments in Emerging Markets

Generally
Investors in companies whose assets are located in emerging markets, such as the
CIS,  should be aware that these markets are subject to greater risks than  more
developed  markets,  including  in  some cases  significant  legal,  regulatory,
economic and political risks. Investors should also note that emerging economies
are  subject  to rapid change and that the information set out in this  document
may  become outdated relatively quickly. Accordingly, investors should  exercise
particular  care in evaluating the risks involved and must decide for themselves
whether,  in  light  of  these  risks, investing in  the  GDRs  is  appropriate.
Generally, investment in a company whose assets are located in emerging  markets
is   only  suitable  for  sophisticated  investors  who  fully  appreciate   the
significance of the risks involved and investors are urged to consult with their
own legal and financial advisers before making an investment in the GDRs.
All  of  our  proposed  investment  will initially  be  conducted  in  the  CIS.
Accordingly,  we  are  substantially dependent on  the  economic  and  political
conditions  prevailing in the countries that make up the  CIS.  Those  countries
became  independent  sovereign states in the early 1990's as  a  result  of  the
dissolution of the former Soviet Union. Since then, many of those countries have
experienced  significant  change  as  they  have  emerged  from  a  single-party
political system and a centrally controlled command economy to a market-oriented
model. The transition was initially marked by political uncertainty and tension,
a  recessionary economy marked by high inflation and instability  of  the  local
currency and rapid, but incomplete, changes in the legal environment. Since  the
early  1990's  some of the CIS countries have actively pursued  a  programme  of
economic   reform   designed   to  establish  a  free-market   economy   through
privatisation  of  state  enterprises and deregulation.  However,  as  with  any
transition economy, there can be no assurance that such reforms will continue or
that  such  reforms  will  achieve all or any of their intended  aims.  The  CIS
countries  depend  on  each other and on neighbouring  states  to  access  world
markets for a number of their major exports, including oil, natural gas,  steel,
copper,  ferro-alloys, iron ore, aluminium, coal, lead, zinc and wheat. The  CIS
countries  are therefore dependent upon good relations with their neighbours  to
ensure  their  ability  to  export. Should access  to  these  export  routes  be
materially  impaired,  this  could  adversely impact  their  economies.  Adverse
economic factors in the regional markets may also adversely impact the economies
of each of the CIS countries.

Uncertainty Over Further Market-based Economic Reforms and Underdevelopment  and
Evolution of the Legislative, Tax and Regulatory Frameworks
Although  many CIS countries have passed a large volume of legislation and  made
significant reforms in areas relating to taxation, foreign arbitration,  foreign
investment, the banking sector, securities exchanges, economic partnerships  and
companies,  state enterprise reform and privatisation, the legal  frameworks  of
these countries are still at a relatively early stage of development compared to
countries  with  established  market economies. The  judicial  system,  judicial
officials  and other government officials in these countries may  not  be  fully
independent of external social, economic and political forces.

There  have in the past been recorded instances of improper payments being  made
by  private enterprises to public officials, court decisions can be difficult to
predict and administrative decisions have on occasion been inconsistent.
Further,  the  legal  and  tax  authorities may  make  arbitrary  judgments  and
assessments  of  tax  liabilities  and  challenge  previous  judgments  and  tax
assessments,  thereby rendering it difficult for companies to ascertain  whether
they  are  liable for additional taxes, penalties and interest. As a  result  of
these ambiguities, as well as the lack of an established system of precedent  or
consistency in legal interpretation, the legal and tax risks involved  in  doing
business  in the CIS countries are substantially more significant than those  in
jurisdictions  with  a  more  developed legal and  tax  system.  Additional  tax
exposure  could  have  a  material adverse effect  on  our  business,  financial
condition  and  operating results and there can be no  assurance  that  any  tax
legislation  passed  in  the  future will not materially  adversely  affect  our
business, financial condition and operating results.
Corporate  governance  in most CIS countries is weak and ineffective  and  lacks
adequate legal framework and implementation.

In addition, as a company incorporated in the Isle of Man, we are not required
by  Isle  of Man law to comply with the UK Combined Code on Corporate Governance
principles or similar standards of other EU member states or the United States.

Exchange  Rate Policies, Environmental Regulation, Employment Laws,  Competition
Regulations, Securities Laws
Exchange   rate   policies,  environmental  regulation,  employment   laws   and
competition regulations and securities laws are not well developed  in  the  CIS
and are subject to change at any time.  Furthermore, application may be vague or
inconsistent.  Such instability will have a negative impact on our business  and
will adversely affect the value of any investment that we make.

Dependency on Oil Exports
CIS  countries, whose economies and state budgets rely in part on the export  of
oil and oil products and other commodities, the importation of capital equipment
and  significant  foreign  investments  in  infrastructure  projects,  could  be
adversely  affected by volatility in oil and other commodity prices and  by  any
sustained  fall  in them or by the frustration or delay of any energy  or  other
commodity infrastructure projects caused by political or economic instability in
countries  engaged in such projects. In addition, any fluctuations in the  value
of  the  US Dollar relative to other currencies may cause volatility on earnings
from   US  Dollar-denominated  oil  exports.  An  oversupply  of  oil  or  other
commodities  in  world  markets or a general downturn in the  economies  of  any
significant markets for oil or other commodities or weakening of the  US  Dollar
relative  to  other  currencies  might have a material  adverse  effect  on  the
economies  of  the CIS countries, which would, in turn, have a material  adverse
effect on our business, financial condition and operating results.

Physical Infrastructure
Physical  infrastructure  in  CIS countries is in poor  condition,  which  could
disrupt normal business activity. Physical infrastructure largely dates back  to
Soviet times and has not been adequately funded and maintained over the past  15
years.  Particularly affected are rail and road networks, power  generation  and
transmission,  pipelines and communication systems. There can  be  no  assurance
that  the  governments will dedicate budget revenues to improving their physical
infrastructure.   A  lack  of  progress  in  the  rehabilitation   of   physical
infrastructure may harm national economies, disrupt the transportation of  goods
and supplies, add costs to doing business and may interrupt business operations,
any of which could have a material adverse effect on our investments when made.

Reliability of Data and Statistics
Official statistics and other data published by various state authorities within
the CIS may not be as complete or reliable as those of more developed countries.
Official statistics and other data may also be produced on different bases  than
those used in more developed countries. We have not independently verified  such
official  statistics and other data, and any discussion of matters  relating  to
the  CIS in this document is, therefore, subject to uncertainty due to questions
regarding the completeness or reliability of such information.

Risks Relating to the GDRs and the Trading Market

Control by Existing Shareholders
100%  of  our issued Shares will be controlled by the Shareholders.  As long  as
Rysaffe,  as  trustee  of the CM I Trust and CM II Trust,  continues  to  own  a
majority  of  the Shares or GDRs representing such Shares, it will  be  able  to
control  the  outcome  of all matters requiring a simple majority  vote  of  our
Shareholders (and, depending on the size of its shareholding, matters  requiring
greater  than  a simple majority vote) including, but not limited  to,  proposed
amendments to the Articles, which govern the rights attaching to the Shares, and
significant  corporate  transactions  required  to  be  subject  to  shareholder
consent.   Through  their ability to control the election of Directors  and  the
representation on the Board, the Shareholders will also be able  to  control  or
exert  significant  influence  on  all of our  policy  decisions  and  strategic
direction.  The  interests of CM I Trust and CM II Trust  and  their  respective
beneficiaries, the families of, respectively, Mr Arip and Mr Zhunussov, may  not
be  aligned and, at times, could conflict with those of the holders of the GDRs,
whose investment in the GDRs could be adversely affected by such conflict.

Market Value of the GDRs
Prior  to  Admission,  there was no trading market for the  GDRs.  There  is  no
assurance  that  any  active trading market for the  GDRs  will  develop  or  be
sustained  after  Admission,  or  that  the  anticipated  admission  price  will
correspond  to  the  price at which the GDRs will trade  in  the  public  market
subsequent  to Admission. If no trading market develops for the GDRs,  investors
may  experience  difficulties  in  selling  the  GDRs.  In  addition,  sales  of
additional  Shares  or  GDRs  into  the public  market  following  Admission  or
otherwise, could adversely affect the market price of the GDRs. If a substantial
number of the Shares or the GDRs are offered for sale, the trading price of  the
GDRs  may be depressed. The existence of 20,000,000 Founder Warrants for  Shares
at US$1.00 per Share further exacerbates such potential conflict
Publicly  traded securities from time to time experience significant  price  and
volume  fluctuations that may be unrelated to the operating performance  of  the
companies  that  have issued them. The market price of the  GDRs  may  fluctuate
significantly in response to a number of factors, many of which are  beyond  our
control,  including  variations  in  operating  results,  changes  in  financial
estimates  by  securities  analysts, changes in  market  valuations  of  similar
companies,  announcements of significant developments in  our  business,  future
issues  or sales of GDRs and stock market price and volume fluctuations. Any  of
these events could result in a material decline in the price of the GDRs.

Dividends
The   Company  has  no  plans  to  pay  dividends  in  the  foreseeable  future.
Furthermore,  our business, financial condition and operating  results  will  be
entirely  dependent  on  the trading performance of  our  investments,  and  our
ability  to  pay  dividends will depend on the level of distributions,  if  any,
received  from  these  investments. Our investments may from  time  to  time  be
subject  to  restrictions on their ability to make distributions  to  us,  as  a
result   of  factors  such  as  restrictive  covenants  contained  within   loan
agreements,  foreign  exchange  limitations  or  regulatory,  fiscal  or   other
restrictions.  Therefore, there can be no assurance as to  our  ability  to  pay
dividends in the future.

Voting Rights Limited by Terms of the Deposit Agreement
Holders  of  GDRs will have no direct voting rights with respect to  the  Shares
represented  by the GDRs. They will have a right to instruct the Depositary  how
to  exercise  those rights, subject to the provisions of the Deposit  Agreement.
However,  there are practical limitations upon their ability to exercise  voting
rights  due  to  additional procedural steps involved in our communication  with
holders of GDRs. GDR holders will not receive notices of meetings directly  from
us, but from the Depositary, which has undertaken to deliver to GDR holders,  as
soon  as  practicable  after receipt of the same by the Depositary,  notices  of
meetings, copies of voting materials that it receives from us and a statement as
to  the  manner in which instructions may be given by GDR holders. As a  result,
the process of exercising voting rights may take longer for holders of GDRs than
for  holders  of Shares. In addition, there is a possibility that a  GDR  holder
will  not  receive voting materials or otherwise learn of a meeting in  time  to
enable  that  GDR  holder to return voting instructions to the Depositary  in  a
timely manner.
In the event that the Depositary does not receive voting instructions from a GDR
holder either because no voting instructions were returned to the Depositary  or
because the voting instructions are incomplete, illegible or unclear or  if  the
GDR  holder  fails to confirm its ownership interest and identify  the  ultimate
beneficial  owner,  if  required, of the GDRs,  a  discretionary  proxy  may  be
designated  by  us  to exercise the voting rights of such GDR  holder.  No  such
discretionary proxy will be appointed with respect to any matter as to which  we
inform  the Depositary that we do not wish such proxy to be given or  that  such
matter materially and adversely affects the rights of holders of GDRs.
Additionally, GDR holders will be unable to instruct the Depositary to introduce
resolutions  on  the agenda of our general meetings, request  the  convening  of
general  meetings, nominate candidates for the Board or otherwise  exercise  the
rights of minority ownership.
GDR holders who wish to take such action must timely request the cancellation of
GDRs and take delivery of the underlying Shares, thus becoming the owner of such
Shares on our share register. See Terms and Conditions of the GDRs. However,  no
application  has been made, or will be made, to admit the Shares to  trading  on
PLUS or elsewhere.

Future Issuances or Sales of Shares or GDRs
Future  issuances  or  sales  of  Shares,  or  securities  convertible  into  or
exchangeable for Shares, directly or in the form of depositary receipts  at  any
time  by  us,  or even the perception that such issuances or sales might  occur,
could  adversely  affect the market price of the GDRs. Although  no  Shares  are
listed  or  admitted to trading on any securities market at  the  date  of  this
document,  subsequent sales of a substantial number of Shares  or  GDRs  in  the
public  markets following the Admission, or the perception that these sales  may
occur,  could have a material adverse effect on the price of the GDRs and  could
impair  our  ability  to obtain further capital through an  offering  of  equity
securities.  Although  the  Shareholders have  entered  into  customary  lock-up
arrangements  with Axiom Capital for a period of 365 days from  Admission  these
restrictions  may  be waived by Axiom in its discretion, in whole  or  in  part.
Neither the Articles nor any requirements of Isle of Man company law oblige  the
Company to make a pre-emptive offer of any Shares proposed to be issued  in  the
future  to  existing holders of Shares (unless the Company by special resolution
otherwise directs). Even if pre-emptive rights are made available to holders  of
GDRs,  the process for exercising such pre-emptive rights through the Depositary
may take longer for such holders than for holders of Shares and we cannot assure
investors  that  they will be able to instruct the Depositary to  exercise  pre-
emptive rights in a timely manner.

The  above description is not intended to constitute a complete analysis of  all
consequences  relating  to acquisition, ownership and  disposition  of  GDRs  or
Shares.  You should consult your tax advisor concerning the tax consequences  of
your particular situation.
Although  the  Directors will seek to minimise the impact of the  Risk  Factors,
investment  in the Company should only be made by investors able  to  sustain  a
loss  of  their  investment. Investors are strongly recommended  to  consult  an
investment adviser authorised under the Financial Services and Markets Act  2000
who  specialises  in investments of this nature before making  any  decision  to
invest.  Investment  in  GDRs may not be suitable for  all  recipients  of  this
document.  Investors are therefore strongly recommended to consult an investment
adviser  authorized under FSMA, who specializes in investments  of  this  nature
before making their decision to invest.
Investing  in  the  GDRs  involves a high degree of risk. Prospective  investors
should  carefully  consider  the following risk  factors,  and  all  information
contained  in this document, before investing in the GDRs. Additional risks  and
uncertainties  that  we  are  not  aware of or that  we  currently  believe  are
immaterial  may  also  adversely affect our business,  financial  condition  and
operating  results.  If  any  of  these events occur,  our  business,  financial
condition and operating results could be materially and adversely affected,  the
price  of  the  GDRs  may decline and/or our ability to pay dividends  could  be
impaired.




ADMISSION DOCUMENT

Copies  of  the  Admission Documents will be available free of charge  from  the
offices  of  Axiom Capital Limited, Roman House 296 Golders Green  Road,  London
NW11  9PT  during normal business hours on any week day (Saturdays, Sundays  and
public holidays excepted) and will remain available for at least one month after
the  date  of  Admission.  Telephone David  Sinclair  020  8455  0011  or  email
[e-mail].

ENQUIRIES:
David Sinclair, Axiom Capital Limited        [phone]
Alessandro Manghi, Chairman                  [phone]

The Directors accept responsibility for the content of this announcement.