New Contract Success and Sale of Director's...

19 September 2006


                  ADVANCED SMARTCARD TECHNOLOGIES PLC ANNOUNCES
               NEW CONTRACT SUCCESS AND SALE OF DIRECTORS'S SHARES

Advanced Smartcard Technologies (RIC: SMRT/L), ("AST") the Scottish based
software group specialising in smartcard technology, through its wholly owned
subsidiary Ecebs Limited, is delighted to announce that the Company has been
awarded an additional development contract with ITI Techmedia, a company set up
with the support of the Scottish Executive to drive Scotland's ambitious  plans
to identify and commercialise valuable technology-based intellectual assets.

The new contract represents additional advanced technological research and
development which will enhance further the functionality of the ITI Techmedia
anti-counterfeiting technology. Ecebs Limited already has a signed agreement
with ITI Techmedia to commercialise elements of the ITI R&D programme in Machine-
readable Security Tagging, a technology platform offering an end-to-end solution
for brand protection.

AST  is  pleased to note that it is trading to budget and is currently on course
to  achieve a profit in line with its expectations for the year to 30  September
2006.

AST also announces that as a result of Institutional demand for shares, on 15
September 2004 the four directors of AST each sold a portion of their beneficial
holding at a price of 3.25p per share, in line with the 95% lock-in disclosed in
the Admission Document. In addition, on 18 September 2006 David Braddock gifted
shares to his wife Carol Braddock and Stephen Naylor gifted shares to his 18
year old daughter. All gifted shares remain covered by the 95% lock-in for
Directors shares, as disclosed in the Admission Document.

A summary table of these transactions is shown below:

                           Shares     % of total     shares        % of total
                           sold       issued         gifted to     issued capital
                                      shareholding   family        retained
                                      sold                         following sale/
                                                                   gifting

David Braddock           1,115,855       0.47%       1,000,000        13.11%
Carol Braddock             561,380       0.23%               -         0.57%
Barry Hochfield            634,000       0.26%               -         6.73%
Judith Hochfield           634,000       0.26%               -         6.73%
Stephen Naylor             300,000       0.13%         300,000        14.57%
InvestNorthWest
Limited*                 1,370,149       0.57%               -         0.22%


* Thomas Doyle, the non-executive chairman of Advanced Smartcard Technologies is
the controlling director and shareholder of InvestNorthWest Limited.

David Braddock, Chief Executive of AST commented,

" We are delighted that ITI Techmedia has placed this further development
contract with us. It is a further vindication of the strength in developing
advanced smartcard technology and processes. In addition, we expect that the
release of shares by the directors will increase liquidity in the stock. "


                                      -ends-

Date: 19 September 2006
For further information contact:

Advanced Smartcard Technologies plc                       01355-268521
David Braddock, Managing Director
Stephen Naylor, Finance Director

SVS Securities plc                                        020 7638 5600
Ian Callaway
Peter Manfield

ARM Corporate Finance Limited                             020 7512 0191
Nick Harriss


NOTES TO EDITORS

About Advanced Smartcard Technologies plc

Advanced Smartcard Technologies plc, through its wholly owned subsidiary Ecebs
Limited, is a profit making, software company operating in the dynamic and
expanding smartcard arena. SMRT listed on AIM in December 2005. The Company
provides smartcard technology to a wide range of user markets including
transport, ID, healthcare, finance and local and national government departments
and blue-chip companies.