Issue of Equity

BEOWULF MINING PLC                               

                                ("the Company")                                

                                Issue of Equity                                

The board of Beowulf Mining plc is pleased to announce the successful placing
of 8,000,000 new ordinary shares at a price of 4.25p each raising the gross sum
of £340,000, arranged by Loeb Aron & Company Ltd.

Following the issue of these shares the issued share capital of the Company
will be 74,548,247 ordinary shares of 1p each. Application will be made for the
new shares to be admitted to trading on AIM, expected to be 08.00 on 22 August
2007.

Expenses of the placing are estimated at £17,000 together with the issue of
400,000 warrants exercisable for two years at 6p per warrant.


For further information contact:

Dr Robert Young, Beowulf Mining plc    Tel. [phone]

Gavin Burnell, Ruegg & Co Limited      Tel. [phone]

Gary Middleton, St. Swithins PR        Tel. [phone]

Nick Bealer, King & Shaxson            Tel. [phone]

Charles Dampney, City Capital          Tel: [phone]