Company Update - Replacement

Asia Energy PLC
14 October 2005


                Asia Energy plc ('Asia Energy' or 'the Company')

14 October 2005

This announcement replaces the RNS announcement (reference number 6733S)
released at 09:58am on 14 October 2005.

The wording in the final paragraph of the announcement now reads as follows:

'The ADB is well established in Bangladesh and has been committed to the
development of the country for more than 30 years, in both the private and
public sectors. From ADB's point of view, this is not just a proposed mining
development, it is a major resource and infrastructure development, with
significant local, regional and national economic and social benefits. It is an
important strategic development project especially for the west region of
Bangladesh,' said Mr. Lenigas.

All other information remains unchanged and the full, amended text appears
below:


Asian Development Bank mandated for potential senior financing of Asia Energy's
Phulbari Coal Mine

London - Asia Energy PLC ('Asia Energy' or 'the Company') announced today that
it has mandated the Asian Development Bank ('ADB') to undertake a Due Diligence
Review for potentially providing senior financing of its Phulbari coal mine in
Northwest Bangladesh.

The due diligence will be undertaken by ADB's Private Sector Operations
Department, and it will assess the possibility of ADB taking a lead in financing
the mine, either through equity, a direct loan or political risk guarantees.

'The involvement of the ADB would be a significant step in the development of
the Phulbari coal mine,' said Asia Energy's Joint Managing Director David
Lenigas.

Asia Energy has undertaken a major feasibility study of the Phulbari basin and
has established a resource of 572 million tonnes of high quality bituminous coal
which it plans to extract by open pit method producing more than 15 million
tonnes a year.

The mine has been granted Environmental Clearance and, under terms of its
contract with the Government of Bangladesh ('GoB'). The Company's subsidiary
Asia Energy Corporation (Bangladesh) Pty Ltd has also presented the GoB with a
Scheme of Development to obtain formal approval to start mining operations.

'The ADB is well established in Bangladesh and has been committed to the
development of the country for more than 30 years, in both the private and
public sectors. From ADB's point of view, this not just a proposed mining
development, it is a major resource and infrastructure development, with
significant local, regional and national economic and social benefits. It is an
important strategic development project especially for the west region of
Bangladesh,' said Mr. Lenigas.

14 October 2005

For further information please contact:

Michael Frayne, Joint Managing Director     Justine Howarth, Cathy Malins
[e-mail]              Parkgreen Communications
David Lenigas, Joint Managing Director      Tel: [phone]
[e-mail]               [e-mail]
Asia Energy PLC                             [e-mail]
Tel: [phone], Fax: +44 (0) 20
7491 2758
[e-mail]; www.asia-energy.com


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