Cancellation of Share Premium Account

Terra Capital Plc (the "Company")

Cancellation of Share Premium Account

Terra Capital Plc announces that it has received confirmation from the High Court of Justice of the Isle of Man of its approval for the Company to cancel the amount of the share premium account and for such amount to be credited as a distributable reserve.

Shareholders approved the seeking of such approval by Special Resolution at the Annual General Meeting of the Company held on 10 June 2013. Having received court approval, the amount of the share premium account so cancelled will be credited as a distributable reserve which will be able to be applied in any manner in which the Company's profits available for distribution are able to be applied.

28 August 2013

For further information, please refer to the Company's website at www.terracapitalplc.com