Issue of Equity

14 August 2014

Tanfield Group plc

("Tanfield" or the "Group")

Issue of Equity

Tanfield announces that application has been made for the admission to AIM of 2,231,334 new ordinary shares of 5p each in the Company (the "New Ordinary Shares"), pursuant to the exercise of share options. The new Ordinary Shares rank pari passu with the Company's existing issued Ordinary Shares. Admission of the New Ordinary Shares is expected to occur on 20 August 2014.

Following Admission of the New Ordinary Shares, the Company's enlarged issued share capital will comprise 141,722,559 ordinary shares. The Company holds zero shares in treasury. Therefore the total number of Ordinary Shares with voting rights is 141,722,559, which figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change in their interest in, the share capital of the Company under the FCA's Disclosure and Transparency Rules.

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For further information:

Tanfield Group Plc

Roy Stanley, Non-executive Director 0845 155 7755

WH Ireland Limited

James Joyce / Nick Field 020 7220 1666

Peterhouse Corporate Finance

Peter Greensmith / Duncan Vasey / Lucy Williams 020 7469 0930