Issue of Equity

2 November 2012

LP Hill Plc

("LP Hill" or the "Company")

Issue of Equity

LP Hill (AIM: LPH), the AIM listed uranium, thorium, base and precious metals and gemstones exploration and development company operating in Madagascar, announces that the Hereford Group Limited ("Hereford"), an existing significant shareholder in the Company, has elected to convert its unsecured loan notes due 31 October 2012 (the "Notes") in full into 2,000,000 new ordinary shares of 0.1p each in the capital of the Company (the "Ordinary Shares") at a conversion price of 5p per Ordinary Share, representing a 25 per cent. premium to yesterday's closing middle market share price. Hereford has also agreed to subscribe for a further 145,026 new Ordinary Shares at the same price, in satisfaction in full of the accrued interest due on the Notes.

Application has been made to the London Stock Exchange for the 2,145,026 new Ordinary Shares to be admitted to trading on AIM ("Admission"). It is expected that Admission will become effective and that dealings will commence at 8.00 a.m. on 8 November 2012.

Following the issue of the abovementioned new Ordinary Shares the Company's issued share capital will consist of 30,137,806 Ordinary Shares with voting rights. The Company does not hold any Ordinary Shares in treasury and accordingly there are no voting rights in respect of any treasury shares.

The above figure of 30,137,806 Ordinary Shares 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 to their interest in, LP Hill under the Financial Service Authority's Disclosure and Transparency Rules.

Following the abovementioned allotment of new Ordinary Shares, Hereford now holds £300,000 of convertible unsecured loan notes due 14 March 2014 and is interested in 4,145,026 Ordinary Shares, representing approximately 13.75 per cent. of the Company's issued share capital.

For further information, please contact:

or visit: www.lphill.com.au