Issue of Stock Options

4 October 2010

Urals Energy Public Company Limited

("Urals Energy" or the "Company")

Issue of Stock Options

Urals Energy, the Russian focused oil & gas exploration and production company, announces that it has issued 2,474,596 ordinary shares with a nominal value of US$0.0063 each pursuant to the terms of the Company's Restricted Stock Option Plan (the "Option Shares"). The Option Shares were issued credited as fully paid.

Of these Option Shares, the following have been issued to members of the Board:

Application has been made for the Option Shares to be admitted to trading on AIM and dealings are expected to commence at 8.00am on 5 October 2010. Following the issue of the Option Shares, the total number of shares in issue will be 190,993,963 with a nominal value of US$0.0063 each. This 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 to their interest in, the share capital of the Company under the Financial Services Authority's Disclosure and Transparency Rules.

Enquiries:

ENDS