Net Asset Value and Investment Update

TAU CAPITAL PLC

("Tau" or "the Company")

12 March 2013

NET ASSET VALUE

The Board is pleased to advise that, following consultation with its Investment Managers, the estimated Net Asset Value ("NAV") as at close of business on 28 February 2013 is US$0.48 per share.

INVESTMENT UPDATE

Tau's Board of Directors provides a further update on the valuation of its portfolio investment in Lucent Oil & Gas Ltd. ("Lucent") a privately owned independent oil & gas exploration and production company with interests in West Kazakhstan.

Based upon advice from its Private Equity Investment Advisor, the Board of Tau has decided to mark down its investment in Lucent by a further 25% or by an amount of US$3.75m. This has resulted in a reduction in total NAV of approximately 6.9%

Kazakhstan has lifted its moratorium on auctions of new oil and gas projects, and 20 new contracts will be awarded in 2013-2014, thus providing competition for Lucent with respect to prospective farm-in partners. In addition, a successful farm-in will dilute Tau's interest to an extent which diminishes its expected return on investment.

As announced on 23 January 2013 Lucent is continuing the process which should lead to negotiations with a number of potential farm-in partners which would enable the Company to drill further exploratory wells.

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