EDEN INNOVATIONS LTD — Capital/Financing Update 2007

Jan 21, 2007

EDEN ENERGY LTD

ACN 109 200 900

Level 40, Exchange Plaza 2 The Esplanade, Perth, Western Australia, 6000 Telephone: (08) 9282 5889 Facsimile: (08) 9282 5866

Website: www.edenenergy.com.au

AUSTRALIAN STOCK EXCHANGE ANNOUNCEMENT

22 JANUARY 2007

ISSUE OF ORDINARY FULLY PAID SHARES AND OPTIONS

Issue of Shares

Eden Energy Ltd ("the Company") announces that it has issued 33,500 fully paid ordinary shares in the Company. These shares were issued as a result of the exercise of 33,500 options (being part of the options currently on issue and which are exercisable on or before 30 September 2009) at the exercise price of 20 cents each raising \$6,700.00.

Issue of Options

In accordance with the agreement with Taylor Collison Limited (brokers to the issue), Eden Energy Ltd ("Eden") was to issue at the time of listing 4,000,000 options in Eden (exercisable at 20 cents on or before 5 June 2009) to Taylor Collison Limited. These options will be escrowed for 2 years from the date of listing until 6 June 2008.

Raymond F Buscall Company Secretary Dated 22 January 2007