TASMAN RESOURCES LTD — Capital/Financing Update 2006

Mar 22, 2006

AUSTRALIAN STOCK EXCHANGE ANNOUNCEMENT

Eden Energy Limited completes prospectus for proposed \$10 million IPO and ASX listing

Eden Energy Limited - established by Tasman Resources NL (ASX : TAS) in 2004 as a diverse alternative energy company - has completed preparation of the prospectus for its IPO and proposed listing on the Australian Stock Exchange in May 2006.

It is proposed that the Eden Energy prospectus will be lodged with the Australian Securities and Investments Commission on or about 29 March 2006 and that the subscription lists will open on 8 April 2006.

Under the Eden prospectus, Tasman shareholders, registered as at the close of business on 7 April 2006, will be given a general priority in respect of shares to be issued pursuant to the Eden prospectus. After listing, Tasman will hold 32.98 million shares representing 25.29% of the then issued shares in Eden, and 32.55 million options representing 35.75% of the then issued options in Eden.

Eden has developed an exciting range of alternate energy projects in Australia and overseas, and plans to raise \$10 million through the issue of 50 million shares at \$0.20 each (with one 20 cent 30 September 2009 option for every two shares subscribed).

The Eden Energy projects comprise the following:-

$\mathbf{I}$ . Hydrogen Technology (Eden-100%)

Eden now holds 100% of Brehon Energy plc, which has acquired and is developing a wide range of hydrogen related technologies from its operational base in Colorado, USA. The hydrogen technology includes:-

$(1)$ Hythane® - a mixture of hydrogen and Natural Gas (5-7% hydrogen by energy) which produces a very low emission fuel. Brehon holds or has applied for a range of

patents covering various aspects of the Hythane® technology and is well advanced in its efforts to promote Hythane® as a low emission vehicle fuel, particularly for urban transit bus fleets, in China, India and USA.

$(2)$ Cryogenics - Brehon has established a cryogenics division, based in USA, which is involved in fabrication and marketing of a range of cryogenic valves and fittings, and which will provide a platform for the development of Brehon's range of cryogenic patent applications. These include patent applications for an improved cryogenics storage container (which has applications in respect to LNG, cryogenic Hythane® and cryogenic hydrogen storage) and for a portable super conducting energy storage device.

$\overline{2}$ . Coal Bed Methane / Coal Mine Methane / Natural Gas Project - South Wales, UK ( Eden 50%)

In July 2004 Eden entered into a farm-in agreement to acquire a 50% interest in respect of licences covering 430km² of the South Wales coal fields in the UK. A significant amount of work has now been done digitising the old coal mining records and it is proposed to drill several test holes in June 2006. Further, based on the modelling of the Appalachian Trend in USA which was formerly thought to have been joined with South Wales, an interpreted conventional Natural Gas play exists below the coal in the older Devonian age rocks with theoretical potential to host a large Natural Gas deposit. Since Eden's South Wales project began in 2004, the price of gas in UK, which was then approximately 150% more than the price in Australia, has almost doubled. This is a highly promising project for Eden and has significant economic potential.

3. South Australian Natural Gas (Eden-100%)

Eden has applied for a petroleum exploration licence over a large $(1,000km^2)$ untested anticlinal structure in central South Australia, which was identified from a recent seismic survey as being a drill ready target. If this structure contains hydrocarbons, it could be a significant energy deposit. A large market for the energy exists approximately 60km south at BHPB's giant Olympic Dam copper/gold/uranium mine.

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$4.$ Geothermal Energy – South Australia (Eden 100%)

Eden holds 8 prospective geothermal licences in South Australia. One of these licences adjoins Geodynamics' licences in the Cooper Basin, and another is located near Renmark, in close proximity to the power grid. These offer the potential to provide vast amounts of clean, renewable energy.

$5₁$ Hydrogen Production Research Project( Eden 50%)

Eden has entered into an agreement with the University of Queensland to participate in a research project to try and develop catalysts to enable low temperature / low cost production of hydrogen and carbon black (an isotope of carbon used in photocopier toners for example) from Natural Gas. This project has also received a significant grant from the Australian Research Council.

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Each of these projects has the potential to develop into a major business and collectively provide Eden with an exciting portfolio of globally significant energy assets.

For further information please contact Greg Solomon - Tel: +618-9282-5889

23 March 2006

Gregory H. Solomon Chairman