THORNEY TECHNOLOGIES LTD — Capital/Financing Update 2007

May 9, 2007

1999 - Jan Barat, Amerikan ba ba ba ba ba ba ba ba and a manufacture and a series of the construction of the construction of the construction of the construction Maria Alexandria (1997) (1998) (1998) (1998) (1998) (1998) (1998) (1998) (1998) (1998) (1998) (1998) (1998) (1998)

AUSTRALIAN RENEWABLE FUELS LUMTED

AUSTRALIAN RENEWABLE FUELS LIMITED

ABN 66 096 782 188

SUITE 18, LEVEL 5 SOUTH SHORE PIAZZA 85 SOUTH PERTH ESPLANADE SOUTH PERTH WA 6151

P.O. BOX 837 SOUTH PERTH WA 6951

781 +61893633500 $FAX$ 161893633511 E-MAIL Info@arfuels.com.au WEB www.arfuels.com.au

Thursday 10 May 2007

ASX Release

Company Announcements Office Australian Stock Exchange Limited 10^th Floor, 20 Bond Street SYDNEY NSW 2000

Dear Sir/Madam,

Appendix 3B - Quotation of Shares from Escrow

Please find enclosed the Appendix 3B seeking quotation of 56,000,000 ordinary shares released from escrow as of today, 10 May, 2007.

Yours faithfully,

$O_{\text{max}}$ in $\ell$

Max L Ger Company Secretary

Rule 2.7, 3.10.3, 3.10.4, 3.10.5

Appendix 3B

New issue announcement, application for quotation of additional securities and agreement

Information or documents not available now must be given to ASX as soon as available. Information and documents given to ASX become ASX's property and may be made public.

Introduced 177/96. Origin: Appendix 5. Amended 1/7/98, 1/9/99, 1/7/2000, 30/9/2001, 11/3/2002, 1/1/2003, 24/10/2005.

Name of entity AUSTRALIAN RENEWABLE FUELS LIMITED

ABN 66 096 782 188

We (the entity) give ASX the following information.

Part 1 - All issues

You must complete the relevant sections (attach sheets if there is not enough space).

• $\mathbf{1}$ ⁺Class of ⁺securities issued or to be issued
• Number of ⁺securities issued or to $\mathcal{Z}$ be issued (if known) or maximum number which may be issued
• $\mathbf{3}$ Principal terms of the *securities (eg, if options, exercise price and paid expiry date; if partly *securities, the amount outstanding and due dates for payment; if *convertible securities, the conversion price and dates for conversion)

$\overline{4}$ Do the ⁺securities rank equally in all respects from the date of allotment with an existing *class of quoted *securities?

If the additional securities do not rank equally, please state:

• the date from which they do
• the extent to which they $\bullet$ participate for the next dividend, (in the case of a trust, distribution) or interest payment
• the extent to which they do not $\bullet$ rank equally, other than in relation to the next dividend, distribution or interest payment
• 5 Issue price or consideration

• 6 Purpose of the issue (If issued as consideration for the acquisition of assets, clearly identify those assets)

• $\boldsymbol{7}$ Dates of entering ⁺securities into uncertificated holdings or despatch of certificates

• *class of all $8\,$ Number and *securities quoted on ASX (including the securities in clause 2 if applicable)

Number	+ Class

• 9 Number and *class of all *securities not quoted on ASX (including the securities in clause 2 if applicable)
• 10 Dividend policy (in the case of a trust, distribution policy) on the increased capital (interests)

Number	$+C$ lass

$N/A$

Part 2 - Bonus issue or pro rata issue

• $11$ $Is$ security holder approval required? $12$ Is the issue renounceable or nonrenounceable? Ratio in which the "securities will 13 be offered $14$ ⁺Class of ⁺securities to which the offer relates 15 *Record date $\mathfrak{t}$ determine entitlements 16 Will holdings on different registers (or subregisters) be aggregated for calculating entitlements? 17 Policy for deciding entitlements in relation to fractions 18 Names of countries in which the entity has *security holders who will not be sent new issue documents Note: Security holders must be told how their entitlements are to be dealt with. Cross reference: rule 7.7.
• 19 Closing date for receipt οf acceptances or renunciations

20.	Names of any underwriters
21	Amount of any underwriting fee or commission
22	Names of any brokers to the issue
23	Fee or commission payable to the broker to the issue
24	any handling fee Amount οf brokers who lodge payable to acceptances or renunciations on behalf of + security holders
25.	If the issue is contingent on *security holders' approval, the date of the meeting
26	Date entitlement and acceptance form and prospectus or Product Disclosure Statement will be sent to persons entitled
27	If the entity has issued options, and the terms entitle option holders to participate on exercise, the date on which notices will be sent to option holders
28	Date rights trading will begin (if applicable)
29	Date rights trading will end (if applicable)
30	How do *security holders sell their entitlements in full through a broker?
31	How do *security holders sell part of their entitlements through a broker and accept for the balance?

32 How do *security holders dispose of their entitlements (except by sale through a broker)?

33 ⁺Despatch date

Part 3 - Quotation of securities

You need only complete this section if you are applying for quotation of securities

34 Type of securities (tick one)

$(b)$

• Securities described in Part 1 $(a)$
• All other securities $\triangledown$

Example: restricted securities at the end of the escrowed period, partly paid securities that become fully paid, employee incentive share securities when restriction ends, securities issued on expiry or conversion of convertible securities

Entities that have ticked box 34(a)

Additional securities forming a new class of securities

Tick to indicate you are providing the information or documents

• 35 If the "securities are "equity securities, the names of the 20 largest holders of the additional *securities, and the number and percentage of additional *securities held by those holders
• If the "securities are "equity securities, a distribution schedule of the additional 36 *securities setting out the number of holders in the categories $1 - 1,000$ $1,001 - 5,000$ $5,001 - 10,000$ $10,001 - 100,000$ 100,001 and over
• A copy of any trust deed for the additional *securities

37

Entities that have ticked box 34(b)

38 Number of securities for which 56.000.000 ⁺quotation is sought 39 Class of "securities for which Ordinary fully paid shares quotation is sought 40 Do the *securities rank equally in all Yes, the securities rank equally with all respects from the date of allotment ordinary shares with an existing *class of quoted *securities? If the additional securities do not rank equally, please state: the date from which they do $\bullet$ the extent to which they participate for the next dividend. (in the case of a trust, distribution) or interest payment • the extent to which they do not rank equally, other than in relation to the next dividend, distribution or interest payment 41 Reason for request for quotation End of restriction period on 10 May 2007 now Example: In the case of restricted securities, end of restriction period (if issued upon conversion of another security, clearly identify that other security) Number ⁺Class 42 Number and ⁺class of all ⁺securities Ordinary fully paid 172,214,287 quoted on ASX (including the shares securities in clause 38) 48,014,286 Options expire 24 April 2009 at \$0.60

per option

Quotation agreement

• $\mathbf{I}$ *Ouotation of our additional *securities is in ASX's absolute discretion. ASX may quote the *securities on any conditions it decides.
• $\mathfrak{D}$ We warrant the following to ASX.
• The issue of the *securities to be quoted complies with the law and is not for an illegal purpose.
• There is no reason why those *securities should not be granted *quotation. $\blacktriangle$
• An offer of the *securities for sale within 12 months after their issue will not require disclosure under section $707(3)$ or section $1012C(6)$ of the Corporations Act.

Note: An entity may need to obtain appropriate warranties from subscribers for the securities in order to be able to give this warranty

• Section 724 or section 1016E of the Corporations Act does not apply to any applications received by us in relation to any "securities to be quoted and that no-one has any right to return any *securities to be quoted under sections 737, 738 or 1016F of the Corporations Act at the time that we request that the *securities be quoted.
• If we are a trust, we warrant that no person has the right to return the $\bullet$ *securities to be quoted under section 1019B of the Corporations Act at the time that we request that the *securities be quoted.
• $\overline{3}$ We will indemnify ASX to the fullest extent permitted by law in respect of any claim, action or expense arising from or connected with any breach of the warranties in this agreement.
• $\overline{4}$ We give ASX the information and documents required by this form. If any information or document not available now, will give it to ASX before *quotation of the *securities begins. We acknowledge that ASX is relying on the information and documents. We warrant that they are (will be) true and complete.

Ara, L. Cara

Sign here:

. . . . . . . . . . . . . . . . . . . . (Company Secretary)

Date: 10 May 2007

Print name:

Max L Ger

$= 1.72$