ZNI Zambezi Nickel

RNS Number:6443J
Zambezi Nickel Ltd
28 September 2006


28 September 2006

                              Exercise of Options


Zambezi Nickel Limited ("Zambezi" or the "Company") (AIM Code: ZNI), announces
that it has issued 43,313 new ordinary shares of 1p each in the Company 
("Ordinary Shares") following the exercise of options ("Options") at 10p per
share. Application has been made for the Ordinary Shares to be admitted to
trading on AIM and dealings are expected to commence on 4 October 2006.
Following this exercise of Options, the enlarged issued share capital of the
Company is 33,577,510 Ordinary Shares and the number of Options trading on AIM
is 4,666,600.

Options holders are reminded that the Options shall expire at 5.00 pm Greenwich
Mean Time ("GMT") on 31 October 2006. Options need to be materialised in order
to be exercised. Options can be exercised by the holder completing the "Notice
of Exercise of Subscription Rights" at the back of the Options certificate and
sending it, along with payment of 10p for each Ordinary Share to be issued on
exercise of the Options specified in the notice, to Registrar and Transfer
Office, Computershare Investor Services Plc, PO Box 82, The Pavilions,
Bridgwater Road, Bristol, BS99 7NH. Options not exercised on or before 31
October 2006 will automatically lapse.


For further information, please contact:

Paul Rankine, Zambezi Nickel Limited                       Tel: +44 20 7193 3728
David Youngman, WH Ireland Limited                         Tel: +44 161 832 2174



                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

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