KURA Kurawood

    KURAWOOD PLC                                  

                                TRADING UPDATE                                 

Kurawood PLC (the "Company"), the manufacturer of VECOwood� organically
modified softwood, announces that it has commenced expansion of its production
facilities in New Zealand which will expand production capacity from 30,000
cubic metres to 300,000 cubic metres per annum. The Directors expect this work
to be completed by the end of June 2008. This represents a substantial increase
from the capacity stated in the preliminary results statement issued on 4
December 2007 and will enable the Company to meet the needs of a number of its
qualified prospective customers who require certainty of supply.

The Company continues to progress negotiations with its qualified prospective
customers with a wide range of different customers and will update the market
when supply contracts are concluded.

Contact:

Justin Martin, Kurawood plc Tel: 01624 823579

James Caithie, City Financial Associates Ltd Tel: 020 7492 4477

Ruari McGirr/Mark Anwyl, St Helen's Capital plc Tel: 020 7628 5582



END

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