CBM Asia Development Corp.
TSX VENTURE : TCF
OTC Bulletin Board : CBMDF
FRANKFURT : IY2

CBM Asia Development Corp.

July 14, 2011 12:58 ET

CBM Asia Amends Brokered Private Placement

VANCOUVER, BRITISH COLUMBIA--(Marketwire - July 14, 2011) -

THIS PRESS RELEASE IS NOT FOR DISTRIBUTION IN THE UNITED STATES OR TO U.S. NEWS AGENCIES

CBM Asia Development Corp. ("CBM Asia" or the "Company") (TSX VENTURE:TCF)(US:CBMDF)(FRANKFURT:IY2) announces that further to its news release of June 3, 2011, the Company has amended the terms of its brokered private placement of units (the "Private Placement") through a consortium of agents led by Jordan Capital Markets Inc. ("Jordan").

The Private Placement will now consist of up to 25,000,000 units ("Units") at a price of $0.32 per Unit for gross proceeds of up to $8,000,000.

Each Unit will consist of one common share (a "Share") and one transferable warrant (a "Warrant") to purchase an additional Share for a period of two years at a price of $0.55 per share, subject to the right of the Company to accelerate the expiry date of the Warrants upon 30 days notice after four months and a day if the Company's shares trade on the TSX Venture Exchange at a price of $0.90 per share or more for 20 consecutive trading days.

The Company has agreed to pay a commission of 8% cash and 8% agent's options to Jordan and members of the selling group in connection with the Private Placement, each agent's option entitling the holder thereof to purchase one Unit of the Company for a period of two years at a price of $0.32 per Unit. Jordan will also be entitled to receive a corporate finance fee of $25,000 plus taxes.

The Company intends to use the net proceeds of the Offering to fund, among other things, the further exploration and development of the Company's existing coalbed methane properties in Indonesia, the acquisition of additional coalbed methane interests, ongoing general and administrative expenses and working capital.

The Private Placement is subject to the acceptance of the TSX Venture Exchange, with an initial closing expected to occur during the week of July 18 to 22, 2011. All securities to be issued pursuant to the Offering will be subject to a hold period of 4 months and 1 day from the closing date.

ABOUT CBM ASIA DEVELOPMENT CORP.

CBM Asia Development Corp. is a Canadian-based unconventional gas company with significant coalbed methane ("CBM") exploration and development opportunities in Indonesia. The Company has entered into a binding letter of intent to acquire a participating interest in a production sharing contract ("PSC") for CBM on the 580.30 km2 Sekayu block located in the South Sumatra Basin where 3 exploration wells are currently being drilled by MedcoEnergi, following initial exploration drilling of a production test well in the second half of 2009. The Company has committed to fund an initial US$3.25 million in exploration expenditures on the Sekayu PSC to prove reserves and submit a Plan of Development to the Government of Indonesia. Sekayu Block Interests of the Company, Ephindo and Batavia Energy are held in South Sumatra Energy, Inc. The Company also has an 18% net working interest in a PSC for CBM on a 868.978 km2 block located in the Kutai Basin of East Kalimantan. Indonesia has one of the largest CBM resources in the world with a potential 453 trillion cubic feet in-place, more than double the country's natural gas reserves (Stevens and Hadiyanto, 2004). Since 2008 more than 30 CBM PSCs have been granted by the Government of Indonesia, representing exploration commitments of over US$100 million during the next 3 years. In addition to CBM Asia, other companies active in CBM exploration in Indonesia include BP, Dart Energy, ENI, ExxonMobil, Medco, and TOTAL. The Company trades on the TSX Venture Exchange under the symbol "TCF". http://www.cbmasia.ca

ON BEHALF OF CBM ASIA DEVELOPMENT CORP.

Alan T. Charuk, President & CEO

This news release contains forward-looking statements, which relate to future events or future performance and reflect management's current expectations and assumptions. Such forward-looking statements reflect management's current beliefs and are based on assumptions made by and information currently available to the Company. Readers are cautioned that these forward looking statements are neither promises nor guarantees, and are subject to risks and uncertainties that may cause future results to differ materially from those expected. See the Company's 2010 annual MD&A available on SEDAR at www.sedar.com for a description of various risks and uncertainties facing the Company. These forward-looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances save as required under applicable securities legislation. This news release does not constitute an offer to sell securities and the Company is not soliciting an offer to buy securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of such jurisdiction.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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