RNS Number:7132D
Costain Group PLC
12 September 2007




FOR IMMEDIATE RELEASE


12 September 2007

COSTAIN GROUP PLC ("COSTAIN" OR THE "COMPANY")

The Board of Costain notes the recent press comment. As previously announced,
Costain continues to examine ways to strengthen its balance sheet in order to
take advantage of the commercial opportunities available to it.

The Board confirms that preparations for an underwritten equity issue, pursuant
to which the Company would raise up to #60 million (net of expenses), and
increased banking and bonding facilities are at an advanced stage and the
Company will make a fuller announcement alongside its interim results
announcement on 14 September 2007.

Contacts:

College Hill             Tel: 020 7457 2020
Mark Garraway
Matthew Gregorowski




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