diff --git a/app/views/help/api.html.haml b/app/views/help/api.html.haml
index 4964c1bb..e184df54 100644
--- a/app/views/help/api.html.haml
+++ b/app/views/help/api.html.haml
@@ -1,16 +1,18 @@
 %h3 API
 .back_link
-  = link_to help_path do 
+  = link_to help_path do
     ← to index
 %hr
 
 %ol
-  %li 
+  %li
     %a{:href => "#README"} README
-  %li 
+  %li
     %a{:href => "#projects"} Projects
-  %li 
+  %li
     %a{:href => "#users"} Users
+  %li
+    %a{:href => "#issues"} Issues
 
 .file_holder#README
   .file_title
@@ -39,3 +41,13 @@
   .file_content.wiki
     = preserve do
       = markdown File.read(Rails.root.join("doc", "api", "users.md"))
+
+%br
+
+.file_holder#issues
+  .file_title
+    %i.icon-file
+    Issues
+  .file_content.wiki
+    = preserve do
+      = markdown File.read(Rails.root.join("doc", "api", "issues.md"))
diff --git a/doc/api/README.md b/doc/api/README.md
index dcf75afd..e0111966 100644
--- a/doc/api/README.md
+++ b/doc/api/README.md
@@ -27,3 +27,4 @@ The API uses JSON to serialize data. You don't need to specify `.json` at the en
 
 + [Users](https://github.com/gitlabhq/gitlabhq/blob/master/doc/api/users.md)
 + [Projects](https://github.com/gitlabhq/gitlabhq/blob/master/doc/api/projects.md)
++ [Issues](https://github.com/gitlabhq/gitlabhq/blob/master/doc/api/issues.md)
diff --git a/doc/api/issues.md b/doc/api/issues.md
new file mode 100644
index 00000000..bad2d474
--- /dev/null
+++ b/doc/api/issues.md
@@ -0,0 +1,181 @@
+## List issues
+
+Get all issues created by authenticed user.
+
+```
+GET /issues
+```
+
+```json
+[
+  {
+    "id": 43,
+    "title": "4xx/5xx pages",
+    "description": "",
+    "labels": [ ],
+    "milestone": null,
+    "assignee": null,
+    "author": {
+      "id": 1,
+      "email": "john@example.com",
+      "name": "John Smith",
+      "blocked": false,
+      "created_at": "2012-05-23T08:00:58Z"
+    },
+    "closed": true,
+    "updated_at": "2012-07-02T17:53:12Z",
+    "created_at": "2012-07-02T17:53:12Z"
+  },
+  {
+    "id": 42,
+    "title": "Add user settings",
+    "description": "",
+    "labels": [
+      "feature"
+    ],
+    "milestone": {
+      "id": 1,
+      "title": "v1.0",
+      "description": "",
+      "due_date": "2012-07-20",
+      "closed": false,
+      "updated_at": "2012-07-04T13:42:48Z",
+      "created_at": "2012-07-04T13:42:48Z"
+    },
+    "assignee": {
+      "id": 2,
+      "email": "jack@example.com",
+      "name": "Jack Smith",
+      "blocked": false,
+      "created_at": "2012-05-23T08:01:01Z"
+    },
+    "author": {
+      "id": 1,
+      "email": "john@example.com",
+      "name": "John Smith",
+      "blocked": false,
+      "created_at": "2012-05-23T08:00:58Z"
+    },
+    "closed": false,
+    "updated_at": "2012-07-12T13:43:19Z",
+    "created_at": "2012-06-28T12:58:06Z"
+  }
+]
+```
+
+## List project issues
+
+Get a list of project issues.
+
+```
+GET /projects/:id/issues
+```
+
+Parameters:
+
++ `id` (required) - The code name of a project
+
+## Single issue
+
+Get a project issue.
+
+```
+GET /projects/:id/issues/:issue_id
+```
+
+Parameters:
+
++ `id` (required) - The code name of a project
++ `issue_id` (required) - The ID of a project issue
+
+```json
+{
+  "id": 42,
+  "title": "Add user settings",
+  "description": "",
+  "labels": [
+    "feature"
+  ],
+  "milestone": {
+    "id": 1,
+    "title": "v1.0",
+    "description": "",
+    "due_date": "2012-07-20",
+    "closed": false,
+    "updated_at": "2012-07-04T13:42:48Z",
+    "created_at": "2012-07-04T13:42:48Z"
+  },
+  "assignee": {
+    "id": 2,
+    "email": "jack@example.com",
+    "name": "Jack Smith",
+    "blocked": false,
+    "created_at": "2012-05-23T08:01:01Z"
+  },
+  "author": {
+    "id": 1,
+    "email": "john@example.com",
+    "name": "John Smith",
+    "blocked": false,
+    "created_at": "2012-05-23T08:00:58Z"
+  },
+  "closed": false,
+  "updated_at": "2012-07-12T13:43:19Z",
+  "created_at": "2012-06-28T12:58:06Z"
+}
+```
+
+## New issue
+
+Create a new project issue.
+
+```
+POST /projects/:id/issues
+```
+
+Parameters:
+
++ `id` (required) - The code name of a project
++ `title` (required) - The title of an issue
++ `description` (optional) - The description of an issue
++ `assignee_id` (optional) - The ID of a user to assign issue
++ `milestone_id` (optional) - The ID of a milestone to assign issue
++ `labels` (optional) - Comma-separated label names for an issue
+
+Will return created issue with status `201 Created` on success, or `404 Not found` on fail.
+
+## Edit issue
+
+Update an existing project issue.
+
+```
+PUT /projects/:id/issues/:issue_id
+```
+
+Parameters:
+
++ `id` (required) - The code name of a project
++ `issue_id` (required) - The ID of a project's issue
++ `title` (optional) - The title of an issue
++ `description` (optional) - The description of an issue
++ `assignee_id` (optional) - The ID of a user to assign issue
++ `milestone_id` (optional) - The ID of a milestone to assign issue
++ `labels` (optional) - Comma-separated label names for an issue
++ `closed` (optional) - The state of an issue (0 = false, 1 = true)
+
+Will return updated issue with status `200 OK` on success, or `404 Not found` on fail.
+
+## Delete issue
+
+Delete existing project issue.
+
+```
+DELETE /projects/:id/issues/:issue_id
+```
+
+Parameters:
+
++ `id` (required) - The code name of a project
++ `issue_id` (required) - The ID of a project's issue
+
+Status code `200` will be returned on success.
diff --git a/lib/api.rb b/lib/api.rb
index e24e0a78..6a8a3d65 100644
--- a/lib/api.rb
+++ b/lib/api.rb
@@ -15,5 +15,6 @@ module Gitlab
 
     mount Users
     mount Projects
+    mount Issues
   end
 end
diff --git a/lib/api/entities.rb b/lib/api/entities.rb
index 35ad4d43..e5095f71 100644
--- a/lib/api/entities.rb
+++ b/lib/api/entities.rb
@@ -16,11 +16,7 @@ module Gitlab
       expose :issues_enabled, :merge_requests_enabled, :wall_enabled, :wiki_enabled, :created_at
     end
 
-    class ProjectRepositoryBranches < Grape::Entity
-      expose :name, :commit
-    end
-
-    class ProjectRepositoryTags < Grape::Entity
+    class RepoObject < Grape::Entity
       expose :name, :commit
     end
 
@@ -29,5 +25,17 @@ module Gitlab
       expose :author, :using => Entities::UserBasic
       expose :expires_at, :updated_at, :created_at
     end
+
+    class Milestone < Grape::Entity
+      expose :id, :title, :description, :due_date, :closed, :updated_at, :created_at
+    end
+
+    class Issue < Grape::Entity
+      expose :id, :title, :description
+      expose :label_list, :as => :labels
+      expose :milestone, :using => Entities::Milestone
+      expose :assignee, :author, :using => Entities::UserBasic
+      expose :closed, :updated_at, :created_at
+    end
   end
 end
diff --git a/lib/api/helpers.rb b/lib/api/helpers.rb
index 424a17b2..e7b9a417 100644
--- a/lib/api/helpers.rb
+++ b/lib/api/helpers.rb
@@ -4,6 +4,10 @@ module Gitlab
       @current_user ||= User.find_by_authentication_token(params[:private_token])
     end
 
+    def user_project
+      @project ||= current_user.projects.find_by_code(params[:id])
+    end
+
     def authenticate!
       error!({'message' => '401 Unauthorized'}, 401) unless current_user
     end
diff --git a/lib/api/issues.rb b/lib/api/issues.rb
new file mode 100644
index 00000000..2b6a1ac2
--- /dev/null
+++ b/lib/api/issues.rb
@@ -0,0 +1,111 @@
+module Gitlab
+  # Issues API
+  class Issues < Grape::API
+    before { authenticate! }
+
+    resource :issues do
+      # Get currently authenticated user's issues
+      #
+      # Example Request:
+      #   GET /issues
+      get do
+        present current_user.issues, :with => Entities::Issue
+      end
+    end
+
+    resource :projects do
+      # Get a list of project issues
+      #
+      # Parameters:
+      #   id (required) - The code name of a project
+      # Example Request:
+      #   GET /projects/:id/issues
+      get ":id/issues" do
+        present user_project.issues, :with => Entities::Issue
+      end
+
+      # Get a single project issue
+      #
+      # Parameters:
+      #   id (required) - The code name of a project
+      #   issue_id (required) - The ID of a project issue
+      # Example Request:
+      #   GET /projects/:id/issues/:issue_id
+      get ":id/issues/:issue_id" do
+        @issue = user_project.issues.find(params[:issue_id])
+        present @issue, :with => Entities::Issue
+      end
+
+      # Create a new project issue
+      #
+      # Parameters:
+      #   id (required) - The code name of a project
+      #   title (required) - The title of an issue
+      #   description (optional) - The description of an issue
+      #   assignee_id (optional) - The ID of a user to assign issue
+      #   milestone_id (optional) - The ID of a milestone to assign issue
+      #   labels (optional) - The labels of an issue
+      # Example Request:
+      #   POST /projects/:id/issues
+      post ":id/issues" do
+        @issue = user_project.issues.new(
+          :title        => params[:title],
+          :description  => params[:description],
+          :assignee_id  => params[:assignee_id],
+          :milestone_id => params[:milestone_id],
+          :label_list   => params[:labels]
+        )
+        @issue.author = current_user
+
+        if @issue.save
+          present @issue, :with => Entities::Issue
+        else
+          error!({'message' => '404 Not found'}, 404)
+        end
+      end
+
+      # Update an existing issue
+      #
+      # Parameters:
+      #   id (required) - The code name of a project
+      #   issue_id (required) - The ID of a project issue
+      #   title (optional) - The title of an issue
+      #   description (optional) - The description of an issue
+      #   assignee_id (optional) - The ID of a user to assign issue
+      #   milestone_id (optional) - The ID of a milestone to assign issue
+      #   labels (optional) - The labels of an issue
+      #   closed (optional) - The state of an issue (0 = false, 1 = true)
+      # Example Request:
+      #   PUT /projects/:id/issues/:issue_id
+      put ":id/issues/:issue_id" do
+        @issue = user_project.issues.find(params[:issue_id])
+        parameters = {
+          :title        => (params[:title] || @issue.title),
+          :description  => (params[:description] || @issue.description),
+          :assignee_id  => (params[:assignee_id] || @issue.assignee_id),
+          :milestone_id => (params[:milestone_id] || @issue.milestone_id),
+          :label_list   => (params[:labels] || @issue.label_list),
+          :closed       => (params[:closed] || @issue.closed)
+        }
+
+        if @issue.update_attributes(parameters)
+          present @issue, :with => Entities::Issue
+        else
+          error!({'message' => '404 Not found'}, 404)
+        end
+      end
+
+      # Delete a project issue
+      #
+      # Parameters:
+      #   id (required) - The code name of a project
+      #   issue_id (required) - The ID of a project issue
+      # Example Request:
+      #   DELETE /projects/:id/issues/:issue_id
+      delete ":id/issues/:issue_id" do
+        @issue = user_project.issues.find(params[:issue_id])
+        @issue.destroy
+      end
+    end
+  end
+end
diff --git a/lib/api/projects.rb b/lib/api/projects.rb
index 70f8fa2a..34d1c236 100644
--- a/lib/api/projects.rb
+++ b/lib/api/projects.rb
@@ -20,8 +20,7 @@ module Gitlab
       # Example Request:
       #   GET /projects/:id
       get ":id" do
-        @project = current_user.projects.find_by_code(params[:id])
-        present @project, :with => Entities::Project
+        present user_project, :with => Entities::Project
       end
 
       # Get a project repository branches
@@ -31,8 +30,7 @@ module Gitlab
       # Example Request:
       #   GET /projects/:id/repository/branches
       get ":id/repository/branches" do
-        @project = current_user.projects.find_by_code(params[:id])
-        present @project.repo.heads.sort_by(&:name), :with => Entities::ProjectRepositoryBranches
+        present user_project.repo.heads.sort_by(&:name), :with => Entities::RepoObject
       end
 
       # Get a project repository tags
@@ -42,8 +40,7 @@ module Gitlab
       # Example Request:
       #   GET /projects/:id/repository/tags
       get ":id/repository/tags" do
-        @project = current_user.projects.find_by_code(params[:id])
-        present @project.repo.tags.sort_by(&:name).reverse, :with => Entities::ProjectRepositoryTags
+        present user_project.repo.tags.sort_by(&:name).reverse, :with => Entities::RepoObject
       end
 
       # Get a project snippet
@@ -54,8 +51,7 @@ module Gitlab
       # Example Request:
       #   GET /projects/:id/snippets/:snippet_id
       get ":id/snippets/:snippet_id" do
-        @project = current_user.projects.find_by_code(params[:id])
-        @snippet = @project.snippets.find(params[:snippet_id])
+        @snippet = user_project.snippets.find(params[:snippet_id])
         present @snippet, :with => Entities::ProjectSnippet
       end
 
@@ -70,8 +66,7 @@ module Gitlab
       # Example Request:
       #   POST /projects/:id/snippets
       post ":id/snippets" do
-        @project = current_user.projects.find_by_code(params[:id])
-        @snippet = @project.snippets.new(
+        @snippet = user_project.snippets.new(
           :title      => params[:title],
           :file_name  => params[:file_name],
           :expires_at => params[:lifetime],
@@ -98,8 +93,7 @@ module Gitlab
       # Example Request:
       #   PUT /projects/:id/snippets/:snippet_id
       put ":id/snippets/:snippet_id" do
-        @project = current_user.projects.find_by_code(params[:id])
-        @snippet = @project.snippets.find(params[:snippet_id])
+        @snippet = user_project.snippets.find(params[:snippet_id])
         parameters = {
           :title      => (params[:title] || @snippet.title),
           :file_name  => (params[:file_name] || @snippet.file_name),
@@ -122,8 +116,7 @@ module Gitlab
       # Example Request:
       #   DELETE /projects/:id/snippets/:snippet_id
       delete ":id/snippets/:snippet_id" do
-        @project = current_user.projects.find_by_code(params[:id])
-        @snippet = @project.snippets.find(params[:snippet_id])
+        @snippet = user_project.snippets.find(params[:snippet_id])
         @snippet.destroy
       end
 
@@ -135,8 +128,7 @@ module Gitlab
       # Example Request:
       #   GET /projects/:id/snippets/:snippet_id/raw
       get ":id/snippets/:snippet_id/raw" do
-        @project = current_user.projects.find_by_code(params[:id])
-        @snippet = @project.snippets.find(params[:snippet_id])
+        @snippet = user_project.snippets.find(params[:snippet_id])
         present @snippet.content
       end
     end
diff --git a/spec/api/issues_spec.rb b/spec/api/issues_spec.rb
new file mode 100644
index 00000000..d81a07e2
--- /dev/null
+++ b/spec/api/issues_spec.rb
@@ -0,0 +1,71 @@
+require 'spec_helper'
+
+describe Gitlab::API do
+  let(:user) { Factory :user }
+  let!(:project) { Factory :project, :owner => user }
+  let!(:issue) { Factory :issue, :author => user, :assignee => user, :project => project }
+  before { project.add_access(user, :read) }
+
+  describe "GET /issues" do
+    it "should return authentication error" do
+      get "#{api_prefix}/issues"
+      response.status.should == 401
+    end
+
+    describe "authenticated GET /issues" do
+      it "should return an array of issues" do
+        get "#{api_prefix}/issues?private_token=#{user.private_token}"
+        response.status.should == 200
+        json_response.should be_an Array
+        json_response.first['title'].should == issue.title
+      end
+    end
+  end
+
+  describe "GET /projects/:id/issues" do
+    it "should return project issues" do
+      get "#{api_prefix}/projects/#{project.code}/issues?private_token=#{user.private_token}"
+      response.status.should == 200
+      json_response.should be_an Array
+      json_response.first['title'].should == issue.title
+    end
+  end
+
+  describe "GET /projects/:id/issues/:issue_id" do
+    it "should return a project issue by id" do
+      get "#{api_prefix}/projects/#{project.code}/issues/#{issue.id}?private_token=#{user.private_token}"
+      response.status.should == 200
+      json_response['title'].should == issue.title
+    end
+  end
+
+  describe "POST /projects/:id/issues" do
+    it "should create a new project issue" do
+      post "#{api_prefix}/projects/#{project.code}/issues?private_token=#{user.private_token}",
+        :title => 'new issue', :labels => 'label, label2'
+      response.status.should == 201
+      json_response['title'].should == 'new issue'
+      json_response['description'].should be_nil
+      json_response['labels'].should == ['label', 'label2']
+    end
+  end
+
+  describe "PUT /projects/:id/issues/:issue_id" do
+    it "should update a project issue" do
+      put "#{api_prefix}/projects/#{project.code}/issues/#{issue.id}?private_token=#{user.private_token}",
+        :title => 'updated title', :labels => 'label2', :closed => 1
+      response.status.should == 200
+      json_response['title'].should == 'updated title'
+      json_response['labels'].should == ['label2']
+      json_response['closed'].should be_true
+    end
+  end
+
+  describe "DELETE /projects/:id/issues/:issue_id" do
+    it "should delete a project issue" do
+      expect {
+        delete "#{api_prefix}/projects/#{project.code}/issues/#{issue.id}?private_token=#{user.private_token}"
+      }.to change { Issue.count }.by(-1)
+    end
+  end
+end