6th Oct 2005 09:22
Renewable Energy Holdings plc06 October 2005 Acquisition of 1MW landfill gas project in Wales Renewable Energy Holdings plc ("REH" or the "Company"), the AIM listed investorin proven and innovative renewable energy technologies, today announces that REHLandfill Gas (Wales) Limited ("REH Wales"), a joint venture vehicle in which theCompany and PurePower Egni Limited ("PPE") each hold a 50% interest, signed aconditional sale and purchase agreement to acquire the entire issued sharecapital of Gwynt Cymru Limited for £1.6 million to be paid in cash oncompletion. On completion, REH Wales will own and operate a 1MW landfill gas project inNorth Wales. It is anticipated that the conditions precedent will be satisfiedand completion will occur within 8 weeks time. The funds for the acquisition arebeing provided by a loan from REH (although it is anticipated that third partyfinancing will be sought to replace a proportion of this debt). PPE will be incharge of day to day operation of the project, which is expected to be cash flowpositive from commencement. Mike Proffitt, Chief Executive of REH, commented: "We are pleased to announce the signing of this renewable energy project, ourfirst within the United Kingdom. The landfill project is currently operationaland we believe there is enough gas to double its capacity within the next 12months." Renewable Energy Holdings plc Binns & Co PR Ltd Corporate Synergy PlcMike Proffitt, Chief Executive Paul McManus John Prior Tel: 020 7153 1485Tel: 01624 64 11 99 Mob: 07980 541 893 Tel: 020 7626 2244 Editor's notes REH floated on AIM on 11 February 2005 raising £10.0 million (before expenses)by way of a placing with institutional and other investors, subsequently raising£2.5 million (before expenses) through a further placing in August 2005. In July REH announced details of its £33m acquisition of a 41.7MW wind farm inGermany. In the same month REH announced that test results for its CETO waveenergy device were successful and that the Directors were now considering howbest to take the process of design for commercialisation and productionengineering forward. Furthermore, in September REH announced that it had entered into a contract withBoeing Service Company whereby Boeing will provide REH with its technicalexpertise to support it on its renewable energy projects. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
REH.L