Directorate Change - Appointment of new CEO

8 September 2011

IPSA Group PLC

("IPSA" or "the Company")

Appointment of new Chief Executive

IPSA Group PLC (AIM:IPSA), the developer, owner and operator of power generation capacity in Southern Africa, is pleased to announce the appointment of Philip Metcalf to the position of Chief Executive of IPSA Group PLC, effective as of today, following today's resignation of this position by Peter Earl.

Peter Earl is relinquishing the appointment as Chief Executive, a position he has held since the founding of the Company in 2005 to be able to focus on his role as Chief Executive of Rurelec. His very significant contribution to the establishment of IPSA as an independent power producer (IPP) in South Africa through the construction of the Newcastle Cogeneration plant (NewCogen) has created a strong foundation on which to build. Mr Earl will remain on the Board of IPSA as a Non-Executive Director.

Philip Metcalf has held a number of senior positions including Senior Vice President and Officer of Nasdaq listed Global Crossing and a former director of engineering consultancy Stone & Webster, now part of Shaw Group. He was appointed a non-executive director of IPSA in February 2011.

Because NewCogen has been running under contract to Eskom for the past year, Mr Metcalf's strong operational and engineering background make him well positioned to take the company forward from its established base. He has been involved in developing, designing, building and operating major infrastructure projects in the international arena for over 30 years and has been actively involved in South Africa in particular for several years.

All of the other Directors will remain in their current roles for the time being; and the Company believes that the board remains appropriately structured with four executive directors and four non-executive directors, three of whom are independent, including the chairman Richard Linnell. The audit, nomination and remuneration committees are comprised entirely of non-executive directors.

Richard Linnell, Chairman, commented: "I am pleased with the progress that the company is now making after a difficult period, and we look forward to completing the sale of the turbines. Phil's appointment is consistent with moving the company into a stronger operational phase, in a more welcoming environment in the future for IPPs in South Africa. Phil brings with him heavyweight experience of achieving operational excellence and growth and the change will add commercial experience to the board to drive the business forward towards profitability."

For further information contact: