Re: Carnegie Capital Raise

10 May 2011

Renewable Energy Holdings plc

("REH" or the "Company")

Re: Carnegie Wave Energy limited Capital Raise

Renewable Energy Holdings plc (AIM: REH), the AIM quoted investor in, and operator of, European wind power, notes an announcement released on 10 May 2011 by Carnegie Wave Energy Limited, in which REH holds 232,600,000 fully paid ordinary shares, representing 25.8% of the entire issued share capital as enlarged by the capital raise.

 "10 May 2011

Carnegie Wave Energy Limited 

Capital Raise

·; $4 million Share Placement complete

·; Selected group of institutions and sophisticated investors

·; Funding to be used for working capital during the "Demonstration Project" phase

Wave Energy Developer, Carnegie Wave Energy Limited (ASX: CWE) is pleased to announce the completion of a $4 million share placement at an issue price of 10.0 cents per share ("Placement").

The Placement received strong interest from the invited participants with firm commitments having now been received. The new issue has been placed to a select group of Australian institutions and sophisticated investors pursuant to Section 708 of the Corporations Act.

Funds raised from the Placement will be applied towards general working capital requirements as the company advances into the "Demonstration Project" phase.

Carnegie Wave Energy Limited's Managing Director, Dr Michael Ottaviano, said:

"It is an exciting time for the Company, as we now advance with this fundraising into the "Demonstration Project" phase of CETO. The continued strong support of the investment community is a testament to the success of the CETO technology development program."

The Company is not aware of any reason why the ASX would not allow trading to recommence immediately."

About CETO

The CETO system distinguishes itself from other wave energy devices by operating out of sight and being anchored to the ocean floor. An array of submerged buoys is tethered to seabed pump units. The buoys move with the motion of the passing waves, driving the pumps which in turn pressurise water that is delivered ashore via a pipeline.

High-pressure water is used to drive hydroelectric turbines, generating zero-emission electricity. The high-pressure water can also be used to supply a reverse osmosis desalination plant, replacing greenhouse gas emitting electrically driven pumps usually required for such plants.

Ends

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