Successful start to Controlled Market Entry phase

Energetix Group plc

("Energetix" or "the Group")

Successful start to Controlled Market Entry phase

Energetix Group plc, (AIM: EGX), the developer and provider of  energy efficient products and retail energy services, announces that it has successfully processed the first batch of energy customers, as part of a Controlled Market Entry ("CME") phase, to test the processes and IT systems of Kingston Energy, the Group's energy services business.

The CME phase is a prerequisite for any new entrant intending to supply electricity to retail customers. The strict entry process is designed to ensure compliance with the electricity industry processes and electronic systems which is independently audited by MRASCo ("Master Registration Agreement Service Company").

During the CME phase Kingston Energy will take on up to 100 energy customers over a three month period with the CME process expected to complete in January 2013. The successful processing of the first energy customers and the move into live operations is an important step towards demonstrating that Kingston Energy has the full end-to-end processes and robust IT systems in place to be an energy supplier.

The initial batch of energy customers will be supplied electricity and gas and as planned later in the CME phase Kingston Energy intends to install approximately 10-20 Kingston microCHP boilers to test and refine the installation process.

Tony Stiff, Managing Director of Kingston Energy, said "We are very pleased to have entered into the Controlled Market Entry phase on time and as promised. We are confident that the next three months will demonstrate that, having extensively tested the robustness of our systems, processes and customer services, they will be proven in an operational environment."

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About Energetix Group plc

Energetix Group plc is a developer of cost-effective products to meet the growing global demand for alternative efficient energy. Currently Energetix has three subsidiary businesses:

Genlec - distributed energy generation for domestic dwellings

Kingston Energy - retail energy provision (electricity & gas)

Pnu Power - compressed air back-up power for the protection of essential systems

In addition, Energetix has a c.27% stake in VPhase plc, an energy efficiency business created by Energetix and subsequently spun out in 2010. VPhase is now a standalone independently funded commercial venture.

With all technology development now completed Energetix is well positioned as it moves to the commercialisation stage of its corporate development.

Genlec & Kingston Energy

Genlec has developed a highly efficient, compact and light weight, wall mounted mCHP (Combined Heat and Power) appliance known as the Kingston Boiler. The Kingston Boiler is specifically designed to generate 1kW of electrical power to meet the UK's Microgeneration Certification Scheme (MCS) to enable UK owners to receive the Government's Feed-In Tariff for approved microCHP devices. The Kingston Boiler therefore has an inherent low total cost of ownership (initial outlay plus maintenance) and has already demonstrated industry leading payback cycles which many analysts believe is the key to unlocking this significant market opportunity.

Kingston Energy is a unique dual fuel energy company, which will provide free Kingston microCHP boilers to its customers in return for a commitment to buy gas and electricity from Kingston Energy, with a guarantee that energy prices will not exceed those of the major energy suppliers.

Pnu Power

Pnu Power focuses on the provision of compressed air back-up power which can ensure an uninterruptible power supply for critical systems, particularly for the telecoms, data centre and power transmission markets. Pnu Power range has been extended to include the DC100 product that can now meet the demand of the rapidly growing Green Data Centre market, providing a low carbon alternative to flywheels. Pnu Power has been successful in achieving repeat trial sales and is now poised to move out of the trial sales phase and into full volume commercial sales.

Energetix Group joined AIM in August 2006. The Group and its subsidiaries and associates are based near Chester, NW England and Ipswich, Suffolk.