Trading Update

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.

Plutus PowerGen Plc / Ticker: PPG / Index: AIM

30 May 2019

PLUTUS POWERGEN PLC

("Plutus", the "Group" or the "Company")

Trading Update

Plutus PowerGen (AIM: PPG), the AIM listed power company focused on the development and operation of flexible energy generation ("FlexGen") projects in the UK, is pleased to provide an update on corporate and operational activities across its portfolio.

Highlights and trading update

· Six 20MW Rockpool funded sites, in which Plutus has a 44.5% carried interest, generated approximately £1.9m EBITDA (unaudited) for the 11 months ended 31 March 2019. This is before Capacity Mechanism ("CM") receipts which are expected to average circa £3m per annum from 2020 onwards, index linked, for the six operating companies when received (further details provided below)

· Gas site being developed with Rockpool proceeding

· Assembling gas site portfolio - two 20MW sites in planning with additional sites in the pipeline

· Appointed DWPF Ltd ("DWPF") as formal intermediary to assist in securing the equity portion within Special Project Vehicles ("SPVs") for the contemplated gas site portfolio

· Plutus trading in line with management expectations with small operating loss anticipated for the year ended 30 April 2019 and break even in the year ending 30 April 2020 before financing costs for the new gas sites

· Cash at 30 April 2019 was £64,105 (31 October 2018: £63,000) principally due to the £500,000 gross raised in mid-November much of which has been disbursed on site development. Certain management fees are being accrued due to the delay in CM payments and the temporary suspension of the CM market pending resolution of certain reviews, although auctions are still taking place. The government continues to support the CM. Accordingly, the directors are matching these accruals with regard to their directors' fees to maintain a cash flow equilibrium and therefore the directors are confident that they have sufficient resources under the current cash burn to implement their current plans.

The appointment of DWPF, as its formal intermediary to assist it in securing the equity portion within SPVs for the contemplated gas site portfolio, is a positive move for Plutus. DWPF are specialists in structuring and arranging projects as well as securing infrastructure finance for substantial civil/energy/infrastructure projects across the UK, DWPF have previously raised over £6 billion of funding in over 130 completed transactions. DWPF has already received interest in the approximate 70% of complementary asset financing required and is in positive discussions with several parties regarding the more challenging equity portion. Whilst there can be no guarantee that either or both of the required equity and asset financing can be obtained at a commercially acceptable rate, the Board are pleased with the non-binding indications of interest received to date.

Plutus' acting CEO James Longley said, "I am very pleased with recent developments as we focus on creating a portfolio of profitable operations within the robust flexible energy sector. Most notably, the agreement with DWPF to secure the equity portion for our planned gas site portfolio will enable us to implement our strategy in a timely manner and achieve Group break even in the year to 30 April 2020. The CM reviews are frustrating but are largely out of our hands and we look forward to their reinstatement. I look forward to providing our shareholders with further updates in due course."

**ENDS**

For further information, please visit www.plutuspowergen.com, or contact: