Active Energy Regulatory News (AEG)

Active Energy Group Plc / EPIC: AEG / Sector: Alternative Energy

28 February 2018

Active Energy Group Plc ('Active Energy' or the 'Company')

Purchase Order with Young Living Farms

Active Energy, the London quoted international biomass based renewable energy and forestry management business, is pleased to announce that it has entered into an initial supply agreement with Young Living Farms ('YLF'), a leading agricultural company focused on essential oils production, for a new high value soil amendment product, utilising the Company's CoalSwitch™ process. This agreement marks a new revenue stream for the Company and also demonstrates the flexibility and commercial value of the Company's unique CoalSwitch™ process across multiple applications.

Overview:

· Agreement for YLF to supply Active Energy up to 6,500 tonnes of product, exploiting the Company's versatile CoalSwitch™ process at the Company's 's first commercial plant in Utah, United States;

· Feedstock for the process will be by-product from YLF's essential oil production - a waste stream for YLF, but a highly attractive feedstock for the CoalSwitch™ process;

· Product from CoalSwitch™ process will be used as a high value soil amendment product for the re-introduction to YLF's crop production cycle;

· Initial deliveries will begin in March 2018 for which the Company will receive payment on a per tonne basis;

· Agreement provides a foundation for a long-term relationship with YLF and the implementation of dedicated soil amendment plant to be installed on YLF's farm site at Mona, Utah in mid-2018; and

· Evaluation of roll out opportunities for additional soil amendment plants is being conducted with YLF, with three initial facilities located in the USA and Canada targeted.

Michael Rowan, Active Energy Non-Executive Chairman said, "The unique properties and applications of our CoalSwitch™ process is attracting significant attention from utility companies, government agencies and power plant operators. With today's announcement, we have expanded our commercial activity to the agricultural sector. Our unique process can be applied to target specific engineered soils, which remove potentially environmentally damaging waste streams and use this as feedstock. This engineered soil becomes an environmentally responsible alternative to the use of peat moss.

"We look forward to working closely with the YLF team over the coming months as we look to begin the wider roll out of dedicated soil amendment plants with further collaborations with YLF."

This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.

**ENDS**

Enquiries & Further Information:

About Active Energy Group:

Active Energy Group Plc (AIM: AEG.L) is a London Stock Exchange-listed international renewable energy business based upon forestry assets. Its model is focussed on capturing the entire forestry value chain through sourcing, utilising and commercialising assets, and setting a new standard in the sustainable management and optimisation of timber resources. The Company is led by a highly technical and commercial team with the experience to execute its defined growth strategy and build its visibility, primarily as a London-listed timber opportunity with a revolutionary biomass fuel technology. It has two subsidiary companies:

· Advanced Biomass Solutions Plc (www.abs-plc.com), which is commercialising a revolutionary biomass coal replacement fuel, CoalSwitch™; and

· Timberlands International Ltd, a sustainable international forestry management business.