Alkemy Capital. Regulatory News (ALK)

7 May 2008 07:01

Alkane Energy PLC07 May 2008 For immediate release 7 May 2008 Alkane Energy plc ("Alkane" or "the Company" or "the Group") AGM Statement At the Annual General Meeting of Alkane Energy plc ("Alkane"), to be held todayat 11.00am at Blackburn House, Boughton, Nottinghamshire, John Lander, Chairmanof Alkane, will make the following statement: "I am pleased to report that in 2007 after adjustment for non-recurring items,Alkane made an underlying profit before tax of £1,343,000 compared with £843,000in 2006. Our electricity sales increased by 35% to 79 million kWh and our gassales increased by 25% to 9.4 million cubic metres. We are delighted that 2008 has also started well with two more generation plantsbeing added to increase our combined generation and gas capacity to 20MW, andcontributing to Group revenues. In this context, we completed a successful gaswell at Mansfield on time and on budget with a third generator being addedsuccessfully in April 2008, bringing the plant capacity to 4.05MW of electricityand 1MW equivalent of gas supplied by pipeline to a local customer. We alsoinstalled a second generator at Warsop, doubling the plant capacity to 2.7MW. Weare currently fitting state of the art silencers to the Bevercotes generators tobring them into line with the planning noise specification and a fourthgenerator is due for delivery to this site in June. Electricity sales from the most recent of these additions have been contractedat £58/MWh for the next six months, an excellent year on year increase. We have fitted remote internet based monitoring and control systems at all ofour sites giving our engineers the capacity to start engines and diagnose plantperformance remotely. This has allowed our team to optimize their maintenancevisits and minimize their travel time, costs and related vehicle emissions. Alkane's electricity sales continue at record levels, with sales in the firstfour months of 2008 totaling 27 million kWh. We are planning new projects in theEast Midlands, Lancashire and South Wales and these are at various stages in theplanning and execution process. We are making every effort to get thesecompleted to add to our generation capacity in late 2008 and early 2009. In Germany, our share of the profits of Pro2 Anlagentechnik rose to £299,000 in2007 from £28,000 in the previous year. Following the deconsolidation of thebusiness in 2007, our equity holding is 38%. Pro2 has made a good start to theyear and is also rapidly broadening its international sales as expanding carboncredits and renewable energy markets drive new opportunities outside of its homemarket of Germany. In the UK, we will continue to develop our portfolio of mine gas projects andhope to add to this with awards in the 13th Round of onshore licensing later inthe year. I believe that the prospects for medium term electricity prices are veryencouraging and some of our plants are already signed up with contracts atprices substantially above those of last year. In closing, I would like to thank my colleagues for their dedication incontinuing to operate a profitable business with good growth prospects." John Lander Chairman For further information please contact: Alkane Energy plc Tel: 01623 827927Dr. Cameron Davies, CEO Buchanan Communications Tel: 020 7466 5000Dr. Ben Willey, Partner Miranda Higham, Associate Brewin DolphinAndrew Emmott, Director Tel: 0845 270 8611 This information is provided by RNS The company news service from the London Stock Exchange