GKO.L Regulatory News (GKO)

Trading Update

Greenko, the Indian developer, owner and operator of clean energy projects, issues the following trading updateahead of the Monsoon.

Operating Projects

Greenko currently has an operating portfolio of 214.6 MW. This will increase to 260 MW in early July when its first wind project (Ratnagiri) starts exporting power. Greenko's hydropower projects (136.25 MW) are running in line with management's expectations for this time of year, with the main monsoon expected in the next couple of weeks. Its northern hydropower projects (42.0 MW) are all generating at full capacity, while the southern hydropower projects (94.25 MW) are expected to ramp up to full capacity in the next few weeks (in accordance with normal seasonality). As previously announced, biomass (41.5 MW) remains below its long-term target PLF, but LVS (36.8 MW) is operating steadily and in-line with expectations.

Projects in construction

Greenko has a focussed development strategy with approximately 500 MW of projects currently in-construction. The Group is actively building three 100 MW utility scale wind power projects in partnership with GE, using the 1.6 XLE technology. Greenko's hydropower portfolio is also progressing well, to the extent that with 136 MW of operating assets and 200 MW of assets in construction, Greenko is now India's largest operator and developer of small hydropower assets.

The most significant of Greenko's projects in-construction are:

·; Ratnagiri Wind Farm (expanded to 100 MW - Maharashtra) - the 100 MW sub-station is currently being commissioned and two-thirds of the Phase-1 (65.6 MW) turbines are going through pre-commissioning trials, with first power production anticipated in early July. The remaining turbines are expected to be commissioned and to start generating during the current Monsoon season.

Phase-2 (35.2 MW) was recently increased from 16 MW, following the receipt of additional wind data. It remains on schedule, with construction expected to start at the end of 2012, bringing the project to a total final capacity of 100.8 MW in late 2013. The project should deliver one of the highest PLF's in the State and it has secured an attractive 15-year PPA with a tariff of Rs5.69/kWh.

·; Basvanbagewadi Wind Farm (100 MW - Karnataka) - site work is underway involving the sub-station for the grid connection and other balance of plant works. Phase-1 (51.2 MW) turbines are scheduled to start arriving on site at the end of this Monsoon season and the project remains on track for commissioning in the current financial year. Phase-2 (49.6 MW) is on track to start at the end of 2012, and commissioning in late 2013. The project should achieve a 30+% PLF using the GE XLE technology and will be the largest single IPP project in the State.

·; Balavenkatpuram Wind Farm(100 MW- Andhra Pradesh) - site access work has begun, and the turbine contract is in place. Phase-1 (51.2 MW) turbine components are expected to begin arriving on site around the end of 2012, with commissioning targeted to start in mid-2013, while Phase-2 (49.6MW) is planned to start construction in late 2013.

·; Dikchu Hydropower (96MW - Sikkim) - key components of the project are progressing well, with the underground power house being prepared for turbine installation, while head race tunnelling is on-going, along with building the impoundment structure. The project remains on-track for commissioning in late 2014.

·; Small Hydropower (92.6 MW - Karnataka and Himachal Pradesh) - five small projects are in construction. These are in line for commissioning in 2014, with key permits and contracts in place, plus site access work underway.

In addition to the projects already mentioned, Greenko has just over 900 MW of further projects in its pipeline that are fully permitted and under active development. These include approximately 730 MW of wind power, with the remainder hydropower. Greenko expects to have started construction on approximately 400 MW of these projects before the end of the next financial year.

Anil Chalamalasetty, CEO and MD of Greenko, said: "We are delighted with the progress of our projects under-construction, as these underpin the significant growth the Company is planning to deliver in the next three years. Our new wind farm is an important milestone, as wind power will accelerate our growth and create a diversified generating portfolio that delivers strong returns to shareholders. It also gives India its first large scale wind project built using an independent developer model. With the difficulties facing India's conventional power sector, hydropower - along with utility-scale wind power - is now the most attractive asset class in the country."

-Ends-

For further information please visit www.greenkogroup.com or call:

Greenko Group plc

Anil Chalamalasetty +91 (0)98 4964 3333

Mahesh Kolli +91 (0)99 4958 6332

Vasudeva Rao +91 (0)99 5961 7442

Mark Thompson +44 (0)77 1022 9174

Arden Partners plc

Richard Day / Adrian Trimmings +44 (0)20 7614 5917

Tavistock Communications

Matt Ridsdale / Mike Bartlett +44 (0)20 7920 3150

About Greenko

Greenko is a mainstream participant in the growing Indian energy industry and a market leading owner and operator of clean energy projects in India. The Group is building a de-risked portfolio of wind, hydropower, natural gas and biomass assets within India and intends to increase the installed capacity it operates by winning concessions to develop new greenfield assets as well as making selective acquisitions which enhance shareholder value.

Greenko's portfolio is carefully planned and managed to ensure it offers investors diversification geographically and spreads risks across a number of projects which utilise varied environmental technologies. The Company's goal is to reach 1 GW of operational capacity in 2015. Current operational capacity is 214.6 MW, split between 136.3 MW of hydro, 41.5 MW of biomass and 36.8 MW of gas/liquid fuel. Greenko's portfolio, which includes projects in the development pipeline, currently stands at 1.63 GW.

With a core belief in sustainability both operationally and environmentally, Greenko endeavours to be a responsible business playing an important role in the community beyond its role in the power generation industry. The Company maintains a continuous involvement in localised projects and community programmes which centre on education, health and wellbeing, environmental stewardship and improving rural infrastructure.

Greenko Group plc was admitted to trading on the AIM market of the London Stock Exchange (LSE: GKO) in November 2007.