HYR.L Regulatory News (HYR)

18 Apr 2007 07:01

HydroDec Group plc18 April 2007 HYDRODEC GROUP PLC SIGNIFICANT NEW APPROVALS FOR HYDRODEC'S SUPERFINE TRANSFORMER OIL Hydrodec Group plc ("Hydrodec") announces that two Australian power utilities,the two largest electricity distribution companies in Victoria, have approvedSuperfine transformer oil for use in their new transformers. This, together withthe previously announced approval from a major South Australian distributionutility, means use of Hydrodec's Superfine has been approved by three companiesthat operate a large proportion of the electricity distribution system acrossSouthern Australia. The combined approvals, when implemented, will represent in excess of 15% ofHydrodec's Australian production capacity. Sales generated by these approvalswill occur through transformer manufacturers. The increasing take up inAustralia of Hydrodec's Superfine is based upon the superior quality of the oil,confirmed by independent benchmark testing completed by customers. Testingagainst other leading transformer oils shows Superfine oil has superioroxidation stability, excellent corrosive sulphur characteristics and handlingcharacteristics that offer reduced operational costs to utilities. Chairman John Gunn commented "Superfine continues to gain acceptance as asuperior product within the Australian transformer oil market. The two newapprovals for Superfine use come from Hong Kong owned utilities, and illustratethe international reach that the technology has. Due to the Hydrodec refiningprocess, Superfine oil provides security of supply, predictable forward pricingand carbon savings to the power industry. Combined with the quality of the oil,Superfine provides commercial, cost and environmental benefits that the marketis rapidly adopting. Negotiations continue with other utilities throughoutAustralia and I expect that further sales approvals will be announced shortly." For further information please contact: John Gunn, ChairmanHydrodec Group plcTel: 0207 236 6236 Emma DavisCurve PRTel: 07764 197 003 Nick WestlakeDavid PoutneyNumis Securities LtdTel: 0207 260 1000 This information is provided by RNS The company news service from the London Stock Exchange