LEAF.L Regulatory News (LEAF)

Leaf Clean Energy Company ("Leaf Clean" or the "Company")

Change to Asset Advisory Arrangements

The Board of Leaf Clean announces that, having substantially completed its investment programme, it has agreed with EEA Fund Management Limited ("EEA") to conclude the current Asset Advisory Agreement.

The Asset Advisory Agreement will cease with immediate effect although EEA will work with the Company over a 40 day transitional period to ensure an orderly transfer.

The Company will migrate to an internal management structure which the Board believes will result in operational and financial efficiencies for Leaf Clean. Bran Keogh, who was appointed by the Board as Executive Director in February of this year, will oversee this transition and the recruitment by Leaf Clean of further members of a new management team that will report to the Board. The focus of the new management team, which will have a strong operational expertise, will be to continue to develop Leaf Clean's assets to maturity in order to deliver cash returns for shareholders. It is intended that the management team will include certain current employees and consultants from EEA's team based in Washington DC, USA, who have experience of the Company's investments, ensuring that Leaf Clean maintains sector specific expertise and familiarity with the portfolio.

The consideration payable by the Company to EEA comprises $7.0 million and a payment of $300,000 contingent upon realisation of a portfolio asset. EEA will retain its existing rights to any performance fee relating to the period up to 30 June 2013.

The Company looks forward to updating the market on the progress of its portfolio in the near future.

The conclusion of the Asset Advisory Agreement with EEA constitutes a related party transaction under the AIM Rules. The directors consider, having consulted with Cenkos Securities, its nominated adviser, that the terms of the transaction are fair and reasonable insofar as its shareholders are concerned.

Simon Shaw, Chairman of EEA: "Bringing management inhouse at this stage should help enhance the Leaf Clean platform that we have built to date. We are pleased to have done our part in what we hope will be a promising future for Leaf Clean."

Peter Tom, Chairman of Leaf Clean: "The Board would like to take this opportunity to thank EEA for all of its good work and wishes them well in the future."

Enquiries

Bran Keogh via Cenkos

Cenkos Securities plc

Ivonne Cantu/Liz Bowman 0207 397 8900