Rurelec Regulatory News (RUR)

3 Mar 2005 09:37

Rurelec PLC03 March 2005 FOR IMMEDIATE RELEASE Rurelec PLC ("Rurelec") 3rd March 2005 Amendment to payment terms for its first equipment acquisition Rurelec today announces that it has successfully renegotiated the payment termsin respect of its acquisition of Energia para Sistemas Aislados SA ("ESA"),owner of two 3 MW reciprocating dual fuel engines, announced on 11th October2004. Instead of taking an assignment of US $1.2 million of long term obligationsassociated with the machines, Rurelec has made a one time cash payment of US$500,000 in full and final settlement. Furthermore, interest and principal dueon 31st December 2004 have been waived. Rurelec has made a headline saving ofUS $700,000 on the cost of the machines. As a result Rurelec as at today's datehas no debt, ownership of 12 MW of plant capacity and approximately £600,000 ofcash or near cash. Elizabeth ShawFinance Director For further information contact:Elizabeth ShawTel: +44 (0)20 7793 7676 Rurelec PLC is a British company established to develop rural electrificationprojects in Latin America. It is managed by a team with a strong track recordin developing power projects worldwide and with considerable experience in theelectricity sector in Latin America. Rurelec has two principal businesses: -Ownership of power generation facilities in isolated areas -Management of rural electrification expansion projects funded by the World Bankor multi-lateral development agencies. Rurelec floated on the AIM market of the London Stock Exchange in order to haveaccess to European institutional capital for new power projects and to ensuretransparency for its public sector-funded project management activities. Arbuthnot Securities Limited which is authorised by the Financial ServicesAuthority is acting as nominated adviser to Rurelec and for no one else inconnection with the transactions described herein and will not be responsible toany person other than Rurelec for providing the protection afforded to itscustomers or for advising any other person in relation to the transactionsdescribed herein. This information is provided by RNS The company news service from the London Stock Exchange