9 May 2013 07:00
For release | 07:00 | 9 May 2013 |
The TEG GROUP PLC (AIM: TEG)
("TEG" or "the Group")
COMPOSTING MILESTONE ACHIEVED
The TEG Group Plc, the AIM listed green technology company, which develops and operates organic waste composting and energy plants, is pleased to announce that the Group has reached a composting landmark in that it has now recycled in excess of 1 million tonnes of waste at its nine owned and operated composting facilities since it started operations in 2006. Sufficient to fill the whole of Wembley stadium, diverting this waste from landfill has saved the emissions of landfill greenhouse gases equivalent to over 200,000 tonnes of CO₂
As the Company reported on 18 March 2013, trading at TEG's own facilities during the last financial year was strong and exceeded Board expectations. The Company once again processed a record volume of waste during the period and both revenues and profitability have increased markedly.
TEG anticipates that legislation will continue to support the expansion of the market for the foreseeable future. Landfill Tax is expected to rise again in April 2014, further increasing the attractiveness of TEG's plants and technologies, and interest in both composting and anaerobic digestion (AD) continues to grow strongly. Stricter regulatory enforcement has seen some reduction in competitor capacity in the organics sector of the waste market and TEG has recently secured further new business, with its post year-end, six year organic waste contract with a major waste management company.
Mick Fishwick, Chief Executive of TEG, commented:
"I am absolutely delighted TEG has reached this milestone of recycling 1 million tonnes. It is a tremendous achievement to have been accomplished and is testimony to all the hard work and loyalty shown from the staff at TEG. The operational side to our business continues to progress strongly and I look forward to the Group reaching other and even greater milestones in the future".
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Contact:
Contact:
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The TEG Group Plc | Tel: 01772 644980 |
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Michael Fishwick, Chief Executive | www.theteggroup.plc.uk |
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Peckwater PR | Tel: 07879 458 364 |
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Tarquin Edwards | tarquin.edwards@peckwaterpr.co.uk |
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N+1 Singer Advisory LLP (Nomad & Broker) |
Tel: 0207 496 3000 | |
Andrew Craig/Ben Wright | ||
Editor's Notes:
TEG
TEG provides state of the art technology for handling organic wastes. Its in-vessel composting ("IVC") system is one of the few approved technologies capable of treating animal by-product ("ABP") waste and it is now providing an anaerobic digestion ("AD") technology to produce power from food waste. Plant economics are predominantly driven by the gate fees charged, rather than the value of the end product (compost).
The AD plants also benefit from power sales and Renewable Obligations Certificates ("ROCS") or Feed-in Tariffs ("FITs"). TEG owns its composting technology, the TEG Silo Cage System, and has an agreement with UTS Biogastechnik GmbH ("UTS") for the provision of AD technology into the UK waste markets. The TEG processes are an economic and sustainable alternative to landfill.
The TEG Silo Cage System
The Silo Cage system, one of the few technologies capable of treating organic waste, is a natural process producing compost as an end product. The compost is an excellent soil conditioner that fertilises, retains moisture, provides structure and reduces the incidence of plant disease. TEG's Silo-Cages are housed in self-contained buildings, suitable for urban environments, are not unsightly and are environmentally friendly.
Collaboration with UTS
UTS is one of the world's leading biogas companies offering services in the planning, construction, delivery and installation of biogas plants and their key components. UTS has its own production facilities and service shops, technical design and development departments as well as mobile mechanical and biological customer service technicians to support the international client base.
UTS also develops and sells specialized mixers, pumps and a variety of solid/liquid separating devices related to the biogas and agro/food markets. It is headquartered near Munich, Germany with subsidiaries in Italy, Hungary, Spain, the Czech Republic and now a rapidly developing company UTS Biogas Limited, to service the United Kingdom & Ireland markets.
TEG Biogas (Perth) Limited
TEG Biogas (Perth) Limited ("TEG Biogas Perth") is a joint venture company established by TEG with Albion LLP. TEG Biogas Perth is constructing a 15,000 tonnes per annum AD plant at TEG's Glenfarg site to produce nominally 0.7MW of electrical power and 0.2MW of heat that is to be used by Binn Eco Park. The facility has been in operation, generating revenues from waste sales and power generation since Quarter 1 of 2012.
General
Customers include local authorities, waste management companies, food processing companies, farmers and landowners. The Company's expanding market is driven by increasingly stringent EU and UK legislation regulating the treatment and disposal of organic waste. Statutory targets for the diversion of waste from landfill increase annually through to 2020, increasing TEG's market opportunity year on year.