TEG.L Regulatory News (TEG)

6 Aug 2007 07:00

TEG Group (The) PLC06 August 2007 For release 7:00am Monday August 6th 2007 The TEG GROUP PLC (TEG) ("TEG" or "the Company") TEG Receives Order for £1.46m from Gwynedd Council to Build Composting Plant subject to planning approval The TEG Group Plc ("TEG" or "the Company"), the AIM-listed cutting edge greentechnology company, which converts organic wastes into natural organicfertiliser, announces that it has been chosen as Preferred Bidder by GwyneddCouncil to build an In Vessel Composting ("IVC") plant at the County's FfriddRasus site. The contract is expected to be signed by mid September subject toplanning permission being approved. A decision regarding planning is expectedat the beginning of September, when the construction programme will getunderway. The plant will have a 6,000 tonne per annum capacity and will process greenwaste and kitchen waste collected from households within the Central andSouthern areas of Gwynedd. The total value of the construction project to TEGwill be £1.46m. It is anticipated that the plant will be completed by April2008 and handed over to the Council following commissioning and training. Commenting for TEG, Chief Executive Mick Fishwick said: "We are very pleased to have received an order from Gwynedd Council and aredelighted that we will be able to progress immediately into the construction ofthe facility subject to planning approval. This will be the second plant builtby TEG in Wales, following on from our plant in Swansea and given thecompetitive nature of the tender process, we believe it is another majorendorsement of the TEG technology." ENDS Contact: The TEG Group Plc Tel: 01772 314100Michael Fishwick, Chief Executive Adventis Financial PR Tel: 020 7034 4758Tarquin Edwards 07879 458 364 Cannacord Adams (Nomad) Tel : 020 7050 6742Chris Bowman Editor's Notes: TEG provides an in-vessel composting technology, which is one of the fewapproved technologies capable of treating animal by-product (ABP) waste. Planteconomics are predominantly driven by the gate fees charged, rather than thevalue of the end product (compost). The TEG process is an economic alternativeto landfill. The Silo Cage system, one of the few technologies in Europe capable of treatingthis waste, is a natural process producing compost as an end product, used as anexcellent soil conditioner that fertilises, retains moisture, provides structureand reduces the incidence of plant disease. TEG's Silo-Cages are housed inself-contained buildings, are not unsightly and are environmentally friendly. Customers include local authorities, waste management companies, foodprocessors, farmers and landowners. The Company's expanding market is driven byincreasingly stringent EU and UK legislation regulating the treatment anddisposal of organic waste. Statutory targets for the diversion of waste fromlandfill increase annually through to 2020, increasing TEG's market opportunityyear on year. The Waste Resource Action Programme estimates that 450 compostingplants will be needed by 2020 to satisfy local authority requirements alone, andthere is increasing demand from the private sector driven by ABP legislation. NOFCO is a marketing company specialising in the development of end markets forcompost products, an important aspect of all plant developments and key to localauthority development. The company has an expertise in the development ofagricultural and horticultural markets and this capability is to be provided tocustomers to enhance TEG's overall service offering. This information is provided by RNS The company news service from the London Stock Exchange