TEG.L Regulatory News (TEG)

1 Nov 2007 07:01

TEG Group (The) PLC01 November 2007 For release 7.00am November 1st, 2007 The TEG GROUP PLC (ticker: TEG/L) ("TEG" or "the Company") Contract Concluded with Gwynedd Council £1.46m Contract to Build 5,000 tpa Plant The TEG Group PLC ("TEG" or "the Company"), the AIM-listed cutting edge greentechnology company, which converts organic wastes into natural organicfertiliser, announces it has signed a contract with Gwynedd Council to constructa TEG Silo Cage plant at the Ffridd Rasus site in Gwynedd. The contract is for the supply of a 5,000 tonnes per annum facility includingbuildings and other civil works and will process green waste and kitchen wastecollected from households within the Central and Southern areas of Gwynedd. Thevalue of the contract is £1.46m Following the receipt of an interim order,construction began on 10th September and the plant is due to be commissioned andhanded over to the client in April 2008. TEG will be building a 10 Silo Cage plant complete with the necessary ancillaryequipment. The building will house the TEG plant and will also include a wastereceipt facility. External civil engineering works are also included. Commenting for TEG, Chief Executive Mick Fishwick said "We are delighted to have concluded the contract with Gwynedd Council to supplya TEG plant and we look forward to working with the Council. This will be TEG'ssixth plant in the UK and our second in Wales and it is a further endorsement ofthe 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 Canaccord 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