TPG.L Regulatory News (TPG)

17 April 2012

CORAC GROUP PLC

Technology Update: Corac announces designs for modular compression systems

Corac Group plc ("Corac") the innovative technology-led engineering group, specialising in patented high speed compressor and power electronics technology serving the global energy and resources sector, is pleased to announce further technology progress in its In-Pipe Gas Compressor ("IGC") programme.

In collaboration with a number of energy industry operators, Corac's technology development team have produced a design for a modular compression system for in-pipe deployment with widespread applications in gas production, which:

·; uses a sealed, high power motor, connected to a separate multi stage compressor module

·; allows elements of the system to be exchanged during its life to adapt to the changing gas flow as the well depletes

·; uses commercial magnetic bearings to support a wide range of motor and compressor options to suit many duties

·; can be deployed within wellhead or pipeline casings for ease of installation in the field

·; has led to the filing of a patent application for key elements of this design, incorporating 14 new inventions

·; builds upon development and successful modular testing in the Downhole Gas Compressor and IGC technology programmes

·; develops elements of Corac's core intellectual property that have demonstrated high levels of technology readiness.

Corac is now working with these industry partners and others to attract industrial support to a prototype build programme, which will begin in the next few months.

ENDS

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NOTES TO EDITORS

Corac is an innovative technology-led engineering group, specialising in patented high speed compressor and power electronics technology serving the global energy and resources sector, trading shares on the London Alternative Investment Market (AIM) since July 2001.