Xtract Regulatory News (XTR)

31 Oct 2007 10:50

Xtract Energy plc31 October 2007 31 October 2007 AIM: XTR XTRACT ENERGY PLC ("Xtract" or the "Company") PROJECT UPDATE - AVIVA CORPORATION LTD Xtract is pleased to refer shareholders to the following press release announcedin Australia by Aviva Corporation Ltd ("Aviva"). Xtract's interest in Aviva is held through investee company Wasabi Energy Ltd ofwhich Xtract holds approximately 36.6%. Xtract also has a direct holding ofoptions over 2 million shares in Aviva exercisable at A$0.50 each. "COOLIMBA TO POWER THE MID WEST Key Points: • Coolimba Power - a new name in WA energy• Project based on 400MW coal fired power station in the Mid West• Leading emissions technology for carbon, sulphur and water• Will provide up to 8% of the power for the SWIS network• Coolimba a key to powering the Mid West Integrated energy company Aviva Corporation (ASX:AVA) today launched a major newdevelopment in the WA energy market, with the unveiling of the Coolimba Powerbrand. The Coolimba Power Project is a one billion dollar investment based on a 400MWcoal fired power station 20km south of Eneabba. The Project will play a key rolein powering the development of the Mid West region. The Coolimba brand was officially launched in a ceremony at Eneabba by the Hon.Kim Chance, Minister for the Mid West. Aviva Corporation CEO Lindsay Reed said Coolimba will incorporate leading edgeemissions technology and provide a low cost power solution for the state. "Coolimba Power will be a key part of unlocking the potential of the Mid Westregion, providing fuel and geographic diversity to the SWIS power grid," Mr Reedsaid. "It is estimated that there is $6.5 billion worth of projects under developmentin the Mid West region - these projects all need power." Coolimba will be the first power station in Western Australia to deploy leadingedge emissions technology for carbon capture, desulfurization and air cooling. • The carbon capture technology will allow for up to 90% of future carbonemissions to be captured. Coolimba is the next logical scale up increment ofthis technology which is being deployed in Queensland and Canada. • The desulfurization technology will eliminate almost all sulphur emissions. • The air cooling technology will reduce water consumption in the power plant byup to 90%. As the only base load power station north of Perth, the project will make asignificant contribution to the reduction of power transmission losses in theMid West, which are currently the highest in the state. The project is located on private farmland and an existing mining lease, most ofwhich has been previously cleared for farming or mining. The mining methodadopted will allow 95% of the mining void to be backfilled and revegetated. Mr Reed said as well as reliable and low cost power, the project would provide afurther boost for economic development in the region. "We expect Coolimba to contribute at least 600 jobs during construction, and inthe long term, it will host 100 permanent jobs for locally housed employees whencommercial operation commences in 2012" he said." Enquiries please contact: Xtract Energy plc Andy Morrison, CEO +44 (0) 20 7079 1798 Smith & Williamson David Jones +44 (0) 20 7131 4000Corporate Finance Limited Azhic Basirov Scott Harris Stephen Scott +44 (0) 20 7653 0030 Annabel Michie For further Information on Xtract please visit www.xtractenergy.co.uk About Xtract Energy Plc Xtract identifies and invests in a diversified portfolio of early stage energysector technologies and businesses with very significant growth potential. Weaim to work closely with the associated management teams to achieve criticalproject milestones, to finance later development stages and to build andcrystallise value for all shareholders and partners. Xtract is supported by its cornerstone investor, Cambrian Mining Plc (AIM:CBM) adiversified resource investment house which holds 51.5% of issued share capital. A short description of the principal assets of Xtract is set out below. Theseassets are either held directly or through wholly owned subsidiaries of theCompany. MEO Australia MEO is focused on developing gas-to-liquids ("GTL") projects in the Timor SeaAustralia, in an area of shallow water known as Tassie Shoal. It has securedCommonwealth Government environmental approvals for two large scale (1.8 Mtpa)methanol plants (50 per cent. interest) and a 3 Mtpa LNG plant (100 per cent.interest) which are adjacent to the Evans Shoal gas field. Elko Energy Elko is an oil & gas exploration company which has an interest in a 5,370km2exploration and production licence in the Danish North Sea and an investment inDragon Energy Inc, a private Canadian company, with a development project inGansu Province, China. Wasabi Energy Wasabi is a diversified investor in renewable energy and low greenhouse emissiontechnologies, with interests in geothermal waste/heat, uranium exploration in Australia's Northern Territory and biodiesel investments in Victoria. Central Asian Interests Xtract's Central Asian interests include a production sharing agreement withKyrgyzneftegaz to instigate a water injection project on the Beshkent- Togap oilfield. Xtract also holds interests in several exploration licences in the TashKumyr area and in the Toktogul exploration licence. Oil Shale Xtract has oil shale and related petroleum product exploration rights over mining tenements in the Julia Creek area of Queensland and has recently been granted an exploration permit which gives rights to explore for oil shale in an area in the South of New Zealand. It is investigating the commercial production of hydrocarbons (crude oil) from oil shale. Xtract is also available for trading on the open market segment of the FrankfurtStock Exchange (ticker R9X.FSE). This information is provided by RNS The company news service from the London Stock Exchange