AGM Statement

Alkane Energy PLC
09 May 2007


For Immediate Release                                                 9 May 2007

                               Alkane Energy plc


                                 AGM Statement


At the Annual General Meeting of Alkane Energy plc ('Alkane'), to be held today
at 10.30am at Edwinstowe House, High Street, Edwinstowe, John Lander, Chairman
of Alkane, will make the following statement:

'I am delighted to report that in 2006 Alkane made its first operating profit of 
£1.1 million, a significant turn around on the previous years, mainly reflected 
in an increase in the number of operating mine gas projects coupled with higher 
electricity and gas prices for our end products.  Since the start of our new 
financial year on 1 January, we have continued to increase the generation 
capacity installed at our sites and we are exporting record levels of electricity 
to the grid.   Our German subsidiary, Pro2, was also in profit, and reported a 
record turnover, in 2006.

In the UK, our portfolio of mine gas assets has been expanded to 17MW with additional 
capacity installed at an existing plant in Mansfield where the infrastructure was 
already in place.   This meant that the additional capacity was added for only the 
cost of the containerised generation system supplied by Pro2.  Planning applications 
to add further capacity totalling 2.7MW at two other sites have been submitted to 
Nottinghamshire County Council and we continue to submit applications in order to 
develop our portfolio.  The existing seven plants in the UK are operating at 96% 
availability and are being upgraded to enable remote plant control via the Internet. 
This system allows service engineers to optimize plant operation, respond rapidly 
to faults and maintain high levels of operating efficiency through 24/7 monitoring.

Alkane's electricity sales are at record levels with around 20 million kWh exported 
to the grid since the start of the new financial year.  In addition to our five 
electricity generation plants we operate two direct gas supply plants at Mansfield 
and Wheldale.  The total output from our green energy parks is sufficient to supply 
around 15,000 homes with electricity and in addition we capture emissions equivalent 
to around 460,000 tonnes of carbon dioxide per year.  An investigation is under way 
to explore the possibility of verifying these savings so that they can be traded as 
Verified Emissions Reductions (VERs) in the international carbon credits market 
thereby adding further value to our existing and future mine gas projects.

New financial management and reporting systems are in place at Pro2 to enable the 
business to drive through improvements in margins.  Negotiations are nearing 
completion on a new equity, loan and project finance package for Pro2.  When 
completed this will allow the company to take advantage of supplier discounts and 
we anticipate that this will feed through to improved margins on sales, service 
and contracting projects.

Pro2's firm order book for its renewable energy systems was at 70% of budget at 
the end of April.  Sales continue to grow strongly in the German biogas market and 
international orders for build own and operate biogas and landfill gas generation 
plants are also expanding rapidly.  Interest in mine gas power generation systems 
for installation at operating coal mines in developing countries is high, driven 
by the Kyoto Clean Development Mechanism and the carbon credits market.

In conclusion, we believe that 2007 should be a year in which the company will 
continue to be profitable, will expand its portfolio of new projects while increasing 
its capacity at existing green energy parks.'

Enquiries:

Alkane Energy plc                                     Buchanan Communications
John Lander, Chairman                                 Ben Willey, Account Director
Cameron Davies, Chief Executive

Tel: [phone]                                     Tel: [phone]





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