Notice of Results

RNS Number : 9169N

TEG Group (The) PLC

09 September 2011

 

 

For release

07:00

Date: 9 September 2011

The TEG GROUP PLC (AIM: TEG)

("TEG" or "the Company")

NOTICE OF RESULTS

for the half year ended 30 June 2011

The TEG Group PLC, the AIM-listed cutting edge green technology company, which develops and operates organic composting and energy plants, will be announcing its Interim results for for the half year ended 30 June 2011 on Tuesday, 20 September 2011.

ENDS

Contact:
The TEG Group Plc	Tel: [phone]
Michael Fishwick, Chief Executive	www.theteggroup.plc.uk
Peckwater PR	Tel: [phone]
Tarquin Edwards	[e-mail]
Ambrian Partners Limited (NOMAD and Broker)	Tel : [phone]
Andrew Craig / Ben Wright

Editor's Notes:

TEG

TEG provides state of the art technology for handling organic wastes.  Its in-vessel composting (IVC) system is one of the few approved technologies capable of treating animal by-product (ABP) waste and it is now providing an anaerobic digestion (AD) technology to produce power from food waste.  Plant economics are predominantly driven by the gate fees charged, rather than the value of the end product (compost).  The AD plants also benefit from power sales and Renewable Obligations Certificates ("ROCS") or Feed-in Tariffs ("FITs").  TEG owns its composting technology, the TEG Silo Cage System, and has an agreement with UTS Biogastechnik GmbH ("UTS") for the provision of AD technology into the UK waste markets.  The TEG processes are an economic and sustainable alternative to landfill.

The TEG Silo Cage System

The Silo Cage system, one of the few technologies in Europe capable of treating this waste, is a natural process producing compost as an end product.  The compost is an excellent soil conditioner that fertilises, retains moisture, provides structure and reduces the incidence of plant disease.  TEG's Silo-Cages are housed in self-contained buildings, suitable for urban environments, are not unsightly and are environmentally friendly.

Collaboration with UTS

UTS Biogastechnik GmbH is one of the world's leading biogas companies offering services in the planning, construction, delivery and installation of biogas plants and their key components.  The company has its own production facilities and service shops, technical design and development departments as well as mobile mechanical and biological customer service technicians to support the international client base.  UTS also develops and sells specialized mixers, pumps and a variety of solid/liquid separating devices related to the biogas and agro/food markets. The company is headquartered near Munich, Germany with subsidiaries in Italy, Hungary, Spain, the Czech Republic and now a rapidly developing company UTS Biogas Limited, to service the United Kingdom & Ireland markets.

TEG Biogas (Perth) Limited

TEG Biogas (Perth) Limited ("TEG Biogas") is a joint venture company established by TEG with Albion LLP.  TEG Biogas is constructing a 16,000 tonnes per annum AD plant at TEG's Glenfarg site to produce 0.7MW of electrical power and 0.2MW of heat that is to be used by Binn Eco Park.  The facility is due to be completed in 2011.

General

Customers include local authorities, waste management companies, food processors, farmers and landowners.  The Company's expanding market is driven by increasingly stringent EU and UK legislation regulating the treatment and disposal of organic waste.  Statutory targets for the diversion of waste from landfill increase annually through to 2020, increasing TEG's market opportunity year on year. 

NOFCO

The Natural Organic Fertiliser Company Limited ("NOFCO"), a subsidiary of TEG, is a marketing company specialising in the development of end markets for compost products, an important aspect of all plant developments and key to local authority development.  The company has an expertise in the development of agricultural and horticultural markets and this capability is provided to customers to enhance TEG's overall service offering.

Alkane

Alkane is a profitable, cash generative, growing 'cleantech' business operating from 12 power plants around the UK with a growing presence in renewable biogas and demand management.

The Company has the UK's leading portfolio of coal mine methane ("CMM") licences, enabling the Company to extract gas from abandoned coal mines.  Alkane started extracting CMM in 1999 with sites at Shirebrook, Steetley and Markham.  Shirebrook and Markham are still operational today, a decade after they were opened.  Shirebrook is still producing CMM and surplus capacity has been deployed to conventional peak load along with capacity at Markham.  

The Group now generates power from 12 mid size (less than 10MW) plants across the UK and sells this power through the electricity distribution network.  The electricity is generated using standard modular reciprocating engines, and these units and other ancillary plant are designed to be flexible and transportable.  This allows additional capacity to be brought onto growing sites and underutilised plant to be moved to new sites to maximise efficiency. 

The Alkane operating model has already been transferred to demand management, and currently operates 8MW across two sites on conventional gas with our trading partners GDF SUEZ Energy UK. Demand management incorporates peak running (normally 16.00 to 19.00 each weekday) and Short Term Operating Reserve ("STOR") under which National Grid contract standby facilities with generators.

The Biogas market also provides a potential new business stream which will require the same power assets and core gas and electricity skills as CMM.  Alkane has a collaboration agreement with TEG Group PLC ("TEG") to build and operate anaerobic digestion ("AD") facilities.  AD is a complex biological process which converts waste material or energy crops into methane and fertiliser.

Alkane's on-shore licence position includes coal bed methane ("CBM") and shale gas potential.  These are longer term opportunities and have exploration risk.  The Company is seeking a partner to finance the exploration stage at their own risk. 

 

END

 

 

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