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Novera Energy Ltd (NVE)

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Thursday 29 March, 2007

Novera Energy Ltd

Final Results

Novera Energy Ltd
29 March 2007

29 March 2007

               Novera Energy Limited ('Novera' or 'the Company')

Novera, one of the leading quoted independent UK renewable energy companies,
announces its preliminary results for the 12 months to 31 December 2006.

On 21 December 2006 Novera announced the acquisition of the remaining 50 per
cent of its Joint Venture, Novera Macquarie Renewable Energy ('NMRE') from
Macquarie International Infrastructure Fund ('Macquarie'). The acquisition was
completed on 22 January 2007, and financed through funds raised by a Placing of
£38 million.

The 2006 financial highlights of the business are outlined below both for the
Group during 2006 and for the current Group structure including the 100 per cent
consolidation of NMRE as explained in the footnote below.


•   Revenue increased 22 per cent to £2.2 million (2005: £1.8 million)

•   Cash of £2.5 million received in the year from Joint Venture
    (£1.6 million distribution, £0.9 million return of capital); 
    (2005: £1.2 million distribution, £3.1 million additional investment)

•   Investment in development pipeline increased from £1.5 million to 
    £2.4 million

•   Loss of £3.3 million (2005: Loss of £2.4 million)


•   Revenue increased 22 per cent to £32.5 million (2005: £26.7 million)

•   EBITDA increased 29 per cent to £9.7 million (2005: £7.5 million)

•   Post acquisition cash balance was £18.9 million, with a net debt position 
    of £73.3 million


•   Generation increased by 8 per cent to 573 GWh

•   Good progress towards five year goal of developing a wind portfolio of 
    250 MW:

    •   Mynydd Clogau wind farm (15 MW) commissioned ahead of schedule in March

    •   Planning approval received in February 2007 to build a wind farm at
        Lissett (24 MW)

    •   Mountboy wind development site (6 MW) submitted into planning in January

    •   Feasibility studies completed on 10 further sites with potential
        capacity of 166 MW

    •   Further portfolio of projects with a potential capacity of 402 MW

    •   Site searches underway targeting a further 300 MW

•   Planning permission for 10 MW East London Sustainable Energy Facility 
    ('ELSEF') granted.

Commenting on the results, David Fitzsimmons, CEO:

'Novera continues to make excellent progress. The acquisition of the remaining
50 per cent of our operating Joint Venture is an important milestone for the
Company, as was the granting of planning approval for the Lissett Airfield wind
farm. Last year's operational performance was very encouraging and we remain
confident in our ability to meet or exceed the synergy targets described at the
time of the acquisition, as well as to deliver our target of 250 MW wind
capacity by 2011.'

Novera Energy Limited                                              020 7845 9720
David Fitzsimmons, Chief Executive Officer
Rory Quinlan, Chief Financial Officer

Gavin Anderson                                                     020 7554 1440
Ken Cronin / Kate Hill / Janine Brewis

Notes to editors:

Novera Energy Limited ('Novera' or 'the Company') (AIM: NVE) is a leading
independent UK renewable energy producer. Novera has a portfolio of landfill
gas, waste and wind assets and projects.

|Asset     |Operational |MW         |MW           |MW         |MW       |MW          |MW             |MW       |
|          |            |Operational|Construction/|           |         |            |               |         |
|          |Sites       |           |Development  |Consented  |Planning |Pre-Planning|Pre-Feasibility|Portfolio|
|          |            |           |             |           |         |            |               |Capacity |
|Wind      |     1      |    15*    |      -      |    24     |    6    |    166     |      402      |   613   |
|LFG*      |     46     |    89     |      5      |     -     |    -    |     -      |       -       |   94    |
|Hydro*    |     10     |    16     |      -      |     -     |    -    |     -      |       -       |   16    |
|Industrial|     1      |     4     |      -      |     -     |    -    |     -      |       -       |    4    |
|*         |            |           |             |           |         |            |               |         |
|ELSEF     |     -      |     -     |      -      |    10     |    -    |     -      |       -       |   10    |
|Total     |     58     |    124    |      5      |    34     |    6    |    166     |      402      |   737   |

* 50 per cent owned at 31 December 2006; now 100 per cent owned by Novera

Chairman's Statement

In 2006, renewable energy for the first time became an important part of the
overall UK energy mix, as highlighted by both the capacity built and the high
profile support from the Government as part of the UK Energy Review.

Without question renewable energy is here to stay and Novera will continue to
make a significant contribution.

The year also marked a massive step forward in Novera's long-term strategy of
becoming the UK's leading independent developer and owner of renewable assets.
This was underlined right at the end of the year by the announcement of the
acquisition of the remaining 50 per cent of our Joint Venture with Macquarie,
backed by a share placement raising £38 million.

Novera now owns and operates mature, proven and low risk renewable energy
generating assets from landfill gas, hydro and wind power. These assets
performed well during the year, with generation up 8 per cent to 573 GWh from
530 GWh, and revenue up 22 per cent to £30.4 million from £ 24.9 million.
Novera's share of this revenue during 2006 was 50 per cent.

Novera also made good progress in our development activities. We successfully
gained planning approval for our 24 MW Lissett Airfield wind farm in Yorkshire
in February 2007, and our next wind development site, Mount Boy in Scotland (6
MW) was submitted into planning in January 2007. In addition, we were granted
planning permission for our 10 MW East London Sustainable Energy Facility
('ELSEF') in September 2006, which, if progressed through to construction, will
convert biomass fuel from residual household waste into renewable energy.

As the final step in our migration from Australia to the UK, the Company wishes
to re-incorporate in the United Kingdom. This will reflect the Company's UK
business focus.  It will involve the establishment of a new UK holding company
for the Group, with all existing shareholders exchanging their shares in the
Company for shares in the new UK holding company. This Company will be quoted on
AIM in place of the existing Australian registered company. Details are
contained in the notice of the AGM. No dividend was declared or paid during 2006
as the Company focuses on investing in the development pipeline.

I have taken the decision to step down as Chairman due to increased other
commitments, but I am delighted that Roy Franklin has agreed to join your Board
as my replacement. 2007 will be, I am sure, another successful year for the
Company. All that remains is for me to thank all the staff that have contributed
to such an excellent performance and wish Roy, them, and you the Shareholders
every success in the future.

John Brown

Chief Executive Officer's Review

2006 was a pivotal year in the growth history of Novera, most notably with the
acquisition of the remaining 50 per cent of our Joint Venture with Macquarie
which was announced on 21 December 2006 and completed on 22 January 2007. The
acquisition was a transformation for the business, combining 100 per cent
ownership of the operational assets with our strong growth pipeline. The
acquisition was financed through funds raised by a placing of £38 million, and
we were delighted with the response from both new and existing shareholders to
this equity raising.

This year saw operational revenue increase by 22 per cent. Significant progress
was made in the development of our wind portfolio towards our goal of having 250
MW in operation by 2011. Planning approval was achieved for the Lissett Airfield
wind farm in February 2007. Mount Boy, our next site, was submitted into
planning in January 2007. Beyond this, we have identified sites with 568 MW of
potential wind capacity. In September 2006, planning consent was achieved for
our ELSEF energy from waste facility. We have continued our transition to the
UK: de-listing from the Australian Stock Exchange on 4 April 2006; raising £38
million on AIM in December 2006; and commencing proceedings to re-incorporate in
the UK. We also strengthened our team in the UK.

The past 12 months have seen a significant increase in attention paid to climate
change worldwide. Economist Sir Nicholas Stern reviewed the economic impact of
climate change and concluded that 'taking strong action to reduce emissions must
be viewed as an investment, a cost incurred now and in the coming few decades,
to avoid the risks of very severe consequences in the future'.

Worldwide, Governments are increasingly implementing policies designed to
address the issue of climate change. In the UK the Government published the
results of its Energy Review in July 2006. The review recommended an increase in
the target for UK renewable power from 15 per cent of total supply to 20 per
cent by 2020 and that the Renewable Obligation Certificate regime be amended to
assist in the delivery of that target. The Government is currently consulting on
the detailed mechanisms to deliver the target.


Novera's strategy is to develop and operate a competitive portfolio of renewable
power assets in the UK. The UK Government's Energy Review targets a doubling of
renewable energy production between now and 2010 and a further doubling by 2020.
Novera will develop a diversified portfolio with a range of competitive energy
sources. Currently the majority of our existing capacity is fuelled by landfill
gas. Over the next few years, most of our growth will come from onshore wind,
for which we have a target of 250 MW by 2011. Beyond that, we expect to develop
capacity for which the fuel will be derived from waste. This technology will
also benefit from the Government policy (European and UK) to divert waste from
landfill. Developing 250 MW of wind power and our first energy from waste plant
will increase our capacity from 124 MW to 365 MW, with a target date of 2011.

The renewable energy industry in the UK is young and growing. We believe that
benefits will accrue from scale and consolidation. The next few years will offer
the opportunity to grow through acquisition in addition to project development.

Implementation of our strategy depends on the successful operation of our
existing assets and the development of our pipeline of new projects, more fully
described in the next section.



During 2006 NMRE's output increased by 8 per cent from 530 GWh to 573 GWh,
revenue by 22 per cent from £24.9 million to £30.4 million and EBITDA by 47 per
cent from £8.8 million to £12.9 million. Novera's share of this in 2006 was 50
per cent.

Electricity prices rose sharply in early 2006 due to concern over available UK
generating capacity and increased natural gas prices. Novera was able to gain a
significant advantage from this by maximising the generation from the sites on a
1-year Renewable Obligation Power Purchase Agreement. The average sales price
that we achieved across the portfolio increased to 5.32p/KWh in 2006 (2005:

In 2006, NMRE generated 470 GWh from landfill gas, an increase of 6 per cent
from 442 GWh in 2005. A programme of engine moves and new engines enabled the
generation capacity to be increased at Blackborough End, Bryn Pica, Chapel Farm,
Nantycaws and Brittons Hall Farm/Roxwell. A replacement 400 KW unit was also
installed at Aveley which better matches the current gas yield.

The 16 MW hydro power portfolio performed well, generating 49 GWh (2005: 47GWh).

The Mynydd Clogau wind farm (15 MW) achieved its first generating revenue ahead
of schedule and on budget in January 2006, generating 28 GWh in the year. Since
handover following full commissioning of the site in March, the site has
achieved an availability of greater than 98 per cent. Production has exceeded
anticipated performance by some 4 per cent, primarily in reflection of above
average wind conditions in 2006.

Water Services

In addition to generating renewable power, Novera Energy is the UK's largest
independent operator of sludge drying and dewatering facilities. We have managed
the total operations and maintenance of Kelda Water's three sludge drying and
dewatering facilities in Cardiff, Newport and Port Talbot for over nine years
and we have a long term contract taking us through to 2010. In addition to these
facilities, we operate and maintain plants both for Thames Water and United
Utilities. Revenue from the business in 2006 was £2.2 million, an increase of 22
per cent from 2005.


Key to the success of our asset development activities is site selection,
obtaining planning consent and the commercialisation of consented sites.


In 2006, we strengthened our wind team and made tangible progress towards our
five year goal of having 250 MW in operation.

We ended 2006 with an inventory of sites with a total potential of 613 MW. In
addition, we have, at the start of 2007, initiated a further site search
campaign, with a target of a further 300 MW. From this portfolio of over 900 MW,
we plan to deliver at least 250 MW into operation by the end of 2011.

The 613 MW potential consists of sites at various stages of development. Mynydd
Clogau (15 MW) in Wales was commissioned in 2006. The 24 MW wind farm at Lissett
Airfield in Yorkshire received planning approval in February 2007. Construction
is expected to commence later this year with commercial operation commencing
during the second half of 2008. Mount Boy in Scotland (6 MW) is currently in the
formal planning process and the planning application was submitted in January

We have a further 166 MW at the 'pre-planning' stage. For each of these sites,
we have completed a scoping study confirming suitability for a wind farm, have
an access agreement with the land owner and have initiated a 12 month bird
survey (a pre-requisite to submitting a planning application). Beyond this, 402
MW are in the 'appraisal' stage, during which we are undertaking studies to
confirm the sites' suitability as wind farms and to address key implementation

Energy from Waste

Planning permission for the 10 MW East London Sustainable Energy Facility
('ELSEF') plant, to be located at Ford's site at Dagenham, was granted in
September 2006. Integrated Pollution Prevention and Control authorisation to
operate the facility was also granted by the Environment Agency during September
2006. The next step is to achieve financial close after which we intend to own
and operate the plant.

If progressed through to construction, ELSEF will produce renewable energy from
the conversion of waste derived from biomass fuel left after recycling and
composting of household waste. The UK market is expected to provide the industry
opportunity for well over 500 MW of renewable energy using this waste biomass

Health, Safety and Environment

Novera aims to ensure the highest standard of health, safety and environmental
performance. During 2006 we had two lost-time accidents. Our target is nil and
we will strive to achieve this going forward. In 2006 we had no breaches of
environmental standards. We are committed to maintaining and improving our
environmental performance record and devising new ways to deliver cost effective
renewable energy to the communities we serve.


The Company's workforce now numbers 143. I would like to take this opportunity
to thank the staff for all their efforts, particularly in recent months with the
transition to a consolidated Group and I look forward to another successful year
with you all.


In 2006, the acquisition of the remaining 50 per cent of our operational Joint
Venture, together with the progress we have made on our development projects,
provide a strong platform for growth in future years.

Our existing operations are on target to deliver the performance improvements
expected at the time we acquired the remaining 50 per cent. We expect to start
construction on the Lissett Airfield wind farm later this year and continue to
advance projects to deliver on our target of 250 MW.

David Fitzsimmons
Chief Executive Officer

Chief Financial Officer's Review

On 21 December 2006 Novera announced the acquisition of the remaining 50 per
cent of our Joint Venture, NMRE, from Macquarie, with the deal completing on 22
January 2007. The acquisition was financed through funds raised by a Placing of
£38 million at 55p, bringing our total shares issued to 124 million.

In addition to this significant transaction, 2006 saw Novera make solid
progress, both operationally and in our development pipeline. NMRE generation
revenue increased 22 per cent to £30.4 million (Novera's share in 2006 was £15.2
million) and EBITDA increased by 47 per cent from £8.8 million to £12.9 million.
Novera's share of this in 2006 was 50 per cent. The investment in our
development pipeline increased to £2.4 million from £1.5 million, all of which
was expensed in the year.

Revenue Analysis
                                    Novera 50%                        Novera 50%              
                  100% NMRE      share of NMRE       100% NMRE     share of NMRE          Variance
                    Revenue            Revenue         Revenue           Revenue      2006 to 2005

                       2006               2006            2005              2005
                  £ million          £ million       £ million         £ million

LFG                    24.3               12.2            20.3              10.2              +20%
Hydro                   3.1                1.5             2.8               1.4              +11%
Wind                    2.0                1.0             0.7               0.3             +185%
Industrial              1.0                0.5             1.1               0.6               -9%
                       30.4               15.2            24.9              12.5              +22%

The Income Statement presents the Group's results in accordance with AIFRS,
whereby our 50 per cent share of NMRE's profit is equity accounted, therefore
Novera's share of NMRE's revenue is not reflected as a line item in the Income

Revenue £2.2 million (100 per cent Novera owned)
Revenue from our thermal processing of sewage sludge increased from £1.8 million
in 2005 to £2.2 million in 2006.

Other Income £1.1 million (100 per cent Novera owned)
Advisory fees of £1.0 million were received in the year from DEFRA in relation
to the development of the Energy from Waste Facility in East London.

Analysis of Income Statement

In 2006 we increased our investment in development projects from £1.5 million to
£2.4 million providing us with a significant pipeline of growth into the future.
All our development investment was expensed in the year. Tangible progress
resulted from the investment, with positive planning decisions for ELSEF and
Lissett wind farm, and a further wind farm (Mountboy) submitted into planning in
January 2007.

Investment in development                  2006                2005
                                          £'000               £'000
Wind                                      1,098                 762
Energy from Waste                         1,228                 656
Landfill gas                                 79                  95
                                          2,405               1,513

The Income Statement of our joint venture, NMRE is shown at Note 5. NMRE
generated an EBITDA of £12.9 million in 2006. After depreciation, amortisation,
interest costs and a tax credit NMRE generated a profit of £0.07 million for the
year, with Novera equity accounting a 50 per cent share of the profit of £0.04

During 2006 NMRE sold its German wind farms, generating a gain on sale of £0.4
million (Novera share £0.2 million). The Tower Colliery contract was terminated
in September 2006 coinciding with the closure of the mine, as expected,
resulting in a write down of the assets associated with the contract of £1.2
million (Novera share £0.6 million). A review of the LFG engine fleet was
conducted, resulting in a decision to sell five engines, the engines were
written down by £0.6 million to recoverable value (Novera share £0.3 million).
This will allow the Company to achieve its revenue targets while minimising
future engine maintenance costs. NMRE recognised a tax credit in the year of
£1.7 million (Novera share £0.8 million) resulting from a change to utilisation
of losses and capital allowances in the tax returns relating to prior periods,
and also the tax effect of the asset write downs relating to the current period.

Cash Distribution Received from Joint Venture

A total of £1.6 million in cash distributions were received from NMRE for 2H
2005 (£0.4 million) and 1H 2006 (£1.2 million), both were in line with

Cash Flow and Financial Position

Cash held by the Company at 31 December 2006 was £3.7 million. There was a net
cash inflow of £0.9 million resulting from the sale of the German wind farms,
less investment in capital expenditure projects.

Novera has a strong financial position, with total assets at 31 December of
£20.4 million, represented by cash £3.7 million, an investment in NMRE of £14.6
million, receivables of £2.1 million. Total liabilities were £4.7 million, of
which £2.8 million related to deferred revenue.

Post balance sheet events

As described below, on 22 January 2007 Novera Energy Limited acquired the
remaining 50 per cent of NMRE.

Post acquisition the cash balance of the combined Group was £18.9 million, with
a net debt position of £73.3 million.

Rory Quinlan
Chief Financial Officer

Acquisition of remaining 50 per cent of NMRE

The acquisition of the remaining 50 per cent of NMRE from Macquarie was
announced on 21 December 2006 and completed on 22 January 2007. The purchase
price was £30 million.

The acquisition was financed through a Placing of 69 million shares, raising a
total of £38 million, with a Placing Price of 55p. Immediately following the
Placing the number of ordinary shares in issue was 124 million. Post acquisition
the cash balance of the combined Group was £18.9 million, with a net debt
position of £73.3 million.

The Income Statement presents the results in accordance with AIFRS which is to
equity account for our 50 per cent interest in NMRE. In order to explain the
significance of the impact of the acquisition on future results of the combined
Group, set out below is the Income Statement of Novera and NMRE prepared on a
pro-forma 100 per cent consolidated basis, as if Novera had owned 100 per cent
of NMRE from 1 January 2005 as additional information for shareholders. 1
January 2005 has been selected as a start date to allow comparison between 2005
and 2006.

Pro forma Income Statement
                                                                         2006             2005
                                                                        £'000            £'000
Revenue                                                                32,535           26,726
Cost of sales                                                         (17,921)         (15,617)
Gross profit                                                           14,614           11,109
Other income                                                            1,133            1,771
Development costs                                                      (2,405)          (1,513)
Administration expense                                                 (3,671)          (3,849)
EBITDA                                                                  9,671            7,518

The balance sheet of the combined Group is also fundamentally changed, with £70
million of fixed assets and £43 million of intangible assets coming onto the
balance sheet on acquisition date, representing our provisional assessment of
asset values. In addition the NMRE bank loans of £92 million were consolidated
into the Novera balance sheet. These loans are on a project finance basis with
no recourse to Novera.

The asset portfolio of the enlarged Group is as follows:

|Asset     |Operational |MW         |MW           |MW         |MW       |MW          |MW             |MW       |
|          |            |Operational|Construction/|           |         |            |               |         |
|          |Sites       |           |Development  |Consented  |Planning |Pre-Planning|Pre-Feasibility|Portfolio|
|          |            |           |             |           |         |            |               |Capacity |
|Wind      |     1      |    15     |      -      |    24     |    6    |    166     |      402      |  613    |
|LFG       |     46     |    89     |      5      |     -     |    -    |     -      |       -       |   94    |
|Hydro     |     10     |    16     |      -      |     -     |    -    |     -      |       -       |   16    |
|Industrial|     1      |     4     |      -      |     -     |    -    |     -      |       -       |    4    |
|ELSEF     |     -      |     -     |      -      |    10     |    -    |     -      |       -       |   10    |
|Total     |     58     |    124    |      5      |    34     |    6    |    166     |      402      |  737    |

Novera Energy Limited
Income Statement
For the year ended 31 December 2006

                                                                     2006          2005
                                                   Notes            £'000         £'000
Revenue (continuing operations)                                     2,183         1,788
Cost of sales                                                      (1,881)       (1,516)
Gross Profit                                                          302           272

Other income                                         2              1,133         1,771
Development costs                                                  (2,405)       (1,513)
Administration expenses                                            (2,282)       (1,854)
Operating Loss                                                     (3,252)       (1,324)

Interest payable and similar charges                                   (2)            -
Interest receivable                                                    202          249
Shares of net profit/(loss) of a joint venture                         
entity accounted for using the equity method                            36       (1,373)
Loss before income tax                                              (3,016)      (2,448)

Taxation                                                                 -            -
Loss for the year                                                   (3,016)      (2,448)
Loss attributable to equity shareholders                            (3,016)      (2,448)
Earnings per share for loss attributable to
equity shareholders
                                                                          p            p
Basic loss per share                                                  (5.5)        (4.5)
Diluted loss per share                                                (5.5)        (4.5)

Novera Energy Limited
Balance Sheet
As at 31 December 2006

                                                 Notes             2006          2005
                                                                  £'000         £'000
Non-current assets
Property, plant & equipment                                          76            87
Investments accounted for using the equity         5             14,608        15,320
Receivables                                                         785           861
Total non-current assets                                         15,469        16,268

Current assets
Trade and other receivables                                       1,267         1,056
Cash and cash equivalents                                         3,693         3,865
Total current assets                                              4,960         4,921
Total assets                                                     20,429        21,189

Current liabilities
Trade and other payables                                          1,982         1,393
Deferred revenue                                                    154           154
Total current liabilities                                         2,136         1,547

Non-current liabilities
Deferred revenue                                                  2,605         2,776
Total non-current liabilities                                     2,605         2,776

Total liabilities                                                 4,741         4,323
Net assets                                                       15,688        16,866

Contributed equity                                               32,243        32,211
Reserves                                                            533        (1,273)
Accumulated losses                                              (17,088)      (14,072)
Total equity                                                     15,688        16,866

Novera Energy Limited
Statement of Changes in Equity
For the year ended 31 December 2006

                                                                     2006          2005
                                                                    £'000         £'000

Total equity at the beginning of the financial year                16,866        13,959

Movement in employee share payment reserve                             86            14
Movement in share of JV reserve                                     1,720        (1,287)
Net income recognised directly in equity                            1,806        (1,273)
Loss for the year                                                  (3,016)        2,448)
Total recognised income and expense for the year                   (1,210)       (3,721)

Transactions with equity holders in their capacity as
equity holders:
Contributions of equity, net of transaction costs                      32         6,628
Total equity at the end of the financial year                      15,688        16,866

Total recognised income and expense for the year is
attributable to:
Members of Novera Energy Limited                                   (1,210)       (3,721)

Novera Energy Limited
Cash Flow Statement
For the year ended 31 December 2006

                                                    Notes              2006          2005
                                                                      £'000         £'000

Cash flows from operating activities
Receipts from customers (inclusive of goods and                       
services tax)                                                         3,624         2,096
Payments to suppliers and employees (inclusive of                   
goods and services tax)                                              (3,826)       (3,020)
                                                                       (202)         (924)
Interest received                                                        98           127
Development costs                                                    (2,405)       (1,331)
Distribution received from joint venture                              1,600         1,220
Net cash outflow from operating activities          4                  (909)         (908)

Cash flows from investing activities
Payments for property, plant & equipment                                (22)          (96)
Receipts / (Payments) to decrease / increase the
investment in NMRE                                                      870        (3,136)  
Proceeds from vending of business                                      (300)
Proceeds from vending of assets                                         181           181
Transaction costs of Mynydd Clogau                                        -          (360)
(Repayment of related party borrowings)/Loans to
related parties                                                         (24)          234
Net cash inflow / (outflow) from investing activities                   705        (3,177)

Cash flows from financing activities
Proceeds from issues of shares and other securities
converted to equity-net of transaction costs                             32         6,628
Net cash inflow from financing activities                                32         6,628
Net (decrease)/increase in cash and cash
equivalents                                                            (172)        2,543
Cash at the beginning of the financial year                           3,865         1,156
Effects of exchange rates on cash                                         -           166
Cash at end of year                                                   3,693         3,865
Reconciliation of cash balances
Cash at bank                                                          3,693         3,865

Novera Energy Limited Notes to the preliminary accounts for the year ended 31 December 2006

1.  The financial information shown for the years ended 31 December 2006 and 
    2005 set out above does not constitute statutory accounts but is derived 
    from those accounts. The results have been prepared using accounting 
    policies consistent with those used in the preparation of the statutory 
    accounts. The financial information for the years ended 31 December 2006 
    and 2005 has been extracted from the statutory accounts. The information for 
    2005 has been restated: (a) to reclassify £122,000 discounted receivable 
    from revenue to finance income, and (b) to reclassify JV reserve of 
    £1,287,000 from investment accounted for using the equity method to equity.

    Copies of this announcement are available at the head offices of the Company 
    (30 Bedford Street, London, WC2E 9ED), and on the Company website 

2.  Other Income

                                                                          2006           2005
                                                                         £'000          £'000
Advisory fees                                                              980            673
Release of deferred revenue                                                153            161
Net proceeds of sale of Mynydd Clogau                                        -            937
                                                                         1,133          1,771

3.  Dividends

    There were no dividends provided or paid during the year.

4.  Reconciliation of (Loss)/Profit from Ordinary Activities after Income Tax to
    Net Cash Flow

                                                                         2006           2005
                                                                        £'000          £'000

Loss from ordinary activities after income tax                         (3,016)        (2,448)
Share of (profits) / losses from JV not received as                       
distributions                                                             (36)         1,373
Distributions received                                                  1,600          1,220
Depreciation                                                               33             29
Share based payments expense                                               86             14
Completion payment                                                         25              -
Release of WRG discounted income                                         (104)          (123)
Release of deferred revenue                                              (153)          (161)
Foreign exchange gain                                                       9            116
Gain on sale of Mynyyd Clogau wind farm                                     -           (937)
(Increase) in trade & other receivables                                  (256)          (345)
Increase in trade & other payables                                        903            354
Cash outflow from operating activities                                   (909)          (908)

5.  Investment in NMRE

    As NMRE is a significant asset to Novera a breakdown of both the Income
    Statement and Balance Sheet of NMRE are disclosed below:

NMRE Income Statement

                                                                          NMRE 100%
                                                                      2006        2005
                                                                     £'000       £'000

Revenues                                                            30,352      24,938
Cost of sales                                                      (16,040)    (14,101)
Gross Profit                                                        14,312      10,837

Administrative Expenses                                             (1,423)     (2,024)

EBITDA                                                              12,889       8,813

Asset write downs                                                   (1,830)          -
Depreciation expense                                                (5,210)     (4,954)
Amortisation expense                                                (2,442)     (1,985)
Operating Profit                                                     3,407       1,874

Net interest payable and similar charges                            (5,514)     (4,575)
Gain on sale of business                                               358           -    
Share of post tax losses from joint ventures                           160         (45)

Loss before tax                                                     (1,589)     (2,746)
Tax expense                                                          1,662           -
Profit / (Loss) for the year                                            73      (2,746)

Novera's 50 per cent share of NMRE's profit equals £36,000 for 2006. (2005: loss
of £1,373,000).

NMRE Balance Sheet

                                                              2006       2005
                                                             £'000       £'000

Non-current assets
Property, plant and equipment                               70,178      76,739
Intangible assets                                           42,892      45,912
Investment in JV                                               538         377
Total non-current assets                                   113,608     123,028

Current assets
Cash and cash equivalents                                   14,863      16,652
Receivables                                                  8,349       8,445
Total current assets                                        23,212      25,097

Total assets                                               136,820     148,125


Current liabilities
Financial liabilities                                        6,379       6,993
Trade and other payables                                    11,241      12,063
Total current liabilities                                   17,620      19,056

Non-current liabilities
Financial liabilities                                       87,909      94,687
Provisions for liabilities and charges                       2,076       3,741
Total non-current liabilities                               89,985      98,428

Total liabilities                                          107,605     117,484
Net assets                                                  29,215      30,641

Novera's 50 per cent share of NMRE's net assets equals £14,608,000 for 2006.
(2005: £15,320,000).

6.  Events occurring after reporting date

    The acquisition of the remaining 50 per cent of Novera Macquarie Renewable 
    Energy Joint Venture Limited (NMRE) from Macquarie International 
    Infrastructure Fund was announced on 21 December 2006 and completed on 
    22 January 2007. The purchase price was £30 million. The acquisition was 
    financed through funds raised by a Placing of £38 million.

* The Directors have presented illustrative pro-forma information about the
Group including NMRE to show the historic trading of the business which comprise
the Group as of March 2007 that is including 100 per cent of NMRE. During 2005
and 2006 the Group actually owned 50 per cent of NMRE.

                      This information is provided by RNS
            The company news service from the London Stock Exchange