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D1 Oils Plc (NEOS)

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Tuesday 07 February, 2006

D1 Oils Plc

Jatropha Planting Agreement

D1 Oils Plc
07 February 2006


7 February 2006 - London

D1 Oils and Williamson Magor Sign Indian Jatropha Planting Agreement

D1 Oils plc (D1), the UK-based global producer of biodiesel from renewable
energy crops, has entered into a Memorandum of Understanding (MOU) with
Williamson Magor & Co. Limited to form a joint venture company to develop
jatropha plantations with farmers in North East India. Williamson Magor is part
of Williamson Magor Group, the largest tea plantation group in India and the
world's largest producer of quality tea. The group produces 70m kg of tea each
year and provides direct employment to over 100,000 people.

The proposed joint venture company will promote and facilitate jatropha
plantations through contract farming, and will arrange for necessary logistics
and facilities for production of biodiesel from the oil seeds harvested by the
farmers. The joint venture will aim to plant approximately 25,000 hectares
during the 2006 planting season.

D1's business strategy has three key elements: developing oil bearing crops
(principally jatropha), refining biodiesel from a variety of feedstocks using
proprietary technology and trading biodiesel. The company operates across the
biodiesel spectrum, from earth to engine.

D1 has identified jatropha as its primary biodiesel feedstock because it does
not require arable land. Jatropha seeds are crushed to produce vegetable oil for
refining into biodiesel.

Elliott Mannis, Chief Executive Officer of D1, said: 'India is going to be a key
location for the production and consumption of biodiesel from jatropha and
comprises the largest component of our current planting programme. Our MOU with
Williamson Magor is in addition to the contract farming programme currently
being undertaken through D1's joint venture in South East India, D1 Mohan Bio
Oils, and takes us for the first time into North East India, where there are
significant areas of marginal and unused land available for planting jatropha.
Williamson Magor's experience of large-scale planting and its excellent
relationships with farmers make it a strong partner.

'We are also pleased that one of the oil majors, BP, has initiated a $9.4
million, 8,000 hectare jatropha research study recognising that as a non-edible
and drought resistant crop, jatropha is potentially an economically, socially
and environmentally sustainable contributor to the challenges of energy security
in India. D1 is pleased to be working with a partner like Williamson Magor to
help realise that ambition and to continue our earth to engine operations.'

D1 Oils:

Graham Prince, Head of Corporate Communications
Tel: +44 (0) 20 7321 3892
Mobile: +44 (0) 7973 323840

Brunswick Group:
Helen Barnes, Associate Partner
Tel: +44 (0) 20 7404 5959

D1 Oils India
Steve Douty
Regional Director
Tel: +44 (0)20 7321 3885

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

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