RWE Hydro Power Contract

Press Release, Zenergy Power plc (‘Zenergy’ or the ‘Group’)

Zenergy Power plc (AIM:ZEN.L), the specialist manufacturer and developer of high efficiency industrial and renewable energy devices employing superconductor technologies, is pleased to announce that it has been commissioned by RWE Power AG (‘RWE’) to draft a study evaluating the potential increase in electrical output that could be achieved from RWE’s existing run-of-river hydro plants by the use of superconductor variable speed generators.

By using superconductors, RWE intends to increase the efficiency and output of their run-of-river hydro plants, and at the end of January 2009 commissioned the Group’s wholly owned subsidiary, Zenergy Power GmbH, to draft a study to provide a detailed evaluation on the potential of its superconductive technology to do this. Accordingly, Zenergy will now receive data from RWE originated from a selected representative run- of-river hydro plant location situated on the river Mosel in Germany. Using this data, the Group will report to RWE on how modernising its run-of-river hydro plants with hydro generators based on superconductor components could increase efficiency and overall output. The assessment will also take into account water flow-rates, turbine efficiencies and turbine conditions.

The results of the study will then be used as the basis for estimating how superconducting variable speed generators could contribute to increases in efficiency and output of a further eight similar hydro sites operated by RWE along the river Mosel. The results of which are expected by the second half of this year. In total, RWE operates ten run- of-river hydro plants on the river Mosel which combine to generate over 800 GWh of electrical power every year. Once received and evaluated, the data from the Group’s study will be used by RWE to compile an economic evaluation of the business case for replacing conventional generators in run-of-river hydro plants with generators based on superconductor components.

Below is an extract from a statement made today by RWE concerning its investigation into the use of superconductor technologies: ‘Superconductors are one of the key technologies for meeting the 21st Century’s challenge in the field of energy technology and climate protection. Improvements in run-of-river hydro plant efficiency created by superconductors provide the potential to produce additional renewable clean energy free of CO2 emissions. ‘

For further information:

Andrew Tan · Zenergy Power Plc · T +49 (2226) 9060 668

Vikki Krause · Hansard Group · T +44 (207) 245 1100

Andrew Godber/Katherine Roe · Panmure Gordon (UK) Limited · T+ 44 207 459 5742

Original article.