Client News-MGT Power Announce Tesco Agreement

For further information & images please contact:

James Court (Taylor Keogh Communications) on +44 (0)20 3170 8465

MGT Power and Tesco agree green energy supply deal for Tesco’s Teesport warehouse facility

Date: October 14^th 2009

Tesco are furthering their commitment to cutting their carbon footprint today by entering into an agreement with MGT Power’s Tees Renewable Energy Plant to supply 100% of its power requirement for Tesco’s Teesport import warehouse.

The £50million 1.2m square foot warehouse opened in August. It is located on the Teesport estate, adjacent to MGT Power’s planned 295MW biomass power station. The biomass plant, which secured consent from the UK Government in July, is targeted to enter commercial operation in 2012.

Tesco director, Keith Aughwane, said: “We are committed to reducing our carbon footprint, which includes using renewable energy wherever possible. The agreement with MGT Power will help us achieve our stretching targets to reduce our carbon emissions.”

Chris Moore, director of MGT Power said: “We look forward to working with and developing a relationship with Tesco Teesport. Supplying power to other parts of the Teesport estate is a logical move for ourselves and we are seeking further agreements with other operating facilities in the port and the immediate area.”

Earlier in the year Tesco were awarded the Carbon Trust Standard award and were named the greenest supermarket in the UK. They have also unveiled plans to build their first zero-carbon store at Ramsey, Cambridgeshire later this year. Tesco is also committed to helping their customers to make informed choices through their carbon labelling scheme on in-store products.

The Tees Renewable Energy Plant will operate at baseload – 24 hours a day, all year round. This means it will produce the same amount of renewable electricity over a year as a 1,000MW wind farm. Construction of the plant is set to commence in the first quarter of next year.

Notes to Editors:

1. MGT Power (www.mgtpower.com) was established in December 2007 to develop biomass generation projects in the UK and Europe. The management team includes Chris Moore, Ben Elsworth, Thiago Azevedo and Noel Forrest who have backgrounds in UK power generation and the supply of renewable energy feedstocks. In August 2009, the company announced plans to build a similar sized biomass plant at the Port of Tyne which is targeted to enter commercial operation in 2014.

2. As a storable, concentrated energy form, wood biomass allows electricity generation 24 hours a day, all year round, in contrast to intermittent renewable sources such as wind or solar. MGT Power will use trees sustainably planted specifically for use as fuel, such as Short Rotation Forestry (eg. Eucalyptus, Pines) and Short Rotation Coppicing (eg. Willow, Poplar).

For further information:

Taylor Keogh Communications (on behalf of MGT Power Ltd)

James Court: 020 3170 8467/ james@taylorkeogh.com

Paul Taylor: 020 3170 8466/ paul@taylorkeogh.com