Sharenet Sites 
Sharenet Sites
IPS - IPSA Group Plc - Trading Update IPSA GROUP PLC (Incorporated and registered in England and Wales) (Registration Number 5496202) AIM Share Code IPSA ISIN GB00BOCJ3F01 JSE Share Code IPS ISIN GB00BOCJ3F01 ("IPSA" or "the company") TRADING UPDATE IPSA Group PLC (AIM:IPSA), the developer, owner and operator of power generation capacity in Southern Africa, announces a trading update on the sale process of its two remaining turbines and on operations at its Newcastle plant. Lezayre Holdings Limited ("Lezayre") has re-iterated its intention to complete the purchase of the two remaining Siemens Westinghouse 701 DU gas turbines ("the Turbines") by 30th June 2012, by which date it is expected that the environmental evaluation will be completed on the project for which the Turbines are intended to be employed. Newcastle Cogeneration Pty. Limited ("Newcogen"), IPSA`s wholly-owned operation in Newcastle, KwaZulu Natal, has traded consistently over the last 12 months, selling approximately 46,000 MWh of electricity and 57,000 tonnes of steam. Although output is still below full capacity, the plant is cash generative. As indicated in the Company`s interim results announcement, the group is developing a number of enhancement programmes to add additional capacity by mid-2012 in order to improve results by maximizing revenues from the existing MTPPP contract. The Company confirms that its working capital position remains extremely tight. Further to the announcement on 2 February 2012, the Company`s principal creditors, Standard Bank plc and TurboCare SpA, continue to withhold their approval of a formal extension of the turbine sale and purchase contract with Lezayre. During the financial year ended 31 March 2012 the Company repaid some USD37m to Standard Bank PLC and to TurboCare SpA, being the sales proceeds from the sale of two Turbines plus the USD2m deposit monies received from Lezayre. However, without the continued support of all its creditors, additional working capital would be required by the Company in order to settle overdue indebtedness prior to completion of the sale of the remaining two Turbines. For further information contact: Phil Metcalf, CEO, IPSA Group PLC +44 (0)20 7793 5600 John Llewellyn-Lloyd / Harry Stockdale, Execution Noble & Company Ltd +44 (0)20 7456 9191 Riaan van Heerden,PSG Capital (Pty) Ltd +27 (0)21 887 9602 Harry Ansell / James Joyce W H Ireland Ltd +44 (0)20 7220 1666 London 2 May 2012 Date: 02/05/2012 09:00:06 Supplied by www.sharenet.co.za Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct, indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on, information disseminated through SENS.
