Plutus PowerGen plc / Ticker: PPG / Index: AIM

20 November 2015

Plutus PowerGen plc ('PPG' or 'the Company')

AGM Statement

Plutus PowerGen plc, the flexible standby power generation developer and operator in the UK, held its Annual General Meeting ('AGM') today where all resolutions were duly passed.  At the meeting, Chairman Charles Tatnall, made the following statement:

"Plutus PowerGen has enjoyed an outstanding year during which we have secured the non-dilutive equity portion required to build 140 MW and become revenue generative.  I would therefore like to begin by extending my thanks to our management team and employees, at all levels, whose commitment and efforts have been vital to our successes. 

"The World Energy Council's recent decision to downgrade Britain's energy sustainability rating to 'AAB' has heightened concerns over the UK's energy deficit.  In spite of increased investment in renewables, the inconsistent nature of this power source has meant that leading utility companies are increasingly dependent on access to flexible power.  Over the past 18 months, we have remained focussed on developing, constructing and operating flexible stand-by power generation sites that we believe will help to combat the massive strains on the grid that have been projected.

"Since securing our first 20MW flexible power project in the UK, announced on the 17 November 2014, we have signed management contracts for seven projects across England and Wales and are progressing planning and construction on these.  In tandem with advancing our current portfolio, a critical factor for our success is to strengthen our project pipeline and this has been fruitful having developed partnerships with landlords and other energy providers to identify additional sites.  Accordingly, our pipeline under consideration currently has the potential to deliver over 700MW and this is still growing.

"With regards to the resolution change announced on the 28 October, I would like to say that it was put forward due to the change in the business model, accounting treatment as a result of negotiations with HMRC for EIS relief.  The issue of shares does not affect the value of the Company and its underlying assets and the operational profits of those assets remains the same.  The issued shares have always been included on a fully diluted basis and the Board is grateful for shareholder support in passing the resolution put to them at this AGM, in recognition of the progress made by Phil and Paul.

"Plutus has had an exciting year and as we move into 2016 we hope that we can continue to meet the challenges posed by the UK's energy crisis.  We are now focusing on securing projects and finance in which we can obtain a higher equity share which will dramatically improve our bottom line in the future. I would like to finish by saying that we are thankful for the ongoing support of our shareholders and we look forward to updating the market over the coming months."

**ENDS**

For further information, please visit www.plutuspowergen.com, or contact:

Notes to Editors

Plutus PowerGen plc is an AIM listed company focused on the development, construction and operation of flexible stand-by power generation sites in the UK. At present, the market dynamics for flexible power generation are positive as a result of the continued downward pressure on capacity available to National Grid to balance supply and demand, leading to their announcements about possible power shortages over the next few years.

Flexible Power generators such as PPG offer a viable and timely solution to the power capacity shortfall in the UK. To this end, PPG is initially focusing on delivering 200MW of capacity over the next three years and currently has a project pipeline of potential development sites with over 700MW of power generation capacity.

PPG has a straightforward multi-revenue stream model with large and stable counter-parties and is using project/EIS funding through SPVs to finance construction of the generation assets. This structure has the benefit of limiting dilution to plc shareholders as the assets are financed and built.

The BOD of the Company is well aware of the apparent discord expressed by certain shareholders regarding the RNS dated 28 October 2015 referring to Resolution X at today's AGM. For the sake of clarification the subject Performance shares were already issued and thus their issuance is entirely non-dilutionary.  Furthermore, their accelerated conversion was at the behest of the Company's advisers and Independant Board Director and not the Individuals themselves. Additionally it has been suggested by certain shareholders that there was a "hidden" profits warning which is not the case.

Indeed, it is the BOD's position that this is entirely a red herring on account of the view that the value of the Company, it's underlying assets and the operational profits of those assets remains the same. As a small company and more pertinently a rapidly growing embryonic company the P and L of the company in its growth phase will have little to no relevance on the value of the business during this time.