EnviTec Biogas AG wins first contracts in Spain

Contract for the construction of three biogas plants pushes ahead international expansion

Lohne, 28 February 2011 – Biogas is becoming increasingly popular also in Germany’s European neighbour countries. This trend benefits Europe’s technology and industry leader, EnviTec Biogas AG, Lohne/Germany, which has signed a contract for the construction of three biogas plants in Spain. The entry into the Spanish market pushes ahead the company’s international expansion.

EnviTec Biogas has established a wholly-owned subsidiary in Bilbao, Spain, which will serve the company’s customers in Spain, Portugal and Latin America. The first Spanish customer is Desarrollos Industriales Alternativos Daldur, or Daldur for short, which specialises in renewable energies. Daldur and EnviTec signed a contract for the construction of three biogas plants with an electrical output of 500 kW each in the autonomous region of Castilla y León. The three new plants will run primarily on liquid manure, energy crops and grape marc. Other biogenous residues may be used as well, as the Spanish law grants biogas plant operators relatively high flexibility.

The plants will be built in the coming months in Villanubla and Medina del Campo (both in the province of Valladolid) and in La Baneza (Leon province) and may entail further orders from Daldur. “We are very pleased, as Daldur is the ideal partner for the expansion of our activities in Spain, and we are already negotiating further projects,” said Roel Slotman, CCO of EnviTec Biogas AG.

Spain is only just at the early stage of agricultural biogas production, but the country has huge potential. Just like in Germany, the formula for success is a renewable energy sources act, which guarantees grid access for electricity from renewable energy plants, fixes long-term compensation and thus gives investors and plant manufacturers the necessary planning certainty. The law provides for a compensation of up to 16 cents per kilowatt hour for biogas, depending on the plant size, the input materials used and the utilisation of the heat produced in the co-generation unit. The respective rate is initially guaranteed for a period of 15 years and will decline subsequently.

The Spanish government estimates that renewable energy will account for approx. 22.7 percent of Spain’s energy consumption by the year 2020. Spain would thus exceed the “2020” EU climate target agreed in 2010, which provides for a share of 20 percent of final energy consumption. “The expansion of energy production from biogas makes an important contribution to Spain’s exemplary climate policy. We are happy that we can participate from the very beginning by building on our comprehensive and long-standing experience in the construction of biogas plants,” said EnviTec Board member Roel Slotman.

About EnviTec Biogas AG
EnviTec Biogas AG covers the entire value chain for the production of biogas - including the planning and turnkey construction of biogas plants as well as their commissioning. The company provides the biological and technical service, and also offers full plant and operating management. In Güstrow, in the German state of Mecklenburg-Western Pomerania, EnviTec Biogas built the world’s largest plant for the production of biogas to natural gas standards with a thermal output of 55 megawatts. In addition, the company also operates its own biogas plants. Today, the company is represented in 15 countries throughout Europe, as well as in India. EnviTec Biogas generated revenues of EUR 120 million and EBIT of EUR -0.5 million in 2009. The EnviTec Group currently has 420 employees. EnviTec has been listed on the Prime Standard segment of the Frankfurt Stock Exchange since July 2007.

Press Contact:
Thomas Bolte
EnviTec Biogas AG
Tel: +49 25 74 88 88 -198
t.bolte@envitec-biogas.de

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