Frk Eur Igc Etf Regulatory News (EURO)

18 Sep 2007 07:01

EuroTrust A/S18 September 2007 Press releaseFor immediate release18 September 2007 EuroTrust A/S Joint venture in Italian wind farm projects EuroTrust A/S ("EuroTrust" or "the Company") (AIM:EURO), the wind energy andproperty development company, today announces that its 50.25% subsidiary,European Wind Farms A/S ("EWF"), has entered into an agreement with R.E. WindSrl, an Italian wind farm developer, to jointly develop a portfolio of nineItalian wind farm projects ("the R.E. Wind portfolio") in the regions ofTuscany, Calabria, Puglia and Sicily totalling 683 MW. EuroTrust will own aneconomic interest of 171 MW of this total. The transaction is attractively structured from EuroTrust's perspective in thatthe agreement involves only a de minimis up-front payment by EWF for itsinterest in the R.E. Wind portfolio. Instead, EWF will cover the budgeted costsof development of the projects and will finance the wind turbine constructionand installation, in return for receiving 50% of the project rights on the R.E.Wind portfolio and being repaid R.E. Wind's 50% share of the project financingfrom the income of the R.E. Wind portfolio when operational. The projects are in advanced stages of the permitting process with the firstprojects currently expected to commence construction during the next fiscal year2008/9. With this agreement, EuroTrust has increased its project pipeline inItaly to 392 MW. EuroTrust also announces that it has terminated development activities on aBulgarian wind farm project due to unsatisfactory project economics.Construction of the wind farm project was originally planned to commence in thisfiscal year 2007/8 with EuroTrust owning 25 MW. As a result of these developments, EuroTrust now has increased the amount ofsecured project rights by 146 MW to a total capacity of 512 MW. Further to thisEuroTrust currently has 79 MW in operation in Germany and Italy and 92 MW underconstruction in Spain and Poland. EuroTrust has set a target of having 1000 MWof capacity in operation within the next three to five years. Bo Kristensen, Chief Executive Officer, commented: "The agreement with R.E. WindSrl. is another major step for our expansion in the very attractive Italianmarket which now contains two-thirds of our project pipeline. "Prospects in the Bulgarian market remain good though we expect some changes tothe exact make-up of the pipeline as due diligence work is rigorously pursued." --ENDS-- For further information please contact: EuroTrust 00 45 7696 6000Bo Kristensen, CEO Cenkos Securities 00 44 (0)20 7397 8926Stephen Keys West Hill Corporate Finance 00 44 (0)20 7464 8822Alan Richards Haggie Financial 00 44 (0)20 7417 8989Peter Rigby/Alexandra Parry Notes to Editors: EuroTrust EuroTrust A/S is a leading Danish property developer and renewable powerproducer listed on the AIM market of London Stock Exchange. EuroTrust A/S has171 MW of wind power generation in operation or under construction in Germany,Italy, Spain and Poland, and 50 commercial and residential property developmentprojects in Denmark and Norway. This information is provided by RNS The company news service from the London Stock Exchange