Around 25,000 tonnes of source segregated garden and food waste will be composted at the fully-enclosed, in-vessel facility over the next 12 months, diverting it from landfill and converting it into a nutrient-rich, high-quality compost. Compost from the facility is already utilised by a large number of farmers as a beneficial soil conditioner and the addition of the Cardiff material will help NES meet an increasing demand for its recycled compost. New Earth will also make the compost available to the Council for use within suitable projects.

Councillor Margaret Jones from Cardiff Council said: “I am delighted this contract will enable us to make further CO2 reductions when compared to landfill, while also proving more economically advantageous.”

The award of this interim contract will assist the Council in meeting its landfill diversion and recycling targets whilst providing the opportunity to formulate a long term treatment strategy.

New Earth Managing Director, Chris Cox, said “New Earth is pleased to support Cardiff Council in this project – ‘Recycling Together’. We continue to grow and add new local authority customers, recycling and diverting biodegradable waste that would otherwise go for landfill.”

The New Earth Solutions Recycling Facilities Investment Sub-Fund (the “Fund”) was launched by The Premier Group (Isle of Man) Limited in July 2008 and invests in the company and projects of New Earth Solutions Group Ltd (“New Earth”), the sustainable waste treatment and renewable energy business founded in 2002 by former landfill entrepreneur, Bill Riddle (named no.17 in CNBC’s list of 30 Green Heroes 2009).

Following its launch in July 2008, the Fund has attracted a steady stream of new investments and has a net asset value approaching £40m. It has also delivered a total return of 23.5% over this period which is an impressive achievement in these troubled economic times.

Fund Director, Dave Whitaker, is delighted with the progress: “When the Fund was established 2 years ago we were certain it would be a success and we have been really pleased at the speed at which it has grown and the returns being delivered during such a turbulent time for financial markets.”

New Earth designs, builds, finances and operates waste treatment facilities, as well as producing low-carbon renewable energy using waste-derived fuels. Government and EU commitments to reduce the UK’s reliance on landfill have provided attractive financial drivers and a strong legislative foundation on which the business can grow. New Earth has seized this opportunity and developed waste management solutions for Local Authorities and commercial customers alike, maximising composting and recycling and minimising landfill. Three New Earth sites are currently in operation with two more in construction, due to be opened over the next 10 months.

New Earth Managing Director, Chris Cox, is very positive about the future: “The Fund has enabled New Earth to expand its operations and bid for further Local Authority contracts with the advantage of significant financial backing. The opportunities for investment in waste treatment and renewable energy infrastructure are very considerable.”

The Fund is open to qualifying investors, has a listing on the Channel Islands Stock Exchange and is available through the products of many of the leading international life companies plus SIPP and QROP providers. The minimum investment in the Fund is £10,000 or £5,000 via an international life company or a SIPP.
For further information on the Fund visit www.newearthfunds.co.uk

The New Earth Solutions Recycling Facilities Investment Sub-Fund (“the Fund”) recently announced that it has made a £4m investment into New Earth Solutions Group Ltd (“the Group”), parent company of the waste treatment and recycling and renewable energy specialists.

Commenting on this latest development, Fund Director, Dave Whitaker said: “Through our investment into the parent company, investors in the Fund will benefit from direct participation in the operating side of the business as well as giving us a place on the Group board. At the same time we are delighted that the total of new investments received into the Fund now exceed over £30m, which in view of the very difficult market conditions prevailing since its launch in July 2008, is a testament to the attractiveness of this unique investment proposition.”

This development follows hard on the heels of similar new investments into New Earth Solutions Group
Limited, the most recent being a similar amount invested by CT Investments, the investment arm of the government funded Carbon Trust.

New Earth Solutions Group Managing Director, Chris Cox, commented “It’s an exciting period for New Earth and we are delighted to have attracted this further support from the Fund. We now have several high profile investors and look forward to continued success with our fundraising.”

The Fund is open to qualifying investors and can be held directly through life company bonds and small
pension funds such as SIPPs or QROPS. The Fund, which is designed for qualifying investors, has a listing on the Channel Islands Stock Exchange and is available through the products of many of the leading international life companies plus SIPP and QROP providers. The minimum investment in the Fund is £10,000 or £5,000 via an international life company or a SIPP.

For further information on the New Earth Solutions Recycling Facilities Investment Sub-Fund please
visit: www.newearthfunds.co.uk

New Earth’s proposals for the Technology Park will deliver one of the County’s first major renewable energy facilities.  It would use waste-derived feedstock and other biomass to generate ‘green’ renewable and low-carbon energy to power the equivalent of approximately 9,000 homes and could also provide up to 10MW of heat for the Technology Park.

As well as generating renewable energy, the proposals will provide Dorset with a fresh outlook on how waste is managed in the County.  The specially processed feedstock, extracted from local ‘black-bag’ waste and other waste remaining after recycling, will be prepared at other New Earth sites in Dorset.  The new facility will generate renewable and low-carbon energy using the waste industry’s latest technology, known as Advanced Thermal Conversion (ATC).  ATC breaks the feedstock down in low-oxygen, high-temperature conditions within a fully contained environment.  It is distinctly different from traditional, mass-burn incineration.

Robert Asquith, Planning Director at New Earth Energy, said:

“New Earth Energy is proposing to use state-of-the-art technology at Dorset Green Technology Park to help boost the County’s drive to meet its renewable energy targets.  The facility will also help address the growing problem of how to manage waste in Dorset.  With significant increases to the costs of landfill and facing statutory targets for landfill diversion, the County needs to find new ways to deal with its waste, and facilities such as these are an important part of the future. 

“We are keen to hear people’s views on our proposals and we hope as many local residents and others with an interest in these plans will attend the exhibitions.”

New Earth’s plans for Dorset Green Technology Park would create up to 20 new skilled and semi-skilled jobs, providing a major boost to local employment opportunities in this part of Dorset. 

Further details of the proposals will be on display at the public exhibitions.  Details will also be available to view on a dedicated website, www.newearthenergy.co.uk/dorsetgreen from 14 January.   Further details can also be requested by calling 01202 812 346 or emailing dorset.green@newearthgroup.co.uk. 

Once consultation is complete, a planning application is expected to be submitted to Dorset County Council for consideration in early spring 2010.  Subject to consents being granted, New Earth plans to start building the facility in 2011, with the plant becoming operational in 2012.

Following the investment by Carbon Trust, New Earth has completed the second closing in its ongoing £15m equity fundraising announced in August 2009, raising £9m to date.  This follows a £5m investment in September 2009 by AIM-listed cleantech investment company Ludgate Environmental Fund Limited.

Jonathan Bryers, Partner at CT Investment Partners, the fund management advisory business which advises Carbon Trust Investments on its investment activity said, “We are delighted to be backing New Earth and its blue-chip management team as they build their waste to energy business over the next few years. The waste industry in the UK is currently evolving from a logistics and landfill industry to one based on efficient resource management and energy generation - we believe New Earth is well positioned to capitalise on this exciting opportunity”.

Chris Cox, Managing Director of New Earth, added, “We are delighted to announce that Carbon Trust has become the second investor in our current equity fund-raising process. The Carbon Trust is a highly respected and high profile investor and will add significant value as we continue the expansion of our waste treatment and energy recovery facilities throughout the UK.”

New Earth Solutions has successfully developed low impact, fully-enclosed facilities for the mechanical and biological treatment of waste, ensuring significant resource recovery and producing saleable, Environment Agency-approved composts, soil conditioners and products for recycling.  The company currently has three operational sites in Dorset, Kent and Gloucestershire and has secured planning consent for three additional locations.  New Earth’s sites are underpinned by medium to long-term local authority waste treatment contracts.

Building on this existing landfill diversion operation the company is now looking to use gasification and pyrolysis technologies to convert waste-derived fuel into electricity.  New Earth’s first energy recovery power plant is expected to commence trading in 2010.

This latest investment from Carbon Trust deploys funding from a new £18m fund, provided by the Department of Energy and Climate Change, announced by the Carbon Trust last month. The funding boost is designed to speed up Britain’s move towards a low carbon economy by providing promising UK clean energy sector companies with investment over the next 12-18 months.

Cotesbach waste treatment facility

New Earth has achieved financial close on its latest Mechanical and Biological Treatment (MBT) facility at Lutterworth in Leicestershire, which will become the company’s fourth operational site.  The 50,000 tonnes per annum facility will be constructed at the existing Lafarge Aggregates Cotesbach landfill site.

Developed through a partnership between New Earth and Lafarge Aggregates, the facility is underpinned by a waste treatment contract with Leicestershire County Council that runs until March 2015 with options to extend.  The facility will assist the Council to meet its landfill diversion targets under the Landfill Allowance Trading Scheme. 

New Earth has secured planning permission for the facility and is awaiting issue of an environmental permit.  Construction works have commenced to enable waste to be accepted from Autumn 2010.

The site will receive residual municipal solid waste that will be passed through mechanical screening and sorting processes to extract recyclables and separate the mixed waste.  The biodegradable fractions will undergo biological treatment to prepare a compost-like output which can be applied to land for beneficial purposes such as landfill restoration or brown-field remediation.   

Sharpness waste treatment facility

New Earth has also completed the refinancing of its Sharpness waste treatment facility in Gloucestershire.

New Earth acquired the Sharpness Dock in-vessel composting facility in February 2009.  It has an operating capacity of 48,000 tonnes per annum and processes biodegradable waste on behalf of municipal and commercial customers.

Since acquiring the facility New Earth has added substantial value to the site through contracting long-term waste streams and implementing operational improvements. Chris Cox, Managing Director of New Earth Solutions Group, said “New Earth continues to grow successfully with new facility developments in challenging financial markets.  Our proven waste treatment technology, underpinned by local authority contracts, is an attractive proposition for funders.  This is another important milestone towards our ambitious growth plans for the Group.”

The new facility, to be designed and built by New Earth, will lead to significant investment and new employment in the area. The planning decision allows New Earth to move forward with delivery of the facility which is required to service its residual waste management contract with the West of England Partnership (the Councils of Bath and North East Somerset, Bristol City, South Gloucestershire and North Somerset). The contract commences in 2011 and runs for five years with a four year extension option. The service to be provided by New Earth forms part of an ongoing programme to reduce the Partnership Council’s liability to landfill tax.

New Earth Solutions Managing Director, Chris Cox, said: “Securing the site and planning permission are significant milestones which will enable us to deliver our requirements for the West of England Partnership.  Our mechanical and biological treatment technology will be used to handle a minimum of 120,000 tonnes of the Partnership’s residual waste each year at the new facility.”

The venture will see New Earth assist the Partnership Councils in their aim to encourage households to reduce, reuse and recycle as much of their waste as possible, in a three pronged strategy designed to reduce the amount of waste produced and subsequently sent to landfill.  The West of England Councils will benefit from substantial landfill tax savings, the recovery of valuable resources and the diversion of substantial amounts of waste from landfill.

Chris Cox, Managing Director, commented ‘Richard’s arrival further strengthens the New Earth team and crucially will help us to continue rolling out our ambitious growth plans. We are particularly excited about upcoming local authority tendering opportunities and are seeking to expand our bid team under Richard’s direction’.

Nick Pople, Director of Ludgate Investments Limited, Investment Adviser to Ludgate Environmental Fund, commented: “The strength of the management team and what they have delivered to date, alongside the company’s potential to become a leading player in the development of new waste treatment technologies in the UK are key attractions of New Earth to us. This is also part of the reason why we were prepared to work to an accelerated timetable to secure Ludgate Environmental Fund’s position in this fundraising.”

John Shakeshaft, Chairman of Ludgate Environmental Fund, added: “Given our core focus on and our investment experience in waste management and resource recovery, we are particularly pleased to be investing in New Earth at this stage in the company’s development. We look forward to working with Impax Asset Management as a substantial co-investor and the company’s management team to actively encourage the further growth of the business.”

The funds from Ludgate Environmental Fund’s investment will be used to accelerate the growth of both New Earth’s waste treatment and renewable energy businesses.

Bill Riddle, Chairman of New Earth, said: “I’m delighted to announce the first closing of our current fundraising and to have Ludgate Environmental Fund on board as an investor. The Ludgate investment team is highly respected in the cleantech sector and will add significant value as we rapidly expand our waste treatment and energy from waste facilities throughout the UK.”

About New Earth:

New Earth Solutions Group Limited is a UK business comprising the waste treatment company New Earth Solutions Limited and the renewable energy company New Earth Energy Limited.

New Earth Solutions helps local authorities to meet their obligations to divert waste under the EU Landfill Directive and contributes to composting and recycling rates. It has existing and planned operations in the south and central England and contracts to receive waste from the local authorities of Bournemouth, Dorset, Bristol, Kent, West of England Partnership, Gloucestershire and Leicestershire. It has pioneered enclosed composting and biological treatment in the UK since it was created seven years ago.

New Earth Solutions’ key technology is the Advanced Bio Stabilisation System. This temperature-controlled composting process uses sophisticated air handling equipment to prevent odour or emissions of bio-aerosols associated with less robust waste treatment processes. In addition to the treatment of biodegradable wastes, New Earth Solutions’ technology captures other recyclables such as plastics, glass, ferrous and non-ferrous metals, all helping to meet statutory recycling targets.

New Earth Energy is developing and delivering third party advanced thermal technologies to support the use of waste-derived feedstock for renewable power plants and combined heat and power schemes for public and private customers.

Websites: www.newearthsolutions.co.uk www.newearthenergy.co.uk

About Ludgate Environmental Fund:

Ludgate Environmental Fund Limited is a Jersey domiciled closed-ended investment company listed on AIM in August 2007. Further fundraisings completed in March and November 2008 have seen assets increase to just over £50m.

Applying an active corporate management approach, Ludgate Environmental Fund invests growth capital into environmental/cleantech companies. The underlying drivers in this sector are strong: increasing strains on natural resources; rising concerns over waste and pollution; increasing public support; and maturing environmental technologies. Focus areas of the Fund include alternative energy; waste management and resource recovery; energy efficiency; water management; industrial process advances and emission reduction technologies.

Website: www.ludgateenvironmental.com

About Impax Asset Management:

Impax Asset Management Limited is a leading specialist investment manager dedicated to the environmental sector. Founded in 1994, Impax now manages c. US $2 billion1 across a range of closed end funds, open ended funds and segregated accounts on behalf of institutional and private investors.

Impax has a track record of delivering excellent returns across long only, private equity and hedge fund strategies. Key investment team members have been working together at Impax for over a decade and have spent the majority of their careers in the environmental sector.

Impax manages a range of specialist own brand and white label funds. Impax Environmental Markets plc (IEM) is the UK’s largest environmental markets fund and in the FTSE 250 index.

Assets under management as of 30th September 2009

Website: www.impax.co.uk

The ‘state of the art’ composting  facility at Blaise Quarry in West Malling, which turns the waste into a valuable compost, is  operated by  specialist waste treatment company New Earth Solutions, where Commercial Director, Peter Mills, is full of praise for the green householders: “We know it takes time and effort to separate and recycle organic and kitchen waste and are delighted that local householders have responded so positively in helping to divert this waste away from landfill.”

Kent County Council, which is responsible for arranging the disposal of the organic waste and Tonbridge and Malling Borough Council, which collects the waste, expect a recycling rate of 47% for 2008/09. Phil Beddoes, Head of Waste and Street scene services at Tonbridge and Malling Borough Council explains: “We have a record of high performance within the Borough, with 90% cent of waste now being made use of; 43% being made into electricity and the rest into compost.”

As the composting plant is locally based, the waste is collected and processed within the Borough, with the resulting compost used by local farms – providing a beneficial ‘closed loop’ in terms of waste management for the community.

Peter Horn, Waste Operations Manager at Kent County Council adds: “This plant is a key element in Kent’s integrated waste strategy aimed at maximising the proportion of waste we recycle and compost and minimising the amount we send to landfill, through waste management systems that are both sustainable and affordable. The facility is already successfully processing all the separately collected organic waste from two of our districts. We are now looking to build on this platform by expanding the service into other areas, and further improve Kent’s overall environmental performance.”

Looking forward, Phil Beddoes says that the target for the next 12 months is to try to reduce contamination, such as plastics, which find their way into the organic waste, by informing residents what they can and can’t recycle. “Achieving this, and continuing to work closely with New Earth Solutions, can only help us to achieve even better recycling results.”