Ensus Announces Investment from The Carlyle Group and Riverstone Holdings, to Fund Development of the First World-Scale Bioethanol Plant in the U.K.

London - The Ensus Group ("Ensus" or the "Company") is pleased to announce that global private equity firm The Carlyle Group ("Carlyle") and Riverstone Holdings ("Riverstone"), a global energy focused private equity firm, have agreed to acquire and invest in Ensus Limited and provide funding for development of the Company’s first bioethanol plant in the U.K.

Ensus plans to establish itself as a leading provider of bioethanol to the European transport fuels industry and build a number of world-scale facilities across Europe. Bioethanol is a renewable and environmentally friendly alternative for petrol driven vehicles and is produced using farm crops as the raw material. Due to the carbon dioxide absorbed by the crops as they grow, use of bioethanol as a transport fuel results in a substantial net carbon saving relative to the oil-based alternatives. The Ensus facility will have an annual production capacity of over 400 million litres of bioethanol.

The use of biofuels, such as bioethanol, forms a critical part of the European Union’s strategy to reduce greenhouse gas emissions and scale-back dependency on fossil fuels such as oil. On 9 March 2007, the EU Council of Ministers endorsed a 10% binding minimum target to be achieved by all Member States for the share of biofuels in overall EU transport fuels by 2020. The U.K. Government has also announced that from April 2008 it will be introducing the Renewable Transport Fuels Obligation ("RTFO"). The RTFO will ensure a significant and stable market for biofuels in the U.K., setting a mandatory target of 5% of transport fuels to be made up of biofuels by 2010. Ensus will provide substantial underpinning to the U.K. meeting these targets and, at full capacity, will be capable of supplying approximately 35% of the bioethanol required to achieve the targeted 5% substitution of the U.K. petrol market.

The first Ensus facility will be based at the Wilton International site in Teesside, an integrated petrochemical complex in the North East of England. Construction will start in Q2 2007, with full production expected to begin in early 2009. The project is anticipated to lead to significant job creation, with up to 800 employed during the construction phase and approximately 100 employed once the plant is fully operational. The Ensus plant will use wheat as its feedstock, sourced from local markets. The incremental demand for agricultural crops from biofuels will provide significant stimulation to the rural economy and provide a new source of financial support for the farming community.

Ensus is led by a highly experienced management team and Board, with relevant industry, political and financial experience. The Chairman of the Board is Sir Rob Margetts, who is also currently Chairman of Legal & General, Senior Independent Director of Anglo American and was formerly Chairman of BOC and Vice Chairman of ICI. The CEO is Alwyn Hughes, who has worked for the majority of his career at ICI, holding a number of senior roles. The Deputy Chairman and Director of Business Development is Michael Fox, the original founder of the Company.

The management team and Board are supported by a first class group of partners, each a leader in its respective field, with whom the business has contractual relations: Shell has contracted to off-take all of the bioethanol produced; Glencore will provide all of the grain requirements; the manufacturing facility is being built by Simon Carves, with technology licensed from Katzen; Sembcorp are providing the utilities at Wilton; and Vopak are providing the specialised bioethanol storage and handling facilities.

Sir Rob Margetts, Chairman of Ensus, noted "We are delighted to have found such high quality investors as Carlyle and Riverstone. It was important for us to find backers who shared both our passion for the industry and desire to develop Ensus as a company. The financial resources of Carlyle and Riverstone, together with their experience of investing in biofuels in North America, makes them the ideal partners as we seek to create one of the leading biofuels companies in Europe."

"We are extremely excited to have made this investment and by the opportunities we see for Ensus going forward," said Robert Easton, Managing Director of Carlyle. "The market fundamentals are incredibly positive and we anticipate substantial growth in bioethanol demand both in the U.K. and across Europe. This first facility in Teesside provides the ideal platform from which to establish our position and we are already actively exploring opportunities for further facilities both in the U.K. and abroad."

"We are pleased to be partnering with the first class team at Ensus," added Stephen Schaefer, Managing Director of Riverstone. "They bring the industry experience and contacts necessary to excel in this growing segment of the energy industry. We look forward to working with them closely and capitalising on the significant opportunity this investment represents."

U.K. Transport Minister Dr Stephen Ladyman said, "Sustainably sourced biofuels can play a key role in reducing the impact of transport on the environment. That's why we are introducing the Renewable Transport Fuels Obligation, which is expected to save 1 million tonnes of carbon by 2010, the equivalent of taking 1 million cars off the road. The Government is keen to see a strong and stable market for biofuels in the U.K., and I welcome the boost this project will give the sector. Not only will it help the environment, it will also bring vital investment and jobs to this part of the country."

NOTES TO EDITORS

Biofuels

Biofuels are a source of renewable energy made from biomass materials. These differ from fossil fuels such as coal and oil which are not renewable and are in limited supply. The two most commonly talked about biofuels are bioethanol and biodiesel. Bioethanol, an alcohol, is produced from biomass materials that contain starch and sugars. It is made by fermenting these organic materials to produce ethanol from their natural starch and sugar content. A main advantage of bioethanol is that it can be easily blended with petrol; a mix of 5% bioethanol and 95% petrol can be used in all cars today without the need for modifications to the engine.

Renewable Transport Fuels Obligation

In 2005 the U.K. government announced measures to make transport fuels greener and discussed ways to promote more environmentally friendly vehicles in an attempt to reduce the effects of transport on climate change. The proposed Renewable Transport Fuels Obligation (RTFO), is predicted to save over 1 million tonnes of Carbon Dioxide in 2010, roughly equivalent to taking 1 million cars off the road. The Department of Transport regards biofuels as an integral part of the move to reduce the impact of transport on the environment.

Transaction Advisers and Debt Financing Providers

Clifford Chance acted as legal adviser and Ernst & Young acted as financial and tax adviser to Carlyle and Riverstone. Halliwells and Clifford Chance acted as legal advisers and Société Générale as financing adviser to Ensus. Norton Rose acted for the banks. Debt financing is being arranged by Royal Bank of Scotland, Société Générale and Calyon.