Final Results

IPSA, the AIM and AltX dual listed independent power plant developer with operations in southern Africa, today announces its final results for the year to 30 September 2008.

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• First sales of steam and electricity under contract at the Company's Newcastle CHP plant to users such as City Power of Johannesburg and Eskom, the state owned power company.
• Signing of a Memorandum of Co-operation with the South African Government's Central Energy Fund (Pty) Limited for a key role as a private sector developer to the integrated energy project being developed at the Coega Industrial Development Zone, near Port Elizabeth.

Key points since the year end include:

• Formal agreement with Elitheni Coal (Pty) Limited, a subsidiary of Strategic Natural Resources PLC, for coal supply to approximately 250MW of its initial power projects in South Africa's Eastern Cape.
• Continuing discussions over the sale of the four Fiat Avio 501 D gas turbines at a price of approximately $100 million, which were acquired in March 2007 and previously earmarked for that project.
• Receipt of additional funding of approximately £1.08 million from Independent Power Corporation PLC in the absence of normal commercial lines of finance due to the near collapse of financial markets.
• Pending potential sale of the turbines, Board to explore medium term working capital options.

Commenting, Stephen Hargrave, Chairman of IPSA, said:

"Over the last year the world's financial markets have deteriorated and this has inevitably had a negative impact on IPSA. However, the Company is adjusting its operations and plans to match the tightened credit conditions affecting southern Africa.

"The Company is rich in assets. It is now in the process of arranging finance to meet its working capital needs and the Board has a reasonable expectation that as a result the Company will be able to develop new power plant capacity to complement its existing initial pilot plant in Newcastle, KwaZulu Natal. While financing remains our top priority for the present, I believe that the Group has the necessary skills and experience to achieve its ambitions."

For further information contact:

Peter Earl, CEO, IPSA Group PLC:  +44 (0)20 7793 5615

Elizabeth Shaw, COO, IPSA Group PLC:  +44 (0)20 7793 5615

John Llewellyn-Lloyd / Sunil Sanikop, Noble & Company Ltd (Nominated Adviser and Joint Broker):   +44 (0)20 7763 2200

Allan Piper, Tavistock Communications (UK PR Advisers):  +44 (0)20 7920 3150

Dino Theodorou, PSG Capital (Pty.) Limited (South African Sponsors):   +27 (11) 797 8400

Sugitha Naidoo, College Hill (South African PR Advisers):  +27 (11) 447 3030