For immediate release: 30 September 2005

MCC Energy completes strategic investment in leading Asian clean energy developer

AiM-listed energy investment and advisory firm MCC Energy Plc (MCCE) has announced the completion of a second investment in the alternative fuels and renewable energy sector through a strategic agreement with the Tang Group, Ltd., a US and Beijing based developer of clean energy projects in Asia, with a focus on wind power generation projects in China and The Philippines.

The key elements of the transaction are:
• MCCE is investing $500,000 in a senior secured convertible note and committed to invest $500,000 in an anticipated $10m equity round on which MCCE is advising. The capital will be used by Tang Group to secure additional wind project rights and wind blade manufacturing interests. The Note has an 8% coupon, matures six months after the above equity round closing and converts at the equity round price.

•MCCE has been granted the right to invest at least 20% in each of the Tang Group’s subsequent projects, forecast by Tang Group to include in excess of 4,000 MW of wind generating capacity in China and The Philippines. MCCE has also been given the right to secure the project financing for at least two of the Tang Group projects under development.

• Tang Group is seeking to expand its interest in a leading Chinese wind blade manufacturer experiencing substantial growth. Tang has agreed to use best endeavours to allow MCCE to participate as an investor in this rapidly expanding blade business and to enter into a joint development agreement to pursue additional projects.

Steven Levine, Chief Executive of MCC Energy, commented:

“This is the second investment in our alternative fuels and renewable energy platform. It represents a strategic relationship giving us a potential series of renewable projects. Tang Group will effectively become MCC Energy’s gateway to China and neighbouring countries.

“With energy consumption and imports in China increasing significantly, the government of China has recently focused on renewable power generation, particularly in wind, to increase and diversify electricity supply and reduce emissions. Yields on Asian wind projects are expected to exceed returns on European ones for some time. Through Tang and their experienced project team we expect to be an active participant in this market.

“Coming so soon after our investment in DynaMotive we are gaining momentum, and given the high price of fuel, growing concern over energy wastage and increasing emissions, we believe the fundamentals have never been better for companies involved in the environmental sector.”

Ends

For further information, please contact:

Nick Fox, M: Communications
020 7153 1540

Notes to Editors

About MCC Energy
MCC Energy is an energy investment and advisory company that acquires majority or active minority interests in energy assets and technologies and provides integrated strategic and financial advisory services, including capital raising, business development, and mergers and acquisitions, to established and emerging energy companies.

MCC Energy is focused on energy efficiency and renewable/alternative energy technologies.
Since listing on AiM in February 2005, the company has completed investments in Navitas Technologies, DynaMotive Energy Systems, Inc. and now the Tang Group Ltd.