InfraStrata : EXTENSION OF EXCLUSIVITY AGREEMENT

RNS Number : 2236B

Infrastrata PLC

29 January 2020

29 January 2020

InfraStrata plc

('InfraStrata' or the 'Company')

EXTENSION OF EXCLUSIVITY AGREEMENT FOR A FLOATING STORAGE AND REGASIFICATION UNIT OFFSHORE BARROW-IN-FURNESS IN THE UNITED KINGDOM

InfraStrata plc (AIM: INFA), the UK quoted company focused on strategic infrastructure projects and physical asset life-cycle management advisesthat it has extended its period of exclusivity under the Exclusivity Agreement ('Agreement') that it entered into with Meridian Holdings Co. ('Promoter'), a Cayman Islands company, on 08 July 2019, to facilitate the development and an acquisition of the Promoter's Floating Storage Regasification and Reloading Unit Project ('FSRU Project') in the United Kingdom. Under the terms of the Agreement, the Company now has exclusivity until 20 March 2020.

Background

Details of the FSRU Project were originally announced on 9 July 2019. It involves developing a floating LNG (liquified natural gas) receiving port offshore Barrow-in-Furness, Cumbria, in northwest England, and is designed to deliver re-gasified volumes of natural gas directly into the UK market via its own National Transmission System interconnection at Barrow-in-Furness.

At a projected capacity of approximately 5 million tonnes per annum, the FSRU Project would add to the UK's security of gas supply, help balance the gas network on peak demand days and provide its clients with a high level of optionality between storing LNG, regasifying LNG and sending it to the National Grid and storing regasified LNG for future withdrawals from underground gas storage.

Due diligence

As announced in the Company's recent annual results, preliminary due diligence conducted by the Company on the FSRU Project thus far has yielded positive results. The extended period of exclusivity will now enable the Company to conduct a more detailed technical, commercial and regulatoryassessment of the FSRU project and determine critical parameters, including, but not limited to, detailed project capital expenditure and activities required to be undertaken to update the various licences and bring them in line with the latest conditions that are associated with them. The Company shall be spending the next two months putting together a consolidated schedule of activities that need to be completed in order to take the next step of making an offer to the Promoter for the acquisition of its stake in the FSRU Project.

Discussions which commenced with key global liquefied LNG terminal (both onshore and offshore) construction companies based in South Korea and Japan who had expressed interest in partnering with the Company to construct the FSRU Project continue to progress. Additionally, the Company continues to have discussions with global LNG trading houses who have expressed interest in entering into long term capacity offtake agreements.

**ENDS**

For further information, please visitwww.infrastrataplc.comor contact:

InfraStrata plc John Wood, Chief Executive & Interim Chairman	c/o Newgate Communications [phone]
Allenby Capital Limited (AIM Nominated Adviser & Joint Broker) Jeremy Porter / Liz Kirchner	[phone]
Arden Partners plc (Joint Broker) Paul Shackleton / Dan Gee-Summons (Corporate Finance) Simon Johnson (Corporate Broking)	[phone]
Newgate Communications (PR) Elisabeth Cowell/ Ian Silvera	[phone]

Notes to editors:

InfraStrata is a London Stock Exchange-quoted group focused on strategic infrastructure projects.

The rapid development of the 100% owned Islandmagee Gas Storage Project is a core workstream for InfraStrata. It is expected to provide 25% of the UK's natural gas storage capacity and to benefit the Northern Ireland economy as a whole when complete. Given that the Committee on Climate Change has advised that the UK will still need a significant quantity of natural gas by 2050 - about 70% of today's consumption - the market opportunity for this project is compelling.

The Company also owns and operates the assets of Harland & Wolff in Belfast, where it will undertake the fabrication work for the Islandmagee project, as well as establish secondary revenue streams through the provision of services to the energy, maritime and defence sectors should such opportunities arise in future.

Mindful of the fact that safe, secure and flexible sources of energy are needed for a sustainable future, InfraStrata is focused on providing investors with exposure to a growing portfolio of UK, European and international energy infrastructure projects. With this in mind, the Company's highly experienced team is focused on acquiring, developing and commercialising innovative infrastructure projects around the world.

The Front-End Engineering & Design (FEED) and Insitu Downhole Testing programme for the Islandmagee gas storage project is co-financed by the European Union's Connecting Europe Facility.

Disclaimer releasing the European Union from any liability in terms of the content of the dissemination materials:

'The sole responsibility of this publication lies with the author. The European Union is not responsible for any use that may be made of the information contained therein.'

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