1 March 2017
DRAX GROUP PLC
(Symbol: DRX)
Update on Process for Potential Acquisition of Distressed Pellet Plants
Drax has been notified that the sellers of Texas Pellets(1) and Louisiana Pellets(1) have delayed the processes(2) for the sale out of bankruptcy of these assets, originally scheduled for 1 and 2 March. It is expected that these processes will continue during March.
Drax previously notified the market of its participation in these processes and had submitted initial cash bids for the operating assets of Texas Pellets and Louisiana Pellets.
Drax remains an interested party in the acquisition of these assets.
Enquiries:
Drax Investor Relations: Mark Strafford
+44 (0) 1757 612 491
Media:
Drax External Communications: Paul Hodgson
+44 (0) 1757 612 026
Website: www.drax.com
Notes:
(1) Texas Pellets, Inc. and German Pellets Texas, LLC (collectively "Texas Pellets") is the owner and developer of a wood biomass pellet manufacturing facility located in Woodville, Texas and leases a five-silo pellet storage facility located at Port Arthur, Texas.
Louisiana Pellets, Inc. and German Pellets Louisiana, LLC (collectively "Louisiana Pellets") is the owner and developer of a wood biomass pellet manufacturing facility located in Urania, Louisiana.
(2) Texas Pellets and Louisiana Pellets are currently going through "Chapter 11" bankruptcy processes in the United States and are seeking purchasers for substantially all of their assets.
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