Expected Breach of Investment Restriction

10 December 2015

Premier Energy and Water Trust PLC

Notification of expected breach of Investment Restriction

Premier Energy and Water Trust PLC (the Company) operates under a number of investment restriction and one of these requires that not more than 20% of its gross assets are exposed to the creditworthiness or solvency of any one counterparty.  The Company is required to make an announcement if it breaches this investment restriction. Over the next few weeks the Company expects to hold an increasing proportion of cash with its principal banker ahead of the potential repayment of all or part of the existing zero dividend  preference shares (ZDPs)  issued by its subsidiary PEWT Securities Ltd.  This will result in a breach of the 20% limit. The existing ZDPs redeem on 31 December 2015 and the existing ZDP shareholders who have elected for the cash option are expected to receive their cash consideration by 8 January 2016. After this date the Company expects to operate in compliance with all of its investment restrictions.