Conversion of C shares

MPAX ENVIRONMENTAL MARKETS PLC (the "Company")

                       Conversion of C Shares

14 December 2007


Further to the Company's most recent issue of C Shares (the "Issue"),
over 90 per cent. of the  assets attributable to C Shareholders  have
now been invested or committed to be invested. In accordance with the
terms and conditions  of the Issue,  the C Shares  will convert  into
Ordinary Shares at opening of business on the Conversion Date,  which
has been determined by the Board of Directors to be 17 December 2007.

The Conversion Ratio, which has  been calculated by reference to  the
total net assets  of the Company  and the net  assets of the  Company
attributable to C Shareholders as at close of business on 7  December
2007, is 0.79846633.  Accordingly, a  C Shareholder  holding 1,000  C
Shares will hold 798 Ordinary Shares following Conversion.  Fractions
of Ordinary Shares arising on Conversion will be aggregated and  sold
for the benefit of  the Company.   Following Conversion, the  Company
will have 301,246,052 Ordinary Shares in issue.

The Ordinary Shares arising on Conversion will rank pari passu  with,
and will have the same rights as, the Ordinary Shares of the  Company
already in issue.

Application has  been  made  to  the UK  Listing  Authority  for  the
83,838,964 Ordinary Shares  arising on Conversion  to be admitted  to
the Official List,  and to  the London  Stock Exchange  for the  same
number of Ordinary  Shares to be  admitted to trading.  The C  Shares
will be permanently removed from trading on the London Stock Exchange
with effect from open of trading at 8.00 a.m. on 17 December 2007.

Capitalised  terms  in  this  announcement  shall,  unless  otherwise
stated, have  the same  meaning  as set  out  in the  section  headed
'Definitions' in the prospectus published by the Company on 15 August
2007 (the "Prospectus").


Enquiries

Impax Environmental Markets PLC

Anthony Lee (Company secretary)                             020  7566
5495

Impax Asset Management Limited                         020 7434 1122

Ian Simm
Bruce Jenkyn-Jones


Dresdner Kleinwort
Dominic
Waters                                                            020
7475 6688
David  Yovichic
                                    020 7475 7144
Lucy
Lewis
020 7475 7926

Dresdner Kleinwort Limited, which is authorised and regulated by  the
Financial Services  Authority,  is  acting  for  Impax  Environmental
Markets PLC and for  no-one else in connection  with the contents  of
this announcement and will  not be responsible  to anyone other  than
Impax  Environmental  Markets  PLC  for  providing  the   protections
afforded to customers of Dresdner Kleinwort Limited, or for affording
advice in  relation  to the  contents  of this  announcement  or  any
matters referred  to  herein.   Dresdner  Kleinwort  Limited  is  not
responsible for the  contents of this  document.  Dresdner  Kleinwort
Limited has given and not withdrawn its written consent to the  issue
of this announcement with the inclusion of the reference to its  name
in the form and context in which it is included.

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