Statement re Aldbrough

Scottish & Southern Energy PLC
24 May 2007



               EXTENSION OF GAS STORAGE DEVELOPMENT AT ALDBROUGH


Scottish and Southern Energy plc ('SSE')and Statoil (UK) Ltd have today secured
consent from East Riding of Yorkshire Council to increase the gas storage
capacity at the Aldbrough site beyond that currently under development.


The companies are already developing nine storage caverns at Aldbrough, with a
capacity of 420 million cubic metres (mcm), and commissioning of the first of
them is expected to get under way before the end of this year. It will become
the UK's largest onshore gas storage facility.


Subject to the conclusion of an agreement under Section 106 of the Town and
Country Planning Act, the companies now have consent to develop a further nine
gas storage caverns at Aldbrough, taking the total at the site to 18 and the
total capacity to over 800mcm. After the completion of the extension, the
facility will be able to provide enough gas in a day to supply around 13 million
homes.


SSE is investing around £150m in the first phase of the Aldbrough development,
out of a total of around £225m. The extension will largely be under ground, and
the intention is to use above ground facilities already on site, although some
additional development will be required. It is expected that its cost will be
similar to the first phase of the development. SSE will contribute 50% of the
cost of the extension in return for ownership of 50% of the capacity.


On completion of the extension, SSE will own over 800mcm of gas storage
capacity, including its share of joint ventures. This includes its existing gas
storage facility at Hornsea, which is adjacent to Aldbrough and which it
acquired in 2002.


Ian Marchant, Chief Executive of SSE, said:


'The Energy White Paper showed that gas storage is a central part of the UK's
strategy for handling more imports of gas and so this is a very important
business. Construction of the extension will help to ensure that the UK can meet
gas demand during periods of high energy usage, and will be a central part of
our investment programme going forward.'

Enquiries to:

Scottish and Southern Energy plc
Justyn Smith - Head of Media Relations                  + 44 (0)870 900 0410
Sharron Miller-Mckenzie - Press Office Manager          + 44 (0)870 900 0410






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