AGM Statement

TEG Group (The) PLC
20 April 2007




For release                           7:00am                      20 April 2007





                            The TEG GROUP PLC (TEG)
                            ('TEG' or 'the Company')



                                 AGM STATEMENT



At the Annual General Meeting of TEG Group Plc ('TEG' or 'the Company'), the
AIM-listed cutting edge green technology company, which converts organic wastes
into natural organic fertiliser, which is to be held today (20 April 2007) at
The Bridgewater Hall, Lower Mosley Street, Manchester M2 3WS, Non-Executive
Chairman, Nigel Moore will make the following statement:


'Since we last met, I am pleased to report that your company has continued to
make very significant progress towards its goal of becoming the clear company of
choice for commercial organic composting in the United Kingdom.


In a few moments, I will adjourn the meeting and hand you over to our Chief
Executive, Mick Fishwick who will bring you up to date with the recent
activities of TEG and the further strides that have been made during the past
year in the development of your company. Before I do so, I would like to address
a couple of matters; firstly, changes to our structure and secondly, an update
on the direction the company is taking.


You will recall that in 2006 we began a restructuring process to position the
business ready for the anticipated growth and exciting times ahead. On a
corporate level, John Hough stepped down from the Board and was replaced by Doug
Benjafield, the former Cleanaway Director. I am pleased to report that Doug has
worked actively with the team and settled well into the Company.


At the turn of the year, we completed a restructuring exercise and introduced 2
new subsidiary companies; TEG Environmental Ltd and the Natural Organic
Fertiliser Company Ltd, or NOFCO. The parent company was renamed the TEG Group
PLC.


TEG Environmental Ltd is now the principle trading subsidiary responsible for
plant construction and operations, together with engineering and technical
development. Its board comprises of experienced waste management professionals
and this team focuses entirely on the growing and very demanding day-to-day
operational activities of the business.


NOFCO has been created to focus on compost product placement and the development
of end markets. As TEG and the composting market expand, finding diverse and
secure outlets for the compost product becomes ever more important. TEG's
expertise in this area has already enhanced our reputation and is a critical
element in our bids with Local Authorities, who seek assurances on landfill
diversion. Together with our alliance with Glendale in the horticultural sector,
we believe we are developing an expertise that is second to none in the
composting market.


The parent company, TEG Group PLC continues to manage shareholder interests,
determines the future strategy of the Company and monitors the performance of
the subsidiaries.


On that note, I would now like to turn to the growth strategy and future
direction of the company.


We have moved over the last 12 months from the development phase of the business
to a substantial operating business and we are now working towards our goal of a
sustainable, highly profitable trading business. The demand for TEG technology
is higher than ever and it is a pleasure to see the business begin to flourish.


The Board still believes that the best strategic direction for the business is
to grow by a combination of plant sales and Build Own and Operate facilities.
The development of Build Own Operate facilities whereby TEG offers a processing
service, gaining revenues from gate fees for waste and sales of compost
products, offers the significant attraction of generating long term sustainable
revenues on which we can build the business. This is supplemented by plant
sales, generating significant lump sum revenues. While the interest in TEG and
its technology is growing and the value of such plant sales is increasing
significantly, we still believe it is important for the security of the business
to continue to develop our own facilities.


We believe your confidence in the Company and the management team has been well
placed. We are in an exciting and growing market, we have an excellent and adept
management team, we have the best technology and we have a secure line of
funding.


The Board believes it is making tremendous progress with the business and is
building on the strong foundations we had formed during the years of
development. There is always a very difficult balance to be drawn between the
short term needs of all our shareholders and the long term interests of the
business, but we are sure you will agree that our progress over the last 12
months does suggest that we are following the right path.'



ENDS


Contact:

The TEG Group Plc                   Tel: [phone]
Michael Fishwick, Chief Executive

Adventis Financial PR               Tel: [phone]
Tarquin Edwards                     07879 458 364

Canaccord Adams (Nomad)             Tel : [phone] 7050 6750
Chris Bowman/Robert Finlay




Editor's Notes:


TEG provides an in-vessel composting technology, which is one of the few
approved technologies capable of treating animal by-product (ABP) waste. Plant
economics are predominantly driven by the gate fees charged, rather than the
value of the end product (compost). The TEG process is an economic alternative
to landfill and is entirely LATS compliant.


The Silo Cage system, one of the few technologies in Europe capable of treating
this waste, is a natural process producing compost as an end product, used as an
excellent soil conditioner that fertilises, retains moisture, provides structure
and reduces the incidence of plant disease. TEG's Silo-Cages are housed in
self-contained buildings, are not unsightly and are environmentally friendly.


Customers include local authorities, waste management companies, food
processors, farmers and landowners. The Company's expanding market is driven by
increasingly stringent EU and UK legislation regulating the treatment and
disposal of organic waste. Statutory targets for the diversion of waste from
landfill increase annually through to 2020, increasing TEG's market opportunity
year on year. The Waste Resource Action Programme estimates that 450 composting
plants will be needed by 2020 to satisfy local authority requirements alone, and
there is increasing demand from the private sector driven by ABP legislation.


NOFCO is a marketing company specialising in the development of end markets for
compost products, an important aspect of all plant developments and key to local
authority development. The company has an expertise in the development of
agricultural and horticultural markets and this capability is to be provided to
customers to enhance TEG's overall service offering.



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