Design and production of specialised plant and equipment for the composting of organic wastes for sale to third party customers and in house projects
TEG Group wins waste processing contract from LondonWaste Ltd
Shares in The TEG Group PLC (LON:TEG) were lifted by news it won a contract from the operating company responsible for waste management for the North London Waste Authority.
London Waste Ltd (LWL) has awarded the group a contract to process mixed food and green waste for an initial 3-year term, commencing in April 2011, with an option to extend to April 2017. Financial details were not disclosed.
The stock rose more than 10 percent in early deals to 29 pence in response.
The annual volume of the waste is expected to be 12,000-15,000 tonnes with a maximum obligation on TEG of 20,000 tonnes per annum.
TEG Group develops and operates organic composting and energy plants, and is currently developing a new anaerobic digestion (AD) and in-vessel composing (IVC) plant in Dagenham, East London, which is expected to be in operation in 2012. The waste from the latest contract will be processed at the Dagenham plant from 2012 and in the meantime will be processed at TEG's IVC plant at Carleton Rode.
TEG chief executive Michal Fishwick said "We are delighted to have secured our first contracted waste in London and look forward to the development of our AD and IVC facility in Dagenham. It is very pleasing to have the support of LondonWaste Limited and this support will very much assist the development of the Dagenham plant."