Execution of Heads of Terms for Fonmon BESS

Active Energy Group Plc, an alternative energy company focused on the deployment of renewable infrastructure and the integration of advanced digital technologies, is pleased to announce a step forward in its renewable energy strategy with the signing of Heads of Terms to develop a 150MW Battery Energy Storage System ("BESS") in the Vale of Glamorgan, in partnership with Fonmon Castle Ltd ("FCL"). This project is designed to support the UK's transition to clean energy and strengthen national energy security.

Under the Heads of Terms:

• FCL will make approximately 10 acres available on a 30-year lease for the construction of the BESS facility.
• AEG will invest £40,000 to advance the site's promotion, including District Network Operator ("DNO") applications and planning consent, led by specialist consultants.
• The Heads of Terms is valid for 18 months, during which AEG will actively support planning and development.
• Upon securing planning consent and lease commencement, AEG's £40,000 investment will be reimbursed and receive 5% of the first year's rent.

The proposed BESS facility is targeted to deliver 150MW of storage capacity, with an anticipated annual rent of £300,000 payable to FCL and a lease term of 30 years. Final commercial terms remain subject to agreement.

This collaboration marks a significant step in AEG's strategy to support renewable energy infrastructure and promote energy security in the UK.

Further updates will be provided as the project progresses.

Paul Elliott, CEO of Active Energy Group Plc, commented: "The Fonmon BESS is a flagship opportunity for AEG to deliver meaningful energy infrastructure that supports the UK's low-carbon future. We're excited to move this project forward at pace."

The Board of Active Energy Group plc has approved this announcement and authorised its release.

Bruton Knowles are acting as agent for both Active Energy and FCL.