INTERIM: CEN: Investors show ongoing support for PDP; half year report

30 Mar 2010 8:39 am

CEN 30/03/2010 INTERIM

REL: 0839 HRS Contact Energy Limited

INTERIM: CEN: Investors show ongoing support for PDP; half year report

30 March 2010

INVESTORS SHOW ONGOING SUPPORT FOR CONTACT'S PROFIT DISTRIBUTION PLAN; HALF YEAR REPORT AVAILABLE

Investors have demonstrated ongoing support for Contact Energy Limited's profit distribution plan by opting to receive the equivalent of $49 million in shares rather than cash, in respect of the 2010 interim distribution. This represents 75 per cent retention of the shares issued, with 25 per cent of shares being bought back for cash today.

Contact's profit distribution plan has been successful in retaining $170 million of cash within the business since its inception in March 2009.

Contact Managing Director, David Baldwin, said the result showed continued strong support for the company's strategy, in particular its investment in generation assets.

The retained cash will support investment in Contact's strategic initiatives. In addition to the three major projects being completed this calendar year - the 200 megawatt gas peaking plant at Stratford, the Ahuroa gas storage facility and the 23 megawatt Tauhara 1 geothermal development - Contact is progressing the 250 megawatt Tauhara 2 geothermal power station and the 220 megawatt Te Mihi geothermal power station, and has announced a joint venture geothermal development with the Taheke 8C and Adjoining Blocks Incorporation.

"It's a very pleasing outcome, indicating strong investor support for our investment and growth strategy," said Mr Baldwin.

Contact's half year report for the six months ended 31 December 2009 is now available under the investor section of the company's website www.contactenergy.co.nz/investor.

Louise Griffin Communications Advisor Contact Energy 04 496 1567 021 243 1442 End CA:00193098 For:CEN Type:INTERIM Time:2010-03-30:08:39:39

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