StatoilHydro invests in Energreen AS

Stavanger 29 April, 2009. The Norwegian company Energreen AS has developed a technology which makes it possible to generate clean energy from pressure drops in fluid process systems, energy which previously was lost. The technology has a wide range of uses within offshore and onshore industries. The company has since mid 2008 been funded by Stavanger based venture capital firm Energy Ventures. Today it is announced that StatoilHydro through Energy Capital Management (ECM), has decided to co-invest venture funds in Energreen to contribute to the commercialization of the company’s technology offering. Energreen has received awards for their innovative technologies from Bellona and E-CO in 2007 and 2008.

The need for energy onboard offshore installations is increasing and today this energy is supplied through the usage of fossil fuel, which is costly and causes severe emissions of greenhouse gases. In 2006, Energreen AS was founded by Jan Kristian Vasshus, Trond Melhus and Per Reidar Ørke. The company has developed a technology and a turbine generating pure zero emission energy from pressure drop in fluid flow processes and thus enabling a smart and economical way of capturing energy which up until today is not exploited. In addition to the environmental benefits, the turbine also contributes to reduce the operating costs, which of course improves the economy in general. The Oslo based venture fund ECM now invests to become a business- and financial support partner in Energreen AS alongside with lead investor Energy Ventures.

“Energreen is a very exciting investment. The company has unique patented technology with a global potential. The oil and gas industry is increasingly looking for low cost environmental electricity off-grid energy production and the turbine developed gives a substantial environmental benefit. We now invest in a company and a technology that provide economic as well as environmental benefits. The test results are very good and we look forward to contributing to further developing, commercializing and internationalizing of the company”, says managing partner of ECM Arne Frøiland.

The turbine Energreen AS has developed is called Difgen. In February last year, the company had the first full scale prototype ready for testing. The test version has achieved great attention among business players with activities both onshore and offshore. In addition, a series of industrial partners have shown interest in contributing to a further development of the product. Also the environmental organizations have paid extra attention to Energreen AS, and as early as in 2007 the company achieved the “Pure Energy” award from Bellona and E-CO.

“We feel that we have reached far in short time, but to be able to commercialize the technology we need partners with close cooperation with the industry. ECM is a partner with focus on the energy industry and with their close industrial link to StatoilHydro we are very pleased that we have got them as part of the Energreen team moving forward”, says the CEO of Energreen Per Reidar Ørke.

ECM manages StatoilHydro's Venture fond. ECM has a total of NOK 1.2 billion (€137m) under management and invest in new oil and gas and clean energy solutions and collaborates closely with StatoilHydro utilizing their competence to develop future-oriented technology and market.

Energy Ventures is a specialized energy and upstream oil and gas technology venture capital firm with a total of approx NOK 2,2 billion under management.

Energreen is now owned by Energy Ventures, ECM and the founders. The company has earlier received economical support from Innovation Norway and Enova.

For further information:

Arne Frøiland, Managing Partner, Energy Capital Management +47 90748633

Einar Gamman, Partner, Energy Ventures,+47 916 37 105 or +47 51 84 12 93

Per Reidar Ørke, CEO, Energreen, +47 909 76 415