Ann: Appendix 4E and Audited Accounts 30 June 200, page-2

re: Ann: Appendix 4E and Audited Accounts 30 ... ...Cut n Paste from ann.

FUTURE DEVELOPMENTS, PROSPECTS AND BUSINESS STRATEGIES
During the year, the Company entered into the most significant transaction in its corporate history following the
signing of a binding Heads of Agreement with Renewable Energy Holdings Plc to purchase 100% of the CETO
intellectual property and global development rights.
Upon Completion, expected in September 2009, this Transaction delivers to Carnegie 100% ownership of
CETO for the first time. Importantly, this opens up the lucrative Northern Hemisphere wave energy market
where 90% of global power demand occurs whilst also removing licensee risk from Carnegie’s previous
business model. It also delivers Carnegie a portfolio of Northern Hemisphere potential wave project sites and
EDF EN as a Northern Hemisphere licensee of the technology and a joint venture project partner.
This Transaction is subject to Carnegie shareholder approval at the General Meeting of Shareholders to be
held on September 4, 2009.
The focus in the immediate future is on the completion of the CETO technology development via the
deployment and testing of a full scale CETO 3 unit at the back of Garden Island in Western Australia. Beyond
this Carnegie will then begin deployment of commercial CETO Wave Energy projects including utilising the WA
Government’s $12.5 million grant for a 5MW wave project in Western Australian waters.
Carnegie’s business model will benefit from equity positions in its own wave projects in the Northern and
Southern Hemisphere but also to generate income through licensing the CETO technology. It will also be able
to leverage its unique know-how in CETO by deploying its services on CETO wave projects globally.


Hopefully this little bit will be enough to start the s/p drifting upwards.This sideways action is very frustrating. Not long to wait to find out anyway.