The board’s priority continues to be the creation of long term shareholder value. Augean is building infrastructure and delivering services in a market newly created through legislation. This business will modernise the sector and deliver long term income streams as the market matures and standards are raised.

The strategy is on a critical path, as the group has now established a UK wide network of specialist facilities which are to be further developed to enhance the solutions provided to regional markets. The group has moved its development position from one of strategic acquisitions to the process of asset development, creating new processes which will deliver long term income.

The most significant example of this development programme is the Waste Recovery Park at Port Clarence in Teesside, a site which clearly demonstrates the potential for the group to extract maximum value from its portfolio of assets. Construction of the first phase of the Park commenced in the second half of 2008 together with the completion of an exclusive agreement with the US based technologists MECO, to install an indirect thermal treatment process.

The technology separates organic wastes such as oils from solids and provides a service to the oil and gas markets. The group anticipates the operation contributing to income and profits during 2009. The process is currently being commissioned with the environmental permit expected to be issued and operations planned to commence in the second quarter of 2009.

In order to support the development programme and operational challenges of the business, a number of senior appointments were made in 2008 which strengthened the group’s management team. The group has invested in the sales and commercial teams to capitalise further on regional markets and to continue to work to the highest standards in providing the most cost effective and compliant waste management solution.