Ian Nethercote to leave Loy Yang

AGL Energy Ltd (AGL) today announced that the Chief Executive of Loy Yang Power (LYP), Ian Nethercote, has chosen to leave Loy Yang following the transfer of the company's full ownership to AGL.

Over the previous few months, Loy Yang and AGL management have been working together on the arrangements that will see Loy Yang become a part of AGL. This comprises Loy Yang operations forming part of AGL's Merchant Energy business headed by Group General Manager Anthony Fowler, which means that the role of Chief Executive of Loy Yang will come to an end.

AGL Managing Director & CEO, Michael Fraser, announced today that following discussions with Mr Nethercote, he has chosen to take this opportunity to leave Loy Yang with effect from 29 June 2012.

The announcement was made after Mr Nethercote held discussions with the Loy Yang executive management team and a broader announcement to all employees.

"I would like to thank Ian for his diligence and professionalism throughout the transition process," said Mr Fraser.

"Ian has led Loy Yang Power for the last 13 years, and has a long and distinguished career in the energy industry of more than 35 years," he said.

"Mr Nethercote has worked to ensure that Loy Yang Power was seen as an industry leader and actively contributed to the future direction of the electricity industry through participation in various industry and government bodies."

His achievements at Loy Yang include overseeing a power station upgrade which delivered an additional 200MW of output and a mine expansion.

Ian has been recognised through various awards over many years, the most recent being the Sir Willis Connolly medal which was awarded in recognition of his continuous dedication and contribution to the Energy Sector and Mining Industry.

"Ian has every right to be extremely proud of what he and the Loy Yang Power team have been able to achieve and he is to be commended for his commitment to the people of Loy Yang and the Latrobe Valley," said Mr Fraser.

AGL has been working closely with Mr Nethercote on the ownership and transition plans over the past few months. Announcing the change today, Mr Fraser said that AGL was in the process of finalising the organisational arrangements.

Following the Federal Court's removal of the undertakings which limited AGL's ownership, AGL now expects to complete the acquisition of Loy Yang Power by 30 June 2012.

About AGL

AGL is one of Australia's leading integrated renewable energy companies and is taking action toward creating a sustainable energy future for our investors, communities and customers. Drawing on 175 years of experience, AGL operates retail and merchant energy businesses, power generation assets and an upstream gas portfolio. AGL has one of Australia's largest retail energy and dual fuel customer bases. AGL has a diverse power generation portfolio including base, peaking and intermediate generation plants, spread across traditional thermal generation as well as renewable sources including hydro, wind, landfill gas and biomass. AGL is Australia's largest private owner and operator of renewable energy assets and is looking to further expand this position by exploring a suite of low emission and renewable energy generation development opportunities.