29 May 2008 Gas Turbine Efficiency plc (“GTE” or “the Company

							29 May 2008

                                    Gas Turbine Efficiency plc
                                    (“GTE” or “the Company”)

               Share Placing, Sale by EIG Venture Capital and Directorate Change


GTE, a leading provider of advanced systems to enhance the performance of aviation and industrial
gas turbines, announces that it has conditionally raised £3.4 million (approximately $6.8 million)
before expenses by way of a placing of new ordinary shares to institutional investors (‘Placing’).

At the same time as the Placing, EIG Venture Capital Limited (‘EVC’) has agreed to sell 9,972,888
existing ordinary shares (representing approximately 14.7 per cent. of the Company's total enlarged
voting rights) at the Placing Price to a number of long-term private clean technology investors from
Norway and the UK, including Frederik W. Mowinckel and Michael Naylor.

Placing Highlights

    •   8,989,000 new ordinary shares of 0.2 pence each in the capital of the Company (‘ordinary
        shares’) are to be issued in connection with the Placing, representing 13.2 per cent. of the
        enlarged share capital (‘Placing Shares’)

    •   The Placing Shares will be issued at 38 pence per share (the 'Placing Price')

    •   As part of the Placing, John Bryant, Chairman of the Company, and Charles Cameron, non-
        executive director have subscribed for 157,895 ordinary shares and 52,631 ordinary shares
        respectively at the Placing Price

    •   The Placing Shares have been allotted out of the Company’s existing share allotment
        authorities and, when issued, the Placing Shares will rank equally with the Company’s
        existing ordinary shares

    •   Completion of the Placing is conditional on admission to trading on AIM of the Placing Shares
        and application for admission is being made today with admission to trading expected to
        occur on or around 3 June 2008

    •   The Placing was conducted by Libertas Capital with Mirabaud Securities Limited acting as
        introducer

The Company has also received commitments in respect of an additional £1.5 million (approximately
$3.0 million) before expenses by way of a placing of new ordinary shares to Oceanic Small Cap Fund
at the Placing Price, subject to shareholders voting in favour of renewing the Directors’ authority to
allot shares at the AGM of the Company on 10 June 2008 (‘Additional Placing’). A further
announcement will be released and application will be made for these shares to be admitted to
trading on AIM, subject to the appropriate resolutions being passed at the AGM.

The Directors believe that the Placing and the Additional Placing will provide the Company with the
funds required to execute its current business plan, capitalise on growth initiatives and to continue
with the strong progress made in 2007 as stated in recent trading updates of 23 January 2008, 3
March 2008 and in the full year results announcement made on 8 April 2008.


Sale by Significant Shareholder and Directorate Change

Following the disposal of 9,972,888 ordinary shares in the Company by EVC, it will have a
shareholding of 4,474,421 ordinary shares in GTE. This represents approximately 6.6 per cent. of the
Company's total voting rights. As a result of this sale, Frederic Telander and Jan Telander, both non-
executive directors of GTE and interested in the shares held by EVC, will be stepping down from the
Board of Directors with immediate effect. In recognition of this move, a warrant to subscribe for
1,000,000 ordinary shares, granted to EVC at the time of the Company’s admission to AIM, and due
to expire on 20 June 2008, has been extended by a further twelve months. All other terms relating to
the warrant remain unchanged.

EVC and the clean technology investors acquiring the shares disposed of by EVC have undertaken to
the Company and to its Broker that they will not dispose of their respective interests in the ordinary
shares of GTE for a minimum of six months from 29 May 2008, except in limited circumstances and
for the period of a further six months to dispose of any interest in GTE through the Company’s Broker.

Commenting on the Placing, Steven Zwolinski, CEO of GTE, said: “Demand for GTE’s products and
services continues to expand strongly as turbine operators come under increasing pressure to reduce
energy costs, carbon emission levels and plant downtime. The new funds and continued support from
our shareholders enables the Company to maximise its growth opportunities in the technically
advanced, faster growing segments in the $10bn energy services market worldwide.”

John Bryant, Chairman of GTE, said: “We are delighted to have attracted such high quality
institutional investors in the Placing. I am pleased that Frederik W. Mowinckel and Michael Naylor,
established long-term private investors in companies in the clean technology space and who I have
known for over 15 years, have demonstrated their support for GTE. I would also like to thank the
tremendous support and vision provided by Jan Telander and in particular by Frederic Telander who
as one of the executive officers was instrumental in preparing the Company for its successful
admission to AIM. Their unstinting confidence in GTE’s world class technology during its early years
was valuable in positioning GTE for the long-term growth that it now faces.”

As a result of the Placing, and agreed EVC sell down, the Company is aware that the following
investors will hold more than 3 per cent. of the total voting rights in the Company:

                                                                        Shares           %
   AXA S.A.                                                           6,713,712        9.9%
   EIG Venture Capital                                                4,474,421        6.6%
   Legal & General Investment Management                              3,731,140        5.5%
   Gartmore Investment Management                                     3,194,203        4.7%
   Age Westbo AS                                                      2,999,210        4.4%
   Cleantech GP Limited / Zouk                                        2,891,736        4.3%
   Markota Limited                                                   2,631,578         3.9%


Directors’ shareholdings before and after the Placing are as follows:

                                                      Holding            %          Holding after           %
                                                before Placing                           Placing
   John Bryant               Chairman                    50,000        0.08%              207,895        0.31%
   Steven Zwolinski          CEO                        131,250        0.22%              131,250        0.19%
   Magnus Nordgren           CFO                               -                                  -         -
   Otto Lagarhus             Non-exec                          -                                  -         -
   Jan Telander /
   Frederic Telander1          Non-exec              14,447,309       24.56%                     -          -
   Charles Cameron             Non-exec                       -          -                  52,631       0.08%
   1       Frederic Telander and Jan Telander are jointly interested in the shares held by EIG Venture Capital. Both
           Frederic Telander and Jan Telander have resigned as Directors of the Company, effective today.



Pursuant to a share option agreement, the Company has also issued and allotted a further 100,000
ordinary shares (‘Option Shares’). Application has been made for the Placing Shares and the Option
Shares to be admitted to trading on the AIM market of London Stock Exchange plc and dealings are
expected to commence on 3 June 2008. These shares will rank pari passu with the existing ordinary
shares in issue.

Following the Placing and the option exercise, the Company's issued share capital will consist of
67,921,594 ordinary shares with a nominal value of 0.2 pence each, with voting rights. The Company
does not hold any ordinary shares in Treasury. The above figure of 67,921,594 ordinary shares may
be used by shareholders in the Company as the denominator for the calculations by which they will
determine if they are required to notify their interest in, or a change to their interest in, the share
capital of the Company under the Financial Service Authority's Disclosure and Transparency Rules.


                                               ** End **


For further information please visit www.gtefficiency.com, or enquire to:

Gas Turbine Efficiency plc
Steven Zwolinski, CEO                                +46 8 546 10 528

Libertas Capital
Aamir Quraishi, Anthony Rowland                      +44 20 7569 9650

Mirabaud Securities Limited
Peter Krens                                          +44 20 7321 2508

Corfin Communications
Neil Thapar, Harry Chathli, Alexis Gore              +44 20 7977 0020



About GTE

Gas Turbine Efficiency plc, whose shares are traded on London Stock Exchange's AIM market
(Ticker: GTE), designs, manufactures and markets advanced integrated solutions for environmental,
process and asset optimisation of gas turbines primarily in the aviation, industrial and oil & gas
sectors. These solutions include compressor cleaning systems, performance monitoring, fuels
management, OEM approved combustion design and repair services and fluid and control sub-
systems that improve turbine performance and availability, fuel efficiency and parts life, resulting in
increased profits for its clients and a cleaner environment. The Group sells its products to blue chip
customers worldwide from operational centres in Europe and the USA.