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Rhodia enters into fast growing biogas market

Rhodia enters into fast growing biogas market

News release

Paris (France), July 6, 2009 --- Rhodia today announces its first business development investment in biogas technology, by acquiring Econcern Group’s participation in six pilot biogas production projects located in China and Vietnam.

Anticipating the growth of business opportunities in the biogas sector, Rhodia relies on these early projects to enhance its operational skills and industrial know-how in the renewable energy sector. It also reinforces the Group’s commitment to develop greenhouse gas emission reduction technologies.

Philippe Rosier, President of Rhodia Energy Services, comments: “We are committed to developing sustainable chemical and energy solutions using non fossil natural resources. This new expertise is at the crossroads of our activities of chemist and our activities in the energy and carbon markets”.

The effective completion of the transaction is subject to certain closing conditions, including approval by the relevant antitrust authorities. It is expected to be finalized in the fourth quarter of 2009.

About biogas:

Biogas is a mix of methane and CO2 obtained from fermentation of biowastes. Biogas is a renewable energy that can be used to produce electricity or heat. Biogas production gives a triple benefit for environment: substitution of fossil energy, reduction of methane emission into the atmosphere, clean treatment of waste.

Rhodia is an international chemical company resolutely committed to sustainable development. As a leader in its businesses, the Group aims to improve its customers’ performance through the pursuit of operational excellence and its ability to innovate. Structured around six Enterprises, Rhodia is the partner of major players in the automotive, electronics, flavors and fragrances, health, personal and home care markets, consumer goods and industrial markets. The Group employs around 14,500 people worldwide and generated sales of €4.8 billion in 2008. Rhodia is listed on NYSE Euronext.

For further details, please visit our institutional website www.rhodia.com

Contacts Rhodia

Media Relations
Lamia Narcisse  +33 (0)1 53 56 59 62

Investor Relations
Maria Alcon Hidalgo  +33 (0)1 53 56 64 89
Loic Harrari  +33 (0)1 53 56 64 80